## ## ## ## *v 8,*8 ¥¥1 •) 888 88.88 ?..8 8 888 888188 88'S oo 8.18 r40 Malvern Concert Club (Charity No. 506329) Balance Sheet as at 31 May 2021 |||||| |---|---|---|---|---| |||||| |||||| |**Notes**||**31.05.21**|**31.05.20**|**31.05.19**| |||||| ||**Bank Accounts & Cash:**|||| ||Co-opBank Current Account|17,166.10|281.36|5,302.94| |9|United Trust Bank 1yr Deposit|85,000.00|70,000.00|60,000.00| |9|Nationwide Business Saver|81,391.62|24,858.40|44,637.60| ||PayPal|0.00|0.00|16.56| ||PettyCash|174.00|174.00|188.00| |||**183,731.72**|**95,313.76**|**110,145.10**| |||||| ||**Plus:**|||| ||**Prepayments:**|||| |14|Advertisingfor next season||1,143.82|1,123.00| |15|Printingfor next season|||717.39| ||Malvern PrioryHire for 2019-20|||50.00| ||SymphonyHall Coach TripJune|||792.00| |13|Piano Hire Deposit for future seasons|250.00|50.00|50.00| |||**250.00**|**1,193.82**|**2,732.39**| ||**Less:**|||| ||**Deferred Income:**|||| |6|Subscriptions in Advance|3,177.00|1,919.00|18,733.00| |6|Provision for subs refunds to untraced members|72.00|72.00|| |3|Donations in Advance|114.00|17.00|636.00| |7|Ticket Sales in Advance|36.00|32.00|1,592.00| |8|Advertisinginprogrammes for future seasons|1,320.00|1,320.00|| ||SymphonyHall Coach TripJune|||976.00| |||**4,719.00**|**3,360.00**|**21,937.00**| |||||| ||**Net Assets:**|**179,262.72**
**£**|**93,147.58**
**£**|**90,940.49**
**£**| |||||| |||||| ||**Unrestricted income funds**|||| ||Unrestricted income fund|84,781.11|91,915.88|90,017.79| |22|Coach Trips Account(designated)|1,231.70|1,231.70|922.70| ||**Unrestricted income funds total**|**86,012.81**|**93,147.58**|**90,940.49**| |||||| ||**Restricted income funds**|||| ||ElmleyFoundation(restricted)|||0.00| |21|KayFoundation(restricted)|**93,249.91**||0.00| ||Memorial Donation 2018-19 Concert 5|||0.00| ||EFCT contribution to 2018-19 Concert 6|||0.00| ||**Restricted income funds total**|**93,249.91**|**0.00**|**0.00**| |||||| ||**Total unrestricted and restricted funds**|**£179,262.72**|**£93,147.58**|**£90,940.49**| |||||| |||||| Page 2 of 10 of the Accounts ## **Malvern Concert Club (Charity No. 506329)** ## **Notes forming part of the Financial Statements for the year ended 31 May 2021** ## **1. Accounting Policies** ## **Basis of accounting** The Trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Northern Ireland (FRS 102) (effective 1 January 2015) other than for the following items of income and expenditure recorded as wholly received/paid in the year: Gift Aid; AGM expenses; Making Music Subscription (including the Club's insurance premium). Were the accruals convention applied to these items, the net effect on the Club's Unrestricted Income Fund would be insignificant. The Income and Expenditure account for 2020/21 summarises the outcome of the Club’s 118th Season, with any receipts or payments incurred in 2019/20 and accrued/prepaid in last year's Balance Sheet. Any receipts and prepayments relating to 2021/22 are covered in the 2020/21 Balance Sheet. ## **2. Exceptional Disruptions to the Club’s Programme** Throughout the year 2020/21, the Club’s normal pattern of income and expenditure continued to be impacted substantially by the temporary closure of Malvern Theatres and the lockdown requirements due to the Covid-19 situation, resulting in the cancellation of all the season’s concerts planned to take place during the financial year, except for one in September, 2020 which took place, in two separate sessions on one day, with a repeated limited programme and reduced audiences. The cancelled concerts were those planned for June, 2020, itself postponed from January, 2020 due to an injury to one of the artists, as referred to in the Notes to the Accounts for 2019/20, the concerts in November 2020 (two) and January, March and April, 2021, the additional Sunday concert planned for February 2021 and the daytime concert planned for April 2021. As a result the Committee decided not to take membership subscriptions for the year. Those members for 2019/20 were informed that their memberships would be extended through to AGM in July, 2021. Tickets for the September 2020 concert were therefore not included as part of the subscriptions for 2020/21 and were sold individually to Members. Recognising the rare opportunity in the circumstances to present a concert to a live audience, a ticket price of £12 was set for members (as defined above) and non-members alike. A reduced hall hire fee was agreed with Malvern Theatres who also charged commission only on the credit card sales at their Box Office. Additional