2025-04-30-accounts

CHARITY REGISTRATION NUMBER: 264824

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE Financial Statements

30 April 2025

SALEEMI ASSOCIATES

Chartered accountants & statutory auditor 792 Wickham Road Croydon CR0 8EA

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Financial Statements

Year ended 30 April 2025

	Page
Trustee's annual report	1
Independent auditor's report to the members	5
Statement of financial activities	10
Statement of financial position	11
Statement of cash flows	12
Notes to the financial statements	13
The following pages do not form part of the financial statements
Detailed statement of financial activities	26
Notes to the detailed statement of financial activities	27

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Trustee's Annual Report (continued)

Year ended 30 April 2025

The trustee presents his report and the financial statements of the charity for the year ended 30 April 2025.

Reference and administrative details

Registered charity name	HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE	HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE
Charity registration number	264824
Principal office	367 Wellington Road South
	Hounslow
	Middlesex
	TW4 5HU
The trustee
	R J Akhtar	Chairman
	M R Khan	Vice Chairman
	S Rehman	General Secretary
	Z Awan	Joint Secretary
	M Ajaib	Treasurer
	N Akhtar	Joint Treasurer
	S Ali
	T Masood
	W Hussain
Auditor	Saleemi Associates
	Chartered accountants & statutory auditor
	792 Wickham Road
	Croydon CR0 8EA

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Trustee's Annual Report (continued)

Year ended 30 April 2025

Structure, governance and management

The trust is an unincorporated trust and is a registered charity, number 264824. The trustees will be elected by the members of the masjid and serve for five years after which period they may put themselves forward for re-election. The constitution provides for a minimum of 6 trustees, to a maximum of 11 trustees. At the trustees' monthly meeting, the trustees agree the strategy and areas of activity for the Trust, including consideration of donation making, reserves and risk management policies and performance.

Objectives and activities

The fundamental belief of the Trust is LA ILAHA ILLALLAAH MUHAMMADUR RASULALLAH that there is no god but one God, ALLAH and Muhammed (peace be upon him) is His Prophet. The Trust's main objective is to advance Islam and in particular the Sunni Muslim faith. The trust within its core objectives provides a number of services for the community including educational, recreational, funeral, marriage and a particular focus on activities for the youth and our sister’s.

Achievement and performance

Building on the success and growth of previous years, 2025 was our busiest yet

A new food bank serving the community was introduced in the car park in February - opening to all walks of life in a daily basis

Our ground-breaking partnership with Brentford Football Club saw the Mosque lead a Grand Iftar at the football stadium, a huge achievement for the Mosque and community

With MMA one of the most popular sports in the world, an award winning coach began classes for children, ladies and adults at the Mosque - one of the biggest achievements to date

Workshops with the NHS and public bodies are being held every other week at the Friday prayers allowing much needed health advice and services to reach the largest attendance of Muslims in west London

The Mosque hosted world renowned scholars for internationally acclaimed events and spiritual retreats - opening the door for hearts to be revived for communities across the country

We once again hosted a summer fair in the car park with funfair rides, stalls and food

Our online presence continues to be one of the most active and vibrant in the UK with videos on key topics shared on different platforms reaching a large audience

In terms of other sports, our annual charity football tournament was bigger than before with an increased participation, a new Girls Only Youth club began in April with a consistent number of young girls aged 11-16, a weekly football club for boys 11-18 takes place every Friday in the astroturf section of the Mosque and strength training for adults was introduced in the spring aimed at keeping the senior generation fit and healthy

We started a drive to revive reading by installing a Little Library outside the building accessible to the public where free books are placed and accessible for people to take

Language classes also built on the back of this with Urdu and Arabic classes taking place online

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Trustee's Annual Report (continued)

Year ended 30 April 2025

Financial review

The charity although has seen an increase in income, there has been a corresponding increase in expenditure mainly attributable to salaries and some overheads. Largely the increase was due to a grant of 200k GBP.

We have sought to gain regular donations with online standing orders through our website and have introduced a new park and fly service. Other fund raising initiatives have also been implemented to assist with the fundraising.

Our annual Eid festival held on site generates some much needed revenue in the summer and school fees have been raised in line with inflation and teacher wage increases. With innovative plans being worked on for the next year we hope to establish additional streams of income on a regular basis and will report accordingly

The expenditure has also increased year on year mainly attributed to increase in salaries and utilities.

