Company Registration No. 01587684 (England and Wales) Charity Registration No. 283484 (England and Walesl THE CHAMBER ORCHESTRA OF EUROPE (Limited by guarantee and not having share capital) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
THE CHAMBER ORCHESTRA OF EUROPE CONTENTS Page Legal and administrative information Trustees, report Independent auditor's report Statement of financial activities (including Income and expenditure accounti Balance sheet Statement of cash flows 12 Notes to the financial statements 13-19
THE CHAMBER ORCHESTRA OF EUROPE LEGAL AND ADMINISTRATIVE INFORMATION Trustees and Executive commlttee John Peter Abercromby Readman Michael Graham Hoare James Judd Secretary Michael Graham Hoare Company Registration No. 01587684 Charity Registration No. 283484 Principal office North House 27 Great Peter Street London SW1P 3LN Reglstered offlce 40 Queen Anne Street London W1G 9EL Auditors Lewis Golden LLP Chartered Accounlanls and Statutory Auditors 40 Queen Anne Street London W1G 9EL Bankers C Hoare & Co 37 Fleet Street London EC4P 4DQ Solicitors BDB Pilmans LLP 1 Bartholomew Close London EC1A 78L Website www.coeurope.org
THE CHAMBER ORCHESTRA OF EUROPE TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 The Trustees Iwho are also the directors) are pleased to present their report, together with the financial statements of the company for the year ended 31 December 2021 which also represents the Directors, report as required by s415 of the Companies Act 2006. The financial statements have been prepared in accordan with accounting policies set out on pages 13 to 15 and with applicable United Kingdom accounting stsndards, current stslutory requirements, the Charities Act 2011, the Companies Act 2006 (Charitable Companies), Accounting and Reporting by Charities". Statement of Recommended Practi Applicable to Charities Preparing their accounts in accordance with the Financial Reporting Stsndard Applicable in the UK and Republic of Ireland IFRS 102112nd Edition, effective January 20191 I Charities SORP"), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland I'FRS 102,1 and the charity's governing document. Legal and administrative information set out on page 1 forms part of this report. The company and its charitable objectives for the public benefit The Chamber Orchestra of Europe ICOEI is a company limited by guarantee and not having a share capital Inumber 015876841. It is governed by ils Memorandum and Articles of Association dated 25 September 1981, and is a registered charity {number 2834841. Legal and administrative information, as sel out on page 1, forms part of this report. As well as being Leaders and Principals of other major orchestras, the players pursue parallel careers as international soloists, members of celebrated chamber ensembles, and as professors of music. Unsurprisingly, the Chamber Orchestra of Europe philosophy influenTrs the players, own work during the rest of the year, notably in a wide range of educational projects in which they are involved, making the Orchestra a truly impressive example of co-operation between individual European nations. The Chamber Orchestra of Europe has been able lo implement a European Partnership Scheme with a group of major concert halls and festivals across the continent. These include the Citè de la Musique in Paris, the Concertgebouw in Amsterdam, the Philharmonie in Cologne, the Tealro Communale in Ferrara, and the Lucerne and Salzburg Mozartwoche Festivals. These partnerships enhance the Orchestra's financial and artistic stability, increase its profile, and ensure that ils objectives can be sustainable in the long temi. The Chamber Orchestra of Europe Academy was developed in 2009 in order lo give selected students the chance lo stLJdy wth the principal players of the Chamber Orchestra of Europe and be inspired by the Orchestra's unique ethos and passion for Making music. The Trustees confirm that in accordan with section 17 of the Charities Act 2011 they have referred lo the Charity Commission's general guidance on public benefit when reviewing the Charity's aims and objectives and in planning their future activities. Oryanisation The company's adminislralion is under the control of the Trustees. The Trustees during the year to 31 December 2021 were.. J.P.A. Readman Ichairmanl M.G. Hoare (Secretary) J. Judd (Direclorl No TrusteelDireclor received any remuneration in the year to 31 December 2021, and no travel or other expenses were paid on behalf of any Trustee.