information is given in Notes 7, 13 and 19. Page 3 of 10 of the Accounts Tickets for the second concert of the season had been put on sale at Malvern Theatres Box Office before it was cancelled. All refunds were handled through the Box Office. All other concerts were cancelled before ticket sales had commenced. ## **Income from Donations and Legacies** ## **3. Donations** Members’ donations are usually received with their subscriptions: as no subscriptions for the year were taken, a limited number of donations was received. However, a collection in aid of the Club was made, at the deceased’s request, at the funeral of a former Committee member, which raised £410. Some donations were made along with the payment of Priority Subscriptions for 2021/22 (see Note 6) and are therefore treated as Deferred Income in the Balance Sheet. ## **4. Legacies** As stated in the Trustees’ Report, in July 2020 the Club received from the executor (the Charities Aid Foundation) of a Trust Fund established by a former Committee member and Officer, Mr. Ernest Kay, the sum of £93,241.91 with the advice that the benefactor did not wish it to be used for day to day purposes. It is therefore shown as a Restricted Fund in the Accounts. ## **5. Gift Aid** A Gift Aid claim is submitted to HMRC by the Treasurer annually following the close of the financial year. The Gift Aid claim receipt is accounted for as Income in the year in which it is received, so in 2020/21 this item reflects Gift Aid on eligible donations received in 2019/20, including gifts to the Club of refunds due to members for concerts cancelled in 2019/20, as covered in the Notes to the Accounts for that year. ## **6.** ## **Subscriptions** As stated in Note 2, no subscriptions were sought or raised in 2020/21. The credits from 2019/20 subscription refunds as requested by members (£1696.00) and three subscription renewals received in 2019/20 that anticipated the launch of a new season, and which were treated as Deferred Income for 2020/21 in the 2019/20 accounts, have been deferred again to 2021/22, unless, as detailed below, during 2020/21 the creditor used all or part of their credit for another purpose, along with a subscription payment received (probably as a result of a Standing Order) in April 2021,. It is intended that the provision for subscription refunds to two untraceable members recognised in the 2019/20 Balance Sheet will be released to Subscriptions in 2021/22, it having been determined that these two members have moved or passed away and cannot be contacted to effect refunds. Page 4 of 10 of the Accounts Income from the sale of Priority Memberships (described in the Trustees’ Report) is treated in the Balance Sheet as Deferred Income for 2021/22. As stated above, some members with credits held by the Club on account for future subscriptions drew on part of these to purchase priority memberships and for certain other purposes. Thus the figure for Deferred Income from Subscriptions in the Balance Sheet comprises: |Subscription Credits from 2019/20 b/f
Credit refunded to Member
Use of credits for Priority Memberships
Credits donated to the Club
Credits c/f
Subscriptions for 2020/21 b/f
Subscriptions for 2021/22 pd 20/21
Priority memberships from credits
Priority Memberships by cash
Subscriptions for 2021/22 c/f
Total Deferred Subscriptions|1696.00
(72.00)
(160.00)
(44.00)
223.00
74.00
160.00
1300.00|£1420.00
£1757.00
£3177.00| |---|---|---| ## **7.** ## **Ticket Sales (Regular Concerts)** In 2020/21, this item comprises the income from sales of tickets at the Malvern Theatres Box Office for the September, 2020 concert put on at Malvern Theatres (MT), the only one able to take place during the season (see Note 2). This income is net of credit card sales charges plus VAT. No advertising commission was charged. Ticket sales for the second concert of the season on 5 November were commenced via the Club to its members and via MT Box office to others but suspended when the concert had to be cancelled due to new restrictions, and all the income received refunded or reassigned as donations to the artists at the request of refundees (see Note 11). Thus there was no net income from ticket sales for this concert. For this second concert planned for 5 November, the Club offered streaming access for those unable or unwilling to attend in person. An audio-visual company was contracted to provide the necessary streaming process. Sales of streaming access were facilitated to Members and the public through the Club’s website by PayPal. As stated