# **GREATER MANCHESTER ARTS CENTRE LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS**
## **FOR**
## **THE YEAR ENDED MARCH 31 2022**
**Company number 1681278 Charity number 514719**
## **GREATER MANCHESTER ARTS CENTRE LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
||**INDEX**|
|---|---|
|Administrative information|1|
|Trustees’ and Directors’ annual report|2 – 8|
|Auditors’ report|9 – 11|
|Group statement of financial activities|12|
|Company statement of financial activities|13|
|Group balance sheet|14|
|Company balance sheet|15|
|Statement of cash flows|16|
|Notes to the financial statements|17 – 36|
**GREATER MANCHESTER ARTS CENTRE LIMITED ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED MARCH 31 2022**
## **OPERATIONAL NAME**
HOME
|**DIRECTORS**||||
|---|---|---|---|
|**Name**|**Appointed/Resigned**|**Position**|**Subcommittee**|
||||**(see key below)**|
|J S Claypole-Smith|resigned 21/10/21|Chair until 21/10/21|FC|
|N S Arthanayake||||
|J Bloxham||||
|R Bromley|appointed 21/10/21|||
|N M Ibu|||FC|
|K Jackson|resigned 21/10/21|||
|K M Jacob|appointed 22/10/21|Chair from 21/10/21||
|C Jeffries||FC Chair|FC|
|S McIntosh|appointed 22/10/21|||
|V L Pinnnigton||||
|Cllr L Rahman *||||
|R Ruia|||FC|
|S T Sorrell|resigned 21/10/21|||
|Cllr B Stone **|resigned 7/05/21|||
(*Cllr L Rahman nominated by Manchester City Council. ** Cllr B Stone nominated by GMCA)
**SENIOR MANAGEMENT TEAM** Chief Executive D J Moutrey Executive Director J Gilchrist Technical Director S Pritchard Development Director R Joyce Director of Finance C Riches Director of Marketing & Communications B Turnbull Creative Director: Film & Culture J Wood **REGISTERED OFFICE AND** HOME **PRINCIPAL PLACE OF BUSINESS** 2 Tony Wilson Place Manchester M15 4FN **AUDITORS** Chittenden Horley Chartered Accounts and Statutory Auditors 456 Chester Road Old Trafford Manchester M16 9HD **SOLICITORS** Weightmans 1 Spinningfields Hardman Square Manchester M3 3EB **BANKERS** The Co-operative Bank 70-72 Cross Street Manchester M2 4JG **SUBCOMMITTEES** FC – Finance Sub-committee
**1**
**GREATER MANCHESTER ARTS CENTRE LIMITED TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED MARCH 31 2022**
The trustees present their annual report together with the consolidated financial statements of the charity and its subsidiaries for the year ended March 31 2022.
## **REPORTING FRAMEWORK**
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, 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 (FRS102) (effective 1 January 2019), referred to as the Charities SORP (FRS 102) (second edition – October 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Charitable objects**
The objects of the Charity are:
“to promote, maintain, improve and advance education, particularly by the encouragement of the Arts, including the arts of cinema, drama, dance, photography, painting and sculpture and including all other arts of a visual nature provided that all the objects of the Company shall be of a charitable nature.”
To achieve this, the Charity creates and presents work under the brand of HOME in Manchester and distributes art books under the brand Cornerhouse Publications.
HOME is the trading name for Greater Manchester Arts Centre Ltd (GMAC) and is one of the UK's leading centres for theatre, film and visual arts.
GMAC is funded on an annual basis by the Arts Council of England (ACE), the Greater Manchester Combined Authority (GMCA) and the British Film Institute (BFI). As a Group pre-pandemic, it had incoming resources of £6.4 million of which c68% is earned from cinema box office, theatre box office, trading, fundraising, sponsorship and SLA contract funding from Manchester City Council (MCC).
GMAC is a National Portfolio Organisation (NPO) for ACE and has successfully applied for NPO status for the period 2023-26; From April 2023 the funding from ACE will be £1,321,387 per annum.
## **Vision**
HOME is central to making Greater Manchester a major city celebrated for its distinctive art; art that enriches the lives and life chances of its people, a magnet for artists and creatives with the highest engagement in the arts in the UK.
## **Mission**
HOME is an open and social space place for the curious from all our communities, future artists and producers of work that is provocative, playful and contemporary, of Manchester and the world.
## **Values**
- i. Creativity – bringing imagination, resourcefulness and innovation to our work
- ii. Pioneering – leading the way, breaking new ground, being ahead of the curve, taking risks
- iii. Collaborative – seeking out opportunities for sharing and partnership
- iv. Engaged – with our city region and the wider world, with art and artists and with ideas and issues
- v. Open – welcoming and engaging with multiple voices, ideas and perspectives
- vi. Rigorous – striving to do the best work, valuing quality.
**2**
**GREATER MANCHESTER ARTS CENTRE LIMITED TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED MARCH 31 2022**
## **Achievement and performance**
Prior to the onset of the COVID-19 pandemic we celebrated our most successful year to date, and are working to return to that level of activity and success.
In 2020/21 we welcomed nearly 900,000 visitors, with approx. 7,000 events taking place and over 20,000 people engaged in arts practice from our communities. HOME had an economic impact to the city of £26 million. However, Greater Manchester was one of the regions hardest hit by coronavirus restrictions, and HOME was only able to open – with social distancing – for a total of 62 days in 2020/21.
In the wake of the pandemic we worked – with trustees and the HOME team as well as consulting with audiences, artists and partners – to develop a strategy centred around organisational recovery. Whilst remaining absolutely committed to our vision and mission, we took the time to review our strategic objectives; the following commitments have therefore underpinned our work over the past year:
- Tackling inequality – the pandemic highlighted or exacerbated divisions in our society, and this is a critical time to ensure that HOME becomes more representative of the city and its people;
- Providing hope and joy – it has been proven that the arts have a positive impact on mental and physical health, and in the aftermath of the pandemic creating moments of reflection, hope and joy will be critical to the recovery of the city region; and
- Protecting the planet – climate change remains the biggest threat to our planet, and HOME has a responsibility to play a significant role in the ‘green’ recovery post-pandemic.
We have worked to deliver on these objectives through: creative collaboration – galvanising existing partnerships and developing new ones; expanding reach – developing a programme that speaks to more communities; and strengthening the business – championing innovations which will bring in new income streams or provide efficiencies.
## **Artistic programme**
Film programme highlights included ‘Nomadland’, ‘Belfast’, ‘Supernova’ and ‘After Love’ – the latter two for which we were amongst the best performing cinemas in the UK. We celebrated the 27th edition of ¡Viva! – our Spanish and Latin American Film Festival – which featured 50 screenings of 21 films (including 7 UK premieres), with total attendance figures surpassing the target of 3,000. Following online delivery in 2020, Manchester Animation Festival also made a welcome return to HOME. We were delighted that HOME was placed 7th in the Time Out Top 50 cinemas in the UK – the highest-ranked in the North of England.
Whilst still operating under COVID restrictions we delivered Homeground, an ambitious outdoor theatre festival, which welcomed 21,000 visitors and an average of 36% new-to-venue bookers. With the easing of restrictions the theatre programme really hit its stride, with both spaces returning to commission for the first time since March 2020. Highlights included: Manchester Folk Festival, and Ripples of Hope Festival; Hofesh Shechter; our co-production of ‘The Lemon Table’ featuring Ian McDiarmid and directed by Michael Grandage; and one-night events from Armistead Maupin, Ai Weiwei, Bernadine Evaristo and Harry Hill.
Highlights from our visual arts programme included the delivery of our biennial Manchester Open exhibition – which featured 400 artworks selected from over 2,270 submissions – as well as Poet Slash Artist, in collaboration with Manchester International Festival, and our HOME-curated commission with internationally renowned artist Cassils.
From a Creative Development point of view we were able to run activities with schools for the first time since the start of the pandemic, delivering projects including NT Connections, Barbican Box and our Modern Foreign Languages programmes. We were also delighted to welcome over 500 school children from 10 schools to ‘A Midsummer Night’s Dream’ as part of Homeground.
In terms of Talent Development we continued to deliver a blended approach of online and in-person activity delivering several of our regular programme of workshops and events. We appointed Dan Hett as Creative Technologist in a fellowship role created by the arts venue in partnership with Manchester Metropolitan University’s School of Digital Arts (SODA), and we delivered Push Festival, which included commissions from Emmanuel Bajjii presenting his new work ‘Candyfloss’ and Jenni Jackson with her devised piece ‘Endurance’ _._
We also launched Homescreen – our new online platform for culture – at the start of September which opened with Ripples of Hope live streams, as well as a range of free online content including film and digital exhibitions.
## **Public benefit**
In shaping the strategic objectives and planning the activities for the year, the trustees have considered the Charity Commission’s guidance on public benefit, including the guidance on public benefit requirement and fee charging. The charity relies on grants and the generated income from fees and charges to cover its operating costs. In setting the level of ticket prices, fees and other charges the trustees give consideration to the accessibility to activities for those on low income.
## **Use of social investments**
GMAC did not make any social investments as defined by the SORP in 2021/22
## **Volunteering opportunities**
We also engaged 104 volunteers in various activities across the organisation over the past year. Collectively, these volunteers have contributed 2589 hours via a range of tailored schemes.
**3**
**GREATER MANCHESTER ARTS CENTRE LIMITED TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED MARCH 31 2022**
## **FINANCIAL REVIEW**
## **Overview**
The results for the year are set out on pages 12 and 13 of the financial statements. This year the group is reporting a surplus, after tax credits but before transfers, of £261,807 (2020/21 £675,271) on unrestricted funds. The prior year result reflected an unprecedented level of support because of the pandemic and the inevitable net savings from reducing our artistic output.
Regular funding continued through the year, along with two subsequent Cultural Relief Funds (CRF 2 and CRF 3) from Arts Council England and the HMRC CJRS grant.
The group is reporting net current assets of £1,872,360 (2020/21 £1,723,184). This increase in net current assets is attributable to the increase in cash in the bank from the grants received during the year and the increase in debtors, due to an increase in trading.
The directors consider that the overall financial position stabilised as a result of the support received during the year, as well as the outdoor theatre, Homeground, followed by an autumn programme but without a significant Christmas production. Given the general reserves position at the end of 2021/22 and the challenging year anticipated for 2022/23, the Board designated funds to underwrite the 22/23 budget and for investment in LED Lighting and ICT project. Details of the designations are shown in note 18 to the financial statements.
## **Subsidiaries**
**Greater Manchester Arts Services Ltd (GMAS)** continued to be impacted by the pandemic and lockdown into the first quarter of the year. The shop remained closed until August 2021, reopening with the new theatre programme while the Bar, café and restaurant reopened with the building at the end of May 2021.
The management and staffing of the shop now sits within Customer Services so that staff can switch between serving in the shop and working in box office when demand requires. One of the CS Managers has taken on responsibility for managing the shop and the procurement of stock.
In order to introduce new processes and focus, for the first few months the shop concentrated on selling off old stock. This culminated in a write off of unsellable items at year end; a new procurement plan was introduced from March 2022 to focus on fewer items.
The shop is not open on a Monday or Tuesday as it is not financially viable, however, this is constantly reviewed with the option to open on these days if the programme requires it to do so.
Our Food and Beverage (F&B) provider, Wardley, was able to open the restaurant and bar, albeit with social distancing and reduced opening times, from the end of May 2021 removing social distancing in service from October 2021. However, Christmas was poor due to the increase of COVID infections and low customer confidence to dine out. Despite this, gross sales were over the £1.2 million threshold for the year, meaning that the commission was 8% of commissionable sales. The service charge however continued to fall short to cover the associated costs as a result of the increase in gas and electricity. From 1[st] April 2022, the monthly service charge has increased to £10,000 to address this issue.
