Company Number: 00947096 Charity Number: 259140 Northern Ballet Limited Report of the Trustees and Financial Statements For the year ended 31 March 2024 Northern Ballet Limited Company information Company Registration Number.. 00947096 Charity Registration Number: 259140 Registered Office: 2 St Cecilia Street Quarry Hill Leeds LS2 7PA Royal Patron: HRH The Duke of Edinburgh Trustees: Mr Guido Perricone Ms Carol Arrowsmith Cllr Judith Blake (resigned 21 July 2024) Mr Sonny Hanley Mr Jolyon Harrison Mrs Elizabeth Jackson Mr Clive Lloyd Mr Philip Keller Mrs Kyla Mullins Mr Kevin O'Hare Mrs Kate Fisher (Appointed I September 2023) Mr Andrew McNaught (Appointed I September 20231 Cornpany Secretary: Mrs Ameena Bradford (Appointed 17 July 20231 Artistic Director: Mr Federico Bonnelli Chief Executive: Mr Tobias Perkins (Interim l October 2022 to 14th June 2023) Mr David Collins Bankers: Lloyds Bank PIC 65-6S Briggate Leeds LSI 6LH Solicitors: Wrigleys Solicitors LLP 3rd Floor 3 Wellington Street Leeds LSI 4AP Auditors: Azets Audit Services Limited 12 King Street Leeds LSI 2HL Northern Ballet Limited Index to the financial statements Page Chair's Report Report of the Trustees............................................................................................. Independent Auditor's Report................................................................................. 14 Consolidated Statement of Financial Activities 17 Consolidated Balance Sheet 18 Company Balance Sheet . 19 Consolidated Statement of Cashflows . -20 Notes to the Financial Statements........................................................................... 21 Northern Ballet Limited Report of the Trustees for the year ended 31 March 2024 Chair's report This year saw the first season fully programmed by Northern Ballet's new Art15tic Director Federico Bonelli, reaching large audiences across the country and featuring a mixture of new work both championing emerging choreographic talent and bringing back much-loved revivals of seminal repertoire. At the same time, through the work of the Academy of Northern Ballet and our extensive Learning programme, over 40,000 people of all abilities and ages danced with us through one of our participatory programmes. The three objectives of our Artistic Vision underpinned our work in the year.. Creating stories that connect Developing new artists & voices Sharing the joy of dance Creating stories that connect At the heart of Northern Ballet is our work creating and touring narrative ballets to towns and cities acro55 the UK, this year giving 151 performances across 35 venues. The year began with a sell-out week at Sadler's Wells with The Great Gatsby, followed by a hugely successful autumn tour of Beauty & the Beast in Nottingham, Norwich and Newcastle before The Nutcracker played in Leeds over the festive period. Also in the autumn, Generations.. Three Short Ballets saw new works by American ballet superstar Tiler Peck and Royal Sallet Soloist Benjamin Ella performed alongside a masterpiece of modern ballet by Hans van Manen In Leeds and London. In March 2024, the Company focused on reviving Christopher Gable's seminal production of Flomeo & Juliet in Leeds before a national tour. With the production having been destroyed by a flood in 2016, teams across the Company lovingly restored and re-made the original sets and costumes. Meanwhile our dancers were joined by members of the original cast to help re-create the magic of this timeless story through dance. Across the year, our incredibly popular children's ballets Ugly Duckling and Tortoise & the Hare toured widely, with 22,000 young people in theatres, community settings and schools enjoying a formative ballet experience. Developlng new artlsts & volces In creating stories that resonate with audiences, the Company is focused on developing new artists and voices. Our Sketches choreographic workshop saw four Company dancers and two guest choreographers create a diverse roster of new pieces. An increasing focus on inclusive dance saw members of "Ability", our dance group for adults with learning disabilities, work with Company dancers for the first time to create a new film, Every Little Thing is a Change. That experience led to two members of the group appearing in the Leeds run of Romeo & Juliet, and we are intent on building on these foundations in future years to explore how a classical ballet company can fully embrace inclusive dance prartice. The Academy of Northern Ballet continued to provide a centre of excellence for young dancers In the North of England, with 71 stLJdents attending our Centre for Advanced Training and 18 on the Graduate Course. Additionally, our Associate Programme engaged 120 dancers, and we remain committed to ensuring access to training is available to all through our-spottedl" outreach schools programme and through bursaries, making the Academy available to people of all backgrounds. Sharing the Joy of Dance 1,350 people of all ages and ability participated in our Open Programme, from children aged 18 months to our ever-popular Over 55s classes. Our inclusive dance programme included not just Ability, but also-ln Motion~ for those dancing in wheelchairs, and we once again hosted Expressions, our annual festival of inclusive dance which sees groups from across the country sharing their work. Northern Ballet Limited Report of the Trustees for the year ended 31 Mareh 2024 (continued) Through our groundbreaking Learning team, we delivered participatory workshops in schools across the North of England, including RISE in 7 Leeds Primary Schools. Key Stage 2 pupils take part in 10 weekly classes with a dance artist as part of their core curriculum, using ballet and creative movement to explore their mental and physical health and wellbeing. This year the programme was joined by"RISE & SHINE" with a programme of work launched in SEND school settings, generously supported by the Paul Hamlyn Foundation. Flnanclal Reslllence Underpinning our work throughout this year has been a focus on establishing long-term financial resilience and stability following a period of turbulent adjustment post-COVID. Audiences continue to demonstrate an appetite for the Company's work, with good ticket sales across the board, and our fundraising income has built on the previous year. Alongside these revenue pillars, the year has seen us work hard to control and reduce overhead costs against Inflationary pressures, ensuring resource is focused on delivering core activity as efficiently and effectively as possible. As with many organisations, we are facing a period of economic challenges.. higher costs due to inflation, significant increases in costs of utilities, rates and materials, as well as a challenging income environment with added pressure on box office and fundraising targets. A robust business plan coupled with strong financial management will continue to remain a focus. In an economic landscape that remains very challenging, it is inevitable that some of the choices made to achieve financial resilience have been difficult. However, our focus is on ensuring the long- term stability and success of the Northern Ballet, so that audiences and participants of all ages can continue to enjoy and access our work. We are as ever grateful for the continued support of our major funders, Arts CoLJncil England and Leeds City Council, for recognising and supporting the influential role Northern Ballet plays in the cultural life of our home city Leeds, the North of England and nationally as one of the most prolific touring dance companies in the UK. They are joined in their support by our many corporate, private and trust funders, led by the generosity of the Liz & Terry Bramall Foundation, the Keith Howard FoLJndation and Mrs. Aud lebsen. We offer our heartfelt thanks to all those who support Northern Ballet. Across the two financial years 22123 and 23124, the overall result was a deficit of £212k, but we are confident that the changes we are making to the shape of the business are building long-term sustainability. For the financial year 23124, we were able to improve from the deficit position of the previous two years by achieving a surplus of £1,037k. The strong result this year was enhanced by one-off recalculation of the Theatre Tax Relief, including a review of backdated claims, and by a redurtion in overheads and touring. To reduce costs, touring artivity was restrirted to 153 performances in the year. In the coming financial year, we will be returning to our core schedule and plan to deliver 214 performances across the UK. All Arts organisations in the UK operating at similar scale to Northem Ballet are grateful for the government's encouragement to invest in work via the Theatre Tax Relief. However, it should be noted the rate at which we are able to claim Theatre Tax Relief will reduce in future years. Building on this year's positive result, we will move forward with a balanced budget for 24125 with the confidence to increase our touring weeks and plan for the creation of new productions in future seasons. The outlook remains challengingft and we will continue to need to make significant operational changes in order to maintain long term financial viabilityi whilst ensuring audiences across the UK can enjoy the thrill of live ballet. In concluding this report, I would like to thank my fellow trustees for their support and continued stewardship of Northern Ballet it is a pleasure and a privilege to work with them. Finallyi I would like to thank the incredible team at Northern Ballet - management, all staff, musicians and of course our dancers for their exceptional dedication and commitment as we look to evolve the Company to meet the challenges of the future with confidence, innovation and creativity. Northern Ballet Limited Report of the Trustees for the year ended 31 Mareh 2024 (continued) Report of the Trustees The Trustees of Northern Ballet Limited {'Northern Ballet, or 'the Company'l are pleased to present their annual report together (including the strategic report) with the consolidated financial Statements of the Group for the year ended 31 March 2024 which are prepared to meet the requirements for a report of the trustees and accounts under the Companies Act 2006. Administration pages form part of this report. The financial statements comply with the Charities Act 2011, the Companies Art 2006, the Memorandum and Articles of Association, and Accounting and Reporting by Charities.. SORP (FRS1021 (section edition October 20201. The Group comprises Northern Ballet Limited and its subsidiaries Info Display Limited, Northern Sallet Productions Limited and Northern Ballet Theatre Company (Property) Limited. Info Display Limited is a non-charitable leaflet distribution company for the arts and heritage sector. Northern Ballet Produrtions Limited is a non-charitable company which develops and produces ballets for theatre and cinema. Northem Ballet Theatre Company (Property) Limited is dormant. Objectives and activities of Northern Ballet The objects of the Company can be summarised as follows- To produce and perform ballets To advance education