# **REGISTERED COMPANY NUMBER: 01856580 (England and Wales) REGISTERED CHARITY NUMBER: 515903**
## **THEATR NA NÓG**
## **REPORT OF THE TRUSTEES AND**
## **FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 MARCH 2021**
Carr, Jenkins & Hood Redwood Court Tawe Business Village Swansea SA7 9LA
**CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021**
## **THEATR NA NÓG**
||**Page**|
|---|---|
|**Report of the Trustees**|1 to 9|
|**Independent Examiner's Report**|10|
|**Statement of Financial Activities**|11|
|**Balance Sheet**|12 to 13|
|**Notes to the Financial Statements**|14 to 26|
**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021**
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2021. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
The report of the trustees also incorporates a directors' report as required by company law.
## **OBJECTIVES AND ACTIVITIES**
The objects of the charity are to produce theatre productions for young people. The charity will also tour productions regionally, nationally and internationally to broaden its audience base.
The trustees of the charity are committed to providing a public benefit, and have taken into account the Charity Commission's guidance in this area.
The charity believes that children and young people deserve to experience theatre of the same high artistic standard and aesthetic value as theatre aimed at adults, by creating high quality theatre that is powerful, inspiring and relevant to all ages, bringing to life authentic stories of ordinary people who achieve extraordinary things.
For the many members of our audiences who come from deprived communities, Theatr na nÓg's ethos has always been to inspire and encourage ambition and aspiration, to believe in oneself and dare to dream. This is what makes our work so effective at igniting young imaginations and appealing to people from all backgrounds.
Through our expertise in working with both schools and theatre venues, we have developed a unique understanding of how to bridge the gap between the generations, in order to achieve a truly shared experience.
During the previous year the charity saw a change of remit from the Arts Council of Wales, which meant that its main objectives continued to be the promotion of theatre for young people in our three authorities but with an intention to tour productions to a variety of age groups and beyond our traditional area. Four key areas were identified for specific attention:
- to raise the charity's profile locally and nationally;
- to increase production and performance weeks;
- to promote our touring productions in Wales and the UK; and
- to allocate a percentage of funds for research and development on future productions.
1
**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021**
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
It cannot be underestimated the effect the COVID-19 pandemic has had, and is having on the organisation.
At the beginning of March 2020, the organisation went into lockdown earlier than was advised and planned for remote working.
With the upheaval of the Coronavirus pandemic, the organisation devised an alternative artistic plan. This adapted programme of work will run alongside the intended artistic plan, with additional online and digital productions throughout the year.
Over the course of that year the organisation produced 16 projects and employment for over 160 freelancers. The priorities were very clear from the outset but kept in-line with the priorities set by the Investment Review.
**Support teachers & young people** by creating projects and content that could be delivered online whilst **-** young people were at home
- **Support the network of freelance professionals.** Theatr na nÓg aims to support freelance artists and venues in Wales, as they navigate their way through these uncertain times, by creating projects that would support
- **-** them financially and creatively.
- **Support the venues in Wales** by creating content for them to deliver online to maintain their audiences.
## **April - June**
The organisation developed alternative plans of recording the stage version of their productions and live streaming the performances into schools via digital platforms.
The company produced creative learning and engagement material for schools and general audiences. Including: Aesops Fables Trilogy, Lion in Lockdown, presented in both Welsh and English for young children. Just Jump, video recording of the play presented to comprehensive schools.
The organisation utilised the time to develop new scripts and ideas and explore new methods of creating theatre.
With the uncertainty of when venues will open, teachers discussed their concerns of young people studying GCSE Drama from a practical viewpoint. The company made available Eye of the Storm and Nye & Jennie for the students and created a series of Vlogs titled 'Another Day in Paradise' which introduce the different elements of the production process with interviews with actors, technicians and creatives.
## **Eye of the Storm**
The company released the recording of our award-winning musical to schools and to a general audience on YouTube. To date it has received 2,316 views. It was also part of a Young Carers Watch Party in Swansea, Cardiff and Newport to engage young carers during this time of isolation.
## **July - August**
Theatr na nÓg spent 3 weeks researching and developing the script and music for Operation Julie - a co-production with Aberystwyth Arts Centre. It culminated in a recording of the play and songs. All rehearsals were conducted remotely via Zoom.
