**Charity registration number 508326** **Company registration number 01357553 (England and Wales)** ## **MIDLAND AIR MUSEUM** # **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022** ## **MIDLAND AIR MUSEUM** ## **LEGAL AND ADMINISTRATIVE INFORMATION** |**Trustees**|Mr K Dixon| |---|---| ||Mr M T Painter| ||Mr G L Talbot| ||Mr I P Welford| ||Mr B W James| ||Mr A R Evans| ||Mr D Woodrow| |**Charity number**|508326| |**Company number**|01357553| |**Registered office**|Coventry Airport| ||Rowley Road| ||Coventry| ||United Kingdom| ||CV8 3AZ| |**Independent examiner**|Azets Audit Services| ||3Mc Middlemarch Business Park| ||Siskin Drive| ||Coventry| ||United Kingdom| ||CV3 4FJ| |**Bankers**|HSBC| ||P.O. Box 24| ||City Branch| ||Coventry| ||United Kingdom| ||CV1 1QJ| |**Solicitors**|Mander Hadley Limited| ||Solicitors| ||1 The Quadrant| ||Coventry| ||West Midlands| ||United Kingdom| ||CV1 2DW| |**Curatorial Advisor**|C van Schaardenburgh| ||Head of Collections| ||The Tank Museum| ||Bovington| ||Dorset| ||BH20 6JG| ||United Kingdom| ## **MIDLAND AIR MUSEUM** ## **CONTENTS** ||**Page**| |---|---| |Trustees' report|1 - 4| |Independent examiner's report|5| |Statement of financial activities|6| |Balance sheet|7| |Notes to the financial statements|8 - 19| ## **MIDLAND AIR MUSEUM** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ The Trustees present their annual report and financial statements for the year ended 31 December 2022. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's [governing document], the Companies Act 2006 and "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 Republic of Ireland (FRS 102)" (effective 1 January 2019). ## **Objectives and activities** The objects of the charity are to advance the education of the public in the preservation of aircraft and aeronautical equipment of historical, technical, archive or other public interest relating to Coventry, in particular, and to the Midlands and aviation generally. The museum incorporates the Sir Frank Whittle Jet Heritage Centre with the object of presenting the life and work of Coventry born Sir Frank Whittle and his influence on the world through the development of the jet engine. The Midland Air Museum’s mission is to continue to be recognised as one of the leading independent collections, renowned for its friendly atmosphere and exceptional standards of customer service. Feedback from our customers is continuously reviewed. Opportunities are provided for visitor participation and interaction with exhibits. The museum has an outstanding record of successful innovation in the use of an aviation museum as an educational resource for schools and for places of further and higher education. The Museum’s objective is to be known for the range and quality of aircraft, engines and its regional collection and additionally for a continuous improvement in its standards of restoration and conservation and also for the scale and scope of its partnerships with the community at large. The key aims of the Charity are to acquire aircraft, aircraft components and associated items to further the purpose of the museum and to record aviation history relating to the declared statement of purpose. Additionally to promote the museum and its purpose by outside exhibitions, lectures, media articles, publications, and public interaction and to take such steps that may be thought necessary for the raising of additional funds to promote the Museum’s purpose such as donations, grants and annual subscriptions. The Museum has a strategy to develop the skills of the current membership and staff with emphasis on the care of the collection, the quality of service to visitors and the excellence of displays. Additionally there is a strategy of generating greater funding opportunities to supplement the Museum’s own financial assets which will be targeted in an effective way. Our National Accreditation status is very important in this respect. The Museum’s long term strategy is to consolidate our customer base while looking for a wider participation and greater diversity. Major future developments will require funding opportunities to be explored and the continuation of accreditation status will assist in this objective. The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake. - 1 - ## **MIDLAND AIR MUSEUM** ## **TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **Achievements and performance** Following 2 years of difficulties and periods of government defined closures and restrictions due to the Covid pandemic the Museum was able to resume 7 day a week opening to the public throughout the year with the exception of 4 days at Christmas and a closure on the day of the funeral of her Late Majesty, Queen Elizabeth II, as a mark of respect. Regular