Company no. 04584819 Charity no. 1201993
## **Karten Network**
# **Report and Unaudited Financial Statements**
**30 September 2023**
## **Karten Network**
## **Reference and administrative details**
|**For theyear ended 30**|**September 2023**||
|---|---|---|
|**Company number**|04584819||
|**Charity number**|1201993||
|**Registered office**|Karten Network C/O The Ian Karten Charitable Trust||
||64 Nile Street||
||London||
||N1 7SR||
|**Trustees**|Trustees, who are also directors under company law, who served during||
||the year and up to the date of this report were as follows:||
||M Bianconi||
||R A Boyce||
||P J Doyle||
||D A Finch||
||S Haddock|appointed 23 July 2023|
||A E Jones||
||J L Moores|appointed 23 July 2023|
||J Rees-Proud|appointed 1 September 2023|
||R J Slaughter||
||E Stewart|appointed 23 July 2023|
||D Webster||
|**Company secretary**|A E Jones||
|**Bankers**|Lloyds Bank plc||
||25 Gresham Street||
||London||
||EC2V 7HN||
|**Independent**|Godfrey Wilson Limited||
|**examiners**|Chartered accountants and statutory auditors||
||5th Floor Mariner House||
||62 Prince Street||
||Bristol||
||BS1 4QD||
1
## **Karten Network**
## **Report of the trustees**
## **For the year ended 30 September 2023**
The trustees present their report along with the financial statements of the charity for the year ended 30 September 2023.
Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019).
## **Structure, governance and management**
The Karten Network Limited was established in 2002. In 2023, the company converted into a charity by amending its Articles so that they were suitable for a charity. The charity, the Karten Network, is a charitable company limited by guarantee, regulated by both Companies House and the Charity Commission. The board now comprises charity trustees who are also company directors.
## **Appointment of trustees**
Any person who is willing to act as a director, and is permitted by law to do so, may be appointed to be a director by a resolution of the directors, provided that no appointment of a director may be made which would cause the number of directors to exceed any number fixed as the maximum number of directors. The Karten Network uses a skills audit to inform the recruitment of new trustees to ensure the governance of the charity is effective and rigorous moving forwards.
Trustees are appointed for a term of three years at the end of which they shall retire. A person retiring from the office of director shall be eligible for re-appointment but, where the retirement is at the end of a consecutive period of nine years or more in office, the director shall not be eligible for reappointment for a further consecutive term of office unless agreed otherwise by the passing of a unanimous resolution by the directors who shall determine the length of any further term.
## **Objectives and activities**
The charity’s objects are restricted specifically to the relief of persons in need due to their physical, cognitive, sensory or learning disabilities in particular but not exclusively by providing access to electronic assistive technologies and education and training in using such technology.
The Karten Network supports people with disabilities to optimise their achievements and opportunities through engagement with and development of technological solutions. To fulfill its mission, the Network works with organisations in the UK and Israel, focusing on these core themes:
- Maximising ability and life outcomes for Karten Centre beneficiaries;
- ▪ Developing digital capacity and capability of organisations and staff;
- Digital infrastructure;
- Assistive Technology (AT) solutions for individuals;
- Research and development;
- ▪ Partnership and collaboration; and ▪ Diversity, equity, and inclusion.
2
## **Karten Network**
## **Report of the trustees**
## **For the year ended 30 September 2023**
The strategic goals of the charity are:
- 1 Analyse data, priorities and information across the Karten Network, presenting recommendations to the IKCT Trustees, in order to support the fulfilment of the charitable objectives by targeted investment of the Trust’s financial resources;
- 2 Facilitate applications for revenue funding to build IT/AT capacity within Karten Centres and across supported sectors, improving the quality of support/intervention for disabled service users;
- 3 Collaboratively explore and develop opportunities and partnerships to improve outcomes for centres and service users;
- 4 Fulfil a strategic influencing role, engaging with relevant stakeholders and activities, including but not limited to Department of Education, Policy Connect, All Party Parliamentary Group for Assistive Technology; and
- 5 Continually develop the Karten Network website and associated resources to raise awareness of provision and facilitate the sharing of expertise across the Karten Network.