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**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021**
During the first lockdown freelance designers - set, costume, lighting, sound, and AV met on Zoom to collaborate with one another as an opportunity to work with people they perhaps hadn't before and in a non-text driven way. The result of the collaboration was to explore an immersive theatre installation at Dunraven Castle in Bridgend based on the story of **Cantre'r Gwaelod** and the themes of climate change as a potential future project when we are able to.
## **August - October**
## **The Arandora Star**
The organisation adapted the stage version of their 2010 production of The Arandora Star to a radio series for schools. This was sent directly to every school in Wales in both Welsh and English. The Arandora Star explores the themes of immigration and inclusivity by following the heartbreaking story of the Welsh Italian communities during the Second World War.
The collaboration with both Swansea Museum and The National Waterfront Museum continued with them creating digital versions of their workshops. The radio drama series received a total of 654 views and the digital workshops received a total of 88 views on YouTube.
## **November - December**
## **Consortiwm Cymraeg**
The organisation began their collaboration with three partner venues - Soar, Merthyr Tudful; The Welfare Ystradgynlais; Awen Trust to produce and present Welsh language theatre to valley locations in South Wales. They produced a filmed version of Can Peggy by Katherine Chandler translated into Welsh by Jeremi Cockram directed by Phil Clark and Christian Patterson, and performed by Dion Davies. The film was available digitally to audiences across Wales.
## **Antur yr Adfent** / **Adventures in Advent**
The organisation recognised the overwhelming effect that COVID-19 will have had on the wellbeing of students. In conversations with teachers, it was evident that Christmas would be very different this year. The company therefore commissioned freelance actors, technicians and creatives to create a digital advent calendar to restore the spirit of Christmas with a variety show of stories that encompass the true meaning of the festive time. The digital advent calendar received a total of 11,120 views on YouTube.
## **Hwyl yr Wyl**
The charity released a fundraising Christmas song composed by Barnaby Southgate with lyrics by Phylip Harries and sung by actors Daniel Lloyd and Carys Gwilym. The music video received a total of 26,584 views on YouTube and Facebook.
## **Spring 2021**
## **January - February**
## **Invisible threads are the strongest ties**
A development in the collaboration with the Indonesian artists Abdi Karya and Safira Devi Amorita. Theatr na nÓg commissioned artists in Wales and Indonesia to produce a storytelling project with themes highlighting climate change, diversity and culture. The 7 stories were created in English, Welsh, Bahasa and BSL and were shared with schools in Wales and in Indonesia. The stories received a total of 1,707 views on YouTube.
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**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021**
## **Ac Abertawe'n Fflam / It'll All Be Over by Christmas**
A radio play recording of our stage play released to local schools to commemorate the 80th anniversary of the blitz on Swansea. The radio play received a total of 103 views on YouTube and a total of 149 plays on SoundCloud.
## **March**
## **When Pele Broke Our Hearts R&D**
After a readthrough of an original screenplay, which tells the compelling story of the Welsh football team reaching the quarter finals of the Football World Cup in 1958, the organisation decided to explore the possibility of the story being adapted for the stage. The company spent two weeks with actors and the writers in developing a new adaptation for presentation in 2023.
## **Open Call / Young Associates**
The organisation has offered open auditions for new actors, and actors who have not worked with the company before. This was extended during lockdown to include actors who were graduating from Drama Colleges and also 'A' Level students of drama, to offer constructive advice on audition technique.
A group of 24 Young Associates has formed from the auditions giving them a supportive environment to come together, be creative and experiment. They have done read throughs of each other's work, workshops with our associate artists and took part in readings celebrating Shakespeare's Birthday.
## **Goslef**
A Welsh language storytelling channel launched on Apple Podcasts, Google Podcasts and Spotify in March 2021. With sounds of the sea, melodies on the harp and birdsong, it's aim is to give young people who speak Welsh, or who are learning, a space to relax away from screens and listen to Welsh stories and songs. Created by the organisation's creative associates. The episodes have received a total of 615 all time downloads across Spotify, Apple Podcasts, Google Podcasts and Podbean.
## **Other**
The organisation performed to 11,000 in this financial year with nearly 14,000 participating.
The organisation has had a successful year in its fundraising activities. Grants were awarded of £53,000 (2020; £123,900) together with donations totalling £7,689 (2020; £14) received from the public.
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**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021**
## **FINANCIAL REVIEW Financial position**
The charity continues to review its income base and cost base, with a view to conserving resources. During this financial period, resources have decreased in line with budgetary forecasts. Reserves remain at a satisfactory level.
