The Middlesex Association for the Blind (A company limited by guarantee) Annual Report and Financial Statements For the Year Ended 31 March 2021 Company registration number: 514204 Charty registration number. 2071J)7 AAK£iKIK3 30112r2021 COMPANIES House Alo #261 The Middlesex Association for the Blind Contents Reference and Administrative Details ............................................................ .2to3 Chairman's Report ......... Trustees. Report..........................................-......................................5 to 13 Trustees, responsibilities in relation to the financial ststements ...............................14 Independent examinerfs report . .15to 16 Statement of Financial Activities (including Income and Expenditure account) -17 Balance Sheet................................................-....................................... 18 Notes to financial statements .......................................................................... 19 to 31 Pagell The Middlesex Association for the Blind Reference and Administrative Details Charity Name The Middlesex Association for the Blind Charity registration number 207007 Company registration number 514204 Principal Office Suite 18, Freetrade House Lowther Road Stanmore Middlesex HA7 1EP Registered Office Suite 18, Freetrade House Lowther Road Stanmore Middlesex HA71EP Members of the Council of Management These are the directors for the purposes of the Companies Act and the charity trustees for the purpose of the Charities Act. The trustees set out below have, save where noted, held office during the whole of the period from 1 st April 2020 to the date of this report: Trustees Mr R Mehta Chair Mr B Hindocha Vice Chair Mr K Daneshyar Hon Treasurer Mr P S Wadhwa Hon Secretary Ms O Macauley MrT Mills Mr J Shingadia Miss R Goldberg MrJ Brown Mrs D Luff Resigned December 2020 Mrs N Yoganathan Resigned December 2020 Chief Executive Officer Mrs Singh Page12 The Middlesex Association for the Blind Reference and Administrative Details Bankers HSBC 235 Northolt Road South Harrow Middlesex HA2 8HP Independent Examiner James Lambden FCA CTA Calculus Accountants & Tax Advisers Ltd 5 Priory Road, Loughton, IG10 1AF Page13 The Middlesex Association for the Blind Chalmian's Report This is our 99th year and we are delighted and proud to continue providing high quality services to our MAB clients. We know this year has been like no other, and in many ways, we will all be glad to see the back of it! Irs been a difficult year for everyone as a result of the COVID-19 pandemic. The external environment has had a particularly negative effect on those with a sight loss. As MAB we have had to be flexible and adapt systems quickly in order to continue to meet the needs of our clients in this difficult time. Despite the challenges we fa￿d, we believe we have come through this period stronger as an organisation. Financially, we made excellent progress towards ensuring our organisation's sustainability, having ended the year with a balanced budget after securing many new donor relationships. We have also revamped many of our intemal administrative systems to ensure we are delivering a better service to our clients. All that we have achieved in this past year. and our hopes for our expansion work in the next year, is only possible thanks to the support of our donors, our stsff, our volunteers and our Tiustees. I thank you all for your involvement and your commitment to MAB. Without you. we would not exist. Wilh you, MAB can thrive. As we move into 2022, let's look fO￿ard to a New Year, new beginnings and to new, inclusive ways of working. Page14 The Middlesex Association for the Blind Trustees, Report The directors present their report and the financial statements for the year ended 31 March 2021, which have been prepared in accordance with the Companies Act 2006, the Charities Act 2011, Statement of Recommended Practice. Accounting and Reporting by Charities (SORP (FRS102) 2019), issued by the Charity Commission in October 2019 and applicable UK accounting standards. STRUCTURE, GOVERNANCE AND MANAGEMENT Introduction to the Middlesex Association for the Blind The principal activity of the charity is to continue to provide the services set out under "Objectives. below in accordance with the Memorandum and Articles of the Association. Governing Document The Middlesex Association for the Blind is a company limited by guarantee (registration number 514204) and a registered charity with the Charity Commission (registration number 207007). The governing document is the Memorandum and Articles of Association. Appointsnent of Directors The board of directorsltrustees is referred to as "the Council.. Under article 30 of the Articles of Association. the Council appoints new members of the Council either to fill a vacancy or to add to the size of the Council. The policy of the Council in appointing new members is to create and maintain a body in which there is a wide range of experience in relation to both the treatrnent of visually impaired people