## ## |Contents||||||| |---|---|---|---|---|---|---| |||||||Page| |Charity Reference and Administrative||Details||||| |Trustees'
Annual
Report||||||| |Independent|Auditor's
Report|||||| |Consolidated|Statement
of Financial|Activities|(mcluding|Income and Expenditure|Account)|| |Consolidated|and Charity Balance Sheets|||||12| |Consolidated|Statement
ofCash Flows|||||13| |Charity Statement
ofCash Flows||||||| |Notes to the|Financial Statements|||||15| |Charity registration|Charity registration|number|244861|| |---|---|---|---|---| |Company|registration|number|858029|| |Patron|||HRH Prince of Wales|| |Honorary|President||Peter Blackburn|CBE| |Trustees|||Joanna
Fiona Armitage —Chairman|| ||||Matthew
Osbourne - Treasurer|| ||||John Bywater|| ||||Jenny Harris|| ||||Lucy Hind —joined 5 October 2020|| ||||Craig Ratcliffe|| ||||Susan Rumfitt|| |Secretary|||Sharon Canavar|| |Registered|office||32 Cheltenham|Parade| ||||Harrogate|| ||||North Yorkshire|| ||||HG1 1DB|| |Auditor|||Murray
Harcourt|Limited| ||||Registered
Auditors|| ||||6Queen Street|| ||||Leeds|| ||||LS1 2TW|| |Solicitor|||McCormicks
Solicitors|| ||||Wharfedale
House|| ||||37 East Parade|| ||||Harrogate|| ||||HG1 5LQ|| |Bankers|||HSBC|| ||||7 Prospect Crescent|| ||||Harrogate|| ||||HG1 1RN|| ||||and|| ||||Scottish Widows|| ||||67 Morrison Street|| ||||Edinburgh|| ||||EH3 8YJ|| |Staffing||||| ||Chief Executive||Sharon Canavar|| ||Head of|Events|Charlotte Woods|| ||Head of|Development/Comms|Lizzie Brewster|| ||Finance||Ruth Moody|| ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## |YEAR ENDED 3|YEAR ENDED 3|YEAR ENDED 3|1||O|C|T||OBE||R||2|0|20|||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---| |Risk Assessment||||||||||||||||||||||||||| |The Trustees||have|assessed the|||||||||major||||risks||to|||which||the||Charity
is exposed,
in particular
those related to the operations|| |and finances|ofthe||Charity. The|||||||||Trustees|||||are||satisfied|||||that||management
and control systems are in place to mitigate the| |Charity's
exposure|||to||the|||major|||risks||||and||the Trustees|||||||undertake
to review those nsks and controls each year.||| |Key principal|risks||and|||plans and||||||strategies||||||for||managing|||||were:|| |Risk||||||||||||||||||||||||||Mana
ament| |Financial:||||||||||||||||||||||||||-Budget
linked
to business
planning
and objectives,
with| |-Weak Budgetary||||Controls and||||||||finance|||||reporting|||||||||timely
& accurate
monitoring
& reporting,
Management| |||||||||||||||||||||||||||accounts
provided
for all Trustee meetings,
monthly
meet| |||||||||||||||||||||||||||with Financial
Controller.| |-System and||controls||||not|||operating||||||as intended|||||||||||-Financial
control procedures,
defined
responsibilities
and| |||||||||||||||||||||||||||authorisation
limits.| |-New
programming|||||||strands|||||and||||more|||sophisticated|||||||-Annual
review ofaims and objectives
with budgets
linked| |marketin|methods||||ex||ose|||rester|||||financial||||disk|||||||to business
plannin
and ob'ectives.| |-Inade
uate||insurance|||||cover|||||||||||||||||||Annual
review ofcover| |-Lack offinancial|||supervision||||||||by the Board|||||||||||||||-Ongoing
analysis
and review, Treasurer's
report at Board| |||||||||||||||||||||||||||meeting
plus rigorous analysis
within
the Resources Sub-| |||||||||||||||||||||||||||I'ou| |-Dependency||on|income||||||sources|||||||||||||||||-Trustee
engagement
and
commitment