The trustees of GMAS are confident that trading will continue to improve and the current loss will be recovered within 2022/23. GMAS did benefit from CRF3 by £15,300. Any profits will remain within the subsidiary until the deficit is eliminated.
**HOME Manchester Productions Ltd (HMP)** was established to exploit the opportunities presented by Theatre Tax Relief and agreements were entered into in respect of four HOME productions in 2021/22; this included the two productions for Homeground, one of which was cancelled due to COVID. In respect of Museum and Gallery Exhibition Tax Relief, it has entered into 4 agreements in respect of exhibitions in 2021/22; claims were also made for 2 other exhibitions that completed in 20/21 but not decommissioned until April 21.
At the year end the eligible losses meant that Creative Tax Credits of c£185k were claimed and were received in September 2022.
**Cornerhouse Publications Ltd (CP)** provides a specialist sales and distribution service for many of the most innovative publishers, galleries and museums working in contemporary visual arts. While CP works with a number of larger publishers, the majority of clients are small, publicly funded arts organisations whose publications, judged purely on commercial terms, are often unattractive to the mainstream art book distributors. Cornerhouse Publications continues to sell through the book trade, wholesalers, mail order, and online via the CP website enabling customers worldwide the opportunity to acquire publications that might otherwise not be available to them.
With the new structure of 1 FTE (2 headcount) and efficiencies in working, CP was able to make its first profit of £4,055 in 21/22. Sales were steady during the year, however, one large publisher, Ridinghouse left at the end of 2021 from which there will be a loss of sales in the coming year. CP benefited from CRF3 by £4,500.
CP also conducted its first full stock take in March 2022, at the warehouse in Milton Keynes, providing the directors with confidence in the stock held there. There were very minimal write-offs required.
**4**
**GREATER MANCHESTER ARTS CENTRE LIMITED TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED MARCH 31 2022**
## **Reserves Policy and Risk Management**
As part of this process the Trustees have identified the responsibilities for reviewing risks throughout the organisation. The Trustees monitor progress against strategic objectives at each of their meetings. Risks are managed by a three–stage process:
- review the risk that the Charity may face
- determine the systems and procedures to mitigate identified risks
- implement any measures which will minimise any risks that have materialised
In recent years the main focus of the Trustees risk management oversight has concerned financial risk management and in particular ensuring that GMAC maintains sufficient reserves to operate effectively and to be able to maintain the capacity to respond to change. Free reserves are calculated with reference to the unrestricted funds not already invested in fixed assets or associated with designated funds.
The process of building free reserves continued in 21/22 through good management planning and efficiency gains, boosted as well by grants from the ACE Cultural Relief Fund 2 and 3. In early 2022, the level of free reserves was reviewed as part of the budget process; the level required to sustain operations in future years is £850,000 which is calculated as the Group’s fixed pay and overheads for a 3 month period.
Free reserves at 31 March 2022 are £860,194 (2021 - £1,264,737), just above the target figure.
The prolonged pandemic has meant that confidence of customers to return to theatre and film continues to have a lasting impact in 22/23. Much of the excess free reserves above the target level will be used to support the aims of the organisation that were not possible during over the last two years, in particular the First Street Festival in summer 2022 supporting many freelancers, investment in developing future programme, as well as investment in our ICT which is now at end-of-life. Funds have also been designated to invest in more LED lighting across the building to support our environmental aims and to help to reduce costs as utility costs soar.
## **Principal funding sources**
For the 2021/22 year all our major funders maintained their funding at the expected levels. The fundraising environment continued to be difficult but GMAC was able to raise over £760,000 from trusts, foundation, and commercial sponsorship.
The charity receives grant in aid support from three primary public stakeholders.
Arts Council England invested £1,321,387 as an unrestricted grant to enable the charity to meet its charitable aims. GMAC is a National Portfolio Organisation, and is required to submit its Business Plan and Audience Development plans to ACE annually. The charity also submits annual monitoring information to ACE.
The British Film Institute invested £185,000 to enable the charity to present a diverse film programme and increase access to independent film for the public. Quarterly monitoring is required.
Greater Manchester Combined Authority granted £136,900 to the charity to support delivery of projects across the Greater Manchester area. The grant is conditional on an approved plan of delivery and bi-annual return of monitoring information across a range of agreed key performance indicators.
Manchester City Council operate a service level agreement with GMAC wherein the charity was paid £1,268,394 to operate the facility, present a programme of artistic works for the public and deliver an associated education, community, youth and outreach programme. Delivery of the SLA is monitored through a suite of KPI’s against which the charity reports quarterly. MCC have the right to levy financial penalties where specific KPI’s are not met. In such cases a remedial plan will be required before any penalty is applied.
## **Investment policy and review**
Under the memorandum and articles of association the Charity has the power to make any investment which the Trustees see fit. Currently any surplus funds are placed on deposit with a UK clearing bank.
## **Funding beyond March 31 2022**
HOME has good relationships with all its core funders but the national and international economic situation continues to be challenging especially with the cost of living crisis, customer confidence of returning to theatre and film and the increase to gas and Electricity prices. Government policy in the medium and long terms towards funding the arts remains unclear. HOME was fortunate to be successful in 3 rounds of the Cultural Relief Funds over the last 2 years, however, this support has now cessed.
It is clear that local authorities will continue to be under huge pressure and face further significant cuts. Despite this, MCC and GMCA continue to place a high value on arts and culture as tools of economic and social recovery post-pandemic but their continued support will not be taken for granted as their budgets continue to come under pressure from central government.
Funding from ACE remained in place for 22/23, but was subject to an new application process for the three years commencing April 1 2023. At the date of approving these accounts ACE has confirmed the annual funding will be £1,31,387, in line with the current level. Similarly, the BFI are showing strong support for the work of HOME.
**5**
## **GREATER MANCHESTER ARTS CENTRE LIMITED TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED MARCH 31 2022**
Given the uncertainty in the funding environment and inflation increases, growth of trading, private, trusts and foundation income will continue be a priority for HOME. Alongside this, the group restructured the business to bring in cost savings from 2020 onwards; this will be kept under review and more changes will be made if necessary.
HOME has a proven track record of an entrepreneurial and business-like approach to running an arts organisation, which will be key to ensuring the resilience and continuation in the future.
## **Going concern**
The Trustees have adopted the going concern basis for preparing these group accounts. They have considered the impact of COVID 19, inflation increases and other current risks:
- HOME was fortunate to receive funding from the Cultural Relief Fund 3, in November 2021 of £185k towards maintaining reserves.
- The cash position of the group is considerably more stable than it was 2 years ago and the reserves position, as set by the trustees, was more than achieved.
- HOME continues to receive financial support and, as indicated by the regular funders, this will continue. HOME is considered a partner by MCC, that is helping to deliver art as a method of recovery, post lockdown and as a leading advocate in providing work for the freelance economy.
- HOME concluded a successful Spring/Summer programme in 2022 followed by the First Street Festival supporting local freelance artists over the summer months. Demand for HOME’s activities have grown steadily and although they are not yet back up to pre-pandemic levels they remain steady.
- Uncertainties continue in 2022 with regards to increasing wages & salaries, gas & electricity and other third party costs. To mitigate these cost, HOME has introduced booking fees to on-line ticket sales from October 2022 and has partnered with other organisations as a ticket agent to increase income. A review of the theatre programme from Spring 2023 is also in place.
The trustees have concluded that there are no material uncertainties about the Group or Charity’s ability to continue as a going concern.
## **FUTURE PLANS**
HOME is in the final year of its post pandemic two-year extended strategy working with our partners and stakeholders. The mission and vision remained the same but the focus shifted towards tackling inequality, proving hope and joy and protecting the planet.
All HOME employees and volunteers have taken part in anti-racism training during 2022 and new working groups started in September 2022 to move the learning from these sessions into practice. The structure of all our staff groups were reviewed and there are now new action-focused groups looking at Safeguarding, Green group, Accessibility, Policy and Strategy and Wellbeing. HOME has delivered a number of successful film festivals in 2022 such as the popular VIVA Spanish season, as well as Mexican, Japanese and Taiwan film seasons to buffer the national reduced numbers of customers coming back to cinema. BFI has recently launched its Screen Culture 2033 strategy which will inform our funding application to be submitted later this year.
Theatre strategy to co-produce more, started well with The House with Chicken Legs, our first ambitious production for children for some time which engaged and landed well with many schools and Hedwig and the Angry Inch, which had a standing ovation at the end of every night.
HOME is aware of the cost of living and inflation challenges and has recently introduced new income streams such as acting as a ticket agency, a new building levy within ticket prices and on-line booking fees, all of which will provide a boost to counter act increasing costs.
## **FUNDRAISING**
GMAC is a registered charity and raises funds through a number of different methods:
- Grants: from statutory funders, trusts and foundations, often in support of particular, restricted projects
- Individuals: including major gifts (£1,000+), regular giving schemes and one-off donations
- Corporate: corporate memberships and sponsorships
- Other miscellaneous methods including events and university partnerships
GMAC’s Development team comprises of five, dedicated fundraisers (four FTE and one PT members of staff). They work closely with senior leadership and trustees to make new contacts and cultivate gifts. GMAC does not currently work with freelance or commercial fundraisers to act on our behalf.
**6**
**GREATER MANCHESTER ARTS CENTRE LIMITED TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED MARCH 31 2022**
GMAC is registered with the Fundraising Regulator and subscribes to the Fundraising Code of Practice. GMAC has an organisational Ethical Fundraising Policy and Whistleblowing Procedure. We are not aware of any instance of any GMAC member of staff failing to comply with the agreed fundraising standards in the year 2021/22.
GMAC’s fundraising strategies and agreed approach do not allow for behaviour which is unreasonably persistent, places undue pressure on a person to donate or is an unreasonable intrusion on a person’s privacy. GMAC does not engage in Direct Mail fundraising or telephone fundraising campaigns. We adhere to strict GDPR guidelines and all emails have an easy ‘unsubscribe’ function, should any person no longer wish to receive communication from us.
GMAC did not receive any complaints with regards to their fundraising practice during the financial year 2021/22. We have a formal Fundraising Complaints Procedure, and our contact details are clearly listed on our website should any person wish to raise complaints or concerns about our fundraising activity.
## **STRUCTURE GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity is a company limited by guarantee governed by its memorandum and articles of association dated November 25 1982, as amended by special resolutions dated 08/12/83 and 20/05/13. It is a registered charity with the Charity Commission.
## **Members of the company**
The members of the company include those admitted to membership by the Directors and those Local Authorities who have contributed funds to the charity.
## **Appointment of trustees**
The Directors who served during the year together with any changes are listed on page one of the annual report. The Directors are appointed by the members in general meeting or appointed having been nominated by a Local Authority that is a member of the company. Currently Manchester City Council and the Greater Manchester Combined Authority are entitled to nominated directors. The Board may appoint directors to fill casual vacancies, but those so appointed only hold office until the next Annual General Meeting. Maximum length of service is stipulated in the memorandum and articles of association.
## **Trustee induction and training**
New Trustees receive and induction pack, including a Governance handbook and attend an induction session with the Chairman and Company Secretary. Periodic board training days are also held.
## **Organisation**
The Board of Directors meets as necessary (usually at least four times a year) and has a Finance Sub-Committee which reports to the full Board and may be given delegated authority for particular pieces of work. Working Groups are used to focus on time limited projects or review.
The day to day operation of the charity is the responsibility of the Chief Executive and the other members of the senior management who together with the Trustees constitute the key management personnel of the charity. The members of senior management are listed on page 1.
The Group employs an average of 162 staff representing 101 full time equivalent staff. The bar and catering activities are provided by an external catering contractor.