and in relation to the administration of charities. Trustees. Induction and Training It is the general policy of the council to invite prospective new trustees to attend a Council meeting before they are appointed. They are given a brochure outlining the functions of the Association, the duties of the trustees and the work required. Trustees are encouraged to attend a visual impairment awareness training course and other training appropriate to their role. Pagels The Middlesex Association for the Blind Trustees. Report Organisation The Association carrtes out its local functions in the individual London boroughs in its area of operation. Decisions are taken by the trustees who have appointed a Chief Executive Officer to make day to day decisions and liaise with them on any issues affecting the Charity. The Association has local Co-ordinators, based in the boroughs in which they work, and one Operations Manager who report directly to the Chief Executive Officer. The volunteers report to the local Co-ordinators who then report to the Operations Manager. The Chief Executive Officer attends all Tiustee related meetings. Related Parties Details of related party transactions are given in note 16 to the financial statements. Mr R Mehta the chair of trustees is also a trustee of Thomas Pocklington Trust, who have provided a grant of £9,854 in the year. Rlsk Management The Trustees have considered their obligations in relation to risk management and have instructed their Chief Executive Officer to ensure Ihat members of staff are aware of this statement. Members of staff are instructed to report Ihe occurrence of events which might cause a serious risk to the Association and its activities particularly. though not exclusively, in the following areas: Governance risks e.g. inappropriate organisational structure, difficulties recruiting trustees with relevant skills & conflict of interest- Operational risks e.g. service quality and development, contract pricing, employment issues, health and safety issues. fraud and misrepresentation" Financial risks e.g. accuracy and timeliness of financial information, adequacy of reserves and cash flow. diversity of income sources, fundraising returns and investment management" External risks e.g. public perception and adverse publicity, demographic changes., government policy, physical damage to physical assets" Page16 The Middlesex Association for the Blind Trustees. Report Risk Management (contd.) Compliance with law and regulation e.g. breach of trust law, employment law, and regulative requirements of particular activities such as fundraising or the running of Home Visiting and other services; Reserves Policy Our Reserves Policy is reviewed annually by the trustees and is based UF)on maintaining a minimum of 12 months operating costs to ensure that the charity could proceed in a properly managed way even if all funding ceased. Maintaining a reasonable level of reserves is achieved through proper budgetary control whereby the Finance, Risk, Audit Personnel Committee examine income and expenditure performance against the budget set at the beginning of the financial year and reviewed every 3 months. Fundraising initiatives and ser4ice delivery can then be changed in a timely fashion to ensure our financial performance is properly balanced. The Trustees, policy and practi￿ is to review the major risk possibilities in the areas listed above. As a matter of practice, these matters come before at least one Trustees, meeting a year. such meetings taking place every three months. They maintain personnel. finance and premises and grants sub-comrnittees which deal with many of the detailed issues arising and report to the Trustees as a whole. on these issues and on any relevant risk issues. Public Benefit The Council of Management are confident that their activities in pursuit of their objects are delivering Public Benefit to people who are blind. visually impaired and deaf-blind. Page17 The Middlesex Association for the Blind Trustees. Report Objectives The charitable objectives, for which The Middlesex Association for the Blind is incorporated. are as set out in the Memorandum and Articles of Association as amended on 26th June 2007. These objectives are within the areas of the London Boroughs of Barnet, Brent, Ealing. Enfield. Haringey. Harrow, Hillingdon, Hounslow and Richmond as constituted at the date of adoption of the amended Memorandum of Association and are" to assist in promoting in any and every way the welfare and the physical mental and spiritual wellbeing of people with visual impainnents in the above areas. to take such steps. as may frorn time to time be deemed expedient to promote the prevention or reduction of and the recovery from visual impairment of visually impaired people in the above areas, and for such purposes to act in conjunction with any other association or body or person or persons pursuing the objects. to organise, promote andlor support classes of instruction and activities of a similar nature for the instruction. benefit