to fundraising,| |||||||||||||||||||||||||||Regular
identification
of
major
dependencies
and| |||||||||||||||||||||||||||diversification
lans.| |-Level
of|unrestricted||||||||reserves||||||held||by|||the||charity||||-Adequate
disclosures
made
in the reserves
policy.| |detrimental|to obtainin|||||||volunta||||||income||||||||||||| |Reputationah||||||||||||||||||||||||||| |-Decline in|public||perception|||||||of||the|||charity|||||||||||-Communication
with
supporters
and
beneficiaries,| |||||||||||||||||||||||||||Quality
financial,
annual
report and review reporting,
PR| |||||||||||||||||||||||||||training/procedures.| |-Adverse
publicity||||||||||||||||||||||||||-Review
complaints
procedures,
review
procedures,| |||||||||||||||||||||||||||cdises management
strategy
for handling
consistency
of| |||||||||||||||||||||||||||ke
messa
es, nominated
s okes erson etc.| |-Breakdown||in relationships|||||||||with||||key||stakeholders|||||||and||-Regular
contact
and
briefings,
meet
T&F of funders,| |supporters||||||||||||||||||||||||||ongoing
sponsor
comms
beyond
the
agreed
term
of| |||||||||||||||||||||||||||support.
Keep funders
up to date on progress, issues and| |||||||||||||||||||||||||||build good understanding
of and relationships
with similar| |||||||||||||||||||||||||||organisations
through
collaborative
working
and
sharing| |||||||||||||||||||||||||||ood
ractice.| |Talent:||||||||||||||||||||||||||-Review succession
planning
to identify
skills gap, early| |-No
succession||||planning||||||for||||key|||Board||||or||senior|||anticipation
of
Trustees/staff
stepping
down,
open| |mana
ement||ositions||||||||||||||||||||||||dialo
ue.| |-Loss ofkey||members|||||of staff||||or||trustees|||||||||||||-Effective HR policies and procedures.
Acknowledge
the| |||||||||||||||||||||||||||risk for or anisations
the size of HIF.| |-De endents||on ke||||individuals||||||||||||||||||||-Knowled
e transfer.
Em
owerment
and dele
ation.| |Political/Regulatory:||||||||||||||||||||||||||| |-Failure to|comply||with||||operational||||||||regulations||||||(data,||H&S|||-Monitor the legal and regulatory
changes,
membership| |Child Protection||||||||||||||||||||||||||of umbrella
bodes/
artner or anisations.| |-Data breach||||||||||||||||||||||||||-Appraise
systems
and
revise as appropriate,
appraise| |||||||||||||||||||||||||||security
and
authorisation
procedures,
implement| |||||||||||||||||||||||||||measure to secure and protect data including
secure back| |||||||||||||||||||||||||||u
and re ular review of
rocedures.| |-Change
in||political||||climate||||regarding|||||||culture/festivals||||||||&|-Regular
review
with
partners
and
shared
information| |fundin||||||||||||||||||||||||||throu
h umbrella
bodies and national
or anisations.| |-Failure to|meet statutory||||||||report|||requirements||||||||||||||-Identification
and
access
to
professional
advice| |||||||||||||||||||||||||||com
lienee reviews.| |-Failure to|operate|||within|||||charitable||||||objects of||||||powers|||||-Annual
review
of
charitable
objectives,
access
to| |||||||||||||||||||||||||||rofessional
advice.| |-Charity lacks direction,||||||||strategy|||||and|||forward||||planning||||||-Annual
review ofaims and objectives, timely and accurate| |||||||||||||||||||||||||||financial
and
project
reporting,
regular
contact between| |||||||||||||||||||||||||||Board and staff.| |-Trustees|insufficiently|||||||aware||||of||the||charity's|||||objectives|||||-Induction