in Note 2, in the event the concert was cancelled, and all streaming access purchasers were refunded through PayPal, with the option to donate all or part of the refunds due to the cancelled artists (see Note 11). The contract with the audio-visual company was terminated without charge Thus there was no net cost to the Club apart from the PayPal charges on the purchases, shown under Administration (see Note 17). Page 5 of 10 of the Accounts Take-up of streaming access turned out to be very limited and would have incurred a substantial loss had it proceeded as planned, and the Club decided not to offer the facility again. The third and all subsequent concerts were cancelled before any ticket sales had commenced. The Balance Sheet recognises the purchase of two tickets originally purchased in 2019/20 for a cancelled concert in February 2021, which is again deferred to February 2022, along with an adjustment between a subscription, donation and ticket payment received in 2019/20 for 2020/21, both again deferred to 2021/22. ## **8. Advertising in Programmes** As the Club was not able to offer any of the contracted six opportunities to display paid advertisements in concert programmes, the Trustees decided that half the income raised in 2019/20 which was treated as Deferred Income for 2020/21 should be deferred again to 2021/22. ## **9. Bank Interest** Interest is accounted for in the year in which it is received. Interest is currently received monthly on the short term deposit account with Nationwide and annually at the end on the term (one-year) deposit account with Untied Trust Bank. No accrual of interest is made. The cash on which the Club could earn interest was increased markedly by the reduction in expenditure due to Covid-19 and by the receipt of the Kay Trust bequest referred to in Note 4. As stated in the Trustees’ Report it was decided to keep deposits with any one financial institution below the £85k FSCS limit. As a result the deposit with the Nationwide was increased in October 2020 by £30,000 to £81,365; the one year deposit with United Trust Bank was increased in November 2020 to £85,000 when the previous one year deposit matured. The interest rate paid by Nationwide was as follows: 1 June 2020 to 31 May 2021 0.05% The amount deposited by the Club in a one year-term account, currently with United Trust Bank, is determined on the basis of a cash flow forecast prepared by the Club Treasurer for the Trustees, taking into account historic flows of income and expenditure. In November 2020 the Trustees agreed to increase the amount on one year deposit by £15,000, to £85,000, at 1.1%. ## **10. Artists Fees & Expenses** As far as possible, to avoid identifying individual fees, the fees and expenses paid to artists for regular concerts, the extra concert in February and the Page 6 of 10 of the Accounts daytime concert in April are combined. More detailed information is available in the management accounts prepared for the Committee, where the income and expenditure for each concert are identified. However, there were no fees payable for the last five concerts of the season or for the extra concerts planned for February and April, 2021. ## **11. Donations to Artists and Others** In 2019/20 this item comprised the small amounts added by the Club to the donations made to cancelled artists by those who were entitled to refunds on their tickets, as fully described in the Notes to the Accounts for 2019/20. As stated above, the second concert of the 2020/21 season was cancelled after tickets had been put on sale both by the Club direct to members (there being no subscription for the year, the intention was that tickets would be sold for each concert in turn) and via Malvern Theatres Box Office to non-members. Members who had purchased tickets from the Club were given full refunds and the opportunity to donate part of all of their refunds to the Artists. Others who had purchased from Malvern Theatres (MT) were refunded in full by MT. In the event £1660 was donated to the artists by members from their refunds, made up of £1545 taken by the Club for ticket sales and £115 donated from refunds by those who had purchased streaming access. £110 was refunded to members as cash. As stated in the Trustees’ Report, after taking legal advice, the cost of which is included in Stationery and Administration, the Trustees secured an Order from the Charity Commission on 18 March 2021 under Sec 105 of the Charities Act 2011, valid for one year (and open to possible renewal on a renewed