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2023-03-31-accounts

Company registration number: 00601929 Charity registration number: 223989

The Institute of Race Relations

(A company limited by guarantee)

Annual Report and Financial Statements

for the Year Ended 31 March 2023

Field Sullivan Limited 9 Hare & Billet Road Blackheath London SE3 0RB

The Institute of Race Relations

Contents

Reference and Administrative Details 1
Trustees' Report 2 to 10
Independent Auditors' Report 11 to 13
Independent Examiner's Report 14 to 15
Statement of Financial Activities 16
Balance Sheet 17 to 18
Notes to the Financial Statements 19 to 29

The Institute of Race Relations

Reference and Administrative Details

Trustees Samuel Berkson Lee Bridges Eddie Bruce-Jones Anthony Bunyan Jonathan Burnett Sue Conlan Rebekah Delsol David Edgar Gholam Khiabany Joseph Maggs, Vice Chair John Narayan, Chair Jasbinder Nijjar Colin Prescod Frances Webber Secretary Anya Edmond-Pettitt Charity Registration Number 223989 Company Registration Number 00601929 The charity is incorporated in England & Wales. Registered Office 2-6 Leeke Street London WC1X 9HS Independent Examiner Field Sullivan Limited 9 Hare & Billet Road Blackheath London SE3 0RB

Page 1

The Institute of Race Relations

Trustees' Report

The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements and auditors' report of the charitable company for the year ended 31 March 2023. This is a directors’ report required by s417 of the Companies Act 2006 and all trustees are directors. The financial statements comply with current statutory requirements and the requirements of the Memorandum and Articles of the Association.

The Institute of Race Relations was founded as an independent body and educational charity in 1958. It had its origin in the knowledge that race relations had become a fundamental factor throughout much of human society and that these relations deserved separate and searching study.

Trustees and officers

The trustees and officers serving during the year and since the year end were as follows:

Trustees: Samuel Berkson Lee Bridges Eddie Bruce-Jones Anthony Bunyan Jonathan Burnett Sue Conlan Rebekah Delsol Saqib Deshmukh (resigned 15 December 2022) David Edgar Gholam Khiabany Joseph Maggs, Vice Chair John Narayan, Chair (appointed 24 April 2022) Jasbinder Nijjar Colin Prescod Daniel Reilly (resigned 25 July 2022) Cilius Victor (resigned 25 July 2022) Frances Webber Secretary: Anya Edmond-Pettitt

Aims and objectives

The main objectives of the Company are:

• To promote the study of the relations between groups racially defined, and the circumstances in which they live and work;

• To make available information on race to different groups and to give advice on proposals for improving relations.

It carries out its educational roles through research, publishing, exchanging and disseminating information.

Page 2

The Institute of Race Relations

Trustees' Report

Most of IRR’s information and publishing is now electronic and reports are in many cases available free to download. IRR News is a fortnightly online publication that includes a European-wide collation of happenings across a range of issues relating to migration, refugees and state and popular racism. A fully searchable database of IRR News’ calendar coverage since 2014 is available in the Register of Racism and Resistance. In addition, IRR produces the international quarterly journal Race & Class also in print format, occasional reports and briefing papers and has a back file of print materials available for use in education and training. Educational materials are downloadable from the website, and the DVDs Struggles for Black Community and Catching History on the Wing are also available. IRR’s library, known as the Sivanandan Collection, has moved to the University of Warwick; a Black History Collection of leaflets, pamphlets and journals from the 1950s to the1980s has been retained and catalogued at the IRR and is available to consult on site. The organisation also holds occasional meetings, seminars, workshops and conferences.

Strategic Plan

The 3-year Strategic Plan for 2022-2024 clarifies the mission of the IRR as speaking up for the most disadvantaged and marginalised. Its ethos being ‘to think in order to do’.

