Company Registration No. 01215037 (England and Wales) Registered charity number: 801026
THE ARAB BRITISH CENTRE (A not for profit company limited by guarantee)
DIRECTORS' AND TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022
CHANTER, BROWNE & CURRY
Chartered Accountants
1 Plato Place 72-74 St Dionis Road London SW6 4TU.
THE ARAB BRITISH CENTRE
CONTENTS
| Page | |
|---|---|
| Report of the trustees and directors | 1 - 10 |
| Report of the independent auditors | 11 - 13 |
| Statement of financial activities | 14 |
| Balance sheet | 15 |
| Notes to the financial statements | 16 - 23 |
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022
The trustees who are also directors of the charity for the purposes of the Companies Act, present their report and the financial statements for the year ended 31 December 2022 which are also prepared to meet the requirements for a directors' report and accounts for Companies Act purposes.
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 (FRS 102) (second edition - October 2019) - (Charity SORP (FRS 102) Revised).
Objectives and Activities
The charity's objects are to advance the education of the British public in the culture, art, science, religion, economy and contemporary history of the Arab world including by providing and maintaining a centre (hereafter referred to as "The Centre") for the dissemination of such information.
The charity owns and maintains a six-storey property at 1 Gough Square, off Fleet Street in central London, which houses The Centre. A number of organisations having objects similar to the The Arab British Centre are housed at The Centre, and contribute towards the costs related to the office space they occupy and the facilities they use.
The Arab British Centre has a specialised library - mainly in English - about the history, politics, arts and culture of the Arab world. The library has been compiled over many years and includes an extensive collection of Arabic fiction titles in English translation as well as essential out of print books rarely available elsewhere. The library is a public borrowing library.
The charity organises and promotes Arab-related arts and cultural events in the UK. It hosts a regular programme of activities including Arabic language courses, Arabic calligraphy and oud music courses. The Centre houses permanent and temporary collections of contemporary art inspired by the Arab world and recognises individuals and organisations working in similar fields through its Award for Culture. In addition to the charity’s regular on-site activities, it has produced a number of one-off projects in external locations and supports other organisations through its grants programme.
In planning its activities for the year, the charity's trustees have considered the Charity Commission's general guidance on public benefit.
Achievements and Performance
The Arab British Centre has been expanding its programme reach throughout the United Kingdom and supporting Arab artists and organizations based in both the UK and the Arab world. The focus this year has been on the Safar Film festival, which is celebrating its ten-year anniversary and has undergone expansion and rebranding. In response to the festival's popularity, Safar has become an annual festival and has expanded to reach wider audiences across several cities in the UK.
Page 1
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Achievements and Performance (continued)
25 Jan – 21 March Memory Box
At the beginning of the year, we partnered with Modern Films to support the UK release of Memory Box, a critically acclaimed new film by artist/filmmaker duo Joana Hadjithomas and Khalil Joreige. The film was screened online through our virtual screening room between 25th January and 21st March. An online Q&A about the making of the film was also available to view on our Youtube channel.
16 Feb Cartoon Workshop
Intellectual and Power was a free online workshop by Jordanian/British cartoonist and social media activist Omar Al Abdallat. The artists shared his creative journey, samples of his work, and why he decided to use art for social change. The session focused on creative thinking and potentials for problem-solving and seeing new perspectives. It concluded with an interactive cartooning exercise and a Q&A.
1-17 July SAFAR Film Festival
Founded in 2012 by the Arab British Centre, the SAFAR Film Festival is the largest festival in the UK dedicated to presenting cinema from across the Arab world. The 2022 edition was an important milestone for the festival, as SAFAR celebrated its 10 year anniversary, became an annual vs biannual programme and, for the first time, expanded to screen in 7 other UK cities alongside its flagship London festival. The festival also underwent a full visual rebranding and launched its first mentoring scheme for young programmers.
Curated by Rabih El-Khoury, the 2022 theme, The Stories We Tell in Arab Cinema, invited audiences to go back to the very essence of filmmaking: storytelling. Featuring UK premieres, new releases and classics, the film selection explores the devices used by Arab filmmakers to push cinematic boundaries, reclaim overlooked histories, and present new perspectives to audiences both at home and abroad. It saw controversial characters run amok and experimentations in form blend the traditional with the radical. Period pieces brought colonial traumas to the global stage and social issues were inspected through surreal and fantastical lenses.
SAFAR Film Festival: The Stories We Tell In Arab Cinema ran from 1-17 July 2022 with screenings in London, Coventry, Cardiff, Glasgow, Hull, Liverpool, Manchester, and Plymouth, making it the largest edition to date. More films were also available to watch by donation on the SAFAR website.
The festival underwent a total graphical rebranding. After celebrating its 10 years anniversary Safar paid homage to the past with a new typographic concept influenced by retro Arab film posters. Moreover the festival’s expansion into 8 UK cities reinforced the importance of the rebranding in order to cement and highlight this growth and change.