or welfare for people with visual impaimient in the above areas. The Beneficiaries The original areas of the Association were those within the boundaries of the old County of Middlesex. As a result of boundary changes, the Memorandum of Association now provides for the areas of operations of the Association to be the London Boroughs listed under 'Objectives' above. Supporting people with a visual impairment remains the prime objective of the Association's work. PaEe18 The Middlesex Association for the Blind Trustees. Report Aclivity in the year The number of people requiring support, advi￿ or information continues to increase and puts extra pressure on both our staff and volunteers and, as always, they have risen to the challenge. Home Visiting remains our core service. in addition to this our focus has been to establish social clubs within each of the Boroughs we operate in after coming out of the COVID-19 pandemic. We are aware of the benefit and need for social inleraction with our clients and volunteers. In addition to our Home Visiting Service we also provide an Employment Service, Braille Training, Rapid Response Counselling, Visual Awareness Training, delivery of British Wireless for the Blind Radios and a Telephone Befriending SeNice. Achievement and Perfomiance in Core and Other Areas Approximately 140 volunteers work with us to enable us to deliver our services. They are engaged in home visiting. providing advice and information at hospital eye-clinics, delivering radios supplied by the British Wireless for the Blind Fund and providing administrative support at head office. Volunteers are an invaluable part of our organisation and enable us to reach out to far more people wrth visual impairments than would other¥vise be the case. Home Visiting and Advocacy Service: Supporting People to remain in their homes, remain independent and continue to be part of the community. - Over 6,000 hours of visits were made in the past year. Grants to Individuals and Clubs: As part of the Meek Legacy of which the Association is the Trustee. the Association distributed almost £2,500 during the year lo 10 individuals and 15 clubs to enable people to have a holiday or visit a club to ensure they do not become isolated and can access activities within their own community. Page19 The Middlesex Assoclation for the Blind Trustees, Report Braille and Transcription: Enabling people to receive information in a format appropriate to them is vital. The Association provides a Transcription Service - Braille, CD, etc. as well as teaching people to read Braille. Hospital Infomiation Desk (Midsight): Helping and supporting people at the point of diagnosis within the Eye Clinics at London Hospitals. Information and Advice: Providing telephone advi￿ and information in response to over 2,000 enquiries received during the year. Rehabilitation Services= We work in partnership wrth Local Authorities to provide Early Intervention and Rehabilitstion to carry out assessment of need and training for newly registered visually impaired people. Awareness Training" Providing training to the statutory and private sector to increase people's understanding of the issues affecting people with visual impairments. Employment Service: The Employment Service supports people with visual impairment to retain or seek employment. In the last year we have seen significant numbers find employment, set up their own business or move on to further education as a result of our expert support. Rapid Response Counselling Service: We employ a qualified counsellor who works across all our boroughs with those experiencing anxiety as a result of sight loss. Leisure and Social Activities: The Association has a cycling club to provide healthy activity in a social setting using a specially adapted twin seat tricycle. We also run social clubs where people with visual impainnents can get together and socialise in a relaxed and supportive environment. As mentioned above we also make small grants to a number of clubs supporting people wrth visual impai￿nentS across Middlesex. Page 110 The Middlesex Association for the Blind Trustees. Report Our thanks go to: London Boroughs of Barnet. Ealing, Hounslow. and Richmond Brent NCIL Childwick Charitable Trust Drapers Company Charity Edward Goslling Foundation Field Family Trust Firmenich Garfield Weston Foundation Goldsmiths, Company Charity Hampton Fund Hillingdon Community Trust James Tudor Foundation London Community Response Fund Paddington Equip and the European Union Social Fund Thomas Pocklington Trust Richmond Parish Lands Charity WG Edwards Charitable Foundation Woodroffe Benton Individuals who gave donations Volunteers and those who remembered us in their Will Our incredibly hard working staff and volunteers. The Rehabilitation Officers across the nine London Boroughs we sep4e Page | 11 The Middlesex Association for the Blind Trustees, Report Financial Position and Reserves A significant part of our funding is through grants from a diverse range of charities and organisations including local authorities which support our services such as our home visiting serdice. We are partly funded by Hounslow Council to employ an Early Intep4ention Officer working with the sensory services team in that borough. 