THE CHAMBER ORCHESTRA OF EUROPE TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) Method of appointment of trustees The appointment of TrusteeslDirectors is governed by the Memorandum and Articles of Association. In accordance with the charitable company's Articles of Association James Judd retires by rotation and, being eligible, offers himself for re-election. Results for the year ended 31 December 2021 The results for the year on page 10 of the financial statements show a net surplus for the year of £195,937 increasing reserves at the end of the year to £2,209,972. Achievements and Performance The COE was once again unable to perform during the first half of 2021, ils 40th anniversary year, and the team focused their efforts on another two new releases from archive recordings." fi'rsuy, another sel of concert recordings with conductor Nikolaus Harnoncourt taken between 1989 and 2007 in concerts halls in Berlin, Amsterdam and Graz which were released on 22 October 2021 by ICA Classics., secondly a DVDIBlu-Ray sel of all of the Sibelius Symphonies performed by the Orchestra al the Helsinki Festival in 1998 with Paavo Berglund, subsequently released by ICA Classics in January 2022 on the occasion of the 10th anniversary of Berglund's death. In May we celebrated the COE'S 40th anniversary online on Zoom instead of al the Merchant Taylor's Hall in London which was the venue of the Orchestra's launch concert back in 1981. The paty involved various speeches from a number of members, past and present, as well as a substantial quiz about the COE experuy put together and animated by Patrick McEnlee, the COE'S Tour and Stage Manager. We were delighted to be joined by former members calling from far-away countries who would not otherwise have been able to join an in-person celebration in London. The COE started touring again al the end of June 2021 and was delighted that the Beethoven Symphony Cycle project with Yannick Nézel-séguin had been resuscitated by the Baden-Baden Feslspielhaus. The musicians were thrilled to be able to perform together again, albeit in a socially distand manner, lo a much reduced audien, with lesls every single day to gel into the concert hall. Also, due to the travel ban beeen the UK and Germany in place al the lime, twelve British musicians and members of the COE team had to quarantine outside the UK for 10 days before the start of the project. All the symphonies were recorded by Deutsche Grammophon, as had been planned back in April 2020 and the release is scheduled for July 2022. The concerts in Baden-Baden were the first lo be streamed on the Festspielhaus's brand new digital concert hall to an International audience. At the end of July the COE travelled to the Rheingau Musik Festival where it performed for the first time in the Festival's 'Summil of Strings series. All six concerts led by COE violinist Ben Gilmore featured soloists from the Kronberg Academy, the most prestigious Academy for string players in Europe, with which the COE has developed a strong partnership over the past years. The COE will be the first orchestra in residence at the Academy's brand new venue, the Casals Forum, when it opens in September 2022. All six concerts were streamed on Magenta TV and were available to watch for a year free of charge anywhere in the world. The Orchestra was then joined at the end of August by violinist Veronika Eberle and violist Amihai Grosz in three perf0mlan$ of works by Richard Strauss, Mozart and Haydn at the Bedin Philharmonie and Hamburg's Elbphilharmonie. In the autumn we performed one concert in Bordeaux on 21 October with pianist Piotr Anderszewski and then o concerts with one of the COE'S Honorary Members Sir Andras Schiff in Germany at the end of November. These concerts were in Berlin and Friedrichshafen and brought the second half of the year to a very successful conclusion. Fortunately we had no concerts planned in December as these would have inevitably been cancelled as a result of the emergence of the Omicron variant which led to many concert halls in Europe being closed until the beginning of 2022.