in the arts The Company is a narrative classical ballet company which tours extensively throughout the UK and, when the opportunities arise, overseas. From its home in Leeds, the Company provides classical ballet training and learning experiences to the community as a whole. Its home since 2010 has been a seven-studio dance centre in the heart of Leeds with a studio dance theatre, the Stanley and Audrey Burton Theatre. Alongside our main and children's ballet tours we also work with schools and children in the local area, offering collaborative projects and introductions to Ballet for many as well as more formal Ballet education. Public Benefit In shaping Northern Ballet's objectives for the year and planning Northern Ballet's activities, the Trustees have considered the Charity Commission's guidance on public benefit, in particular the guidance on public benefit and the charging of fees. The Company relies on box office income, grants and income from fees and sponsorship to cover its operational costs. In setting the level of ticket prices, fees, charges and concessions, the Trustees give careful consideration to the accessibility of all activities for those on low incotnes. Activities of Northern Ballet in the year Performances The Company performed 4 separate main-scale productions, The Great Gatsby, Beauty & The Beast, The Nutcracker and Romeo & Juliet. These productions toured to 5 different venues across 53 performances. In addition, our mixed programme Three Short Ballets had 12 performances in Leeds and London. Artistic Values Northern Ballet aims to create new main stage and children's story ballets that connert with audiences of all ages, touring widely across the UK and internationally. We seek to champion new and diverse voices to tell stories that reflert those audiences as we develop the next generation of artists. Our work is founded on the excellence of our dancers, and we seek to enrich and challenge them through the rehearsal and presentation of a wide ranging repertoire. Children's Ballets The year saw two children's ballets, Ugly Duckling and Tortoise & the Hare , which went on to be performed 93 times across two tours to 21 venues across the UK, from school halls to community centres and theatres. Northern Ballet Limited Report of the Trustees for the year ended 31 March 2024 (continued) Volunteers Northern Ballet uses volunteers where possible for performances in the Stanley and Aubrey Burton Theatre at Quarry Hill. This enables Northern Ballet to utilise the experience and passion of our supporters to deliver an enhanced experience for attendees. Learning Northern 8allet works with people of all ages and backgrounds to encourage interest and enthusiasm for dance and theatre. The Learning Department delivered workshop5 and projects in Leeds and the wider Yorkshire region, as well as a programme of work at the theatres on the national tour. Over the year, we delivered 614 sessions reaching 11,770 people. In autumn 2023 we delivered the Rise project at 7 schools with a total of 321 pupils each taking part in 10 sessions and visiting Leeds Grand Theatre to watch Northern Ballet's The Nutcracker. Thanks to funding from The Paul Hamlyn Foundation, we begin delivery of a 2-year pilot project, Rise & Shine, in 3 schools. This new project works with pupils with profound and multiple disabilities to enable them to access the work of Northern 8allet and use dance as a tool to express themselves and communicate in different ways. 29 children aged under 5 took part in our Live Early Years projects acmss 2 Children's Centres. We also delivered a new pilot digital project to engage with Early Years settings in the North East, supported by the NHS Child Health and Wellbeing Network. 5 centres participated in the pilot, with 56 children taking part, this project is being evaluated by the University of Newcastle. Over the course of the year, Northern Ballet delivered Ability, a dance course for adults with learning disabilities (36 sessions), In Motion 110 sessions) a project for wheelchair users, ad Dance for Parkinsons130 sessions). We also held 4 performances of Expressions, a dance platform for disabled dancers which also included a CPD workshop for dance prartitioners, collaborative workshops for community groups led by disabled dancers, and performances from the UK'S leading inclLJsive dance company, Candoco. 2 disabled dancers from our Ability course joined the cast of Romeo & juliet in 3 performances at Leeds Grand Theatre this is the first time learning disabled dancers have joined the Company in a main-scale production. There were 8 audio described performances across the UK and we audio described all digital creations. We also audio described our Children's Ballet for the first time, with an accompanying touch tour. The Learning Department also supported the Children's Ballet programme by holding outreach workshops in children's centres, libraries, community centres and schools across the country. 149 free outreach sessions were delivered with 3,291 participants. The Academy Northern Ballet's Academy provides high quality dance training for childreni young people and adults catering for all levels of ability from vocational dance training to open classes for recreation and fitness. In 2023124 we delivered 2,213 sessions across the variou5 programmes, reaching 5,398 people. We delivered 62 free Spottedl workshops in 16 schools across West Yorkshire, introducing 1,657 children to ballet for the first time, and highlighting the various programmes available to them to further engage in ballet. 6 children from our Open Programme took part in Fiomeo & Juliet performances at Leeds Grand Theatre. 24 students on our CAT {Centre for Advanced Training) programme joined Northern Ballet Company dancers on stage at Leeds Grand Theatre to perform in The Nutcracker, and those who reached the end of their training with us in summer 2023 went on to gain coveted places at top vocational schools including The Royal Conservatoire of Scotland and Elmhurst Ballet School. Students from the Professional Graduate Progratnme performed across the UK with the Company. Northern Ballet Limited Report of the Trustees for the year ended 31 March 2024 (continued) We held four'Pop-Up' workshops in 2023-24 inspired by Northern Ballet productions, The Nutcracker and Romeo & Juliet, and also delivered a Masterclass Pop Up with Northern Ballet CAT alumni, and Royal Ballet Company Dancer, Charlotte Tonkinson. In total, 72 children and 52 adults took part, and thoroughly enjoyed their experience. Info Display Limited Info Display Limited I'lnfo Display'l was a wholly owned subsidiary of Northern Ballet distributing leaflets for the arts and heritage sector in Yorkshire and Humberside. Due to a challenging operating environment post Covid-19 Info Display entered into voluntary liquidation on 15the December 2023. Northern Ballet Productions Limited Northern 8allet Productions Limited is a wholly owned subsidiary of Northern Ballet. It develops and produces ballets. The activities of the company are consolidated within the financial statements for the year ended 31 March 2024. For details of Northern Sallet Productions, trading and net assets see Note 17 to the financial statements. Fundraising Northern Ballet pursues a broad approach to fundraisingi drawn from private giving and corporate organisations alongside Trusts and Foundations. Northern Ballet benefits from the significant support provided by a wide range of individuals and entities without whose support we could not carry out the diverse range of activities we currently offer. The Development team within Northern Ballet are responsible for the fundraising activities across the organisation. All Northern Ballet's fundraising conforms to best practice within the sector as well as General Data Protection Regulations IGDPR) ensuring that individuals can opt out from any of our campaigns. Stakeholders Our stakeholders support our Charitable Activities. In addition to the funding received from Arts Council England and Leeds City Council {see Page 91, Northern Ballet raises funds from grant income, sponsorship, and donations to support Its vibrant programme of performances, learning activities and classical dance training. Northern Ballet has enjoyed long term support from public entities, including through the Arts Council England and Leeds City Council. The combined support from public entities represents 480/0 (2023.. 470/0) of Northern 8allet's income In the year (See Financial Review Pages 8 and 9). Northern Ballet is very grateful for the steadfast support from our Patrons, Benefactors and Donors who have made donations over the last 12 months. We are so grateful to the Trusts and Foundations who have supported the Company over past year and to our two key corporate sponsors SG Kleinwort Hambros and Close Brothers Asset Management. Their support has played a crucial role in enabling us to deliver several innovative and inspiring projects across many areas of our work including learning, accessibility, productions and the Academy of Northem Ballet. With thanks to every Trust and FoLJndation who has given us a gift or grant over the past year and special thanks to the following organisations.. The Keith Howard Foundation The Liz and Terry Bramall FoLJndation The Linbury Trust The Paul Hamlyn Foundation The Leverhulme Trust The Foyle Foundation The Dorfman Foundation Aud lebsen's generous support for Federico Bonelli's position Northern Ballet Limited Report of the Trustees for the year ended 31 March 2024 (continued) strategic Report The Strategic Report incorporates the following sections.. the Financial Review, the Future and Risk Management. Financial review: Trading Results for the year ended 3 1 March 2024 are shown in the Consolidated Statement of Financial Activities on Page 17. The assets and liabilities as at 3 1 March 2024 are shown in the Consolidated Balance Sheet on Page 18. The financial statements Should be read in conjunction with their related notes, which appear on Pages 21 to 39 and have been prepared in accordance with relevant law and the Charities Statement of Recommended Practice IFRS 1021 October 2020 edition. In summaryi Group net loutgoingl/incoming resources for the year were £1,036,905 (2023.. (£1,268,623)) including £1,036,969 12023.. 1£1,475,54511 relating to the Company. Of this surplus, a proportion was transferred to designated funds leaving a surplus of general funds of £636k in the year. Within this value, £131,813 {2023'. £131,813} represents the net outgoing movement on The Building Project Fund within restritted reserves (note 25). All funding received to support the Quarry Hill building was placed in the restricted fund and is matched by the asset constructed. The annual depreciation cost for the Quarry Hill building of £131,813 will be charged against the restricted fund over 99 years. The company contributes to a define benefit scheme, Pension Scheme for Administration and Technical Staff in the Arts" and is liable for its share of the deficit in this scehem, An estimate of Northern Ballets share of the liability is recorded on the Salance Sheet with any changes in valuation reflected in the Profits and Loss account each year. The liability in 2024 was £466k, a movement of £47k net expense from 2023. The net movement in the prior year was £214k. These costs impact the surplus or deficit in that relevant period. The reduced net movement of £167k in 2023124 has had a favourable impart on the Company's net position. However, this Is a non-cash item and does not represent an inflow of cash during the year after net position. Details relating to this pension are disclosed in note 27 of these financial statements. Northern Ballet generated approximately 524/0 (2023.. 