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2023-03-31-accounts

UK Islamic Mission – Financial Statements & Trustee’s report

UK Islamic Mission

FINANCIAL STATEMENTS & TRUSTEE’S REPORT

31[th ] March 2023

Charity Number:

England : 250275 Scotland : SC042499

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UK Islamic Mission – Financial Statements & Trustee’s report

Contents

Introduction ............................................................................................................................................. 3 Structure, Governance and Management: .............................................................................................. 4 International Programmes ....................................................................................................................... 6 UK Programmes ..................................................................................................................................... 10 Marketing and Fundraising .................................................................................................................... 13 Independent Audit ................................................................................................................................. 16 Statements of Financial Activities .......................................................................................................... 21

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UK Islamic Mission – Financial Statements & Trustee’s report

Introduction

The Trustee present its report and the financial statements of the charity of the year ending 31[st] March 2023.

Reference and administrative details:

Registered Charity Name:

The United Kingdom Islamic Mission

Charity Registration Number England: 250275

Charity Registration Number Scotland: SC042499

Registered Address : 202, North Gower Street, London, NW1 2LY, UK

The corporate trustee: United Kingdom Islamic Mission, the directors of which are:

Dr Hammad Bin Zahid Lodhi

Mr Mohammed Saeed Mr Sajjad Amin Mr Maqsood Anwar Dr Fiaz Hussain Mr Waqar Ahmed Mr Mohammad Malik Mr Ghufran Mehmood Mr Ubaid-Ur-Rahman Ahmed Mr Amjad Mujahid Janjua Mr Muhammad Imran Abbasi Mr Mahfoozur Rahman Jawed Mr Asim Uddin Mr Abdul Haq Mian Mr Muhammad Hussain Asghar Mr Muhammad Iqbal Dr Sadia Ahmad Mr Mohammad Tayyab Raza Khan Mr Abdul Hamid Mr Muhammad Saeed Mr Tariq Ali Dr Muhammad Arif Mr Zia Ul Haq

Bankers:

Barclays Bank Plc Business Banking Leicester LE87 2BB

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UK Islamic Mission – Financial Statements & Trustee’s report

Structure, Governance and Management:

Governing Document:

The Charity was established in 1962 by a trust deed and is registered with the Charity Commission in England & Wales under the charity number 250275, it has also been registered in Scotland under the charity number SC042499.

The organisation underwent additional changes to its structure, which has resulted in the development of the new constitution in 2021. This was approved by the Charity Commission, although the organisation is still in transition period of moving in to its new set-up. Part of this new structure of the Charity, the individual trustees were replaced by a new, limited liability company with a company registration number of 06611497 and charity number 1127246. This new company serves as the sole cooperate trustee of the old UKIM Trust. The directors of the new company are referred to as trustees.

Governing Bodies:

The governing composition is demonstrated in the constitution of the Charity and its branches, which are established and spread throughout the scope of United Kingdom.

UKIM in funded by a monthly subscription which is paid by its members and associate members. Many people from the general public also donate to support the local activities arranged by the charity. In addition, appeals are made through the charity network of Mosques and Islamic centres. These appeals are arranged and approved through the central finance committee. The appeals that are made through the charity go to a range of charitable activities, addressed further down in the report.

The charity is formed with a board of trustees, which is accountable for regulating and making judgments for the organisation. The board of trustees are elected on a 3-year basis, full members of the charity are given the chance to vote for the board of trustees. UKIM is further split in to 4 areas which have their own elected president. The presidents of the 4 areas represent the community and its zonal branches within their areas.

The process for electing the National President is conducted directly by the charity members who have a full membership. Following the election, the president, with consultation of the Board of Trustees, will appoint other office bearers such as the Senior Vice-President, Vice-President, Secretary General, Joint Secretary and Treasurer.

Ensuring the Board of Trustees members fully comprehend their role as trustees and the associated duties and responsibilities, a day-long workshop is conducted shortly after the elections. It has been intended that this process will be repeated every three years following the national elections.

In addition, zonal workshops are carried out yearly for members and office bearers across branches. These workshops aim to assist in governance and compliance matters ensuring that every member understand their role. As a part of the aim of improving governance and safeguarding at UKIM, particularly within the increased expectation on the charity sector, UKIM trustees have embarked on

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UK Islamic Mission – Financial Statements & Trustee’s report

a wide-ranging process of reviewing and identifying areas of improvement within UKIM's governance and departmental structure.

New Structure – Executive Board:

As part of the of the restructuring efforts, Certain executive powers that are held by the board of trustees have been delegated to the newly established Executive Board. The Executive Board had been given the responsibility of overseeing the day to day operation of the organisation, while ensuring the implementation of Board of trustee’s campaigns. This has given the Board of trustees the time to work through long-term planning, governance, and compliance, with the aim of progressing the charitable objectives of the organisation.

In addition to this, several committees have been created to aid the organisation management with minutes and action points from meetings shared with the Board of Trustees.

Financial Control:

The Trustees ensure that the funds and asset of the charity are safeguarded through the financial control that are implemented. These control that were introduced by the finance committee, overlooked by the board of trustees who receive financial reports. The accounts are scrutinised by the members of the organisation in their annual meeting. The organisation works to review and develop its systems periodically, making improvements in its accounting policies and financial controls to meet the financial reporting standards.

The charity has looked into the employee pay structure, with particular care with the mosque-based Imams (scholars) and set suitable salaries based on prevailing employment laws and related guidelines from HMRC. Currently, pay increases are related to performance.

Investment Powers and Restrictions:

The organisation does not invest in any deposit accounts, building society accounts, money market etc.