5t At 31 March 2021 our total funds carried forward (including our reserves held in investrnenls) were £601,666 of which £162,593 is restricted. Our expenditure for the financial year has been £354.000 and our income has been £398,000 ending the year with surplus of £44,000. We are grateful to all trusts, philanthropies, grants and individual donors who have enabled MAB to continue to deliver our vital services to people who are blind and partially sighted. None of this would have been possible without your continued support. Investment Policy The Meek legacy fund and general funds are invested to give equity exposures at moderate risk. The Trustees are satisfied with the rate of returns on these investments. The Association's major commrtments for the coming year: To raise enough funds to continue and enhan￿ services. To raise enough funds to pay its staff. To raise funds to cover the expenses of its staff and volunteers. Future Plans Our mission is to continue providing assistance to anyone who is affecled by sight loss and assist our clients in helping them iemain I become independent through our seNices. Going for4vard. we have so much more to do. We need to expand our services in every borough in which operate, ensuring that more clients who are visually impaired and isolated, get the support they need to be independent and to experien￿ better mental wellbeing. We need to give clients the skills and Confiden￿ they need to thrive. We want to continue and improve our Telephone Befriending Service that started during lockdown. as this was clearly a sepiice that had great benefits for clients. We also want to create an all-new career development programme that trains people to become job ready. builds their confidence and gives them independence. Page | 12 The Middlesex Association for the Blind Trustees. Report Compliance with laws and regulations The trustees have established policies and procedures designed to ensure that it complies with all material laws and regulations in relation to the charitable company's operations and activities. The trUSt￿S are not aware of any significant non-compliance with laws and regulations. Independent examiners The trustees have decided to tske advantage of audit exemption under the Companies Act 2006 and the Charities Act 2011. The trustees view an independent examination as part of governance and internal control of the charity. Calculus Accountants and Tax Advisers Ltd have expressed their willingness to continue in that capacity and resolution proposing their re-appointment will be presented at the annual general meeting. Small company provisions This report has been prepared in accordance with the small companies, regime under the Companies Act 2006. Approved by the Board 16 December 2021 and signed on its behalf by: Rnmehts (Dec 20, 2021 18:05 GMT) Date Dec 20. 2021 Mr R. N. Mehts Chair Page113 The Middlesex Association for the Blind Trustees, Responsibilities in relation to the Financial Statements The trustees (who are also directors of The Middlesex Association for the Blind for the purposes of company law) ale responsible for preparing the Trustees. Annual Report and the financial statements in accordance with applicable law and the United Kingdom Accounting Standards {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 stste of affairs of the charitable company and of the incoming resources and application of resources, including income and expenditure. of the charitable company for that period. In preparing these 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 estimates that are reasonable and prudent. state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements" and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for laking reasonable steps for the prevention and detection of fraud and other irregularities. Approved by the Board 16 December 2021 and signed on its behalf by: XRnmehta IDec N2021 t8￿5GM1j Date Dec 20, 2021 Mr R. N Mehta Chair Page114 Independent Examinerfs Report to the Trustees of The Middlesex Association for the Blind For the year ended 31 March 2021 I report to the charity trustees on my examination of the accounts of the charitable company for the year ended 31 March 2021 which are set out on pages 17to31. Responsiblllties and basls of report As the charity trustees of the 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 your 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 examinerfs statement Since the charitable company's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that l am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies. I have completed my examination. I confirm that no 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 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 Page | 15 Independent Examine￿$ Report to the Trustees of The Middlesex Association for the Blind For the year ended 31 March 2021 Independent examinerfs statement (contlnued) 4. the accounts have not been prepared in accordance with the methods and principles of the Staternent 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 concems 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. L,L James Lambden FCA CTA Calculus Accountants and Tax Advisers Ltd 5 Priory Road, Loughton. IG10 1AF Date Dec 23. 