bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 1148 Registered number.. 1673689 Charity number: 284555 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUST) IA company limited by guarantee) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 2148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) CCWTENTS Page Roference and administralive details of tho company. its Trustees and advisers Trustaes. report 3-12 Independent auditor's Teport on the financial slatsrnents 13-15 Statement of financial activities 16 Balance sheet 17-18 Statement of cash flows 19 Notes to the financial statements 20-46 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 1148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2023 Trustees R Belshaw A Butler J Carroll, Chaim)an A Greenish lappoinled 11 March 20231 D Harris K Hatton {appointed 12 September 20231 A Jackson A Knight R May (appointed 24 January 20231 R Millar (appointed 11 March 20231 A Pollard (resigned 12 September 2023) M Rouco {resigned 3 October 20221 L Williams (appointed 24 January 2023, resigned 4 January 2024) S Williams (appointed 24 January 20231 The trustees retiring by rotation and putting themselves forward for reelection are A Knight, A Jackson and A Butter. Company registered number 1673689 Charity ragistered number 284555 Registered office Stoneham Court, 100 Cockney Hill, Reading, Berkshire, RG30 4EZ Chief executive officer D Wren Indepondent auditor James Cowper Kreston Audit, 2 Communications Road. Greenham Business Park, Greenham. Newbury, Berkshire. RG19 6A8 Bankots Barclays Bank Plc, Business Centre. PO Box 6193, Basingstoke, Hampshire, RG213RX CAF 8ank Limited, 25 lth.ngs Hill Avenue, Kings Hill, West Malling, Kent, ME19 4JQ Page 1 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 4148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY. ITS TRUSTEES AND ADVISERS {CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023 Solicitors Field Seymour Parkes Solicitors. The Old Coronerfs Court. 1 London Street, PO Box 174, Reading, Berkshire, RGI 4QW Actuaries Hymans Robertson. One London Wall. London. EC2Y SEA Page 2 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P $148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT FOR THE YEAR ENDED 31 AUGUST 2023 The trustees, who are all directors of the company, present their annual report together with the audited financial statements for the year ended 31 August 2023. The trustees confim) that the accounts comply wth the Companies Act 2006 and the Char¢lies Act 2022, have been prepared in accordance with the revised Statement of Recommended Practice 'Accounling and Reporting by Charities, IFRS 10212019 and comply wth the company's Memorandum and Articles of Association, which is the company's goveming document. The Bethshire Young Musi¢ians Trust I'Berkshire Music Trust, or fomierly trading as 'Berkshire Maestros,) is Registered Charitable Company limited by guarantee and incorporated as a company registered under the name the Befkshire Young Musician5 Trust. On 25 August 1982 the TTUSt was estsbli5hed under a Memorandum of Association which established the objects and powers of the charitable company and is governed under tts Articles of Association. Executive Summary BeTkshire Music Trust has continued to deliver high quality musical opportunities for young people in the 2022- 2023 academic year however the impact of the worsening economic climate post-pandemic saw a decline in student numbers across the year. Vve did however see growth in the performances and opportunities we developed compared lo the previous year. The year heralded the new as we moved from Berkshire Maestros to Berkshire Music Trust showcasing our cc*nmitment to inclusivity and accessibility. None of this would have been possible without the hard wort( and dedication of our staff - the leaching staff who continued to provide lessons. ensembles and school activities through a variety of fomats as well as the operations teams. who work hard lo keep everything running in the background and support our customers and pupils. Berkshire Music TNst exists lo provide a high quality. comprehensive musical experience lo the wdesl group of pupi15, regardless of their background or abilty. We work with schools and a wide range of professional and vol¥Jntary sector partners to provide an innovative range of creative and perfomiance opportunrties for our students. On behalf of Arts Council England IACEI, Berkshire Music Trust leads the Berkshire Music Education Hub and is responsible for the delivery of the National Plan for Music Education INPMEI across Berkshire. Our objectives are delivered through individual and group tuition in voice and a variety of instruments in schools and in five large music ￿ntre$ in Bracknell, Newbury, Reading, Wokingham and Windsor as well as one smaller satellite centre in Caversham. Tuition is supplemented by a wide range of ensembles and other extension activities at all levels. Setvices are contracted directly to parents and carers of students, to schwls and lo Arts Council England who are responsible for the distribution and management of the Music Education Grant provided by the Department for Education IDfEI. Page 3 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 6148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 Public Benefit The trustees review Berkshire Music Trust's Public Benefit commitments annually. The services provided.. music education and promotion of the arts, are both defined wthin the Charities Act 2006 as charitable activities. The Trust has comprehensive anti-discriminatory poliaes that are regularfy reviewed to ensure compliance. These policies cover all discrimination including financial hardship for which a number of restricted funds have been created to assist students from such backgrounds. Promsion of financial assistance is not limited lo students of families who qualify for assistance from 'Pupil Premium,. The Iruslees recognise that students from families whose income is only a little above the level to qualify for 'Pupil Premium, bul contend with the high cost of Ibving in Berkshire. may also require support and these applicats'ons are looked uwn favourably. We ¢)perale a bursary fund lo assist children and young people in this category. Our vision is lo enhance and enrich the lives of children. young people and aduhs through the unrivalled range of musical opportunitie5 we offer. Mission Statement= We work collaboratively lo inspire and develop musicians through creative, enjoyable and enriching leaming experiences. We seek to empower our community to achieve their potential, explore their own creative pathways and enjoy music in all ils fomis. Inclusivity- we believe music should be accessible to all Respect- we respect others. views and lived experiences Tfansparency- we are open and honest Innovation - we continuously evolve and adapt to changing needs Responsibility- we tske responsibility for our mission Partnership- we embrace partnership working Strate ic Pillars 2023-2026 EVERYBODY A MUSICIAN to ensure everybody can access music opportunities regardless of background or ctrcumslance CONTINUOUS LEARNING- lo develop and grow as a reflective learning organisation EMBRACING INNOVATION - lo utilise technology lo enhance systems and diversify opportunits'es GROWTH & SUSTAINABILITY- to develop the organisalion's resilience and make it future proof Deliverin the National Plan for Music As lead organisalion for the Berkshire Music Education Hub, we conts'nue lo fvlly implement the NPME, including all core and extension roles. In the quarterly feedback from Arts Council England, we were assessed and remained at a minor risk level attached to our ak¥>lication of the DfE fvnding. Summa of 2022-23 Year5 Our Eady Years work continues across the County wqth sessions in music centres remaining popular and providing an excellent progression route into instrumental and vocal music making for young people. Our community branch has suffered as a result of the cost-of-living crisis however we continue lo seek funding opportunities to continue this important work. Having laLEnched the Berkshire Music Tfust Eady Years NebNork {BEYMNI last year, we have built up a strong membership which includes Iriannual e-bulletins. access to the BEYMN Facebook page lo share ideas and resources and regular Continued Professional Development ICPD) sessions. Page 4 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 7148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 First Access First Access Igovemment funded whjle class instrumental programmel continued to be well received in schools. 111 schools signed up which was a small decrease of 3Wo from the previous year. We reached a total of 6,090 students and had 25 new schools sign-up for 22-23. 26 schools took up the fijll Ihree-year offer {we enable a reduced price to do this), and therefore this resulted in a 23Wo whole class continuation rate, a small 2% decrease from last year. We continued to provide Whole Class Ensemble Tuits'on IWCETI in our $￿claI schools and altemalive provisions, an example of this is The Pod KS2 which is a specialisl day provision for primary pupils with SEMH {Social, Emotional, Mental Health) and complex learning needs in West Berkshire. We deliver a term projramme here of music making bespoke to the students participating. We continued to provide a wde range of opportunitie5 to children and young people including instrumental and vocal lesson5. Our student numbers increased steadily over the year however we would like to have seen greater growth here. The majority of our teachers were observed as per our revised Teaching & Leaming Policy. We supplemented our weekly provision wth a variety of holiday courses as wetl as music theory lessons for Grade 5 and Grades 6-8. Teaching staff were sent out to schools in our new'Listen-up week,, visrting 38 schcols across the County to enable children and young ￿Ople to experience live music as well as to promote leaming an inslnjment Ensembles Coun Grou s & Events We undertook a review of our music centre ensembles to ensure that we were catering for all instruments and that we had clear progression routes in place across the County. This resulted in the introduction of new beginner level groups called 'Let's Play, these are designed to lake students from 5 notes upwards and to incorporate instruments such as guitar and keyboard that didn't have a beginner ensemble in place. We also considered genres thal we were not calering for a￿1 intend to start creative Let's Play groups