Risk Management:

The Charity Central Executive Committee has carried out an appraisal of the key risks that could arise through a risk register, paying close attention to those pertaining to the Trust's operations and finances. The Committee is confident that sufficient checks and balances have been implemented and systems are in place to minimize the Charity's exposure to major threats and risks. In addition, the Central Administrative Committee has reviewed all of the organisation's systems to identify areas for improvement and ensure that they are regularly updated.

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UK Islamic Mission – Financial Statements & Trustee’s report

Objectives and activities:

The charity has direct contact with Muslim communities throughout the UK. It makes use of these contacts to listen to and understand the issues, concerns, and problems of the communities. The charity endeavours to respond to the points raised by the communities by identifying projects, acquiring necessary resources including the raising of funds to run these projects.

These activities of the charity are not confined to England only but also cover Scotland and Wales. In Scotland the charity has two main branches in Glasgow (North and South Glasgow) and a small centre in Airdrie providing facilities. In Wales, the charity has a centre in Cardiff which caters for the needs of the local community as well as a newly purchased centre in Haverford West.

Financial Review

The results of UKIM are shown in the attached financial statements. The net surplus for the year was £4,718,789 (2022: £3,943,546) as detailed in the Statement of Financial Activities.

At the end of the year total reserves were £43,339,438 (2022: £38,620,649), of which £14,547,072 (2022: £10,674,683) can be realised without disposing of tangible fixed assets.

International Programmes

Internationally, the Charity focused on high priority areas in line with Sustainable Development Goals (SDGs): During the current period, the UK and rest of the world faced the COVID-19 pandemic, the Charity launched a COVID-19 Emergency Fund to provide support to a number of projects responding to the crisis across the globe.

In 2022-2023 UKIM delivered 73 projects in several countries varying from water and sanitation, health care, seasonal food programmes, winter, emergency responses, education, profile-based projects, general development initiatives, and livelihood projects.

The following is the snapshot of major projects carried out under different categories:

Emergency Response 2022/23 :

UKIM successfully delivered emergency response and rehabilitation projects within 3 countries (Pakistan, Afghanistan and Turkey), focusing on areas such as the rehabilitation of flood and earthquake survivors through food security and construction. The response involved providing victims and their families items such as food parcels, blankets, clothing and tents, ensuring they had access to the bare necessities. In total, these projects supported around 124,801 vulnerable beneficiaries with humanitarian aid.

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UK Islamic Mission – Financial Statements & Trustee’s report

Seasonal Food Programme:

UKIM conducts multiple seasonal food programmes throughout the year targeting the most vulnerable people around the world and bringing happiness and unity to many communities. In 2022/2023, UKIM supported over 336,522 food deprived people across Asia, Africa and the Middle East in 17 different countries.

The programme consisted of the provision of food baskets/packs for families, hot meals, fresh meat to cook and other nutritional assistance. The work was implemented during special Islamic seasons such as Ramadan (Iftaar & Suhoor meals) and Eid Al-Adha (Qurbani), advocating food security and assistance and promoting unity amongst beneficiaries.

During this year, UKIM also supported beneficiaries in areas that align well with the Seasonal Food Programme such as providing Eid gifts to vulnerable children to ensure they enjoy Eid celebrations despite their difficult situation. Additionally, UKIM have helped establish a Relief Bakery in Yemen which provided over 600 families their daily supply of bread during project implementation. This was seen as a successful multi-purpose project, as not only did it enhance food security amongst vulnerable groups in Yemen, it also supported the local labour force and productivity by providing work opportunities for Yemeni citizens.

Winter Response:

Over the last year, UKIM has provided winter response projects across four countries: Palestine, Pakistan, Lebanon and Yemen. This response has successfully supported over 15,947 beneficiaries with multiple winter essentials such as cooking/heating fuel, warm clothing and blankets so that they may survive the harshness of the winter.

Profile-Based (individual sponsorship) Programmes 2022/23:

All profile-based projects were delivered successfully- community centres, water wells, water hand pumps, and child sponsorship. UKIM successfully supported the construction of 53 community centres in multiple countries such as Palestine, Sierra Leone, Pakistan and Bangladesh to be used as a convenience place for local communities for the purposes of prayer and religious education.

UKIM’s WASH programmes – UKIM has reached over 94,635 individuals in different countries and provided access to clean, and safe drinking water. Some noticeable examples include:

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UK Islamic Mission – Financial Statements & Trustee’s report

Children Programmes :

Over the last financial year, UKIM has carried out noticeably impactful work within their children focussed programmes that have reached far and wide around the globe covering countries such as Pakistan, Bangladesh, Somalia and many more. The programmes implemented have covered some much-required areas such as Hifz Quran, Orphan Sponsorship, children with disabilities, Adopt a Family and Thalassemia. Some appreciable examples of the specific work and impact include (but not limited to):

Over 333 children in Sierra Leonne attend the Hifz Programme with over 10 students completing their Hifz in the last quarter of 2022

Orphan Sponsorship programme in Gaza, Palestine successfully improved the lives of over 277 children and their mothers (where relevant) through food security (by way of food vouchers), physical and mental health care, educational follow-ups and the proper nutritional intake

In Pakistan, over 1,600 children with disabilities to date have been successfully rehabilitated through education, social inclusion, and social cohesion, with many of them being mainstreamed, partially or fully included in regular classes.

Having positively impacted thousands of vulnerable children (over 3,024 in Term 2 of 2022) and indirect beneficiaries with the support of their donors, it is evident that UKIM has managed to bring about a positive impact to children across the world.

Clean Energy:

UKIM has also supported the idea of alternate renewable energy by implementing a solar system for a girl’s school based in Pakistan. This system has provided continuous and uninterrupted energy to 440 beneficiaries and has successfully promoted education through institutional based climate change adaptation and alternate energy resources.