Total incoming resources for the year amounted to £444,450 (2020; £474,356). Resources expended amount to £444,523 (2020; £422,226). The net deficit for the year is £73 (2020; surplus of £52,130).
The net reserves at the balance sheet date are £466,835 (2020; £466,908) of general funds.
## **Principal funding sources**
The charity has maintained its annual revenue funding from the Arts Council of Wales.
## **Reserves policy**
The trustees are pleased to report that the general reserves remain positive at the end of this financial year and the charity will be continuing this platform in the next financial year to maintain the strength of its reserves. The charity has set minimum levels of reserves that it wishes to maintain in order to see out its short term commitments. These have been set at £125,000 which should ensure the charity continues for twelve months in the event of the loss of all incoming resources.
## **Investment policy**
The trustees consider the most appropriate policy for investing surplus funds is in short term deposit accounts to maintain cashflow liquidity.
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**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021**
## **FUTURE PLANS**
## **April - June**
## **We Need Bees/ Gwarchod y Gwenyn Podcast & Test Event**
The organisation will adapt their 2011 stage play for young audiences and families to a podcast for schools in Spring 2021. Schools will participate by listening to the series and then taking part in 5 daily challenges devised by Dawn Thomas, an environment educationalist working with schools.
The company will take part in a test event for Welsh Government. This is to gauge the behaviour of audiences at live theatre events as we ease out of lockdown. This development has led to Theatr na nÓg exploring the possibility of presenting the show to outdoor venues in South Wales in the summer of 2021.
## **Y Naid/ Just Jump**
Once again the organisation will present their award winning production to schools. This time the company will adapt their stage play to a short film. It is a continuation of the partnership with Cardiff Harbour Authority and Arts and Business Cymru. The company will also organise workshops with schools to discuss the themes of the story with young people.
## **Erasmus+ - Unpacking Feelings**
Theatr na nÓg were successful in applying to collaborate with two Welsh Medium schools in Swansea and partners in Malta, Cyprus and Spain on a two year project. The aim of the project is to create resources that use a range of creative arts media to engage pupils to express their feelings in their second language as part of their recovery from the negative impact of COVID-19.
## **Shirley Valentine**
As the first collaboration for the Consortiwm Cymraeg the organisation will produce the Welsh language version of Willy Russell's successful comedy Shirley Valentine, transporting her from Liverpool in the 80's to Merthyr Tydfil during the 90's. The production will tour venues throughout Wales in the Spring of 2022.
## **The Arandora Star**
The company's annual school's production at the Dylan Thomas Theatre in Swansea will be presented not in the Autumn but in the Spring. This will allow for schools to have the confidence and certainty in visiting the theatre and the museums involved in the project.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document**
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
## **Charity constitution**
Theatr na nÓg is a company limited by guarantee and a registered charity. It was established in 1984 to promote and advance artistic education and the public appreciation of the arts. These objects are set out in its governing instrument which is its Memorandum and Articles of Association.
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**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Recruitment and appointment of new trustees**
Under the terms of the Articles of Association, there is no maximum to the number of board members but there should be a minimum of four. All members will serve an initial term of three years. At an annual general meeting retiring members can be re-elected for a second term of three years.
## **Organisational structure**
The governing body is the board of trustees whose members are non-executive and unpaid. The board meets bi-monthly and covers areas such as artistic development, diversity, membership and finance. An artistic director is appointed by the trustees to manage the day to day operations of the charity. To facilitate effective operations, the artistic director has delegated authority, within terms of delegation approved by the trustees, for operational matters including finance, employment and artistic performance related activity.
## **Induction and training of new trustees**
All trustees were offered and attended an induction and orientation day to brief them on their legal obligations under charity and company law, the content of the Memorandum and Articles of Association, the committee and decision making processes, the business plan and recent financial performance of the charity. Trustees will also be encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.
## **Related parties**
The charity has key relationships with the Arts Council of Wales and agrees specific annual targets and objectives. In previous years the company has been funded by the local authorities but this funding ceased 2014.
## **Partnerships**
Theatr na nÓg continues to collaborate with a wide range of partners and fosters positive and meaningful relationships for the future. This promotes and presents an exciting collection of productions catering for the surrounding community and beyond.
This year the company has developed close working relationships with:
Swansea Grand Theatre, The Welfare Ystradgynlais, Awen Trust, Aneurin Leisure Trust, Aberystwyth Arts Centre, Dylan Thomas Theatre, Theatr Soar, Swansea Museum, National Waterfront Museum and the National Museum Wales, Swansea University and Technocamps.