The non-charitable trading activities are carried out by the wholly-owned trading subsidiary, Greater Manchester Arts Services Ltd, which is managed by its own Board of Directors. Profits from the trading subsidiary, which comprises the profits from the bar and catering operation and HOME shop, are gifted to the Charity.
Theatre production activities are carried out through HOME Manchester Productions Ltd, which enables Theatre Tax Relief to be claimed on qualifying productions.
From April 1 2015, the publications operations have been carried out by another trading subsidiary Cornerhouse Publications Ltd.
## **Pay and remuneration for senior staff**
The directors consider the board of directors, who are the Charity’s trustees, and the senior management team comprise the key management personnel of the charity in charge of directing and controlling, running and operating the Charity on a day to day basis. All directors give of their time freely and no director received remuneration in the year. Details of directors’ expenses are given in note 11 and related party transactions are disclosed in note 25 to the accounts. Under the charity’s Board expenses policy, only Directors resident outside Greater Manchester are eligible to claim travel expenses.
The pay of the senior staff is reviewed annually and normally increased by an amount deemed affordable and in line with prevailing inflation. In view of the nature of the charity, the directors benchmark against pay levels in other arts organisations of a similar size run on a voluntary basis.
## **Related parties**
Details of related party transactions are given in the notes to the financial statements.
**7**
**GREATER MANCHESTER ARTS CENTRE LIMITED TRUSTEES’ AND DIRECTORS’ ANNUAL REPORT FOR THE YEAR ENDED MARCH 31 2022**
## **TRUSTEES’ RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS**
The trustees (who are also directors of Greater Manchester Arts Centre Limited for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP (FRS 102) (second edition – October 2019);
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards 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 that the charitable company will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **STATEMENT OF DISCLOSURE TO AUDITORS**
We, the directors of the company who held office at the date of approval of these Financial Statements as set out above each confirm, so far as we are aware, that:
- there is no relevant audit information of which the company’s auditors are unaware; and
- we have taken all the steps that we ought to have taken as directors in order to make ourselves aware of any relevant audit information and to establish that the company’s auditors are aware of that information.
## **SMALL COMPANY PROVISIONS AND APPROVAL**
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
Approved by the Board of Trustees and signed on its behalf by:
## K M Jacob
K M Jacob - Director
Date: November 9 2022
**8**
## **AUDITORS’ REPORT TO THE MEMBERS AND TRUSTEES OF THE GREATER MANCHESTER ARTS CENTRE LIMITED FOR THE YEAR ENDED MARCH 31 2022**
## **Opinion**
We have audited the financial statements of Greater Manchester Arts Centre Limited (the ‘parent charitable company’) and its subsidiaries (the 'group') for the year ended March 31 2022, which comprise The Group and Company Statements of Financial Activities, the Group and Company Balance Sheets the Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the group’s and parent charitable company’s affairs as at March 31 2022, and of the group’s and parent charity’s incoming resources and application of resources, including its income and expenditure, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities Act 2011
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group’s or parent charitable company’s 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 with respect to going concern are described in the relevant sections of this report.
## **Other information**
The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies 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 performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
## **Opinions on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the trustees' report (incorporating the [directors’ report) for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the directors’ report has been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the [strategic report and the][7] directors’ report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Act 2011 requires us to report to you if, in our opinion:
- adequate and sufficient accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent charitable company’s financial statements are not in agreement with the accounting records and returns; or
- • certain disclosures of directors’ remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit; or
- the trustees were not entitled to prepare the financial statements in accordance with the small companies’ regime and take advantage of the small companies’ exemptions in preparing the directors’ report and from the requirement to prepare a strategic report.
**9**
## **AUDITORS’ REPORT TO THE MEMBERS AND TRUSTEES OF THE GREATER MANCHESTER ARTS CENTRE LIMITED FOR THE YEAR ENDED MARCH 31 2022**
## **Responsibilities of trustees**
As explained more fully in the trustees’ responsibilities statement, set out in the Directors’ and Trustees’ Annual Report, the trustees (who are also the directors of the parent charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the groups and parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or parent charitable company or to cease operations, or have no realistic alternative but to do so.
## **Auditor’s responsibilities for the audit of the financial statements**
We have been appointed auditor under the Companies Act 2006 and section 151 of the Charities Act 2011 and report in accordance with those Acts.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below.
Our approach to identifying and assessing the risks in respect of irregularities and non-compliance with laws and regulations, was as follows:
- the engagement RI ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognize non-compliance with applicable laws and regulations;
- we identified the laws and regulations applicable to the company through discussions with the directors and other management, and from our commercial knowledge and experience of the computer manufacturing and supply sector;
- We focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, environmental and health and safety legislation;
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the company’s financial statement to material misstatement, including obtaining an understanding of how fraud might occur, by:
- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual and alleged fraud;
- Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations; and
- Understanding the design of the company’s remuneration policies.
To address the risk of fraud through management bias and override of controls, we:
- performed analytical procedures to identify any unusual or unexpected relationships;
- tested journal entries to identify unusual transactions;
- assessed whether judgements and assumptions made in determining the accounting estimates set out in note 1 were indicative of potential bias; and
- investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
- agreeing the financial statement disclosures to underlying supporting documentation;
- reading the minutes of meetings of those charged with governance; and
- reviewing correspondence with relevant regulators.
No instances of material non-compliance were identified.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
**10**
## **AUDITORS’ REPORT TO THE MEMBERS AND TRUSTEES OF THE GREATER MANCHESTER ARTS CENTRE LIMITED FOR THE YEAR ENDED MARCH 31 2022**
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-and-guidance-forauditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-for-audit.aspx. This description forms part of our auditor’s report.
## **Use of our report**
This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and to the charitable company’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company’s members and its trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
## _Peter Smith_
## **Peter Smith BA FCA DChA– Senior Statutory Auditor**
For and on behalf of: HGA Accountants & Financial Consultants t/a Chittenden Horley Chartered Accountants and Statutory Auditors
456 Chester Road Old Trafford Manchester M16 9HD Date: 11/11/22
HGA Accountants & Financial Consultants t/a Chittenden Horley _is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006._
**11**
## **GREATER MANCHESTER ARTS CENTRE LIMITED GROUP STATEMENT OF FINANCIAL ACTIVITIES (including the income and expenditure account) FOR THE YEAR ENDED MARCH 31 2022**
|**Notes**
**INCOME**
**Incoming resources from generated funds:**
Donations
2
Charitable activities
3
Other trading activities
4
Investment income - bank interest
Other income
5
**TOTAL INCOMING RESOURCES**
**EXPENDITURE**
Costs of raising funds
7
Expenditure on charitable activities
8
**TOTAL EXPENDITURE**
**NET INCOME/(EXPENDITURE)**
**BEFORE TRANSFERS**
11
Transfers between funds
19
**NET INCOME/(EXPENDITURE)**
**BEFORE TAXATION**
**TAXATION**- Creative Tax Credits
**NET MOVEMENT IN FUNDS**
**(Net income/(expenditure) after taxation)**
**TOTAL FUNDS**
**Brought forward**
19
**Carried forward**
19|**General**
**Designated**
**Funds**
**Funds**
**£**
**£**
2,025,515
-
3,030,088
-
425,431
-
103
-
79,650
-
**Unrestricted**|**General**
**Designated**
**Funds**
**Funds**
**£**
**£**
2,025,515
-
3,030,088
-
425,431
-
103
-
79,650
-
**Unrestricted**|**Restricted**
**Funds**
**£**
590,356
473,079
**-**
-
-|**Total**
**Total**
**2022**
**2021**
**£**
**£**
**2,615,871**
_3,382,953_
**3,503,167**
_2,567,570_
**425,431**
_99,580_
**103**
_262_
**79,650**
_66_|
|---|---|---|---|---|
||5,560,787|-|1,063,435|**6,624,222**
_6,050,431_|
||396,019
5,088,858|-
83,336|-
1,096,459|**396,019**
_300,037_
**6,268,653**
_4,381,267_|
||5,484,877|83,336|1,096,459|**6,664,672**
_4,681,304_|
||75,910
(663,154)|(83,336)
873,154|(33,024)
(210,000)|**(40,450)**
_1,369,127_
**-**
_-_|
||(587,244)
185,897|789,818
-|(243,024)
-|**(40,450)**
_1,369,127_
**185,897**
_20,315_|
||(401,347)
1,184,419|789,818
210,013|(243,024)
523,987|**145,447**
_1,389,442_
**1,918,419**
_528,977_|
||783,072|999,831|280,963|**2,063,866**
_1,918,419_|
The notes on pages 17 to 36 form part of these financial statements.
**12**
## **GREATER MANCHESTER ARTS CENTRE LIMITED COMPANY STATEMENT OF FINANCIAL ACTIVITIES (including the income and expenditure account) FOR THE YEAR ENDED MARCH 31 2022**
|**Notes**
**Incoming resources from generated funds:**
Donations
2
Charitable activities
3
Other trading activities
4
Investment income - bank interest
Other income
5
**TOTAL INCOME**
**EXPENDITURE**
**Costs of raising funds**
7
**Charitable activities**
8
**TOTAL EXPENDITURE**
**NET INCOME/(EXPENDITURE)**
**BEFORE TRANSFERS**
11
Transfers between funds
19
**NET MOVEMENT IN FUNDS**
**TOTAL FUNDS**
**Brought forward**
19
**Carried forward**
19|**General**
**Designated**
**Funds**
**Funds**
**£**
**£**
2,025,515
-
4,324,607
-
277,497
-
103
-
79,650
-
**Unrestricted**|**General**
**Designated**
**Funds**
**Funds**
**£**
**£**
2,025,515
-
4,324,607
-
277,497
-
103
-
79,650
-
**Unrestricted**|**Restricted**
**Funds**
**£**
590,356
473,079
**-**
-
-|**Total**
**Total**
**2022**
**2021**
**£**
**£**
**2,615,871**
_3,382,953_
**4,797,686**
_2,571,161_
**277,497**
_77,470_
**103**
_262_
**79,650**
_66_|
|---|---|---|---|---|
||6,707,372|-|1,063,435|**7,770,807**
_6,031,912_|
||203,592
6,210,369|-
83,336|15,300
1,100,959|**218,892**
_199,372_
**7,394,664**
_4,381,468_|
||6,413,961|83,336|1,116,259|**7,613,556**
_4,580,840_|
||293,411
(682,954)|(83,336)
873,154|(52,824)
(190,200)|**157,251**
_1,451,072_
**-**
_-_|
||(389,543)
1,249,839|789,818
210,013|(243,024)
523,987|**157,251**
_1,451,072_
**1,983,839**
_532,767_|
||860,296|999,831|280,963|**2,141,090**
_1,983,839_|
The notes on pages 17 to 36 form part of these financial statements.
**13**
## **GREATER MANCHESTER ARTS CENTRE LIMITED GROUP BALANCE SHEET AS AT MARCH 31 2022**
|**Notes**
**FIXED ASSETS**
Tangible Assets
12
Intangible Assets
13
**CURRENT ASSETS**
Stock
15
Debtors
16
Cash at Bank and in Hand
**CREDITORS**
Amounts falling due in one year
17
**NET CURRENT ASSETS**
**CREDITORS**
Amounts falling due in more than one year
18
**NET ASSETS**|**2022**
**£**
**3,082**
**1,024,360**
**1,780,563**|**2022**
**2021**
**2021**
**£**
**£**
**£**
**189,603**
_179,235_
**12,000**
_16,000_
**201,603**
_195,235_
_14,297_
_733,706_
_1,562,435_
_2,310,438_
_587,254_
**1,872,360**
_1,723,184_
**2,073,963**
_1,918,419_
**10,097**
_-_
**2,063,866**
_1,918,419_|
|---|---|---|
||**2,808,005**
**935,645**||
||||
|**FUNDS**
Unrestricted
General fund
19
Designated fund
19
Restricted
19
**TOTAL FUNDS**|**783,072**
**999,831**|1,184,419
210,013
**1,782,903**
_1,394,432_
**280,963**
_523,987_
**2,063,866**
_1,918,419_|
|---|---|---|
||||
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The notes on pages 17 to 36 form part of these financial statements.
