## 



|||~pa e|
|---|---|---|
|Report ofthe Trustees||3 to 7|
|Report ofthe Independent<br>Auditors||8toll|
|Consolidated<br>Statement ofFinancial|Activities|12|
|Consolidated<br>Balance Sheet||13|
|Charity Balance Sheet||14|
|Consolidated<br>Cash flow Statement||15 to 16|
|Notes to the Consolidated<br>Financial|Statements|17to 28|





|Registered|charity number|charity number||292027||
|---|---|---|---|---|---|
|Registered|office|||Bowland House||
|||||Philips Road||
|||||Blackburn||
|||||Lancashire||
|||||BB15NA||
|Trustees and||key management|personnel|H A Cann|CBE|
|||||C Fahy||
|||||H D Turner||
|Bankers||||Lloyds Bank Pic||
|||||Blackbum||
|||||Lancashire||
|||||BB2IJQ||
|Auditors||||Ainsworths|Limited|
|||||Chartered|Accountants|
|||||and Statutory Auditors||
|||||Charter House||
|||||Stansfield|Street|
|||||Nelson||
|||||Lancashire||
|||||BB99XY||
|Stockbrokers||and investment|advisers|Redmayne-Bentley||
|||||8-10Victoria Street||
|||||Harrogate||
|||||North Yorkshire||
|||||HGJ IED||





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||||||||||Unrestricted|Restricted|||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
|||||||||Notes|funds|funds|2021|2020|
|||||||||||||as restated|
|Income from:|||||||||||||
|Donations<br>and legacies|||||||||500||500|226,551|
|Commercial<br>trading||operations|||in support||ofthe||||||
|charitable<br>group's|aims and objectives||||||||2,289,967||2,289,967|1,533,770|
|Investment<br>income|||||||||20,242||20,242|57,764|
|Total income|||||||||2,310,709||2,310,709|1,818,085|
|Expenditure<br>on:|||||||||||||
|Commercial<br>trading||operations||in support|||ofthe||||||
|charitable<br>group's|aims||and objectives||||||4,315,445||4,315,445|4,908,127|
|Charitable<br>activities|||||||||231,766||231,766|1,319,948|
|Total expenditure|||||||||4,547,211||4,547,211|6,228,075|
|Net gains/ (losses)|on investments||||||||92,745||92,745|(252,524)|
|Net expenditure|and||net movement|||in|funds||||||
|before taxation|||||||||(2,143,757)||(2,143,757)|(4,662,514)|
|Taxation|||||||||(1,522)||(1,522)|(72,596)|
|Net expenditure|and||net movement|||in|funds||||||
|after taxation|||||||||(2,145,279)||(2,145,279)|(4,735,110)|
|Reconciliation offrmds|||||||||||||
|Total funds brought||forwards|||||||2,281,220||2,281,220|7,016,330|
|Total funds carried||forwards||||||18|135,941||135,941|2,281,220|
|Net<br>expenditure||and|movement|||in|funds||||||
|attributable<br>to:|||||||||||||
|Parent charity|||||||||(1,691,229)||(1,691,229)|(3,962,283)|
|Non-controlling<br>interest|||||||||(454,050)||(454,050)|772,827)|
|Total|||||||||(2,145,279)||(2,145,279)|4,735,110|
|All transactions<br>relate||to continuing|||operations.||||||||





## 

## 

|||Notes|2021|2020||
|---|---|---|---|---|---|
|||||as restated||
|FIXEDASSETS||||||
|Intangible<br>assets||11|992,243||1,778,521|
|Tangible assets||12|175774||10665|
||||1,168,017||1,789,186|
|CURRENT ASSETS||||||
|Stocks|||250,477|377,572||
|Debtors||14|205,797|685,068||
|Listed investments||15|2,408,730|3,323,652||
|Other investments||||64,235||
|Cash atbank and in hand|||167003|45~ 821||
||||3,032,007|4,901,348||
|CREDITORS||||||
|Amounts<br>falling|due within one year|16|~3945 27|4 194653||
|NET CURRENT ASSETS|||~9332411||706695|
|TOTAL ASSETSLESSCURRENT||||||
|LIABILITIES|||254,777||2,495,881|
|PROVISIONS|FORLIABILITIES||(118,836)||(214,661)|
|NKT ASSETS|||135,941||2281220|
|FUNDS||||||
|Restricted||||||
|Unrestricted||18|981,943||2,673,172|
|Non-controlling|interests|18|(846,002)||(391,952)|
|Total|||135941||2281220|