52a/ol of Its income from operations. The table below sets out the key fundraising income received in the year. Group Fundralslng In¢om¢ - Major Funders and Others Increase/ 22123 (decrease) £'ooo É'ooo 3,169 120 397 13011 170 968 23124 £'ooo 3,289 96 170 Arts Council England - National Portfolio Arts Council England Other Leeds City Council Performances and Touring 418 236 23124 22123 Increase/ (decrease) Average Theatre Occupancy Main Tour Number of UK Performances on Main Tour Number of UK Children's Performances Ticket Yield - Main Tour Ticket Yield Child￿n,5 8allets 770/0 66 93 £37 £10 68¥0 133 81 £31 £7 1421 12 £6 £3 Income D/0 Public Funding 0/0 Generated Income 480/0 520/0 480/0 520/0 Northern Ballet Limited Report of the Trustees for the year ended 31 Mareh 2024 (continued) Pricing poli¢y To view our programme and for fuller details of ticket prices and discount terms and conditions visit our web site www.northernballet.com. Ticket prices range from £2 to £75 with significant discounts available for children, schools, groups and concessions. The Future: Activities for 2024125 The 2024 season will see a national tOLJr of Romeo & luliet through the Spring and ALJtLJmn including two-week run at the Royal Shakespeare Theatre in Stratford-upon-Avon, where the production will be re-staged for the unique thrust stage auditorium. In the Spring the Company will tour internationally for the first time since COVID, with Beauty & the Beast playing at the Capitol Theatre in Ghent before it returns to the UK to conclude its tour at the Leeds Grand Theatre. In September Three Short Ballets sees two new works presented alongside a modern classic, with Mthuthuzeli November returning to work with company to create a new piece inspired by Romeo & Juliet, while Kristen McNally will work with Joe Powell-main, a disabled dancer who uses wheels and crutches, to create a new trio with two company dancers. The winter season sees the revival of another seminal Northern Ballet production in A Christmas Carol followed in the Spring by the acclaimed Jane Eyre. Funding Arts Council England confirmed continued NPO {National Portfolio Organisation) status to cover the 2023-2026 years. Earlier this year ACE extended the agreement for a further year, from l April 2026 to 3 1 March 2027. This is based on OLJr national main-scale tOLJring model supported by our POPLJlar children's tour. Risk Management: General The Trustees have considered the major risks to which the Group is exposed and satisfied themselves that systems or procedures are established to manage those risks. The Trustees have in place a formal risk management process to assess risks and implement risk management strategies. A risk register identifies the types of risks the Group faces, prioritises them in terms of likelihood of occurrence and potential impart and Identifies the means of mitigating those risks. The Risk Register is created by the senior management team and reviewed by the Trustees bi-annually at the Finance and Audit Committee meetings. Using the framework of the Business Plan the risk register considers governance, charitable and trading activities, external factors and compliance with law and regulations. The following key risks have been identified. Charitable Risk The business plan aims to develop the use of digital media to engage with current, new, and existing audiences. There is a risk that the General Data Protection Regulations, IGDPRI restrictions on collecting data will significantly limit the Group's ability to develop and maintain audiences. This has been mitigated by the creation of a GDPR Working Group under which data management is reviewed and a new membership scheme has been created. The business plan aims to deliver qualityi Sustainable arts programmes, the Charity carries out a broad programme of work with children and vulnerable adults,. as a result, there is an inherent risk of a child protection failing. The Charity has mitigated this risk by creating a Safeguarding Committee and a Safeguarding Policy which is ratified by the Board of Trustees. All employees working with children and vulnerable adults receive Child Protection Screening. External Risk The business plan aims to review and develop internal IT systems to ensLJre excellence and efficiency. The Charity recognises that there is a risk that a data breach may OCCLJr because of malicious action. Northern Ballet mitigates these risks by maintaining IT systems, protertive software, and staff training. Northern Ballet Limited Report of the Trustees for the year ended 31 Mareh 2024 (continued) Financial Risk The main risks arising from the Group's financial instruments are credit and liquidity risk and risks related to rising rates of inflation. The Trustees review and agree policies for managing each of these risks and they are summarised below. These policies have remained unchanged from previous years. Liquidity Risk The Group seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs. Short-tertn flexibility is achieved through available cash balances and a strong relationship with its bank Lloyds Bank plc. Credit risk The Company's principal financial assets are cash and trade debtors. The credit risk associated with cash is managed by rigorous management of cash flow and detailed budgeting. The Trustees review the current cash flow and cash flow forecasts at each board meeting. The Development team maintain close contact with all donors and sponsors providing ongoing reassurance over pledged donations or sponsorships and their likeliness of receipt. This provides confidence over fundraising targets and 'eady-warning" should pledges be withdrawn. other trade debtors include theatres, corporate sponsors, rental space hire and academy fees. Contractual agreements between theatres, corporate sponsors and space rental set the limits for these debtors. The Financial Manager reviews all outstanding debtors on a regular basis and prompt action is taken to ensure recovery of any outstanding debt. Reserve Policy Reserves are needed to bridge the gap between the spending and receiving of resources and to cover unplanned emergency and other expenditure. In the short term the Company must plan for periods with reduced income for example when it is not touring. It must also consider the longer- term plan which will include investment in productions and assets which are required for the company to move forward into future years. The board closely monitors the reserve position. Occasionally Northern Ballet may breach its reserve policy and in such instances The Board will take corrective action to return reserves to the expected level. The Company's reserve policy is to seek to hold approximately 8 weeks of planned income as cash. This target is currently £1, 184,590 (2023.. £ 1,184,590). Reserves are currently below target but there are plans in place to address this position. Northern Ballet considers it important that a charitable company should utilise its assets and resource5 to the full to achieve its charitable purposes. At the same time Tru5tee5 are mindful of their responsibility to ensure that Northern Sallet is a going concern. The Trustees are aware of the challenges for a charity in times of uncertain funding and consequently aim to build the Company's resilience. An investment fund has been created into which any legacy received by Northern Ballet will be placed. Resources are managed and committed within a framework of ffinancial planning that ensures the Company has both sufficient reserves and liquid resources to fulfil the commitments that it enters into. The Group's Un￿strICted reserves at 31 March 2024 were £3,032,226 (Re-stated 2023.. £1,957,893). Total reserves for the Group were £14,405,528 (Re-stated 2023.. £13,368,623) (Note 25) of which £1 1,373,302 (Re-stated 2023.. £11,410,730} is attributable to restricted reserves. Within restricted reserves a balance of £11,270,603 -Note 25 (2023.. £11,402,416) relates to the building project fund. Group balance sheet at 31 March 2024 shows net current assets of £2,760,297 (2023.. £1,558,950) and bank balances of £1,088,423 12023: É412,8991- Free reserves are £2,268,484 12023.. £1,114,222). Detailed analysis of the Group's reserves can be found in the Consolidated Statement of Financial Activities (Page 191 and note 25 to the accounts. They are considered adequate in the context of the Group's future plans as set out above. io Northern Ballet Limited Report of the Trustees for the year ended 31 Mareh 2024 (continued) Investment At 31 March 2024, Northem Ballet held investment funds to the value of £Nil (22123.. £nil}. Trustees The Trustees in office throughout the year, and their interests in the ordinary shares of Northern Ballet at the relevant dates, as recorded in the register maintained by the Company in accordance with the provisions of the Companies Act, these were unchanged with all shares held by the Chairman. The trustees are also directors of Northern Ballet within the meaning of the Companies Act 2006. Appolntment of Trustees The Company aims to create a diverse Board with a broad mix of skills and experiences, with members drawn from a wide cross section of society. Trustees rotate on a regular basis to ensure that the board regularly receives the injection of fresh ideas and enthusiasm. The Nominations Committee Monitors Trustees, skills and identifies skill gaps. Prospertive Trustees are identified by search, which could include introduction, recommendation, or advert15ement. Candidates are invited to meet the Nominations Committee and Senior Management Team before recommendations are made to the Board. The Induction Process ensures that all new Trustees receive a copy of the Company's governing document, statutory accounts, and recent minutes of Trustees meetings together with other current printed details. Trustees are encouraged to visit Northern Ballet to get to know employees and gain a better understanding of day-to-day activities. Trustees are also encouraged to attend all new ballet productions. Governance and Decision Making Northern Ballet is a company limited by share capital, but where each Trustee has undertaken to contribute a maximum of £10 in the event of wind up, and is a registered charity, number 259140. The governing documents are the Memorandum and Articles of Association which were revised and adopted at the Annual General Meeting on 3 December 2014. The revised Memorandum and Articles aimed to make the governance of the Company flexible and