THE CHAMBER ORCHESTRA OF EUROPE TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) Achievements and Performance Icontinuedl As the COE was kept off the platform for so many months between 2020 and 2021, we decided lo launch the COE'S own podcast, Interlude, in October 2020. Expertly presented by former BBC Radio presenter Simon Mundy, this has been a very Suc$$fUl initiative as il kept the Orchestra in people's minds throughout the pandemic. In particular, we released a special "COE@40" series during 2021, celebrating 40 years of the COE. These episodes featured current and former members of the Orchestra including conductors Jaime Martin, Thierry Fischer and Dougie Boyd, as well as regular artistic partners such as Yannick Nezel-seguin, Sir Antonio Pappano, Robin Ticciati and Janine Jansen. Other episodes in 2021 included the 'Making-of our recently released archive recordings.. Matthew Wilkie was interviewed about our second Harnoncourt box-sel and In January 2022 Dougie Boyd looked back at our Sibelius symphony cycle with Paavo Berglund. The 15 episodes of the podcast are all available on Apple podcasts, Spotify, Deezer and all other major platforms. Financo and sponsorship We continue to be very fortunate to benefit from the significant support of The Gatsby Charitable Foundation and from our programme of support of the Principal positions in the Orchestra. In 2021 we benefited again from a meaningful grant towards our eligible expenses from HMRC under its orchestra lax relief scheme which was introduced in April 2016. Above all, however, we reiVed exceptional and very signilicanl additional donations from The Gatsby Charitable Foundation specificalty to support our members through a very challenging Covid-affected year, for which we are immensely grateful. Reserves Policy At the end of the year the Orchestra had reserves of £2,209,972. The Oreheslra requires a level of reserves to ensure sufficient resources to support a programme of activity that involves development some years in advance. The Trustees also consider it appropriate lo have a certain level of reserves lo mitigate some of the risks associated with working across Europe al a lime of uncertainty caused by Covid. Given the cancellations and other disruptions arising from the virus, the Trustees consider the reserves held at the year-end to be vital lo ensure the Orchestra's future. The reserves of the charity are constantly reviewed by the Trustees to ensure they are appropriate lo support the activities of the charity. The Trustees sel budgets al the start of the year and review actual income and expenditure against these budgets at regular Trustee meetings. Major Risks The major risks to which the COE is exposed are constantly reviewed by the Trustees and, lo the extent possible, systems have been put in place to mib'gale those risks. Specifically, these include dealing with the massive consequences of Covid and now of Brexit, to which the COE is as vulnerable as any British orchestra. However, with the healthy level of reserves and additional grants from The Galsby Charitable Foundation there is every prospect that the Orchestra remains In a reasonable position lo weather the Covid storm. Future Activities At the beginning of 2022 we faced further problems as a result of COVID with our COnrt at the Salzburg Mozartwoche being cancelled for the second year running. It was something of a miracle that we were able to undertake our concerts with Norwegian violinist Vilde Frang and Venezuelan conductor Rafael Payare in Bergen, Oslo and Aalborg in February given the ongoing travel restrictions in place throughout Europe. In March we were lucky lo be able lo perform with Robin Ticciati and cellist Jean-Guihen Queyras in Berlin, but again our concert in Ludwigshafen was cancelled al very short notice as a result of BASF closing their hall until the beginning of April. However we were delighted to be able to begin our residency al the Eslerhazy Palace in Eisensladl with a concert directed by COE Leader Stephanie Gonley and Turkish pianist Fazil Say, followed by our first ever Performan al the Isarphilharmonie in Munich. The COnrt in Eisensladl also marked the beginning of our audiovisual partnership with medici.tv which will broadcast all our concerts at the Eslerhazy Palaee to their millions of viewers worldwide for the next three years.