## 

|||2021||2020||
|---|---|---|---|---|---|
||Notes|||as restated||
|FIXEDASSETS||||||
|Investments|13|||||
|Tangible assets|12||155 999|||
||||165,999|||
|CURRENT ASSETS||||||
|Debtors|14|1,590,000||680,000||
|Listed investments|15|2,408,730||3,323,652||
|Other investments||||64,235||
|Cash at bank and in hand||98 195||321316||
|||4,096,925||4,389,203||
|CREDITORS||||||
|Amounts<br>falling due within one year|16|4311518||424 096||
|NET CURRENT ASSETS|||3,678,407||3,964,207|
|NET ASSETS|||3044.406||3 964207|
|FUNDS||||||
|Restricted|18|||||
|Unrestricted|18||3,844,406||3,964207|
|Total|||3 844 406||3 964207|






## 

|||Notes|31.12.21|31.12.20|
|---|---|---|---|---|
|||||as restated|
|Cash flows from charitable<br>activities|||||
|Cash used in operating<br>activities|||(1,322&576)|(2,674,957)|
|Tax paid/ (received)|||||
||||(1,322,576)|2,674,957|
|Cash flows from investing<br>activities|||||
|Purchase ofcurrent asset investments||||(4,501,743)|
|Purchase ofintangible<br>fixed assets||||(12,388)|
|Purchase oftangible<br>fixed assets|||(173,306)|(5,388)|
|Sale ofcurrent asset investments|||1,071,902|4,150,502|
|Interest received|||27|462|
|Issue ofordinary<br>share capital|||||
|Dividends<br>received|||20215|57,302|
|Net cash from investing<br>activities|||918,838|311,253|
|Cash flows from financing<br>activities|||||
|Loan advances received|||120,000|1,444,341|
|Net cash from financing<br>activities|||120,000|1,444,341|
|Decrease in cash and cash equivalents|||(283,738)|(1,541,869)|
|Cash and cash equivalents<br>at beginning|ofyear||450,821|1,992,690|
|Cash and cash equivalents<br>at end ofyear|||167,083|450,821|





|RECONCILIATION<br>OFDEFICIT TO CASH GENERATED|RECONCILIATION<br>OFDEFICIT TO CASH GENERATED|RECONCILIATION<br>OFDEFICIT TO CASH GENERATED|FROM ACTIVITIES||
|---|---|---|---|---|
||||31.12.21|31.12.20|
|||||as restated|
|Net expenditure<br>and net movement|in funds||(2,143,757)|(4,726,749)|
|Finance income|||(20,242)|(57,764)|
|Net losses on disposal ofintangible|assets|||7,511|
|Net gains on disposals ofinvestment|assets||(87,008)|(26)|
|Net (gains)/losses<br>on revaluation<br>of|investments|assets|(5,737)|252,551|
|Depreciation<br>and amortisation|||794,475|810,985|
|Decrease in stocks|||127,095|301,006|
|Decrease in trade and other debtors<br>(Decrease)/Increase<br>in trade and other creditors|||479&271<br>~466,673&|221,492<br>516,037|
|Cash generated<br>from charitable<br>activities|||(1,322,576)|2,674,957)|
|CASH AND CASH EQUIVALENTS|||||



|Balan|ce Sheet amounts:|||
|---|---|---|---|
|Year|ended 31"December 2021|||
|||31.12.21|01.01.21|
|Cash|at bank and in hand|167,083|450,821|
|Year|ended 31"December 2020|||
|||31.12.20|01.01.20|
|Cash|at bank and in hand|450,821|1,992,690|