The Karten Network comprises a network of centres using technology and assistive technology to improve outcomes for disabled people. The centres are funded through the Ian Karten Charitable Trust, with the purpose of improving the quality of life and independence of people with congenital or acquired physical, cognitive, sensory, learning disabilities or mental health problems. The Karten Centres provide supportive learning environments together with access to the latest assistive and information technologies and are in a wide range of host organisations. The Karten Network facilitates peer networking, sharing good practice and improving assistive technology related knowledge, skills and understanding across the organisations we support.
## **Nuvoic project**
In addition to the support provided for the Karten Centres, the Network has been involved as a partner in the Nuvoic project, funded by the EU’s Horizon 2020 programme. Led by developers Voiceitt, the aim of Nuvoic was to develop speech recognition technology for people with impaired or non-standard speech, supporting their communication and independence.
The Karten Network led on user involvement, helping our participants to:
- try out Voiceitt’s speech recognition apps and share feedback with developers on worked well and what could be improved; and
- donate speech recordings to help Voiceitt’s technology work better for people with atypical speech.
## **Public benefit statement**
Through the wide range of activities undertaken the, the charity delivers public benefit to a wide range of stakeholders including: learners and service users; their parents and carers; organisations (Karten Centres); and professionals.
When developing strategy, trustees are focused on impact on the end users of technology. Trustees have due regard for the Charity Commission's guidance on public benefit. At the time of undergoing conversion to a charitable entity this was discussed with the lawyers supporting the process and trustees received guidance aligned to their new role and responsibilities.
3
## **Karten Network**
## **Report of the trustees**
## **For the year ended 30 September 2023**
## **Achievements and performance**
The charity’s main achievements for 2022-23 are summarised below:
- Successful conversion to a charitable entity;
- New governance model introduces, including the appointment of an additional 4 trustees;
- Timely and bespoke support and guidance for Karten Centres;
- Support provided for 8 Karten Centres to successfully secure grants for additional equipment from the Ian Karten Charitable Trust;
- In collaboration with Natspec’s TechAbility services, Assistive Technology (ATech) champions have been appointed, providing additional ATech skills and expertise in organisations;
- Successful completion of the Nuvoic project;
- Publication of 4 newsletters sharing key information and success stories across the Network;
- Proactive lobbying and representation of disabled people in a range of contexts; and
- Further developed partnerships to explore additional research and development opportunities which enhance the charity’s objects and purpose.
Karten Centre beneficiaries benefit directly from the improved use of technology and ATech in the organisations where they access services. Professionals and parents and carers supporting disabled people gain ATech related awareness, confidence and competences. Thus, the Karten Network’s activities result in improved awareness and improved quality of support available for the technology users. This has a significant impact on the quality of individuals’ lives as, when harnessed effectively, technology improves independence and makes things possible that previously were not, ultimately helping individuals to take control of their lives, live more fulfilled lives and realise their potential.
Through engagement with Policy Connect’s All Party Parliamentary Group for Assistive Technology (APPGAT) the Karten Network has made substantive contributions to studies in which recommendations are fed back to government policy makers.
In addition to the support provided for Karten Centres, the Network has wider reach as non-Karten Centre organisations supporting disabled people also access resources, support and information e.g. from the website.
## **Financial review**
During the year, the Karten Network received income of £69k from the Ian Karten Charitable Trust. Related expenditure was around £64k on administration of the Karten Network and support for Centres. The Nuvoic project restricted income for 2023 was around £40k with £64k of expenditure. Income and expenditure has decreased on the prior year, as the project is nearing completion. In comparison, the Nuvoic project income was £104k and expenditure was £114k for 2022.
## **Reserves policy**
Free reserves should total three months of total organisational operating costs based on the next budget year. For 2023, one month's unrestricted expenditure was around £5,000, so reserves of £15,000 are on target. This is reviewed regularly to ensure that it meets the organisation's changing needs and circumstances.
## **Plans for future periods**
The main objective for the financial year 2023/24 is to continue operations to support Karten Centres in the Karten Network. Additionally activity will be undertaken to pursue opportunities to participate in externally funded research and development activities to extend the reach and impact of the Network.