Page 2
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Achievements and Performance (continued)
SAFAR Engagement Programme
Arab Film Development workshop:
In collaboration with the SAFAR Film Festival, Palestinian filmmaker Saeed Taji Farouky led a free two-day project development workshop for six early-career Arab filmmakers. During the workshop, they discussed each project in detail and developed the film’s themes, characters, and narrative. They investigated creative storytelling, as well the practicalities of getting a film made and released. This was the 4th edition of the Arab Film Development Workshop which has since 2018 welcomed 23 early filmmakers.
SAFAR Futures:
SAFAR Futures was our new mentorship programme for early-career Arab film programmers. Three enthusiastic film programmers, Alaa Nouasri, Theo Papagopoulos and Imane Lamine worked together to create an event for the 2022 SAFAR Film Festival. Over 3 months, they devised a programme and ran the event at the Barbican during, taking ownership of it from start to finish. They received guidance from and worked alongside the core festival team and benefited from 3 dedicated mentoring sessions with external film industry specialists. The SAFAR Futures programmers created an open call and put on the SAFAR Futures: Shorts Programme. It was one of the most popular events of the festival with a sold-out screening, with huge social media reach and rave reviews.
SAFAR In Numbers:
Opening Reception Attendees: 150+
London screening attendees: 1199
Regional screening attendees: 538
Total audience number: 1737
27 Countries Represented of which 17 were Arab.
Arab countries represented:
Egypt, Lebanon, Saudia Arabia, Jordan, Morocco, Mauritania, Algeria, Syria, Palestine, Qatar, Somalia, Yemen, United Arab Emirates, Iraq, Kuwait, Libya, Tunisia.
Film Programme – The Stories We Tell in Arab Cinema
Total number of film screenings: 37 Accessible films: 2 Total number of films: 17 Total number of online films: 4
Feathers - Omar El Zohairy France, Egypt, The Netherlands, Greece 2021 | 112’ | Drama
The Gravedigger’s Wife - Khadar Ayderus Ahmed Finland, Germany, France 2021 | 82’ | Feature Fiction
Miguel’s War - Lebanon, Germany, Spain 2021 | 128’ | Hybrid documentary
Becoming - Sara Mesfer, Jawaher Alamri, Noor Alameer, Hind Alfahhad, Fatima Al-Banawi Saudi Arabia 2020 | 70’ | Feature Fiction
Page 3
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Achievements and Performance (continued)
Farha - Darin J. Sallam Jordan, Sweden, KSA 2021 | 92’ | Feature Fiction
Shall I Compare You To A Summer’s Day? - Mohammad Shawky Hassan Egypt, Lebanon Germany 2022 | 66’ | Drama, Musical
Life Suits Me Well - Al Hadi Ulad Mohand Morocco 2021 | 99’ | Feature Fiction
Waiting For Happiness - Abderrahmane Sissako Mauritania, France 2002 | 95’ | Drama, Music
Mariner Of The Mountains - Karim Aïnouz Brazil, France, Germany 2021 | 98’ | Feature Documentary
Our Memory Belongs To Us - Rami Farah Denmark, France, Syrian Arab Republic 2021 | 90’ | Documentary Death Of A Virgin And The Sin Of Not Living - George Peter Barbari Lebanon 2021 | 86’ | Comedy Drama Heliopolis - Djafar Gacem Algeria 2021 | 115’| Feature Fiction
A Tale Of Love And Desire - Leyla Bouzid France 2020 | 103’| Feature Fiction
The Alleys - Bassel Ghandour JO/EG/SA/QA 2021 | 118’ | Feature Fiction
Fertile Memory - Michel Khleifi Palestine, /BE/DE 1980 | 99’ | Feature Documentary
Shorts Programme:
Will My Parents Come To See Me Mo Harawe - Somalia, Austria, Germany 2022 | 28’ | Short Fiction
And Then They Burned The Sea - Majid Al-Remaihi Qatar 2021 | 13’ | Short Personal Documentary Warsha - Dania Bdeir France, Lebanon 2022 | 15’ | Short Fiction
Night - Ahmad Saleh Germany, Qatar, Palestine, Jordan 2021 | 15’ | Short Fiction
Don’t Get Too Comfortable - Shaima Al-Tamimi YE/QT/AE/US/NL 2021 | 9’ | Short Documentary
Trumpets In The Sky - Rakan Mayasi BE/FR/LB/PS 2021 | 15’ | Short Fiction
SAFAR Futures – Shorts Programme:
Walkout 1 by Reman Sadani | 22’ | 2020 Go Home by Razan Madhoon 14’ | 2021 Yuluu by Fatima Kried 3’ | 2020 The Season of Burning Things by Gouled Ahmed and Asmaa Jama 9’ | 2021 Drought by Remi Itani 15’ | 2020 Born in Damascus by Laura Wadha 15’ | 2021 Blossom by Ikram Ahmed and Ala Agrebi 16’ | 2021
Online Programme
Baba – Sam Arbor and Adam Ali 2021 | 17’ | FICTION | UK
Europa – Hydar Rachid 2021 | 82’ | FICTION |IQ / KW / IT
Captains of Zaatari – Ali El Arabi 2021 | 73’ | DOCUMENTARY |EG
Scales – Shahad Ameen 2020 | 74’ | FICTION KSA/ UAE IQ
Page 4
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Achievements and Performance (continued)
Additional Events: 2
Postcolonial Storytelling in Algeria – Poet Habib Tengour, Co translators Will Harris and Delaina Haslam.