THE CHAMBER ORCHESTRA OF EUROPE TRUSTEES. REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) Future Activitiés Icontinuedl We are very much Icdoing lorward to working with Jakub Hrusa and Patn"cia Kopaichinskaya in Italy Ni May gtnd at &nd of th• month with Fran¢oig Loloux in GLvmany. June will see us undertaksng our firsl OV•f tOLSr with Sir Simon Ratue. his ife Magdalona Kozana and tenor Andr8w Stapl85, and then in Juty we retum lo Baden-Baden for a sefies ol conc&rts with Yannick Nézet-séguin. perfomino and recO1ng the Brahms symphonies for Deutsthe Grammophon. The rest of Ihe ye8r also lth)ks very exciting aTrJ hopefulty we be able to accomplish 8 full $e8son for the fIt time in almost thr88 years. statsmont of trust. r•spon$lbllltl•s The trustees (who are also direcr5 of The cnambef Orchèstra ot Europe tor the purposes of company18wI ar8 r8sponsibl8 lor proparing the Trustees, Report and financial statèmènts in 8mdance applicable law and re9ulations. Cornpany law requires th8 trustees to kyep8 finantyal Statements for each financial ar. Und8r that law trustees must prepare the flnanctal stslements in acCOrdar with United Klrwom Generally Accepted Accounting Praciice (United Kingdom Accounting Stsndards and aptlicable lawl. Under company law the trusiees must not approva tha finanual st8t8ments unless they are satrsfied that they give a tru¢ and fair view ol Ilie ¥idle uf ¢allillb Ut Lli(Iritable Ggmpany and of the Incomlng resource5 and appllcallon of resources. indudlng the Income and expenditure. of the tharitabl8 companyfor that pèriod. In piepaiing Ihe5e financk91 statements. the trustees are roqulred to: 81 s¢le¢t suitable accounting pdicies and then apply them ¢on8iStentty,' bl observe the methods an(J principles in Ihe ChariJes SORP", el m9kp jiidoments and estimatos that ara rossbla and prud8nt: dl state whether applicable UK accA)unting standards have been folknw8d. s{Jbit to any matertal departuies rlisclosed and explained in the financial statements". and 81 prepa the financial statsments on the going conc8m basis unless il is inappropriate lo presume that the chaiitable company will conb'nue to operate. Tho trusteès are r$sponsible for k88ping adgquate accounting records that are suffieient lo sh¢)w and explain the charitae cx)mpanls transactions and disclose with reason8bte accuracy at any time the financial KM)sltlon ol the charitable eompany and ènable them to ensure thAt thp finanrial qtxtr4mgntR r.nmpty th thA Comp8ni8S ACÈ 2006. They a also tssponsible for safeguarding the assels of the eompany and hence fof takin9 reasonable steps for the PTevenlion and detectlon ollraud and other iffegulariEtes. The trustees confimi that $0 far as thfry a** aware, there ié no relevant audit information la$ Klgfin&l by s¥GtiiJn 418131 of Ihe Companies Act 20061 of which the charrtable compatys auditors are unawafe. They have taken 11 thè st8PS that they ought to have tak•n as trtsgt•è# in ordèr to mako thgms8lvOB aware of any rglèvant Budit infomation ar to establish that Ihe charitable cx)mpanVs auditors are aw8re of th8t information. By order of the trustee5 fvL4J J- John Pg18r Acr0bY Readman Chalmian Date..
THE CHAMBER ORCHESTRA OF EUROPE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHAMBER ORCHESTRA OF EUROPE Opinion We have audited the financial statements of The Chamber Orchestra of Europe (the 'charilable company'l for the year ended 31 Dember 2021 which comprise the Ststemenl of Financial Activities (including an income and expenditure accounll, the Balance Sheet, the Slalement of Cash Flows and Notes to the financial slalements, 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 Financial Reporting Standard 102 The Financial Reporting Standard applicable in the LIK and Republic of Ireland (United Kingdom Generally Accepted Accounting Praclicel. In our opinion, the financial statements.. give a true and fair view of the slate of the charitable company's affairs as al 31 December 2021 and of ils incoming reSoUrS and application of resources, including ils income and expenditure, for the year then ended,. and have been propedy prepared in accordance with United Kingdom Generalty Accepted Accounting Practice," and have been prepared in accordance with the requirements of the Companies Act 2006. Basls for oplnlon We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilib.es for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant lo 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 lo events or conditions that, individually or collectively, may cast significant doubl on the entity's ability to continue as a going concern for a period of at least e1ve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect lo going concern are described in the relevant sections of this report. Other information The trustees are responsible for the other information. The other information comprises the information Included in the Trustees, Report other than the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the exlenl othenmse explicitly slated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial stalemenls, our responsibility is to read the other information and, in doing so, consider whether the other Information is materially inconsislenl wlh the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misst8led. If we Identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misslatemenl in the financial statements or a material misstslemenl of the other infomiation. If, based on the work we have performed, we conclude that there is a material misstalemenl of this other information, we are required lo report that fact. We have nothing lo report in this regard.