Education: Facilitation of education by expanding structures and constructing new education institutes and improving existing facilities in Pakistan, Palestine, and Yemen. UKIM also provided school kits and solar lanterns to children in Gaza & Syrian refugees in Lebanon.

UKIM supported higher education by providing scholarship for students who came from disadvantaged families in Pakistan. Furthermore, UKIM has also sponsored several school projects, 6

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UK Islamic Mission – Financial Statements & Trustee’s report

of which that have a high number of minority students, supporting ‘education for all’. Through these education programmes, UKIM made a positive difference to the lives of 26,287 children.

----- Start of picture text -----
SPEND BY PURPOSE
Winter Packs
Wash 2% Afghanistan Relief
Turkiye Relief
1% 8% 3%
Raamadhan+Eid gifts
7% Children Programmes
17%
Qurbani
14%
Community
Centre/Build a Masjid
Palestine Relief 19%
3%
Pakistan Relief
3%
Food Relief Flood Relief
6% 17%
----- End of picture text -----

SPEND BY COUNTRY

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UK Islamic Mission – Financial Statements & Trustee’s report

UK Programmes

The UKIM has 51 branches and operates and runs 17 Islamic centres and 34 mosques spanning the length and scope of the United Kingdom including Branches in Scotland and Wales. On weekly basis we have between 60,000 to 70,000 Muslims attending prayers and activities in the UKIM mosques as well as 6000 children enrolled in our supplementary schools.

The charity is uniquely placed as it has direct contact with Muslim communities throughout the UK. It makes use of these contacts to listen to and understand the issues, concerns, and problems of these communities. The charity endeavours to respond to the points raised by the communities by identifying projects, acquiring necessary resources including the raising of funds to run these projects.

The UK Islamic Mission primarily works to provide services and leadership to the Muslim community. The services are delivered through educational, youth, community, welfare, and relief projects. The Charity provides the following types of activities:

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UK Islamic Mission – Financial Statements & Trustee’s report

When planning the activities for the year, the charity has considered the Charity Commission's general guidance on public benefit and in particular its supplementary public guidance on charities for the advancement of religion for the public benefit. The beneficiaries of the charity vary greatly. A large focus is on the members of the Muslim community as well as local institutions, though not exclusively, and those in need around the world. Members of the wider communities are also assisted by way of our projects. Mosque facilities are provided for the community and cater for their spiritual, moral, and social needs.

Achievements and performance:

The charity carries out a wide range of activities in pursuance of its charitable aims. The activities provide benefit both to those who worship at our Mosques or use our centres throughout the UK, and the wider community. The centres that have been established throughout the country serve as places for congregational prayers, study of Islam, education of children and youth, raising funds for various projects based in the UK as well as welfare and relief projects internationally, community health events and interfaith gatherings, lectures, and indoor sports. In many of the branches of the charity, improvement, redevelopment, and capacity expansion building work is ongoing.

In the UK, some of our branches have continued to offer food for the needy, some by way of foodbanks at their centres and others as periodical donations via partners such as local homeless charities.

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UK Islamic Mission – Financial Statements & Trustee’s report

Furthermore; UKIM centres and volunteers have organised community litter picks, arranged for volunteers to assist in our projects, provided thousands of hot meals, winter kits to the needy and homeless, helped raise aspirations for our young children in socially deprived areas through our Duke of Edinburgh, iAspire and Scouts activities, delivered seminars online and in person for the community, distributed over 4000 Qurans and free literature to non-Muslims, as well opened doors of UKIM mosques as part of ‘VisitmyMosque’ campaign by Muslim Council of Britain. Our mosques and volunteers also participated in community iftar’s that invited people from all walks of life to share in the breaking of the Ramadan fast with food, and raised awareness of community issues such as fostering in our communities.

Moving forward: UK Programmes Team:

Moving forward the charity established a central UK Programmes team. The Programmes Team’s role is to provide support to all our mosques, centres and branches with the aim of supporting:

a) Mosque Improvement that will enable mosques to self-assess and then be audited and supported to ensure legal compliance, quality service delivery and outcomes for attendees and service users

b) Masjid Connect initiative that will act as a secretariat to mosques and branches through providing training, support and resources

c) establish a much-needed Muslim Think Tank called European Institute of Islamic Sciences. Which will develop thought and solutions to issues impacting Muslim communities including addressing growing social care needs of Muslim older people, high divorce rates, emerging new technologies such as AI and how this will impact Muslim communities as well as many other issues.

Finding practical and policy solutions to these issues is imperative for the wellbeing of the Muslim community. It is the charities desire to ensure that Muslim communities are supported to learn about the issues and then supported to develop and possess capacity to address issues.

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UK Islamic Mission – Financial Statements & Trustee’s report

The recruitment for the UK programmes team has just begun and we anticipate that the Programme will impact all the above work streams and focussed priorities to be able to provide updates in the coming year.

Marketing and Fundraising

As a grassroots-level charity, our approach to fundraising has been diverse and dynamic, encompassing a spectrum of channels. These channels include powerful television and radio appeals that have touched the hearts of viewers and listeners, strategically crafted digital media campaigns that have resonated with online audiences, thoughtfully designed print media publications that have conveyed our mission, active and impactful engagement across various social media platforms, and the successful orchestration of community events that have fostered a sense of unity and purpose.