visits from schools and cubs, scouts and beaver groups resumed during the year together with visitor numbers returning to pre-pandemic levels. The challenge for the museum staff and volunteers was to maintain a welcoming environment while recovering the time lost in the maintenance of and presentation of the collection. A summary of the main achievements of the Charity during the year : - The 3 major events during the year were the resumption of the Summer Model Show, the autumn Aviation Fair and the December Fair which were all well attended. - An opportunity arose during the year when the Royal Air Force, after assessing their collection, invited proposals from other museums to take items into their own collections. The museum submitted proposals for 2 aircraft and were successful with both. The aircraft were transferred before the year end and will be displayed inside. - A repaint of the Vulcan was initiated with the majority of the upper surfaces completed during the year with the exception of the tail markings. - Restoration of the Fletner Kolibri was completed during the year and the helicopter is now displayed in the main display hall. The engine has now been moved from long term store and a restoration to display condition has commenced. - Restoration of the Kaman Huskie was completed during the year and the helicopter will continue to be positioned in the Robin Hanger. - The Gloster Javelin restoration was completed during the year. - The repaint of the Iskra aircraft was completed during the year.. The Trustees are very much aware of the support given by staff and volunteers and they would like to record their thanks and appreciation for all their efforts during this year. The Trustees would also like to thank those individuals and organisations who have loaned exhibits and supported the Museum during the year. ## **Financial review** The Museum maintained a strong financial position through 2022, building upon the 2021 position, and continuing recovery from the effects of the pandemic. Total incoming resources for the year were £220,630 (2021: £181,763) and net incoming resources were £27,367 (2021: £34,348) Total available funds at the end of the year were £748,219 (2021: £720,852) It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The Trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year. The Trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks. - 2 - ## **MIDLAND AIR MUSEUM** ## **TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **Structure, governance and management** The Charity is constituted in accordance with its Memorandum and Articles. It is a membership organisation governed by a Board of Trustees, the members of which are elected from within the membership at the AGM. The Board of Trustees also acts as the management committee of the Charity with a structure that enables delegation of responsibilities, with an appropriate reporting mechanism to the Board. The Board of Trustees meet at least six times annually in a formal manner, and a specific training and mentoring programme is established for new trustees. The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were: Mr K Dixon Mr M T Painter Mr G L Talbot Mr I P Welford Mr B W James Mr A R Evans Mr D Woodrow None of the Trustees has any beneficial interest in the company. All of the Trustees are members of the company and guarantee to contribute £1 in the event of a winding up. ## **Heritage assets** The whole collection of heritage assets are not capitalised because of the significant costs that would be involved in the valuation which are onerous compared with the additional benefit that would be gained by users of the accounts. However, major acquisitions of heritage assets have been capitalised since 1st January 2005 and depreciated in accordance with the stated rate. - 3 - MIDLAND AIR MUSEUM TRUSTEES. REPORT {coKfiNUED)(INCLUDING DIRECTORS. REPORTI R?R THE YEAR ENDED 31 DECEMBER 2022 Pthn• forfvture perlod• Fulure plan8 are defjned and monltornd by mean5 of the FcThBrd Plannlng whtth IB approb*d ty tho and reviowed in conlunthon wilh the Prolessbnal Curatorial P4Jv16er and updated annullty. A summary of Ihe maln hem8 frryn tha pl￿ for the (xmnt FI￿ning IB: . Thg colleetK>n18 to be dgNYk>ped kn a(uthnc8 with thg ChwW8Acqu18111cm and DIBpo881 Polry. . Tho Museum will contlnuo With tho &WUb8itTh fi1n￿rt of Tt)mado arvaft pgrts to enhoncè th8 publc i&splay of the aircrnft. To c(Mllnu6 wilh the programme of revi￿7¥3 and improth? al tha ￿kne1 (th8pl&ys within the display hall. An aTra Sn th8 maln haryer Is to be used for spe￿¢ di8ths for up to 12 month& Thk8 area WaB Used In 2022 the 40thAnnhersary of the Falkjand Islands. Th8 Flelner Kollbrt h•lwter ba th• nexi exhibttion in th1$ area