4
## **Karten Network**
## **Report of the trustees**
## **For the year ended 30 September 2023**
## **Statement of responsibilities of the trustees**
The trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing those financial statements the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- ▪ observe the methods and principles in the Charities SORP; ▪ make judgements and accounting estimates that are reasonable and prudent; ▪ state whether applicable UK accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Members of the charity guarantee to contribute an amount not exceeding £10 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.
## **Independent examiners**
Godfrey Wilson Limited were appointed as independent examiners to the charitable company during the year and have expressed their willingness to continue in that capacity.
Approved by the trustees on 22 February 2024 and signed on their behalf by
Joanne Rees-Proud - Trustee
5
## **Independent examiner's report**
## **To the trustees of**
## **Karten Network**
I report to the trustees on my examination of the accounts of Karten Network (the charitable company) for the year ended 30 September 2023, which are set out on pages 7 to 17.
## **Responsibilities and basis of report**
As the trustees of the charitable company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the charitable company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charitable company's accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 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 charitable company as required by section 386 of the 2006 Act; or
- (2) the accounts do not accord with those records; or
- (3) the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or
- (4) the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
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.
## William Guy Blake
Date: 23 February 2024 **William Guy Blake ACA Member of the ICAEW** For and on behalf of: **Godfrey Wilson Limited** Chartered accountants and statutory auditors 5th Floor Mariner House
62 Prince Street Bristol BS1 4QD
6
## **Karten Network**
**Statement of financial activities** _(incorporating an income and expenditure account)_
## **For the year ended 30 September 2023**
|Restricted Unrestricted
Note
£
£
**Income from:**
Donations
3
-
69,000
Charitable activities
4
39,968
-
**Total income**
39,968
69,000
**Expenditure on:**
Charitable activities
64,091
64,743
**Total expenditure**
6
64,091
64,743
**Net income / (expenditure)**
**and net movement in funds**
7
(24,123)
4,257
**Reconciliation of funds:**
Total funds brought forward
(8,826)
43,915
**Total funds carried forward**
(32,949)
48,172|**2023**
**Total**
**£**
**69,000**
**39,968**
**108,968**
**128,834**
**128,834**
**(19,866)**
**35,089**
**15,223**|Restated
2022
Total
£
39,311
107,033|
|---|---|---|
|||146,344|
|||167,578|
|||167,578|
|||(21,234)
56,323|
|||35,089|
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 13 to the accounts.
Prior year income has been restated due to the organisation's registration as a charity, and resulting adoption of the Charities Statement of Recommended Practice (see note 1(a) for further details). Grant income previously deferred is now reflected in income as shown in note 15.
7
## **Karten Network**
## **Balance sheet**
## **As at 30 September 2023**
|Note
**Current assets**
Debtors
10
Cash at bank and in hand
**Liabilities**
Creditors: amounts falling due within 1 year
11
**Net current assets**
**Net assets**
12
**Funds**
13
Restricted funds
Unrestricted funds
**Total charity funds**|**£**
**-**
**25,039**
**25,039**
**(9,816)**|**2023**
**£**
**15,223**
**15,223**
**(32,949)**
**48,172**
**15,223**|Restated
2022
£
14,547
31,068|
|---|---|---|---|
||||45,615
(10,526)|
||||35,089|
||||35,089|
||||(8,826)
43,915|
||||35,089|
The directors are satisfied that the company is entitled to exemption from the provisions of the Companies Act 2006 (the Act) relating to the audit of the financial statements for the year by virtue of section 477(2), and that no member or members have requested an audit pursuant to section 476 of the Act.
The directors acknowledge their responsibilities for:
- (i) ensuring that the company keeps proper accounting records which comply with section 386 of the Act; and
- (ii) preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its profit or loss for the financial year in accordance with the requirements of section 393, and which otherwise comply with the requirements of the Act relating to financial statements, so far as applicable to the company.
These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.
Approved by the trustees on 22 February 2024 and signed on their behalf by
Joanne Rees-Proud - Trustee
8
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
**1. Accounting policies**
## **a) Basis of preparation**
- The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Karten Network meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.
## **b) Going concern basis of accounting**
- The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves. The restricted fund in deficit by £32,949 relates to income received and recognised shortly after the year-end as further described in note 13. There are no material uncertainties about the charity's ability to continue as a going concern.
