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2021-02-28-accounts

Registered number: 02388534 Charity number: 900036

NEW BREWERY ARTS LIMITED

(A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 28 FEBRUARY 2021

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

CONTENTS

Page
Reference and Administrative Details of the Charity, its Trustees and Advisers 1
Trustees' Report 2 - 7
Independent Auditors' Report on the Financial Statements 8 - 11
Consolidated Statement of Financial Activities 12
Consolidated Balance Sheet 13
Charity Balance Sheet 14
Consolidated Statement of Cash Flows 15
Notes to the Financial Statements 16 - 34

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 28 FEBRUARY 2021

TRUSTEES Nicholas Arbuthnott (resigned 25 March 2021)
Verity Elson
Colin Forbes
Victoria Forrest
Jeremy Lodwick, Chair
Jane MacFarlane (appointed 11 February 2021)
Jane Maitland
Rosalind Parrish (resigned 5 November 2020)
David Roberts
Matthew Smith
Charles Woodd
Company registered
number
02388534
Charity registered
number
900036
Registered office
Brewery Court
Cirencester
Gloucestershire
GL7 1JH
Committees
Senior Management
Team
Patron
Honorary President
Artistic Programmes Committee, Verity Elson, Chair
Finance Committee, Charles Woodd, Chair
Audit & Risk Committee, David Roberts, Chair
The Chair has an ex-officio appointment on all committees
Beth Alden, Chief Executive
Tracey Burgoyne, Deputy Chief Executive (resigned April 2021)
Andrew Riddington, Finance Manager
Alan McGeachen, Commerical Services Manager (appointed June 2021)
Dame Fiona Reynolds
Penny Smith (resigned 30 August 2020)
Independent auditors
Bishop Fleming LLP
Chartered Accountants
10 Temple Back
Bristol
BS1 6FL

Page 1

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT FOR THE YEAR ENDED 28 FEBRUARY 2021

The Trustees present their annual report together with the audited financial statements of the Charity for the year ended 28 February 2021. The Annual Report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

Since the group and the Charity qualify as small under section 383 of the Companies Act 2006, the Group Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.

OBJECTIVES AND ACTIVITIES

a. POLICIES AND OBJECTIVES

The charitable objects for which New Brewery Arts was established are:

b. MAIN ACTIVITIES UNDERTAKEN TO FURTHER THE CHARITY'S PURPOSES FOR PUBLIC BENEFIT

New Brewery Arts’ purpose is to connect people with the hand-made, promote the joy and fulfilment of making and celebrate the role of craft and creativity in all our lives.

Pandemic restrictions aside, in 2020-21 our main activities remained consistent, and the charity’s main work was to connect with craft through provision of professional studio spaces, professional opportunities including exhibiting, teaching and generating a professional income through craft via our retail offering. New Brewery Arts’ exhibitions and classes offer the wider public ways to engage with craft and their own creativity.

Page 2

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2021

ACHIEVEMENTS AND PERFORMANCE

a. MAIN ACHIEVEMENTS OF THE CHARITY

For New Brewery Arts, like so many charities and cultural organisations, 2020 was a year like no other. Unshielded by public funding as the COVID-19 pandemic hit us in March 2020 we faced closing our doors with uncertainty. We cannot stress enough our sincere thanks to the funders who supported us with their generous grants and their belief in New Brewery Arts. We were also supported, as was the culture sector more widely, through government grants and the furlough scheme both of which allowed us to support our staff as lockdowns continued.

New Brewery Arts ensured that the funding we received trickled down to those who needed our support. We used external funding to reduce studio fees, supporting our studio holders to maintain an independent, creative practice when income and funding was difficult for many small businesses and freelance creatives.

On entering the first lockdown we swiftly developed a new relationship with the Homeless Relief team at the Cotswold District Council and were able to make available our guest accommodation for use in the 'Everybody In' scheme. The scheme ran until May 2021 offering safe accommodation for those in need of housing during the lockdowns.

Phil Gibby (Arts Council England's Area Director for the Southwest) tweeted about our response saying New Brewery Arts was “ Another good example of a cultural organisation showing civic leadership in a time of crisis ”.

The project created a network of local, cultural CEOs working together and supporting one another throughout these difficult times. The ‘three-legged stool' project encouraged us to test new ways of working and codesigning a project with a community. Additional funding came from The Gloucestershire Community Foundation to appoint a ‘Community Project co-ordinator'. This temporary role enabled us to work with the Churn Project (a Cirencester based charity) to trial, test and explore ‘co-designing’ a project. We created ‘medals for everyday courage’ with the Churn group using a creative commons project devised by artist Alinah Azadeh for the ‘Craft In Commons’ project produced by Craftspace.