together vlth 118 englne •• 88 tha fjngine restor•llon to display iy)ndthn A wnpleted. To consolldale the skdls training of pald staff and K￿nteer membws. To compl8le tho rgpalnt ofthe Avro Vuk•n. Phantom and Beavar alrcraft. To ￿ntInue with the ongolng PTogramme of alruaft ¢1418dicn presefyatlcfj k)r wthTrch the imm8dlat• s¢Swdule th￿deS the Vick8rs Vlscount. theAmffjlroty ￿90$y, and the Meteor NF14 alrcsaft. To ¢￿￿nUe with the ongoing progrnmme of evvJine colerAion w8s•rvatk)n, 8peafi¢81ty th8 and Elan eNJine8. and lo pr•wo an Ofenda el￿ne fordisplay. . Conts'nue wlth Ihg ¢¢41ed￿n catabgukng kn a￿Ordan(¥ with th• ao7e(Won pkn InC¥)rpO￿lvJ tho extensive Leopard glrcr8ft 4rthi¥e. . To Con￿nUe lo use 3D Prinler lechrKJbw In t￿ m(w￿.8 approprbts. Continue the plannlng of furtheT improvements lo the general M￿eurn infrastruc*ure indudirrfj the Pro￿910n of 8 hard Surfa￿ p#thway from thg m*n disp* h￿1 to tho Rolxn h￿ger and a relu￿1￿hMon1 of the loiknt 1119 planned to damdish the orfglnal workshop bulthng to buld a larger lyJikllng in Ihe Game aroa whkh would be u8ed as g ￿5￿Or d18￿Y grea to inck>ae such gs engines aTrJ #inft ¢>xkprt$. Plgn¥ should be yubmthed lo the counal for approvgl in earty 2023. . The Museum WIM COnt￿￿e to holj 8 m8fvr rTb)dd shtr* in •$8(•*ti￿ wilh Cowilry arwj IAtsrwthhlr• Intgmaiional Plaslic Model Swety and the Museum Christmas Fa*. Folhjwing th¢ S￿$$ of the Awatkjn Falrs In rncent years the Mu￿um Plans to h¢)Id anolher Awation Falr durlr4J 2023. . The Museum c4JnUnueg it8 edu¢atK>nal 4ssodallon$ with bolh CoNpnty and un￿ers￿l95 and hoplng to frJrth•f devdop Ilnks wrth Lgke8ter unl￿ty and to LwUnu8 hjng slanding as80ciations wtth many local and legh￿91 s¢h(K4$. . 11 15 planned lo continue a PfOBramnx of ViBIts by sd￿01& to th• Museum of outreach tth8. In addillon to thg gbove programme pknning will be ¢￿tinued for dev?hynent of the main •ntr￿Ce. Ihop and addition￿ Insklo visitor and display arnas. Dkne1￿ufv of Inf¢m)otlon to audltor Each of the Tfuslg9$ ha5 ctrffflmied thgt thore is no vfftjrrnalion of bthlL* th•y are aware *thlch 1$ rglgvant lo the audit. but of whlch the guditof is unaware. Thèy have fvrthEr ¢x*nfim)ed thal they have taken 8ppropri8te stsps to hjerffy suth rdev8nt inf0M￿￿or1 and to establish that the audiior k$ 4w8rg of such inf0M￿l￿)n. The Trustees, report Yas approved ty the Board ofTru51ees. MrBW Chal MrA R Evans Treasurer Dated:. I f4!*&t ts z3 ## **MIDLAND AIR MUSEUM** ## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF MIDLAND AIR MUSEUM** I report to the Trustees on my examination of the financial statements of Midland Air Museum (the charity) for the year ended 31 December 2022. ## **Responsibilities and basis of report** As the Trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act). Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act. ## **Independent examiner's statement** I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: - 1 accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or - 2 the financial statements do not accord with those records; or - 3 the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or - 4 the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached. Robert Anderson FCA Azets Audit Services 3mc Middlemarch Business Park Siskin Drive Coventry CV3 4FJ United Kingdom Dated: ......................... - 5 - ## **MIDLAND AIR MUSEUM** ## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** ## _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ |||**Unrestricted **|**Unrestricted**| |---|---|---|---| |||**funds**|**funds**| |||**2022**|**2021**| ||**Notes**|**£**|**£**| |**Income from:**|||| |Donations and legacies|**3**|14,547|58,488| |Charitable activities|**4**|116,511|72,252| |Other trading activities|**5**|89,122|50,288| |Investments|**6**|450|735| |**Total income**||220,630|181,763| |**Expenditure on:**|||| |Raising funds|**7**|95|495| |Charitable activities|**8**|193,168|146,920| |**Total expenditure**||193,263|147,415| |**Net income for the year/**|||| |**Net movement in funds**||27,367|34,348| |Fund balances at 1 January 2022||720,852|686,504| |**Fund balances at 31 December 2022**||748,219|720,852| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. - 6 - MIDLAND AIR MUSEUM BALANCE SHEEr AS AT31 DECEMBER 2022 2022 2021 Flxed assets T8ThJibfe assgts irent I#￿1* Stocks DebtOf8 Cash al bank In hv 12 188,5&) 1W,791 13 14 24.807 3,327 23.TTO 6,1S5 $04.482 5e8.240 Cr•dltord: •mounts falllng du• wlthln one y•ar 15 16.581) (4,3291 Net Cu￿nI a880t8 559.859 530,081 Total ••••ts l••• curY•nt Il•blllll•• 748.219 720.852 Incom• fvnd• De51gnat8d funds General unre$lrk*ed fun 578. 