The Plan states that IRR, in seeking transformative change in the field of racial justice, migrant and refugee rights, provides data and analysis of structural, state and popular racism; dissects the ideas/frameworks that provide an intellectual hinterland to racism and fascism; advances clear, progressive, practical anti-racist frameworks (not distorted by fashion or dogma).

By:

Specific aims:

• continue to service a wide cross-section of NGOs, social movements, thinkers and opinion-formers, through research, publications and educational resources, while utilising social media to further disseminate information, provide context and make connections;

Page 3

The Institute of Race Relations

Trustees' Report

Report from the Chair

It has been an honour for me to take over from Colin Prescod as Chair of the IRR this year; and I can only hope to follow in his huge footsteps as we take the IRR forward into its next fifty years. For 2022-23 marked a year-long reflection on ‘IRR50’. It has been fifty years since the radical reorientation of the IRR in 1972 by its then membership and staff away from a study of ‘objective’ race relations towards studying racism - defined by laws, constitutional conventions, judicial precedents, institutional practices and their links to economic exploitation - and advancing anti-racism - defined as educational and institutional change towards non-racist outcomes. Through this reflection - marked by a series of events and the production of various published and broadcast interventions - we attempted to bridge the gap between generations by recovering the history of the IRR and the wider tradition of British anti-racism that the IRR has worked within, and, indeed, helped create. As part of this celebration-cum-reflection, we were most grateful for the support we received from so many individuals and organisations and in particular for the opportunity provided by one of our funders which allowed Trustees and staff members to cohere and clarify our ‘Mission, Values and Vision’ so as to keep our 50-year-old tradition of studying racism and advancing anti-racism relevant for the twenty-first century.

For unlike other organisations in the ‘race’ field, IRR does not merely concentrate on effecting legal change, nor does it focus solely on the domestic arena and on one policy sector. We see our brief as giving everyone - from stateswomen and academics to local campaigners and new social movements - fresh perspectives to inform analyses and hone practical strategies to combat racism, imperialism and social injustice. In the words of IRR’s (post-1972) founding father, A. Sivanandan, racism ‘never stays still. It changes its shape, size, contours, purpose, function with changes in the economy, in the social structure, the political culture, the system - and above all the challenges, the resistance to that system.’

This approach to anti-racism has never been more necessary - anti-racism is currently under attack. Whilst anti-racism should be embraced as a societal core value, it is not, as the centre of global politics shifts overtly to the Right. In the UK we have witnessed over the past year a massive curtailing of human rights in the Boycott, Divestment and Sanctions Bill, the Nationality and Borders Act, the National Security Act, the Police, Crime, Sentencing and Courts Act, the Illegal Migration Act and the Public Order Act. At the same time, a concerted attack on notions of equality and diversity and the developing of curricula to correctly reflect the UK’s history, are being parodied as ‘woke nonsense’ in sections of the media, the government and some political parties. We see anti-racist and other progressive movements portrayed as the ‘enemy within’ - to deflect from the failures of the economy and democracy at home. It is no coincidence that the cost-of-living crisis has also created an anti-racist crisis.

The IRR has, in its research, publishing and public discussion stepped up to meet the new circumstances - with key interventions on policing, human rights the ‘war on woke’, ethnonationalism and the clash of imperialisms. (A full account of IRR’s achievements over the year is listed below).

Above all, what the past fifty years have shown us is that the IRR has been and must continue to be at the forefront of the defence of progressive anti-racist values. Our mission has been to provide the tools that campaigners and communities need to address the racism that impacts their lives and to help draw communities together in solidarity. To this cause we have renewed commitment. We will continue the ethos that has underpinned the IRR for fifty years: the need to create cultures of resistance, to build communities of resistance, and win a world for all.

John Narayan Chair

Page 4

The Institute of Race Relations

Trustees' Report

Achievements and Performance

Research

Over the course of the past year the IRR has carried out research in several key areas.