Black Lives Matter, the toppling of Colston’s statue in Bristol, #MeToo and many more conversations loud and quiet took place in 2020; the collective responsibilities of us all to call out racial injustice, inequality and structural privilege were heard. We have committed ourselves to creating a future where everyone feels at home, included. We are determined to making craft a better place for those who have been marginalised or left out and we will work positively to be inclusive, equitable and sustainable to the benefit of all, our community here in Cirencester and the wider craft community.

New Brewery Arts was able to present just one exhibition over this period. ‘A Language of Clay’ took place 1st August – 3rd October 2020. Curated for New Brewery Arts by Ceri Jones the exhibition was a direct development of a long-running and popular initiative called The Language of Clay, which has comprised a series of solo exhibitions touring a network of galleries across Wales. A Language of Clay presented ceramic work from six artists; Justine Allison, Anne Gibbs, Kate Haywood, Lisa Krigel, Ingrid Murphy and Zoe Preece. Each artist explores the material and aesthetic qualities of clay from different perspectives, but whether motivated by function, form, social interaction or personal experience, each artist undertakes her practice with a keen sense of Materiality.

“So great you’re back. Such a wonderful creative space for Cirencester”

New Brewery Arts made use of the time and space away from public delivery to consider at the shape of the organisation and to conceptualise a new shape for New Brewery Arts post-pandemic. This strategic planning resulted in a new business plan and a restructuring to create a nimbler organisation, better placed to respond to the world we now face.

We reopened our doors in the spring of 2021, with significant changes to our thinking, planning and operations. Projects developed under the lockdowns of 2020 and 2021 continue to develop. We are continuing our co-

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NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2021

ACHIEVEMENTS AND PERFORMANCE (CONTINUED)

design work with the Churn Project, and the creation of a new digital studio will enable us to build on the digital delivery skills we learned in lockdown. The digital studio will enable us to better use digital platforms to reach our communities as well as enable creatives, craftspeople and other organisations to grow their own abilities in using digital media through new classes, professional development and resource sharing.

Two new team-members have joined the organisation through the government Kickstart placement and both are gaining invaluable skills to prepare them for the workplace as well as providing extra capacity for New Brewery Arts as we reopen. As with our work supporting the homeless last year, we see supporting young people as part of our ‘civic leadership’ role. Many of the team were nurtured through volunteering, internships and mentoring in their early career and we’re proud to be able to support the next generation with these valuable opportunities at a pivotal moment in a career.

Our creation and appointment of a new role of ‘Commercial Services Manager’ in June 2021 was hugely positive. We actively encouraged diverse applications, and we joined campaigns such as #showthesalary and #NonGraduatesWelcome to ensure we removed potential barriers for applicants by asking for unnecessary information and qualifications. We received applications from the most diverse spread of candidates and appointed a new senior team member with exciting professional experience who brings a fresh perspective to the organisation.

FINANCIAL REVIEW

a. FINANCIAL PERFORMANCE

As a consolidated entity, the Charity incurred an unrestricted surplus for the year of £80,041 (2020: deficit of £21,417) which was added to the unrestricted funds brought forward of £155,264 leaving the balance of £235,305 as the value of unrestricted funds held by the charity at the year end.

The restricted fund value consists almost entirely of the improvements to the buildings on which the charity holds leases. These improvements, of over £3m of work, are being depreciated over a prudently short 15 years (with just 3 years remaining on the £2.4m works of 2008). The balance of the remaining restricted fund is £964,533 (2020: £1,199,729).

b. 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. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

c. RESERVES POLICY

The Trustees believe that the Charity should be holding a minimum level of free reserves of between 3 and 6 months of core overheads, approximately £100,000. As at year-end, the free reserves were over £230,000, which exceeds the minimum level but recognises the challenging nature of the UK's emergence from the various 'lockdown' restrictions and the ongoing pandemic uncertainty.

The restricted fund value consists of the improvements to the buildings on which the Charity holds leases, (£3m of work, which is being depreciated over 15 years). We have just 3 years remaining depreciation on the £2.4m 2008 works to our main buildings, and 10 years remaining depreciation on the £600k capital works to create the guest accommodation. Other funds of the Charity comprise mainly small value fixed assets.

Page 4

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2021

d. PRINCIPAL RISKS AND UNCERTAINITIES

New Brewery Arts depends on human interaction with crafts. As we have seen, society’s ability to come together and physically engage with an organisation is not as dependable as we may have believed, nor is discretionary consumer spending. Our reliance on both discretionary consumer spending and the ‘human touch’ of our work has proven to be a risk.