Arab Stories In Film: From Idea To Audience – Saeed Taji Farouki, Darin J Sallam, Sara Mesfer, Hind AlFahhad, Butheina Kazim.
Q&As with Film Makers
Total number of Q&A screenings: 13 Total number of guests: 18 Total number of international guests: 7
UK Premiere Farha - Darin J Sallam
UK Premiere Becoming - Sara Mesfer, Hind Alfahhad chaired by Butheina Kazim
The Alleys - Bassel Ghandour chaired by Saeed Taji Farouky
UK Premiere Shall I Compare You To A Summer’s Day? - Mohammed Shawky Hassan
Miguel’s War - Eliane Raheb
SAFAR Futures Shorts Programme: Imane Lamime, Alaa Nouasri, Theo Panagopoulos
Walkout 1 - Reman Sadani
Go Home - Razan Madhoon
Yuluu - Fatima Kried
The Season of Burning Things - Asmaa Jama
Born in Damascus - Laura Wadha
Blossom - Ikram Ahmed
UK Premieres: 5
Farha
Feathers
Becoming
Life Suits Me Well
Shall I Compare You To A Summer’s Day?
22 Sept – 4 Oct The Imaginarium Postcard Project
This was a partnership with the Imaginarium Postcard Project which was created and set up by artist, writer and art historian Salma Ahmad Caller in 2018 to investigate the archive of colonial 19th century images of women on postcards from the Middle East and North Africa whilst also exploring her mixed Egyptian and British identity. The project grew into a collective of artists and researchers working together to dig into their own personal family histories across ‘east’ and ‘west’ whilst making connections and relationships to the Postcard Women from these regions.
Page 5
THE ARAB BRITISH CENTRE REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Achievements and Performance (continued)
As a group they created cross-cultural dialogue combating misinformation and racial stereotyping that such images perpetuate, by bringing cultural heritage and personal stories to the fore.
The six members of the collective – living with cultural connections and cross-cultural dualities resulting from colonial and political aftermaths from Egypt/UK, Iran/UK, Libya/US, Tunisia/France, Spain/Morocco, and Algeria/UK/France are: Salma Ahmad Caller, Afsoon, Hala Ghellali, Alia Derouiche Cherif, CritTeam duo Eugenia Lopez Reus & Miguel Jaime and Hamida Zourgui – exhibited their work at the Camden Image Gallery from September 22nd – October 4th 2022.
On 15th September, we organized a Bring and Tell session at The Arab British Centre, inviting participants to join artist curator Salma Ahmad Caller and artists Afsoon and Hamida Zourgui to a friendly evening of discussions and sharing, talking about heritage, identity and belonging. The 30 attendees were encouraged to bring old photographs, family photographs, heritage items, dresses and jewellery to share their stories and memories.
8 Nov – Open Call for Kheit
With the support of the Hands On Islamic Art grant through the Barakat Trust, we launched an open call to select 8 participants to join artist British Lebanese textile artist Nour Hage in a series of 5 workshops to cocreate a textile artwork inspired by Leighton House’s Arab Hall and their newly acquired textile collection. The resulting artwork are to be displayed as part of Kheit, an exhibition exploring the threads connecting Britain and the Arab world in the 19th and early 20th Centuries at Leighton House from April – July 2023.
Participants were also given the opportunity to shape the curation of the exhibition through contributing to texts, digital display and event ideas.
Courses
Throughout the year, the Arab British Centre continued to run its courses in Arabic Language with tutor Ibrahim Othman, Arab Music Theory, Oud and Darbuka with the Taqasim Music School, Calligraphy with Joumana Medlej and History of Islamic Carpets with Roberta Marin. Courses ran online as well as in person at the centre. Student registration totalled 150 for all courses combined.
Residents
One of the Arab British Centre’s founding mission is to support like-minded organisations and individuals working in Arab culture. Over the past 40 years, the Centre has supported more than thirty resident organisations by providing subsidised workspace. The residents contribute to quarterly service charges to support building maintenance costs.
In 2022 the Arab British Centre supported the following organisations and individuals: The Council for Arab British Understanding (CAABU), The Centre for Transnational Development and Collaboration (CTDC), The Friends of Edward Said Foundation (Pal Music), Shubbak Festival, Zaytoun, The Barakat Trust and Iraqi filmmaker Ashtar Al Khirsan. We also welcomed three new resident organisations: The Friends of Birzeit University (Fobzu), British Palestine Committee and Hoping Foundation. In addition, the Centre hosts the following associate residents: BANIPAL Magazine, The Saudi British Society, The British Tunisian Society and The Arab Puppet Theatre.