Theatr na nÓg has an excellent relationship with local schools. Its ambition is to develop relationships with schools nationwide to replicate the very successful model in Swansea, Neath Port Talbot and Bridgend.
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**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Risk management**
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The trustees risk management strategy comprises:
- an annual review of the risks the charity may face;
· the establishment of systems and procedures to mitigate those risks identified in the plan; and
- the implementation of procedures designed to minimise any potential impact on the charity should those risks materialise.
This work has identified new risks and has resulted in better emergency procedures and contingency plans and has given the impetus for better planning. A key element in the management of financial risk is the setting of a reserves policy and its regular review by trustees.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number**
01856580 (England and Wales)
## **Registered Charity number**
515903
## **Registered office**
Unit 3 Millands Road Industrial Estate Neath SA11 1NJ
## **Trustees**
G J Cripps Chair E Heyes Vice Chair A C Jones L J Swindell D C Webster J R Williams (appointed 12/5/2020) C P Fitzgerald (appointed 19/1/2021) K Lewis (appointed 14/7/2020)
## **Company Secretary**
G H Styles
## **Independent Examiner**
Stuart Harries FCA ACCA Independent Examiner Carr, Jenkins & Hood Redwood Court Tawe Business Village Swansea SA7 9LA
8
THEATR NA NOG (REGISTERED NUMBER: 01856580)
REPORT OF THE TRUSTEES
FOR THE YEAR ENDED 31 MARCH 2021
REFERENCE AND ADMINISTrATIVE DETAILS
Bankers
HSBC Bank pl¢
3 Windsor Road
Neath
SAII ILN
This report has been pTrpared in accordance with the special prowisions of Part 15 of the Companies Act 2(K relating
to small companies.
Approved by order of the board of trustees on.... ........................................ and signed on its behalf by:
L J Swindell- Trusteè
INDEPENDENT EXAMINER'S REPORT TO THE TRusfEES OF
THEATR NA NOG
Independent examiner's report to the trustees of Theatr na no8 I'the Companv)
I report to the charity tTU5tees on my examination of the accounts of the Company forthe year ended 31 March 2021.
Responslbllltles and basb of report
As the charity's tStee$ of the Company land a150 its dirertors for the purposes of company lawl you are responsible
for the preparation of the accounts in accordance with the requirements of the Companies Art 2[ llhe 2¢XJ6 Act'l.
Havin8 satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2C#)6 Act
and are eligible for Independent examination, I report in respect of my examination of your charlty's accounts as
carried out under section 145 of the Charities Art 2011 l*he 2011 Art'l. In carryin8 Out my examlnatlon I have
followed the Directions given by the Charity Commission under Section 145151 Ibl of thè 2011 Act.
Independent examlnerfs statement
Since your charity's gross income èxoèded £250.L) your examlner must be a member of a Itsted body. I can confirm
that l am qualified to undertake the exarninatlon because l am a registered member of Independent Examiner whith is
one of the listed bodie5.
I have completed my examination. I confimi that no matters have come to my attention in connection wlth the
examination 8iving MÈ cause to believe-
accounting records were not kept in respert of the Company as required by section 386 of the 2(*)6 Act: or
the accounts do not accord with those records: or
the accounts do not compty with the accountin8 requirements of sertion 396 of the 2C*)6 Act other than any
requirement that the accou1 grve a true and fair wew whith is not a matter considered as part of an
Independent examination; or
the accounts have not been prepared in accordan with the methods and principles of the Statement of
Recommended Practice for accounting and reportin8 by charities (applicable to tharities preparing their
accounts in accordance with the Financial Reportin8 Stsndard applicable in the UK and Republlc of Ireland IFRS
10211.
I have no concerns and have corne across no other matters in tonnection with the examination to which attention
should be drawn in this report in order to enable a proper understanding of the actounts to be reached.