## **c) Income**
- Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
## **d) Donated services and facilities**
- Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item, is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised.
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.
## **e) Interest receivable**
- Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity: this is normally upon notification of the interest paid or payable by the bank.
9
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
## **f) Funds accounting**
Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity.
## **g) Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
## **h) Allocation of support and governance costs**
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. Support and governance costs are allocated in full to charitable activities on the basis that no significant fundraising is undertaken.
## **i) Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **j) Cash at bank and in hand**
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **k) Creditors**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## **l) Financial instruments**
The charitable company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently recognised at amortised cost using the effective interest method.
10
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
## **m) Accounting estimates and key judgements**
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
There are no key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements.
## **2. Prior period comparatives: statement of financial activities**
|**Income from:**
Donations and legacies
Charitable activities
**Total income**
**Expenditure on:**
Charitable activities
**Total expenditure**
**Net income / (expenditure)**
**and net movement in funds**|Restricted
£
£
-
39,311
107,033
-
107,033
39,311
116,762
50,816
116,762
50,816
(9,729)
(11,505)
Unrestricted|2022
Total
£
39,311
107,033|
|---|---|---|
|||146,344|
|||167,578|
|||167,578|
|||(21,234)|
11
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
## **3. Income from donations**
|**Income from donations**|||
|---|---|---|
|Ian Karten Charitable Trust
**Total income from donations**|**2023**
**Total**
**£**
**69,000**
**69,000**|2022
Total
£
39,311|
|||39,311|
All income from donations in the current and prior period is unrestricted.
**4. Income from charitable activities**
|EU Horizons 2020
Loughborough University
**Total income from charitable activities**|**2023**
**Total**
**£**
**39,968**
**-**
**39,968**|Restated
2022
Total
£
104,533
2,500|
|---|---|---|
|||107,033|
All income from charitable activities in the current and prior period is restricted.
## **5. Government grants**
The charitable company receives government grants, defined as funding from the European Commission to fund charitable activities. The total value of such grants in the period ending 30 September 2023 was £39,968 (2022: £104,533). There are no unfulfilled conditions or contingencies attaching to this grant.
12
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
## **6. Total expenditure**
|Charitable
activities
£
Freelance costs
99,172
IT costs
-
Insurance
-
Accountancy
-
Consultancy
869
Subscriptions
-
Bank charges
-
Office costs
-
Legal and professional
-
**Sub-total**
100,041
Allocation of support and governance costs
28,793
**Total expenditure**
**128,834**
Total governance costs were £3,650 (2022: £9,874).|Support and
governance
costs
£
15,678
431
2,458
2,526
-
4,306
78
1,516
1,800
28,793
(28,793)
**-**|**2023 Total**
**£**
**114,850**
**431**
**2,458**
**2,526**
**869**
**4,306**
**78**
**1,516**
**1,800**|
|---|---|---|
|||**128,834**
**-**|
|||**128,834**|
||||
## **Prior period comparative**
|**Prior period comparative**||||
|---|---|---|---|
|Freelance costs
IT costs
Insurance
Accountancy
Consultancy
Subscriptions
Bank charges
Office costs
Legal and professional
**Sub-total**
Allocation of support and governance costs
**Total expenditure**|Charitable
activities
£
126,515
-
-
-
7,656
-
-
-
-
134,171
33,407
167,578|Support and
governance
costs
£
14,239
281
1,660
1,719
-
4,800
129
2,085
8,494
33,407
(33,407)
-|2022 Total
£
140,754
281
1,660
1,719
7,656
4,800
129
2,085
8,494|
||||167,578
-|
||||167,578|
13
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
**7. Net movement in funds**
This is stated after charging:
|Trustees' remuneration
Trustees' reimbursed expenses
Independent examiner's remuneration:
Independent examination (ex VAT)
Other services (ex VAT)|**2023**
**£**
**Nil**
**521**
**1,850**
**350**|2022
£
Nil
Nil
Nil
1,150|
|---|---|---|
Trustees' reimbursed expenses relates to travel expenses for 3 trustees to attend board meetings.
## **8. Staff costs and numbers**
The charity does not employ staff. The trustees are all volunteers and there is a part-time administrator and other consultants engaged on a freelance basis.