2021 Page | 16 STATEMENT OF FINANCIAL ACTMTIES {INCLUDING INCOME & EXPENDITURE ACCOUNn THE MIDDLESEX ASSOCIATION FOR THE BUND FOR THE YEAR ENDED 31 WIRCH 2021 UNRESTrICTED FU14DS REsTricfED FUNDS 2021 2020 Note No Intome and End¢>wrnentsfrom: Donations and Legaoes Charitable Attlvlties OtherTradin8 ALtivities Investrnent income Total 88.70S 156,985 88,705 3￿.521 J.224 7.583 398.033 54,424 141.738 1,932 12.731 210.825 143.536 L224 5.103 149.863 248,170 Expenditure ¢Jn: Fundraising trading.. costs of goods sold Charitable artiwties 3,596 93.485 97.081 5,955 251,067 257.022 9,551 344,552 354.103 14771 1489,3361 1489.8131 Gain ILosslfrom Operation Net 8ains sale of InvestmeDts 52,782 2.874 18,852} 43,930 2,874 1278.9881 74,993 Net incomelexppnditwe 55,656 18,8521 1203.9951 fjalns IL0$5esl on revaluation of inve5tinents Gross translers between funds 7S.437 75.437 192,6381 Net rnovempnts in fvnds . 131.(83 18.8521 122,241 1296.6331 RECONCILIATION OF FUNDS Total funds brou8ht forward Total funds carried forward 307,980 439.073 171.445 162.S93 479.425 601,666 776,058 479.425 Total Unrestrlrted Funds-Avallable Free Reserve T&n8ible Assets for own use 281.865 157.208 439,073 315.809 163.616 479,42S The notes on pages 19 to 31 form an integral part of these finanoal statements. Page 17 THE MIDDLESEX ASSOCIAMON FOR THE BUND COMPANY NUMBeR.. 514204 BAL￿ICE SHEET AS AT 31 IIAR¢H 2021 20 2020 Fbx¢d A$54ts Taryible assets In￿StMents 12 157.208 163.618 13 382,6H 299. 462.922 c￿￿￿1 14 19.775 13,445 Cash at bank and in haTh1 89.768 159.642 109.543 173,087 r•dIto￿. Ijno￿ts lalllnq du•wlthln on• {47.729) 1156,5841 Net cuffent A888ts 61.814 16.503 Total a880ts les8 current Maknlill•s 1.efj6 479,425 Tho fund$ ofth• thorfty.. Restrfcted fund8 In 8uWu8 162.$93 171.445 UnrBstrlcl•d funds Revaluation rese 155. 79.929 BaL￿te Unresiritted 283.707 228.051 less Tan9￿e Asse1$ 1157.2081 281,￿5 1163,616) 144.364 Total unrestdeted fUnd8.AvaiIab￿ Frt* R*sw Tangiblg fx•d As5•ts forown u80 157.208 163.616 Toial charlty funds 601.eé8 479.425 The board of tn&iiee5 are salisftd the chariti￿e ccffiparty is entiued lo exerfQtim the reoLNr&iient to oPA¥in an a￿11 ￿dersect￿ffi 477 of Ihe Compatws Act 2CpJ6 and Th) ha￿ r¢Wir￿ an acc4￿￿8 *ith seca*￿ 476 (Il ensuriry that the company kee￿ acc(vJtsg recordsv*M* sedith ￿". aTr (ill prepariro accounts vthkh gi* a I￿ aTha fair Yiv*¢ftl¢ swe cwyanyas a tre eryj L4the fina￿la1 ￿ar aTrJ of S￿p1￿5 of defiut lor Ihe financ4* ye¥ in actordan¢* TAilh requvemeNs Ofse¢￿ ￿. and vthich otkn•5e %4ith ￿ requirements oft￿S Acl re￿ling to a¢counis. $0 tsr a$ appliearAe to the compory. These accounts have been prepared Mi tre misirffj to crmw¥es sthjera lo ts $mall ¢omp•*' reg4me and in aCCo￿anCe￿Ilh FRS 102 and the Charities SORP IFRS 102). These finanoal statements set t)￿ ￿ page$ 1710 31 vue akyo%Ed ar¥1 L$84e Tru$tees OA 16 Oecemi*r2W21 atsy *or Ihwr bthair ty.. ￿Meh￿iDE￿ID.24?￿lwJ5&￿￿ Mr. Raj Mema Ch￿. ￿reCtOr Mr 8harat HiTrJr*ha Vice I￿81r- t*"fe¢t Page 18 The Middlesex Association for the Blind Summary of Significant Accounting Policies For the year ending 31 March 2021 Summary of significant accounting policies {al General information and basis of preparation MiddlesexAss¢xiati¢)n forthe Blind is a private company limited by guarantee registered in England and Wales {number 05142041 and registered as a charity with the Charty Ccxmmission (number 20700n. In the event of the charty being wound up, the liabilrty in respect of the guarantee is linited to £1 per member of the eharty. The address of the registered office is given in the charity infomialion on page 3 of these finaneial statements. The nature of the charty's operations and principal actNities are SLFPPOrtry I￿1nd. parts.alty blirKI deaf blind people to le*J independent INes. The Charty constrtute5 a publK bertefit entty as defmed by FRS 102. The financial statements have been prepared in accordance wrth A¢countsng and Repo￿"n9 by Charitses". Slalement of Recommended Pract￿ applicable lo ¢haTrt￿ preparing their accounts in accordance wrth the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019. the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 1021. the Charitie5 Act 2011. the Companies Act 2006 and UK Generally Accepted Accounting Practice {as it applies from 1 January 20191- The tharty has taken advantage of the eXeMpt￿n from the requirement to prepare a Slalemenl of Cash Flcws availabk to small chanties wrth total income of less than £500,000 under the Statement of Recommended Practice: Accounting and Reporting by Charilies ISORP {FRS10211. The finaneial slalements afe prepared on a going concem