THE CHAMBER ORCHESTRA OF EUROPE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHAMBER ORCHESTRA OF EUROPE {CONTINUED) Opinions on other matters proscribgd 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, which includes the Directors, Report prepared for eompany law purposes, for the financial year for which the financial statements are prepared is consistent with the financial statements., and the Directors, Report included within the Trustees, Report has been prepared in accordance with applicable legal requirements. Matters on whlch we are requlred to report by exceptlon In the light of the knowledge and understanding of the charitable company and ils environment obtained in the course of the audit, we have not identified material misstatements in the Trustees, Report. We have nothing to report in respect of the following matters 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 returns adequate for our audit have not been reTrived from branches not visited by us., or the financial slalements are not in agreement with the accounting records and returns,. or 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., or the trustees, were not entitled to prepare the financial statements in accordance with the small ompanies regime and take advantage of the small companies, exemptions in preparing the trustee5' report and from the requirement to Prepa a strategic report. Responsibilities of trustees As explained more fully in the trustees, responsibilities statement set out on page 5 the trustees (who are also the directors of the charitable company for the purposes of company lawl are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such inlemal control as the Iruslees determine is necessary lo enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial slalements, the Iruslees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related lo going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
THE CHAMBER ORCHESTRA OF EUROPE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHAMBER ORCHESTRA OF EUROPE {CONTINUED) Auditor's responsibilities for the audit of the financial Statements Our objectives are lo obtain reasonable assurance about whether the financial statements as a whole are free from material misslatemenl, whether due to fraud or error, and lo 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 IUKI will always detect a material misstatement when il exists. Misstalemenls can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected lo influence the economic decisions of users taken on the basis of these financial slatemenls. 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 irregularib'es, including fraud. The exlenl lo which our procedures are capable of delecling irregularities, including fraud is detailed below.. We tailored the scope of our audit to ensure that we performed sufficient work lo be able lo give an opinion on the financial statements as a whole. We used the oulpuls of a risk assessment, our understanding of the company, its environment, its controls and critical business processes, to consider qualitstive factors in order lo ensure that we obtsined sufficient coverage across all financial statement line items. Our audit procedures were designed to respond to those identified risks, including non-compliance with laws and regulations lirregulariliesl and ffftud that are material to the financial statements. In identifying and assessing risks of material misstatement in respect of irregularities including non-compliance with laws and regulations, our prOdureS included but were not limited to.. al planning stage, we gained an understanding of the legal and regulatory framework applicable to the charitable company, the Industry In which they operate and considered the risk of failing lo comply with these legal and regulatory requirements", we discussed with Trustees and staff members the policies and procedures in place regarding compliance with laws and regulations", we discussed amongst the engagement team the identified laws and regulations, and remained alert to any indications of non-compliance., and during the audit, we focused on areas of laws and regulations that could reasonably be expected to have a material effect on the financial slalements from our general commercial and sector experience and through discussions with the Trustees las required by auditing standards), from Inspection of the charitable company's regulatory correspondence and review of minutes of Trustees, meetings in the year. We also considered those other laws and regulations that have a direct impact on the preparation of financial slalements, such as the Companies Act 2006 and the Charities Act 2011. Our procedures in relats'on to fraud included but were not limited to.. inquiries of Trustees and staff members whether they have knowledge of any actual, suspected or alleged fraud., gaining an understanding of the internal controls established lo mitigate risk related lo fraud., using analytical prOdureS lo identify any unusual or unexpected relationships., discussion amongst the engagement team regarding risk of fraud such as opportunities for fraudulent manipulation of financial stalemenls., and scrutiny review of unusual transactions and entry into sensitive nominal ledger accounts. The primary responsibility for the prevention and detection of irregularities including fraud rests with the Trustees. As with any audit, there remained a risk of non-deleclion of irregularib'es, as these May involve collusion, forgery, intentional omissions, misrepresentslions or the override of internal controls.