A new strategic business plan was developed as lockdown 3 ended and is our initial response to a postpandemic world. It encourages us to focus on our purpose while adapting to the new realities, risks, and uncertainties we face.

e. PLANS FOR FUTURE DEVELOPMENT

We will continue to focus on the resilience of the team and our community of makers and our community. Our Senior Management Team are working on key areas for the organisation as it reforms itself post COVID, including our commitment to the environment, people and digital technologies in the future.

Our new digital studio is soon to open – providing support and resources not just for New Brewery Arts but for craftspeople and makers, and potentially other small or cultural businesses and organisations.

Our philanthropic giving scheme, developed over lockdown, also launches later this year. We will continue to foster and to grow our positive relationships with funders, grant-makers, trusts and foundations, building on the support we received throughout the pandemic.

f. PRINCIPAL FUNDING

The Charity generates income through charity related activities including studio licences, participation classes and other activities.

The Charity uses trading activities (managed through a trading subsidiary) to make effective use of the extensive buildings, defraying some overheads which would otherwise be borne by the charity itself. Our trading activities enhance the overall offer to our audiences and communities and generate vital income which is covenanted to the Charity itself.

STRUCTURE, GOVERNANCE AND MANAGEMENT

a. CONSTITUTION

New Brewery Arts Limited is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association dated 24 May 1989, as amended by special resolutions dated 20 July 1990 and 28 September 2004; and as amended by certificate of incorporation on change of name dated 8 December 2011.

b. METHOD OF APPOINTMENT OR ELECTION OF TRUSTESS

Trustees are appointed by the Board in annual or general meetings at which not less than half the then serving Trustees are present in person or by proxy. The Trustees undertake a skills audit to identify gaps within the Board and seek new trustees proactively to supplement the skills.

c. POLICIES ADOPTED FOR THE INDUCTION AND TRAINING OF TRUSTEES

The Trustees are provided with an induction pack and are encouraged to spend time at New Brewery Arts between meetings.

Page 5

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2021

STRUCTURE, GOVERNANCE AND MANAGEMENT (CONTINUED)

d. PAY POLICY FOR SENIOR STAFF

The Trustees consider that the Board of Trustees and the Senior Management Team comprise the Key Management Personnel of the Trust in charge of directing and controlling, running and operating the Charity on a day to day basis. All Trustees give their time freely and no Trustee received remuneration in the year. Details of Trustees’ expenses are disclosed in the notes to the accounts.

The pay for the Senior Management Team is reviewed by the Board of Trustees annually and is normally increased in line with average earnings.

e. ORGANISATIONAL STRUCTURE AND DECISION MAKING

The Trustees, who must not be less than eight or more than 16 in number, are also directors of the company, are responsible for the administration of the Charity and oversee the management of the Charity through the appointed Chief Executive Officer, Beth Alden, who is responsible for the day to day operation of the Charity. A subsidiary company, Brewery Arts (Trading) Limited, covers the operations of the shop, café and accommodation. For financial management purposes, the Board monitors the performance of the five principal business units - participation, exhibitions, shop, café and accommodation.

The full Board of Trustees meets at regular intervals during the year. Core sub committees, comprising staff and Trustees, and covering Artistic Programmes, Finance and Audit also meet regularly and report to the Board. Task and finish groups are created to look at particular strategic areas.

f. RELATED PARTY RELATIONSHIPS

None of our Trustees receive remuneration or other benefit from their work with the Charity and none of them held any interest in the share capital of the subsidiary. Many Trustees support the activities of the Charity by patronising the shop and café and some also attend courses and workshops. See note 25 for further details of related party transactions.

Page 6

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 28 FEBRUARY 2021

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

DISCLOSURE OF INFORMATION TO AUDITORS

Each of the persons who are Trustees at the time when this Trustees' Report is approved has confirmed that:

Approved by order of the members of the board of Trustees and signed on their behalf by:

Jeremy Lodwick (Chair of Trustees) Date: 17 September 2021

Page 7

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NEW BREWERY ARTS LIMITED

OPINION

We have audited the financial statements of New Brewery Arts Limited (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 28 February 2021 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Charity Balance Sheet, the Consolidated Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

BASIS FOR OPINION

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

CONCLUSIONS RELATING TO GOING CONCERN

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Page 8

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NEW BREWERY ARTS LIMITED (CONTINUED)

OTHER INFORMATION

The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Trustees 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.