application), allowing the Club to make such donations provided that its reasoning was clearly recorded in Minutes. In the light of this Order, the Committee decided in April, 2021 to make a donation of £1200 from Club funds to the artists engaged for the third concert of the season. For the reasons given in the Trustees’ Report, the Committee also decided that to make a payment from Club funds of £1500 to the Malvern Theatres Covid-19 appeal. ## **12. Hire of Hall and Ancillaries (Regular Concerts)** This covers hall hire at MT for the one planned concert that could take place. No ancillary expenditure on floral decoration of the stage and refreshments for artists was incurred. ## **13. Piano Hire and Tuning** There was one hire payable in the 2020/21 season. All other concerts necessitating a piano hire were cancelled. Page 7 of 10 of the Accounts Deposits for piano hires in future seasons are recognised as pre-payments in the Balance Sheet. . ## **14. Advertising** This covers the cost of advertising the season’s concerts, either collectively or individually, in third party publications, as well as the printing of the Club’s Season Brochure which is sent to members and made widely available at a number of outlets. Although never issued, the brochure for the 2020/21 season was prepared and printed and the cost is shown under this item, having been a Pre-Payment in the 2019/20 Balance Sheet. A brochure for the 2021/22 season is in the course of preparation at the year end. ## **15. Printing & Design** This item normally covers the cost of design and printing of all printed material – flyers, posters, programmes, circulars to members, etc, except for the season brochure which is charged to advertising (see Note 14). Where a cost is incurred prior to the financial year of the concert to which it relates, it is recorded as a Pre-Payment in the Balance Sheet. In 2020/21, costs were incurred in the design and printing of a simplified programme sheet for the one concert that could take place, and also in advance of the second concert of the season, before it was cancelled. ## **16. Educational Activities** The Club was not able to organise an educational event in the 2020/21 season. ## **17. Stationery and Administration** This item normally covers the cost of stationery, substantial home printing, postage, etc., incurred by Committee members, offset by gross income from members requiring tickets for the season to be posted to them (currently £1). The Treasurer and Membership Secretary hold a stock of postage stamps (purchased in advance of any announced price increase), mainly for the despatch of tickets and information to members. The item may also include travel costs where Committee members represent the Club at external events (e.g. memorial services) and occasional gifts. No such expenditure was incurred in 2020/21. It also includes net PayPal fees (which are 1.4% plus 20p per transaction for charities) for purchases of tickets (and in 2020/21 streaming access – see Note 7) via the Club’s website. Monies in the Club Paypal account are regularly transferred to the Club bank account. The Paypal account is treated as a separate account in the Balance Sheet. Page 8 of 10 of the Accounts This year this item includes the cost of legal advice on the powers of the Club to make donations to artists whose concerts had been cancelled – see Note 11 above. The Club employs no personnel and no Committee member receives any remuneration for time spent on Club business. ## **18. Insurance (Making Music)** This covers the cost of the Club’s subscription to the organisation Making Music, a society of music promoters and organisers. It includes insurance cover (third-party liability, damage to the hired or loaned piano, concert cancellation etc.). The premium year runs from December. The premium is accounted for wholly in the financial year in which it is incurred. No claims have been made under the policy during the year, as any net impairments were deemed to be non-existent or negligible. ## **19. Performing Rights Society (PRS) Fees** PRS fees are normally charged to the Club by Malvern Theatres (MT) after concerts containing PRS chargeable items (where the composer is living or has been dead for less than 75 years) in the programme, as a percentage of MT box office sales. No PRS fee was payable on the one concert that took place. ## **20. Annual General Meeting** The cost of the AGM (usually hall hire, refreshments and artist fees for a post AGM performance) is accounted for in the year in which it