training
and appraisals.| |and le al|owers|||||||||||||||||||||||||| |-Ineffective|contribution|||||||from||trustees||||||||||||||||-Attendance,
contribution
and
action
at
Board,| |||||||||||||||||||||||||||engagement
in fundraising,
annual
appraisal,
recruitment| |||||||||||||||||||||||||||and a pointment
recess.| ## ## ## ## ## ## ## ## ## ## ## ## ## ## |||||Unrestricted|Restricted|Operational|Unrestricted|Total|Total| |---|---|---|---|---|---|---|---|---|---| |||||operational|funds|total|designated|2020|2019| |||||funds|||Future 50||| ||||||||fund||| ||||||||6||| |Income:|||||||||| |Donations
and||legacies|2|181,104|7,267|188,371|52,313|240,684|372,847| |Charitable
activities|||3|157,654||157,654||157,654|770,011| |Other trading|activities||4|10,437||10,437|2,685|13,122|17,522| |Investments|||5|392||392|500|892|1,317| |Total income||||349,587|7,267|356,854|55,498|412,352|1,161,697| |Expenditure|on:||||||||| |Raising funds||||25,447||25,447||25,447|22,372| |Charitable
activities|||6|409,759|1,797|411,556||411,556|1,072,853| |Total expenditure||||435,206|1,797|437,003||437,003|1,095,225| |Net income||||(85,619)|5,470|(80,149)|55,498|(24,651)|66,472| |Transfer|||||||||| |Net movement||in funds||(85,619)|5,470|(80,149)|55,498|(24,651)|66,472| |Reconciliation||offunds:|||||||| |Total funds|brought|||193,672|3,094|196,766|340,228|536,994|470,522| |f0iward|||||||||| |Total funds|carried||16|108,053|8,564|116,617|395,726|512,343|536,994| |forward|||||||||| ## |||||2020|2019|2020|2019| |---|---|---|---|---|---|---|---| ||||Note|Groupf|Group|Charity
6|Charity
6| |Fixed assets|||||||| |Investments|||||||| |Current assets|||||||| |Debtors|||12|65,986|80,878|65,986|70,251| |Cash at bank|and in|hand||682,288|663,715|682,288|663,715| |||||748,274|744,593|748,274|733,966| |Creditors: amounts||falling due within|13|(235,931)|(207,599)|(235,933)|(196,974)| |one year|||||||| |Net current assets||||512,343|536,994|512,341|536,992| |Total assets|less current liabilities|||512,343|536,994|512,343|536,994| |Charity Funds|||||||| |Restricted funds|||16|8,564|3,094|8,564|3,094| |Unrestricted|funds||16|503,779|533,900|503,779|533,900| |Total charity|funds|||512,343|536,994|512,343|536,994| ## |EAR ENDED 31OCTOB|E|R 2020|||| |---|---|---|---|---|---| |||||2020|2019| ||||Note|6|6| |Net cash flow from operating||activities|18|17,681|149,140| |Cash flow from investing|activities||||| |Interest received||||892|1,317| |Net cash flow from investing||activities||892|1,317| |Net increase
in cash and cash equivalents||||18,573|150,457| |Cash and cash equivalents||brought forward||663,715|513,258| |Cash and cash equivalents|carried forward|||682,288|663,715| |Cash and cash equivalents|consists of:||||| |Cash at bank and in hand||||682,288|663,715| ## |EAR ENDED 31 OCTOB|E|R 2020|||| |---|---|---|---|---|---| |||||2020|2019| ||||Note|9|6| |Net cash flow from operating||activities|18|(106,713)|143,427| |Cash flow from investing|activities||||| |Interest received||||892|1,317| |Loans with subsidiary
undertaking||||124,394|5,713| |Net cash flow from investing||activities||125,286|7,030| |Net increase/(decrease)|in|cash and cash equivalents||18,573|150,457| |Cash and cash equivalents||brought
forward||663,715|513,258| |Cash and cash equivalents||carried forward||682,288|663,715| |Cash and cash equivalents||consists of:|||| |Cash at bank and in hand||||682,288|663,715| ## ## ## ## ## ## ## ## ## ## ## ## ## ## ## |ncome from donatio||ns