169,659 580,791 140,081 748,219 720.852 748.219 720.852 The o)mpAny15 enthled lo the exeI￿On from the 8udEI rewtrement contaknod In section 477 ofth• C¢)mpanlgsAel 2CKfj. lor the year ended 31 Oecember 2022. Th• dlreclors thNledge thek rnsp0n￿b￿ for £￿ipp￿1￿J ¥Ath th? wulrnments of the Compan￿$ ALX 2006 ih respeL# to •?)￿ntI￿d fycg)Fds and the preparallon of flnandal stat•m8nts. Th680 knndal 51algments hm prepared and defvered In Ac£ord•nc* with Its pro¥lslon8 opplS¢abh to mpank?s subi￿t to the sfflo11 corrwies regime. Thg rnembers nol rgqulThJ the conww to oblaln an of iti fwwK4al ststOm￿ ts the yggr In we8tlon In a0))rdan￿ wllh sgdon 476. The nl¥ werg 8pprov9d by th? Tru¥to98 (m............ MrB James Ch•1m￿n MrA R Evan5 Comp•ny RegI￿allOn No. 01357663 ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **1 Accounting policies** ## **Charity information** Midland Air Museum is a private company limited by guarantee incorporated in England and Wales. The registered office is Coventry Airport, Rowley Road, Coventry, CV8 3AZ, United Kingdom. ## **1.1 Accounting convention** The financial statements have been prepared in accordance with the charity's [governing document], the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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 Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102. The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows. The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below. ## **1.2 Going concern** At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements. ## **1.3 Charitable funds** Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity. ## **1.4 Income** Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset. - 8 - ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **1 Accounting policies** **(Continued)** ## **1.5 Expenditure** All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. Irrecoverable VAT is charged as an expense against the activity for which the expenditure arose. ## **1.6 Tangible fixed assets** Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: Leasehold land and buildings 2% - 5% on original cost Fixtures and fittings 10% - 33% on original cost Site assets 10% on original cost The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities. ## **1.7 Impairment of fixed assets** At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). ## **1.8 Stocks** Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost. Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution. ## **1.9 Cash and cash equivalents** Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. ## **1.10 Financial instruments** The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. - 9 - ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **1 Accounting policies** ## **(Continued)** ## _**Basic financial assets**_ Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. ## _**Basic financial liabilities**_ Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. ## _**Derecognition of financial liabilities**_ Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled. ## **1.11 Taxation** The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. ## **1.12 Employee benefits** The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits. ## **1.13 Retirement benefits** Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. ## **2 Critical accounting estimates and judgements** In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. - 10 - ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **3 Donations and legacies** |**Unrestricted**
**funds**
**2022**
**£**
Donations and gifts
1,547
Business Rates Relief and Job Support Grants
-
Other
13,000
14,547|**Total**
**2021**
**£**
6,522
51,966
-| |---|---| ||58,488| Local Council Reliefs received amounted to £0 (2021 £37,425) and Job Support Grants received were £0 (2021 £14,541) in the year. - 11 - ## |**Total**|**2021**||**£**|72,252| |---|---|---|---|---| |**Hire of**
**Subscriptions**|**facilities**|**2021**
**2021**|**£**
**£**|275
4,380| |**Admission**|**fees**|**2021**|**£**|67,597| |**Total**|**2022**||**£**|116,511| |**Hire of**
**Subscriptions**|**facilities**|**2022**
**2022**|**£**
**£**|844
2,591| |**Admission**|**fees**|**2022**|**£**|113,076| |||||Sales within charitable activities| ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **5 Other trading activities** |**Unrestricted**
**funds**
**2022**
**£**
Shop and cafe sales
89,122
**6**
**Investments**
**Unrestricted**
**funds**
**2022**
**£**
Interest receivable
450|**Total**
**2021**
**£**
50,288| |---|---| ||**Total**
**2021**
**£**
735| - 13 - ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **7 Raising funds** |**8**|Fundraising and publicity
Advertising
**Charitable activities**
Staff costs
Depreciation and impairment
Cost of sales
Gift Aid Donations Expired
Share of support costs (see note 9)
Share of governance costs (see note 9)||**2022**