rtHa
Independent Examiner
Carr. Jenkins & Hood
Redwood Court
Tawe Business Villa8e
Swansea
SA7 9LA
io
**THEATR NA NÓG**
## **STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021**
|Unrestricted
Restricted
fund
fund
Notes
£
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
3
**327,258**
**-**
**Charitable activities**
5
Productions and touring
**5,372**
**53,000**
Investment income
4
**10,564**
**-**
Other income
6
**48,256**
**-**
**Total**
**391,450**
**53,000**
**EXPENDITURE ON**
Raising funds
7
**26,882**
**-**
**Charitable activities**
8
Productions and touring
**364,641**
**53,000**
**Total**
**391,523**
**53,000**
**NET INCOME/(EXPENDITURE)**
**(73)**
**-**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**466,908**
**-**
**TOTAL FUNDS CARRIED FORWARD**
**466,835**
**-**|**2021**
**Total**
**funds**
**£**
**327,258**
**58,372**
**10,564**
**48,256**
**444,450**
**26,882**
**417,641**
**444,523**
**(73)**
**466,908**
**466,835**|2020
Total
funds
£
316,106
146,391
11,859
-|
|---|---|---|
|||474,356
40,625
381,601|
|||422,226|
|||52,130
414,778|
|||466,908|
The notes form part of these financial statements
11
**THEATR NA NÓG (REGISTERED NUMBER: 01856580)**
## **BALANCE SHEET 31 MARCH 2021**
|Unrestricted
Restricted
fund
fund
Notes
£
£
**FIXED ASSETS**
Tangible assets
16
**104,875**
**-**
**CURRENT ASSETS**
Debtors
17
**26,683**
**-**
Cash at bank and in hand
**360,630**
**-**
**387,313**
**-**
**CREDITORS**
Amounts falling due within one year
18
**(25,353)**
**-**
**NET CURRENT ASSETS**
**361,960**
**-**
**TOTAL ASSETS LESS CURRENT LIABILITIES**
**466,835**
**-**
**NET ASSETS**
**466,835**
**-**
**FUNDS**
20
Unrestricted funds
**TOTAL FUNDS**|**2021**
**Total**
**funds**
**£**
**104,875**
**26,683**
**360,630**
**387,313**
**(25,353)**
**361,960**
**466,835**
**466,835**
**466,835**
**466,835**|2020
Total
funds
£
110,694
57,486
333,431
390,917
(34,703)
356,214
466,908
466,908
466,908
466,908|
|---|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2021.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2021 in accordance with Section 476 of the Companies Act 2006.
The trustees acknowledge their responsibilities for
- (a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
- (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
The notes form part of these financial statements
continued...
12
THEATR NA NOG (REGISTERED NUMBER: 01856580)
BALANCE SHEET- continued
31 MARCH 2021
These finan¢ial statements have been prepared in accordance with the provisions applicable to charltable companies
subjert to the small companies regime.
The
arbcial statements were approved by the Board of Trustees and authorlsed for issue
. and were si8ned on tts behalf by".
on
ripps- Truste
The notes form part of these financial statements
13
**THEATR NA NÓG**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021**
## **1. STATUTORY INFORMATION**
Theatr na nÓg is a private company, limited by guarantee without share capital, registered in England and Wales. The registered office address can be found in the report of the trustees.
## **2. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
The charity constitutes a public benefit entity as defined by FRS 102.
## **Going concern**
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. The trustees have assessed whether there are significant doubts about the charity's ability to continue as a going concern. In a difficult trading environment for charities, Theatr na nÓg has always been reliant on public funding. The trustees will only commit to productions if they know that such funding is available. This policy is underpinned by available reserves.
## **Financial reporting standard 102 - reduced disclosure exemptions**
The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':
- the requirements of Section 7 Statement of Cash Flows.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Donations and voluntary income are accounted for when receivable.
Grants for immediate expenditure are accounted for when they become receivable. Grants received for specific purposes are treated as restricted funds. Grants received in advance are deferred and recognised in the accounts in future accounting periods.
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid by the Bank.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
continued...
14
**THEATR NA NÓG**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **2. ACCOUNTING POLICIES - continued**
## **Allocation and apportionment of costs**
Costs are allocated between direct charitable and support expenditure according to the nature of the cost. Where items involve more than one category they are apportioned between the categories on a basis consistent with the use of resources.
## **Tangible fixed assets**
Tangible fixed assets other than freehold land are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:
|Freehold land is not depreciated||
|---|---|
|Freehold buildings|- 2% on cost|
|Plant and machinery|- 20% on cost|
|Fixtures, fittings and equipment|- 15% on cost|
|Motor vehicles|- 25% on cost|
## **Taxation**
As a registered charity, Theatr na nÓg is entitled to exemption from taxation in respect of income and capital gain received with sections 478-489 of the Corporation Tax Act 2010 and section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objectives only.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## **Hire purchase and leasing commitments**
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.
## **Pension costs and other post-retirement benefits**
The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. Contributions payable for the year are charged in the Statement of Financial Activity and represent the contributions payable by the company to the fund.