falls, and not the (prior) year to which the meeting relates. In 2020/21, a physical AGM was not held: the papers and draft resolutions were issued to members by mail and e- mail. A small printing cost was incurred for papers for those members not on e- mail. A similar arrangement is expected to be put in place for the AGM planned for July 2021. The expenditure shown under this item in 2020/21 relates to unpaid VAT on the cost of the musicians supplied for the 2019 AGM by the Royal Birmingham Conservatoire. ## **21. Restricted Funds** There was no activity in the Restricted Funds during the year. Given the limitations on the use of the monies received as a bequest from the Kay Trust (see Note 4 above and the Trustees’ Report), these are treated in a Restricted Fund in the Accounts. Page 9 of 10 of the Accounts ## **22. Designated Funds** ## **Symphony Hall Coach Trips** The Club normally organises coach trips to Symphony Hall in Birmingham for classical music concerts and recitals for the benefit of members and nonmembers (the latter paying a small premium). The account is shown as ‘Designated’ as the Trustees have determined that the trips should be, and be seen to be self-supporting. No trips were possible in the year. ## **23. Contingent Liabilities** **At 31 May 2021:** None, other than commitments made in the normal course to artists and agents for Club performances for concerts in 2021 and future years, corresponding hall hire at Malvern Theatres and future piano hires. Page 10 of 10 of the Accounts CONCERT CLUB BY OM REPORT OF THE TRUSTEES FOR THE YEAR to 31 MAY 2021 1. STRUCTURE Malvern Concert Club is an unincorporated association, registered with the Charity Commission {no.506329). Its current Constitution was adopted in 2010. For the year 2020121 its address was the Honorary Secretary, 15 Croftdown Court, Malvem, Worcestershire, WR14 3HZ. 1.1 Management The Club is administered by a Committee elected by the Club Membership. Committee members are all Trustees, apart from any co-optees (who may not vote>. After election5 at the 2020 AGM, which was conducted digitally on 2 July 2020. Officers were re-elected and Hilary Winter completed her three year term as an Elected Member at the conclusion of the AGM. Officers: Chaiman John Gregory Simon Payton Janet Lawton Treasurer Secretary Membership Secretary Publicity & Marketing Officer Bryan Ratcliff Dick Stockford (position now vacant) Elected Committee Members: Patrick Aydon (elected to 2022) Linda McKinley (elected to 2022) Jean Upton (elected to 2022) Janet Hay (elected to 2023} At the first committee meeting, on 12 August 2020, Hilary Winter was co-opted by the Trustees. Dick Stockford resigned following the committee meeting of 24 August 2020, leaving a vacancy for the Publicity and Marketing role. A new member, Alison Hunka, was co-opted at the committee meeting on 2 December 2020, to fill the role of Acting PMO. she resigned with effect from 18 April 2021. 1.2 Procedures The Committee met nine times, all digitally. (￿ICe by email, seven using conferencing Sof￿are) as Covid-19 pandemic restrictions ruled out physical meetings. The Club advertises Committee vacancies (including officer roles) to all its members. Prior to being put forward for election, the Chairman and the Secretary discuss with potential volunteers the functions where their skills might best be used. Committee memberships rotate under the terms of the Constitution, so new volunteers are needed regularly. All members of the Committee, not just the Officers, are allotted tasks. Newly elected Committee members receive an individual job description setting out their particular duties. They are also advised of their duties as Trustees and how the Club is run, and are made aware of Charity Commission requirements and guidance. All Committee members. including Officers, are unpaid volunteers. 2. PUBLIC BENEFIT The Trustees have had regard to their duty to deliver public benefit in accordance with the guidance issued by the Charity Commission. In normal times, and throughout its history, the Club has promoted a range of chamber concerts open to the public as well as to subscription members. 