that are based around improvisation and creative composition. We took 150 students aged 11-19 away in the summer on the first music cenlres tour since the pandemic. To make the tour more accessible lo students, we opened it lo everyone and created ensembles from what we had, rather than only opening tt to those groups that had enough students. This was a positive and suc￿Ssful trip which highlighted that music is also about building confidence, making friends, exploring new countries and doing things out of your comfort zone. In addition, we took 40 students aged 7-11 away on a residential trip over a long weekend to enable younger students to experien￿ more music making but also to benefit from the added social beneffts of being away wth other young musicians. One parent commented 'thank you all again for looking after X so well. he had an absolute blast and having not been away from home for more than one night before, it was a real ￿nfidence builder- for all of us!. We celebrated our 40th birthday by organising an event for our alumni to come back and participate in some music-making, over 175 alumni participated. This enabled us to kick-slart our alumni netsvork which we are I￿ping wll have a positive impact on both generating additional income bul more importantly in highlighting career pathways to current students. We also used this opportunity to give away 40 free places in our music Centre choirs to students who attended and sang in our Junior Music Festivals this boosted our choir membership and resulted in increased ongoing men*ership of the choirs. We held our temily 'Have a Go, events which enable young people from all over the County to come and try several instruments before deciding which one they would like lo leam. We also held our annual competition, this year for young string players to be named Berkshire Young Musician of the year, in partnership with the Windsor Festival. Page 5 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P W48 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 We held concerts in wonderful venues both in Berkshire and OLrtside of Berkshire, from The Hexagon lo The Anwl Theatre. We also worked wth professional arbsts such as the Royal Philhamionic Orchestra and Brindley Sherratt. Instrument Hire Scheme We continued to run a successful instrument hire scheme which helped children and young people aC￿sS range of inslrumenls. We continued to hire out ov¥ 800 instfuments in 2022-2023, Mqth a fvrther 2,713 being hired out to schools for our WCET programme. We offered CPD for schools both online and face to face in order to maximise accessibility for staff wod(ing in schools. Topics covered included Charanga. music making wyth PMLD {Profound and Multiple Leaming Difficulty) and SPLD {Specific Learning Difficulty) students. becoming a singing ￿h0O1, singing for success {taking your choir lo the next level). effective use of percussion instruments in the earfy year5, music and movement and enhancing the skill-set5 of non-specialist teachers. School newsletters go out tmce a temi to communicate our offer to schools cleady, to signp051 to national developments and to help open up impcfftant conversations with schools. Through the hub's partnership V¥qth Charanga. supporting schools wrth CPD and Training has benefitted 11 teachers from 10 schools. School Development Managers continue to build relationships with schools and discuss ways in which music can be further embedded in their schools. We continued to supwl schools with singing through our Singing Development Coordinators who work across the County wqth all schools supporting their individual needs. This is a bespoke support funth.on offered to every school and can range from support with running choirs, signposting to resources, offering CPD training to non-$pe￿all$*S as well as singing assembly ￿VICe and wami-up ideas. We resumed our Junior Music Festival fvlly live and had such interest from schools who wanted lo be involved that we had to put on 2 extra performances across the year moving from our standard 6 perfomance slructure to 8 performances. The theme this year was 'The Show Must go On, and the songs ranged from show tunes and pop songs lo arrangements from the Royal Opera House 'Creale and Sing. Programme of Humperdinck's Hansel and G￿tel. The feedback was very positive. 'Thank you for such a wonderful concert last night whith lifted everyone's spirit and truly showcased how rnusic can spread real joyl The children al X loved every moment of the preparation and many comments last night after the concert were incredibly heartfelt- 'This is the best night of my life" "I want lo do that again right now, and ' Can we come again next yeafi No doubt, the children will remember this fantastic musical experience for a long time.. Partnershi We continue to have a strong focus on partnerships as demonstrated by our Senior Leader role (Partnerships, Progression & Development) as well as our Middle Leader role of Partnerships & Inclusion Development Manager. Both parties have worked on maintaining current partners as well as seeking out new partners where the need arises. We have worked closely wth Readipop and Culture Mix again this year are our key delivery partners wth WI￿rn we are proud to share a vision of support for children and young people across Berkshire. Page 6 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 9148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 We have also continued Work in partnership with Berkshire Youth most notably in running bi-monthly youth music nights lor young people to have a safe space to share and practice their singinglsong-writinglplawng and perfomiing. We continue to provide tailored music activities with Berkshire Vision to ensure appropriate activities for their young people. We have continued to work wlth Aspire2 on our Early Years music project (local charity that aims for all children in all areas of Reading to have an equal opportunity lo access enrichment activities), and we partI￿Pated in a joint concert wlh our County Youth Choir and the Bradfield College choir (independent school in Bradfieldl. We continue referrals and signposting to our Music Therapy partner, Wholestep CIC and we continued working alongside the Royal Philhamionic Orchestra, notably getbng the opportunity to bring students along lo the Noisy lQds day al the Hexagon to participate in some music workshops with animaleur, Tim Steiner. Our partnership with Windsor Festival continued and we are delighted to be able lo afford our young people the opportunity lo engage with professional musicians through this relationship. Through our needs analysis. we aim to identify new partners and one of those this year was the Household Cavalry Band who are based in Windsor. We arranged for some of their musiuans to attend ensemble rehearsa15 for our Windsor Senior Wind Band as well as to support them in a concert. Both student5 and our teachers were delighted to have this support. We are aiming to fijrther develop this partnership in the coming year. Examinations We continued lo run Trinity and ABRSM exam sessions for our students wth a slight decrease in total entries from 634 last year to 587 exam entries in 2022-2023. Of these 37Qkn passed, 38% gained a merit and 19% gained a distinction. 5fr/o of the total number of entries were Grade 8, this is a decrease of 12 entries compared to last year. 3201& of the Grade 8 entries achieved a distinction. 290A achieved a merit and 36% passed. 20k of the total number of entries were for ARSMIAdvanced CertificatelDiploma level, this was an increase of 3 entries compared to last year. 34VA of the ARSMICertificale entries achieved a distinction and 59Yts of them achieved a merit. We also support students to undertake exams with the Music Teachers Board and Trinity Rock and Pop Exams depending cffl what is appropriate for each student. We are unable to collate data on these results. We successfully bid for the followllg funding during the year= £1,000 from the Utley Foundation for our Dementia Singing Café wo £8.450 from the Greenham Trust and their matching donors for Rock Band Project Technol Through the hub's continued partnership Mfjth Charanga. lake up of the hub's digital learning support for core and eXte￿510n roles wntinues to grow. Charanga is a multi-hub online leaming plalfomi through whiGh schools, instrumental teachers, and children arKI young people access a variety of online musical digital technology support programmes, as well as training and CPD. In 2022-2023. 159 Schools were provided with a￿25S to the Charanga M¥Jsical School programme where its musical digital technology was used in 32.374 hours of teaching. We have continued to make large strides in our use of digital technology in order to improve processes and systems Mqthin our Business Operations team. We continue lo use Microsoft and Office 365 and notabty created a variety of SharePoint sites in the last year to increase communication and information sharing within the organisation and wth our Board. This also helped in the transition we made over the summer to a cloud server. We continue to look at ways in which we can utilise technology and Al to improve processes and a key strategic pillar in our new strategy is around Embracing Innovation as we recognise we have worf( to do in this area. Meetings with stakeholders. trustees. stsff and other partners have continued to be online or hybrid and remain an advantageous way to have meetings. Page 7 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 10148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 We are now utilising a sign-in app and tablet to tighten up safeguarding our staff and students at music centres. These have now been rolled out to all our music cenlres. We continue to use our iPads to support some of the inclusion work that we do. One of our teachers uses them at a local children's centre with disabled children and their families - here they have been using 'Thumb Jam. and 'Keety lo make music. Diversi & Indusion Through our inclusion strategy we have identified and supported over 400 students in different settings across the County with music making activities. This is a 500% increase from last year as we have increased our delivery substantially in Year 2 of our strategy. Much of this woJ1( has been worf(ing wth partners lo Supp￿ us in tsrgeting our work lo where it is most needed. An example of this has been our early years project with Aspire2, which is a local charity dedicated to improving the lives of children and young people