## **Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **Cash at bank and in hand**
Cash at bank and cash 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 and that are subject to an insignificant risk to changes in value.
continued...
15
**THEATR NA NÓG**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **2. ACCOUNTING POLICIES - continued**
## **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 after allowing for any trade discounts due.
## **Financial instruments**
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
## **3. DONATIONS AND LEGACIES**
|Donations
Grants
Grants received, included in the above, are as follows:
Arts Council of Wales
**INVESTMENT INCOME**
Rental income
Interest receivable|**2021**
**£**
**7,689**
**319,569**
**327,258**
**2021**
**£**
**319,569**
**2021**
**£**
**10,377**
**187**
**10,564**|2020
£
14
316,092|2020
£
14
316,092|
|---|---|---|---|
|||316,106||
|||2020
£
316,092||
||||2020
£
10,794
1,065|
||||11,859|
## **4. INVESTMENT INCOME**
continued...
16
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **5. INCOME FROM CHARITABLE ACTIVITIES**
|**2021**
Productions
and
touring
**£**
Box office and performance income
**4,712**
Consultancy and other fees
**100**
Sundry sales
**8**
Grants
**53,000**
Sponsorship
**500**
Recharge of production wages to TNN
**-**
Recharge of admin wages to TNN
**-**
Recharge of rehearsal space to TNN
**-**
Royalties received
**52**
**58,372**|2020
Total
activities
£
**-**
**435**
**42**
**123,900**
**2,000**
**16,804**
**1,410**
**1,800**
**-**
**146,391**|
|---|---|
Income from charitable activities was £58,372 (2020; £146,391) of which £53,000 (2020; £123,900) was attributable to restricted funds and £5,372 (2020; £22,491) was attributable to unrestricted funds.
Grants received, included in the above, are as follows:
|Arts Council of Wales
Arts & Business Cymru
Colwinston Trust
PRS Foundation
Hodge Foundation
The British Council
Leche Trust
**OTHER INCOME**
Theatre tax credit
Insurance claims
Welsh Government COVID Support||**2021**
**£**
**45,000**
**1,000**
**-**
**-**
**5,000**
**-**
**2,000**
**53,000**
**2021**
**£**
**22,356**
**900**
**25,000**
**48,256**|2020
£
97,500
1,000
10,000
8,400
5,000
2,000
-|2020
£
97,500
1,000
10,000
8,400
5,000
2,000
-|
|---|---|---|---|---|
||||123,900||
|||||2020
£
-
-
-|
|||||-|
## **6. OTHER INCOME**
continued...
17
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **7. RAISING FUNDS**
## **Raising donations and legacies**
||**Raising donations and legacies**||||
|---|---|---|---|---|
||||**2021**|2020|
||||**£**|£|
||Staff costs||**25,010**|39,522|
||Publicity and advertising||**1,872**|1,103|
||||**26,882**|40,625|
|**8.**|**CHARITABLE ACTIVITIES COSTS**||||
|||Direct|Support||
|||Costs (see|costs (see||
|||note 9)|note 10)|Totals|
|||£|£|£|
||Productions and touring|**302,619**|**115,022**|**417,641**|
£53,000 (2020; £123,900) of the above costs were attributable to restricted funds, £364,639 (2020; £257,701) of the above costs were attributable to unrestricted funds.
## **9. DIRECT COSTS OF CHARITABLE ACTIVITIES**
|Staff costs
Production costs
Motor running expenses
Subsistence and touring expenses
Net productions costs met by charity
App development and hosting|**2021**
**£**
**49,579**
**248,111**
**2,532**
**33**
**-**
**2,364**
**302,619**|2020
£
49,919
5,218
2,132
2,793
206,621
6,200|
|---|---|---|
|||272,883|
continued...