efficient,. fit for purpose as a charity. To this end all the issued shares of the Company were transferred to the Chair of the Company who holds them in trust. The body responsible for the management of the Company is the Board of Trustees. The Board meets four times a year. It has a minimLJm of four members. There are sub-committees covering finance and general purposes, audit, nominations, and remuneration. Trustees are appointed to the Board for generally a period of six years. Trustees are aware of the Charity Commission Charity Governance Code's recommendations regarding the length of time The Chief Executive, Artistic Director, and Company Secretary attend meetings of the board of Trustees. The Chief Executive and Artlstic Director manage the day-to-day operations of the Company. The overall control of Northern Ballet rests with the Trustees. Executive Remuneration Northern Ballet's principle is to pay its executives a fair salary that is competitive within the charity sector, proportionate to the complexity of each role, and responsible in line with its charitable objectives. The Board of Trustees defines the pay policy and decides on the salaries of the Chief Executive and the Artistic Director. To do this, the Board has formed a Remuneration Committee. This committee oversees administration of the pay policy, evaluates executive performance, and decides on any changes to executive pay. The committee meets at least twice a year. Details of executive remuneration are set out in note 13 to the accounts. Northern Ballet Limited Report of the Trustees for the year ended 31 Mareh 2024 (continued) Related Parties None of the Trustees receive remuneration or other benefit frorn their work with the Company. Trustees may make a claim for expenses incurred or professional services. Any connection between a Trustee or senior tnanager of the Group with a related party must be disclosed to the full Board of Trustees. Trustees are able to purchase tickets for performances at normal commercial terms i.e. no beneficial rates due to being a Trustee. Trustees Responslbllltles Statement The Trustees (who are also dirertors of Northern Ballet Limited for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and regulations. Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including FRS 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland. 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 the income and expenditure, of the charitable group for that period. In preparing these financial statements, the trustees are required to.. select suitable accounting policies and then apply them consistently. observe the methods and principles in the Charities SORP IFRS 1021. make judgements and accounting estimates that are reasonable and prudent. state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements,. and prepare the financial statements on the going concern basis unle55 it is inappropriate to presume that the charitable group will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company to enable them to ensure that the financial statements comply with the Companies Art 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 confirm that.. so far as each trLJStee is aware, there is no relevant audit information of which the charitable company's aLJditor is unaware. and The Trustees have taken all steps that they ought to have taken as trustees in order to make themselves aware of any relevant audit information and to establish that the charitable company's auditor is aware of that information. The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation In other jurisdictions. Internal Controls The Trustees have overall responsibility for the system of intemal control for the Group. Internal Control processes implemented by the Trustees are as follows.. A comprehensive annual planning and budgeting process, which is approved by the Board of Trustees. Reports are made to the Board of Trustees at each meetingi which compare actual results against the phased budget and forecast- Production of a detailed business plan which is regularly reviewed- A Finance & Audit Committee which holds meetings at least three times a year. The Finance & Audit Committee reports directly to the Board of Trustees; Delegation of authority and segregation of duties,. Identification and management of risk. 12 Northern Ballet Limited Report of the Trustees for the year ended 31 Mareh 2024 (continued) Goin9 ¢on¢ern The Board are aware that the current economic uncertainties may have an impact on the financial succe55 of the Group. In preparing the budgets and forecasts, the Board consider the repertoire, with the aitn to plan a mix of productions which includes a popular Christmas season to generate significant box office income. The Arts Council England (ACE) funding contributes a significant element of the Group's income and has been secured for a three-year period for a further year to 31 March 2027. Hence the￿ is no risk to going concern status linked to this income. The Soard have reviewed sensitised cash flows to satisfy themselves that the company has adequate cash resources to remain sustainable. Current and future trading levels have been analysed and The Board are satisfied that the box office Income projections used in the cash flows do not contain material uncertainty. This is Informed by comparisons with historic booking trends and the advance bookings which are exceeding original projections. They will continue to carefully monitor activity in the year and, should box office income fall short of target levels, steps will be taken to reduce Company costs accordingly. After their review, the Board has a reasonable expectation that the Company and Group have adequate resources to Continue in operational existence for the foreseeable future, being a period of not less than twelve months after the date on which the report and financial statements are approved and covering the period to 31 March 2026. For this reason, it continues to adopt the going concern basis of preparation in the financial statements. Auditors A2ets Audit Services Limited were appointed auditor to the Company and in accordance with Sertion 485 of the Companies Act 2006. In approving the Report of the Trustees, the Trustees are also approving the Strategic Report in their capacity as company directors. 4w+?ty P8rr(¢è* Mr Guido Perricone Chair 13 Northern Ballet Limited Independent auditor's report to the members of Northern Ballet Limited Opinion We have audited the financial statements of Northem Ballet Limited (the 'parent charitable company,) for the year ended 31 March 2024 which comprise the consolidated statement of financial activities, the consolidated and company balance sheet, the consolidated cash flow statement 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 applicable law and UK Accounting Standards, including Financial Reporting Standard 102.. The Financial Reporting Standard applicable in the UK and Republic of Ireland (UK Generally Accepted Accounting Practice). In our opinion, the financial statements: give a true and fair view of the state of the charitable company's affairs as at 31 March 2024 and of its income and expenditure for the year then ended; have been properly prepared in accordance with UK Generally Accepted Accounting Practice; and have been prepared in accordance with the requirements of the Companies Art 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) IISAS {UKII and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements sertion of our report. We are independent of the charitable company in accordan￿ 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 collectivelyi may cast significant doubt on the charitable company'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. 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 contained within the annual report. 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 conclu510n 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 tnisstatement of this other information, we are required to report that fact. We have nothing to report in this regard. 14 Northern Ballet Limited Independent auditor's report to the members of Northern Ballet Limited Opinion on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Trustees, report and strategic report for the financial year for which the financial statements are prepared is consistent with the financial statements. and the Trustees, report and strategic report have been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees. report or the strategic report. We have nothing to report in respert of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kept or retums adequate for our audit have not been received from branches not visited by us; the financial statements are not in agreement with the accounting records and returns,. certain disclosures of Trustees, remuneration specified by law are not made,. or we have not received all the information and explanations we require for our audit. Responsibilities of the 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 they 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 charitable company's ability to continue as a going concern, disclosingi as applicable, matters related to going concern and using the going concern basis of accounting unle55 the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do 50. Our responsibilities for the audit of the financial statement5 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 {UKI 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. A further description of our responsibilities for the audit of the financial statements is located on the FRC'S website www.frc.or uditorsres onsibilities. This description forms part of our auditor's report. Extent to which the audit was considered capable of identifyin9 irregularities, including fraud 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 misstatetnents in respect of irregularities, including fraud. We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity Is complying with that framework. Based on this understanding, we identify and asses5 the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence 15 Northern Ballet Limited Independent auditor's report to the members of Northern Ballet Limited that is sufficient and appmpriate to provide a basis for our opinion. This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud. In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included: Enquiry of management and those charged with governance around artual and potential litigation and claims as well as actual, suspected and alleged fraud,. Reviewing minutes of meetings of those charged with governance. Assessing the extent of compliance with the laws and regulations considered to have a direct material effect on the financial statements or the operations of the company through enquiry and inspection,. Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations- Performing audit work over the risk of management bias and override of controls, including testing of joumal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for indicators of potential bias. Performing audit work over the timing and recognition of revenue and in particular whether it has been recorded in the correct accounting period. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgeryi intentional omissions, misrepresentations, or the override of internal control. Use of our report This report is made solely to the charitable company'5 members, as a bodyi 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 Charitable Company'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 Charitable Company's members as a bodyi for our audit work, for this report, or for the opinions we have formed. Jossi6a LaM/f6n66 Jessica Lawrence Senior Statutory Auditor 1511012024 For and on behalf of Azet5 Audit Services Limited statutory Auditor 12 King Street Leeds LSI 2HL 16 Northern Ballet Limited Consolidated statement of financial activities (including consolidated income and expenditure account) Continuing Continuing Discontinued Operations Operations Operations Unrestricted Restricted Unrestricted Total FundsTotal Funds funds funds fund$ 2024 2023 Note INCOME Income from donations and legacies Income from trading activities Income from charitable activities Investment income Total income 4,401,557 539,933 4,941,490 4,704,714 183,986 2,140,424 671 6,726,638 163,842 347,828 434,958 2,140,424 2,886,183 671 1, 187 7,430,413 8,027,042 539,933 163,842 EXPENDITURE Expenditure on ralslng funds Fundraising Building Leaflet distribution 294,688 819,422 294,688 980,607 136,096 1,411,391 392,407 438,952 309,851 1,141,210 161,185 136,096 136,096 1,114,110 161,185 Expendlture on charltable activities Touring Academy {classical training) 5,769,493 323,987 6,093,480 344,351 71,825 416,176 6,113,844 8,636,684 395,812 442,299 6,509,656 9,078,983 Total expendlture Taxation Theatre tax relief income 7,207,590 577,361 136,096 7,921,047 10,220,193 1 527 539 1,527,539 1 527 539 1,527,539 944 444 944,444 Net Income/(Expenditure) 1,046,587 {37,428) 27,746 1,036,905 (1,248,707) Other recognised gains Fair value loss on investments Profit on sale of fixed assets 17 125,258) 5,342 119,916) Net movement in funds 1,046,587 {37,428) 27,746 1,036,905 (1,268,623) Reconciliation of funds Total funds brought forward 25 1,994,722 11,410,730 (36,829) 13,368,623 14,637,246 Total funds carried forward 25 3,041,309 11,373,302 (9,083) 14,405,528 13,368,623 The above results are derived frotn both continuing operations and one discontinued operation. The consolidated statement of financial activities includes all gain and losses recognised in the year. Flefer to note 17 for information regarding the Charitable Company's financial activities. Refer to note 31 for full comparative Consolidated statement of financial activities. The accompanying notes on pages 21 39 form part of these financial statements. 17 Northern Ballet Limited Consolidated balance sheet 2024 Restated 2023 Note Fixed assets Tangible assets 15 12,034,345 12,246,130 12,034,345 12,246,130 Current assets stocks Debtors Cash at bank and in hand Is 19 22,161 3,285,273 1,088,423 4,395,857 24,603 2,336,568 412,899 2,774,070 Creditors: amounts falling due within one year 20 (1,635,560) (1,215,120) Net current assets 2,760,297 1,558,950 Total a5set5 les5 current liabilities 14,794,642 13,805,080 Creditors: arnounts falling due after one year 21 (389,114) {436,4141 Net assets 14,405,528 13,368,666 Called up share capital 24 29 29 Capital redemption reserve 25 14 14 Income funds Restrirted funds 25 11,373,302 11,410,730 Unrestricted funds evalLJation reserve Designated reserves Other charitable funds 356,473 400,000 2,275,710 1,601,420 14,405,528 13,368,666 356,473 25 1411012024 These financial statements were approved by the Board of Trustees on......................and signed on their behalf by.. Mr Guy Perricone Trustee Company number- 00947096 The accompanying notes on pages 21 39 form part of these financial statements. 18 Northern Ballet Limited Company balance sheet 2024 Restated 2023 Note Flxed assets Tangible assets 15 12 034 345 12,034,345 12 246 130 12,246,130 Current assets Stocks Debtors Cash at bank and in hand 18 19 22, 161 4,119,412 254,283 4,395,856 24,603 2,280,920 386,020 2,691,543 Creditors: amounts falling due within one year 20 11,599,035) {1,096, 1761 Net current assets 2,796,821 1,595,367 Total assets less current liabilities 14,831,166 13,841,497 Creditors: amounts falling due after one year 21 (389, 114) (436,414) Net assets 14,442,052 13,405,083 Called up share capital 24 29 29 Capital redemption reserve 25 14 14 Income funds Restricted funds 25 11,373,302 11,410,730 Unrestricted fund5 Revaluation reserve Designated reserves other charitable funds 356,473 400,000 2,312,234 14,442,052 356,473 25 1,637,837 13,405,083 These financial statements were approved by the Board of Trustees on......................and signed on their behalf by.. Mr Guido Perricone- Trustee Company number: 00947096 The accompanying notes on pages 21 39 form part of these financial statements. 19 Northern Ballet Limited Consolidated statement of cash flows 2024 2023 Net cash flow from operating activities Net income/lexpenditurel Interest receivable Depreciation Fair value losses on unlisted investments Profit on disposal of fixed assets Decrease in stock Increase in debtors Increase in creditors Increase/{decrease) in long term creditors Net cash outflow from operating activities 1,036,862 (1,268,623) 16711 11,187) 235,156 241,106 25,258 {5,376) 2,442 1,869 (948,7051 (416,716) 420,440 182,563 (47,3001 22,836 698,224 (1,218,270) Cash flows from investing activities Proceeds from sale of fixed assets Interest received Purchase of tangible fixed assets Pmceeds from current asset investments 6,828 671 1,187 (23,3711 {150,237} 1,280,164 1, 137,942 Cash used in investing activities Decrease in cash and cash equivalent5 during the year 675,524 180,326) Cash and cash equivalents at the beginning of the year 412,899 493,227 Cash and cash equivalents at the end of the year 1,088,423 412,899 Northern Ballet Limited had no debt at any point during the current or previous financial year. The accompanying notes on pages 21 39 form part of these financial statements. 20 Northern Ballet Limited Notes to the financial statements General information Northern Ballet Limited is a charitable company incorporated in the UK and its registered office is 2 St Cecilia Street, Quarry Hill, Leeds, LS2 7PA. The principal objects of the Company are to produce and perform ballets and to advance education in the arts. Accounting policies 2.1 Basis of preparation The financial statements have been prepared under the historical cost convention, modified on occasion to include the revaluation of freehold property in 2021 and movements each year in the value of investments held. 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) (October 2020 edition) and the Companies Act 2006. The financial statements consolidate the results of the charity and its wholly owned subsidiaries on a line-by-line basis. A separate Statement of Financial Activities and Income and Expenditure Account for the charity has not been presented because the trustees have taken advantage of the exemption afforded by section 408 of the Companies Art 2006. Northern Ballet Limited meets the definition of a public benefit entity under FRS 102. The financial statements are prepared in sterlingi which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £1. Financial reporting standard 102 - reduced disclosure exemptions The Company has taken advantage of the following disclosure exemptions in preparing the company's own financial statements, as permitted by the Charities SORP IFRS 1021- requirements to prepare a Cash Flow statement,. and the requirements for certain financial instrument disclosures. Significant judgements and estimates Northern Ballet, in the process of applying its accounting policies, is required to make certain estimates, judgements and assumptions that it believes are reasonable based on the information available. Estimatesi judgements, and assumptions affect the amounts of the assets and liabilities at the date of the accounts and the amounts of income and expenditure recognised during the reporting period. On an ongoing basis, estimates are evaluated using historical experiences, consultation with experts and other methods considered reasonable in the circumstances. Actual results may differ significantly from the estimates, the effect of which is recognised in the period in which the facts that give rise to the revision become known. E5timate5: There are a number of actuarial a55UmPtions used in the quantification of the Group's defined benefit pension commitments. See below under "Defined benefit scheme" policy for further details. Judgements: Property held at Wellington Mill was valued during 202 1 by external surveyors and this valuation has been used to update the carrying value within the financial statements. This valuation is considered appropriate for this financial year. other judgements and estimates applied in the preparation of these accounts are as set out in the policies below. With the exception of those relating to pension commitments and Wellington Mill, none are considered to have a material impact on the accounts. 21 Northern Ballet Limited Notes to the financial statements (continued) Going concern The Board are aware that the current economic uncertainties may have an impact on the financial success of the Group. In preparing the budgets and forecasts, the Board consider the repertoire, with the aim to plan a mix of productions which includes a popular Christmas season to generate significant box office income. The Arts Council England (ACE) funding contributes a significant element of the Group's income and has been secured for a three-year period for a further year to 3 1 March 2027. Hence there is no risk to going concem status linked to this income. The Board have reviewed sensitised cash flows to satisfy themselves that the company has adequate cash resources to remain sustainable. Current and future trading levels have been analysed and The Board are satisfied that the box office income projections used in the cash flows do not contain material uncertainty. This is informed by comparisons with historic booking trends and the advance bookings which are exceeding original projections. They will continue to carefully monitor activity in the year and, should box office income fall short of target levels, steps will be taken to reduce Company costs accordingly. After their review, the Board has a reasonable expectation that the Company and Group have adequate resources to continue in operational existence for the foreseeable future, being a period of not less than twelve months after the date on which the report and financial statements are approved and covering the period to 31 March 2026. For this reason, it continues to adopt the going concern basis of preparation in the financial statements. Basis of con501idation The Group financial statements consolidate the financial statements of Northern Ballet Limited and all its subsidiary undertakings (note 171 drawn up to 31 March each year. Acquisitions of subsidiaries are accounted for using the purchase method. Taxation Northern Ballet is a registered charity and as such is a charity within the meaning of schedule 6 of the Finance Act 2010. Accordingly, the charity is potentially entitled to tax exemption under part i i of the Corporation Tax Act 2010 or section 256 of the Taxation of Chargeable Gain5 Act 1992 in respect of income and gains arising. Info Display Limited and Northern Ballet Productions Limited, subsidiary undertakings, undertake trading activities and are subject to corporation tax. Northern Ballet Productions Limited claims theatre tax relief on behalf of the parent. Income Income is recognised when the charity has entitlement to funds, any performance conditions attached to the items of income have been met, it is probable that the income will be received, and the amount can be measured reliably. Income from donations and legacies Grant income Income from government and other grants, whether "capital- grants or "revenue" grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it Is probable that the income will be received, and the amounts can be measured reliably and is not deferred. Income that has been deferred is recognised when the conditions required by the deferral are met, these may be timing or activity based. 