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

In our opinion, based on the work undertaken in the course of the audit:

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of our knowledge and understanding of the charitable 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 Companies Act 2006 requires us to report to you if, in our opinion:

RESPONSIBILITIES OF TRUSTEES

As explained more fully in the Trustees' Responsibilities Statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Group's and the parent charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Page 9

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NEW BREWERY ARTS LIMITED (CONTINUED)

AUDITORS' 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 an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

As a result of these procedures, we have considered the opportunities and incentives that may exist within the organisation for fraud and identified the highest area of risk to be in relation to revenue recognition, with a particular risk in relation to yearend cut off. In common with all audits under ISAs (UK) we are also required to perform specific procedures to respond to the risk of management override.

We have also obtained understanding of the legal and regulatory frameworks that the Group operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the Charities Act 2011, Charity SORP 2019 and FRS 102.

In addition, we considered the provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Group's ability to operate or avoid a material penalty. These included data protection regulations, health and safety regulations and employment legislation.

Our procedures to respond to risks identified included the following:

We also communicated identified laws and regulations and potential fraud risks to all members of the engagement team and remained alert to possible indicators of fraud or non-compliance with laws and regulations throughout the audit.

Due to the Covid-19 pandemic the engagement team performed remote audit testing using online portals to share documentation securely and video calls to make enquiries. This has not had any detrimental impact on our

Page 10

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NEW BREWERY ARTS LIMITED (CONTINUED)

ability to identify and respond to risks.

As a result of the inherent limitations of an audit, there is a risk that not all irregularities, including a material misstatement in financial statements or non-compliance with regulation, will be detected by us. The risk increases the further removed compliance with a law and regulation is from the events and transactions reflected in the financial statements, given we will be less likely to be aware of it, or should the irregularity occur as a result of fraud rather than a one off error, as this may involve 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 Auditors' Report.

USE OF OUR REPORT

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the charitable company's trustees, as a body, Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's members 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 its members, as a body, for our audit work, for this report, or for the opinions we have formed.

David Butler FCA DChA (Senior Statutory Auditor)

for and on behalf of

Bishop Fleming LLP Chartered Accountants Statutory Auditors 10 Temple Back Bristol BS1 6FL

4 October 2021

Page 11

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 28 FEBRUARY 2021

Note
Income from:
Donations and legacies
3
Charitable activities
6
Other trading activities
4
Interest receivable
5
Total income
Expenditure on:
Trading activities
Charitable activities
7
Total expenditure
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2021
£
385,113
92,376
192,553
1,096
671,138
286,453
304,644
591,097
80,041
155,264
80,041
235,305		 Restricted
funds
2021
£
13,867
-
-
-
13,867
-
248,613
248,613
(234,746)
1,199,279
(234,746)
964,533		 Total
funds
2021
£
398,980
92,376
192,553
1,096
685,005
286,453
553,257
839,710
(154,705)
1,354,543
(154,705)
1,199,838		 Total
funds
2020
£
108,060
330,631
592,893
-
1,031,584
617,032
666,913
1,283,945
(252,361)
1,606,904
(252,361)
1,354,543

The Consolidated Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 16 to 34 form part of these financial statements.

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NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:02388534

CONSOLIDATED BALANCE SHEET AS AT 28 FEBRUARY 2021

Note
Fixed assets
Tangible assets
12
Current assets
Stocks
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within one
year
15
Net current assets
Total net assets
Charity funds
Restricted funds
16
Unrestricted funds
16
Total funds		 40,321
26,033
376,309
442,663
(205,838)		 28 February
2021
£
963,013
963,013
236,825
1,199,838
964,533
235,305
1,199,838		 43,643
18,276
308,060
369,979
(206,376)		 29 February
2020
£
1,190,940
1,190,940
163,603
1,354,543
1,199,279
155,264
1,354,543

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Jeremy Lodwick (Chair of Trustees) Date: 17 September 2021

The notes on pages 16 to 34 form part of these financial statements.

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NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:02388534

CHARITY STATEMENT OF FINANCIAL POSITION FOR THE YEAR ENDED 28 FEBRUARY 2021

Note
Fixed assets
Tangible assets
12
Investments
13
Current assets
Stocks
Debtors
14
Cash at bank and in hand
Creditors: amounts falling due within one
year
15
Net current assets
Total net assets
Charity funds
Restricted funds
16
Unrestricted funds
16
Total funds		 2,210
34,526
332,134
368,870
(127,549)		 28 February
2021
£
955,417
100
955,517
241,321
1,196,838
964,533
232,305
1,196,838		 2,210
10,477
237,527
250,214
(106,464)		 29 February
2020
£
1,179,444
100
1,179,544
143,750
1,323,294
1,199,279
124,015
1,323,294

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Jeremy Lodwick (Chair of Trustees) Date: 17 September 2021

The notes on pages 16 to 34 form part of these financial statements.