• Completed a comprehensive review of the erosion of human rights across a range of new pieces of legislation, during the year 2021, which was published as Impunity entrenched on both IRR News (in five parts) and in Race & Class (Vol. 63/4, 2022)

• Carried out a pioneering piece of research into changes in policing across Europe, investigating the ways in which it was, following the example of the US, becoming less democratic and the infiltration and impact of extreme right views and organising into policing, which was published as ‘Racism, radicalisation and Europe’s “Thin Blue Line”’, Race & Class (Vol. 64/1, 2022)

• Investigated the increasing use of deprivation of citizenship against ethnic minority citizens historically and currently, was published as Citizenship: from right to privilege in September 2022.

• Researched the life and artistic contribution in the UK of Pearl Prescod (1920-1966), singer, activist, organiser and the first female black actor at the National Theatre.

• Examined the government’s strategy of ‘levelling up’ and changes in social geography.

• Created the database Register of Racism and Resistance, as a resource for all researchers - classifying for ease of search all the entries on IRR News’ Calendar, from the UK and EU, from 2014 and updated each fortnight on topics such as - Asylum and Migration, Electoral politics, Policing and criminal justice, Anti-fascism and extremism, Counter terrorism, Health, Housing, Welfare, Employment, Media and culture, Racial violence and harassment.

Publishing

The IRR has published:

• Four issues of the international quarterly Journal Race & Class with key articles on the politics of loyalist culture in Northern Ireland, European policing, the work of Cedric Robinson and transnational power in the Russia/Ukraine conflict. The Impact factor of the journal has gone up to 2.9. Former pieces have also been translated and recirculated in other publications and universities this year.

• IRR News, the online news service, produced with the help of seven volunteers, has been produced every fortnight (bar a break in summer) and its coverage and newsletters setting out topical concerns have been widely tweeted (IRR has 14,700 followers). A number of campaigning groups, including Refugee Action, South Yorkshire Migration and Asylum Action Group and Nursing Narratives have contributed this year. Key themes addressed included The Rwanda ‘deal’, Roma from Ukraine, Policing and racism, The Nationality and Borders Bill, Far-right weaponising of violence against women and girls, the Child ‘Q’ case, the growth of ‘civilisational racism’ and the Race and Health Observatory Review.

• Additionally, IRR has created two stand-alone publications: Pearl Priscilla Prescod 1920-1966: a Black life lived large and Citizenship: from right to privilege.

Page 5

The Institute of Race Relations

Trustees' Report

Networking and Outreach

Over the course of the year IRR has joined with several other groups to reinforce its and their message(s) and also to educate and inform other organisations, in the UK and as well as in Europe, sometimes in terms of public speaking, submitting formal evidence, exchanging views in workshops, advising and briefing etc. These have included:

Africa World Now, BBC Documentaries, All Party Parliamentary Group on Trafficked Britons in Syria, Birmingham Museum and Art Gallery, Black Learning Achievement and Mental Health UK, British Film Institute, British Library Oral History Collections, Border Ecologies Network, Bristol Radical History Group, CNN International, Centre on the Dynamics of Ethnicity, City University, European Anti-fascist Monitoring Network, Fear of Missing Out, Independent Investigation into antisemitism in the NUS, Inquest, Institute for Statelessness and Inclusion, JENGbA, Jewish Voice for Labour, Kings College, London, London Permanent Peoples’ Tribunal, The Monitoring Group, National Theatre, Never Again Association (Poland), No Alibis programme, Northern Police Monitoring Group, Precision Health and Everyday Democracy (Malmö) , RAPAR/ Status Now, Reach Out (Berlin), Red Pepper, Refugee Action, Reprieve, Rights and Security International, Rosa Luxemburg Foundation, Social Scientists Against the Hostile Environment, Statewatch, Stopwatch, Stuart Hall Foundation, Surviving Society, University of Florence, The World Transformed, University of Oxford, Young Activists Network (Norwich).