3. EXCEPTIONAL CIRCUMSTANCES The Club used to boast that that since its inception it had promoted concerts uninterrupted, even by two world wars. Unfortunately, this was the second season of profound disruption, even more devastating than in the previous year. The season started in September with a recital by Paul Lewis,. the social distancing limitations meant that audience size was very limited, so the Club is grateful to Paul Lewis for repeating his afternoon performance in the evening of the same day. Two concerts were scheduled for November. When the Calidore Quartet's international tour was cancelled by pandemic travel restrictions. the Albion Quartet was booked for that date to perform two shortened concerts with social distancing arrangements, and the Amatis Piano Trio re-organised their planned programme to do the same. In the event, both were cancelled by the second national lockdown. The third and longest national lockdown, which took effect in early January 2021, effectively wiped out the rest of our season, cancelling concerts by Emma Johnson and Friends, Pavel Kolesnikov, Sheku and Isata Kanneh-mason, the Van Kuijk Quartet and lain Simcock, as our venues were closed beyond our last concert date. The combined result of coronavirus pandemic restrictions, including the second and third national lockdowns, was that the two shortened recitals by Paul Lewis were the only performances in our unprecedented year. th The following artists had been booked to perform in the 118 season, all at The Forum at Malvern Theatres, except for the morning coffee concert on 9 April. 24 September 2020 Paul Lewis, piano 5 November 2020 Can￿lled - Albion String Quartet (after Calidore Quartet had cancelled) cancelled - Amatis Piano Trio 26 November 2020 21 January 2021 14 February 2021 18 March 2021 cancelled - Emma Johnson and Friends cancelled Pavel Kolesnikov, piano cancelled - Sheku & Isata Kanneh-mason. cello & piano 9 April 2021 cancelled - lain Simcock, h8rpsichord (at Elmslie House) 29 April 2021 cancelled - Van Kuijk Quartet Each concert was planned to be sold on a one-off basis, depending on the socially distanced seats available. Both November concerts were re-organised to offer two short performances, with no intervals. in order to facilitate attendance by as many members and public as possible. This practice resulted in maximum audiences for the double recital in September, but this maximum amounted to fewer than 200 ticket sales in total, about half the normal attendance al a single concert. Tickets for the first concerts were sold through Malvern Theatres, who effected refunds when the Albion Quartet were cancelled. As the pandemic progressed, it became clear that no more live concerts would be possible. 4. MEETING THE CLUB'S OBJECTIVES The objects of the Club, as set out in the Constitution, are.. to advance the arts, Gulture and heritage of music by public education in, and appreciation of, music in all its aspects by any means the trustees see fit, and in particular by the presentation of professional public chamber music Concerts and recitals. The Trustees aim to meet the Club's objectives primarily by providing professional chamber music concerts of world-class standard each season for people in the Malvern area and surrounding counties. All concerts are open to the general public. The Trustees believe that if the Club did not exist there would be few or no opportunities for local residents to hear and enjoy live perfonnances of such quality- In pursuance of these objectives, and after a question raised by the Club's Independent Examiner, the Trustees decided to clarify their powers to make discretionary donations to artists whose concerts were cancelled at short notice and before funds had been accrued from ticket sales from which members entitled to refunds might decide to donate their refvnds to the artists whose concerts had been cancelled, as h8ppened with the second concert and with con￿rtS in the previous season. The Trustees decided to take legal advice and instructed the charity department of Lodders. solicitors of Stratford on Avon. Lodders. advice was that under its objects, as stated in the Constitution, the Club would not be able to make such payments but nevertheless it could arguably be in the Club's interest to do so. Lodders recommended an approach to the Charity Commission. The Commission advised that the Club could seek advice from the Commission under Sec. 110 of the Charities Act 2011 or an Order under Sec. 105 of the same act that such payments to cancelled artists would be allowed. The Club chose to tske the latter course and instructed Lodders accordingly. As a result on 18 March 2021 the Commission made an Order under Sec 105, valid for one year (and open to possible renewal on a renewed application), allowing the Club to make such donations provided that its reasoning was clearly recorded in Minutes. Accordingly, a