18
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **10. SUPPORT COSTS**
|Production
Governance
management
costs
£
£
Productions and touring
**66,039**
**48,983**
Support costs, included in the above, are as follows:
**Production management**
**2021**
Productions
and
touring
**£**
Wages
**50,135**
Social security
**2,273**
Pensions
**1,952**
Other operating leases
**242**
Water rates
**50**
Insurance
**2,567**
Light and heat
**393**
Telephone
**721**
Postage and stationery
**523**
Repairs and renewals
**2,333**
Cleaning
**887**
Affiliation fees
**1,792**
Depreciation of tangible and heritage assets
**2,171**
**66,039**
**Governance costs**
**2021**
Productions
and
touring
**£**
Wages
**11,815**
Social security
**770**
Pensions
**591**
Independent examiners remuneration
**4,750**
Independent examiners remuneration for
other work
**7,450**
Other operating leases
**564**
Water rates
**76**
Insurance
**5,991**
Light and heat
**588**
Telephone
**1,683**
Carried forward
**34,278**|Totals
£
**115,022**
2020
Total
activities
£
**42,103**
**2,719**
**2,071**
**257**
**77**
**2,494**
**856**
**786**
**436**
**2,575**
**1,600**
**1,978**
**2,164**
**60,116**
2020
Total
activities
£
**11,815**
**948**
**591**
**4,610**
**5,590**
**599**
**115**
**5,819**
**1,283**
**1,835**
**33,205**|
|---|---|
continued...
19
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **10. SUPPORT COSTS - continued**
## **Governance costs - continued**
||**2021**|2020|
|---|---|---|
||Productions||
||and|Total|
||touring|activities|
||**£**|£|
|Brought forward|**34,278**|**33,205**|
|Postage and stationery|**1,220**|**1,018**|
|Sundry expenses|**1,951**|**2,374**|
|Repairs and renewals|**3,499**|**3,862**|
|Cleaning|**1,331**|**2,399**|
|Staff training|**1,888**|**1,804**|
|Legal and professional fees|**690**|**13**|
|Depreciation of tangible fixed assets|**3,800**|**3,784**|
|Bank charges|**326**|**143**|
||**48,983**|**48,602**|
## **11.**
## **NET INCOME/(EXPENDITURE)**
Net income/(expenditure) is stated after charging/(crediting):
||**2021**|2020|
|---|---|---|
||**£**|£|
|Examination of the financial statements|**4,750**|4,610|
|Other services|**7,450**|5,590|
|Depreciation - owned assets|**5,971**|5,948|
|Other operating leases|**806**|856|
## **12. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 March 2021 nor for the year ended 31 March 2020.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 March 2021 nor for the year ended 31 March 2020.
continued...
20
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **13. STAFF COSTS**
The average monthly number of employees during the year was as follows:
|Productions and touring
Marketing and publicity
Administration and management|**2021**
**2**
**1**
**2**
**5**|2020
3
1
2|
|---|---|---|
|||6|
No employees received emoluments in excess of £60,000.
The total employee benefits of the key management personnel of the charity were £40,702 (2020; £40,702).
## **14. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|Unrestricted
Restricted
fund
fund
£
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
316,106
-
**Charitable activities**
Productions and touring
22,491
123,900
Investment income
11,859
-
**Total**
350,456
123,900
**EXPENDITURE ON**
Raising funds
40,625
-
**Charitable activities**
Productions and touring
257,701
123,900
**Total**
298,326
123,900
**NET INCOME**
52,130
-
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
414,778
-
**TOTAL FUNDS CARRIED FORWARD**
466,908
-|Total
funds
£
316,106
146,391
11,859|
|---|---|
||474,356
40,625
381,601|
||422,226|
||52,130
414,778|
||466,908|
continued...
21
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **15. INDEPENDENT EXAMINERS REMUNERATION**
||2021|2020|
|---|---|---|
||£|£|
|Examination of the financial statements|4,750|4,610|
|Other services|7,450|5,590|
||||
||12,200|10,200|
||||
## **16. TANGIBLE FIXED ASSETS**
|**COST**
At 1 April 2020
Additions
At 31 March 2021
**DEPRECIATION**
At 1 April 2020
Charge for year
At 31 March 2021
**NET BOOK VALUE**
At 31 March 2021
At 31 March 2020|Freehold
Plant and
property
machinery
£
£
**189,611**
**88,697**
**-**
**-**
**189,611**
**88,697**
**83,568**
**84,557**
**3,794**
**2,045**
**87,362**
**86,602**
**102,249**
**2,095**
106,043
4,140|Fixtures
and
fittings
£
**47,706**
**152**
**47,858**
**47,195**
**132**
**47,327**
**531**
511|Motor
vehicles
£
**26,735**
**-**
**26,735**
**26,735**
**-**
**26,735**
**-**
-|Totals
£
**352,749**
**152**|
|---|---|---|---|---|
|||||**352,901**|
|||||**242,055**
**5,971**|
|||||**248,026**|
|||||**104,875**|
|||||110,694|
A legal charge held by the Arts Council of Wales in relation to the freehold property expires 5 November 2027.