Page 6

The Institute of Race Relations

Trustees' Report

Events

Over the course of the year the IRR hosted three events:

Communications and media impact

Mainstream

IRR interventions were covered in the mainstream media during the year, including:

Social Media

Twitter is our largest platform with 14,600 followers on IRR News and over 7,500 followers on Race & Class . We now have over 1,750 followers on Instagram and over 5,000 Facebook followers. The newsletter for IRR News has over 4,180 subscribers and an average email open rate of 40%.

IRR 50

As 2022 represents fifty years since the IRR’s reorientation by members and staff, IRR took the opportunity to raise its profile, create a base of financial supporters, and interest a greater audience in its future work.

Its programme in 2022 included:

Page 7

The Institute of Race Relations

Trustees' Report

Public benefit

The Institute regularly reviews its activities in the light of its public benefit impact and the guidance to educational charities from the Charity Commission and seeks to extend its work and services to groups whose circumstances and conditions are adversely affected by developments in race relations at any given time. The Institute cannot itself hold a corporate opinion. The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales. The main methods used to achieve these aims are:

• To distribute information through a range of audio-visual materials, print and electronic publications and formats;

• To make available resources of published and written materials in a Black History Collection for use by readers and others;

• To, wherever possible, join with other groups in the field to create networks to strengthen our capacity so as to better meet our objectives.

Risk management

The trustees have carried out a review of the major risks which the charity faces on a regular basis and implemented procedures and controls where necessary to mitigate any risks identified. In particular trustees are mindful of obligations under the IRR’s charitable status and have taken pains to ensure that all published materials, including on social media and images neither contravene copyright nor our charitable objects. An annual review of the controls over the financial systems and the operational and business risks which they may face is carried out.

Financial Review

The Company has over the year continued to receive its largest grants from the Paul Hamlyn Foundation and the Joseph Rowntree Charitable Trust and has secured a grant for the next five years from the Joseph Rowntree Charitable Trust. The IRR obtained support from a number of trusts and individuals to fund the activities associated with IRR50. We had to note during the course of the year that the income from our publishing, specifically Race & Class subscriptions, from which we receive a royalty from our Publisher Sage, has, because of new arrangements via Open Access, gone down considerably. This is of concern and steps have been taken to both increase donations to IRR and also to find new funding streams to cover staff salaries. Overall, these drives should be successful and the charity shows a healthy condition at the end of the accounting period. There are no concerns about the charity as a going concern.

Reserves policy

Reserves are regularly reviewed in terms of upcoming needs both in terms of the fabric of the building and the staffing needed to carry forward planned work. The trustees maintain their reserves to enable the maintenance of activities now and in the future.

Page 8

The Institute of Race Relations

Trustees' Report

Investment Policy

The trustees, having regard to the IRR’s liquidity requirements, operate a prudent, low-risk policy. They keep funds in easily accessible interest-bearing deposit accounts.

Structure, Governance and Management

The Institute of Race Relations is a charitable trust No. 223989. It is also a company limited by guarantee and not having a share capital that was incorporated in 1958 under the Companies Act 1948. Its governing document is the Articles of Association. At the 2021 Annual General Meeting Clauses 13 and 52 of the Articles of Association were amended to allow Council meetings and General Meetings to be held remotely.

Management

The IRR's Council of Management, elected from its ordinary members, meets at least once a quarter. Trustees are elected to the council via a ballot of members and serve a term of three years after which they can stand for re-election. The IRR is reviewing the role of trustees and the contribution of members to ensure that the Council is being renewed over time. The day-to-day management of the Institute of Race Relations is carried out by Liz Fekete (Director) and Anya Edmond-Pettitt (Company Secretary).

Training of Trustees

New trustees undergo an orientation day with the chair or vice chair and the staff at the offices of the IRR. Apart from learning about key projects and departments and the day-to-day management structure, they also provided with copies of the Memorandum and Articles of Associates and briefed about their legal obligations under charity and company law. Relevant updates from the Charity Commission are recirculated to all trustees.