**£**
95
95
**2022**
**£**
76,474
15,231
55,714
3,136
150,555
38,703
3,910
193,168|**2021**
**£**
495| |---|---|---|---|---| |||||495| |||||**2021**
**£**
67,147
16,408
31,712
-| |||||115,267
28,133
3,520| |||||146,920| - 14 - ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **9 Support costs** |**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Rent and rates
4,596
-
Insurance
8,504
-
Light and heat
7,631
-
Site expenses
11,324
-
Office expenses
878
-
Telephone
1,519
-
Transport and travelling
expenses
587
-
Restoration
2,404
-
Sundry expenses
995
-
Bank charges
265
-
Legal and professional
-
3,910
38,703
3,910
Analysed between
Charitable activities
38,703
3,910|**2022**
**£**
4,596
8,504
7,631
11,324
878
1,519
587
2,404
995
265
3,910
42,613
42,613|**2021**
**£**
4,257
7,618
4,338
3,388
746
1,240
340
1,251
2,106
2,849
3,520 Governance
31,653
31,653| |---|---|---| Governance costs includes payments to the Independent Examiners of £2,950 (2021 - £2,820) for Independent Examination and other services. ## **10 Trustees** None of the Trustees received any remuneration or benefits from the charity during the year. ## **11 Employees** The average monthly number of employees during the year was: ||**2022**|**2021**| |---|---|---| ||**Number**|**Number**| ||6|5| |**Employment costs**|**2022**|**2021**| ||**£**|**£**| |Wages and salaries|74,329|65,191| |Other pension costs|2,145|1,956| ||76,474|67,147| No single employee received total employee benefits of over £60,000 - 15 - ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ |**12**
**Tangible fixed assets**
**Leasehold**
**land and**
**buildings**
**Fixtures and**
**fittings**
**Site assets**
**£**
**£**
**£**
**Cost**
At 1 January 2022
270,412
110,455
13,377
Additions
-
13,000
-
At 31 December 2022
270,412
123,455
13,377
**Depreciation and impairment**
At 1 January 2022
98,765
91,314
13,374
Depreciation charged in the year
8,828
6,403
-
At 31 December 2022
107,593
97,717
13,374
**Carrying amount**
At 31 December 2022
162,819
25,738
3
At 31 December 2021
171,647
19,141
3
**13**
**Stocks**
**2022**
**£**
Raw materials and consumables
24,607
**14**
**Debtors**
**2022**
**Amounts falling due within one year:**
**£**
Other debtors
3,327
**15**
**Creditors: amounts falling due within one year**
**2022**
**£**
Other taxation and social security
1,639
Other creditors
844
Accruals and deferred income
4,098
6,581|**Total**
**£**
394,244
13,000
407,244
203,453
15,231
218,684
188,560
190,791
**2021**
**£**
23,770
**2021**
**£**
6,138
**2021**
**£**
(185)
445
4,069
4,329| |---|---| - 16 - ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **16 Retirement benefit schemes** ## **Defined contribution schemes** The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund. The charge to profit or loss in respect of defined contribution schemes was £2,145 (2021 - £1,956). - 17 - ## |**Designated funds**|The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:|**Movement in funds**
**Movement in funds**|**Balance at**
**Incoming**
**Resources**
**Transfers**
**Balance at**
**Incoming**
**Resources**
**Balance at**|**1 January 2021**
**resources**
**expended**
**1 January 2022**
**resources**
**expended**
**31 December**|**2022**|**£**
**£**
**£**
**£**
**£**
**£**
**£**
**£**|Fixed assets fund
203,199
4,000
(16,408)
-
190,791
13,000
(15,231)
188,560|Building development fund
225,000
-
-
30,000
255,000
-
-
255,000|Acquisition fund
55,000
-
-
-
55,000
-
-
55,000|Reserve fund
55,000
-
-
25,000
80,000
-
-
80,000|538,199
4,000
(16,408)
55,000
580,791
13,000
(15,231)
578,560||The trustees have designated various funds this year as follows:|�
The Building Development fund is to provide funds to enable more exhibits to be displayed under cover to improve the visitor experience and to protect exhibits|for the future.|�
The Acquisition fund is to provide funds to enable suitable exhibits to be acquired when they become available to continue to develop and improve the|museum's collection.|�
The Reserve fund is considered sufficient to cover the operating costs of the museum for a period of six months.| |---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---| |**17**||||||||||||||||||| ## **MIDLAND AIR MUSEUM** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **18 Financial commitments, guarantees and contingent liabilities** In 2001 the Museum acquired a MIG21 aircraft with the assistance of Prism funding. The amount received was £2,000 which would become repayable should the Museum sell the aircraft. ## **19 Related party transactions** During the year, the wife and daughters of Mr B. James were employed by the museum at open market rates. Mr B. James was excluded from all discussions and decisions related to their employment. - 19 -