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UK Islamic Mission – Financial Statements & Trustee’s report

The true highlight of our fundraising journey, however, lies in the response we've received from our compassionate and generous community. Their unwavering commitment and solidarity have translated into an outpouring of support that has, quite literally, saved lives. These critical funds have played an instrumental role in addressing pressing humanitarian needs. We've been able to provide access to clean water, which is a fundamental right, and ensure quality education to empower future generations. Moreover, our ability to swiftly respond to emergencies, such as the Pakistan Flood and Turkey earthquake, has been bolstered by the financial resources generated through these fundraising efforts. Additionally, we've been able to uphold food security for refugees in dire need, offering a lifeline to those facing immense challenges.

As we reflect on our accomplishments, we want to emphasize our unwavering dedication to our mission. We recognize that none of this would be possible without the profound trust and boundless generosity exhibited by our donors and supporters. Their belief in our cause and their commitment

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UK Islamic Mission – Financial Statements & Trustee’s report

to making a tangible impact continue to be our driving force. We remain deeply committed to our mission, ever grateful for the opportunity to serve and uplift those in need, and resolute in our determination to forge a brighter, more equitable future for all.

Trustees' responsibilities statement

The trustees 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).

The law applicable to charities in England, Wales and Scotland requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that period.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, Charities and Trustees Investments (Scotland) Act 2005, the Charity Accounts (Scotland) Regulations 2006 (as amended), and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Mr Mohammad Sajjad Amin

General Secretary

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UK Islamic Mission

Independent Auditor's Report to the Members of UK Islamic Mission (continued)

Year ended 31 March 2023

Independent Audit

Opinion

We have audited the financial statements of UK Islamic Mission (the 'charity') for the year ended 31 March 2023 which comprise the statement of financial activities, statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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's 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 financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

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UK Islamic Mission

Independent Auditor's Report to the Members of UK Islamic Mission (continued)

Year ended 31 March 2023

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement, 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.

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UK Islamic Mission – Financial Statements & Trustee’s report

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Acts and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud.

Our approach was as follows:

To identify risks of material misstatement due to irregularities we assessed events or conditions that could lead to irregularities. Our risk assessment procedures included:

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience through discussion with the Trustees and management (as required by auditing standards). We communicated with the Trustees and management the policies and procedures in place regarding compliance with laws and regulations.

We identified the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that relate to the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Charities Act 2011, The Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and the Republic of Ireland (the SORP), and relevant tax legislation.

In addition, we have considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Charity's ability to operate or to avoid a material penalty. We identified the following areas as those most likely to have such an effect: health and safety and employment law, recognising the nature of the Charity’s activities and its legal form. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and management and inspection of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed to us or evident from relevant correspondence, an audit cannot be relied upon to detect that breach.

We communicated identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

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UK Islamic Mission – Financial Statements & Trustee’s report

Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above and assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

The engagement partner considers the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations.

As required by auditing standards and considering possible pressures to meet internal key performance indicators and our knowledge of the control environment, we perform procedures to address the risk of management override of controls and the risk of fraudulent revenue recognition, in particular the risk that income is recorded in the incorrect accounting period and the risk that management may be able to make inappropriate accounting entries.

We assessed the risks of material misstatement in respect of fraud as follows:

Based on the results of our risk assessment we designed our audit procedures to identify and to address material misstatements in relation to fraud, including, designing appropriate audit procedures, including:

We considered the extent to which the audit was considered capable of detecting irregularities: There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentation, or through collusion.

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

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UK Islamic Mission – Financial Statements & Trustee’s report

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

A further description of our responsibilities is available on the FRC’s website at: https://www.frc.org.uk/auditorsresponsibilitie. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity's members, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008 and regulations made under section 154 of that Act, and Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity's members 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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.

24 Wandsworth Road London SW8 2JW

SBM Associates Limited Chartered accountants & statutory auditor

29 December 2023

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UK Islamic Mission – Financial Statements & Trustee’s report

Statements of Financial Activities

2023 2022
Unrestricted Restricted
funds funds Total funds Total funds
Note £ £ £ £
Income and endowments
Donations and legacies 4 6,797,705 5,932,132 12,729,837 12,144,223
Other trading activities 5 15,789 – 15,789 42,158
Investment income 6 816,480 – 816,480 459,596
Other income 7 – – – 18,112
----------------------------------------------- ----------------------------------------------- ---------------------------------------------------- ----------------------------------------------------
Total income 7,629,974 5,932,132 13,562,106 12,664,089
=============================================== =============================================== ==================================================== ====================================================
Expenditure
Expenditure on charitable activities 8,9 (5,154,272) (3,932,843) (9,087,115) (9,135,223)
----------------------------------------------- ----------------------------------------------- ---------------------------------------------------- ----------------------------------------------------
Total expenditure (5,154,272) (3,932,843) (9,087,115) (9,135,223)
=============================================== =============================================== ==================================================== ====================================================
Net gains on investments 11 243,798 – 243,798 414,680
----------------------------------------------- ----------------------------------------------- ---------------------------------------------------- ----------------------------------------------------
Net income 2,719,500 1,999,289 4,718,789 3,943,546
=============================================== =============================================== ==================================================== ====================================================
Transfers between funds (96,322) 96,322 – –
----------------------------------------------- ----------------------------------------------- ---------------------------------------------------- ----------------------------------------------------
Net movement in funds 2,623,178 2,095,611 4,718,789 3,943,546
Reconciliation of funds
Total funds brought forward 32,620,436 6,000,213 38,620,649 34,677,103
---------------------------------------------------- ----------------------------------------------- ---------------------------------------------------- ----------------------------------------------------
Total funds carried forward 35,243,614 8,095,824 43,339,438 38,620,649
==================================================== =============================================== ==================================================== ====================================================