Staff

Liz Fekete, Director, head of European Research,

Anya Edmond-Pettitt, Office Manager and Research Assistant to the Director

Sophia Siddiqui, Deputy Editor Race & Class

Liam Shrivastava, Communications Officer

Hazel Waters, Co-editor Race & Class (part time)

Jenny Bourne, Co-editor Race & Class (part time)

Jessica Perera, Researcher (part-time, on maternity leave from September 2022)

Kaiisha Kukendra, Communications and Publications Assistant (September-November 2022)

Volunteers

Volunteers are an integral part of the IRR, providing much needed assistance to staff (particularly on IRR News ) but also providing the opportunity for IRR to help a number of people (usually young people and in line with our Equal Opportunities Policy) to learn new skills and be educated in a number of subject areas. Volunteers had to work remotely over most of the year.

Page 9

The Institute of Race Relations

Trustees' Report

Statement of trustees' responsibilities

The trustees (who are also the directors of The Institute of Race Relations 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 (United Kingdom Generally Accepted Accounting Practice), including FRS 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. Under company law the trustees must not approve the financial statements unless they are satisfied that they 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 its income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that can 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 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 governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Small companies provision statement

This report has been prepared in accordance with the small companies regime under the Companies Act 2006.

Approved by the trustees of the charity on .................... and signed on its behalf by:

......................................... Joseph Maggs, Vice Chair Trustee ......................................... Le John Narayan, Chair Trustee

Page 10

The Institute of Race Relations

Independent Auditor's Report to the Members of The Institute of Race Relations

Opinion

We have audited the financial statements of The Institute of Race Relations (the 'charity') for the year ended 31 March 2023, which comprise the Statement of Financial Activities, Balance Sheet, 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 United Kingdom Accounting Standards, comprising Charities SORP - FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and applicable law (United Kingdom Generally Accepted Accounting Practice).

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 auditor responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical 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 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 charity's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Page 11

The Institute of Race Relations

Independent Auditor's Report to the Members of The Institute of Race Relations

We have nothing to report in this regard.

Opinion on other matter prescribed by the Companies Act 2006

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Statement of trustees' responsibilities (set out on page 10), the trustees 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 charity'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 charity or to cease operations, or have no realistic alternative but to do so.

Auditor responsibilities for the audit of the financial statements

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 an auditor’s report 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:

Page 12

The Institute of Race Relations

Independent Auditor's Report to the Members of The Institute of Race Relations

Use of our report

This report is made solely to the charitable company's trustees, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor’s 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 its trustees as a body, for our audit work, for this report, or for the opinions we have formed.

...................................... (Senior Statutory Auditor) For and on behalf of Field Sullivan Limited, Statutory Auditor

9 Hare & Billet Road Blackheath London SE3 0RB

Date:.............................

Page 13

The Institute of Race Relations

Independent Examiner's Report to the trustees of The Institute of Race Relations ('the Company')

I report to the charity trustees (who are also Directors for the purpose of company law) on my examination of the accounts of the The Institute of Race Relations (‘the charitable company’) for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Balance Sheet and related notes. 16 29

This report is made solely to the charity’s trustees, as a body, in accordance with section 145 of the Charities Act 2011. My work has been undertaken so that I might state to the charity’s trustees those matters I am required to state to them in this report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for my work, for this report, or for the opinions I have formed.

Responsibilities and basis of report

As the charity’s trustees of The Institute of Race Relations 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 Institute of Race Relations 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 charity’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.

An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the financial statements. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently I express no opinion as to whether the financial statements present a ‘true and fair’ view and my report is limited to those specific matters set out in the independent examiner’s statement.

Independent examiner’s statement

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:

  1. accounting records were not kept in respect of The Institute of Race Relations 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.

Page 14

The Institute of Race Relations

Independent Examiner's Report to the trustees of The Institute of Race Relations ('the Company')

...................................... Timothy Sullivan FCA 9 Hare & Billet Road Blackheath London SE3 0RB

Date:.............................