in a deprived area of Reading. This project was delivering eady years music sessions in nurseries and children's cerFlres across the area as well as training non-specialist staff to also bring music into their settings as a legacy of the project. The programme was huge￿ succes5fiJl - some feedback from one staff member told us about one child who had English as an additional language and how the music realty helped him to improve his understanding of English and his listening skills. Financial review The financial results were set out in the Statement of Financial Activities and demonstrate a deficit for the year of £115,75212022- deficit of £490,217}. In order to comply with accounting standards and, in particular FRS 102 Post-Employment Benefits, resources expended include a charge of £44,000 12022- £311,000) for pension costs relating lo the Defined Benefft Pension Scheme for administrative staff. This accounting standard requires that the pensions liability is recognised as the benefits are eamed. not when t￿Y are due to be paid. and accordingly an estimate of the liabilities accrued for the period is provided by the scheme's actuary (for full details see note 261. This adjuslment is calculated at the year-end and is nol monitored throughout the year when reviewing operating finances of the company. The total value of the pension scheme liability as of 31 August 2023 is £340,CK)O {2022.' £443,000) as shown in the balance sheet. For operational purposes. the trustees use the'operating surplu5 1 Ideficitl. of the unrestricted fund5 as a more meaningful performance measure. The unrestricted operating Ios5 for the period was £49k 12022.. £98kl as shown below: 2D23 2022 Unrestricted £'ooo 3,339 13,3881 1491 1441 1231 11161 Restricted £'ooo 1,367 {1,367} Unrestricted £'ooo 3.422 {3,520} 1981 {3111 Restrieted £'ooo 1,179 11,2671 1881 Income Expenditure Operating surplus l {deficiti FRS 102 adjustment Unrealised investment Ilossl I gain Net income I lexFenditurel 1402} 188 Operational result5 demonstrate that the year continued to be one of challenge. Page 8 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 11148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 student numbers slightly decreased throughout the year. Due to the cost-of-living crisis, many families cut back their household expenditure and music lessons become an earty victim of any downtum in the economy. As result, our fees from lessons and ensembles indudng their Gift Aid daims decreased by 7% year-on-year to £2,853,21812022: £3,055,368) to unrestricted income. It has not been possible to raise additional income from Subletbng r¢)oms at stoneham Court or the usual level of fundraising. This wll have a knock-on impact on the value of income raised through Orchestra Tax Relief. Action has continued to be taken throughout this post-pandemic time to seek addrtional funding and to reduce costs wherever wssible. Some staff opted to reduce their contracted hours which has also resulted in Teaching Costs decreasing. Although some savings have been made on running costs. overheads were largely unaffected. with Music Centre premises costs remaining payable under the contractual terms. Income Overall total income increased year on year to £4,706k (2022: £4,601k). Fees from parent paid and schcxjl lessons and ensembles showed a decrease of 7% to £2,853k 12022.. £3.055kl, because of resumed activity approximately lo the levels of pre-covid bul a reduction of group lesson fees by 10Qkn. Govemmenl funding was reported at £1,344k. These are restricted funds provided specifically to support delivery of the National Plan for Music Education through first access programmes and music hub activities together with funding from the Department of Education to support the Teachers. Pension Scheme, total £1.344k 12022= £1.165kl. Due lo the ACE funding period for music education hub being changed from "Financial Year. to "Schwl Yearf,. there was a on&off defeffed income realised in restricted income during the year. Other income raised through music related activities such as examinations. concerts. instrument hire was increased to £419k12022.' £315k}. Ex nditure Total expenditure showed an decrease lo £4.799k13)22.. £5.099kl.' Contracted staff costs were lower at £3.303k {2022'. £3.324kl as a result of reduced contracted hours. Fees paid to seW-employed staff were increased to £343k 12022- £337kl due to resuming of normal teaching activities. Event costs were increased lo £182k {2022'. £131k) as concerts and events were resumed at the nom)al level and tours operated again as normal. Governance costs were increased to £45k12022.. 28k} due to an increase in our use of legal advice and govemance athice. Cashllow There was a rtet ouffiow of cash during the year with cash balances of £1.220k12022.. £1.227kl at year-end. Restricted funds The total value of restricted funds held at the year-end was £40k (2022.. £40kl. The funding received from Arts Coun￿1 England was used to directly support our actwits'es as leader of the Berkshire Music Hub, with no balance carried forward. Other restricted funds relate to donations specifically provided by individuals or organisalions to provide finanaal support for students in the form of fee assistance or donated instruments. The Covid-19 hardship fund has been continued and canied forward to the next year. specrfically supporting children whose families are suffering financial hardship as a rèsuFt of the pandemic as shown in note 20. Page 9 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 12148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 Princi al risks and uncertainties The trustees have a risk management strategy which comprises an annual revlew of the risks Berkshire Music Trust may face and establishes systems and procedures to mitigate those risks identrfied. Art5 Council England funding continues to be confimied on a one-year cycle. currenlly confirmed until August 2024, giving limited forNard certainty on Ihis portion of our funding Underfunding of the tVKJ defined benefit pension schemes, the Teachers, Pension Scheme ITPS} and the Local Govemment Pension Scheme ILGPSI. This could result in additional provisions in the accounts andlor an increase in costs. Uncertainty created by the current economic dirnate and the impact of Brexit, music lessons being an early victim of any downturn in the economy. Rises in inflation and increased living costs affecting ability lo pay staff adequately and limiting our fees increasing rate. Reserves The trustees have reviewed their reserves policy during the hvo years in light of the Covid-19 pandemic. It was agreed to maintain the existing threshold of reserves Ilhree time5 the average regular monthly expenditure) as being adequate against costs and that the funds invested with Ruffer should only be divested a5 a last re50rt. The level of expendable reserves as of 31 August 2023 was the unrestricted fijnds of £2,713,435 less tangible fixed assets É1.SS1, 127. a total of £1.162.308 120X- £1,210.1841. better than our target reserve £1.1 million approximately 3 months, expenditure. Structure> govemance and management Constitution The Berkshire Young Musicians Trust (operating as Berkshire Music Trust, fomierfy Berkshire Maestros) is registered as a Charitable Company limited by guarantee and was set up by a Memorandum of Association. Trustee Board The company is managed by a Iruslee board. The board is ultimately responsible for the activities and perfom)ance of the company. However. day lo day management is delegated to the Chief Executive supported by a Senior Leadership Team. The board seeks to have a range of trustees wth rdevant 5ki11s and experience. In June 2022. an audit of the board skills and experien￿ wa5 undertaken to assess the current breadth of experience and skills, identify any gaps and to enable the recruitment of new trustees wrth relevant skills and experience. This process wll be undertaken annually by the nominations committee as part of a planned trustee recruitment cycle In addition to the trustees there are also representatives from the Local Authorities.. P Gittings IReadingl, S Kerr Iwokinghaml, G Bemard IBracknell Forestl, Leo Walters (Royal Borough of Windsor & Maidenhead}, and O Jeffries (West Berkshirel. Three representatives from Berkshire Music Trust staff Assoaation and the Chair of the Berkshire Music Trust Youth Advisory Board are also invited to attend Board meetings {these representatives do not have trustee wwers}. Page 10 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 13148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 Election and intment of Iruslees The Articles of Association require that each year, one third of the board retire and, if eligible, seek rtrelection at the Annual General Meeting. New trustees appointed Mqthin the year are required lo stand for reelection at the first Annual General Meeting following their appoinbrent. Each trustee undertakes induction training which consists of a briefing by the Chief Executive and Chair of trustees on their roles and responsibilities_ They are fumished with a range of information and literature for fijture reference. Emphasis is placed on the legal status and resFX)nsibilities of a trustee. The full board meets al least six times a year to consider overall perfomance. future direction and strategy. Committees comprising trustees, the CEO and other appropriate senior managers, support the board by considering matters in greater depth and maintaining a closer link wTth the Company's executive management. These committees generally have 'non-executive roles. except where financial and operational control procedures require trustee level auth0ri5ation. Currently, there are ￿ Committees 111 Finance and Property, wrth its areas of responsibility involving monitoring and reviewqng operational and financial perfomiance together wth ensuring appropriate financial controls are in operation. Additionally, it has responsibility for risk management, governarÈce and statutory audit. {2} Nominations committee, who wll annually review the board skills and experience, identrfy gaps and rf necessary. advertise and interview new trustees. Pa for ke mana ement ersonnel Key management are considered to be the Chief Executive and members on the Senior Leadership Team {SLTI. Their salaries are reviewed each year by the Irustees and any increase is usually at the same rate as other staff. The health and safely of staff and students together Mrith child protection are primary concems to the trustees. I key staff undertake