THE CHAMBER ORCHESTRA OF EUROPE INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHAMBER ORCHESTRA OF EUROPE {CONTINUED) Auditor's responsibilities for the audit of the financial Statements {continued) Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstalemenls in the financial stalemenls, even though we have properfy planned and performed our audit in accordanTr with auditing standards. For example, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website al.. https'.Ilwhw.frc.org.uklauditorsresponsibililies. This description forms part of our Auditor's Report. Use of our report This report is made solely lo the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might slate lo the charitable company's members those matters we are required lo slate lo them in an audilorfs report and for no other purpose. To the fLJllest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company s members as a body, for our audit work, for this report, or for the opinions we have formed. Senior Statutory Auditor For and on behalf of Lewis Golden LLP Chartered Accountants and Statutory Auditors 40 Queen Anne Street London W1G 9EL Dale.. 6 June 2022
THE CHAMBER ORCHESTRA OF EUROPE STATEMENT OF FINANCIAL ACTIVITIES lincluding an income and expenditure account) FOR THE YEAR ENDED 31 DECEMBER 2021 Notes Unrestricted Funds 2021 Unrestricted Funds 2020 Income and endowments from.. Donations and legacies Charitsble activities 765,178 767,370 872,486 451,750 Other 254,004 461,940 Totsl income and endowments 1,891,668 1,681,060 Expenditure on: Charitsble activities 11,695,731) 11,368,180) Totsl expenditure 11,695,731) 11,368,180) Net income 195,937 312,880 Net movement in funds 16 195,937 312,880 Total funds brought forward 2,014,035 1,701,155 Total funds carried forward 16 2,209,972 2,014,035 10
TME CHAMBER OftCHRA OF EUROPE AS AT 31 DEGEMBER 2021 11 227Q011 2.(J)4.134 2.305,374 1032,864 (101,(k811 12B.I 2204.323 2,,2 ZIM4ms 2AOO,9TI 2.014.1 2.2rAI&T2 2.Ot4mS aprlBth UK wvj R• (FRS 1021 •ttcffl. qllw1 l J•yJay Z5191. Urthr B•¢4)n 20 11
THE CHAMBER ORCHESTRA OF EUROPE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2021 Notes 2021 2020 Net cash inflow from operating activities 18 271,877 286,261 Increase in cash and cash equivalents during the year 271,877 286,261 Cash and cash equivalents al the beginning of the year 2,004,134 1,717,873 Total cash and cash equivalents at the end of the year 2,276,011 2,004,134 12
THE CHAMBER ORCHESTRA OF EUROPE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Accounting policios 1.1 Basis of preparation The financial slalements have been prepared under the historical cost convention and have been prepared in accordance with Accounting and Reporting by Charities.. Slalement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102112twJ edition, effective 1 January 20191 and the provisions of the Companies Act 2006 and the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021. The charitable company meets the definib.on of a public benefit entity under FRS 102. 1.2 Going concem The trustees have considered a period of 12 months from the dale of approval of the financial statements when considering the going concern status of the charity. The charity reported an Increase in cash and cash equivalents of £271,877 for the year and has unrestricted reserves of £2,209,972. There are no material uncertainties regarding the going concern status. 1.3 Income and endowment$ (i) Donations and legacies Income from Friends, donations and legacies are recorded on a receipts basis. Donated goods and services are recorded by recognising an equal donation and expense at the fair value of the resources received. (li) Income from charitable activities Revenue from concerts and recordings are recorded on the accruals basis. (iii) Otherincome Other income is recognised on the accruals basis when the charity has entidement to the income, it is probable that the income will be received by the charity and the income can be measured reliably. 1.4 Expenditure Expenditure in the statement of financial activities is dealt with on the accruals basis and is classified as follows.. (i) charitable aGlivilies This comprises all costs expenditure incurred by the charity in meeting its charitable objectives. 1.5 Accumulated funds The unreslricled income funds represent the funds of the charitable company which are not designated for particular purposes. Any funds receivable during the relevant aceounling period bul not utilised are carried forward as part of total charity funds. 1.6 Tangible fixed assets and depreciation Tangible fixed assets are slated at cost less depreciation. Depreciation is provided on all tangible fixed assets (other than freehold landl al rates calculated lo write off the cost less eslimaled residual value of each asset over its expected useful life as follows.. Musical instruments Computer equipment 250/0 reducing balance 250/0 reducing balance 1.7 Debtors Short term debtors are measured at the transaction price, less any impairments. Loans receivable are measured initially al fair value, net of transaction costs, and are measured subsequently al amortised cost using the effective interest rale method, less any impairment. 13