Financial Review
The attached financial statements summarise the charity's transactions for the year ended 31 December 2022. Total funds for the year show a deficit of expenditure over income of £127,091. Adding the loss on the investments of £161,466 gives a total deficit for the year of £288,557. Total funds at 31 December 2022 amounted to £2,374,771, comprising £15,024 unrestricted income funds, and £2,359,747 endowment funds.
Page 6
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Principal funding sources
The charity's principal sources of funding are:-
(1) Charges for classes run by the charity:
(2) Contributions from resident organisations to the running costs of the Arab British Centre;
- (3) Sponsorship and donations;
(4) Income from endowment funds and bank balances, including bank interest, dividends and interest on investments;
(5) Capital growth in investments.
Investment policy
Under the Memorandum and Articles of Association, the charity has the power to make any investment which the trustees see fit. The trustees have considered the most appropriate policy for investing funds. The charity has investments with Investec Wealth & Investment. The remainder of the charity's funds are held on bank deposit. The performance of the investments during the year has been satisfactory.
Reserves policy
The trustees have reviewed the charity's needs for reserves in line with the guidance issued by the Charity Commission.
The expendable endowment fund is a restricted capital fund which is held to ensure the long-term survival of the charity, with the Centre as a physical hub for those working to promote understanding of the Arab world and its culture.
Transfers from expendable endowment fund are made to income funds at the discretion of the trustees. The trustees aim only to make transfers to income funds sufficient to cover the running costs of the Centre for the forthcoming quarter.
The charity is hoping to continue to build on its success in increasing the range of events and other activities with which it is involved. The charity’s policy is to organise events and activities which meet the following criteria:-
1) Their direct costs are fully or substantially paid for out of sponsorship, donations or receipts; and 2) A risk assessment is carried out to ensure that any anticipated deficit on the event or activity is fully affordable out of the income fund.
Plans for future periods
The charity adapted effectively to the challenges posed by the Covid-19 pandemic. Throughout 2021 and 2022, we maintained our programme activities and courses, transitioning them online or to a hybrid format, and when Covid restrictions permitted, returned to in-person events and courses. We also provided essential support to Centre residents.
The Board has been vigilant in monitoring the evolving impacts of the pandemic and subsequent events. Our business plan for 2022 – 2023 was established to define our priorities and counteract any negative repercussions. In 2022, we prioritized expanding the reach of the SAFAR Film Festival and bolstering the Arab Britain programme, and we are committed to continuing to build our audiences across the UK for both programmes.
The trustees have been actively running courses and events both online and in-person. Furthermore, we have intensified our fundraising initiatives, especially targeting trusts, foundations, and sources of unrestricted income. As we move forward into 2023, we remain committed to adapting and innovating in response to the changing landscape, ensuring the charity's continued growth and impact.
Page 7
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022
Reference and administrative details
| Registered charity number | 801026 |
|---|---|
| Company number | 1215037 |
| Registered office and | 1 Gough Square |
| principal place of business | London |
| EC4A 3DE. | |
| Our advisers | |
| Auditors | Chanter, Browne & Curry |
| Chartered Accountants | |
| 1 Plato Place | |
| 72-74 St Dionis Road | |
| London SW6 4TU. | |
| Bankers | Santander |
| Business Banking Centre | |
| Clarence House, Clarence Place | |
| Newport, Gwent NP19 7UP. | |
| Solicitors | Russell-Cooke LLP |
| 2 Putney Hill | |
| London SW15 6AB. | |
| Investment fund managers | Investec Wealth & Investment Limited |
Directors and trustees
The directors of the charitable company (the charity) are its trustees for the purpose of charity law. The trustees and officers serving during the year and since the year end were as follows:
Sir Derek Plumbly KCMG (Chairman) Mr Saeed Taji Farouky Ms Randa Adel Ashmawi Mr Haroun Al-Mishwit Mrs Elizabeth Moriarty Mr Maher Maksoud Ms Fionnuala Rogers
Company Secretary
Mrs Nadia El-Sebai
Page 8
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Structure, Governance and Management
Governing document
The Arab British Centre is a charitable company limited by guarantee, incorporated on 5 June 1975 and registered as a charity on 17 February 1989. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. By a written resolution dated 28 June 2011, the trustees adopted new Articles of Association in order to reflect current legislation including the Companies Act 2006. In the event of the company being wound up members are required to contribute an amount not exceeding £1.
Recruitment and appointment of the Council
The directors of the company are also charity trustees for the purpose of charity law and under the company's Articles are known as members of the Council. Under the requirements of the Articles of Association, the first board meeting of each calendar year shall be known as the retirement board meeting. At the third retirement board meeting since their last appointment, a trustee shall retire. They shall be eligible for re-appointment if they have served less than six years in office. A trustee who has served six or more years in office at the relevant retirement board meeting must retire and cannot be re-appointed until they have had a period of at least two years out of office, unless on the recommendation of the majority of the board the trustee is reappointed for one further consecutive term of duration to be determined by the trustees.
Unless otherwise determined by a General Meeting, the number of the members of the Council shall not be less than five nor more than twelve. Currently the only members of the charity are the members of the Council.