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

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UK Islamic Mission

Statement of Financial Position

31 March 2023

2023 2022
Note £ £ £
Fixed assets
Intangible assets 16 – 16,440
Tangible fixed assets 17 28,792,366 27,945,966
Investments 18 3,500,000 3,256,202
---------------------------------------------------- ----------------------------------------------------
32,292,366 31,218,608
Current assets
Stocks 19 70,000 73,500
Debtors 20 944,625 1,044,596
Cash at bank and in hand 11,737,499 7,965,392
---------------------------------------------------- -----------------------------------------------
12,752,124 9,083,488
Creditors: amounts falling due within one year 22 1,705,051 1,681,446
---------------------------------------------------- -----------------------------------------------
Net current assets 11,047,073 7,402,042
---------------------------------------------------- ----------------------------------------------------
Total assets less current liabilities 43,339,439 38,620,650
---------------------------------------------------- ----------------------------------------------------
Net assets 43,339,439 38,620,650
==================================================== ====================================================
Funds of the charity
Restricted funds 8,095,824 6,000,213
Unrestricted funds 35,243,614 32,620,436
---------------------------------------------------- ----------------------------------------------------
Total charity funds 24 43,339,438
====================================================		 38,620,649
====================================================

These financial statements were approved by the board of trustees and authorised for issue on 26th December 2023, and are signed on behalf of the board by:

Mr. Tayyab Raza Khan Trustee

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UK Islamic Mission

Statement of Cash Flows

Year ended 31 March 2023

2023 2022
£ £
Cash flows from operating activities
Net income 4,718,789 3,943,546
Adjustments for:
Depreciation of tangible fixed assets 819,693 752,159
Amortisation of intangible assets 16,440 16,800
Net gains on investments (243,798) (414,680)
Dividends, interest and rents from investments (816,160) (458,237)
Other interest receivable and similar income (320) (1,359)
Accrued (income)/expenses (9,976) 2,190
Changes in:
Stocks 3,500 (3,500)
Trade and other debtors 99,971 107,875
Trade and other creditors 33,581 (13,776)
----------------------------------------------- -----------------------------------------------
Cash generated from operations 4,621,720 3,931,018
Interest received 320 1,359
----------------------------------------------- -----------------------------------------------
Net cash from operating activities 4,622,040 3,932,377
=============================================== ===============================================
Cash flows from investing activities
Dividends, interest and rents from investments 816,160 458,237
Purchase of tangible assets (1,666,093) (1,431,914)
Purchases of other investments – (370,462)
----------------------------------------------- -----------------------------------------------
Net cash used in investing activities (849,933) (1,344,139)
=============================================== ===============================================
Net increase in cash and cash equivalents 3,772,107 2,588,238
Cash and cash equivalents at beginning of year 7,965,392 5,377,154
---------------------------------------------------- -----------------------------------------------
Cash and cash equivalents at end of year 11,737,499
====================================================		 7,965,392
===============================================

- 23 -

UK Islamic Mission

Notes to the Financial Statements

Year ended 31 March 2023

1. General information

The charity is a public benefit entity and a registered charity in England, Wales and Scotland and is unincorporated. The address of the principal office is 202 North Gower Street, London, NW1 2LY.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act 2011, Charities and Trustee Investment (Scotland) Act 2005 and the Charity Accounts (Scotland) Regulations 2006 (as amended).

3. Accounting policies

Debtors

Debtors are stated at their net realisable value after allowing for bad and doubtful debts.

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Cash and bank

Cash in hand includes all cash balances held by the branches as at the year end to be deposited into the bank just after the year end or to be used to cash payments. Whilst bank balance includes all balances held in all the bank accounts by all the branches as at the year end.

Going concern

There are no material uncertainties about the charity's ability to continue.

Creditors

All creditors are stated at their contractually agreed value in the accounts.

Realised gains and losses

All investments properties are valued by the trustees at the balance sheet date to their fair value. All realised gains and losses are accounted for in the financial year in the statement of financial activities.

- 24 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

Disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102: Disclosures in respect of financial instruments have not been presented.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Examples of these include the depreciation policy, the allocation of projects costs to the different funds.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes. Designated funds are unrestricted funds earmarked by the trustees for a particular future project or commitment. Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds. Non- distributable reserves are revaluation surpluses arising on the valuation of investment properties not sold.

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

- 25 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

3. Accounting policies (continued)

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Intangible assets

Intangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated amortisation and impairment losses.

Amortisation

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:

Development Costs

If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.

Tangible assets

All fixed assets are initially recorded at cost. The Company, UK Islamic Mission, acts as a titleholder to the properties on behalf of this charity, and that the company acknowledges without reservation that the properties are beneficially owned by UK Islamic Mission charity. A few of the properties acquired many years ago are still in the name of the trustees, who were trustees at the time the properties were acquired. They are being transferred to the limited Company UK Islamic Mission.

- 26 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

3. Accounting policies (continued)

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Investments

Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses.

Investment property

Investment property is initially recorded at cost, which includes purchase price and any directly attributable expenditure.

Investment property is revalued to its fair value at each reporting date and any changes in fair value are recognised in income or expenditure.

If a reliable measure of fair value is no longer available without undue cost or effort for an item of investment property, it shall be transferred to tangible assets and treated as such until it is expected that fair value will be reliably measurable on an on-going basis.

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

- 27 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

3. Accounting policies (continued)

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition.