Reserve policy

The Trustees aim to maintain free reserves in unrestricted funds at a level which equates to approximately two months of unrestricted charitable expenditure.

Risk and uncertainties

Charity has developed an approach to risk management that allows it respond to risks and adapt how it operates. At the time of this report, the extent of uncertainty in our operating environment has never been greater. A number of the uncertainties are inherent to the Charity and present both risks to be managed and opportunities to improve both what we do and how we deliver our service.

Trustee's responsibilities statement

The trustee is responsible for preparing the trustee's report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

In preparing these financial statements, the trustee is required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the applicable Charities SORP;

• make judgments 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;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The trustee is responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE Truste•'s Annual Raport (conttnu Year ended 30 April 2025 position of the charity and enable him to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities {Accounts and Reports) Regulations, and the provisions of the Trust Deed. He is also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregulariti"e$. 2710212026 The trustee's annual report was approved on trustees by.. and signed on behalf of the board of Shafiq Rehm General Secretary

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Independent Auditor's Report to the Members of HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE (continued)

Year ended 30 April 2025

Opinion

We have audited the financial statements of HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE (the 'charity') for the year ended 30 April 2025 which comprise the statement of financial activities, statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, except for the effects of the matter described in the Basis for Opinion section of our report, the financial statements:

• give a true and fair view of the state of the charity's affairs as at 30 April 2025 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;

• have been prepared in accordance with the requirements of the Charities Act 2011.

Basis for opinion

As disclosed in Note 25, the Charity has entered into a litigation settlement agreement prior to the year end, giving rise to a legal obligation of £150,000 as at 30 April 2025. A repayment plan has been agreed requiring monthly instalments of £5,000. The Trustees have not recognised this obligation as a creditor at the reporting date and instead recognise instalment payments on a cash basis as expenditure when paid. In our opinion, this accounting treatment is not in accordance with FRS 102, which requires a liability to be recognised where a present legal obligation exists at the reporting date and settlement is probable and can be reliably measured.

Had the liability been recognised in full:

• Creditors would have increased by £150,000;

• Net assets would have decreased by £150,000; and

• The unrestricted fund deficit would have increased from £104,702 to £254,702. The omission of this liability materially overstates the Charity's financial position and unrestricted reserves as at the year end.

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion.

Material Uncertainty Related to Going Concern

We draw attention to Note 22 in the financial statements, which indicates that the Charity’s unrestricted funds are in deficit by £104,703 at the reporting date. If the litigation liability described above were appropriately recognised, the unrestricted fund deficit would increase to £254,702.

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Independent Auditor's Report to the Members of HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE (continued)

Year ended 30 April 2025

Furthermore, the charity unrestricted reserves have fallen below the required policy level, indicating a potential limitation in financial flexibility.

The Charity plans to outsource the operation of Suffah School that has generated recurring losses. The Trustees have prepared cash flow forecasts covering a period of at least twelve months from the date of approval of the financial statements. These forecasts include the agreed £5,000 monthly repayment of the litigation liability and assumptions regarding the proposed outsourcing of the School’s operations to reduce future losses.

The forecasts indicate that the Charity will be able to meet its liabilities as they fall due, provided the planned outsourcing arrangements are successfully implemented and projected income levels are achieved.

These conditions indicate the existence of a material uncertainty which may cast significant doubt on the Charity’s ability to continue as a going concern. Our opinion is qualified solely in respect of the non-recognition of the litigation liability and is not further modified in respect of this matter.

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

Emphasis of matter

We draw attention to Note 19 to the financial statements, which describes the Company's outstanding Social security and other taxes of £267,814 payable to HM Revenue & Customs as at 30 April 2025. Discussions are ongoing with HM Revenue & Customs regarding settlement of the liability, and management expects that a formal Time to pay arrangement will be agreed once the matter is concluded.

Our opinion is not modified in respect of this matter

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 trustee is responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustee's report.