Page 15

The Institute of Race Relations

Statement of Financial Activities for the Year Ended 31 March 2023

(Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)

Note
Income and Endowments from:
Donations and legacies
3
Charitable activities
4
Investment income
5
Other income
6
Total income
Expenditure on:
Charitable activities
7
Total expenditure
Net income/(expenditure)
Transfers between funds
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
17		 Unrestricted
£
125,355
75,053
318
10,338
211,064
(193,357)
(193,357)
17,707
4,650
22,357
117,069
139,426		 Restricted
£
38,200
-
-
-
38,200
(54,500)
(54,500)
(16,300)
(4,650)
(20,950)
143,546
122,596		 Total
2023
£
163,555
75,053
318
10,338
249,264
(247,857)
(247,857)
1,407
-
1,407
260,615
262,022		 Unrestricted
£
59,144
67,531
13
14,727
141,415
(155,061)
(155,061)
(13,646)
-
(13,646)
130,715
117,069		 Restricted
£
86,391
-
-
-
86,391
(60,543)
(60,543)
25,848
-
25,848
117,698
143,546		 Total
2022
£
145,535
67,531
13
14,727
227,806
(215,604)
(215,604)
12,202
-
12,202
248,413
260,615

All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2022 is shown in note 16.

The notes on pages 19 to 29 form an integral part of these financial statements.

Page 16

The Institute of Race Relations

(Registration number: 00601929) Balance Sheet as at 31 March 2023

Note
Fixed assets
Tangible assets
11
Current assets
Stocks
12
Debtors
13
Cash at bank and in hand
14
Creditors: Amounts falling due within one year
15
Net current assets
Net assets
Funds of the charity:
Restricted income funds
Restricted funds
Unrestricted income funds
Unrestricted funds
Total funds
17		 2023
£
108,856
800
47,352
118,481
166,633
(13,467)
153,166
262,022
122,596
139,426
262,022		 2022
£
107,835
800
47,970
110,676
159,446
(6,666)
152,780
260,615
143,546
117,069
260,615

For the financial year ending 31 March 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

The notes on pages 19 to 29 form an integral part of these financial statements. Page 17

The Institute of Race Relations

(Registration number: 00601929) Balance Sheet as at 31 March 2023

The financial statements on pages 16 to 29 were approved by the trustees, and authorised for issue on 24 October 2023 .................... and signed on their behalf by:

......................................... dee. Joseph Maggs, Vice Chair Trustee

......................................... Le John Narayan, Chair Trustee

The notes on pages 19 to 29 form an integral part of these financial statements. Page 18

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

1 Charity status

The charity is limited by guarantee, incorporated in England & Wales, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.

The address of its registered office is: 2-6 Leeke Street London WC1X 9HS

Authorised for issue date

2 Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

The financial statements have been prepared in accordance with 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) - (Charities SORP (FRS 102) - Second edition October 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). They also comply with the Companies Act 2006 and Charities Act 2011.

Basis of preparation

The Institute of Race Relations 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 notes.

Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.

Judgements and key sources of estimation uncertainty

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated 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 periods in which the estimate is revised where revisions affects only that period, or in the period of the revision and future periods where the revisions affects both current and future periods.

Page 19

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

Income and endowments

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.

Donations and legacies

Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.

Grants receivable

Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.

Investment income

Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.

Expenditure

All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.

Charitable activities

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Support costs

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.

Governance costs

These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees meetings and reimbursed expenses.

Page 20

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

Government grants

Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.

Taxation

The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

Tangible fixed assets

Individual fixed assets costing £500.00 or more are initially recorded at cost.

Depreciation and amortisation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset class Depreciation method and rate
Plant and machinery 25% straight line basis
Fixtures and fittings 2% straight line basis

Stock

Stock is valued at the lower of cost and estimated selling price less costs to complete and sell, after due regard for obsolete and slow moving stocks. Cost is determined using the first-in, first-out (FIFO).