22 Northern Ballet Limited Notes to the financial statements (continued) Donations and gifts All monetary donations and gifts are included in full in the statement of financial activities when receivable, provided that there is no donor-imposed restrictions as to the timing of the related expenditure, in which case recognition is deferred until the pre-condition has been met. For legacies, entitlement IS taken as the earlier of the date on which either.. the charity is aware that the probate has been granted, the estate has been finalised and notification has been made by the executorlsl to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacyi in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material. Donations under Gift Aid together with the associated income tax recoveries are credited as income when the donations are received. Income from trading activities Sponsorship Where sponsorship income is received in advance of performance, its recognition is deferred an included in creditors. Hire of Space and Facilities Income is recognised in the period in which the service is provided. Leaflet distribution Income is recognised on a straight-line basis over the period in which the service is provided. Incorne from charitable activitie5 Charitable trading income represents amounts receivable by the Group for performances {box office and programme receipts) and fees for educational activities. Such income is recognised when the associated activity is undertaken. Investment incorne Investment income, including associated income tax recoveries, is recognised when receivable. Expenses and irrecoverable VAT Expenditure, which is charyed on an accruals basis, is allocated between- Expenditure on raising funds includes all costs relating to activities where the primary aim is to raise funds, along with an apportionment of support costs, as set out in note 9 to the accounts. Expenditure on charitable activities includes all costs relating to activities relating directly to the fulfilment of the charity's objectives, with an apportionment of support costs, as set out in note 10 to the accounts. other expenditure represents those items not falling into any other heading. Irrecoverable VAT is charged as a cost against the activity for which the expenditu￿ was incurred. Support costs relate to several activities, and include functions such as administration, building costs, payroll and accounting and are allocated across the categories of charitable activities and costs of generating funds a5 set out in note 9 to the accounts. Support costs relating to a single activity are allocated directly to that activity. 23 Northern Ballet Limited Notes to the financial statements (continued) Fund accounting Restricted funds are to be used for specified purposes laid down by the donor. Expenditure for those purposes is charged to the fund, together with a fair allocation of overheads and support costs. Unrestricted funds are donations and other incoming resources received or generated for expenditure on the general objectives of the Group. Tangible fixed assets and depreciation Northern Ballet Limited has adopted a £1,000 capitalisation threshold for individual assets, although assets of lesser value should be capitalised if they form part of a group, with a group value more than £1,000. The £1,000 figure includes VAT where this is not recoverable. Info Display Limited capitalises all appropriate items with no threshold. Tangible fixed assets are stated at cost or valuation, net of depreciation and any provisions for impairment. The freehold property is stated at valuation based on a valuation performed in March 2021 (note 151 and is therefore not depreciated each year. A review is carried out each year by management to ensure the value of freehold property in the financial statements Is appropriate from which any amendment to the valuation would be made as required. A formal valuation by a real estate valuation expert will be carried out with sufficient frequency to aid in management's valuation assessments. The Leasehold Land and Buildings are the home of the Company in Leeds which has a 250-year lease with Leeds City Council. The Company moved into the building in the Autumn of 2010. From that date depreciation was charged on the asset, the asset will be written off over its estimated useful life of 99 years which is considered the appropriate time scale over which without intervention the building would cease to be useable. Depreciation is calculated to write down the cost of all tangible fixed assets by the straight-line method over the following periods.. Leasehold land and buildings Computer equipment Motor vehicles All other tangible fixed assets 99 years 3-4 years 4 years 5 years 2.10 Goodwill and amortisation Goodwill arising on an acquisition of a trade or subsidiary undertaking is the difference between the fair value of the consideration paid and the fair value of the assets and liabilities acquired. Positive goodwill is capitalised and amortised through the consolidated statement of financial activities over the Directors, estimate of its useful economic life (6 years regarding Info Display Limited). 2.11 Impairment of assets Where the recoverable amount of a fixed asset is found to be below its net book value, the asset is written down to the recoverable amount and the loss on impairment is recognised in the Statement of financial activities 'SOFA" Assessments are carried out annually with reference to the value in use andlor market value of the asset. No impairment indicators from the cur￿nt year assessment were identified. 2.12 1nve5trnents Investments in subsidiaries are measured at cost less accumulated impairment. Listed investments are measured initially at cost and subsequently at fair value through the SOFA unless fair value cannot be measured reliably in which case, they are measured at cost less accumulated impairment. 2.13 stocks stocks are stated at the lower of cost and net realisable value. 2.14 Debtors Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 24 Northern Ballet Limited Notes to the financial statements (continued) 2.15 Cash at bank and in hand Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 2.16 Creditors and provisions Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. 2.17 Financial instruments The Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value except for bank loans which are subsequently measured at amortised cost using the effertive interest method. 2.18 Pension costs Defined contribution scheme For defined contribution schemes the amount charged to the consolidated statement of financial activities in respect of pension costs is the contributions payable in the year. Differences between contributions payable in the year and contributions actually paid are shown within creditors or prepayments in the balance sheet as applicable. Defined benefit scheme The Company makes payments to a defined benefit scheme, the Pension Scheme for Administration and Technical Staff in the Arts {"the Scheme-l, which has ceased to accrue pension benefits, but which has a deficit in its fund. The Company remains liable for its portion of the deficit in the Scheme funds. The assets of the Scheme are administered by a trustee, in a fund independent from those of the Company. The Scheme is a multi-employer scheme, and the Company is unable to identify its share of the underlying assets and liabilities. There is a funding agreement in place to eliminate that element of the deficit in the Scheme which is relative to the Company. The funding liability is reassessed based on triannual actuarial valuations, with the last one being in 2022. A liability has been recognised in the balance sheet equal to the net present value of the future deficit reduction payment5. The payments are discounted to present value using the market yield on high quality corporate bonds which currently equates to 4.8Q/o. The pension costs charged to the consolidated statement of financial activities are the finance costs equal to the unwinding of the discount rate. Further details relating to this scheme are set out in note 27. Income from donations and legacies Continuing Continuing Discontinued Operations Operations Operations Unrestricted Total 2024 Total 2023 Unrestricted Restricted Grant income Arts Council England Leeds City Council 3,385,435 170,000 3,385,435 3,566,428 170,000 170,000 other income Donations and gifts Legacies 770,488 75,634 4,401,557 539,933 1,310,421 968,286 539,933 4,941,490 4,704,714 25 Northern Ballet Limited Notes to the financial statements (continued) Income from donations and legacies (continued) Donations and subscriptions Total 2024 Total 2023 Grants Analysis by income type Arts Council England Performances and touring 3,385,435 3,385,435 3,566,428 170 000 1 556 055 1 138,286 3,555,435 4,941,490 4,704,714 1 386,055 1,386,055 Income from trading activities Continuin9 Continuing Operations Operations Discontinued Operations Total 2024 Total 2023 Unrestricted Restricted Unrestricted Hire of Space and Facilities Service Agreements Leaflet Distribution 180,232 3,754 180,232 128,991 3,754 68,083 163 842 237 884 347,828 434,958 163 842 163,842 183,986 Investment income/{expenditure) 2024 2023 Investment income comprises income from- ank deposits 671 1,187 Movement in Fair ValLJe of Investments 125,2581 All the investment income is derived from assets within the UK. Income from charltable actlvltles Continuing Continuing Discontinued Operations Operations Operations Unrestrirted Restricted Unrestricted 2024 2023 Touring Learning Academy 1,621,785 58,872 459 767 2,140,424 1,621,785 2,445,305 58,872 51,931 459 767 388 947 2,140,424 2,886, 183 26 Northern Ballet Limited Notes to the financial statements (continued) Expenditure on raising funds Unrestrlctad Unrestrlcted Unrestrlcted direct support total costs costs costs 2024 