**Approved by the Board of Directors and authorised for issue on** November 9 2022
## K M Jacob
K M Jacob
DIRECTOR
Company registration number: 1681278
**14**
## **GREATER MANCHESTER ARTS CENTRE LIMITED COMPANY BALANCE SHEET AS AT MARCH 31 2022**
|**Notes**
**FIXED ASSETS**
Tangible Assets
12
Intangible Assets
13
Investments
14
**CURRENT ASSETS**
Debtors
16
Cash at Bank and in Hand
**CREDITORS**
Amounts falling due in one year
17
**NET CURRENT ASSETS**
**CREDITORS**
Amounts falling due in more than one year
18
**NET ASSETS**|**2022**
**£**
**1,330,132**
**1,482,309**|**2022**
**2021**
**2021**
**£**
**£**
**£**
**189,381**
_179,013_
**12,000**
_16,000_
**102**
_102_
**201,483**
_195,115_
_737,321_
_1,552,905_
_2,290,226_
_501,502_
**1,949,704**
_1,788,724_
**2,151,187**
_1,983,839_
**10,097**
_-_
**2,141,090**
_1,983,839_|
|---|---|---|
||**2,812,441**
**862,737**||
||||
## **FUNDS**
|Unrestricted
General fund
19
Designated funds
19
Restricted
19
**TOTAL FUNDS**|**860,296**
**999,831**|1,249,839
210,013
**1,860,127**
_1,459,852_
**280,963**
_523,987_
**2,141,090**
_1,983,839_|
|---|---|---|
||||
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The notes on pages 17 to 36 form part of these financial statements.
**Approved by the Board of Directors and authorised for issue on** November 9 2022
## K M Jacob
K M Jacob
## DIRECTOR
Company registration number: 1681278
**15**
## **GREATER MANCHESTER ARTS CENTRE LIMITED STATEMENT OF CASH FLOWS AS AT MARCH 31 2022**
|**notes**
**Cash generated from/(used in)**
**operating activities**
21
**Cashflows from investing activities**
Interest and dividends
Purchase of tangible fixed assets
Purchase of intangible fixed assets
Proceeds of sale of fixed assets
Payments to acquire investments
**Cash provided by/(used in) investing activities**
**Cashflows from financing activities**
Proceeds from new borrowings
Repayment of borrowing
**Cash used in financing activities**
**Increase/(decrease) in cash & cash equivalents in the year**
**Cash and cash equivalents brought forward**
**Cash and cash equivalents carried forward**
**Cash and cash equivalents consist of:**
Cash at bank and in hand
Current asset investments|**Group**
**2022**
**£**
**278,855**|**Group**
**2021**
**£**
_1,306,195_|**Charity**
**Charity**
**2022**
**2021**
**£**
**£**
**(9,869)**
_1,310,226_|
|---|---|---|---|
||**103**
**(76,282)**
**-**
**1,578**
**-**|_262_
_(65,323)_
_(20,000)_
_-_
_-_|**103**
_262_
**(76,282)**
_(65,323)_
**-**
_(20,000)_
**1,578**
_-_
**-**
_-_|
||**(74,601)**|_(85,061)_|**(74,601)**
_(85,061)_|
||**17,212**
**(3,338)**|_-_
_(715)_|**17,212**
_-_
**(3,338)**
_(715)_|
||**13,874**|_(715)_|**13,874**
_(715)_|
||**218,128**
**1,562,435**|_1,220,419_
_342,016_|**(70,596)**
_1,224,450_
**1,552,905**
_328,455_|
||**1,780,563**|_1,562,435_|**1,482,309**
_1,552,905_|
||**1,780,563**|_1,562,435_|**1,482,309**
_1,552,905_|
||**1,780,563**|_1,562,435_|**1,482,309**
_1,552,905_|
The notes on pages 17 to 36 form part of these financial statements.
**16**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **1 ACCOUNTING POLICIES**
## **Basis of preparation**
The financial statements have been prepared: under the historic cost convention; in accordance with the Statement of Recommended Practice – Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) effective January 1 2019 (second edition – October 2019); FRS102; and the Companies Act 2006. The charity constitutes a public benefit entity as defined by FRS102.
The accounts are prepared in £ sterling, which is the functional currency of the Group.
## **Going concern**
There are no material uncertainties about the Group or Charity’s ability to continue as a going concern.
## **Estimates and judgements**
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
## **Income recognition**
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. The following applies to particular types of income:
**Grants** , whether of a capital or revenue nature, are recognised when the charity has entitlement to the funds, any performance conditions have been met and it is probable that the income will be received.
**Donations** from individuals and other bodies (not being of the nature of a grant) are recognised when receivable.
**Earned income** is measured at the fair value of the consideration received or receivable for services and goods supplied, net of discounts and VAT.
## **Deferred income**
Income is only deferred and included in creditors when:
- The income relates to a future accounting period
- A sales invoice has been raised ahead of the work being carried out and there is no contractual entitlement to the income until the work has been done
- Not all the terms and conditions of the grant have been met, including the incurring of expenditure and the grant conditions are such that unspent grant must be refunded
## **Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:
Costs of raising funds
including those associated with fundraising activities, managing investments and commercial trading by the subsidiary company.
Charitable activities costs of undertaking the work of the charity.
The charity is registered for VAT and is able to recover some of the input tax charged as it relates to vatable supplies. Costs are stated net of VAT were charged and irrecoverable VAT is included as a separate charge either within direct costs or support costs as appropriate.
## **Production costs**
Where performances of a production straddle the year-end, payroll, rehearsal and audition costs are recognised in the year in which they arise. Other, production costs (e.g. scenery / costumes) and creative team fees are apportioned between the periods on the basis of the number of performances and included in either accruals or prepayments. The costs associated with the theatre productions for HOME incurred pre year end relating to shows taking place entirely post year end have been carried forward this year in line with this policy. Provision is made in the accounts for any production losses or additional costs outside of the approved production budget, irrespective of the timing of the performances. Costs in respect of research and development are written off in the year they are incurred.
## **Allocation of support costs**
Support costs are those functions which assist the work of the charity either by supporting the delivery of charitable activities or by supporting the generation of funds. They include property costs, back office functions, staff costs and professional fees. The basis of allocations is set out in note 9.
**17**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **1 ACCOUNTING POLICIES (continued)**
## **Pension contributions**
The company is an admitted body to the Greater Manchester Pension Fund, a defined benefit scheme, in respect of certain employees who were previously employed by Manchester City Council as part of the Library Theatre Company. Employer contributions of 18.5% were made during the year. This is a multi-employer scheme and the information required to separately identify the fund assets and liabilities is not available, and therefore contributions are accounted for as though the scheme was a defined contribution scheme. In any event, there is an agreement with Manchester City Council that the will fund any deficit attributable to these employees. The number of employees in the scheme at the yearend was 3 (2021: 3).
For other employees, the company operates a defined contribution pension scheme and makes employers’ contributions of 3% of annual salary. Under auto-enrolment legislation from 1[st] May 2014 all members of staff are assessed in respect of their eligibility under this legislation. Members of staff earning over £10,000 per annum are offered the opportunity to join the defined contribution scheme. If they decline they are automatically enrolled in accordance with current legislation in The Peoples Pension – an automatic enrolment scheme. All other staff are assessed in accordance with the legislation. Contributions are charged to the SoFA in the year they are payable.
In accordance with the collective agreement between Equity and UK Theatre (formerly the Theatre Managers Association), the company makes employer's pension contributions of 3% of fees paid to actors or stage managers enrolled in the Equity Pension Scheme, provided that the members make an employees' contribution of 2%.
## **Tangible fixed assets, Intangible assets and depreciation**
Individual tangible and intangible assets costing more than £1,000 are capitalised at cost and are depreciated over their estimated useful lives on a straight line basis as set out below. Assets reaching the end of their useful life as per the policy will be reassessed where the assets are still in good working order.
Depreciation rates, all straight line, are as follows:
Assets held on finance leases over life of lease (currently 5 years for all) Catering equipment, fixtures & fittings 12.5% pa Other equipment 12.5% - 25% pa (previously 25% pa) Intangible assets 20% (5 years)
The Charity reviewed the useful economic life and residual values of assets included within other equipment and has revised the rate of depreciation.
## **Debtors**
Trade and other debtors are recognised at the settlement amount due and prepayments are valued at the amount prepaid.
## **Cash at bank and in hand**
Cash at bank and in hand includes 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.
## **Creditors and provisions**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount.
## **Financial instruments**
The charity has only basic financial instruments which are initially recorded at cost, and subsequently measured at their settlement value.
## **Group financial statements**
The financial statements consolidate the results of the charity and its wholly owned subsidiaries on a line by line basis.
## **Theatre tax credits**
Where the trading subsidiary, HOME Manchester Productions Ltd, incurs qualifying losses in respect of theatre productions, the company has decided that these will be surrendered for a cash payment from HMRC under the Theatre Tax Credit regime. Where receipt of these tax credits is virtually certain they are included in the accounts in the year in which the qualifying losses were incurred.
**18**
## **GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
|**2 DONATIONS**
**Revenue grants:**
ACE NW
British Film Institute (BFI)
GMCA
Kickstart grants
Environmental training grant
Access to work grant
**COVID Support**
ACE emergency funding
ACE CRF1
ACE CRF2
ACE CRF3
Garfield Weston Foundation
Ogelsby Charitable Trust
Esmee Fairbairn
Granada Foundation
MCC rates support
Other
HMRC - CJRS
**Donations**
General donations
In kind support:
Film curation
Accommodation & travel
Legal and professional costs
**Total for group**
Donation from GMAS
**Total for company**|**Unrestricted**|**2022**
**Restricted**|**Total**|**Unrestricted**|**2021**
**Restricted**
**Total**|
|---|---|---|---|---|---|
||**£**
1,321,387
185,000
136,900
-
-
-|**£**
-
-
-
28,856
-
1,000|**£**
**1,321,387**
**185,000**
**136,900**
**28,856**
**-**
**1,000**|**£**
_1,321,387_
_185,000_
_136,900_
_-_
_-_
_-_|**£**
**£**
_-_
**_1,321,387_**
_-_
**_185,000_**
_-_
**_136,900_**
_-_
**_-_**
_7,106_
**_7,106_**
_-_
**_-_**|
||1,643,287|29,856|**1,673,143**|_1,643,287_|_7,106_
**_1,650,393_**|
||-
-
-
-
-
-
-
-
53,507
-
76,322|-
-
375,000
180,000
-
-
-
-
-
-|**-**
**-**
**375,000**
**180,000**
**-**
**-**
**-**
**-**
**53,507**
**-**
**76,322**|_156,000_
_-_
_-_
_-_
_-_
_17,000_
_18,600_
_4,000_
_-_
_700_
_965,361_|_-_
**_156,000_**
_351,000_
**_351,000_**
_-_
**_-_**
_-_
**_-_**
_47,500_
**_47,500_**
_-_
**_17,000_**
_-_
**_18,600_**
_-_
**_4,000_**
_-_
**_-_**
_-_
**_700_**
_-_
**_965,361_**|
||129,829|555,000|**684,829**|_1,161,661_|_398,500_
**_1,560,161_**|
||194,434
28,267
4,698
25,000|5,500
-
-
-|**199,934**
**28,267**
**4,698**
**25,000**|_119,221_
_22,178_
_6,000_
_25,000_|_-_
**_119,221_**
_-_
**_22,178_**
_-_
**_6,000_**
_-_
**_25,000_**|
||252,399|5,500|**257,899**|_172,399_|_-_
**_172,399_**|
||2,025,515
-|590,356
-|**2,615,871**
**-**|_2,977,347_
_-_|_405,606_
**_3,382,953_**
_-_
**_-_**|
||2,025,515|590,356|**2,615,871**|_2,977,347_|_405,606_
**_3,382,953_**|
There is no income attributable to designated funds in either year.