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Independent Auditor's Report to the Members of HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE (continued)

Year ended 30 April 2025

• the information given in the trustee's report is inconsistent in any material respect with the financial statements; or

• adequate accounting records have not been kept; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of the trustee

As explained more fully in the trustee's responsibilities statement, the trustee is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustee determines 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 trustee is responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustee either intends to liquidate the charity or to cease operations, or has no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory framework applicable to the Charity and the sector in which it operates. The principal laws and regulations considered include: The Charities Act 2011,The Charities (Accounts and Reports) Regulations 2008, Charities SORP under FRS 102, UK taxation legislation, Regulatory requirements and guidance issued by the Charity Commission, Safeguarding and education regulations-Ofsted, Employment legislation, health and safety regulation, Anti Money Laundering regulation, General Data Protection Regulation (GDPR),

We made enquiries of management and trustees as to their knowledge of actual, suspected or alleged fraud and non-compliance with laws and regulations. We also reviewed trustee meeting minutes and correspondence with regulators.

Identified Fraud Risk and Control Weakness

As part of our risk assessment, we identified a heightened risk of fraud in relation to income recognition and cash handling due to weaknesses in internal controls, including limited segregation of duties and insufficient independent review over certain income streams.

In response to this identified risk, we:

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Independent Auditor's Report to the Members of HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE (continued)

Year ended 30 April 2025

• Performed extended substantive testing over income, including detailed transaction testing and cut-off testing;

• Agreed a sample of income receipts to supporting documentation, bank statements and funding agreements;

• Tested journal entries, particularly those posted to income and expenditure accounts outside the normal course of operations;

• Reviewed unusual or significant transactions;

• Assessed whether accounting estimates and judgements indicated potential management bias;

• Evaluated compensating controls implemented by trustees during the year.

We communicated identified control weaknesses to those charged with governance in our management letter.

While our procedures were designed to respond to the assessed risks, the ability to detect irregularities is inherently limited, particularly where fraud may involve collusion, forgery, intentional omissions, misrepresentation, or override of internal controls.

Consideration of Going Concern and Fraud Risk

In light of the material uncertainty related to going concern described elsewhere in our report, we considered whether financial pressures on the Charity increased the risk of fraud or intentional misstatement.

Our procedures in this area included:

• Challenging management’s cash flow forecasts and underlying assumptions;

• Performing sensitivity analysis on key income and expenditure assumptions;

• Reviewing post year-end management information and cash movements;

• Considering whether there was evidence of bias in the preparation of forecasts;

• Evaluating whether disclosures appropriately reflect the material uncertainty.

We considered whether the going concern uncertainty created incentives for management override of controls or inappropriate revenue recognition and tailored our procedures accordingly.

Because of the inherent limitations of an audit, there remains a risk that material misstatements arising from irregularities, including fraud, may not be detected, even though the audit is properly planned and performed in accordance with ISAs (UK).

The primary responsibility for the prevention and detection of fraud rests with the trustees and management, who are responsible for establishing and maintaining a sound system of internal control.

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

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE Independent Auditor's Report to the Members of HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE f¢onUnuodJ Year ended 30 April 2025 Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perfom) audit procedures responsive to those r¢sks, arbd obtain audit evidence that is sufficient and appropriate lo provide a basis for our opinion. The risk of not detecting a material misslalemenl resuming fiom fraud is higher than for one resulting from error, as fraud may invofve collusion, forgery. intentional omissions, misrepresentations, or the override of intemal control. Obtain an understanding of inlemal Control relevant to the audit in order to design audrt procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. Evaluate the appropriatenes8 of ac¢ounling policies use(1 and the reasonableness of accounting estimates and related disclosures made by the Iruslee. Conchjde on the appropriateness of the trustee's use of the going conceTn basis of accounting and. based on the audit evidence obtained, whether a material uncertainty exists related to events or Conditions that may cast significant doubl on the charills abilty to continue as a going Con￿rn. If we eonclude that a material un¢8rtainty exists, we are required lo draw attention in our audrtor's report lo the related disclosures in the financial slalements or, rf such disclosures are inadequate, to modrfy our opinion. Our ¢onclusion$ are based on the audit evidence obtained up to the dale of our auditor'$ report. However, future events or condrtions may cause the charity to cgaso lo continue as a going concern. Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and evenl$ in a manner that achieves fair presentation. We communicate wtth those charged wrth govemance regarding, among other matters, the planned scope and liming ol the audit and signfficant audit findings. including any signrficant deficiencies in internal control that we tdentfy during our audit. Uso of our report This report is made solely lo the charitys members, as a body, in %cordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been unfjertaken so that we might stale to the charitls members those matters we are required lo slate to them in an auditorfs roport and for no other purpose. To the fullest extent permrtted by law, we do not cept or assume responsibility to anyone other than the charity and thè charitls members as a body, for our audit work. for this report, or for the opinions we have fomied. Saleemi Associates Chartered accounlanls & slalutory auditor 792 Wickham Road Croydon CRO 8EA Dale.. 27 F-eb z