donation was authorised to the Amatis Piano Trio, who had been engaged for the third concert of the season, it being deemed unlikely that the Club would be able to engage these artists for a concert in the foreseeable future. Moreover, tickets for this concert had not been put on sale by the time of cancellation so there was no opportunity for refundees to donate their refunds to the artists. The Committee also decided to make a payment to the Malvern Theatres, Covid-19 appeal, as the continued existence of the venue was essential to its ability to stage concerts in Malvem. The Club maintains an informative website, which continued to be updated during the year. The Club also maintains a Facebook presence, which was employed during the pandemic to direct followers to radio and on-line performances by artists known to Malvern Concert Club. Plans to stream the 5 November concert were cut short by lockdown cancellations. but the take-up had been so low that the Trustees decided not to offer streaming again. 5. MEMBERSHIP In view of the continuing uncertainty in the summer of 2020, surrounding the possibility and conditions of live concerts, the Trustees decided to suspend subscriptions for the 118th season and to deem the 343 members of the 117 season (2019120) to be nominal members for 2020121. Instead of seeking normal subscriptions for the season 2021122 the Committee decided towards the end of the year 2020121 that each existing member (i.e. those carried over from 2019120>, and anyone wishing to join the Club, would be entitled to purchase a priority membership at £10 per head, entitling the member to book during a priority pertod for any of the con￿rtS planned for the 2021122 season. At the time, and at the close of the year, it was and remained uncertain to what extent social distancing might restrict the numbers who could attend and whether the artists would be able and willing to put on performances of reduced programmes on the same day, as had been successfully arranged for the sole concert that the Club had been able to put on in September, 2020. In addition. the Committee agreed that until further notice all ticketing for the season's regular concerts in 2021122 would be handled by Malvern Theatres, with those buying priority membership entitled to a priority booking period for these concerts. 6. AWARDS FROM CHARITABLE TRUSTS and SPONSORSHIP There were no charitable grants received this year. 7. BROADENING OUR RANGE In normal circUmstan￿S the Club attempts to widen its appeal by promoting daytime concerts, including a morning at a smaller venue, with coffee and cake included in the ticket price. In previous years the Club has also organised coach trips to classical con￿rtS at Symphony Hall in Birmingham. Unfortunately, none of these activities could be undertaken this year, due to pandemic restrictions. 8. EDUCATIONAL WORK The Trustees came to a provisional agreement with Severn Arts, for that organisation to deliver a programme of music education on the Club's behalf in local schools. Unfortunately, Severn Arts have been unable to develop their proposal, as schools were closed for much of the year under review. The Club normally offers discounted membership and single ticket rates to students in full-time education under 21. free tickets to teachers bringing groups of students to concerts; and free tickets to members, children under the age of 18. 9. FINANCE The Treasurer is responsible for managing the finances of the Club and for keeping the Trustees informed on financial matters. 9.1 Independent Examination of the Accounts Mr David Fowler FCCA has continued to act as the Independent Examiner of the club's Accounts. The Club is most grateful to him for taking on this role on an entirely voluntsry basis, and for providing the Club with valuable advice. 9.2 SORP As in previous years. the Club prepared its accounts in accordance with the appropriate parts of the Charity Commission's Statemenl of Recommended Practice {SORP) 9.3 Donations and Legacies The Club receives donations (mosl of which qualify for Gift Aid) from members and former members. The Trustees are most grateful for all donations. The Notes to the 2019120 accounts stated that the Club had been advised in July 2019 that a bequest of an unknown amount would be paid to the Club and others from the dispersal of a Trust Fund established by a former Committee member and Officer, Mr. Ernest Kay- the Club had previously received grants from this Trust to support various commissions of new compositions. In July 2020 