The Council seeks to ensure that only persons with an interest and knowledge of the Arab world are appointed as trustees. Extensive measures are in place to ensure that only trustworthy persons are appointed. These include taking up references and carrying out due diligence checks.
Trustee induction
The trustees receive documents relating to the rules and obligations of trustees as set out by the Charity Commission.
Organisational structure
The Arab British Centre has a Council of between 5 and 12 members who meet six times per year and are responsible for the strategic direction and policy of the charity. At present the Council has seven members from a variety of backgrounds relevant to the work of the charity.
Risk management
The trustees actively review the major risks which the charity faces on a regular basis, especially now that the charity is seeking to expand its range of activities. The trustees believe that by ensuring that the investment funds are restricted to expenditure on the charity's core function of operating and maintaining The Centre, in line with the wishes of the original fund donors, adequate resources will be available to secure the charity's long term survival.
The trustees have also examined other operational and business risks faced by the charity and confirm that they have established systems to mitigate the significant risks.
Page 9
THE ARAB BRITISH CENTRE
REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Responsibilities of the Council
Company law requires the Council to prepare financial statements for each financial year. Under that law the Council have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Council must not approve the financial statements unless the trustees are satisfied that the financial statements give a true and fair view of the financial activities of the charity and of its financial position at the end of the year. In preparing these financial statements, the Council are required to:-
-
select suitable accounting policies and then apply them consistently;
-
make judgements and estimates that are reasonable and prudent;
-
state whether applicable 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 charity will continue in operation.
The Council is responsible for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006.
The Council is also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Auditors
A resolution proposing that Chanter, Browne & Curry be re-appointed as the charity's auditors, will be put to the Annual General Meeting.
Statement of Disclosure of Information to Auditors
As far as each of the trustees are aware, there is no relevant audit information of which the charity's auditors are unaware, and each trustee has taken all the steps that ought to have been taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the charity's auditors are aware of that information.
Small company exemption
These accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
This report was approved by the board of directors and trustees on 27 September 2023 and is signed on its behalf.
……………………………………… Sir Derek Plumbly KCMG Chairman
Page 10
THE ARAB BRITISH CENTRE REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE ARAB BRITISH CENTRE
Opinion
We have audited the financial statements of The Arab British Centre ("the charitable company") for the year ended 31 December 2022 which comprise the statement of financial activities, the balance sheet and notes to the financial statements, including a summary of significant accounting policies. The financial 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 charitable company's affairs as at 31 December 2022 and of its 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.
Basis for opinion
We conducted our audit in accordance with International Standards for Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the 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 the provisions available for small entities, in the circumstances set out in note 18 to the financial statements, 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 director's 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 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 directors with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the annual report. 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.
Page 11
THE ARAB BRITISH CENTRE
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE ARAB BRITISH CENTRE (CONTINUED)
Opinion on other matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
-
information given in the trustees' report, which includes the directors' report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
-
the directors' report included within the trustees' 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 company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
-
adequate accounting records have not been kept, or returns adequate for our audit have not been received
-
from branches not visited by us; or
-
the financial statements are not in agreement with the accounting records and returns; or
-
certain disclosures of trustees' 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' exemption in preparing the trustees' report and from the requirement to prepare a strategic report.
Responsibilities of trustees
As explained more fully in the statement "Responsibilities of the Council" set out on page 10, the trustees, who are also the directors of the charitable company for 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 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 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 company or to cease operations, or have no realistic alternative but to do so.
Our responsibilities for the audit of the financial statements
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 a Report of the Auditors 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. We obtain an understanding of the legal and regulatory frameworks that are applicable to the entity, having determined that the most significant are those that relate to the financial reporting framework SORP (FRS 102) revised, the Companies Act 2006 and the Charities Act 2011. We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion.
Page 12
THE ARAB BRITISH CENTRE REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE ARAB BRITISH CENTRE (CONTINUED)
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 noncompliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.
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. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' 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, for our audit work, for this report, or for the opinions we have formed.
...........................................................
Peter Browne (Senior Statutory Auditor) for and on behalf of Chanter, Browne & Curry 27 September 2023 Chartered Accountants Statutory Auditor