THE CHAMBER ORCHESTRA OF EUROPE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) Accounting policies {continuod} 1.8 Cash and cash equivalents Cash and cash equivalents are represented by cash in hand, deposits held al call with financial institutions and other short-term highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible lo known amounts of cash with insignificant risk of change in value. 1.9 Creditors Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, nel of transaction costs, and are measured subsequently al amortised cost using the effective interest rale method. 1.10 Forelgn currency Transactions in foreign currencies are recorded at the rale ruling al the dale of the transacts'on. Monetary assets and liabilities denominated in foreign currencies are translated at the rale of exchange ruling al the balance sheet dale. All differences are taken to the Slalement of Financial Activities (including an income and expenditure accounti. 1.11 Music library No value is placed on the charitable company's library of music. 1.12 Presentational curroncy The financial statements are presented in Sterling, due lo the company being based in the United Kingdom, while the functional currency of the company is Euros. 1.13 Pgnsions Defined contribution pension scheme The company operates a defined contribution scheme for its employees. A defined contribution scheme Is a pension scheme under which the company pays fixed contributions into a separate entity. Once the onlributions have been paid the company has no further payment obligations. The contributions are recognised as an expense in the ststemenl of financial activities when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the scheme are held separately from the company in independently administered funds. 1.14 Financial instruments lil Financial assets Basic financial assets, including trade and other debtors and cash and bank balances are inilialty recognised al transaction price, unless the arrangement constilules a financial Iransaclion, where the transaction is measured at present value of future receipts discounted at a market rale of interest. Such assets are subsequently carried at amortised cost using the effective interest method. 14-
THE CHAMBER ORCHESTRA OF EUROPE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) Accounting policies {continued) 1.14 Financial instruments {continued) At the end of each reporting period, financial assets measured al amortised cost are assessed for objective eviden of impairment. If an asset is impaired, the impairment loss is the difference beeen the carrying amount and the present value of the eslimaled cash flows discounted al the asset's original effective interest rate. The impaimenl loss is recognised in the Statement of Financial Aelivilies {including an income and expenditure accounll. If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the carrying amount does not exTred what the carrying amount would have been had the impairment not previously been re¢(nIsed. The impairment reversal is recognised in the Statement of Financial Activities (including an income and expenditure accountl. Financial assets are derecognised when.. lal The contractual rights lo the cash flows from the asset expire or are settled., or Ibl Subslanlially all the risks and rewards of the ownership of the asset are transferred to another party," or {cl Control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset lo an unrelated third party without imposing additional reslriclions. Basic financial liabilities, Including trade and other creditors that are classified as debt are initially recognised at transaction price Ljnless the arrangement constitutes a financing Iransaclion. where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Debt instruments are subsequenuy carried at amortised cost, using the effective interest rale method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors are recognised initially at transaction pri and subsequently measured al amortised cost using the effective interest method. Financial liabilitie5 are derecognised when the liability is extinguished, this is when the conlraclual obligation is discharged, cancelled or expires. lili) Offsetting Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legal enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. 2 Income and endowments Income generated from charitable activities is staled nel of value added tax, and represents amounts invoiced to third parties. 3 Other income 2021 2020 EU VAT reclaim Royalties Insufftnce claims Orchestra lax relief 3,462 14,214 12,746 223,582 6,958 1,965 627 452,390 254,004 461,940 15