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Statement of Financial Activities

Year ended 30 April 2025

			2025	2025		2024
		Unrestricted	Restricted	Endowment
		funds	funds	funds	Total funds	Total funds
	Note	£	£	£	£	£
Income and endowments
Donations and legacies	4	602,518	34,657	200,000	837,176	766,898
Charitable activities	5	308,329	461,441	–	769,770	812,753
Other trading activities	6	198,754	–	–	198,754	192,263
Other income	7	811	–	–	811	1,190
		-----------------------------------------	--------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
Total income		1,110,412	496,098	200,000	1,806,511	1,773,104
		=========================================	================================	================================	=========================================	=========================================
Expenditure
Expenditure on raising funds:
Costs of raising
donations and
legacies	8	29,515	–	–	29,515	117,588
Costs of other
trading activities	9	166,269	–	–	166,269	183,592
Expenditure on
charitable activities	10,11	808,553	743,599	–	1,552,153	1,450,608
		-----------------------------------------	--------------------------------	--------------	-----------------------------------------	-----------------------------------------
Total expenditure		1,004,337	743,599	–	1,747,937	1,751,788
		=========================================	================================	==============	=========================================	=========================================
		-----------------------------------------	--------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
Net income		106,075	(247,501)	200,000	58,574	21,316
		=========================================	================================	================================	=========================================	=========================================
Transfers between funds		(376,733)	239,068	137,665	–	–
		-----------------------------------------	--------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
Net movement in funds		(270,658)	(8,433)	337,665	58,574	21,316
Reconciliation of funds
Total funds brought forward		165,956	22,314	5,417,868	5,606,138	5,584,822
		-----------------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------	-----------------------------------------
Total funds carried forward		(104,702)	13,881	5,755,533	5,664,712	5,606,138
		=========================================	================================	=========================================	=========================================	=========================================

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

The notes on pages 13 to 24 form part of these financial statements.

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE ststement of Financial Posltion 30 April 2025 2025 2024 Note Flxed assets TangiL)le fixed assets 17 5.589,900 5,459,444 Current assots Debtors Cash * bank and in hand 18 329,984 127.701 249,991 213.445 457,685 463,436 Crodltors: amounts falling due within one year Net current assets 19 372,874 306,742 156,694 5.616,138 84,811 5,674,711 Tolal assets less current liabilities Credltors: amounts falling due after more than one year Net assets 20 10,000 5,664,711 10,000 5,606,138 Funds of the charity Endowment funds Reslrieted funds Unrestricted funds 5,755,533 13,881 (104.7031 22 5,6e4,711 5,417,868 22.314 165,956 Total charity funds 5,606,138 These financial statements were approved by the board of tnjstees and authorised ft)r issue on 2710212026 and are signed on behalf of the board by.. S Rehman General Secretary J Akhlar Chairman The notes on pages 13 to 24 forni part of these frnanclal statemèrts. 11

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Statement of Cash Flows

Year ended 30 April 2025

	2025	2024
	£	£
Cash flows from operating activities
Net income	58,574	21,316
Adjustments for:
Depreciation of tangible fixed assets	11,600	13,860
Interest payable and similar charges	10,916	12,053
Accrued expenses/(income)	200	(2,400)
Changes in:
Trade and other debtors	(79,993)	39,432
Trade and other creditors	65,932	(49,127)
	----------------------------	----------------------------
Cash generated from operations	67,229	35,134
Interest paid	(10,916)	(12,053)
	----------------------------	----------------------------
Net cash from operating activities	56,313	23,081
	============================	============================
Cash flows from investing activities
Purchase of tangible assets	(142,056)	(90,903)
	--------------------------------	----------------------------
Net cash used in investing activities	(142,056)	(90,903)
	================================	============================
Net decrease in cash and cash equivalents	(85,743)	(67,822)
Cash and cash equivalents at beginning of year	213,445	281,267
	--------------------------------	--------------------------------
Cash and cash equivalents at end of year	127,701	213,445
	================================	================================

The notes on pages 13 to 24 form part of these financial statements.