1 Plato Place 72-74 St Dionis Road London SW6 4TU.
Page 13
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022
THE ARAB BRITISH CENTRE
SUMMARY INCOME AND EXPENDITURE ACCOUNT
| Notes Income 1.4 Donations and grants 3 Charitable activities 4 Investments 5 Total incoming resources Expenditure 1.5 Raising funds Investment management costs 6 Charitable activities 6 Total expenditure Net income/(expenditure) before gains/(losses) on investments Gains/(losses) on investments 7 Net income/(expenditure) Transfers Transfers between funds Net movement in funds for the year Reconciliation of funds Total funds brought forward Total funds carried forward |
Unrestricted funds £ 15,684 103,159 21 |
2022 Restricted income funds Endowment funds £ £ 94,916 - - - - 78,604 |
2022 Restricted income funds Endowment funds £ £ 94,916 - - - - 78,604 |
Total funds £ 110,600 103,159 78,625 |
2021 Total funds £ 68,001 125,035 86,632 |
|---|---|---|---|---|---|
| 118,864 | 94,916 | 78,604 | 292,384 | 279,668 | |
| - 285,496 |
- 111,547 |
15,989 6,443 |
15,989 403,486 |
16,074 305,940 |
|
| 285,496 | 111,547 | 22,432 | 419,475 | 322,014 | |
| (166,632) - |
(16,631) - |
56,172 (161,466) |
(127,091) (161,466) |
(42,346) 181,342 |
|
| (166,632) 153,369 |
(16,631) 16,631 |
(105,294) (170,000) |
(288,557) - |
138,996 - |
|
| (13,263) 28,287 |
- - |
(275,294) 2,635,041 |
(288,557) 2,663,328 |
138,996 2,524,332 |
|
| 15,024 | - | 2,359,747 | 2,374,771 | 2,663,328 |
The Statement of Financial Activities includes all gains and losses in the year. All incoming resources and resources expended derive from continuing activities.
Page 14
THE ARAB BRITISH CENTRE
BALANCE SHEET AT 31 DECEMBER 2022
| Notes Fixed assets Tangible assets 9 Investments 10 Current assets Debtors 11 Cash at bank and in hand Creditors:amounts falling due within one year 12 Net current assets Net assets Funds of the charity Endowment funds 14, 15 Unrestricted funds 14, 15 Total charity funds |
£ £ 846,923 1,495,556 2,342,479 3,480 77,499 80,979 48,687 32,292 2,374,771 2,359,747 15,024 2,374,771 Total funds 2022 |
£ £ 846,923 1,495,556 2,342,479 3,480 77,499 80,979 48,687 32,292 2,374,771 2,359,747 15,024 2,374,771 Total funds 2022 |
£ £ 852,025 1,684,475 2,536,500 4,496 168,000 172,496 45,668 126,828 2,663,328 2,635,041 28,287 2,663,328 Total funds 2021 |
£ £ 852,025 1,684,475 2,536,500 4,496 168,000 172,496 45,668 126,828 2,663,328 2,635,041 28,287 2,663,328 Total funds 2021 |
|---|---|---|---|---|
| 2,342,479 | 2,536,500 | |||
| 32,292 | 126,828 | |||
| 80,979 48,687 |
||||
| 2,374,771 | 2,663,328 | |||
| 2,359,747 15,024 |
2,635,041 28,287 |
|||
| 2,374,771 | 2,663,328 |
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and trustees on 27 September 2023.
……………………………..
Sir Derek Plumbly KCMG Chairman
Company Registration Number: 01215037
Page 15
THE ARAB BRITISH CENTRE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the year and in the preceding year, except where noted.
1.1 Basis of accounting
The Arab British Centre is a charitable company limited by guarantee registered in England and Wales and registered as a charity. It is governed under its Articles of Association.
The Financial Statements have been prepared in accordance with 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) (second edition - October 2019) - (Charity SORP (FRS 102) Revised), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The company meets the definition of a public benefit entity under FRS102.
The financial statements have been prepared under the historical cost convention as modified by the revaluation of listed investments.
1.2 Going concern
After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.
1.3 Fund accounting
The company has the following funds:-
(1) An expendable endowment. Transfers to income funds can be made at the discretion of the trustees.
(2) General unrestricted fund available for use at the discretion of the trustees in furtherance of the general objectives of the charity.
(3) Restricted income funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
1.4 Incoming resources
These are included in the Statement of Financial Activities when:-
-
the charity becomes entitled to the resources;
-
the trustees are virtually certain they will receive the resources; and
-
the monetary value can be measured with sufficient reliability.
Donations are recorded as income in the accounting period in which they are received, except where the donor specifies that they should be used for a specific
Investment income is included in the financial statements when receivable.
Page 16
THE ARAB BRITISH CENTRE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
1.5 Resources expended
Resources expended are included in the Statement of Financial Activities on an accruals basis, inclusive of any VAT which cannot be recovered.
Costs of generating funds comprise the investment fund's management charges.
Governance costs represents auditors' remuneration.
All other expenditure is included under charitable expenditure. It comprises the cost of operating the Centre.
1.6 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 on a straight line basis over the expected useful lives, as follows:-
Freehold building - 100 years Fixtures and fittings - 5 years Computers - 3 years
No depreciation is provided on freehold land.
A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of Financial Activities.
1.7 Investments
Fixed asset investments are revalued at mid-market value at the balance sheet date and the gain or loss on revaluation is taken to the Statement of Financial Activities.
1.8 Debtors
Debtors are recognised at the settlement amount due after any discount offered.
1.9 Creditors
Creditors 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 are normally recognised at their settlement amount.
2 Legal status
The charity is a private company limited by guarantee and has no share capital. The company is registered in England and Wales. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.