**19**
## **GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
|**Unrestricted**
**£**
**3 INCOME FROM CHARITABLE ACTIVITIES**
**Project grants, box office and other project income**
Film
1,139,369
Theatre
1,570,683
Visual Arts
300,241
Engagement
11,865
Talent Development
6,407
Sector Leadership and development
27,648
Garfield Weston Foundation
-
MCC contract funding
1,268,394
**Per charity**
4,324,607
Consolidation adjustments:
Add: Cornerhouse Publications
115,660
Less Home Productions Manchester
(1,410,179)
**Per group**
3,030,088
**4 INCOME FROM OTHER TRADING ACTIVITIES**
Sponsorship
152,968
Venue, room hire, and rent
80,628
Corporate & individual membership
8,959
Management charges
26,714
Hire of equipment
8,228
**Per charity**
277,497
**_Less eliminated on consolidation:_**
Charges to subsidiaries
(66,509)
**_Add Subsidiary income:_**
GMAS
214,443
**Per group**
425,431
**5 OTHER INCOME**
Incentive payment to change banks
25,000
Sundry income
54,650
**Per charity and group**
79,650|**Unrestricted**|**2022**
**Restricted**|**Total**|**Unrestricted**|**2021**
**Restricted**
**Total**|
|---|---|---|---|---|---|
|||**£**
4,059
92,500
-
139,553
181,967
55,000
-
-|**£**
**1,143,428**
**1,663,183**
**300,241**
**151,418**
**188,374**
**82,648**
**-**
**1,268,394**|**£**
_193,032_
_127,632_
_133,868_
_3,518_
_1,672_
_20,000_
_-_
_1,268,394_|**£**
**£**
_-_
**_193,032_**
_238,210_
**_365,842_**
_-_
**_133,868_**
_199,962_
**_203,480_**
_114,473_
**_116,145_**
_165,000_
**_185,000_**
_105,400_
**_105,400_**
_-_
**_1,268,394_**|
||4,324,607
115,660
(1,410,179)|473,079
-
-|**4,797,686**
**115,660**
**(1,410,179)**|_1,748,116_
_136,928_
_(140,519)_|_823,045_
**_2,571,161_**
_-_
**_136,928_**
_-_
**_(140,519)_**|
||3,030,088|473,079|**3,503,167**|_1,744,525_|_823,045_
**_2,567,570_**|
|||-
-
-
-
-|**152,968**
**80,628**
**8,959**
**26,714**
**8,228**|_54,167_
_5,381_
_5,800_
_5,046_
_7,076_|_-_
**_54,167_**
_-_
**_5,381_**
_-_
**_5,800_**
_-_
**_5,046_**
_-_
**_7,076_**|
||277,497
(66,509)
214,443|-
-
-|**277,497**
**(66,509)**
**214,443**|_77,470_
_(12,463)_
34,573|_-_
**_77,470_**
_-_
**_(12,463)_**
_-_
**_34,573_**|
||425,431|-|**425,431**|_99,580_|_-_
**_99,580_**|
||25,000
54,650|-
-|**25,000**
**54,650**|_-_
_66_|_-_
**_-_**
_-_
**_66_**|
||79,650|-|**79,650**|_66_|_-_
**_66_**|
There is no income attributable to designated funds in either year, for any of the categories of income above.
**20**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
|**TRADING SUBSIDIARIES**
Turnover
Cost of sales
Gross profit
Administration Expenses
Operating profit/loss
Other income
Net profit/loss before taxation
Taxation
Net profit after taxation
Total assets
Total liabilities
Net funds
Total income as above
less eliminated on consolidation
**_To Group income_**
Total costs as above
**_Less eliminated on consolidation:_**
Management charges, rent &
hire of equipment
Donations
Inter company trading
**_To group costs_**|**Cornerhouse Publications**
**2022**
**2021**
**£**
**£**
**115,660**
_121,878_
**100,481**
_138,630_|**Cornerhouse Publications**
**2022**
**2021**
**£**
**£**
**115,660**
_121,878_
**100,481**
_138,630_|**HOME Manchester**
**Productions Ltd**
**2022**
**2021**
**£**
**£**
**1,225,512**
_121,648_
**1,410,179**
_140,519_|**HOME Manchester**
**Productions Ltd**
**2022**
**2021**
**£**
**£**
**1,225,512**
_121,648_
**1,410,179**
_140,519_|**GMAS LTD**
**2022**
**2021**
**£**
**£**
**210,443**
_17,652_
**12,582**
_10,512_|
|---|---|---|---|---|---|
||**15,179**
**15,624**|_(16,752)_
_7,644_|**(184,667)**
**1,230**|_(18,871)_
_1,444_|**197,861**
_7,140_
**233,020**
_98,857_|
||**(445)**
**4,500**|_(24,396)_
_122,037_|**(185,897)**
**-**|_(20,315)_
_-_|**(35,159)**
_(91,717)_
**19,300**
_16,921_|
||**4,055**
**-**|_97,641_
_-_|**(185,897)**
**185,897**|_(20,315)_
_20,315_|**(15,859)**
_(74,796)_
**-**
_-_|
||**4,055**|_97,641_|**-**|_-_|**(15,859)**
_(74,796)_|
||**135,458**
**(131,402)**|_102,505_
_(102,504)_|**185,785**
**(185,784)**|_63,525_
_(63,524)_|**282,239**
_46,332_
**(363,417)**
_(111,651)_|
||**4,056**|_1_|**1**|_1_|**(81,178)**
_(65,319)_|
|||||||
|||||||
||**120,160**
**(4,500)**|121,878
(106,987)|**1,225,512**
**(1,225,512)**|_121,648_
_(121,648)_|**229,743**
_34,573_
**(15,300)**|
||**115,660**|14,891|**-**|_-_|**214,443**
_34,573_|
||**116,105**
**(13,334)**
**-**
**-**|146,274
(3,759)
-
-|**1,411,409**
**-**
**-**
**(1,410,179)**|_141,963_
_-_
_-_
_(140,519)_|**245,602**
_109,369_
**(53,175)**
_(8,704)_
**-**
_-_
**-**
_-_|
||**102,771**|142,515|**1,230**|_1,444_|**192,427**
_100,665_|
|||||||
## **6 TRADING SUBSIDIARIES**
## **Cornerhouse Publications Ltd**
The charity transferred its book distribution activities to this subsidiary with effect from April 1 2015. This company distributes art books on behalf of a number of publishers and receives commission and warehousing income.
## **HOME Manchester Productions Ltd (HMP)**
HMP has been formed to undertake the production, running and closure of in house theatrical productions and qualifying exhibitions on behalf of the charity. It subcontracts the production work back to the charity, and is eligible to claim Theatre Tax Relief and Museums and Galleries Exhibitions Relief.
## **Greater Manchester Arts Services Ltd (GMAS)**
The subsidiary company operates a bookshop selling publications connected to the arts and other merchandise to raise revenue, and it operates the café and bar through a commercial franchise arrangement with a third party.
The café and bar provide spaces for people visiting the HOME to meet and socialise.
**21**
## **GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
|**7 COSTS OF RAISING FUNDS**
**Fundraising**
Direct costs
Direct salaries
CRF3 grant to GMAS
Support costs
**_Per Charity_**
GMAS (note 6)
Eliminated on consolidation
CRF3 grant to GMAS
**_Per Group_**|**Unrestricted**|**2022**
**Restricted**|**Total**|**Unrestricted**|**2021**
**Restricted**
**Total**|
|---|---|---|---|---|---|
||**£**
1,322
135,678
-
66,592|**£**
-
-
15,300
-|**£**
**1,322**
**135,678**
**15,300**
**66,592**|**£**
_-_
_136,492_
_-_
_62,880_|**£**
**£**
_-_
**_-_**
_-_
**_136,492_**
_-_
**_-_**
_-_
**_62,880_**|
||203,592
192,427
-|15,300
-
(15,300)|**218,892**
**192,427**
**(15,300)**|_199,372_
_100,665_
_-_|_-_
**_199,372_**
_-_
**_100,665_**
_-_
**_-_**|
||396,019|-|**396,019**|_300,037_|_-_
_300,037_|
## **8 CHARITABLE EXPENDITURE**
|**Per charity**
6,293,705
**Consolidation adjustments:**
**_Charitable costs in subsidiary companies_**
HOME Manchester Productions Ltd
1,230
Cornerhouse Publications Ltd
102,771
**_Less eliminated on consolidation:_**
Charges from HMP
(1,225,512)
Grant to CPL
-
Release bad debt provision CPL
**Per group**
5,172,194
**Costs charged in charity:**
Film
1,695,561
Theatre
3,410,077
Visual Arts
933,221
Engagement
342,665
Talent Development
377,958
Sector leadership & development
19,999
Publications
-
Charged to restricted funds:
Garfield Weston
(80,920)
Kickstart grants
(28,856)
Environmental training grant
-
Access to work grant
(1,000)
ACE CRF
(375,000)
**Per charity**
6,293,705|**Per charity**
6,293,705
**Consolidation adjustments:**
**_Charitable costs in subsidiary companies_**
HOME Manchester Productions Ltd
1,230
Cornerhouse Publications Ltd
102,771
**_Less eliminated on consolidation:_**
Charges from HMP
(1,225,512)
Grant to CPL
-
Release bad debt provision CPL
**Per group**
5,172,194
**Costs charged in charity:**
Film
1,695,561
Theatre
3,410,077
Visual Arts
933,221
Engagement
342,665
Talent Development
377,958
Sector leadership & development
19,999
Publications
-
Charged to restricted funds:
Garfield Weston
(80,920)
Kickstart grants
(28,856)
Environmental training grant
-
Access to work grant
(1,000)
ACE CRF
(375,000)
**Per charity**
6,293,705|1,100,959
-
-
-
(4,500)
-|**7,394,664**
**1,230**
**102,771**
**(1,225,512)**
**(4,500)**
**-**|_3,939,544_
_1,444_
_142,515_
_(121,648)_
_(106,987)_
_84,475_|_441,924_
**_4,381,468_**
_-_
**_1,444_**
_-_
**_142,515_**
_-_
**_(121,648)_**
_-_
**_(106,987)_**
_-_
**_84,475_**|
|---|---|---|---|---|---|
||5,172,194|1,096,459|**6,268,653**|_3,939,343_|_441,924_
**_4,381,267_**|
||1,695,561
3,410,077
933,221
342,665
377,958
19,999
-
(80,920)
(28,856)
-
(1,000)
(375,000)|4,059
284,360
-
172,566
138,571
11,127
4,500
80,920
28,856
-
1,000
375,000|**1,699,620**
**3,694,437**
**933,221**
**515,231**
**516,529**
**31,126**
**4,500**
**-**
**-**
**-**
**-**
**-**|_1,165,280_
_1,626,575_
_673,968_
_340,288_
_219,268_
_20,000_
_22,512_
_(30,896)_
_-_
_(7,106)_
_-_
_(90,345)_|_618_
**_1,165,898_**
_25,623_
**_1,652,198_**
_-_
**_673,968_**
_75,678_
**_415,966_**
_45,678_
**_264,946_**
_165,980_
**_185,980_**
_-_
**_22,512_**
_30,896_
**_-_**
_-_
**_-_**
_7,106_
**_-_**
_-_
**_-_**
_90,345_
**_-_**|
||6,293,705|1,100,959|**7,394,664**|_3,939,544_|_441,924_
**_4,381,468_**|
**22**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **8 CHARITABLE EXPENDITURE (continued)**
|Expenditure in the charity is analysed as follows:
**2021/22**
Film
Theatre
Visual Arts
Engagement
Talent development
Sector leadership & development
Publications
**2020/21**
Film
Theatre
Visual Arts
Engagement
Talent development
Sector leadership & development
Publications|**Direct**
**Costs**
**£**
370,274
2,362,190
396,652
147,632
120,044
9,958
4,500|**Direct**
**Salaries**
**£**
530,139
462,446
31,387
137,270
155,473
6,168
-|**Support**
**Costs**
**Total**
**£**
**£**
799,207
**1,699,620**
869,801
**3,694,437**
505,182
**933,221**
230,329
**515,231**
241,012
**516,529**
15,000
**31,126**
-
**4,500**|
|---|---|---|---|
||3,411,250|1,322,883|2,660,531
**7,394,664**|
||_71,975_
_214,064_
_157,623_
_106,137_
_28,725_
_185,980_
_22,512_|_341,659_
_592,259_
_80,433_
_154,102_
_141,560_
_-_
_-_|_752,264_
**_1,165,898_**
_845,875_