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements

Year ended 30 April 2025

1. General information

The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is 367 Wellington Road South, Hounslow, Middlesex, TW4 5HU.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Charities Act 2011.

3. Accounting policies

Basis of preparation

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

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

Going concern

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

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustee for particular future project or

commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

3. Accounting policies (continued)

Incoming resources

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

• income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Resources expended

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

• expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.

• expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

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

Operating leases

Lease payments are recognised as an expense over the lease term on a straight-line basis. The aggregate benefit of lease incentives is recognised as a reduction to expense over the lease term, on a straight-line basis.

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

3. Accounting policies (continued)

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

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

Plant and machinery - 25% reducing balance Motor vehicles - 25% reducing balance

Impairment of fixed assets

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

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

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

Financial instruments

A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.

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HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

3. Accounting policies (continued)

Financial instruments (continued)

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost.

Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.

Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Other financial instruments are subsequently measured at fair value, with any changes recognised in the statement of financial activities, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.

For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.

• 16 -

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

4. Donations and legacies

		Unrestricted	Restricted	Endowment	Total Funds
		Funds	Funds	Funds	2025
		£	£	£	£
	Donations
	Donations	459,088	34,657	–	493,746
	Gift Aid	143,430	–	–	143,430
	Grants
	Grants receivable	–	–	200,000	200,000
		--------------------------------	----------------------------	--------------------------------	--------------------------------
		602,518	34,657	200,000	837,176
		================================	============================	================================	================================
		Unrestricted	Restricted	Endowment	Total Funds
		Funds	Funds	Funds	2024
		£	£	£	£
	Donations
	Donations	400,066	157,333	–	557,398
	Gift Aid	109,500	–	–	109,500
	Grants
	Grants receivable	100,000	–	–	100,000
		--------------------------------	--------------------------------	--------------	--------------------------------
		609,566	157,333	–	766,898
		================================	================================	==============	================================
5.	Charitable activities
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2025
			£	£	£
	Funeral Income		209,802	–	209,802
	Deen School		98,527	–	98,527
	Primary School		–	340,083	340,083
	Grants-LBH		–	121,358	121,358
			--------------------------------	--------------------------------	--------------------------------
			308,329	461,441	769,770
			================================	================================	================================
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2024
			£	£	£
	Funeral Income		183,205	–	183,205
	Deen School		85,426	–	85,426
	Primary School		–	385,314	385,314
	Grants-LBH		–	158,808	158,808
			--------------------------------	--------------------------------	--------------------------------
			268,631	544,122	812,753
			================================	================================	================================

• 17 -

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

6. Other trading activities

		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2025	Funds	2024
		£	£	£	£
	Sponsorships	1,070	1,070	4,060	4,060
	Fundraising events	–	–	1,000	1,000
	Hall Rentals	2,020	2,020	1,100	1,100
	Catering	195,664	195,664	186,103	186,103
		--------------------------------	--------------------------------	--------------------------------	--------------------------------
		198,754	198,754	192,263	192,263
		================================	================================	================================	================================
7.	Other income
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2025
			£	£	£
	Other income		811	–	811
			==============	==============	==============
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2024
			£	£	£
	Other income		1,007	183	1,190
			=======================	==============	=======================
8.	Costs of raising donations and legacies
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2025
			£	£	£
	Costs of raising donations and legacies	- Donations	29,515	–	29,515
			============================	==============	============================
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2024
			£	£	£
	Costs of raising donations and legacies	- Donations	–	117,588	117,588
			==============	================================	================================
9.	Costs of other trading activities
		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2025	Funds	2024
		£	£	£	£
	Costs of other trading activities	166,269	166,269	183,592	183,592
		================================	================================	================================	================================