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NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 28 FEBRUARY 2021

Cash flows from operating activities
Net cash used in operating activities
Cash flows from investing activities
Cost of fixed asset additions
Net cash used in investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
NET CASH USED IN FINANCING ACTIVITIES
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
The notes on pages 16 to 34 form part of these financial statements		 2021
£
69,029
(780)
(780)
-
-
68,249
308,060
376,309		 2020
£
8,431
(11,115)
(11,115)
-
-
(2,684)
310,744
308,060

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NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

1. GENERAL INFORMATION

New Brewery Arts Limited is a charitable company limited by guarantee, registered in England and Wales. The registered office is Brewery Court, Cirencester, Gloucestershire, GL7 1JH. The members of the chairty are the Trustees named on page 1. In the event of the Charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the Chairty.

2. ACCOUNTING POLICIES

2.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The 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), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

New Brewery Arts Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Statement of Financial Activities (SOFA) and Consolidated Statement of Financial Position consolidate the financial statements of the Charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Financial Activities in these financial statements.

The statements are prepared in sterling which is the functional currency of the Charity.

2.2 GOING CONCERN

The Trustees assess whether the use of going concern is appropriate, i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the company to continue as a going concern. The Trustees make this assessment in respect of a period of one year from the date of approval of the financial statements. This includes considered regarding the implications of COVID-19 and the restrictions imposed.

After making appropriate enquiries, the Board of Trustees has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason it continues to adopt the going concern basis in preparing the financial statements.

2.3 FUND ACCOUNTING

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group 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.

Page 16

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

2. ACCOUNTING POLICIES (continued)

2.4 INCOME

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Grants are included in the Consolidated Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement or receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

2.5 EXPENDITURE

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.

Charitable activities and Governance costs are costs incurred on the Charity’s educational operations, including support costs and costs relating to the governance of the Charity apportioned to charitable activities.

2.6 BASIS OF CONSOLIDATION

The financial statements consolidate the accounts of New Brewery Arts Limited and all of its subsidiary undertakings ('subsidiaries').

The Charity has taken advantage of the exemption contained within section 408 of the Companies Act 2006 not to present its own Income and Expenditure Account.

The income and expenditure account for the year dealt with in the accounts of the Charity was £60,729 net expenditure (2020: £252,361 net expenditure).

2.7 TANGIBLE FIXED ASSETS AND DEPRECIATION

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

At each reporting date the Charity assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Page 17

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

2. ACCOUNTING POLICIES (continued)

2.7 TANGIBLE FIXED ASSETS AND DEPRECIATION (CONTINUED)

Depreciation is provided on the following bases:

2.8 INVESTMENTS

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Consolidated Statement of Financial Activities.

Investments in subsidiaries are valued at cost less provision for impairment.

2.9 OPERATING LEASES

Rentals paid under operating leases are charged to the Consolidated Statement of Financial Activities on a straight line basis over the lease term.

2.10 STOCKS

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.

2.11 INTEREST RECEIVABLE

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 or payable by the Bank

2.12 TAXATION

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

2.13 DEBTORS

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.14 CASH AT BANK AND IN HAND

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Page 18

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

2. ACCOUNTING POLICIES (continued)

2.15 CREDITORS AND PROVISIONS

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated Statement of Financial Activities as a finance cost.

2.16 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

3. INCOME FROM DONATIONS AND LEGACIES

Unrestricted
funds
2021
£
Donations
36,231
Grants
348,882
Sundry Income
-
385,113
TOTAL 2020
53,738		 Restricted
funds
2021
£
-
13,867
-
13,867
54,322		 Total
funds
2021
£
36,231
362,749
-
398,980
108,060		 Total
funds
2020
£
63,970
43,992
98
108,060

The group received grant income totalling £108,977 in relation to the Coronavirus Job Retention Scheme (CJRS) where the company received government assistance of 80% of the cost of furloughed staff. Income has been accounted for as unrestricted grant income.