4. Donations and legacies

Unrestricted Restricted Total Funds
Funds Funds 2023
£ £ £
Donations
General Funds 6,797,705 – 6,797,704
All other Relief Funds – 1,628,936 1,628,936
Orphans Project – 562,916 562,916
Education Project – 1,411,379 1,411,379
Qurbani Project – 363,672 363,672
Food Program – 208,502 208,502
Water Projects – 310,994 310,994
Pakistan Relief – 666,083 666,083
Health Project – 39,558 39,558
Yemen Project – 26,031 26,031
Community Centres – 664,500 664,500
Palestine Project – 49,561 49,562
----------------------------------------------- ----------------------------------------------- ----------------------------------------------------
6,797,705 5,932,132 12,729,837
=============================================== =============================================== ====================================================
Unrestricted Restricted Total Funds
Funds Funds 2022
£ £ £
Donations
General Funds 7,306,448 – 7,306,445
All other Relief Funds – 1,472,017 1,472,017
Orphans Project – 488,194 488,194
Education Project – 640,066 640,066
Qurbani Project – 414,054 414,054
Food Program – 335,330 335,330
Water Projects – 300,496 300,496
Pakistan Relief – – –
Health Project – 85,963 85,963
Yemen Project – 4,421 4,421
Community Centres – 770,444 770,444
Palestine Project – 326,790 326,793
----------------------------------------------- ----------------------------------------------- ----------------------------------------------------
7,306,448 4,837,775 12,144,223
=============================================== =============================================== ====================================================

- 28 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

5. Other trading activities

Other trading activities
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Fundraising events 15,789 15,789 42,158 42,158
=============================== =============================== =============================== ===============================
nvestment income
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Income from investment properties 816,160 816,160 458,237 458,237
Bank interest receivable 320 320 1,359 1,359
------------------------------------ ------------------------------------ ------------------------------------ ------------------------------------
816,480
====================================		 816,480
====================================		 459,596
====================================		 459,596
====================================

6. Investment income

7. Other income

Other income
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Other income – – 18,112 18,112
================ ================ =============================== ===============================

- 29 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

8. Expenditure on charitable activities by fund type

Unrestricted Restricted Total Funds
Funds Funds 2023
£ £ £
Education and Mosque 2,779,126 – 2,779,126
General Donations 340,888 – 340,888
Qurbani Project – 361,223 361,223
Community Centres – 392,925 392,925
Pakistan Relief Project – – –
Health Project – – –
Food Program – 331,938 331,938
All Other Reliefs & Restricted Funds – 723,286 723,286
Water Projects – 176,511 176,511
Orphans Projects – 169,224 169,224
Education Project – 279,902 279,902
Pakistan Relief Project – 522,998 522,998
Support costs 2,034,258 974,836 3,009,094
----------------------------------------------- ----------------------------------------------- -----------------------------------------------
5,154,272 3,932,843 9,087,115
=============================================== =============================================== ===============================================
Unrestricted Restricted Total Funds
Funds Funds 2022
£ £ £
Education and Mosque 2,460,065 – 2,460,065
General Donations 1,491,870 – 1,491,870
Qurbani Project – 366,789 366,789
Community Centres – 436,325 436,325
Yemen Project – 140,139 140,139
Health Project – 67,300 67,300
Food Program – 102,057 102,057
All Other Reliefs & Restricted Funds – 942,534 942,534
Water Projects – 177,278 177,278
Orphans Projects – 319,011 319,011
Education Project – 455,570 455,570
Pakistan Relief Project – – –
Support costs 1,132,136 1,044,149 2,176,285
----------------------------------------------- ----------------------------------------------- -----------------------------------------------
5,084,071 4,051,152 9,135,223
=============================================== =============================================== ===============================================

- 30 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

9. Expenditure on charitable activities by activity type

Activities
undertaken Total funds Total fund
directly Support costs 2023 2022
£ £ £ £
Education and Mosque 2,779,126 1,825,110 4,604,236 3,374,410
General Donations 340,888 – 340,888 1,491,870
Qurbani Project 361,223 74,528 435,751 463,614
Community Centres 392,925 115,649 508,574 617,134
Yemen Project – – – 216,843
Health Project – 8,938 8,938 87,440
Food Program 331,938 73,184 405,122 180,814
All Other Reliefs & Restricted Funds 723,286 249,372 972,658 1,197,970
Water Projects 176,511 60,280 236,791 248,463
Orphans Projects 169,224 102,036 271,260 433,599
Education Project 279,902 98,932 378,834 605,275
Pakistan Relief Project 522,998 191,917 714,915 –
Governance costs – 209,148 209,148 217,791
----------------------------------------------- ----------------------------------------------- ----------------------------------------------- -----------------------------------------------
6,078,021 3,009,094 9,087,115 9,135,223
=============================================== =============================================== =============================================== ===============================================

10. Analysis of support costs

Education
& Mosque Qurbani Community Food All Other Water
Project Project Centres Program Reliefs Project
£ £ £ £ £ £
Staff costs 42,939 26,220 40,686 25,747 87,731 21,207
Premises 1,458,054 27,392 42,506 26,898 91,655 22,156
General office 284,311 15,571 24,162 15,290 52,101 12,595
Finance costs 39,806 5,345 8,295 5,249 17,885 4,322
Governance costs 209,148 – – – – –
----------------------------------------------- ------------------------------- ------------------------------------ ------------------------------- ------------------------------------ -------------------------------
2,034,258 74,528 115,649 73,184 249,372 60,280
=============================================== =============================== ==================================== =============================== ==================================== ===============================
Pakistan
Orphans Education Relief Health
Project Project Project Project Total 2023 Total 2022
£ £ £ £ £ £
Staff costs 35,897 34,805 67,518 3,145 385,895 458,059
Premises 37,503 36,362 70,538 3,285 1,816,349 1,035,037
General office 21,319 20,670 40,098 1,867 487,984 330,751
Finance costs 7,317 7,095 13,763 641 109,718 134,647
Governance costs – – – – 209,148 217,791
------------------------------------ ------------------------------- ------------------------------------ -------------------------- ----------------------------------------------- -----------------------------------------------
102,036
====================================		 98,932
===============================		 191,917
====================================		 8,938
==========================		 3,009,094
===============================================		 2,176,285
===============================================