THE CHAMBER ORCHESTRA OF EUROPE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) Expenditure on charitable activities Notes 2021 2020 Dlrect: Players, fees and expenses Tour management fees Travel expenses Artists, fees Perfomance lated costs Withholding tsx 617,433 104,399 246,359 107.379 185,655 17,795 568,916 113,565 248,119 109,670 114,402 10,500 Indirect- Wages and salaries Employer's national insurance Pension contributions Telephone, postage, printing and sundry office supplies Foreign exchange lossesllgainsl Governance costs 179,086 16,636 11,133 42,555 107,555 69.746 179,098 16,759 11,028 44,544 1117,8801 69,459 1,695,731 1,368,180 Players, fees and artists, fees include payments made to independent professionals for the provision of services to the Orchestra. These fees include subsistence costs where applicable. Withholding tax Is deducted from gross concert fees for performances in Germany and is non- recoverable due to the charitable company not being liable for corporation tax. Governance costs 2021 2020 Auditor's remuneration Accountancy fees Bank charges 18,113 27,204 14,429 24,850 27,204 17,405 59,746 69,459 Auditor's remuneration 2021 2020 Audit fees Accountancy and other services 14,631 3,482 20,363 4,487 18,113 24,850 16-
THE CHAMBER ORCHESTRA OF EUROPE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) Donations in kind During the current and prior year, the charitable company benefited from the provision of office facilities and equipment made available by Friends of the charitable company. The Iruslees are of the opinion that it is not practical lo quantify this donation in kind, as the work required in obtaining professional advice would outweigh any possible benefit. The eharilable company also received a donation in kind by way of a reduction in audit fees of £2,750 12020.. £1,243) for services provided by Lewis Golden LLP. This donation in kind has not been recognised in arriving at the nel expenditure for the year. Taxation The charitable company is a registered charity and is not liable to corporab.on tsx in the United Kingdom. staff costs 2021 2020 Wages and salaries Social security costs Pension contributions 179,086 16,636 11,133 179,098 16,759 11,028 206,855 206,885 Average number of employees during the year.. 2021 Number 2020 Number Administration No employee reiVed emoluments exceeding £60,000 in the current or prior year. During the current and prior year none of the trustees lor any persons connected with them) reiVed any remuneration or reimbursement of expenses. 17
THE CHAMBER ORCHESTRA OF EUROPE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) 10 Tanglble flxed assets Musical instruments Computer equipment Total Cost At 1 January 2021 44,178 3,236 47,414 Additions At 31 December 2021 44,178 3,236 47,414 Depreciation At 1 January 2021 36,747 3,134 39,881 Charge for the year 1,859 25 1.884 At 31 December 2021 38,606 3,159 41,765 Net book value At 31 December 2021 5,573 76 5,649 11 Debtors 2021 2020 Trade debtors Other debtors Prepayments and accrued income 9,028 8,827 10,865 7,804 21,559 29,363 28,520 Financial assets that are debt instruments measured at amortised cost comprise trade debtors and accrued income amounted to £nil12020". £15,076). 12 Creditors: amounts falling due within one year 2021 2020 Trade creditors Taxation and social security Accruals and deferred income 34,040 6,842 60,169 17,9571 8,558 25,551 101,051 26,152 In the current year, accruals and deferred income includes £41,669 of deferred income in relation lo concerts lo be performed in 2022. There was no deferred income recognised in the prior year. Financial liabilities measured at amortised cost comprise trade creditors, general accruals lexcluding the audit fee accrual) amounted lo £34,04012020'. asset of £1,156). 18
THE CHAMBER ORCHESTRA OF EUROPE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 (CONTINUED) 13 Contingent assets The contingent asset that has not been recognised in the Balance Sheet is the potential Orchestra Tax Relief receivable for the year ended 31 December 2021. The Iruslees expect lo make a claim, however the value and timing of this receipt is uncertain. The Iruslees hope to re1ve approximately 25'/o of the eligible expenses incurred prior to 27 October 2021, temporaiily increasing to 50010 of the eligible expenses thereafter until 31 March 2023. 14 Status of the charitable company The charitable company, a registered charity, is a company limited by guarantee and not having share capital. The subscribers lo the Memorandum of Association, and any other persons which the ommittee admit, are members of the charitable company. Al present, the membership is 312020.. 31, each member guamnteeing the charitable company up lo an amount of £1. There is no controlling party. 15 Related party transactions There were no related paty transactions or balances during the current or prior year. 16 Total charlty funds 2021 2020 At 1 January 2021 Nel income 2,014,035 195,937 1,701,155 312,880 At 310ecember 2021 2,209,972 2,014,035 17 Analysis of net assets 2021 2020 Fund balances as at 31 December are represented by.. Fixed assets Debtors Cash at bank Creditors." amounts falling due within one year 5,649 29,363 2.276,011 1101,0511 7,533 28,520 2,004, 134 126,1521 At 31 December 2,209,972 2,014,035 All funds are unrestricted. 18 Reconciliation of net movement in funds to net cash flow from operating activities 2021 2020 Nel movement in funds Add". dèpreciation charge Ilncreaselldecrease in debtors Increaselldecreasel in creditors 195.937 1,884 18431 74,899 312,880 2,520 61,419 190,5581 Nel cash flows from operating activities 271,877 286,261 19