Page 17
THE ARAB BRITISH CENTRE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
3 Donations and grants received
| Donations and grants received | |||||
|---|---|---|---|---|---|
| Donations received Grants received Income from charitable activities Contributions from users Income from Arabic calligraphy classes Income from Arabic classes Income from music classes Income from Islamic Art and Architecture classes Income from events and functions Hire of boardroom Library memberships |
2022 | Total funds £ 2,550 108,050 110,600 Total funds £ 65,556 3,605 3,683 23,675 1,260 4,476 884 20 103,159 |
2021 | ||
| Unrestricted funds £ 2,550 13,134 |
Restricted income funds - 94,916 |
Endowment funds £ - - |
Total funds £ 960 67,041 |
||
| 15,684 | 94,916 | - | 68,001 | ||
| 2021 | |||||
| Unrestricted funds £ 65,556 3,605 3,683 23,675 1,260 4,476 884 20 |
Restricted income funds £ - - - - - - - - |
Endowment funds £ - - - - - - - - |
Total funds £ 59,639 6,910 24,338 22,692 7,020 4,426 - 10 |
||
| 103,159 | - | - | 125,035 |
4 Income from charitable activities
A number of organisations with similar objects to the charity, occupy the majority of the charity's property, and their presence is financially underwritten by the charity. The organisations contribute towards the costs related to the office space and facilities which they use.
5 Investment income
| Investment income | |||||
|---|---|---|---|---|---|
| Unrestricted funds £ Bank interest received 21 Dividends received from listed investments:- - UK investments - - overseas investments - Interest received from UK listed investments - 21 |
2022 | Total funds £ 21 78,422 - 182 78,625 |
2021 | ||
| Restricted income funds £ - - - - |
Endowment funds £ - 78,422 - 182 |
Total funds £ 6 86,626 - - |
|||
| 21 | - | 78,604 | 86,632 |
Page 18
THE ARAB BRITISH CENTRE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
6 Expenditure on charitable activities
| Costs of raising funds Investment management costs Charitable activities Cost of operation of the Centre:- Depreciation Repairs and maintenance Staff costs:- - gross wages and salaries - employers' NICs - pension contributions Office and other costs Events, festivals and functions Governance costs Auditors' remuneration |
2022 | 2022 | Total funds £ 15,989 7,114 14,988 166,738 13,552 9,514 67,973 117,607 397,486 6,000 403,486 |
2021 | |
|---|---|---|---|---|---|
| Unrestricted funds £ - |
Restricted income funds £ - |
Endowment funds £ 15,989 |
Total funds £ 16,074 |
||
| 671 14,988 152,130 12,837 9,514 56,828 32,528 |
- - 14,608 715 - 11,145 85,079 |
6,443 - - - - - |
6,443 17,623 130,450 8,938 6,889 57,431 72,646 |
||
| 279,496 6,000 |
111,547 - |
6,443 - |
300,420 5,520 |
||
| 285,496 | 111,547 | 6,443 | 305,940 |
No trustees received any remuneration. No trustees were reimbursed for expenses during the year.
No employee was paid more than £60,000 in the year. The average number of employees during the year was 4 (2021: 4).
The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension contributions charge represents contributions payable by the company to the fund.
7 Gains/(losses) on investments
| Gains/(losses) on investments | |||||
|---|---|---|---|---|---|
| Gains/(losses) on sale of investments Gains/(losses) on revaluation of investments |
2022 | Total funds £ 51,068 (212,534) (161,466) |
2021 | ||
| Unrestricted funds £ - - |
Restricted income funds £ - - |
Endowment funds £ 51,068 (212,534) |
Total funds £ 13,919 167,423 |
||
| - | - | (161,466) | 181,342 |
8 Taxation
As a charity, The Arab British Centre is exempt from tax on income and gains to the extent that these are applied to its charitable objects. No tax charges have arisen in the two years ended 31 December 2022.
Page 19
THE ARAB BRITISH CENTRE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
9 Tangible fixed assets
| Tangible fixed assets | ||||
|---|---|---|---|---|
| Cost At 1 January 2022 Additions Disposals At 31 December 2022 Depreciation At 1 January 2022 On disposals Charge for the year At 31 December 2022 Net book values At 31 December 2022 At 31 December 2021 |
Freehold land and buildings £ 1,288,633 - - |
Fixtures and fittings £ 11,867 - - |
Computers £ - 2,012 - |
Total £ 1,300,500 2,012 - |
| 1,288,633 | 11,867 | 2,012 | 1,302,512 | |
| 436,608 - 6,443 |
11,867 - - |
- - 671 |
448,475 - 7,114 |
|
| 443,051 | 11,867 | 671 | 455,589 | |
| 845,582 | - | 1,341 | 846,923 | |
| 852,025 | - | - | 852,025 |
The trustees have reviewed the value of the freehold land and buildings. They are of the opinion that the market value at 31 December 2022 was not less than the net book value shown above.