- 31 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

11. Net gains on investments

Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Gains/(losses) on investment property 243,798 243,798 414,680 414,680
==================================== ==================================== ==================================== ====================================

12. Net income

Net income is stated after charging/(crediting):

Net income is stated after charging/(crediting):
2023 2022
£ £
Amortisation of intangible assets 16,440 16,800
Depreciation of tangible fixed assets 819,693 752,159
Fees payable for the audit of the financial statements 12,500
====================================		 10,950
====================================

13. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as The total staff costs and employee benefits for the reporting period are analysed as follows:
2023 2022
£ £
Wages and salaries 2,144,677 1,937,518
Social security costs 125,283 141,209
Employer contributions to pension plans 24,778 28,356
Other employee benefits 7,632 15,832
----------------------------------------------- -----------------------------------------------
2,302,370
===============================================		 2,122,915
===============================================

The average head count of employees during the year was 86 (2022: 78). The average number of full-time equivalent employees during the year is analysed as follows:

2023 2022
No. No.
Number of staff - Teachers 40 39
Number of staff - Admin 26 25
Number of staff - Imams 20 14
---------------- ----------------
86 78
================ ================

No employee received employee benefits of more than £60,000 during the year (2022: Nil).

14. Trustee remuneration and expenses

No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.

The charity has paid travelling expenses to attend meetings to one or more trustees. The total expenses paid in the year were £16,142 (2022: £5,576).

- 32 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

15. Transfers between funds

The balances on the Qurbani project, Food Program and Pakistan Relief Project were in deficit due to the allocation of the fundraising costs. Consequently, the trustees decided to transfer sufficient funds from the general funds account to eliminate the deficit on these funds. This required a transfer of £48,834 into the Pakistan Relief Project, £41,705 into the Food Program and £5,783 into the Qurbani Project (2022: £638 into the Health project).

16. Intangible assets

Developmen
t costs
£
Cost
At 1 April 2022 and 31 March 2023 83,400
===============================
Amortisation
At 1 April 2022 66,960
Charge for the year 16,440
-------------------------------
At 31 March 2023 83,400
===============================
Carrying amount
At 31 March 2023 –
===============================
At 31 March 2022 16,440
===============================

17. Tangible fixed assets

Land and Fixtures and Motor
buildings fittings vehicles Total
£ £ £ £
Cost
At 1 April 2022 34,776,755 2,632,733 4,230 37,413,718
Additions 1,336,687 329,406 – 1,666,093
---------------------------------------------------- ----------------------------------------------- -------------------------- ----------------------------------------------------
At 31 March 2023 36,113,442 2,962,139 4,230 39,079,811
==================================================== =============================================== ========================== ====================================================
Depreciation
At 1 April 2022 7,156,094 2,307,428 4,230 9,467,752
Charge for the year 721,486 98,207 – 819,693
---------------------------------------------------- ----------------------------------------------- -------------------------- ----------------------------------------------------
At 31 March 2023 7,877,580 2,405,635 4,230 10,287,445
==================================================== =============================================== ========================== ====================================================
Carrying amount
At 31 March 2023 28,235,862 556,504 – 28,792,366
==================================================== =============================================== ========================== ====================================================
At 31 March 2022 27,620,661 325,305 – 27,945,966
==================================================== =============================================== ========================== ====================================================

- 33 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

18. Investments

Investment
properties
£
Cost or valuation
At 1 April 2022 3,256,202
Additions –
Fair value movements 243,798
-----------------------------------------------
At 31 March 2023 3,500,000
===============================================
Impairment
At 1 April 2022 and 31 March 2023
Carrying amount
At 31 March 2023 3,500,000
===============================================
At 31 March 2022 3,256,202
===============================================
The above carrying amounts are recognised as follows:
Investment
properties
£
At 31 March 2023
Held at fair value 3,500,000
Held at historical cost less impairment –
===============================================
At 31 March 2022
Held at fair value 3,256,202
Held at historical cost less impairment –
===============================================

Investment properties

Investment Properties have been valued as follows: -

a. All the investment properties were valued at open market by the Trustees using an online tool.

19. Stocks

2023 2022
£ £
Books for sale 70,000 73,500
=============================== ===============================

- 34 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

20. Debtors

2023 2022
£ £
Loans Given 57,952 57,952
Gift aid receivable 886,673 986,644
------------------------------------ -----------------------------------------------
944,625 1,044,596
==================================== ===============================================

Debtors are stated at their net realisable value after allowing for bad and doubtful debts.

21. Cash and cash equivalents

Cash in hand includes all cash balances held by the branches as at the year end to be deposited into the bank just after the year end or to be used to cash payments. Whilst bank balance includes all balances held in all the bank accounts by all the branches as at the year end.

22. Creditors: amounts falling due within one year

2023 2022
£ £
Accruals and deferred income 23,155 33,131
Social security and other taxes 12,255 2,789
Credit Card 13,208 2,410
3rd Party Loans 1,656,433 1,643,116
----------------------------------------------- -----------------------------------------------
1,705,051 1,681,446
=============================================== ===============================================

All creditors are stated at their contractually agreed value in the accounts.