and le|gacies||| |---|---|---|---|---|---| |||||2020|2019| |||||6|6| |Arts Council England||- Revenue||25,000|15,500| |Harrogate
Borough|Council —Revenue|||24,000|24,000| |Harrogate
Borough|Council —UCI||||184,000| |Arts Council England||-Touring||44,130|18,160| |Future 50 (including||gift aid)||52,313|57,244| |NYMAZ||||7,267|10,471| |Other donations
and||legacies||60,299|63,472| |UK Government
Job||Retention|Scheme Grant|17,675|| |UK Government
Small Business|||Support Grant|10,000|| |||||240,684|372,847| ## |ncome from charitable||activitie|s||| |---|---|---|---|---|---| |||||2020|2019| |||||E|E| |Ticket and programme|sales|||36,360|343,602| |Income from commercial||trading|operation|121,294|426,409| |||||157,654|770,011| ## |Income from other tra|ding
ac|tivities||| |---|---|---|---|---| ||||2020|2019| ||||E|E| |Income from commercial|trading|operation|6,899|14,030| |Other trading|||6,223|3,492| ||||13,122|17,522| ## |ncome from|investment|s||||||| |---|---|---|---|---|---|---|---|---| ||||||||2020|2019| ||||||||E|E| |Interest —deposits|||||||392|743| |Interest - Future 50|||||||500|574| ||||||||892|1,317| |ncome from investments||was E892(2019 - E1,317)ofwhich|||E392(2019-E743)was||attributable
to|unrestricted| |nds and E500(2019 —E574)was attnbutable||||to unrestricted|designated|funds.||| |nalysis ofexpenditure||on charitable|activities|||||| |||||Festivals|||Total|Total| |||||and Events||Education|2020|2019| ||||||E|E|E|E| |Direct costs||||309,597||1,797|311,394|980,643| |Support costs||||||||| |Staff costs|||||50,397||50,397|46,766| |Other support|costs||||42,925||42,925|38,604| |Governance|costs||||6,840||6,840|6,840| |||||409,759||1,797|411,556|1,072,853| ## ## ## |Summary
Profit and Loss Account|||| |---|---|---|---| |||2020|2019| |||6|6| |Turnover||128,193|440,439| |Cost ofsales|||| |Gross profit||128,193|440,439| |Administrative
expenses||(18,013)|(44,413)| |Profit on ordinary
activities before taxation||110,180|396,026| |Tax on profit on ordinary
activities|||| |Profit for the year||110,180|396,026| |Turnover
is disclosed as:|||| |Turnover as above
Less other trading
income
Income from charitable
activities||128,193
~8,899
121,294|440,439
~34,030
426,409| |Resources expended
disclosed as:|||| |Cost ofsales|||| |Festivals
Interest payable
and similar charges
Eliminated
on consolidation
Trading subsidiary
costs||18,013
~3,000
5,013|44,413
~3,390
1,018| |The assets and liabilities ofthe subsidiary
Current assets
Current
liabilities|were:|118,189
~1~,18|16,832
~0.830| |Total net assets|||| |Called up share capital|||| |Profit and loss account|||| |Shareholders'
funds|||| ## ## ## ## ||||2020|2019| |---|---|---|---|---| ||||Number|Number| |Charitable|activities|||| |Raising funds||||| |||||10| |The total staff costs and employee||benefits were as follows:||| ||||2020f|2019
f| |Wages and|salaries||224,378|229,900| |Social security|||17,653|15,736| |Other related staff costs|||21,274|19,441| ||||263,305|265,077| ## ## ## |Debtors||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---|---| ||||||||||2020|2019|2020|2019| ||||||||||Group|Group|Charity|Charity| ||||||||||||5|6| |Trade debtors|||||||||28,107|37,620|28,107|20,788| |Amounts||owed by subsidiary||||||||||6,205| |Other debtors|||||||||16,099|26,016|16,099|26,016| |Tax recoverable|||on gift aid||||||7,398|5,386|7,398|5,386| |Prepayments