Total Cost 2023 Total Cost Fundraising 253, 176 41,512 294,688 294,688 392,407 Expenditure on charitable activities Unrestricted Unrestricted Unrestricted Restricted direct support total total costs ¢osts costs ¢ost$ 2024 Total Cost 2023 Total Cost Touring (note 10} Academy (note 11) 5,098,402 304,784 5,403,186 671,091 19,203 690,294 5,769,493 323,987 6,093,480 344,351 6, 113,844 8,636,684 71,825 395,812 442,299 416,176 6,509,656 9,078,983 Analysis of support costs Total 2024 Fundraising Building Tourin9 Academy Legal and Professional Services Admin staff Costs Depreciation 13,019 1,724 26,119 648 26,039 3,448 52,238 1,297 210,481 27,869 422,260 10,482 17,359 2,298 34,826 865 266,898 35,339 535,443 13,292 41,510 83,022 671,092 55,348 850,972 Support costs relate to several activities, and include functions such as payroll, administration, general management and building operating costs. Support costs are apportioned based on the number of full-time staff equivalents. io Expenditure on touring Unrestricted Restricted 2024 2023 Dancers Touring Marketing and Press Technical Orchestra oyalties New Produrtions and Revivals Overseas Tour Learning Direct Support Costs Direct Depreciation In House Performances Leeds Dance Partnership Support Costs (note 9) 1,858,615 600,301 1,684,204 603,496 14,111) 141,223 12,982 148,883 44,594 58,528 19,524 169,837) 671 091 5,769,493 125,000 1,983,615 2,330,398 600,301 934,228 1,684,204 2,067,499 607,996 1,019,289 14,111) 133,253 234,023 240,104 12,982 15,056 262,620 253,306 44,594 353,131 58,528 160,316 19,524 29,091 161,523) 63,868 671 091 1 037 145 344,351 6,113,844 8,636,684 4,5DO 92,800 113,737 8,314 27 Northern Ballet Limited Notes to the financial statements (continued) li Expenditure on academy {classical training) Unrestricted Restricted 2024 2023 Associate Classes Yorkshire Young Dancers Support Costs (note 9) 53,436 251,348 53,436 287,027 61,774 295,870 35,679 323,987 71,825 395,812 442,299 12 Governance Costs 2024 2023 Governance costs are broken down as follows and are included within the charge for support costs.. External audit fee audit services charitable company subsidiaries 18,300 5,000 5,000 28,300 36,550 6,450 2,4DO 45,400 non-audit services 13 staff costs Group 2024 Group 2023 Group 2024 Companv 2023 Company Wages and salaries Social security costs Pension costs 3,759,413 367,496 199 472 4,326,381 4,108,140 411,199 211 522 4,730,861 3,661,155 358, 120 194,560 4,213,835 3,933,268 394,584 202 523 4,530,375 The average number of permanent employees of the Group was as follows.. 2024 Group Number 2023 Group Number 2024 Company Number 2023 Company Number Produrtion Administration Distribution 94 29 89 30 94 29 89 30 127 123 123 119 28 Northern Ballet Limited Notes to the financial statements (continued) Staff Costs {continued) Employees receiving remuneration in excess of £60,000 are analysed as follows.. 2024 Group 2023 2024 Group Company 2023 Company £60,001 to £70,000 £70,001 to £80,000 £80,001 to £90,000 £90,001 to £lOO,000 £IOO,001 to £llO,000 During the year the following amounts were paid to higher paid employees as shown above.. 2024 2023 Pension contributions to money purchase schemes 24,588 24,588 4 {2023.' 4} higher paid employees are accruing retirement benefits under a defined contribution scheme. Key Management Personnel Key management personnel are defined as the tnjstees of and the senior management team of Northern Ballet. During the year no Trustees received remuneration relating to work in their professional capacity12023 £Nil). No Trustees received expenses during the year {2023'. £Nil). The total emoluments of the key management personnel (salaries, wages, employer's NIC, benefits in kind, including pension costs excluding expenses necessarily incurred during the performance of their duties) during the year were £517,427 in relation to 8 employees {2023.' £538,522 in relation to I l employees). 14 The Charity's statement of financial activities The charitable company has taken advantage of Section 408 of the Companies Act 2006 and has not included its own statement of financial artivities in these financial statements. The financial activities on page 36 include £13,334,655 (2023.. £12,798,934) of income and £12,297,68512023.' £14,274,499) of expenditure relating to the Company. 15 Tangible fixed assets Group Fixtures, Leasehold fittings Freehold Land and Stage and office Computer Motor property Buildings equlpmentequipment Equipment Vehicles Total Cost or valuation At l April 2023 Additions Disposals At 31 March 2024 510,000 13,046,791 756,159 7,386 850,746 1,950 169,873 4,580 15,333,569 23,371 101 127 9,455 15,255,813 9.455 510,000 13,046,791 763,545 803,751 122,271 Depreciation At l April 2023 Depreciation in the year Disposals At 31 March 2024 1,644,523 678.911 622,049 141.956 3,087,439 131,813 31,523 59,610 12,210 235,156 101 127 3,221,468 1,776,336 710,434 632,714 101,984 Net book amount At 31 March 2024 5LO,000 11,270,455 53,111 171,037 20,287 9,455 12,034,345 At 31 March 2023 510,000 11,402,268 77,248 228,697 27,917 12,246,130 29 Northern Ballet Limited Notes to the financial statements (continued) Tangible fixed assets (continued) Company Fixtures, Leasehold fittings Freehold Land and Stage and office Computer Motor Property Buildin9s EquipmentequipmentEquipment Vehicles Total Cost or valuation At l April 2023 Additions Disposals At 31 March 2024 510,000 13,046,791 756,159 7,386 801,801 1,950 117,691 4,580 15,232,442 23,371 9,455 510,000 13,046,791 763,545 803,751 122,271 9,455 15,255,813 Depreciation At l April 2023 Depreciation in the year Disposals At 31 March 2024 1,644,523 678,911 573,104 89.774 2,986,312 131,813 31.523 59,610 12,210 235,156 1,776,336 710,434 632,714 101,984 Net book amount At 31 March 2024 510,000 11,270,455 53,111 171,037 20,287 9,455 12,034,345 At 31 March 2D23 510,000 11,402,268 77,248 228,697 27,917 12,246,130 Group and Company The freehold property was valued by Adair Paxton, Chartered Surveyor as at 31 March 2021 on an open market value basis. If the freehold property had not been re-valued, it would have been included at a cost of £230,300 with accumulated depreciation of £230,30D. The trustees have considered whether there are any indications that the open market value as at 31 March 2024 would be materially different to the third party valuation and concluded that there is no material difference. The Leasehold Land and Buildings are the home of the Company at Quarry Hill in Leeds which has a 250-year lease with Leeds City Council. The Company moved into the building in the Autumn of 2DIO and from that date depreciation was charged on the asset, the asset will be written off over its estimated useful life of 99 years. The asset is supported in the Balance Sheet by a restricted reserve of the grants donated by Leeds City Council, Arts Council England, and generous donations from supporters of the building campaign. 16 Intangible fixed a55etS Group Goodwill Cost As at l April 2023 Disposals As at 3 1 March 2024 71,700 171,7001 Amortisation As at l April 2023 Disposals As at 3 1 March 2024 71,700 Net book amount At 31 March 2023 and 31 March 2024 30 Northern Ballet Limited Notes to the financial statements (continued) 17 Investments Proportion of nominal Country of Class of value Registration shares held held England £1 ordinary IOOO/o Name Northern Ballet Theatre Company (Property) Limited 102466786) Info Display Limited 104392827) Principal activities Dormant England £1 ordinary IOOO/o Leaflet distribution company for the arts and heritage sector. In liquidation from December 2023 Development and production of ballets Northern Ballet Productions Limited England (092022051 £1 ordinary IOOO/o Operations of trading subsidiaries Year ended 31 March 2024 Year ended 31 March 2023 A summary of the results of the trading subsidiary Info Display Limited are set out below.. Turnover {including interest receivable) Other Income 160,665 3,177 1186,096) {22,254) 255,768 7,117 1334,852} {71,967) Operating expenses Operating loss Retained loss at l April 2023 Loss for the year Write off of balance sheet 1209,480) (22,254) 231,634 1137,513} {71,967) Retained loss at 31 March 2024 1209,480) 31 March 2024 31 March 2023 The net assets and liabilities of the subsidiary Info Display Limited were.. Fixed assets Current assets Creditors.. amounts falling due within one year Net CLJrrent liabilities 82,524 {291,9041 {209,3801 Total assets less current liabilities {209,3801 Aggregate share capital and reserves {209,3801 31 Northern Ballet Limited Notes to the financial statements (continued) Investments {continued) Operations of trading subsidiaries {continued} Year ended 31 March 2024 Year ended 31 March 2023 A summary of the results of the trading subsidiary Northern Ballet Produttions Limited are set out below: Turnover {including interest receivable) Charges Loss 4,490,545 16,018,084) 11,527,539) 1,527,539 4, 123,179 15,067,623) {944,4441 944,444 HMRC Theatre & Film Tax Relief Claim Retained in subsidiary 31 March 2024 31 March 2023 The net assets and liabilities of the subsidiary Northern Ballet Produrtions Limited were Current assets Creditors '. amounts falling due within one year Net current assets 3,356,516 3,356,515 1,828,979 1,828,978) Total assets less current liabilities Aggregate share capital and reserves Northern Ballet Productions Limited will make a claim for Theatre Tax Relief and Film Tax Relief for 7 productions in the year. Accordingly, the financial statements include a debtor and income receivable of £1,527,539 12023.. £944,444) in relation to this claim. 18 Stocks 2024 2023 Group and Company allet shoes 22,161 22,161 24,603 24,603 32 Northern Ballet Limited Notes to the financial statements (continued) 19 Debtors 2024 Group 2023 Group 2024 Company 2023 Company Trade debtors Other debtors Prepayments and Accrued Income Social Security and Taxation Amounts due from subsidiary undertakings 346,205 2,531,010 391,469 16,589 335,693 1,837,414 163,461 346,205 8,634 391,469 16,589 3,356,515 299,394 8,560 143,990 I,S28,976 3,285,273 2,336,568 4,119,412 2,2SO,920 No interest is charged on intercompany balances, and all are repayable on demand. 20 Creditors: amounts falling due within one year 2024 Group 2023 Group 2024 Company 2023 Company Trade creditors Amounts due to subsidiary undertakings Social security and other taxes Pension contributions Other creditors Pension deficit Accruals Deferred income (note 221 328,018 238,416 291,393 loo 91,983 93 28,060 76,944 195,321 915,141 1,599,035 228,249 loo 210,750 25,767 28,847 76,944 187,051 338,468 1,096,176 91,983 93 28,060 76,944 195,321 915,141 1,635,560 223, 142 25,767 28,847 76,944 225,805 396,199 1,215,120 21 Credltors: amounts falllng due after one year Group and Company 2024 2023 Net present value of future pension deficit reduction payments 389,114 436,414 22 Deferred Income 2024 Group 2023 Group Deferred income brought forward Released in the year Deferred in the year 396,199 583,485 {396,199} {583,4851 915,141 396,199 915,141 396,199 Deferred Income carried forward Deferred income at 31 March 2024 includes the following key item,. £500,000 received from Arts Council England to support the work of the company on tour in Wales, Scotland & Northern Ireland and our work on Children's ballets. 