the Club received from the executor (the Charities Aid Foundation} £93,241.91 with the advice that'mr. Kay had slipulated that the funds received are to be used for long-term, lasting projects and not current revenue expenditure.. The Trustees have begun to formulate ideas to expend this money but it will take time, care and ingenuity to do so wisely. Suggestions from members are being sought. This legacy and the reduction in expenditure due to Covid-19 increased markedly the cash on which the Club could earn interest. It was decided to keep deposits with any one financial institution below the £85.000 FSCS limit. After increasing the amounts in the Club's existing deposit accounts, efforts to place the remaining cash in an interest bearing easy-access or notice deposit were thwarted by the lack of co-operation between potential candidate banks or building societies and the bank which had paid the bequest money. Despite several requests, the latter was unable to provide sufficient information to satisfy a potential recipient bank as to the source of the funds, under money-laundering requirements. Consequently efforts to open one or more new accounts with other financial institutions were abandoned. Had such cooperation been effected, cash kept by the Club in its current account could have been reduced while much of the spare cash kept in a very low interest bearing business savings account could have earned more interest elsewhere, albeit still at a low level. 9.4 Reserves and Banking The Trustees have a formal ReseNes Policy, which requires that reserves be maintained at a level which ensures that the Club's core activities can continue for at least a year during a period of unforeseen difficulty. The Club manages its reserves so as to maximise a return on cash commensurate with security. On the basis of a cash flow forecast, funds not required in the short term are invested on a one year basis, while funds required for immediate transactions are held in a non-interest bearing, but charge-free, current account, and an instant access interesi paying deposit account. All payments and movements between accounts require the separate authorisation of two of the Trustees, and the electronic banking arrangements are compatible with this requirement. 9.5 Administrative Costs All banking is done as far as possible on-line, to minimise administrative costs. In addition, administrative costs are kept to a minimum by communicating with members by email where possible. The general aim is to spend the minimum on overheads commensurate with efficiency and good practice, so that the Club's funds can be spent on its principal objectives. 9.6 Budgeting and Cost Control Budgets are prepared for the current and following two years, since the concert programming is planned with a horizon of two years or more. The Trustees receive regular financial reports of perforniance against budget, and keep the budgets under ongoing review, making adjustments where necessary. Supplementary information is provided to the Trustees on the financial outcome and attendance figures for each Club concert. Decisions on subscriptions and ticket pricing are made with reference to all this information. Given the Exceptional Circumstances to which reference has been made in section 3 above, the budget for the reporting year became academic, and both income and expenditure were exceptionally low. The Club hopes that a more normal pattern will be followed in the coming season. 9.7 Insurance The Club has an insurance policy covering the principal insurable risks identified by the Trustees, including cOn￿rt cancellation, damage to the hired piano and public liability. This is effected through its membership of the specialist organisation. Making Music. 9.8 Covid-19 There were significant impacts on Club programming this year. arising from government restrictions imposed to address the Covid-19 pandemic. These impacts are fully detailed in this Report and in the Notes to the Accounts for the year. At the time of the adoption of this Report the impact on plans for the following season are not known, but the Club's reserves (see section 9.4) are sufficiently strong to meet any further continuation of restrictions. 10. ADOPTION of THE REPORT by the TRUSTEES and DECLARATION We declare, in our capacity as Charity Trustees. that.. the Trustees have approved the report above., and the Trustees have authorised us to sign it on their behalf. John Gregory Chairman Janet Lawto Secretary Approved by the Trustees on 14 June 2021 ## ## ## ##