and accrued income|||||||||14,382|11,856|14,382|11,856| ||||||||||65,986|80,878|65,986|70,251| |Creditors: amounts||||falling|due within one year|||||||| ||||||||||2020|2019|2020|2019| ||||||||||Group|Group|Charity|Charity| ||||||||||6|6|6|| |Trade creditors|||||||||25,975|35,416|25,975|35,416| |Amounts||owed to subsidiary|||||||||118,189|| |Other tax||and social||security|||||4,757|5,310|4,757|5,310| |Other creditors|||||||||28,557|77,571|28,557|76,546| |Accruals||and deferred income|||||||176,642|89,302|58,455|79,702| ||||||||||235,931|207,599|235,933|196,974| |Operating||leases||||||||||| |Total future||minimum||lease payments||under non-cancellable|||operating|leases are as|follows:|| ||||||||||||2020|2019| ||||||||||||6|6| |Not later|than one year||||||||||1,644|2,178| |Later than one and not later than five years|||||||||||2,737|4,382| ||||||||||||4,381|6,560| |Deferred|income|||||||||||| ||||||||||2020|2019|2020|2019| |||||||||Group||Group|Charity|Charity| ||||||||||6|6|6|6| |Amounts||brought|forward|||||89,302||72,992|79,702|63,792| |Amounts||released to income||||||(89,302)||(72,992)|(79,702)|(63,792)| |Incoming||resources||deferred|in the year|||164,637||89,302|50,450|79,702| |Deferred||income at||31 October||||164,637||89,302|50,450|79,702| |Deferred|income||within the group relates to grants||||and|ticket income received
in advance.||||| ## ## ## ## ## ## ## ## ## |nalysis|ofnet assets between funds||||| |---|---|---|---|---|---| |||Group||Charity|| |||Restricted|Unrestricted|Restricted|Unrestricted| |||6|8|6|F| |Fixed assets|||||2| |Current|assets||65,986||65,986| |Cash and current investments||8,564|673,724|8,564|673,724| |Current|liabilities||(235,931)||(235,933)| |Total||8,564|503,779|8,564|503,779| ## |Group||||2020|2019| |---|---|---|---|---|---| |||||6|6| |Net (loss)/ income for||the year||(24,651)|66,472| |Interest receivable||||(892)|(1,317)| |Decrease|in debtors|||14,892|25,239| |Increase|in creditors|||28,332|58,746| |Net cash|flow from operating||activities|17,681|149,140| |Charity||||2020|2019| ||||||6| |Net (loss)/ income for||the year||(24,651)|66,472| |Interest receivable||||(892)|(1,317)| |Decrease|/ (increase)|in debtors||(1,940)|19,951| |Increase|/ (decrease)|in creditors||(79,230)|58,321| |Net cash|flow from operating||activities|(106,713)|143,427| ## |he carrying
amou|nts
|o|fthe g|roup's
|finan|cial
i|nstruments|are as follows.||| |---|---|---|---|---|---|---|---|---|---|---| ||||||||||2020|2019| ||||||||||6|6| |Financial assets||||||||||| |Debt instruments|measured|||at amortised||cost:||||| |-Trade debtors (note||12)|||||||28,107|37,620| ||||||||||28,107|37,620| |Financial liabilities||||||||||| |Measured
at amortised|||cost|||||||| |-Trade creditors|(note||13)||||||25,975|35,416| |- Other creditors|(note||13)||||||28,557|18,293| |- Accruals (note|13)||||||||12,005|59,278| ||||||||||66,537|112,987| |he carrying
amounts||ofthe charity's|||financial||instruments|are as follows:||| ||||||||||2020f|2019
6| |Financial assets||||||||||| |Debt instruments|measured|||at amortised||cost:||||| |-Trade debtors|(note||12)||||||28,107|20,788| |-Amounts
owed|from||group|undertakings||(note 12)||||6,205| ||||||||||28,107|26,993| |Financial liabilities||||||||||| |Measured
at amortised|||cost|||||||| |-Trade creditors|(note 13)||||||||25,975|35,416| |- Amounts
owed to group undertakings||||||(note|13)||118,189|| |- Other creditors|(note||13)||||||28,557|17,268| |- Accruals (note|13)||||||||8,005|59,278| ||||||||||180,726|111,962|