• 18 -

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

10. Expenditure on charitable activities by fund type

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2025
	£	£	£
Suffah School	1	723,263	723,263
Deen School	348,087	–	348,087
Funerals	145,985	–	145,985
Support costs	314,480	20,336	334,818
	--------------------------------	--------------------------------	-----------------------------------------
	808,553	743,599	1,552,153
	================================	================================	=========================================
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2024
	£	£	£
Suffah School	–	737,944	737,944
Deen School	292,659	–	292,659
Funerals	110,528	–	110,528
Support costs	308,132	1,346	309,477
	--------------------------------	--------------------------------	-----------------------------------------
	711,319	739,290	1,450,608
	================================	================================	=========================================

11. Expenditure on charitable activities by activity type

	Activities
	undertaken	Support	Total funds	Total fund
	directly	costs	2025	2024
	£	£	£	£
Suffah School	723,263	–	723,263	737,944
Deen School	348,087	–	348,087	292,659
Funerals	145,985	–	145,985	110,528
Support costs	–	321,555	321,555	294,033
Governance costs	–	13,263	13,263	15,444
	-----------------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
	1,217,335	334,818	1,552,153	1,450,608
	=========================================	================================	=========================================	=========================================

• 19 -

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

12. Analysis of support costs

					Other
	Suffah	Deen			trading
	School	School	Funeral	Mosque	activities	Total 2025	Total 2024
	£	£	£	£	£	£	£
Staff costs	–	–	–	74,862	–	74,862	82,289
Premises	57,897	4,370	7,647	71,454	6,555	147,923	118,303
General office	20,660	1,559	2,729	11,694	2,339	38,981	36,461
Finance costs	4,403	332	581	2,492	498	8,306	10,207
Governance costs	7,029	531	928	3,979	796	13,263	15,444
Depreciation	6,148	464	812	3,480	696	11,600	13,859
Direct cost and purchases	–	–	–	39,883	–	39,883	32,914
	----------------------------	-----------------------	----------------------------	--------------------------------	----------------------------	--------------------------------	--------------------------------
	96,137	7,256	12,697	207,844	10,884	334,818	309,477
	============================	=======================	============================	================================	============================	================================	================================

• 20 -

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

13. Net income

Net income is stated after charging/(crediting):

Net income is stated after charging/(crediting):
	2025	2024
	£	£
Depreciation of tangible fixed assets	11,600	13,860
Operating lease rentals	92,229	84,009
	============================	============================
Auditors remuneration
	2025	2024
	£	£
Fees payable for the audit of the financial statements	3,200 ==============	3,600 =======================

14. Auditors remuneration

15. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

	2025	2024
	£	£
Wages and salaries	770,210	723,464
Social security costs	79,784	43,981
Employer contributions to pension plans	24,716	12,149
	--------------------------------	--------------------------------
	874,710	779,594
	================================	================================

The average head count of employees during the year was 57 (2024: 56).

No employee received employee benefits of more than £60,000 during the year (2024: Nil).

16. Trustee remuneration and expenses

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

• 21 -

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

17. Tangible fixed assets

		Freehold	Plant and	Motor
		property	machinery	vehicles	Total
		£	£	£	£
	Cost
	At 1 May 2024	5,417,868	421,813	70,692	5,910,373
	Additions	137,665	4,391	–	142,056
		-----------------------------------------	--------------------------------	----------------------------	-----------------------------------------
	At 30 April 2025	5,555,533	426,204	70,692	6,052,429
		=========================================	================================	============================	=========================================
	Depreciation
	At 1 May 2024	–	385,727	65,202	450,929
	Charge for the year	–	10,000	1,600	11,600
		-----------------------------------------	--------------------------------	----------------------------	-----------------------------------------
	At 30 April 2025	–	395,727	66,802	462,529
		=========================================	================================	============================	=========================================
	Carrying amount
	At 30 April 2025	5,555,533	30,477	3,890	5,589,900
		=========================================	================================	============================	=========================================
	At 30 April 2024	5,417,868	36,086	5,490	5,459,444
		=========================================	================================	============================	=========================================
18.	Debtors
				2025	2024
				£	£
	Trade debtors			200,000	100,000
	Other debtors			129,984	149,991
				--------------------------------	--------------------------------
				329,984	249,991
				================================	================================
19.	Creditors: amounts falling due within one year
				2025	2024
				£	£
	Accruals and deferred income			20,570	20,370
	Social security and other taxes			267,814	170,529
	Other creditors			84,490	115,843
				--------------------------------	--------------------------------
				372,874	306,742
				================================	================================
20.	Creditors: amounts falling due after more than one		year
				2025	2024
				£	£
	Other creditors			10,000	10,000
				============================	============================