Page 19

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

4. CHARITY TRADING ACTIVITIES

Unrestricted
funds
2021
£
CHARITY TRADING INCOME
Accommodation
53,867
Shop
114,073
Café
24,613
192,553
TRADING EXPENSES
Accommodation
(63,857)
Shop
(123,898)
Café
(85,136)
Management and Administration
(13,562)
(286,453)
TOTAL PROFIT/(LOSS) FROM CHARITY TRADING
ACTIVITIES
(93,900)
5.
OTHER INCOMING RESOURCES
Unrestricted
funds
2021
£
Bank interest receivable
1,096		 Total
funds
2021
£
53,867
114,073
24,613
192,553
(63,857)
(123,898)
(85,136)
(13,562)
(286,453)
(93,900)
Total
funds
2021
£
1,096		 Total
funds
2020
£
132,903
234,096
225,894
592,893
(99,341)
(179,821)
(239,042)
(61,006)
(579,210)
13,683
Total
funds
2020
£
-

Page 20

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

6. INCOME FROM CHARITABLE ACTIVITIES

Unrestricted
funds
2021
£
Participation
51,879
Gallery
210
Studio Rental
40,287
92,376
TOTAL 2020
330,631		 Total
funds
2021
£
51,879
210
40,287
92,376
330,631		 Total
funds
2020
£
251,885
20,654
58,092
330,631

7. ANALYSIS OF EXPENDITURE ON CHARITABLE ACTIVITIES

Summary by fund type

Unrestricted
funds
2021
£
Participation
133,722
Gallery
73,037
Studio Rental
97,885
Property Costs
-
TOTAL 2021
304,644
TOTAL 2020
381,645		 Restricted
funds
2021
£
7,500
17,167
10,646
213,300
248,613
285,268		 Total
funds
2021
£
141,222
90,204
108,531
213,300
553,257
666,913		 Total
funds
2020
£
252,391
85,463
115,764
213,295
666,913

Page 21

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

8. ANALYSIS OF EXPENDITURE BY ACTIVITIES

Participation
Gallery
Studio Rental
Property Costs
TOTAL 2021
TOTAL 2020		 Activities
undertaken
directly
2021
£
59,488
27,977
10,804
213,300
311,569
425,108		 Support
costs
2021
£
81,734
62,227
97,727
-
241,688
241,805		 Total
funds
2021
£
141,222
90,204
108,531
213,300
553,257
666,913		 Total
funds
2020
£
252,391
85,463
115,764
213,295
666,913

ANALYSIS OF DIRECT COSTS

Staff costs
Depreciation
Exhibition Stock
Purchases
Bank Charges
Materials and
exhibition costs
Room Hire
Travel and
training
Irrecoverable
VAT
Sundry Expenses
Artistic Tutors
TOTAL 2021
TOTAL 2020		 Participation
2021
£
46,914
-
-
8,403
3,666
-
-
425
80
-
59,488
170,769		 Gallery
2021
£
-
-
340
-
17,725
-
1,285
-
8,627
-
27,977
23,726		 Studio
Rental
2021
£
-
10,804
-
-
-
-
-
-
-
-
10,804
17,318		 Property
Costs
2021
£
-
213,300
-
-
-
-
-
-
-
-
213,300
213,295		 Total
funds
2021
£
46,914
224,104
340
8,403
21,391
-
1,285
425
8,707
-
311,569
425,108		 Total
funds
2020
£
38,038
230,613
-
3,913
28,060
3,100
2,213
2,128
16,746
100,297
425,108

Page 22

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

8. ANALYSIS OF EXPENDITURE BY ACTIVITIES (CONTINUED)

ANALYSIS OF SUPPORT COSTS

Participation
2021
£
Staff costs
36,241
Advertising and publicitiy
198
Marketing
451
Cleaning and waste disposal
1,468
Insurance
4,495
Legal and professional fees
5,384
Light and heat
5,827
Office, printing, postage and
stationery costs
1,187
Bank charges
151
Rent and rates
8,870
Repairs and decorations
7,231
Telephone
1,674
Travel and training
70
Lease of equipment
254
Audit and accountancy
3,374
Sundry expenses
4,859
TOTAL 2021
81,734
TOTAL 2020
81,622
9.
STAFF COSTS		 Gallery
2021
£
36,241
99
226
530
4,495
5,384
2,102
1,187
76
3,199
2,608
1,674
35
254
1,687
2,430
62,227
61,737		 Studio
Rental
2021
£
36,241
198
451
2,579
4,494
4,306
10,235
949
151
15,579
12,700
1,340
70
202
3,373
4,859
97,727
98,446		 Total
funds
2021
£
108,723
495
1,128
4,577
13,484
15,074
18,164
3,323
378
27,648
22,539
4,688
175
710
8,434
12,148
241,688
241,805		 Total
funds
2020
£
127,623
2,827
8,528
14,636
8,349
3,183
21,809
932
145
20,844
14,479
3,304
1,727
831
6,920
5,668
241,805
Wages and salaries
Social security costs
Pension costs		 Group
2021
£
333,642
9,442
2,911
345,995		 Group
2020
£
458,851
17,608
5,095
481,554		 Charity
2021
£
151,411
2,666
1,559
155,636		 Charity
2020
£
158,548
5,063
2,050
165,661

Page 23

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

9. STAFF COSTS (CONTINUED)

The average number of persons employed by the Charity during the year was as follows:

Education and outreach
Administration
Café
Shop
Accommodation		 Group
2021
2
2
2
6
3
15		 Group
2020
3
3
11
9
5
31

No employee received remuneration amounting to more than £60,000 in either year.