both first aid and fire marshal training and all staff are made aware of their own duties and responsibiltties for health and safety issues. Patiujlar attention is paid to risks to staff and students from prolonged exposure lo high volume instruments. Music Trust adopts the cu￿ent requirements of the Home Office and Department of Educab"on IDfEI lo a￿ange the registration and Enhanced DBS checks for all new staff. All staff are required to complete a "Declaration of Disqualification" and undergo Prevent training. We hold on file and verify all personnel, right lo work, medical and disqualification checks in line wth OFSTED induding home address and Nl number - in line wqth DfE Guidance- Keeping Children Safe in Education_ DBSS arÈ regularly re-checked for all staff and a regular cycle of safeguarding training is in place. Page 11 VkiuaBunatLYeTrarffjxlvM Ref. 5gYX-2YHG-RG3P 14 Feb 2024 10..49..46 GMT IUTC +0) 0 113 P 14146 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2023 The trustees (who are also the directors of the company for the purposes of company lawl are responsible for preparing the trustees, report and the financial slalements in accordance with applicable law and United Kingdom Accounting Standards {United Kingdom Geneially Accepted Accounting Practscel. Company law requires the trustees lo prepare financial statements for each financial year. Under company law the trustees musl not approve the financial statements unless they are satisfied that they give a true and fair view of the stale of affairs of the company and of ils incoming resources and application of resources, including its in¢yJme and expenditure, for that period. In prepanng these financial statements. the trustees are required to.. select suitable accounting policies and then apply them consistently observe the methods and principles of the Charities SORP IFRS 1021 make judgements and accounting estimates that are reasonable and prudent., state whether applicable UK Accounting Standards IFRS 102} 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 thal the company wll continue in business. The trustee5 are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the finanaal statements comply wqth the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Disclosure of infomiation to auditor Each of the persons who are trustees at the time when this Trustees. report is approved has confimied that.. so far as that trustee is aware, there is no relevant audit information of which the companls auditor is unaware" and that Iruslee has taken all the steps that ought to have been taken as a trustee in order to be aware of any relevant audit infomiation and lo establish that the companls auditor is aware of that information. Auditor Having served as our auditors for over 5 years, the F&P Committee ran a tender Pro￿$5 across four potentia Audit partners and are delighted to wppoint James Cowper Kreston at this time. Approved by order of the members of the board of trustees and signed on their beha￿ by.. J Carroll Chairman of Twstees Dale= 14 February 2024 Page 12 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 15148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE BERKSHIRE YOUNG MUSICIANS TRUST {OPERATING AS BERKSHIRE MUSIC TRUST} Opinion We have audited the financial statements of The Berkshire Young MusI￿anS Trust (operating as Berkshire Music TTU511 Ithe 'charilable companVI for the yeaf ended 31 August 2023 which comprise the Ststement of finanGial aGtivitie5. the Balance 5heel. the Statement of Gash flows and the related nole5, inGluding a 5umniary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and Untted lfjngdom Accountillg Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, (United iQngdom Generally Accepted Accounting Practice). In our opinion the financial statements= give a true and fair view of the stale of the charitable compan￿9 affairs as at 31 August 2023 and of its incoming resources and application of resources, including its income and expenditure for the year then ended.. have been properly prepared in accordan￿ wth United Kingdom Generally Accepted Accounting Practice,. and have been prepared in accordan￿ with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance Mqth Intemalional Standards on Auditing IUKI IISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditorf5 responsibilities for the audFt of the financial statements section of our report. We are independent of the charitable company in accordance wrth the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Finanaal Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance wth these requirements_ We believe that the audit eviden￿ we have obtained is SUffi￿ent and appropriate lo provide a ba%s for our cpinion. Conclusions rolating to going concern In auditing the financial statements. we have concluded that the Iruslees. use of the going concern basis of accounting in the preparation of the ffinan￿al statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that. individually or collectively, may cast significant doubt on the charitable companls ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees wrth respect to going concem are described in the relevan* sections of this report. Page 13 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 16148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRusn ICONTINUEDI Other information The other infomialion comprises the information induded in the Annual report other than the financial statements and our Auditorfs report Ihereon. The trustees are responsible for the other information contained within the Annual report. Our opinion on the finanGial statements does Gover the other infortnation and, except to the extent olhetwse explicitly stated in our report. we do not express any form of assurance conclusioll thereon. Our responsibility is to read the other infomiation and, in doing so, consider whether the other information is materially incon5iStent wth the financial statements or our knowledge obtained in the course of the audrt. or otherwqse appears to be materially misstated. If we identify such material illconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have perfomied, we conclude that there is a material misstatement of this other infomiation, we are required to report that fact. We have nothing to report in this regard. Opinion on other matters prescribed by the Companies Act 2006 In our opinion. based on the wort undertaken in the course of the audit.. the infomiation given in the Trustees, Report for the financial year for which the financial statements are prepared is consistent with the financial statements. the Tru5tee5' Rewrt has been PTepared in ac(L)rdance with applicable legal requirernents. Matters on which we are required to report by exception In the I￿ht of our kn￿edge and understanding of the charitable company and its environment obtained in the COUTse 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 Companies Ad 2006 requires us lo report to you if. in our opinion- adequate accounting records have not been kept, or retums adequate for our audit have not been received from branches not visited by us- or the financial statements are not in agreement wth the accounting records and retums" or certain disclosures of trustees, remuneration speafied 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 wth the small cr)mpanies regime and take advantage of the small companies, exempts.ons in preparing the Trustees. Report and from the requirement to prepare a Strategic Report. Responsibilities of trustee5 As explained more fully in the trustees, responsibilities statement, the Iruslees (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 gtve a true and fair view, and for such intemal control as the twslees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due lo fraud or error. In preparing the financial stalemenls, the trustees are responsible for assessing Ihe charitsble companVs abilty to continue as a going concem. disclosing, as applicable, matters related to going concem and using the going concem basis of accounting unless the Iruslees either intend to liquidate the charilabbe company or to cease operations. or have no realistic alternative but to do so. Page 14 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 17148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRusn ICONTINUEDI Auditor's rosponsibilities for the audit of tha financial stsiem6nis Our objectives are lo obtain reasonable assurance about whether the financial statements as a whole are free from material mis51atemenl. whether due to fraud or error, and to issue an Auditorfs report that includes our opinion. Reasonable assuran￿ 15 a high leyel of a55uranGe. but 15 llot a guarantee thal an audit GonduGted 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 rf, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial stslements. Irregularities, including fraud, are instances of non-compliance wth laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, induding fraud. The extent to which our procedures are capable of deleth.ng irregularities, including fraud is detailed below- Enquiry of management, those charged wth govemance around actual and potential litigation and daims- Enquiry of management to identify any instance5 of non-compliance wth laws and regulations: Reviewyng minutes of meetings of those charged with govemance., Reviewing financial statement disclosures and lests'ng lo supporting documentation to assess compliani th applicable laws and regulation5. Performing audit work over the risk of management override of controls. including testing of joumal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the nomial course of business and revieing accounting estimates for bias. A further description of our responsibilities for the ￿dit of the financial statements is located on the Financial Reporting Council's website at". wwN.frc.or .uklauditorsre5 nsibilities. This description foms part of our Auditorfs report. Use of our report This report is made solely to the charitable companys members, as a body, in accordance wrth Chapter 3 of Part 16 of the Companies Act 2006_ Our audit work has been undertaken so that we might slate to the charitable companvs members those matters we are required lo state to them in an Audilorfs report and for no other putpose. To the fullest extent permitted by law, we do not a¢￿pt or assume responsibility to anyone other than the charitsble company and its members. as a body, for our audit work. for this report. or for the opinions we have formed. Fiona Hawkins