Page 20
THE ARAB BRITISH CENTRE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
10 Fixed asset investments
| Investec Wealth & Investment At 1 January 2022 at valuation Additions at cost Disposals at cost Net gain/(loss) on revaluation At 31 December 2022 (cost = £1,425,964) Total investments Total value of investments at 31 December 2022 Less: cash at brokers (included under current assets) Fixed asset investments at 31 December 2022 The above investments are held to provide an investment return for the charity. UK assets comprise 100% of the value of the fixed asset investments as at 31 December 2022. 11 Debtors 2022 £ Contributions receivable 490 Prepayments 2,990 3,480 12 Creditors: amounts falling due within one year 2022 £ Taxation and social security 4,091 Accruals 7,080 Deferred income (see note 13) 21,210 Other creditors 16,306 48,687 |
Investec Wealth & Investment At 1 January 2022 at valuation Additions at cost Disposals at cost Net gain/(loss) on revaluation At 31 December 2022 (cost = £1,425,964) Total investments Total value of investments at 31 December 2022 Less: cash at brokers (included under current assets) Fixed asset investments at 31 December 2022 The above investments are held to provide an investment return for the charity. UK assets comprise 100% of the value of the fixed asset investments as at 31 December 2022. 11 Debtors 2022 £ Contributions receivable 490 Prepayments 2,990 3,480 12 Creditors: amounts falling due within one year 2022 £ Taxation and social security 4,091 Accruals 7,080 Deferred income (see note 13) 21,210 Other creditors 16,306 48,687 |
£ 1,684,475 236,303 (212,688) (212,534) |
|---|---|---|
| 1,495,556 | ||
| Total £ 1,544,165 48,609 |
||
| 1,495,556 | ||
| 2021 £ 1,830 2,666 |
||
| 3,480 | 4,496 | |
| 2022 £ 4,091 7,080 21,210 16,306 |
2021 £ 6,881 6,576 18,171 14,040 |
|
| 48,687 | 45,668 |
Page 21
THE ARAB BRITISH CENTRE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
13 Deferred income
Deferred income comprises contributions from users received in advance.
| Balance at 1 January 2022 Amount released to income earned from charitable activities Amount deferred in year Balance at 31 December 2022 |
2022 £ 18,171 (18,171) 21,210 |
2021 £ 11,187 (11,187) 18,171 |
|---|---|---|
| 21,210 | 18,171 |
14 Statement of funds
Statement of funds - current year
| Restricted income funds SAFAR Film Festival Kickstarter Scheme Unrestricted income funds Endowment funds Total funds Statement of funds - prior year Restricted income funds Unrestricted income funds Endowment funds Total funds |
Balance at 1 January 2022 £ - - |
Income £ 79,139 15,777 |
Expenditure £ (96,224) (15,323) |
Gains/(losses) on investments £ - - |
Transfer in/ (out) £ 17,085 (454) |
Balance at 31 December 2022 £ - - |
|---|---|---|---|---|---|---|
| - 28,287 2,635,041 |
94,916 118,864 78,604 |
(111,547) (285,496) (22,432) |
- - (161,466) |
16,631 153,369 (170,000) |
- 15,024 2,359,747 |
|
| 2,663,328 | 292,384 | (419,475) | (161,466) | - | 2,374,771 | |
| Balance at 1 January 2021 £ - 14,742 2,509,590 |
Income £ - 193,042 86,626 |
Expenditure £ - (299,497) (22,517) |
Gains/(losses) on investments £ - - 181,342 |
Transfer in/ (out) £ - 120,000 (120,000) |
Balance at 31 December 2021 £ - 28,287 2,635,041 |
|
| 2,524,332 | 279,668 | (322,014) | 181,342 | - | 2,663,328 |
Restricted income funds comprise the following:
1) SAFAR Film Festival - grants received towards the Centre's costs in staging the film festival.
2) Kickstarter Scheme - grants received under the UK Government's Kickstarter Scheme to cover the cost of two employees' salaries.
Page 22
THE ARAB BRITISH CENTRE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
15 Analysis of net assets between funds
| Current year Tangible fixed assets Investments Current assets Current liabilities Net assets at 31 December 2022 Prior year Tangible fixed assets Investments Current assets Current liabilities Net assets at 31 December 2021 |
Unrestricted income funds £ 1,341 30,000 32,370 (48,687) |
2022 Restricted income funds Endowment funds £ £ - 845,582 - 1,465,556 - 48,609 - - - 2,359,747 2021 Restricted income funds Endowment funds £ £ - 852,025 - 1,654,475 - 128,541 - - - 2,635,041 |
2022 Restricted income funds Endowment funds £ £ - 845,582 - 1,465,556 - 48,609 - - - 2,359,747 2021 Restricted income funds Endowment funds £ £ - 852,025 - 1,654,475 - 128,541 - - - 2,635,041 |
Total funds £ 846,923 1,495,556 80,979 (48,687) |
|---|---|---|---|---|
| 15,024 | - | 2,359,747 | 2,374,771 | |
| Unrestricted income funds £ - 30,000 43,955 (45,668) |
Total funds £ 852,025 1,684,475 172,496 (45,668) |
|||
| 28,287 | - | 2,635,041 | 2,663,328 |
16 Related party disclosures
There were no related party transactions for the year ended 31 December 2022.
17 Auditors' ethical standards
In common with many companies of our size and nature we use our auditors to assist with the preparation of the financial statements.
Page 23