**_1,652,198_**
_435,912_
**_673,968_**
_155,727_
**_415,966_**
_94,661_
**_264,946_**
_-_
**_185,980_**
**_22,512_**|
||_787,016_|_1,310,013_|_2,284,439_
**_4,381,468_**|
**23**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **9 SUPPORT COSTS**
|**SUPPORT COSTS**||||||
|---|---|---|---|---|---|
|**2021/22**
Film
Theatre
Visual Arts
Engagement
Talent development
Sector leadership & development
Fundraising|**Marketing**
**Costs**
**£**
83,227
71,337
47,558
23,779
23,779
-
11,890|**Support**
**salaries**
**£**
466,422
456,643
280,244
122,989
130,168
15,000
38,621|**Other**
**Costs**
**£**
160,734
271,178
142,421
54,923
66,053
-
16,081|**Governance**
**costs**
**£**
71,173
35,587
26,690
26,690
17,793
-
-|**Depreciation**
**Total**
**Costs**
**2022**
**£**
**£**
17,651
**799,207**
35,056
**869,801**
8,269
**505,182**
1,948
**230,329**
3,219
**241,012**
-
**15,000**
-
**66,592**|
||261,570|1,510,087|711,390|177,933|66,143
**2,727,123**|
|**2020/21**
Film
Theatre
Visual Arts
Engagement
Talent development
Fundraising|_32,195_
_27,241_
_24,765_
_7,429_
_7,429_
_7,429_|_498,226_
_524,136_
_280,233_
_99,820_
_53,004_
_46,070_|_135,548_
_239,276_
_105,232_
_24,125_
_18,248_
_8,275_|_55,210_
_27,605_
_20,704_
_20,704_
_13,803_
_-_|**Total**
**2021**
_31,085_
**_752,264_**
_27,617_
**_845,875_**
_4,978_
**_435,912_**
_3,649_
**_155,727_**
_2,177_
**_94,661_**
_1,106_
**_62,880_**|
|---|---|---|---|---|---|
||_106,488_|_1,501,489_|_530,704_|_138,026_|_70,612_
**_2,347,319_**|
## **Governance costs**
Salaries Professional and legal fees Overheads
|**2022**|**2021**|
|---|---|
|**£**|**£**|
|**38,970**|_22,285_|
|**101,854**|_96,546_|
|**37,109**|_19,195_|
|**177,933**|_138,026_|
Support costs are allocated on the following basis:
## **Area**
## **basis**
estimate of usage estimate of time spent
Marketing costs estimate of usage Support salaries estimate of time spent _Other costs:_ Property Space Irrecoverable VAT (after any direct attribution) Head count Support freelance staff estimate of time spent All other costs estimate of usage Depreciation Space
## **comment**
net of any direct attribution Fundraising charged as a direct cost
net of any direct attribution
**24**
## **GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
|**10 STAFF INFORMATION**
**a Employees**
Salaries and wages
Pension costs (GMAC) - money purchase
Pension costs (GMPF) - multi-employer scheme
Employer's NI contributions
Staff costs for the Trading subsidiary included above
Employees earning more than £60,000 p.a. (gross pay and taxable benefits only)
Between £60,000 and £69,999
Between £70,000 and £79,999
Between £80,000 and £89,999|**2022**
**2021**
**£**
**£**
**2,721,918**
_2,761,881_
**68,569**
_58,334_
**10,517**
_50,757_
**206,614**
_195,615_
**3,007,618**
_3,066,587_
**-**
_96,309_
**Number**
**Number**
**2**
_2_
**-**
_1_
**1**
_-_|
|---|---|
The key management of the charity comprise the trustees and senior staff (as set out on page1) and the key management of within the group are the same people plus Cornerhouse Publications Ltd manager and GMAS bookshop manager. From November Cornerhouse Publications and the Bookshop have been managed by the charity and costs recharged.
The trustees do not receive any remuneration for their services.
The total employee benefits of other key management were as follows:
|The total employee benefits of other key management were as follows:
Charity
Group
**b Actors and stage managers**
Fees
Pension contributions (Equity)|**£**
**£**
**435,543**
_432,861_
**435,543**
_460,004_
**£**
**£**
**154,804**
_29,424_
**1,881**
_-_
**156,685**
_29,424_|
|---|---|
Actors and stage managers are engaged on a self employed basis subject to Equity approved contracts.
## **c Average staff numbers**
The average number of employees referred to above, was as follows:-
|Direct charitable - employees
Support /Management and administration
Trading subsidiary|**2022**
**Average**
**number**
**102**
**56**
**4**|**2022**
**Average FTE**
**number**
**55**
**42**
**4**|**2021**
**2021**
**Average**
**average FTE**
**number**
**number**
_127_
_47_
_56_
_42_
_4_
_3_|
|---|---|---|---|
||**162**|**101**
|_187_
_92_|
**25**
## **GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **11 NET INCOME/(EXPENDITURE) BEFORE TRANSFERS (for the Group)**
|This is stated after charging/(crediting):
**£**
**£**
Auditors remuneration:-
Audit fees - annual accounts
**8,600**
_8,500_
Accountancy fees
**3,914**
_6,479_
Finance lease charges
**1,660**
_3_
Depreciation of fixed assets held on finance leases
**3,993**
_-_
Depreciation of other fixed assets
**60,343**
_60,566_
Amortisation of intangible assets
**4,000**
_4,000_
Trustees remuneration
**-**
_-_
Trustees expenses re travel and accommodation
**-**
_-_
**Number**
**Number**
Trustees having expenses reimbursed or paid on their behalf
**-**
_-_
**TANGIBLE FIXED ASSETS**
**Short leasehold**
**Fixtures**
**Land and**
**Fittings and**
**GROUP**
**Buildings**
**Equipment**
**Total**
**Cost**
**£**
**£**
**£**
As at April 1 2021
19,087
1,582,157
1,601,244
Additions
10,405
65,877
76,282
Disposals
-
(2,104)
(2,104)
As at 31 March 2022
29,492
1,645,930
1,675,422
**Depreciation**
As at April 1 2021
12,880
1,409,129
1,422,009
Charge for the year
5,070
59,266
64,336
Disposals
-
(526)
(526)
As at 31 March 2022
17,950
1,467,869
1,485,819
**Net Book Value**
As at 31 March 2022
**11,542**
**178,061**
**189,603**
As at 31 March 2021
_6,207_
_173,028_
_179,235_
**COMPANY**
**Cost**
As at April 1 2021
19,087
1,569,534
1,588,621
Additions
10,405
65,877
76,282
Disposals
-
(2,104)
(2,104)
As at 31 March 2022
29,492
1,633,307
1,662,799
**Depreciation**
As at April 1 2021
12,880
1,396,728
1,409,608
Charge for the year
5,070
59,266
64,336
Disposals
(526)
(526)
As at 31 March 2022
17,950
1,455,468
1,473,418
**Net Book Value**
As at 31 March 2022
**11,542**
**177,839**
**189,381**
As at 31 March 2021
_6,207_
_172,806_
_179,013_|This is stated after charging/(crediting):
**£**
**£**
Auditors remuneration:-
Audit fees - annual accounts
**8,600**
_8,500_
Accountancy fees
**3,914**
_6,479_
Finance lease charges
**1,660**
_3_
Depreciation of fixed assets held on finance leases
**3,993**
_-_
Depreciation of other fixed assets
**60,343**
_60,566_
Amortisation of intangible assets
**4,000**
_4,000_
Trustees remuneration
**-**
_-_
Trustees expenses re travel and accommodation
**-**
_-_
**Number**
**Number**
Trustees having expenses reimbursed or paid on their behalf
**-**
_-_
**TANGIBLE FIXED ASSETS**
**Short leasehold**
**Fixtures**
**Land and**
**Fittings and**
**GROUP**
**Buildings**
**Equipment**
**Total**
**Cost**
**£**
**£**
**£**
As at April 1 2021
19,087
1,582,157
1,601,244
Additions
10,405
65,877
76,282
Disposals
-
(2,104)
(2,104)
As at 31 March 2022
29,492
1,645,930
1,675,422
**Depreciation**
As at April 1 2021
12,880
1,409,129
1,422,009
Charge for the year
5,070
59,266
64,336
Disposals
-
(526)
(526)
As at 31 March 2022
17,950
1,467,869
1,485,819
**Net Book Value**
As at 31 March 2022
**11,542**
**178,061**
**189,603**
As at 31 March 2021
_6,207_
_173,028_
_179,235_
**COMPANY**
**Cost**
As at April 1 2021
19,087
1,569,534
1,588,621
Additions
10,405
65,877
76,282
Disposals
-
(2,104)
(2,104)
As at 31 March 2022
29,492
1,633,307
1,662,799
**Depreciation**
As at April 1 2021
12,880
1,396,728
1,409,608
Charge for the year
5,070
59,266
64,336
Disposals
(526)
(526)
As at 31 March 2022
17,950
1,455,468
1,473,418
**Net Book Value**
As at 31 March 2022
**11,542**
**177,839**
**189,381**
As at 31 March 2021
_6,207_
_172,806_
_179,013_|This is stated after charging/(crediting):
**£**
**£**
Auditors remuneration:-
Audit fees - annual accounts
**8,600**
_8,500_
Accountancy fees
**3,914**
_6,479_
Finance lease charges
**1,660**
_3_
Depreciation of fixed assets held on finance leases
**3,993**
_-_
Depreciation of other fixed assets
**60,343**
_60,566_
Amortisation of intangible assets
**4,000**
_4,000_
Trustees remuneration
**-**
_-_
Trustees expenses re travel and accommodation
**-**
_-_
**Number**
**Number**
Trustees having expenses reimbursed or paid on their behalf
**-**
_-_
**TANGIBLE FIXED ASSETS**
**Short leasehold**
**Fixtures**
**Land and**
**Fittings and**
**GROUP**
**Buildings**
**Equipment**
**Total**
**Cost**
**£**
**£**
**£**
As at April 1 2021
19,087
1,582,157
1,601,244
Additions
10,405
65,877
76,282
Disposals
-
(2,104)
(2,104)
As at 31 March 2022
29,492
1,645,930
1,675,422
**Depreciation**
As at April 1 2021
12,880
1,409,129
1,422,009
Charge for the year
5,070
59,266
64,336
Disposals
-
(526)
(526)
As at 31 March 2022
17,950
1,467,869
1,485,819
**Net Book Value**
As at 31 March 2022
**11,542**
**178,061**
**189,603**
As at 31 March 2021
_6,207_
_173,028_
_179,235_
**COMPANY**
**Cost**
As at April 1 2021
19,087
1,569,534
1,588,621
Additions
10,405
65,877
76,282
Disposals
-
(2,104)
(2,104)
As at 31 March 2022
29,492
1,633,307
1,662,799
**Depreciation**
As at April 1 2021
12,880
1,396,728
1,409,608
Charge for the year
5,070
59,266
64,336
Disposals
(526)
(526)
As at 31 March 2022
17,950
1,455,468
1,473,418
**Net Book Value**
As at 31 March 2022
**11,542**
**177,839**
**189,381**
As at 31 March 2021
_6,207_
_172,806_
_179,013_|
|---|---|---|
||29,492|1,645,930
1,675,422|
||12,880
5,070
-|1,409,129
1,422,009
59,266
64,336
(526)
(526)|
||17,950|1,467,869
1,485,819|
||**11,542**|**178,061**
**189,603**|
||_6,207_|_173,028_
_179,235_|
||19,087
10,405
-|1,569,534
1,588,621
65,877
76,282
(2,104)
(2,104)|
||29,492|1,633,307
1,662,799|
||12,880
5,070|1,396,728
1,409,608
59,266
64,336
(526)
(526)|
||17,950|1,455,468
1,473,418|
||**11,542**|**177,839**
**189,381**|
||_6,207_|_172,806_
_179,013_|
## **12 TANGIBLE FIXED ASSETS**
Included in fixtures, fittings and equipment are assets held on finance lease contracts with a net book value of £13,644 (2021 - nil).