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Page 21

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

Foreign exchange

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are reported at the rates of exchange prevailing at that date.

The results of overseas operations are translated at the average rates of exchange during the period and their balance sheets at the rates ruling at the balance sheet date. Exchange differences arising on translation of the opening net assets and results of overseas operations are reported in other comprehensive income and accumulated in equity (attributed to non-controlling interests as appropriate).

Other exchange differences are recognised in the Statement of Financial Activities in the period in which they arise except for:

1) exchange differences on transactions entered into to hedge certain foreign currency risks (see above);

2) exchange differences arising on gains or losses on non-monetary items which are recognised in other comprehensive income; and

3) in the case of the consolidated financial statements, exchange differences on monetary items receivable from or payable to a foreign operation for which settlement is neither planned nor likely to occur (therefore forming part of the net investment in the foreign operation), which are recognised in other comprehensive income and reported under equity.

Fund structure

Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.

Page 22

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

3 Income from donations and legacies

Unrestricted
General
£
Donations and legacies;
Donations
51,452
Gift aid reclaimed
2,403
Grants, including capital grants;
Unrestricted grants
5,250
Joseph Rowntree Charitable
Trust
66,250
Paul Hamlyn Foundation
-
Grants - other agencies
-
Open Society Foundations
-
Clothworkers Foundation
-
125,355
4
Income from charitable activities
Race & Class
5
Investment income
Interest receivable and similar income;
Interest receivable on bank deposits
6
Other income
Fees		 Restricted
£
-
-
-
-
32,000
-
-
6,200
38,200
Unrestricted
funds
General
£
75,053
Unrestricted
funds
General
£
318
Unrestricted
General
£
10,338		 Total
2023
£
51,452
2,403
5,250
66,250
32,000
-
-
6,200
163,555
Total
2023
£
75,053
Total
2023
£
318
Total
2023
£
10,338		 Total
2022
£
4,886
258
-
-
32,000
4,000
54,391
-
95,535
Total
2022
£
67,531
Total
2022
£
13
Total
2022
£
14,727

Page 23

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

7 Expenditure on charitable activities

7
Expenditure on charitable activities
Note
Project cost
Wages and salaries
Social security costs
Pension
Other staff costs
Allocated support costs
8		 Total
2023
£
-
179,458
8,524
7,402
-
52,531
247,915		 Total
2022
£
3,373
157,965
10,374
7,420
(1,073)
37,545
215,604

8 Analysis of governance and support costs

Support costs

Printing, postage and stationary
Depreciation of office equipment
Promotion and marketing
Rates
Light, heat and power
Insurance
Repairs and renewals
Telephone and fax
Computer software and maintenance
VAT partial exemption adjustment
Sundries
Travel and subsistence
Independent examination
Bank charges
Other interest payable
Foreign currency (gains)/losses
Depreciation of freehold property		 Total
2023
£
1,943
2,293
7,680
5,785
1,958
2,034
16,470
1,090
2,772
2,924
832
574
2,465
237
-
-
3,474
52,531		 Total
2022
£
1,562
597
-
5,786
2,494
2,213
3,108
1,508
10,205
2,073
1,312
85
2,055
213
877
(17)
3,474
37,545

Page 24

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

9 Staff costs

The aggregate payroll costs were as follows:

9
Staff costs
The aggregate payroll costs were as follows:
Staff costs during the year were:
Wages and salaries
Social security costs
Pension costs
Other staff costs		 2023
£
179,458
8,524
7,402
-
195,384		 2022
£
157,965
10,374
7,420
(1,073)
174,686

The monthly average number of persons (including senior management / leadership team) employed by the charity during the year expressed as full time equivalents was as follows:

Average number of employee's 2023
No
8		 2022
No
8

No employee received emoluments of more than £60,000 during the year.

10 Taxation

The charity is a registered charity and is therefore exempt from taxation.