basis under the historical cost onvenlion, modified to inelude eertain rtems al fair value. The financial statements are presented in sleding whth is the fund￿al currency of the charity and rounded to the nearest £. The significant accounting pdicw applied in the preparatk?n of these finan¢ial $t*ements are set out below. These poI￿leS have been consistently applied lo am years presented unless otherwise ststed. {b) Funds Unrestricted fvnds are availablefry use atthe dIsC￿lon of the trustees in fvrtherance of the general objeth'ves of the charrty and whi¢h have not been designated for other purposes. Designated funds comprk8e unreslrKled funds that have been sel asKle by the Iruslees for particular purposes. The aim ar￿ use of designated fund is set out in the rKJles lo the financkql ststements. Restricted funds are funds which are to be used in accordance with spec.ffic restr￿IDn$ imposed by donors or which have been raised by the Chanty for particular putposes. The cost of raising and administering SLtrch funds are charged against the specffK fund. The aim and use of each restricted fund is Set out in the notes lo the ffinanc￿l slatements. Icl Income recognition All incoming resources are included in the Stslement of Financial AclNities ISOFAI when the charity is legally enlilled lo the inccffle after any perforrnance condiknon5 have been fflet. the amount Can be measured reliabty and tt is probable that the irTrcome will be received. For donations to be reccgnised the chartywil have been notsfied ofthe amounts and the settternent dale in writing. If there are conditions attached to the donation and this requires a level of perfomiance before entitlement can be obtained then income 1$ deferred until those condth'ons are fully met or the futhlmenl of those conditions is wrthin the control of the charity and rt is probable Ihal they wdl be fuffilled. Page 119 The Middlesex Association for the Blind Summary of Significant Accounting Policies For the year ending 31 March 2021 1¢) Income recognlllon Iconllnuedl Voluntary income induding donations and grants th* provtde corefunding orare of a general nature is recognised where there is entit￿Ment, certainty of receipt and the amount can be measured with sufficient relkqbilty. Donated facilthes and donated professronal serV￿e$ are recognised in income * their fair value when t1￿1r economic benefit is probable. il ean be measured reliab￿, and the charity has contrd over the item. Fair value is delemiined on the basis of the value of the grft to the charity. For example. the amount the charity wouhj be willing to pay in the open market for such faeilsties and ser¥￿e$. A eorrespjnding amunl is recLyJnised in expenditure. No amount is includeil in the financial st*ements for wjlunteer ts.me in line with the SORP. Further etsil is given in the Trustees, Annual Report. VKthere practubke. gffts in kind donated for.distn"bution to the benef￿laries of the charity are in¢lude(l in st￿k and don*ions in the financial ststements upon receipt. If il is inpraclicable lo assess the fair value at receipt or rf the costs lo undertake such a valuation OLthveigh any benefrts, then the fair value is recognised as a component of don*ions when it is distributed and an equivalent amount r￿CY￿nIsed as charitable expenditure. Fixed assel gifts in kind are wognised when receivable and are included at fair value. They are not deferred over the lrfe of the asset. For legac￿, entitlement ts the earlier of the charity being notified of an impending di$tribution or the legaey being reeerved. Al this point inecthe i% recognised. On Lxcas¢•n legacies will be notffied to the charity however il i5 not possible to measure the amount expected to be dislribLrted. On these ¢xcasions, the lega¢y 1$ treated as a ￿￿tingent asset and disclosed. Incomefrom Iradirvj acliwties includes inc(xne frar￿d frorn fundraisir@ events and trading aetivrt*s to raise funds for the charity. Income from charitsble xtivibes includes 'earned' income received in exchange for SUpp￿ing goods and seryres in wder to raise funds and is reccgnised wh8n entitlement has ¢xcurred. The charty weves govemment grants tn ￿pecI of services provKJed to blind or partialty sighted beneficianes. Income from govemment and other grants S￿ reeogrtised al fair value when the harity has enlillement after any performance condrtions have been mel, rt is prcèable that the in￿rne will be re¢eNed. and the amount can be rneasur￿ relrably. If entit￿nent is ncrt met. then these amcyjnls we deferred. Investment In￿Me is earned through holding assets for investment purposès such as shares and propety- 11 i￿l￿deS divklends, interest and rent. Where rt i8 not Pract￿le lo idents.fy investment management costs i￿Urred within a schème wth reasonab￿ accuracy the investment income is . reported net of these cos1$. It ts included when the amount can be measured reliably. Interest income is recognised using the effecttve inte￿t method and dividend and rent income is recognised as the charity's rYJht Io fecewe payment is eslablished. Other