## **17. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**|||
|---|---|---|
|Trade debtors
Amounts owed by participating interests
Theatre tax credit receivable
VAT
Prepayments|**2021**
**£**
**1,838**
**-**
**22,356**
**1,418**
**1,071**
**26,683**|2020
£
222
54,039
-
1,893
1,332|
|||57,486|
continued...
22
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **18. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Trade creditors
Social security and other taxes
Other creditors
Accrued expenses
Deferred government grants|**2021**
**£**
**5,333**
**2,885**
**214**
**11,921**
**5,000**
**25,353**|2020
£
2,085
2,736
183
7,199
22,500|
|---|---|---|
|||34,703|
## **19. LEASING AGREEMENTS**
Minimum lease payments under non-cancellable operating leases fall due as follows:
|Within one year
**20.**
**MOVEMENT IN FUNDS**
**Unrestricted funds**
General fund
**TOTAL FUNDS**
Net movement in funds, included in the above are as follows:
**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|**2021**
2020
**£**
£
**720**
720
Net
movement
At
At 1.4.20
in funds
31.3.21
£
£
£
**466,908**
**(73)**
**466,835**
**466,908**
**(73)**
**466,835**
Incoming
Resources
Movement
resources
expended
in funds
£
£
£
**391,450**
**(391,523)**
**(73)**
**53,000**
**(53,000)**
**-**
**444,450**
**(444,523)**
**(73)**|
|---|---|
continued...
23
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **20. MOVEMENT IN FUNDS - continued**
## **Comparatives for movement in funds**
|||Net||
|---|---|---|---|
|||movement|At|
||At 1.4.19|in funds|31.3.20|
||£|£|£|
|**Unrestricted funds**||||
|General fund|414,778|52,130|466,908|
|**TOTAL FUNDS**|414,778|52,130|466,908|
|Comparative net movement in funds, included in the above are as follows:||||
||Incoming|Resources|Movement|
||resources|expended|in funds|
||£|£|£|
|**Unrestricted funds**||||
|General fund|350,456|(298,326)|52,130|
|**Restricted funds**||||
|Restricted|123,900|(123,900)|-|
|**TOTAL FUNDS**|474,356|(422,226)|52,130|
|A current year 12 months and prior year 12 months combined position is as follows:||||
|||Net||
|||movement|At|
||At 1.4.19|in funds|31.3.21|
||£|£|£|
|**Unrestricted funds**||||
|General fund|414,778|52,057|466,835|
|**TOTAL FUNDS**|414,778|52,057|466,835|
continued...
24
**THEATR NA NÓG**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **20. MOVEMENT IN FUNDS - continued**
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|Incoming
Resources
Movement
resources
expended
in funds
£
£
£
741,906
(689,849)
52,057
176,900
(176,900)
-
918,806
(866,749)
52,057|
|---|---|
## **21. EMPLOYEE BENEFIT OBLIGATIONS**
The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in independently administered funds. The pension costs charge represents contributions payable by the charity to those funds and amounted to £5,822 (2020; £6,619).
## **22. RELATED PARTY DISCLOSURES**
## **EFGHEL Limited**
A company wholly owned by Eric Styles who is the husband of Geinor Styles, company secretary and employee of the charity.
During the year EFGHEL Limited provided the following services to the charity:
||2021|2020|
|---|---|---|
||£|£|
|Reimbursement of iphone use|600|600|
|Computer support|225|1,125|
||||
||825|1,725|
||||
The balance outstanding at the balance sheet date was £nil (2020; £420).
continued...
25
**THEATR NA NÓG**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2021**
## **23. INVESTMENT IN SUBSIDIARY**
Up until 31 March 2020, Theatr na nÓg used its trading subsidiary, Cynhyrchiadau TNN Productions Limited, to produce its theatre shows. The company was originally formed in 2015 as a vehicle to enable the charity to claim theatre tax relief credits from HMRC.
As part of a streamlining process, Theatr na nÓg closed the company with all activities then undertaken by the charity, including the claim of theatre tax relief credits.
These accounts for the year ended 31 March 2021 now contain all income and costs relating to the productions put on during the year with no direct comparative for the previous year.
The outstanding balance held in debtors of £54,039 at 31 March 2020 was received in full, prior to commencing the strike off of the company from Companies House.
## **24. LIMITED BY GUARANTEE**
The charity is constituted as a company limited by guarantee and does not have a share capital. Each member gives a guarantee to contribute a sum not exceeding £1, to the company should it be wound up.
26