Msc FCA (Senior statutory auditor) for and on behalf of James Cowper Kreston Audit Chartered Accountants and Ststulory Auditor 2 Communications Road Greenham Business Pa Greenham Newbury Berkshire RG19 6AB Date= 2710212024 Page 15 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 18148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2023 Restricted Unrestricted funds funds 2023 2023 Total funds 2023 Total funds 2022 Note Income from: Donations and grants Charitable activities= 23.584 31.479 55.063 38,234 Fees Govemmenl funding Other music related activities 2.853,218 2,853,218 1,343.903 419.018 3.055.368 1.165.049 314,848 19,275 1,343,903 419,018 Orchestra tax relief Investments other income 1,945 30,649 1.945 30.649 8,664 Total income 1,367,487 3.338,953 4,706,440 4,601.438 Expenditur8 on: Raising funds Charltable acuvltles 59.628 3.372.217 59.628 4,T39.214 59,864 5.039,268 1,36fj,99T Total oxpenditure 1,366,997 3,431.845 4,798.842 5.099,132 Net incomellexpenditure) before net {lossesllgains on investments Net Ilossesygains on investments 490 192,892) 123.350) 192,4021 123.350) {497.6941 7.477 Net movement in funds before other Tecognised gainsl{losses) 490 (116.242) {115.752) {490.2171 Other recogni5ed gainsll105ses}- Actuarial Ilosses)Igains on defined benefit pension schemes 147.000 147.000 3.336.000 Net movemfrnt in funds 490 30,758 31.248 2.845,783 Reconciliation of funds: Total funds brought fotward Net movement in funds 39,925 490 2.342.6TT 30.758 2.382.602 31.248 {463.1811 2.845,783 Total funds carried forward 40,415 2,373,435 2,413.850 2,382,602 The Statement of Financial Aclivities includes all gains and losses recognised in the year. The notes on pages 20 to 46 fom part of these ffinan￿al statemenls. Page 16 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 19148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) REGISTERED NUMBER: 1673689 BALANCE SHEET AS AT 31 AUGUST 2023 2023 2022 Note Fixed assets Tangible assets Investments 14 1.551,127 100 1,575,493 100 15 1,551,227 1,575,593 Current assets Debtors 392.155 596,959 1.220,126 604,975 620,309 1,226,762 Investments Cash at bank and in hand 17 2,209,240 2,452,046 Creditors.. amounts falling due wthin one year 18 1985,2991 {1.202,0371 Net curront assets 1.223,941 1.250,1X)9 CreditrJrs- amounts falling duè after more than one year 19 (21,3181 Net assets excluding pension liability 2.753,850 2.825,602 Defined benefit pension scheme liability 1340,0001 1443,CK)O) Total net assets 2.413,850 2,382,602 Page 17 VkiuaBunatLYeTrarffjxlvM Ref. 5gYX-2YHG-RG3P 14 Feb 2024 10..49..46 GMT IUTC +0) 0 113 P 20146 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) REGISTERED NUMBER: 1673689 BALANCE SHEET ICONTINUEDI AS AT 31 AUGUST 2023 2023 2022 Note Charity funds Restricted funds 40,415 39,925 Unrestricted funds Unrestricted funds excluding pension asset Pension reseNe 2.713,435 1340,0001 2,785,677 1443,000) 20 Total unrestricted funds 20 2.373,435 2,342,677 Total funds 2.413,850 2,382,602 The trustees ackno1￿edge their responsibilities for complwng wth the requirement5 of the Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance wth the prowsions applicable to entities subject to the small companies regime. The finanaal statements were approved and authorised for issue by the trustees and signed on their behalf by.. J Carroll Chairman of Twstees Dale= 14 February 2024 The notes on pages 20 to 46 fomi part of these financial statements. Page 18 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 21148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2023 2023 2022 Cash flows from operating activitios Nel cash provided by operakn.ng activib.es 1,384 132,587 Cash flows from investing activities Interest from investments Purchase of tangible fixed assets (35,8741 {40,CK)O) Net cash used in investing activities {33,9291 {40,0001 Cash flows from financing activities New hire purchase contracts Repayments of hire purchase contracts 30,117 14,2081 Net cash provided by financing activities 25,909 Change in Gash and Gash equivalents in the year Cash and cash equivalents at the beginning of the year 16,6361 1,226,762 92,587 1,134,175 Cash and cash equivalents at the end of the year 1,220,126 1,226,762 The notes on pages 20 to 46 fomi part of these financial statements Page 19 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 22148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 General information The Berkshire Young Musicians Trust is an incorporated charity. It is registered in England and Wales with charity registered number 284555 and company number 1673689. The principal address of the Charity is 100 Cockney Hill. Stoneham Court. Reading. Berkshire. RG30 4EZ. Accounting polieies 2.1 Basis of preparation of financial statements The financial statements have been prepared in accordance wlh the Charities SORP IFRS 102) - Accounting and Reporting by Charitie5". Statement of Recommended Practice applicable to charities preparing their accounts in accordance i*ilh the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 leffeclive 1 January 20191. the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021 and the Companies Act 2006. The Berkshire Young Musicians Trust (operating as 8erkshire Music Trust) meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised al historical Cost or transaction value unless otherNise slated in the relevant accounting policy. 2.2 Going concern As at 31 August 2023 the balance slieel shTJNS net assets of £2.413,850, winpared to £2.382,802 at 31 August 2022. The increase in assets reflects the current year operating deficit and the decrease in the pension scheme liabilty on the Local Govemment Defined Benefit Pension Scheme to £340,000. Taking this into account and together with a strong nel current asset position, the Trustees have a reasonable expectation that Ihe company has adequate resources lo continue in operational existence for the foreseeable future. Accordingly. the Trustees continue to adopt the going concem basis in preparing the financial ststements. Page 20 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 23148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Accounting polieies {continuodl 2.3 Income Feès Fees represent amounts charged for lessons and ensembles ar￿ are accounted for on an accruals basis. Assistance with gross fees and fee remissions is included in expenditure as Charitable Support. Voluntary incorne Voluntary income comprises legacies and other donations which are made available for the general purposes of the company. They are recognised when the amounts are received unless there is su￿1Clent evidence to provide the ne￿SSary certainty that the legacy or donation will be received and that the value of the incoming resources can be measured with suffiaenl reliabilty. Donations and grants Donations made for other specific purposes are treated as restricted fvnds. Government funding Payments received under contracts from Arts Council England and any of the Unitary Authorities of Berkshire to subsidise the Provision of music tuition services are reeognised in the Statement of Financial Activities in the period lo which they apply. Events, courses, concerts and tours Income from events, courses. concerts and tours represents monies charged for tours, receipts from concerts and other fundraising. These monies are accounted for on an accruals basis and matched with the associated expenditure incurred. 2.4 Expenditure Expendrture is recognised On￿ there 15 a legal or construckn.ve obligation to transfer economic benefit lo a third paty, it is probable that a transfer of economic benefEts will be required in settlement and the amount of the obligation can be measured reliabty- Expenditure is dassified ty activty. The costs of each activity are made up of the total of direct costs and shared Costs, including support costs involved in undertaking each aclivily. Direct costs attributable to a single activty are allocated directly to that aclivty. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apporttoned bebKeen those activities on a basis consistent wth the use of resources. Central staff costs are allocated on the basis of lime spent, and depreciation charges allocated on the portion of the asset's use. ExperKliture on raising funds includes all expenditure incurred by the company to raise fund5 for its charitable purposes and includes costs of all fiJndrai5ing activitie5 events and non-charrtable trading. Expenditure on charitable activitie5 is incurred on directly undertaking the activities which further the companys objectives, as well as any associated support costs. Support and administrats.on costs are split across activities on an basis of estimated lime spent. 2.5 Interest receivable Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the company., this is nomally upon nolfficalion of the interest paid or payable by the institution with whom the funds are deposited. Page 21 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 24148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Accounting polieies {continuodl 2.6 Taxaiion The company is considered lo pass the lesls set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and thefefore it nieet5 the definition of a cha￿table GOMpa￿Y for UK wrporation tax purposes. Accordingly, the ￿MpanY is potentially exempt from taxation in respect of income or capital gains received wqthin categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992. to the extent that such income or gain5 are applied exdusively to charitable purposes. 2.7 Tangible fixed assets and depreciation Assets that individually cost less than £500 are not capitalised. The cost is Mryitten off to the Statement of Financial Activities in full when purchased. Assets that have been donated are capitslised at their full Ma￿et value at the time of donation and depreciated. The value of the donation is treated as income in the Statement of Financial Activities as a restricted fund. Tangible fixed assets are initially recognised al cost. After recognition, under the cost model, tangible fixed assets are measured al cost less accumulated depreciation and any accumulated impaiment losses. Ml costs incurred to bring a tsngible fixed asset into its intended working condition should be included in the measurement of cost. Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method. Depreciation is provided on the following bases-. Freehold property Motor vehicles Fixtures and fittings Computer equipment other fixed assets At 2% and 5% of c05t At 200A of cost At 200/0 of cost At 33Q/o of cost At 20Wa of cost 2.8 Investments Investments are stated at the market value indicated by the Report of the Investment Managers to the trustees al the Balance Sheet date. Amy resulting unrealised gain or loss is taken lo the Statement of Financial Activities. The Berkshire Young Mu5icAans Trust has a fully owned subsidiary called Maestros Enterprises Limited, company number 11609495. Group accounts have not been prepared as the Subsidiary is not material to the group. The resutt5 of the Subsidiary are disclosed in note 31. Investments in subsidiaries are valued at cost less provision for impaimient. 2.9 Debtors Trade and other debtors are recognised at the Settlement amount after any trade discount offered. Prepayrnents are valued al the amount prepaid nel of any trade discounts due. 2.10 Cash at bank and in hand Cash at bank and in hand indudes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. Page 22 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 25148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Accounting polieies {continuodl 2.11 Liabilitias Liabilities are recognised when there is an obligation at the balance sheet dale as a result of a past evenl, it 15 probable that a transfer of eo)nomiG benefrt will be required in settletnenl, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the company anticipates it wll pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. 2.12 Financial instrurnents The company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic finanaal instruments are initially recognised at transaction value and subsequenuy measured at their settlement value. 2.13 Finance leases and hire purchase Assets obtsined under hire purchase contracts and finance leases are capilalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease temi and their useful lives. Assets acquired by hire Purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of 0￿￿ership are assumed by the company. Obligations under such agreements are included in creditors. net of the finance charge allocated to future periods. The finan￿ element of the rental payment is charged to the Statement of financial activities so as to produce a constant periodic rate of charge on the net obligation outstanding in each period. 2.14 Operating lease5 Rentals paid ¥Jnder operating leases are charged to the Statement of financial actiwties on a straight line basis over the lease term. 2.15 Pensions Teaching staff employed by The Berf(shire Young Musiuans Trust are eligible for membership of the Teachers. Pension Scheme. which is a national. statutory. contributory, unfunded defined benefft scheme administered by Ihe Teachers Pension Agency, an executive agency of the Department for Education. Pension costs are assessed in accordance Milh the advice of the Govemmenl Actuary. As this is a multi-employer scheme whose assets and liabilities are not separately identifiable. under Financial Reporting Stsndard 102 "Post-employment Benefits" it is treated as a defined ojntribulion scheme with a charge to the accounts for the contributions paid and relevant disclosures about the scheme a5 a whole provided in note 26. The Berkshire Young MusirAans Trust has a funded defined benefit scheme for those members of staff who are not eligible to join the Teachers, Pension Scheme. The assets of this scheme are administered by the Royal County of Berkshire Pension Scheme. This is also a multi*mployer scheme, bul the assets and liabilities relating to The Berkshire Young Musicians Trust are separately identifiable and are accounted for as belonging lo The Berkshire Young Musicians Trust. The financial statements take account of the annual valuation of the defined benefit scheme undertaken by the pension fund's actuaries. Actuarial gains and losses arising from updating the latest actuarial valuation to refiecl conditions at the balance sheet dale are recognised in the gains and losses section of the Statement of Financial Activities. More details are included in note 26. Page 23 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 26148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Accounting polieies {continuodl 2.16 Fund accounting Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objedives of Ihe Gompany. Designated funds comprise unrestricted IL*nds that have been sel aside by the ITU51ees for particular Purposes. The aim and use of the designated funds is Set out in note 20 to the financial statements. Restricted funds are those funds where monies have been received for a speafic purpose and are matched against the expenditure as incurred. Critical accounting estimates and areas of judgement Estimates and judgements are continually evaluated and are based on historical experience and other factors. including expectations of future events that are believed to be reas￿able under the circumstances. Critical accounting estimates and assumptions.. The company makes estimates and assumption5 conceming the future. The resulting accounting estimates and assumptions wll, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities wthin the next financial year are discussed below. Critical areas of judgement= Tangible fixed assets Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. Residual value assessments consider issues such as the remaining life of the asset and projected disposal values. Bad debts Using information available al the balance sheet date, the company makes a judgement based on experience regarding the level of provision required to account for potentially uncolleclible debtors. Pensions The present value of the Local Government Pension Scheme defined benefrt liability depends on a number of factor5 that are determined on an actuarial basis using a variety of assumption5. The assumptions used in detemiining the net cost (income) for pensions include the discount rate. Any change in these assumptions, which are disclosed in note 26, wll impact the carrwng amount of the pension liabilty. Furtherniore a roll forward approach which projects results from the latest full actuarial valuation perfomied at 31 March 2022 has been used by the actuary in valuing the pensions liability at 31 August 2023. Any dIfferen￿S be￿een the figures derived from the roll forward approach and a full actuarial valuation would impact on the caryrg amount of the Fension liability. Page 24 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 27148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Ineoma from donations and grants Rostricted Unrestricted funds funds 2023 2023 Total funds 2023 Totsl funds 2022 Donations 23.584 31,379 100 54,963 100 17,422 20,812 Grants 23,584 31,479 55,063 38,234 Total 2022 14,198 24,036 38,234 Investmem income Unrestricted funds Total funds Total hjnds 2023 2023 2022 Bank interest received 1.945 Income frorn charitable activities Restricted Unrestricted funds funds 2023 2023 Total funds 2023 Total Jnds 2022 Fees (see note 7) Government fijnding Other music related activities {see note 8} Orchestra tax relief 2.853,218 2.853.218 1,343,903 419,018 2.644 3,055,368 1.165,049 314,848 19,275 1,343,903 419,018 1.343,903 3.274,880 4.618,783 4,554,540 Total 2022 1,165,049 3,389,491 4,554,540 Page 25 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 28148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Foes 2023 2022 Lèssons and ensèmbles 2.809.269 43,949 3.026,947 28,421 Gift Aid 2.853,218 3,055,368 Other rnusic related income 2023 2022 Examination fees Instrument income 41,734 122,554 113,507 125,441 15,782 45,021 120,582 Tours Concerts Courses and workshops 36,502 13,239 419,018 314,848 Analysis of charitable expenditure by activities Activities undertaken directly 2023 Grani funding of activities Support costs Total funds 2023 Total funds 2022 2023 2023 MarkeliThJ costs Charttable financial support Teaching costs Music related costs Events, courses, concerts and tours 43.102 43,102 134,308 3.802,023 488.477 29,550 188,379 3.859,897 491,646 134.308 2.941.770 371.396 860,253 117.081 182.347 182.347 44,000 44,957 130,656 311,000 28,140 Pension adjustment Governance costs 44,000 44,957 3,538,615 134.308 1,066,291 4.739,214 5.039,268 Total 2022 3,488.394 188.379 1.362,495 5.039,268 Page 26 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 29148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Analysis of support costs 2023 2022 Staff Costs 588.732 58,302 4,113 86,860 3,069 23,906 38,559 1,535 26,217 590,839 58,469 4,335 76,615 1,200 28,374 24,770 4,421 22,269 Depreciation Travel costs IT costs Postage Telecommunications Staff training Recruitment Insurance L l! Bad debts Bank charges Repairs and maintenance Premises costs Legal and professional Auditorfs remuneration Pension adjustment 1T,153 22,822 46,673 59,393 27,567 17,390 44,000 93,430 26,987 25,775 65,871 15,290 12,850 311,(X)o 1.066,291 1.362,495 Suppjrt and administration costs are split bebNeen teaching costs and music related costs in the ratio of 88Vh and 12% respectively. The total allocal&J is= teaching costs £860,253 {2022.' £900.5521 and music related costs £117,08112022.' £122,803). 10. Governanc8 Costs 2023 2022 Audttorfs remuneration Other professional fee5 17,390 27.567 12,850 15.290 44,957 28,140 Page 27 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 30148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 11. Unrealised Ilossygain on investment 2023 2022 {Lossesygains on invèstment assets {23.3501 7,477 In 2017 surplus funds of £500,000 were originally invested in an absolute return fund. During the year to 31 August 2020 the fijnds were transferred lo the LF Ruffer Total Return Fund. For the year ending 31 August 2023 the )lJnd value resulted in an unrealised loss of £23,35012022.' gain of £7,477). 12. Net Incomellexpenditure) This is stated after d)arging'. 2023 2022 Depreciation of tsngible ffixed assets Auditorfs remuneration 68,740 17,390 62,139 12,850 During the year, no trustees received any remuneration (2022 - £NILI. During the year, no trustees received any benefits in kind12022- £NIL}. During the year, no trustees received any reimbursemenl of expenses {2022- £NIL). Page 28 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 31148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 13. Staff costs 2023 2022 Wages and salaries National insurance costs Other pension costs 2,535,127 220,501 547,003 2,S37,374 230,384 555,877 3.302,631 3,323,635 The average number of persons employed by the company during the year was as follows". 