33 Northern Ballet Limited Notes to the financial statements (continued) 23 Commitments under operating leases At 31 March 2024, the Group's future minimum operating lease payments are as follows.. 2024 Group 2023 Group 2024 Company 2023 Company Land and buildings Not later than l year Later than l year and not later than 5 years Later than 5 years 90,000 45,000 116,435 246,356 90,000 45,000 90,000 135,000 135,000 362,791 135,000 225,000 2024 Group 2023 Group 2024 Company 2023 Company Vehicles and equipment Not later than l year Later than l year and not later than 5 years 5,952 30,681 5,952 30,681 36,633 36,633 34 Northern Ballet Limited Notes to the financial statements (continued) 24 Share capital Group and Company 2024 2023 Authorised 100 Ordinary shares of £1 each Allotted, called up and fully paid 29 Ordinary shares of £1 each loo loo 29 29 Each holder of a share or shares is entitled to one vote at a meeting of shareholders in accordance with the memorandum and articles of association of the company. The Company is limited by guarantee and each Trustee has undertaken to contribute a maximum of £10 to the costs of the company in the event of a winding up. 25 Total funds Capltal redemptlon raserve The capital redemption reserve arose on historic shares repurchased by the Company. Its value is £14 {2023= £141. Restrirted funds Restricted income ftjnds are further detailed in the following tables and notes. Revaluation reserve The revaluation reserve represents the surplus created on the revaluation of Wellington Mill. Deslgnated reserves Designated funds represent funds which the trustees have set aside for a specific purpose, for further details see following table and notes. Other charitable funds Other charitable funds represent all current and prior period unrestricted, undesignated retained income and expenditure. Income funds are analysed as follows.. Re-ststed balance at 31 March 2023 Movement during the year Transfers between reserves Balance at 31 March 2024 Incoming resources Expenditure Group Restricted Building project fund Education professional training Education projects Production fund Dance Partnership Artistic Director Linbury LED Sinfonia 11,402,416 131,813 71,825 11,270,603 7,400 79,225 168,980 92,800 113,737 92,800 55,243 8,314 (8,3141 125,000 69,428 125,000 29,372 40,056 11,410,730 539,933 569,047 (8,3141 11,373,302 Unrestricted Designated General 400,000 391 686 400,000 2 632 226 14,405,528 1 957 936 13,368,666 8 418 019 8,957,952 7 352 043 7,921,090 35 Northern Ballet Limited Notes to the financial statements (continued) Total funds (continued) Re-ststed balance at 31 March Incoming 2023 resources Expenditure Movement during the year Transfer5 between reserves Balance at 31 March 2024 Company Restricted Building project fund Education professional training Education projects Production fund Dance Partnership Artistic Director Linbury LED Sinfonia 11,402,416 131,813 71,825 11,270,603 7,400 79,225 168,980 92,800 113,737 92,800 55,243 8,314 (8,3141 125,000 69,428 125,000 29,372 40,056 11,410,730 539,933 569,047 (8,3141 11,373,302 Unrestricted Designated General 400,000 391 686 400,000 2 668 750 14,442,052 1 994 353 13,405,083 12 794 722 13,334,655 11 728 639 12,297,686 Restrlcted funds - Group and Company The BuildTn9 Project fund was established in the year ended 3 1 March 2001 by donations from various entities. Donations to this fund were used to develop the Company's building at Quarry Hill, Leeds which the Company moved Into in October 2010. Expenditure in the year refers to one year's depreciation charge. The building is being depreciated over 99 years. The Educatlon Professlonal Tralnlng fund was established in the year ending 31 March 2005. The purpose of this fund is to develop the professional dance training programme. Successful applicants attend a five-year dance training scheme after school, at the weekend and during school holidays. The Educatlon Projects fund was established in the year ending 31 March 2009 with donations from numerous TrLJSts and Foundations, the conditions of the donations stipulate the educational work to be supported. In the year this fund has supported a programme of theatre visits and workshops for children of all abilities in Leeds, workshops, and performances for the visually impaired, dance experience for wheelchair users, a pro]ert with a children's hospice in Leeds and an international research project to develop safe practice for teaching people with learning disabilities. The Production fund reflects donations from trusts and individuals given on the condition that the income be used to support the development of new productions. The Dance Partnership fund was established in the year ending 31 March 2016 with funding from Arts Council England. The purpose of the donation was to support an initiative to create a North of England centre of dance in Leeds, this work continued in the year ending 31 March 2024. 36 Northern Ballet Limited Notes to the financial statements (continued) Total funds (continued) Artistic Director awarded to support the artistic director's salary for one year. Linbury LED Capital grant awarded by the Linbury Trust to enable us to undertake a building-wide project to replace all of the standard incandescent light bulbs and fluorescent tubes to LED. The project will see c.764 fittings adapted into LED which will significantly reduce our energy consumption and put us in good stride towards fulfilling our environmental strategy and commitment to reducing impact on the environment, whilst also building Northern Ballet's financial resilience. Northern Ballet Sinfonia reflects funding received specifically for the Sinfonia to promote their artivities. Designated Reserves Movement durin9 the year Balance at 31 March 2023 Transfer Balance at between 31 March reserves 2024 Incoming resources Expendlture Group and Company Designated Reserves New Productions 400,000 400,000 400,000 400,000 New Productions £4000,000 was set aside to be put towards the development of new upcoming productions. 26 Analysis of group net assets between funds Unrestricted Restrlrted funds Funds Total Funds For the year ended 31 March 2024 Tangible fixed assets Current assets Current liabilities Long term liabilities Total net assets 763,742 4,293,158 {1,635,5601 389 114 3,032,226 11,373,302 11,270,603 102,699 12,034,345 4,395,857 (1,635,560) 389,114 14,405,528 Re-stated Re-ststed Unrestricted Restricted funds Fund$ Re-stated Total Funds For the year ended 31 March 2023 Tangible fixed assets Current assets Current liabilities Long term liabilities Total net assets 843,714 2,765,756 (1,215,120} 436 414 1,957,936 11,410,730 11,402,416 8,314 12,246,130 2,774,070 (1,215,120) 436 414 13,368,666 37 Northern Ballet Limited Notes to the financial statements (continued) 27 Pensions Defined contribution scheme Company The Company operates money purchase pension schemes for the benefit of the employees. The assets of the schemes are administered by trustees, in a fund independent from those of the Company. Defined benefit scheme Company The Company contributed to a defined benefit scheme. the-Pension Scheme for Administration and Technical Staff in the Arts" for two employees up to 14 December 2012. From this date all accrual to the scheme ended. The Company remains liable for its portion of the deficit in scheme funds. The assets of the scheme are administered by a trustee, in a fund independent from those of the Company. The scheme is a multi-employer scheme, and the Company is unable to identify its share of the underlying assets and liabilities. As noted in the Principal Accounting Policies there is a funding agreement in place to eliminate that element of the deficit in the Scheme which is relative to the Company. The principal conclusions of the last triennial valuation at 31 March 2022 estimated a funding shortfall of £2,947,000. Northern Ballet, as one of several employers responsible for funding this shortfall, agreed to make monthly contributions of £6,412 (£6,412 2023) until 315t March 2031, payments commenced 1st April 2023. A liability has been recognised in the balance sheet, in accordance with FRS 102, equal to the net present value of these future deficit reduction payments. The payments are discounted to present value using a yield curve derived from AA rated bonds in the iBoxx sterling corporate bond index, this gave a rate of 4.8010. The net present value of the sum of the remaining monthly contributions as at 31 March 2024 is £450, IOS12023'. £513,358) and this has been recorded as a liability in the balance sheets of the Group and the Companyi £76,944 12023- £76,944) in creditors falling due within one year and £389,114 (2023- £436,414) in creditors falling due after one year. 28 Related party transactions In accordance with paragraph 33. IA of FRS 102, the company has taken advantage of the exemption to provide details of related party transactions with its %vholly owned subsidiary undertakings. 29 Capitsl commitments There were no capital commitments as at 31 March 2024 12023.. £Nil). 30 Prior year adjustment A prior year adjustment has been made to adjust for income in the prior year which had been incorrectly allocated against three restricted funds. This adjustment has had the effert of increasing unrestricted funds and decreasing restricted funds by £867,003 as follows,. Unrestricted Funds Restricted Funds Total Funds Group Brought forward reserves as previously reported Prior year adjustment Restated brought forward reserves Company Brought forward reserves as previously reported Prior year adjustment Restated brought forward reserves 1,090,933 867,003 1,957,936 12,277,733 {867,0031 11,410,730 13,368,666 13,368,666 1,127,350 867,003 1,994,353 12,277,733 {867,0031 11,410,730 13,405,083 13,405,D83 38 Northern Ballet Limited Notes to the financial statements (continued) 31 Consolidated Statement of financial activities comparative Unrestricted Funds Restricted funds 2023 INCOME Income from donations and legacies Income from trading activities Income from charitable activities Investment income 4,071,312 434,958 2,866, 183 1,187 633,402 4,704,714 434,958 2,886,183 1,187 20,000 Total income 7,373,640 653,402 8,027,042 EXPENDITURE Expenditure on raising fund5 Fundraising Building Leaflet distribution 392,407 415,226 309,851 1,117,484 392,407 438,952 309,851 1,141,210 23,726 23,726 Charitable activities Touring Academy (classical training) 7,696,612 413,814 8,110,426 940,072 28,485 968,557 8,636,684 442,299 9,078,983 Total expenditure Taxation Theatre tax relief income Tax on profit on ordinary activities 9,227,910 992,283 10,220,193 944,444 944,444 944,444 944,444 Other recognised gains Fair value loss on unlisted investments Profit on sale of fixed assets 125,2581 5,342 119,9161 {25,258) 5,342 {19,916) Net expendlture (929,742) (338,881) (1,268,623) Reconclllatlon of funds Total funds brought forward 2,020,632 12,616,614 14,637,246 Total funds carried forward 1,090,890 12,277,733 13,368,623 39