Page 25

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

11 Tangible fixed assets

Cost
At 1 April 2022
Additions
At 31 March 2023
Depreciation
At 1 April 2022
Charge for the year
At 31 March 2023
Net book value
At 31 March 2023
At 31 March 2022
12 Stock
Stocks
13 Debtors
Prepayments
Accrued income
Other debtors
14 Cash and cash equivalents
Cash on hand
Cash at bank		 Land and
buildings
£
173,694
-		 Furniture and
equipment
£
28,220
6,785		 Total
£
201,914
6,785
208,699
94,076
5,767
99,843
108,856
107,838
2022
£
800
173,694 35,005
67,649
3,474		 26,427
2,293
71,123 28,720
102,571 6,285
106,045 1,793
2023
£
800
2023
£
651
38,112
8,589
47,352
2023
£
279
118,202
118,481
2022
£
422
27,261
20,287
47,970
2022
£
202
110,474
110,676

Page 26

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

15 Creditors: amounts falling due within one year

15 Creditors: amounts falling due within one year
VAT
Other creditors
Accruals		 2023
£
3,853
459
9,155
13,467		 2022
£
3,791
-
2,875
6,666

16 Related party transactions

17 Funds

17 Funds
Current period
Unrestricted
General
General Funds
Designated
Redundancy/maternity
Staff training
Building maintenance
Publication promotion
Total unrestricted
Restricted
European Research Programme
Building Fund
Community Fund - Capital
Paul Hamlyn Foundation
Clothworkers Foundation
Total funds		 Balance at 1
April 2022
£
51,131
17,524
5,000
40,414
3,000
65,938
117,069
35,705
106,044
1,680
117
-
143,546
260,615		 Incoming
resources
£
144,814
-
-
-
-
-
144,814
-
-
-
32,000
6,200
38,200
183,014		 Resources
expended
£
(193,357)
-
-
-
-
-
(193,357)
(18,130)
(3,474)
-
(31,346)
(1,550)
(54,500)
(247,857)		 Balance at 31
March 2023
£
2,588
17,524
5,000
40,414
3,000
65,938
68,526
17,575
102,570
1,680
771
4,650
127,246
195,772

Page 27

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

Designated Funds

The council of management have allocated part of the reserves of the Institute to provide various possible future commitments, not covered by Grant Aid for the maintenance and development of the Institute, its staff and premises. The titles of the various funds are considered to be self-explanatory.

Restricted Funds

The European Research Programme monitors and analyses racism in Europe. This is a three year grant covering the period from 1 May 2021 to 30 April 2024, that was received in full in 2021.

Resourcing Racial Justice represents funds to increase accessibility of the anti-racist history held in the IRR to promote engagement and awareness in the wider public.

The Building Fund represents funds raised to purchase the premises at Leeke Street, less the amount of depreciation charged on the building to date.

The Community Fund Capital Fund represents the undepreciated portion of expenditure on capital equipment.

The IRR News fund assists with the running and production of IRR News articles and social media communications.

Paul Hamlyn Foundation is to support building communitcations capacity.

Page 28

The Institute of Race Relations

Notes to the Financial Statements for the Year Ended 31 March 2023

18 Analysis of net assets between funds

Current period net assets between funds

Unrestricted

Tangible fixed assets
Current assets
Current liabilities
Total net assets		 General
£
6,285
76,019
(13,467)
68,837		 Designated
£
-
65,938
-
65,938		 Restricted
£
102,571
24,676
-
127,247		 Total funds
2022
£
108,856
166,633
(13,467)
262,022

Prior period net assets between funds

Unrestricted

Tangible fixed assets
Current assets
Current liabilities
Total net assets		 General
£
1,791
56,006
(6,666)
51,131		 Designated
£
-
65,938
-
65,938		 Restricted
£
106,044
37,502
-
143,546		 Total funds
2021
£
107,835
159,446
(6,666)
260,615

Page 29