income tiludes gains ¢)n disrthals of irnieslments and tangib￿ fixed assets. Idl Expenditure rocognition All expenditure is accounted for on an accruals basts and has been classrfied Under headings that aggregate all costs rdated to the categixy. Expendrture Is recognised where there is a legal or cons1rL￿1lve obligation to make payments to third parties. rt is probable that the settlement will be required. and the amount of the obli9alion can be measured reliabty. tt is categorised under the following headings-. Costs of raising funds includes the costs associated with attrxting voluntsry ineome the costs of trading for frJnd raising purposes., Expendituie on charitable acts'vities includes ccmprises those costs incurred by the charity in. the delivery of its aclivrties and serv￿5 for its beneficiaries, rt includes both costs that can be allcLaled directty and indifect support eosts." and Other expenditure represents those items not falling into the Catego￿ above. Page120 The Middlesex Association for the Blind Summary of Significant Accounting Policies For the year ending 31 March 2021 {d) Expenditure recognition {eontinued) Irrecoverable VAT is chargejj as an expense against the actmty for which expenditure arose. Grants pay*Jle lo third parties are within the tharitable ¢*iectwes. Where uncondf¢ional granls are offered, this is ￿crUed as soon as the recipient is ncl1r￿d of the grant, as this gives rise to a ressor￿ble expectation th* the ￿lplent will receNe the grants. Where grants are condi(ional relating to perfomiance then the grant i% onty accrued when any unfUffiI￿d condrtions are outside of the contrd of the charity Grants payable wilhoul perfomiance condrtrons are onty wognised in the accounts when commitment has ￿en made and there are no conditions to be met reLqling lo the grant which remain in the contrd of the charity. Provisions for grants are made when the intertt￿ to make a grant has be8n communicated to the reepient bul there is uncertainty about etherthe timing of the grnnt or the anount ofgrant payable. {el Support costs allocation Support costs are those thal assist the work of the chanty bul do not dire¢lty represent charbtable aetivilies and include office eosts, govemance costs, administrative payrdl costs. TW are incurred directly in support of expenditure on the obj.ects of the chanty and indude project management carried out at Headquarters. Where 5UPPOrt costs cannot be diredty attributed lo particular headings, they have been alktaled to cost of raising lund$ and expenditure on charitable aclwilies on a basis consislenl with use of the resources. Premises overheads arKI other overhea(Is have been allocated in pr¢)porticm to the salary costs incurred in delivering the prclect or serwce. Fund-raising eosls are th¢)se I￿Urred in seeking voluntary contrt•Lrtion$ and do not irKlude the eosts of disseminating infomiation in support of the charrtable xtivities. The anatysB of these costs is in¢lLvJed in note 7. lfj Tangible fixed assets Tangible fLYed assets are stated at cost {cff deemed cost) or valualpDn less xcumulaled depre¢i*ion and accumul*ed impaimient losses. Cost indudes Costs directty attnbutable to making the asset capable of operab'ng as intended. Depreciation is provKled on all tangible fixed assets. at rates cakulated to wr((e off the eosl. less estimated residual value, of each asset on a systematic basis over tts expectèl useful life as folkhys: Leasehold land and buildings Straight line over the shorter of the *sg term and 50 years 25% on written down val 25% on written down v￿u8 Plant and machinery Motor vehicles (gi Investments Investrments are fectsjnised inrtialiy at fair value wffiich ts nomialty the transaction price excluding transaction costs. Subsequently. they are rneasur&J at fair value wrth changes re¢oJnise(l in 'net gain5 11l¢)ssesl on investrnents. in the SOFA if the shares are publicly traded or their fair value can otherwise be measured reliably. Olher investments are measured * wst less impairment. Current asset investmenls are short term highPy liquid investments and are held at fairvalue. These irxlude cash on deposrt and cash equiVa￿nIs wrth a maturity of less than one year. Page 121 The Middlesex Association for the Blind Summary of Significant Accounting Policies For the year ending 31 March 2021 {gl Investments I￿ntInued) Realised gains losses on investments are calculated as the dIffer￿ce between sales proceeds and their market value al the stsrt of Ihe.year, or their subsequent cosl. and are charged or credited to the Statement of Financwl Activities in the period of disposal. Unrealised gains and losses represent the movement in market values during the year and are credrted or charged lo the revaluation reserve based on the market value al the year end. Ihl Cash and cash equivalents Cash represents cash in hand plus bank balances imrnediatety avaikble to the charty. Cash equivalents are bank baL8nces held on short term deposrt available to the Charity at up to three m¢)nths' notio. {•) Debtor5 and Creditors