2023 No. 2022 No. Full time management and administration Part time management and administration Full time teachers Part time teachers 22 20 17 10 37 39 50 35 115 115 The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was.. 2023 No. 2022 No. In the band £60,1J)1- £70,000 During the year remuneration paid to key management personnel, inctuding national insurance contributions, totalled £162,23012022'. £140,419). Page 29 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 32148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 14. Tangible fixod assets Fixtures Computer Land and Motor and and office Musical buildings vehicles fittings equipment instruments Total Cost or valuation At 1 September 2022 Additions Disposals I,T19.327 18,345 127,414 40,917 2.078 118,3451 251,205 1.379 500.253 2.616,544 44,374 118,3451 At 31 August 2023 1,719,327 40,917 129,492 252,584 500,253 2,642,573 Depreciation At 1 September 2022 Charge for the year On disposals 225.371 18,345 79,235 32,484 ,183 14,215 118,3451 221,687 11,604 496,413 1,041,051 2,254 68,740 (18,3451 At 31 August 2023 257,855 8,183 93,450 233,291 498.657 1,091,446 Not book valu8 At 31 August 2023 1,461,472 32,734 36,042 19,293 1.586 1,551,127 At 31 August 2022 1,493,956 48,179 29,518 3,840 1,575,493 Page 30 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 33148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 14. Tangible fixod assets {conlinued) Included in land and buildings is freehold land at valuation of £346.747 12021= £346.747) which is not depreciated. The cost or valuation at 31 August 2022 is as follows: 2023 Ai Valuation Land and buildiThJ at original cost Revaluation in 2014 891,953 508,047 Land and building valuation Ai Cost 1.400,000 2015 additions 2016 additions 146,747 3,606 53,749 91,757 11,870 5,092 6,506 2017 additions 2019 additions 2020 additions 2021 additions 2022 additions Total 1.719,327 The freehold propety was revalued on 31 August 2014 by Thameside Survewng Ltd, Chartered Surveyors on a full vacant possession basis. The company has applied the transitional provisions of the Charities SORP {FRS 1021 and Ihe valuation of freehold pro￿ty has not been updated sin¢e the last valuation in 2014. If the land and buildings had not been included at valuation they would have been included under the historical cost convention as follows.. 2023 2022 Cost 1,211,280 1555,6481 1.211,280 1523,279) Accumulated Depreciation Not book valu8 655,632 688,001 Page 31 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 34148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 15. Fixed asset investments Investments subsidiary companles Cost or valuation At 1 September 2022 100 At 31 Augus12023 100 Net book value At 31 August 2023 100 At 31 August 2022 100 See note 31 for further information. 16. Debtors 2023 2022 Due within on8 year Amounts due in relation to tuition fees Amounts owed by group undertakings other debtors 221.800 43,298 71,239 55,818 438,985 5,758 131,688 28,544 Prepayments and accrued income 392,155 604,975 17. Cu￿ent assel investments 2023 2022 LF Ruffer total retum fijnd 596,959 620,309 Page 32 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 35148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 18. Craditors: Amounts falling due wilhin one year 2023 2022 Trade creditors Other taxation and social security Obligations under hire purchase contracts other creditors AccNals and deferred income 76,045 77,747 4,591 58,012 768,904 13,602 85.242 1,103,193 985,299 1,202,037 2023 Doferred income Deferred income at 1 September 2022 Resources deferred during the year Amounts released from previous periods 1.097.532 761,315 {1,097,5321 761,315 19. Creditors: Amounts falling due after more than one year 2023 2022 Net obtigations under hire purchase contracts 21,318 Page 33 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 36148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 20. stsiemeni of funds Staiement of funds - Current year Balance ai 1 septern￿r 2022 Balance ai Gainsl 31 Augu51 (Losses) 2023 Transfèrs inlout Incoma Expondiiure Unrestricted funds Designated funds Building maintenance IT development fund Tour funds BMT Bursary Endangered programme 59,982 74,000 21,131 59.982 74.000 21.131 10.500 10.500 3.000 3.000 155,113 13,500 168,613 General ￿ndS General Funds- all nds 2.630,564 1443,0001 3.338,953 (3,387.8451 144.0001 (13.5001 123.350) 2,544.822 147.000 (340.000) Pension reserye 2,187,564 3,338,953 13,431.8451 113.5001 123,650 2,204,822 Total Unrestricted funds 2.342,677 3.338,953 (3.431.845) 123.650 2.373.435 Page 34 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 37148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 20. stsiemeni of funds {continuad) Balanee al 1 Soptembor 2022 Balance at Gainsl 31 August (Losses) 2023 Transfers inlout Income Exponditure Restricted funds ACE funding Sponsor a child UA disadvantaged funds Greenham Trust 1,194,835 11,194,835) 893 12.9641 8.487 6.416 21.113 14,5651 13.5531 16.548 3,553 Donated instruments Rock band project Covid-19 hardship fund Teachers, Pension fund 7,539 7.539 8,450 18.4501 1,097 (5201 577 149,068 {149,0681 11,6531 Fo￿e Foundation The Tokny Fund Peter Baker Foundation 1,653 7,304 7.304 Ringfenced 36 11,3891 2.031 39,925 1,367,487 11,366,997) 40.415 Total of funds 2,382.602 4.706A40 14,798,842) 123,650 2,413,850 Page 35 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 38148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 20. stsiemeni of funds {continuad) Restrictod funds Sponsor a child Amounts donated by individuals to provi& children from disadvantaged backgrounds with the opportunity to leam a musical instrument. The support can be short or long term and is provided at the company's discretion. UA disadvantaged fund The Unitary Authority Disadvantaged fund 15 money previously re￿iVed from Wokingham Borough Council to support specific disadvantaged children within the Wokingham district in musical education. Arts Council England (ACE) Funding Berkshire Music Trust is in receipt of funding to 31 August 2023 allocated by Central Government Ma Arts Council England to support the Bertshi￿ Music Hub deliver the National Music Plan. Berkshire Music Trust is leader of the Berkshire Music Hub. Graenham Trust Greenham Trust has donated monies to the company to support children just above the FSM level ￿1th lessons and instfuments in the area supported by Greenham Trust. Donatad instruments Represents instrument5 bought for the company by friend5 and other organisations. Covid-19 hardship fund We fundraised for and set-up a hardship fund in April 2020 in order to support families to continue their music-making activities for their children and young people dijring the pandemic. If parents had been financially impacted whether through job-loss or by being fudoughed, we offered them 85% reduction in their fees. We got an initial £5,000 from the Berkshire Community Foundation and have also received individual donations to enable us to keep this knndraising wt going for as long as possible. Foyle Foundation We applied for a grant to cover the cost of digital equipment required to support online lessons: webcams, laptops, microphones etc. We also were able to purchase iPads to enable music projects in altematiye provisions thanks to this grant. Rock Band Project As part of our new inclusion strategy, we started a rock band project wth young carers in West Berkshire. This has not only given these young people a new fun activity to try but also brought them together in a safe space to escape from their caring responsibilities for a short length of time_ The project were awarded by financial support from The Miss LawTence Trust. Englefield Charitable Trust and Greenham Trust. The Toby Fund We continued lo fundraise for the Toby Fund for the repair and maintenance of bassoons which was setup in memory of bas500nist Toby Davies who died in 2013. The fund can also be used for the development of young bassoonist5 leaming through u5 at the Trust'5 discretion. Page 36 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 39148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 20. stsiemeni of funds {continuad) Designat8d funds BMT Bursary Fund After rebranding our trade name to Befkshire Music Trust IBMT), we set aside some general donations for supporting less advantaged children to continue music activities. Endangered Prograrnrne Fund We set aside a designated fund from general fundraising efforts to support less advantaged children lo continue endangered instrument leaming activities. Statement of funds - prior year Balance at 1 September 2021 Balance at 31 August 2022 Transfers inlout Gainsl (Losses} In￿me Expenditure Unrestricted fund$ Designated funds Building maintenance 59,982 74,000 21.131 59,982 74,000 21,131 IT development fund Tour fund5 BMT Bursary Endangered programme 155.113 155,113 General ￿ndS General Funds- all ftjnds Pension reserve 2,521,766 (3,468,000} 3,422,191 13,520,870) {311,000) 200,000 7.477 3,336,000 2,630,564 {443,000) 1946.234} 3,422.191 13,831.8701 200.000 3.343,477 2,187.564 Total Unrestricted funds (791,121 } 3,422,191 13,831,870) 200,000 3.343.477 2.342,677 Page 37 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 40148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 20. stsiemeni of funds {continuad) Balance at 1 September 2021 Balance at 31 August 2022 Transfers inlout Gainsl {Lossesl In￿me Expenditure Restricted funds ACE funding Sponsor a child UA disadvantaged funds Greenham Trust 1,015.981 7.271 11,015.9811 12.5031 3,719 8,487 21,928 {8151 15.4191 21.113 5.419 Donated instruments Rock band project Covid-19 hardship fund Teachers, Pension fund 7.539 7.539 2,777 1,084 12,7641 1,097 149,068 {149,0681 Fo￿e Foundation The Tokny Fund Cutture Recovery Fund 1,653 1.653 290,324 190,3241 13881 {200,000} Ringfenced 424 327,940 1,179.247 11,267.2621 1200,000} 39,925 Total of funds 1463,181) 4,601,438 15,099.1321 3,343.477 2,382.602 Page 38 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 41148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 21. Summary of funds Summary of funds - current year Balanc& at 1 September 2022 Balance at Gainsl 31 August (Losses) 2023 Transfers inlout Incoma Expenditure Designated funds General fvnds Restricted funds 155,113 2.187,564 39,925 13.500 113.500) 168.613 2,204,822 40,415 3,338.953 1,367,487 13.431.845) 11,366,997) 123.650 2.382,602 4,706.440 14,798.842) 123.650 2,413.850 Summary of funds - prior year Balance al 1 September 2021 Balan￿ at 31 August 2022 Transfers inloul Gainsl {Lossesl Income Expenditure Designated funds General funds 155,113 1946,234) 327.940 155,113 2.187,564 39,925 3.422,191 {3.831,870) 1.179,247 {1.267,262) 200,000 1200,000) 3.343,477 Reslricled funds 1463,1811 4,601.438 15,099,132) 3,343,477 2,382.602 Analysis of net assets between ￿ndS Analysis of net assats botwaan funds- current year Restricted Unrestricted funds funds 2023 2023 Total funds 2023 Tangible fixed assets Fixed asset investments Current assets 7.539 1,543.588 100 2.176,364 1985,2991 {21,3181 1340,0001 1.551.127 100 2.209,240 1985,2991 {21,3181 1340,0001 32,876 Creditors due wtthin one year Creditors due in more than one year Provisions for liabilities and charges Total 40,415 2.373,435 2.413,850 Page 39 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 42148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Analysis of nei assets between ￿ndS Iconiinued) Analysis of net assats betwaan fun(ts - prior year Restricted Unrestricted fund5 funds 2022 2022 Total funds 2022 Tangible fixed assets Fixed asset investments 7,539 1,567,954 100 1.575,493 100 Current assets Creditors due ￿thin one year Provisions for liabililies and charges 32.386 2.419,660 2.452,046 11.202,0371 {1.202,037) 1443,0001 1443,000) Total 39,925 2,342,677 2,382,602 23. Reconciliation of not movement in funds to net cash flow from operating activities 2023 2022 Net expenditure for the year las per Statement of Financial Activities) 1115,7521 1490,2171 Adjustments for". Depreciation charges Unrealised gains on investments Interest from investments Gain on disposal of fixed assets Decrease in debtors 68,740 23,350 11,9451 18,5001 212,820 1221,3291 44,000 62.139 17,477) 364,973 1107,831) 311,1X)o Decrease in credttors FRS 102 pension adjustment Not cash provided by op8rating activities 1,384 132,587 24. Analysis of cash and cash equivalents 2023 2022 Cash in hand 1.220,126 1.226,762 Total cash and cash frquivalents 1.220,126 1,226,762 Page 40 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 43148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 25. Analysis of changes in net debt Changes in markat valuo and exchange Septomber rate At31 2022 Cash flows movemenis August 2023 Cash at bank and in hand Finance leases Liquid investments 1,226,762 16,636) (25,9091 1.220,126 (25,9091 596,959 620,309 (23,3501 1.847,071 {32,5451 (23,3501 1.791,176 Pension commitments The compan￿$ employees belong lo principal pension schemes= the Teachers. Pension Scheme England and Wales ITPSI for academic and related staff," and the L(Kal Government Pension Scherne ILGPSI for non-teaching 51aff, which 15 managed by The Royal County of Berkshire Pension Scheme. Both are multiemployer defined benefit schemes. The latest actuarial valuation of the TPS related to the period ended 31 March 2016 and of the LGPS 31 March 2022. Conlributsons amounting lo £57.912 were payable lo the schemes at 31 August 202312022.. £nil) and are included within creditors. Teachers. Pension Scheme The Teachers, Pension Scheme ITPSI is a statutory, contributory. defined benefit scheme, governed by the Teachers, Pension Scheme Regulations 2014. Membership is automatic for full-time teachers in academies. Al teachers have the option to opl-out of the TPS followng enrolment. The TPS is an unfvnded scheme to vthich both the member and employer makes contribLrtions, as a percentage of salary - these contributions are credited lo the Exchequer. Retirement and other pension benefrts are paid by public fvnds provided by Parfiament. Page 41 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 44148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Pension commitments (continuadl Valuation of the Teachers. Pension Schem• The Govemment Actuary, using nom)al actuarial principles. conducts a fomal actuarial rewew of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Capl Directions 2014 published by HM Treasury every 4 years. The aim of the review is to specify the level of future contributions. Actuarial scheme valuations are dependent on assumptions about the value of future costs. design of benefit5 and many other factor5. The latest actuarial valuation of the TPS was carried out a5 at 31 March 2016. The valuation report was published by the Department for Education on 5 March 2019. The key elements of the valuation and subsequent consultation are= employer conlribution rates set at 23.68Yo of pensionable pay (including a 0.080kn administration levyl total scheme liabilities (pensions currentsy in payment and the estimated cost of future benefits) for service lo the effective dale of £218,100 million and notional assets (estimated future contributions together with the notional investments held at the valuation datel of £196,100 milliorb, giving notional past seNice deficit of £22.000 million the SCAPE rate, sel by HMT, is used lo detemiine the nots'onal investment retum. The ￿￿ent SCAPE rate is 2.4°/o above the rate of CPI, assumed real rate of retum is 2.4°k in excess of pri￿S and 20/0 in excess of earnings. The rate of real eaming5 growth is assurned to be 2.2%. The assumed nominal rate of retum including earnings growth is 4.45%. Tho noxl valuation rosull is duo to bo implomontod from 1 April 2024. The employerfs pension costs paid to TPS in the year amounted to £425k {2022= £430kl. A copy of the valuation report and supporting documentation is on the Teachers. Pensions website {ht￿$:11￿w.teacherspenSiOns.cO.UkInewSIeMP1oYer5I2Ol91o4IteaCherS-￿nS1onS-va1Uation-repOrt.aspX). Under the definitions sel out in FRS 102. the TPS is an unfvnded multi-employer pension scheme. The company has accounted for its contributions lo the scheme as if il wefe a defined eonlribLrtion scheme. The company has set out above the information available on the Scheme. Local Government Pension Scherne The LGPS is a funded defined benefit pension scheme, Mryth the assets held in separate trustee administered fvnds. The total contribution made for the year ended 31 August 2023 was £160k 12022.. £163kl, of which employerfs contributions IcAalled £125k {2022'. £126k) and employees. contiibutions totalled £36k {2022'. £38kl. The agreed contribution rates for future years are 16.2 per cent plus £32k for the company and 5.&12.5 per cent for employees. Principal actuarial assumplions at tho Balanco shoot dato (oxpressed as woightod avoragosl.. Al 31 At 31 August August 2023 2022 Discount rate 5.30 4.25 Future salary increases Future pension increases Inflation CPI 3.90 2.90 2.90 3.95 2.95 2.95 Page 42 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 45148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Pension commitments (continuadl Ai 31 At 31 August August 2023 2022 Years Years Mortality rates lin years) - for a male aged 65 now - at 65 for a male aged 45 now - for a female aged 65 now at 65 for a female aged 45 now 20.7 23.6 21.0 23.8 25.0 25.3 The companys share of the assets in the scheme was" Al 31 At 31 August August 2023 2022 Equities Other bonds Property Cash and other liquid assets Target retum portfolio Infrastructure Longevity insurance 2.055,000 386,000 304,000 24,000 1,946,CW)O 481,CN)O 417,￿0 52,Tr)0 5,CX)O 338,000 1126,(X)01 409,000 1149,0001 Total fair value of assets 3.029,000 3.113,000 The actual retum on scheme assets was £19,000112022- £190,000). The amounts recognised in the Statemerrt of finan￿al Aclivlties are as follows: 2023 2022 Current service cost 156,000 1134,0001 150,000 3,000 1131,0001 377,C#)O {48,000) 104,CK)O 3,CN)O 1125,CWJO) Interest in¢ome Interest cost Administrative expenses Contributions by employer Total amount recognised in the Statement of Financial Activities 44,000 311,CK)O Page 43 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 46148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 Pension commitments (continuadl Movements in the present value of the defined benefit obligation were as follows= 2023 Opening defined benefit obligation Cu￿ent service cost 3,556,IXIO 156,1)00 150,000 1815,000) {50.0001 445.000 1113.IXIO) 40,IXIO Interest cost Change in financial a5sumption5 Change in demographic assumptions Experience gain on defined benefit obligation Benefits paid Employee contributions Closing defined benefit obligation 3,369,000 Movements in the fair value of the compan¥s share of scheme assets were as follows- 2023 Opening fair value of scheme assets Interest on assets 3.113.000 134,000 1130,000) 1143,000) 131,000 40,000 1113,000) (3.000) other actuarial gains Return on asset less irrterest contributs.ons by employer Employee contributions Benefits paid Administratic￿ts expenses Closing fair value of scheme assots 3.029.000 27. Oparating l•asa commrtmènts At 31 August 2023 the company had commitments to make future minimum lease paymenls under non- cancellable operating lease5 a5 follows-. 2023 2022 Not later than 1 year Later than 1 year and not later than 5 years 53,604 49,463 68,595 14,875 103,067 83,470 Page 44 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 47148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 28. Indomnity insurance Funds of the company amounting to £1.41412022'. £1.2331 have been used in the purchase of insurance lo protect the company from loss arising oth of neglect or defaults of its directors or officers and to indemnrfy its directors OT officers against the ts)n5equeni￿s of any neglect or defautt on their part. Related party transactions During the year, 5 Trustees 12022.. 4 Trustees) paid £6,553 {2022= £7.6581 to the company for music lessons. ensemble and other related activities paid for by these trustees. These activities are all invoiced at nomial fee tariff rates and on an arm's length basis. Guaranteos The liability of the company is limited by guarantee. In the event of the company being wound up. each member lor members who have ceased lo be members for less than one yearl, undertakes to contribute to the as5els of the company such amount as may be required. not exceeding £1. Page 45 bJJkgUn*urvTrarwocbc￿ Ref. SgYX-2YHG4G3P 14 Feb 2024 10..4&.46 GMT{Lrrc +0) 0 113 P 48148 THE BERKSHIRE YOUNG MUSICIANS TRUST (OPERATING AS BERKSHIRE MUSIC TRUSTI IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 31. Principal subsidiaries The followng was a subsidiary undertaking of the company.. Nam8 Company number Regisiered office or principal place of business Principal activity Class of Shares Maestros Enterprises Limited 11609495 Stoneham Court Cockney Sales of 50ftware Ordinary Hill. Tilehur5t, Reading. United Kingdom, RG30 4EX Holding Included in consolidation 1￿% No The finanaal results of the subsidiary for the year were= Nam• Incomo Exponditure ProfiU{Lossl for tha yaar Not assots Maestros Enterprises Limited 700 (9,762) 19,0621 827 Page 46