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|EMPLOYEES|AND D|IR|ECTO|RS|||||||
|---|---|---|---|---|---|---|---|---|---|---|
||||||||||31.12.21|31.12.20|
|||||||||||as restated|
|Wages and salaries|||||||||1,529,420|1,724,562|
|Social security|costs||||||||158,601|188,046|
|Employer contributions||to|defined|contribution|||pension schemes||134,203|148,161|
||||||||||1,822,224|2,060,769|
|The average number ofemployees||||during||the|year|was as follows:|||
||||||||||31.12.21|31.12.20|
|||||||||||as restated|
|Directors ofsubsidiaries|||||||||6|5|
|Staff|||||||||47|48|
||||||||||53|53|
|Employees<br>earning more than f60,000 during|||||||the|year:|||
||||||||||31.12.21|31.12.20|
|||||||||||as restated|
|I60,001 —670,000|||||||||4|3|
||||||||||31.12.21|31.12.20|
|||||||||||as restated|
|Key management|personnel||||||||273,102|243,201|
|Key management|personnel||employer||contributions|||to defined|||
|contribution<br>pension schemes|||||||||27,095|22,565|





## 

||The summary<br>financial p|erformance<br>o|fthe charity a|lone is:||||
|---|---|---|---|---|---|---|---|
|||||Unrestricted|Restricted|2021|2020|
|||||Funds|Funds||as restated|
||||||8|||
||Donations<br>and legacies|||500||500|189,235|
||Investment<br>income|||20,242||20,242|57,764|
||Other income|||||||
|||||20,742||20,742|246,999|
||Expenditure<br>on charitable|activities||231,766)||(231,766)|(1,319,949)|
||Net expenditure|||(211,024)||(211,024)|(1,072,950)|
||Net gains/<br>(losses) on listed investment||assets|92,745||92,745|~252,5252|
||Net movement<br>in funds before taxation|||(118,279)||(118,279)|(1,325,475)|
||Taxation|||(1,522)||(1,522)|(72,596)|
||Net movement<br>in funds after taxation|||(119,801)||(119,801)|(1,398,071)|
||Total funds brought<br>forward|||3,964,207||3,964,207|5,362,278|
||Total funds carried forward|||3,844,406||3,844,406|3,964,207|
||Represented<br>by:|||||||
||Unrestricted<br>income funds|||3,844,406||3,844,406|3,964,207|
|5.|DONATIONS<br>AND LEGACIES|||||||
|||||2021||2020 as restated||
|||||Group|Charity|Group|Charity|
||Donations<br>received|||500|500|189,235|189,235|
||Grants received:|||||||
||Coronavirus<br>Job Retention|Scheme||||26,316||
||COVID support grants|||||11,000||
|||||500|500|226,551|189,235|





## 

|||||2021|2021|2020 as restated|2020 as restated|
|---|---|---|---|---|---|---|---|
||||Group||Charity|Group|Charity|
|Dividends<br>receivable on listed||investments|20,215||20,215|57,302|57,302|
|Interest receivable<br>on cash at bank||||27|27|462|461|
||||20,242||20,242|57,764|57,763|
|All ofthe above, in both the current and preceding|||year, are unrestricted|funds.||||
|TOTAL RESOURCES EXPENDED||||||||
||||Commercial|||||
||||trading||Charitable|Total|Total|
||||operations||activities|2021|2020|
||||||||as restated|
||||||||f|
|Costs directly|allocated to activities:|||||||
|Grants awarded (see note 9)|||||180,998|180,998|1,012,793|
|Staffcosts (see note 3)|||1,822,224|||1,822,224|2,060,769|
|Redundancy|cost||||||151,498|
|Promotional|costs||136,238|||136,238|163,270|
|Product costs|||1,231,755|||1,231,755|1,528,110|
|Professional<br>and consultancy||fees|123,400|||123,400|219,458|
|Office and administrative<br>costs|||207,630|||207,630|197,905|
|Depreciation|||7,920||277|8,197|27,803|
|Amoitisation|||786,278|||786,278|783,182|
|Net losses on|disposal ofassets||||||7,109|
|Support costs|(Note 8)||||50,491|50,491|76,178|
||||4,315,445||231,766|4,547,211|6,228,075|