**26**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **13 INTANGIBLE FIXED ASSETS**
## **GROUP & COMPANY**
|||
|---|---|
|**GROUP & COMPANY**
**Cost**
As at April 1 2021
As at 31 March 2022
**Amortisation**
As at April 1 2021
Charge for the year
As at 31 March 2022
**Net Book Value**
As at 31 March 2022
As at 31 March 2021|**Total**
**£**
20,000|
||20,000|
||4,000
4,000|
||8,000|
||**12,000**|
||_16,000_|
## **14 FIXED ASSET INVESTMENTS**
The charity has owns 100% of the issued share capital of the following companies:
|**Name**|**Activity**||**Investment**||**Company no.**|
|---|---|---|---|---|---|
|||**2022**
**2021**||||
|||**£**|**£**|||
|Greater Manchester Arts Services Ltd|Catering services & retail outle||**100**|_100_|1905978|
|Home Manchester Productions Ltd|Theatre productions||**1**|_1_|9310260|
|Cornerhouse Publications Ltd|Book distribution services||**1**|_1_|9475426|
||||**102**|_102_||
All the companies are incorporated in England.
**27**
## **GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
|**15 STOCKS**
Stock of goods for resale
**16 DEBTORS**
Trade debtors
Grants and income receivable
Greater Manchester Arts Services Limited
HOME Manchester Productions Ltd
Cornerhouse Publications Ltd
Creative Tax Credits
Other debtors
Prepayments
**17 CREDITORS falling due within one year**
Trade creditors
Other taxes and social security
Accruals
Other creditors
Finance lease creditors
Income and grants in advance
**18 CREDITORS amounts falling due in more than one year**
Finance lease creditors - due 2 - 5 years|**GROUP**
**2022**
**£**
**3,082**|**GROUP**
**2021**
**£**
_14,297_|**COMPANY**
**COMPANY**
**2022**
**2021**
**£**
**£**
**-**
_-_|
|---|---|---|---|
||**275,107**
**267,186**
**-**
**-**
**-**
**185,785**
**4,320**
**291,962**|_358,337_
_225,179_
_-_
_-_
_-_
_63,525_
_6,870_
_79,795_|**158,969**
_234,635_
**267,186**
_225,179_
**358,502**
_106,846_
**184,485**
_62,624_
**64,708**
_22,457_
**-**
_-_
**4,320**
_6,870_
**291,962**
_78,710_|
||**1,024,360**|_733,706_|**1,330,132**
_737,321_|
||**299,018**
**84,306**
**207,860**
**54,818**
**3,777**
**285,866**|_137,916_
_77,418_
_170,135_
_17,633_
_-_
_184,152_|**253,558**
_83,232_
**80,167**
_73,279_
**184,551**
_143,206_
**54,818**
_17,633_
**3,777**
_-_
**285,866**
_184,152_|
||**935,645**|_587,254_|**862,737**
_501,502_|
||**10,097**|_-_|**10,097**
_-_|
||**10,097**|_-_|**10,097**
_-_|
**28**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **19 STATEMENT OF FUNDS**
|**Transfers &**
**Income**
**Expenditure**
**taxation**
**31/03/2022**
**£**
**£**
**£**
**£**
5,560,787
(5,484,877)
(477,257)
**783,072**
-
(83,336)
873,154
**999,831**|**1,782,903**|**280,963**|**280,963**|**2,063,866**|||**280,963**
**-**|**280,963**|_1,860,024_
_(77,121)_|_1,782,903_|
|---|---|---|---|---|---|---|---|---|---|---|
||395,897|(210,000)|(210,000)|185,897|||(190,200)
(19,800)|1,063,435
(1,096,459)
(210,000)|||
||(5,568,213)|(1,096,459)|(1,096,459)|(6,664,672)|||(1,116,259)
19,800||||
||5,560,787|1,063,435|1,063,435|6,624,222|||1,063,435
-||||
|**31/03/2021**
**01/04/2021**
**£**
_1,184,419_
_210,013_|_1,394,432_|523,987|_523,987_|_1,918,419_|||_523,987_
_-_|_523,987_|||
|**Transfers**
**losses &**
**01/04/2020**
**Income**
**Expenditure**
**taxation**
**£**
**£**
**£**
**£**
_271,827_
_4,821,780_
_(4,166,824)_
_257,636_
_182,246_
_-_
_(72,556)_
_100,323_|_357,959_|(337,644)|_(337,644)_|_20,315_|||_(337,644)_
_-_|_74,904_
_1,228,651_
_(441,924)_
_(337,644)_|||
||_(4,239,380)_|(441,924)|_(441,924)_|_(4,681,304)_|||_(441,924)_
_-_||||
||_4,821,780_|1,228,651|_1,228,651_|_6,050,431_|||_1,228,651_
_-_||||
||_454,073_|74,904|_74,904_|_528,977_|||_74,904_
_-_||||
**29**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **19 STATEMENT OF FUNDS (continued)**
|**Income**
**Expenditure**
**Transfers**
**31/03/2022**
**£**
**£**
**£**
**£**
6,707,372
(6,413,961)
(682,954)
**860,296**|**860,296**|**210,000**
**228,900**
**195,550**
**164,000**
**-**
**-**
**201,381**|**999,831**|**1,860,127**|**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**5,500**
**6,357**
**-**
**-**
**97,553**
**127,680**
**43,873**|**280,963**|**2,141,090**||
|---|---|---|---|---|---|---|---|---|
||(682,954)|210,000
228,900
195,550
164,000
-
-
74,704|873,154|190,200|-
-
-
-
-
-
(160,200)
-
-
-
(30,000)
-
-
-
-|(190,200)|-||
||(6,413,961)|-
-
-
-
(10,000)
(5,000)
(68,336)|(83,336)|(6,497,297)|(80,920)
(28,856)
-
(1,000)
-
(375,000)
(19,800)
-
-
(4,059)
(284,360)
-
(172,566)
(138,571)
(11,127)|(1,116,259)|(7,613,556)||
||6,707,372|-
-
-
-
-
-
-|-|6,707,372|-
28,856
-
1,000
-
375,000
180,000
-
5,500
4,059
92,500
-
139,553
181,967
55,000|1,063,435|7,770,807||
|**31/03/2021**
**01/04/2021**
**£**
_1,249,839_|_1,249,839_|_-_
_-_
_-_
_-_
_10,000_
_5,000_
_195,013_|_210,013_|_1,459,852_|_80,920_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_6,357_
_221,860_
_-_
_130,566_
_84,284_
_-_|_523,987_|_1,983,839_||
|**Transfers**
**losses &**
**01/04/2020**
**Income**
**Expenditure**
**taxation**
**£**
**£**
**£**
**£**
_275,617_
_4,803,261_
_(4,066,360)_
_237,321_|_237,321_|_-_
_-_
_-_
_-_
_10,000_
_5,000_
_85,323_|_100,323_|_337,644_|_(20,000)_
_-_
_-_
_-_
_(260,655)_
_-_
_-_
_(21,084)_
_-_
_-_
_(35,905)_
_-_
_-_
_-_
_-_|_(337,644)_|_-_||
||_(4,066,360)_|_-_
_-_
_-_
_-_
_-_
_-_
_(72,556)_|_(72,556)_|_(4,138,916)_|_(4,480)_
_-_
_(7,106)_
_-_
_(90,345)_
_-_
_-_
_(26,416)_
_-_
_(618)_
_(25,623)_
_-_
_(75,678)_
_(45,678)_
_(165,980)_|_(441,924)_|_(4,580,840)_||
||_4,803,261_|_-_
_-_
_-_
_-_
_-_
_-_
_-_|_-_|_4,803,261_|_105,400_
_-_
_7,106_
_-_
_351,000_
_-_
_-_
_47,500_
_-_
_-_
_238,210_
_-_
_199,962_
_114,473_
_165,000_|_1,228,651_|_6,031,912_||
||_275,617_|_-_
_-_
_-_
_-_
_-_
_-_
_182,246_|_182,246_|_457,863_|_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_6,975_
_45,178_
_-_
_6,282_
_15,489_
_980_|_74,904_|_532,767_||
|**COMPANY**
**Unrestricted funds:**
General fund
**Designated funds:**
ICT investment - one off expenditure
Programme and budget support
Capital investment 22/23
Capital and budget support 23/24 & 24/25
Audience development
Education and learning
Invested in fixed assets
**Total unrestricted funds**
**Restricted Funds:**
Garfield Weston Foundation
Kickstart grants
Environmental training grant
Access to work grant
ACE - CRF1
ACE - CRF2
ACE - CRF3
Garfield Weston Foundation - COVID
Donations - Arches capital project
**Project funds**
Film
Theatre
Visual Arts
Engagement
Talent Development
Sector leadership & development
**Total restricted funds**
**Total Funds**|||||||||
**30**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **19 STATEMENT OF FUNDS (continued)**
|**Income**
**Expenditure**
**Transfers**
**31/03/2022**
**£**
**£**
**£**
**£**
-
-
-
**6,357**
4,059
(4,059)
-
**-**|**6,357**|**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**|**-**||
|---|---|---|---|---|
||-|-
-
-
-
-
-
(30,000)
-
-
-|(30,000)||
||(4,059)|-
(55,000)
(30,000)
(60,000)
(73,210)
(5,000)
(58,650)
-
-
-
(2,500)|(284,360)||
||4,059|-
55,000
30,000
-
-
5,000
-
-
-
-
2,500|92,500||
|**31/03/2021**
**01/04/2021**
**£**
6,357
-|6,357|-
-
-
60,000
73,210
-
58,650
30,000
-
-
-|221,860||
|**Transfers**
**losses &**
**01/04/2020**
**Income**
**Expenditure**
**taxation**
**£**
**£**
**£**
**£**
6,975
-
(618)
-
-
-
-
-|-|_(35,000)_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_(905)_
_-_|_(35,905)_||
||(618)|-
-
-
_-_
_-_
_-_
_(11,850)_
_-_
_(9,273)_
_-_
_(4,500)_|_(25,623)_||
||-|-
-
-
60,000
73,210
-
70,500
30,000
-
-
4,500|_238,210_||
||6,975|35,000
-
-
-
-
-
-
9,273
905
-|_45,178_||
|**COMPANY ANALYSIS**
**Revenue funds**
Film
BFI - Danger Deception Deceit!