10. TRUSTEES' REMUNERATION AND EXPENSES

During the year, no Trustees received any remuneration or other benefits (2020 - £NIL).

During the year ended 28 February 2021, no Trustee expenses have been incurred (2020 - £NIL).

11. TAXATION

The Charity is exempt from tax on income and gains falling within section 466 to 493 of the Corporation Tax Act 2010 or section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

Page 24

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

12. TANGIBLE FIXED ASSETS

GROUP

COST OR VALUATION
At 1 March 2020
Additions
Disposals
At 28 February 2021
DEPRECIATION
At 1 March 2020
Charge for the year
On disposals
At 28 February 2021
NET BOOK VALUE
At 28 February 2021
At 29 February 2020		 Long-term
leasehold
property

£
3,199,513
-
-
3,199,513
2,048,304
213,300
-
2,261,604
937,909
1,151,209		 Fixtures and
fittings
£
185,426
780
-
186,206
155,695
15,407
-
171,102
15,104
29,731		 Website
£
15,200
-
(15,200)
-
15,200
-
(15,200)
-
-
-		 Artwork
£
10,000
-
-
10,000
-
-
-
-
10,000
10,000		 Total
£
3,410,139
780
(15,200)
3,395,719
2,219,199
228,707
(15,200)
2,432,706
963,013
1,190,940

Page 25

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

12. TANGIBLE FIXED ASSETS (CONTINUED)

CHARITY

COST OR VALUATION
At 1 March 2020
Additions
Disposals
At 28 February 2021
DEPRECIATION
At 1 March 2020
Charge for the year
On disposals
At 28 February 2021
NET BOOK VALUE
At 28 February 2021
At 29 February 2020		 Long-term
leasehold
property

£
3,199,513
-
-
3,199,513
2,048,304
213,300
-
2,261,604
937,909
1,151,209		 Fixtures and
fittings
£
123,200
77
-
123,277
104,965
10,804
-
115,769
7,508
18,235		 Website
£
15,200
-
(15,200)
-
15,200
-
(15,200)
-
-
-		 Artwork
£
10,000
-
-
10,000
-
-
-
-
10,000
10,000		 Total
£
3,347,913
77
(15,200)
3,332,790
2,168,469
224,104
(15,200)
2,377,373
955,417
1,179,444

GROUP AND CHARITY

All assets are used in direct furtherance of the Charity’s objectives.

Leasehold property includes improvements to the building on which the charity has a 99 year lease and will only benefit from the use of the building, rather than any increase in value. These costs have been depreciated on a straight line basis over 15 years from February 2008, which is the Trustee’s estimate of the useful economic life of these assets. The Arts Council England hold a debenture incorporating a fixed and floating charge over the assets of the Charity, in relation to their assistance with the building project.

ARTWORK

The artwork is a donated asset recognised in the accounts at valuation. No depreciation has been charged against the value of the asset in the current or previous years. The value is regularly reviewed by the Board of Trustees for impairment.

Page 26

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

13. FIXED ASSET INVESTMENTS

Shares in
Group
Undertakings
CHARITY £
COST OR VALUATION
At 1 March 2020 100
At 28 February 2021 100

14. DEBTORS

DUE WITHIN ONE YEAR
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income		 Group
28 February
2021
£
4,750
6,000
-
15,283
26,033		 Group
29 February
2020
£
13,314
-
153
4,809
18,276		 Charity
28 February
2021
£
1,487
26,707
-
6,332
34,526		 Charity
29 February
2020
£
7,299
-
153
3,025
10,477

15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade creditors
Amounts owed to group undertakings
Other taxation and social security
Other creditors
Accruals and deferred income		 Group
28 February
2021
£
27,084
6,000
39,624
1,158
131,972
205,838		 Group
29 February
Charity
28 February
2020
2021
£
£
32,363
10,076
-
-
31,945
1,133
1,645
707
140,423
115,633
206,376
127,549		 Charity
29 February
2020
£
21,507
1,478
-
1,169
82,310
106,464