23. Pensions and other post-retirement benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £24,778 (2022: £28,356).

- 35 -

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

24. Analysis of charitable funds

Unrestricted funds

At
At Gains and
31 Mar 202
1 Apr 2022 Income Expenditure Transfers losses 3
£ £ £ £ £ £
General funds 32,620,436 7,629,974 (5,154,272) (96,322) 243,798 35,243,614
==================================================== =============================================== =============================================== =============================== ==================================== ====================================================
At
At Gains and
31 Mar 202
1 Apr 2021 Income Expenditure Transfers losses 2
£ £ £ £ £ £
General funds 29,464,151 7,826,314 (5,084,071) (638) 414,680 32,620,436
==================================================== =============================================== =============================================== ================ ==================================== ====================================================
Restricted funds
At
At Gains and
31 Mar 202
1 Apr 2022 Income Expenditure Transfers losses 3
£ £ £ £ £ £
– – – – – –
Food Program 154,915 208,502 (405,122) 41,705 – –
Water Projects 75,784 310,994 (236,792) – – 149,986
Education Project 411,340 1,411,379 (378,834) – – 1,443,885
All Other
Restricted Funds 4,655,911 1,628,932 (972,661) 185,541 – 5,497,730
Qurbani Project 66,296 363,673 (435,752) 5,783 – –
Orphans Projects 339,228 562,917 (271,262) – – 630,883
Community
Centres 186,792 664,500 (508,573) – – 342,719
Health Project – 39,558 (8,938) – – 30,620
Yemen Project – 26,031 – (26,031) – –
Palestine Project 109,947 49,563 – (159,510) – –
Pakistan Relief
Project – 666,083 (714,917) 48,834 – –
----------------------------------------------- ----------------------------------------------- ----------------------------------------------- ------------------------------------ ---------------- -----------------------------------------------
6,000,213 5,932,132 (3,932,843) 96,322 – 8,095,824
=============================================== =============================================== =============================================== ==================================== ================ ===============================================

Restricted funds

- 36 -

At
At Gains and 31 Mar 202
1 Apr 2021 Income Expenditure Transfers losses 2
£ £ £ £ £ £
– – – – – –
Food Program 399 335,330 (180,814) – – 154,915
Water Projects 23,751 300,496 (248,463) – – 75,784
Education Project 376,549 640,066 (605,275) – – 411,340
All Other
Restricted Funds 4,292,716 1,472,017 (1,197,970) 89,148 – 4,655,911
Qurbani Project 115,856 414,054 (463,614) – – 66,296
Orphans Projects 284,633 488,194 (433,599) – – 339,228
Community
Centres 33,482 770,444 (617,134) – – 186,792
Health Project 839 85,963 (87,440) 638 – –
Yemen Project 84,727 4,421 – (89,148) – –
Palestine Project – 326,790 (216,843) – – 109,947
Pakistan Relief
Project – – – – – –
----------------------------------------------- ----------------------------------------------- ----------------------------------------------- ------------------------------- ---------------- -----------------------------------------------
5,212,952 4,837,775 (4,051,152) 638 – 6,000,213
=============================================== =============================================== =============================================== =============================== ================ ===============================================

The purpose of each of the funds is as follows: -

Qurbani Project - This is the annual sacrifice of animals by Muslims worldwide as part of their religious requirement. The meat is then distributed to the poor people locally.

Education Project - Funds for the education of children, usually orphans who struggle to find support locally.

Orphans Project - Funds to provide for shelter, clothing and food for orphans worldwide.

Community Centres - to provide Community Centres, Mosques etc. wherever needed by the local community.

Water Project - Funds to provide water to those deprived by putting in wells etc, also clean water to others.

Food Program - Funds utilised to provide Food to all those deprived of this basic need.

Pakistan Relief Project - Funds utilised to provide Food, shelter and other basic needs to the Pakistan Flood victims.

All Other Restricted Funds - This comprises over 80 other restricted funds collected for various purposes - all related to removing human sufferings, provide shelter, clothing and food, clean water, education facilities, establish work for people to look after themselves.

During the year £281,863 (2022: £638) was transferred from unrestricted funds to restricted funds when the trustees agreed to make additional payments in respect of projects funded primarily from specific restricted funds.

During the year £26,031 (2022: £89,148) was transferred from restricted funds to unrestricted funds in respect of the Yemen project, and a further £159,510 (2022: £nil) was transferred from restricted funds to unrestricted funds in respect of the Palestine project. The transfers were made as the funds were originally misallocated, and have now been transferred to the correct funds.

UK Islamic Mission

Notes to the Financial Statements (continued)

Year ended 31 March 2023

25. Analysis of net assets between funds

Unrestricted Restricted Total Funds
Funds Funds 2023
£ £ £
Intangible assets – – –
Tangible fixed assets 25,933,556 2,858,809 28,792,365
Investments 3,500,000 – 3,500,000
Current assets 7,515,109 5,237,015 12,752,124
Creditors less than 1 year (1,705,051) – (1,705,051)
---------------------------------------------------- ----------------------------------------------- ----------------------------------------------------
Net assets 35,243,614 8,095,824 43,339,438
==================================================== =============================================== ====================================================
Unrestricted Restricted Total Funds
Funds Funds 2022
£ £ £
Intangible assets 16,440 – 16,440
Tangible fixed assets 25,724,440 2,221,526 27,945,966
Investments 3,256,202 – 3,256,202
Current assets 5,304,801 3,778,687 9,083,488
Creditors less than 1 year (1,681,447) – (1,681,447)
---------------------------------------------------- ----------------------------------------------- ----------------------------------------------------
Net assets 32,620,436 6,000,213 38,620,649
==================================================== =============================================== ====================================================
26. Analysis of changes in net debt
At At
1 Apr 2022 Cash flows 31 Mar 2023
£ £ £
Cash at bank and in hand 7,965,392
===============================================		 3,772,107
===============================================		 11,737,499
====================================================

27. Related parties

No transactions with related parties were undertaken such as are required to be disclosed under Financial Reporting Standard 102.

Draft Accounts

15:24 on 30 October 2023

- 2 -