Other grants
Theatre
John Ellerman Foundation
_Grants re HOME Ground:_
EsmeéFairbairn
Foyle Foundation
MCC
Garfield Weston
Granada Foundation
_Other grants:_
Garfield Weston Foundation
Savannah Wisdom Foundation
Stage One - Theatre Investment Fund Ltd
Theatres Trust
PRS Foundation|||||
**31**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **19 STATEMENT OF FUNDS (continued)**
|**Income**
**Expenditure**
**Transfers**
**31/03/2022**
**£**
**£**
**£**
**£**
67,469
(77,822)
-
**12,087**
-
(24,736)
-
**57,925**
-
(16,400)
-
**-**
10,542
(10,542)
-
**-**
2,125
(2,125)
**-**
-
(2,125)
-
**-**
10,000
(12,500)
-
**2,500**
7,000
(3,399)
-
**5,541**
12,000
(2,500)
-
**9,500**
30,000
(20,000)
-
**10,000**
-
-
-
**-**
-
-
-
**-**
417
(417)
-
**-**|**97,553**|**-**
**122,180**
**-**
**-**
**-**
**-**
**-**
**3,000**
**2,500**
**-**
**-**|**127,680**|**-**
**-**
**43,873**|**43,873**||
|---|---|---|---|---|---|---|
||-|-
-
-
-
-
-
-
-
-
-
-|-|-
-
-|-||
||(172,566)|-
(27,820)
(6,354)
(68,930)
(21,367)
(3,000)
(2,100)
-
-
(6,000)
(3,000)|(138,571)|-
-
(11,127)|(11,127)||
||139,553|-
150,000
-
-
21,367
3,000
2,100
3,000
2,500
-
-|181,967|-
-
55,000|55,000||
|**31/03/2021**
**01/04/2021**
**£**
_22,440_
_82,661_
_16,400_
_-_
_-_
_2,125_
_5,000_
_1,940_
_-_
_-_
_-_
_-_
_-_|_130,566_|_-_
_-_
_6,354_
_68,930_
_-_
_-_
_-_
_-_
_-_
_6,000_
_3,000_|_84,284_|_-_
_-_
_-_|_-_||
|**Transfers**
**losses &**
**01/04/2020**
**Income**
**Expenditure**
**taxation**
**£**
**£**
**£**
**£**
_4,282_
_51,250_
_(33,092)_
_-_
_-_
_82,661_
_-_
_-_
_-_
_18,500_
_(2,100)_
_-_
_-_
_14,051_
_(14,051)_
_-_
_-_
_-_
_-_
_-_
_-_
_20,000_
_(17,875)_
_-_
_-_
_7,500_
_(2,500)_
_-_
_-_
_5,000_
_(3,060)_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_1,000_
_(1,000)_
_-_
_2,000_
_-_
_(2,000)_
_-_
_-_
_-_
_-_
_-_|_-_|_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_|_-_|_-_
_-_
_-_|_-_||
||_(75,678)_|_(135)_
_-_
_(30,000)_
_(12,570)_
_-_
_-_
_-_
_-_
_-_
_(2,973)_
_-_|_(45,678)_|_(165,000)_
_(980)_
_-_|_(165,980)_||
||_199,962_|_-_
_-_
_30,000_
_81,500_
_-_
_-_
_-_
_-_
_-_
_2,973_
_-_|_114,473_|_165,000_
_-_
_-_|_165,000_||
||_6,282_|_135_
_-_
_6,354_
_-_
_-_
_-_
_-_
_-_
_-_
_6,000_
_3,000_|_15,489_|_-_
_980_
_-_|_980_||
|**COMPANY ANALYSIS**
Engagement
Young Manchester
German Wings
Garfield Weston Foundation
BFI Film Academy
BFI Connections
Ogelsby Charitable Foundation
The Beaverbrooks Charitable Trust
Future Arts Centres (national Lottery)
Leri Trust - Horizons Festival
Leri Trust - Inspire
Austin Hope
The Bob Halliwell Charitable Trust
Other grants & donations
Talent Development
Foyle Foundation
Ogelsby Charitable Foundation
Esme Fairbairn
Garfield Weston Foundation
BFI - Venue Education project
National theatre
Hear Me
The Garrick Charitable Trust
Noel Coward Foundation
Edwin Fox Foundation
Leri Trust
Sector Leadership & development
ACE - Audience Development
ACE - Danish Delegations
MCC re IPSA|||||||
**32**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **19 STATEMENT OF FUNDS (continued)**
## **Other restricted fund balances**
Donations - Arches project BFI - Danger Deception Deceit!
Young Manchester German Wings The Beaverbrooks Charitable Trust
Future Arts Centres (national Lottery) Leri Trust Ogelsby Charitable Foundation
The Garrick Charitable Trust Noel Coward Foundation
To support creation of new space under the railway arches
To support project costs 2022/20
For creative activities for young people
To support young people taking first steps in creative sector.
To support engagement programme
To support engagement programme
To support Horizons and Inspire projects
To support local artists through PUSH Festival and Lab, and Manchester Open.
To support talent development
To support artists of colour.
It is anticipated that all the above funds will be utilised in 2022/23.
## **20 ANALYSIS OF NET ASSETS BETWEEN FUNDS**
## **Company fund balances at March 31 2022**
## **are represented by:-**
Tangible fixed assets Intangible fixed assets Fixed asset investment in subsidiaries
Net current assets Creditors due in more than one year
## **Company fund balances at March 31 2021**
## **are represented by:-**
Tangible fixed assets Fixed asset investment in subsidiaries Net current assets Creditors due in more than one year
|**Unrestricted funds**
**General**
**Designated**
**£**
**£**
-
189,381
-
12,000
102
-
881,402
798,450
(10,097)
-|**Unrestricted funds**
**General**
**Designated**
**£**
**£**
-
189,381
-
12,000
102
-
881,402
798,450
(10,097)
-|**Restricted**
**Funds**
**£**
-
-
-
280,963|**Total**
**£**
**189,381**
**12,000**
**102**
**1,960,815**
**(10,097)**|
|---|---|---|---|
|871,407|999,831|280,963|**2,152,201**|
|-
102
1,264,737
-|179,013
-
-|-
523,987|**179,013**
**102**
**1,788,724**
**-**|
|1,264,839|179,013|523,987|**1,967,839**|
|||||
## **Free Reserves:**
Net current assets les creditors due in more than one year
**2022 2021 £ £ 871,305** 1,264,737
**33**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **21 RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASHFLOW FROM OPERATING ACTIVITIES**
|Net income/(expenditure) after taxation
Add back depreciation & amortisation
Deduct interest income shown in investing activities
Deduct profit/add back losses on disposals of FA
Decrease/(increase) in stock
Decrease/(increase) in debtors
Increase/(decrease) in creditors
**Net cash generated from/(used in) operating activities**|**Group**
**2022**
**£**
**156,558**
**68,336**
**(103)**
**-**
**11,215**
**(290,654)**
**333,503**|**Group**
**2021**
**£**
_1,389,442_
_72,556_
_(262)_
_-_
_545_
_95,731_
_(251,817)_|**Charity**
**Charity**
**2022**
**2021**
**£**
**£**
**168,362**
_1,451,072_
**68,336**
_72,556_
**(103)**
_(262)_
**-**
_-_
**-**
_-_
**(592,811)**
_25,202_
**346,347**
_(238,342)_|
|---|---|---|---|
||**278,855**|_1,306,195_|**(9,869)**
_1,310,226_|
|**22 MOVEMENT IN NET DEBT**
**Group**
**Cash and cash equivalents**
Cash at bank and in hand
**Debt**
Finance lease obligations
**Cash and cash equivalents net of debt**
**Charity**
**Cash and cash equivalents**
Cash at bank and in hand
**Debt**
Finance lease obligations
**Cash and cash equivalents net of debt**|**at 31/3/19**
**£**
_1,562,435_|**cashflows**
**£**
218,128|**leases**
**£**
-|**cash**
**as 31/3/20**
**£**
**£**
-
**1,780,563**|
|---|---|---|---|---|
||_-_|3,777|-|-
**3,777**|
||_1,562,435_|(70,596)|-|**1,776,786**
-
**1,482,309**|
||_1,552,905_||||
||_-_|3,777|-|-
**3,777**|
||_1,552,905_|||**_1,478,532_**|
There were no: acquisitions or disposals of subsidiaries; foreign exchange movements; or market value changes in the period.
## **23 CONSTITUTION**
The Company is limited by guarantee and does not have a share capital. In the event of the Company being wound up the members are committed to contributing £1 each.
## **24 TAXATION**
The company is a registered charity and is entitled to claim annual exemption from UK corporation tax under sections 466 to 477 of the Corporation Tax Act 2010.
## **25 CAPITAL COMMITMENTS**
The company had the no capital commitments at the year end (2021 - none).
**34**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **26 LEASE COMMITMENTS**
## **a Operating leases**
At the year end the company had no commitments under operating leases (2021 - none).
## **b Finance leases**
At the year end the Group and Company had the following minimum commitments under finance leases:
|Payable within:
One year
Between 2 and 5 years
Less interest
Finance lease liabilities per creditors notes|**£**
**£**
**4,998**
_-_
**11,247**
_-_
**16,245**
_-_
**(2,371)**
_-_
**13,874**
_-_
**13,874**
_-_|
|---|---|
## **27 RELATED PARTY TRANSACTIONS**
## **a Transactions involving directors**
The Charity benefits from the pro bono legal services provided by Weightmans, of which Karl Jackson a former trustees is a partner. This in kind support has been included in these accounts as income and costs valued at £25,000 (2021 - £25,000).
The directors made donations to the charity totalling £11,000 in the year (2021 - £9,500), of which £2,000 related to restricted fund projects (2021 - £1,500) which did not influence the decision to proceed with these activities. None of the directors were patrons in the year (2021 - none).
There are no other transactions with Directors which require disclosure.
## **b Key management personnel.**
Details of the employment benefits of key management personnel are given in note 10.
## **c Trading subsidiaries**
In addition to the details of the charges to and from the trading subsidiaries given in note 6, the Charity recharged
overheads to GMAS, which are netted off its own costs, as follows:
**200,341** _63,094_
**35**
**GREATER MANCHESTER ARTS CENTRE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2022**
## **27 GREATER MANCHESTER PENSION FUND**
The charity has 3 members of staff who are members of the Greater Manchester Pension Fund (GMPF), a defined benefit fund, being former employees of Manchester City Council as part of the Library Theatre Company.
As part of the merger agreement the charity entered into a pooling agreement with Manchester City Council in respect of the employer contributions to GMPF. Under this agreement the rate of employer contributions payable by the charity is effectively fixed at the date of the merger, with MCC agreeing to compensate the charity for any future increases. Employer contributions in the year were 18.5% of eligible salary.
The GMPF is valued every three years by a professionally qualified independent actuary using the projected unit method, the rate of contributions being determined by the actuary. The latest actuarial valuation was at 31[st] March 2019. The actuarial valuation showed the value of the scheme assets as being 102% of liabilities of the scheme.
The actuary reported that in his opinion “the resources of the scheme are likely in the normal course of events to meet the liabilities of the scheme, as required by regulations.”
This is a multi-employer scheme and it is not possible to separately identify the assets and liabilities of the scheme which would be attributable to the charity and it is therefore accounted for as a defined contribution scheme.
**36**