iKeivabl• I payable ¥•ithin one year Debtors creditors with no stated interest rate and rec*vable or payable within one year are recorded al transxIi￿ Pr￿e. Any h)sses arisirKJ frcm impaim*nt are reec8nised in eypenditure. Ul Impalm)ent Assets ncl ff*asured at fair value are reviewed ￿ any mdication thal the asset nyay be impaired al each balance sheet date. If SLKh Indi￿110n exists. Ihe recoverable arr￿Unt of the asset, or the asset's cash generating unit. is estimaled and cOMpa￿d lo the carrying amoijnl. Where the carrying amount exceeds ils recoverable amounL an impaimienl loss is recognised in profil or Ios5 unless the asset 1$ carried al a ￿valUed amount where the impairment loss is a revaluation decrease. Ikl Provisions Provisions are recognised when the chanty has an obligation at the balance sheel date as a result of a past event, it is pr(*)able thal an ouffl(w of economic benefits will be required in Sett￿ment and Ihe amounl ￿ be reliabty estimated. {11 Leases Assets acquired underfinanee lea￿ are capitalised and depreciated over the $horter of the lease tem and the expected useful lrfe of the asset. Minimum lease payments are apportioned behveen the finance charge and the reduCt￿n of Ihe"outstsnding ￿se liabilty usiro the effective interest method. The related obligalions. nel of future finance charges. are included in credrtor5. Rentals payable and reeervable under c¢erating ￿aSe$ are charged to the SOFA on a straight line basi5 over the perN)d of ￿ the. {m} Employee benef hen gmpbyees have rendered semce lo the chanty. short4erm employee benefits to which the employees are entitled are reeognised at the undi8eounted amount expected to be paid in exchange for that service. The charity operates a defined contribution plan for the benefft of its employees. Contributions are expensed as they become payab￿. Page 122 The Middlesex Association for the Blind Summary of Significant Accounting Policles For the year ending 31 March 2021 (n) Tax The charty ts an exempt charity within the meaning of schedule 3 of the Charrties Ael 2011 and is considered to pass the tesls sel out in Paragraph 1 S¢heOule 6 Finance Act 2010 arKI therefore r( meets the definition of a charitable ￿1paTry for UK corporation lax purposes. (o) Going concern The financial statements have been yepared ￿ a g￿ftg coneem basis as the trustees believe that no material uncertainties exLSt. The trustees have ¢￿S￿lered the level of funds held and the expected level of inctyne arKI expenditure for 12 rnonths from authorising these financial stalemenls. The budgeted irKome and expendrture 15 sufficient with the level of reserves for the chanty lo be able to continue as a gcing corKem. {p) Financial instruments Financial instruments such as accounts receivable, accounts payable arKI cash are cla5STfied either as basic or compleL All financHI instruments are initsalty meaSU￿d al their fair values at lime the transactions occur. Subsequentty all bast instruments are measured at amothsed cost and all complex financial instruments are measured * a fair valuethrough the statement ofcomprehensive incorne. Financial instruments hehj by the charity are ckssffied as fo11ry4VS'. Cash is held al cost. Investments are held at fair value_ Financ￿1 assets such as debtors are held at amortised cost sing the effe¢tNe interesl method. Financ￿1 liabilthes such as credrtors are hekl at amortised cost using the effecttve interest methc•J. {ql Judgements and key sources of estln)ation uncertalnty The following judgements {apart from those invoknng estimates) have been made in the pr￿e$S of applying the above aecounlirrfJ pOl￿*S that have had the most signthcant effect on amounts recognised in the financial statements.. v￿There irwne is received for specfft prqecas that income is recognised when the proieet is delivered unless the income is Specif￿ to certain expendtlure for examp￿. salary costs or purchase of equipment. in which case Ihe income is reccgnised when the expendrture 15 incurred. I fIn￿ela1 instruments are bas￿ instruwÉnts. The key assurWions concerning the fLrture and other key Sources of estimation uncertainty at Ihe reporb'ng date that have a swJnrfKant risk of causing a material adjustment to the Carrying wnounts of assets and liabilities within the next financial year in¢lLKIe'. Useful ecOnCrfn￿ lives of fixed assets have been Co￿vared to past eXperIe￿e or in relation lo buildings and significant eomponenls therein. on recommended lie cycle replacement peri¢XI. Bad debt provisions are based on past experience for personal debtors while arTh)unts receivable freffi bcal authcfiti.es and heamh authorrties are regarded as recoverable in fvll unless a specific query has been lodged which 1$ provhjed against in ftAI. Page123 THE MIDDLESEXAssocfATION FOR ThEWIID 140TESTO FINAfKIAL STATEMEIITS YUR ENDED 31 MARCH 20ZI 2 In¢¢mefvorndonJWc PJNDS FUNDS 2021 FUKDS FUNDS FUNDS Appealsand donations 14.471 39.953 54.424 14.471 39.953 54.424 18.705 18.705 3 ChJrirableActh FUND5 FUND5 FUNDS FIINDS FUNDS fjrants VS5ioDFtyJndoiion Local auth