## 



## 

## 

|SUPPORT COSTS||||||
|---|---|---|---|---|---|
|||Commercial||Total|Total|
|||trading|Charitable|2021|2020|
|||operations|activities||as restated|
|Support costs allocated|to activities:|||||
|Bank charges|||60|60|73|
|Legal and professional|fees||5,500|5,500|19,123|
|Management<br>charge|||34,731|34&731|43,482|
|Auditor's<br>remuneration|—audit services||10,200|10,200|13,500|
||||50,491|50,491|76,178|
|ANALYSIS OF CHARITABLE ACTIVITIES||||||
|||||2021|2020|
||||||as restated|
|Educational<br>activities||||45&007|912,729|
|Religious activities||||100,755|52,817|
|Recreational<br>activities|||||3,588|
|Cultural<br>activities|||||14,965|
|Support for activities ofyoung people||||25,000|25,000|
|Donations<br>to other charities||||10,236|3,694|
|||||180,998|1,012,793|



## 

## 




|INTANGIBLE FIXEDASSETS||
|---|---|
||Software|
||development|
||costs|
|COST||
|At luJanuary<br>2021|3,145,108|
|Additions||
|Disposals||
|At31"December 2021|3,145,108|
|AMORTISATION||
|At luJanuary<br>2021|1,366,587|
|Charge for the year|786,278|
|Eliminated<br>on disposal||
|At 31u December 2021|2,152,865|
|NET BOOKVALUE||
|At 31u December 2021|992,243|
|At 31u December 2020|1,778,521|



## 

|TANGIBLE FIXEDASSETS|||||
|---|---|---|---|---|
||Freehold|Fixtures &|Computer||
||property|fittings|equipment|Total|
||||8||
|COST|||||
|At 1"January 2021||6,743|126,601|133,344|
|Additions|166,276||7,030|173,306|
|Disposals|||||
|At 31"December 2021|166,276|6,743|133,631|306,650|
|DEPRECIATION|||||
|At 1"January 2021||5,900|116,779|122,679|
|Charge for the year|277|235|7,685|8,197|
|Eliminated<br>on disposal|||||
|At 31"December 2021|277|6,135|124,464|130,876|
|NKT BOOK VALUE|||||
|At 31u December 2021|165,999|608|9,167|175,774|
|At 31"December 2020||843|9,822|10,665|





## 

|~Nf||Pro ortion ofnominal|value ofissued||||
|---|---|---|---|---|---|---|
|Direct subsidiary:|||||||
|Learning<br>by Questions|Limited|77.6%Ordinary|Shares|Educational|support|services|
|Subsidiaries ofLearning|by Questions||||||
|Limited:|||||||
|Lancashire<br>Digital Limited||100%Ordinary|Shares|Software|development||
|Learning<br>Clip Limited||100%Ordinary|Shares|Software|development||
|LEBPartnership<br>Limited||100%Ordinary|Shares|Sale ofeducational||products|



## 

|DEBTORS|||||
|---|---|---|---|---|
||2021||2020 as restated||
||Group|Charity|Group|Charity|
|Amounts<br>falling due within one year:|||||
|Trade debtors|111,823||492,127||
|Amounts<br>owed by group undertakings||1,590,000||680 000|
|Other debtors|35,692||167,396||
|Prepayments|58,282||25,545||
||205,797|1,590,000|685,068|680,000|





## 

## 

|LISTED INV|E|STMENTS- GROUP AND CHARITY|||
|---|---|---|---|---|
||||2021|2020|
|||||as restated|
|Market value|at|beginning ofyear|3,323,652|3,224,936|
|Additions<br>during||the year||4,501,742|
|Disposals<br>during||the year|(1,007&667)|(4,150,502)|
|Net gain/(loss)|on revaluation||92,745|252,524|
|Market value|at|end ofyear|2,408,730|3,323,652|