The key management personnel of the charitable company comprise the Trustees, Development Co-ordinator and Technology Advisor. The total benefits of the key management personnel were £58,672 (2022: £53,552).
## **9. Taxation**
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
## **10. Debtors**
|**Debtors**|||
|---|---|---|
||**2023**|2022|
||**£**|£|
|Accrued income|**-**|14,547|
## **11. Creditors: amounts due within 1 year**
|Accruals
Other creditors|**2023**
**£**
**2,220**
**7,596**
**9,816**|Restated
2022
£
1,380
9,146|
|---|---|---|
|||10,526|
14
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
## **12. Analysis of net assets between funds**
|**Analysis of net assets between funds**||||
|---|---|---|---|
|Current assets
Current liabilities
**Net assets at 30 September 2023**
**Prior period comparative**
Current assets
Current liabilities
**Net assets at 30 September 2022**|Restricted
funds
£
(25,353)
(7,596)
**(32,949)**
Restricted
funds
£
320
(9,146)
**(8,826)**|£
50,392
(2,220)
**48,172**
£
45,295
(1,380)
**43,915**
Unrestricted
funds
Unrestricted
funds|**Total**
**funds**
**£**
**25,039**
**(9,816)**|
||||**15,223**|
||||Total
funds
£
45,615
(10,526)|
||||**35,089**|
15
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
## **13. Movements in funds**
|**Restricted funds**
Nuvoic project
**Total restricted funds**
**Total unrestricted funds**
**Total funds**|At 1 October
2022
£
(8,826)
(8,826)
43,915
35,089|Income
£
39,968
39,968
69,000
108,968|£
(64,091)
(64,091)
(64,743)
(128,834)
Expenditure|**£**
**(32,949)**
**At 30**
**September**
**2023**|
|---|---|---|---|---|
|||||**(32,949)**|
|||||**48,172**|
|||||**15,223**|
## **Purposes of restricted funds**
## **Nuvoic project**
Funded by the EU’s Horizon 2020 programme and led by developers Voiceitt, the aim of Nuvoic was to develop speech recognition technology for people with impaired or non-standard speech, supporting their communication and independence.
## **Funds in deficit**
The Nuvoic project is in deficit at both 30 September 2022 and 2023, as the funding for this project is awarded in arrears and is recognised on a receipts basis. The final funding instalment was received in November 2023 and will be recognised in the next financial year, bringing the project balance to nil.
|**Prior period comparative**
**Restricted funds**
Nuvoic project
Loughborough Uni
**Total restricted funds**
**Total unrestricted funds**
**Total funds**|At 1 October
2021
£
903
-
903
55,420
56,323|Income
£
104,533
2,500
107,033
39,311
146,344|£
(114,262)
(2,500)
(116,762)
(50,816)
(167,578)
Expenditure|At 30
September
2022
£
(8,826)
-|
|---|---|---|---|---|
|||||(8,826)|
|||||43,915|
|||||35,089|
## **14. Related party transactions**
There were no related party transactions in the current or prior period.
16
## **Karten Network**
## **Notes to the financial statements**
## **For the year ended 30 September 2023**
## **15. Prior period restatement**
On 17 February 2023, Karten Network registered as a charity with the Charity Commission for England & Wales (no. 1201993). The prior year comparatives have been restated on adoption of the Charities Statement of Recommended Practice, as this requires that grant income previously deferred be recognised in income. The impact upon income, net result for the year, deferred income, and funds is shown below.
## **Income**
|Original income
Release of deferred income balance at 30 September 2021
Adjustment for deferred income in previous periods
As restated
**Net result for the year**
Original net result for the year
Adjustment for release of deferred income
As restated
**Deferred income**
Original deferred income
Adjustment for release of deferred income
As restated
**Total funds**
Original funds
Adjustment for release of deferred income
As restated|35,089
(56,323)
2022
£
-
35,089
35,089|2022
£
167,578
(21,234)|
|---|---|---|
|||146,344|
|||2022
£
-
(21,234)|
|||(21,234)|
|||2022
£
35,089
(35,089)|
|||-|
|||2021
£
-
56,323|
|||56,323|
17