• 22 -

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

21. Pensions and other post retirement benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £24,716 (2024: £12,149).

22. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
					At
	At				30 April 202
	1 May 2024	Income	Expenditure	Transfers	5
	£	£	£	£	£
General funds	165,956	1,110,412	(1,004,337)	(376,734)	(104,703)
	================================	=========================================	=========================================	================================	================================
	At				At
	1 May 2023	Income	Expenditure	Transfers	30 April 2024
	£	£	£	£	£
General funds	168,534	1,071,467	(894,911)	(179,134)	165,956
	================================	=========================================	================================	================================	================================
Restricted funds
					At
	At				30 April 202
	1 May 2024	Income	Expenditure	Transfers	5
	£	£	£	£	£
Restricted Fund	22,314	496,098	(743,599)	239,068	13,881
	============================	================================	================================	================================	============================
	At				At
	1 May 2023	Income	Expenditure	Transfers	30 April 2024
	£	£	£	£	£
Restricted Fund	89,323	701,638	(856,878)	88,231	22,314
	============================	================================	================================	============================	============================
Endowment funds
					At
	At				30 April 202
	1 May 2024	Income	Expenditure	Transfers	5
	£	£	£	£	£
Permanent Endowment
Fund	5,417,868	200,000	–	137,665	5,755,533
	=========================================	================================	==============	================================	=========================================
	At				At
	1 May 2023	Income	Expenditure	Transfers	30 April 2024
	£	£	£	£	£
Permanent Endowment
Fund	5,326,965	–	–	90,903	5,417,868
	=========================================	==============	==============	============================	=========================================

• 23 -

HOUNSLOW JAMIA MASJID AND ISLAMIC CENTRE

Notes to the Financial Statements (continued)

Year ended 30 April 2025

23. Analysis of net assets between funds

	Unrestricted	Restricted	Endowment	Total Funds
	Funds	Funds	Funds	2025
	£	£	£	£
Tangible fixed assets	30,477	3,890	5,555,533	5,589,900
Current assets	247,694	9,991	200,000	457,685
Creditors less than 1 year	(372,874)	–	–	(372,874)
Creditors greater than 1 year	(10,000)	–	–	(10,000)
	--------------------------------	----------------------------	-----------------------------------------	-----------------------------------------
Net assets	(104,703)	13,881	5,755,533	5,664,711
	================================	============================	=========================================	=========================================
	Unrestricted	Restricted	Endowment	Total Funds
	Funds	Funds	Funds	2024
	£	£	£	£
Tangible fixed assets	36,086	5,490	5,417,868	5,459,444
Current assets	446,611	16,825	–	463,436
Creditors less than 1 year	(306,742)	–	–	(306,742)
Creditors greater than 1 year	(10,000)	–	–	(10,000)
	--------------------------------	----------------------------	-----------------------------------------	-----------------------------------------
Net assets	165,955	22,315	5,417,868	5,606,138
	================================	============================	=========================================	=========================================

24. Analysis of changes in net debt

		At		At
	1	May 2024	Cash flows	30 Apr 2025
		£	£	£
Cash at bank and in hand		213,445	(85,744)	127,701
		================================	============================	================================

25. Contingencies

During the year, the Charity entered into a legally binding settlement agreement with BNP Paribas Leasing Solutions Limited. Under the terms of the agreement, the Charity is required to pay £150,000 in full and final settlement of the claim. The settlement is payable in 30 equal monthly instalments of £5,000, commencing on 3 March 2025 and continuing on the 3rd day of each month thereafter.

26. Post Balance Sheet Event

An ex-employee brought a claim against the charity at the Employment Tribunal prior to the year end. Subsequent to the reporting date, on 27 November 2025, a settlement was agreed for £36,623 payable by 31 January 2026. The trustees have assessed that no further material liabilities remain in respect of this matter.

• 24 -