## 

||2021||2020 as restated||
|---|---|---|---|---|
||Group|Charity|Group|Charity|
|Trade creditors|47,837||123,348||
|Other creditors|811,530|300,000|825,333|300,000|
|Other loans|2,819,820||2,700,316||
|Accruals|140,426|44,400|127,991|52,400|
|Social security and other taxes|125,714|74,118|417,665|72,596|
||3,945,327|418,518|4,194,653|424,996|
|ANALYSIS OF NET ASSETSBETWEEN FUNDS - GROUP|||||
||Total|Total|Total funds|Total funds|
||restricted|unrestricted|2021|2020|
||funds|funds||as restated|
||5||||
|Fixed assets||1,168,017|1,168,017|1,789,186|
|Current assets||3,032,087|3,032,087|4,901,348|
|Current liabilities||(3,945,327)|(3,945,327)|(4,194,653)|
|Provisions<br>for liabilities||(118836|118,836|214,661|
|||135,941|135,941|2,281,220|



## 

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## 

|HARITY||||
|---|---|---|---|
|Total|Total|Total funds|Total funds|
|restricted|unrestricted|2021|2020|
|funds|funds||as restated|
||165&999|165,999||
||4,096,925|4,096&925|4,389,203|
||418,518)|418,518)|424,996|
||3,844,406|3,844,406|3,964,207|



|Fixed assets|Fixed assets|
|---|---|
|Current|assets|
|Current|liabilities|





## 

## 

|MOVEME|N|T<br>IN FUNDS- G|ROUP|||||||
|---|---|---|---|---|---|---|---|---|---|
|||||Net||Transfers||||
||||At 1.1.21|movement|in|between|Changes|in||
||||as restated|funds||funds|equity||At31.12.21|
|Restricted|funds|||||||||
|Unrestricted||funds:||||||||
|General|||(1,011,348)|(2,076,688)||426,532|||(2)661,504)|
|Capital|||100||||||100|
|Designated:||||||||||
|Grants payable|||3,292,468|(68,591)||(426,532)|||2,797,345|
||||2,281,220|(2,145,279)|||||135,941|



|||||Revaluations||||
|---|---|---|---|---|---|---|---|
|||||and gains on||Net||
|||Incoming|Resources|disposal of||movement|in|
|||resources|expended|investments|Taxation|funds||
|Restricted funds||||||||
|Unrestricted|funds:|||||||
|General||2,310,709|(4,478,620)|92,745|(1,522)|(2,076,688)||
|Capital||||||||
|Designated:||||||||
|Grants payable|||(68,591)|||(68,591)||
|Total||2,310,709|(4,547,211)|92,745|(1,522)|(2,145,279)||





## 

## 

|MOVEMKN|T<br>IN FUNDS- CHARIT|Y|||||
|---|---|---|---|---|---|---|
||||Net||Transfers||
|||At 1.1.21|movement|in|between||
|||as restated|funds||funds|At 31.12.21|
|Restricted funds|||||||
|Unrestricted|funds:||||||
|General||322,888|(51,210)||775,283|1,046,961|
|Capital||100||||100|
|Designated:|||||||
|Grants payable||3,641,219|(68,591)||(775,283)|2,797,345|
|||3,964,207|119,801)|||3,844,406|



|||||||Net||
|---|---|---|---|---|---|---|---|
|||Incoming|Resources|Other gains||movement|in|
|||resources|expended|and losses|Taxation|funds||
|Restricted funds||||||||
|Unrestricted|funds:|||||||
|General||20,742|(163,175)|92,745|(1,522)|(51,210)||
|Capital||||||||
|Designated:||||||||
|Grants payable|||(68,591)|||(68,591)||
|Total||20,742|(231,766)|92,745|(1,522)|(119,801)||





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