Page 27

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

16. STATEMENT OF FUNDS

STATEMENT OF FUNDS - CURRENT YEAR


UNRESTRICTED FUNDS
Charity Funds
Brewery Arts (Trading) Limited
RESTRICTED FUNDS
Building Development Project
Barrel Store Project
Bursaries and Community
Gallery Funding
Private Donations
Supporter Engagement
Projects
Other Restricted Funds
TOTAL OF FUNDS		 Balance at 1
March 2020
£
110,332
44,932
155,264
433,792
729,586
578
24,344
8,667
1,050
1,262
1,199,279
1,354,543		 Income
£

394,680
276,458
671,138
-
-
-
13,867
-
-
-
13,867
685,005		 Expenditure
£
(304,644)
(286,453)
(591,097)
(148,080)
(73,894)
(193)
(23,827)
(2,199)
-
(420)
(248,613)
(839,710)		 Transfers
in/out
£
31,837
(31,837)
-
-
-
-
-
-
-
-
-
-		 Balance at
28 February
2021
£
232,205
3,100
235,305
285,712
655,692
385
14,384
6,468
1,050
842
964,533
1,199,838

Page 28

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

16. STATEMENT OF FUNDS (CONTINUED)

STATEMENT OF FUNDS - PRIOR YEAR

UNRESTRICTED FUNDS
Charity funds
Brewery Arts (Trading) Limited
RESTRICTED FUNDS
Building Development Project
Barrel Store Project
Bursaries and Community
Gallery Funding
Private Donations
Supporter Engagement Projects
Other Restricted Funds
TOTAL OF FUNDS		 Balance at
1 March
2019
£
145,430
31,249
176,679
581,872
803,800
1,864
32,772
7,815
-
2,102
1,430,225
1,606,904		 Income
£
384,369
592,893
977,262
-
3,000
-
43,992
3,996
1,050
2,284
54,322
54,322		 Expenditure
£
(419,467)
(579,210)
(998,677)
(148,080)
(77,214)
(1,286)
(52,420)
(3,144)
-
(3,124)
(285,268)
(1,283,945)		 Balance at
29 February
2020
£
110,332
44,932
155,264
433,792
729,586
578
24,344
8,667
1,050
1,262
1,199,279
1,354,543

Page 29

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

16. STATEMENT OF FUNDS (CONTINUED)

Building Development Project

A refurbishment project to our main buildings completed in 2008. The remaining balance is to cover future depreciation charges.

Barrel Store Project

A refurbishment project to create guest accommodation in the adjacent Niccol Building completed in 2016. The remaining balance is to cover future depreciation charges.

Bursaries and Community

Funding from local authorities to support our ongoing bursaries to help with accessing our classes, and to enable our work with local communities.

Gallery Funding

In support of our exhibitions programme, this includes a 2-year grant from Arts Council England and funding from Garfield Weston Foundation, Summerfield Charitable Trust and The Ashley Family Foundation, as well as support from local business (with volunteer support too).

Private Donations

We are fortunate to have the support of a local, private donor who, through several significant donations enabled us to refresh and repair elements of infrastructure.

Supporter Engagement project

Grants from Schroder Charity Trust, The Langtree Trust and The Gilbert Lane Trust to support the development of a long-term public giving scheme.

Other restricted funds

Other funding relates to funding from previous years for capital expenditure.

Page 30

NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

17. SUMMARY OF FUNDS

SUMMARY OF FUNDS - CURRENT YEAR


General funds
Restricted funds		 Balance at 1
March 2020
£
155,264
1,199,279
1,354,543
YEAR		 Income
£

671,138
13,867
685,005
Balance at
1 March
2019
£
176,679
1,430,225
1,606,904		 Expenditure
£
(591,097)
(248,613)
(839,710)
Income
£
977,262
54,322
1,031,584		 Transfers
in/out
£
-
-
-
Expenditure
£
(998,677)
(285,268)
(1,283,945)		 Balance at
28 February
2021
£
235,305
964,533
1,199,838
Balance at
29 February
2020
£
155,264
1,199,279
1,354,543
SUMMARY OF FUNDS - PRIOR
General funds
Restricted funds

18. ANALYSIS OF NET ASSETS BETWEEN FUNDS ANALYSIS OF NET ASSETS BETWEEN FUNDS - CURRENT YEAR

Unrestricted
funds
28 February
2021
£
Tangible fixed assets
19,969
Current assets
421,174
Creditors due within one year
(205,838)
TOTAL
235,305		 Restricted
funds
28 February
2021
£
943,044
21,489
-
964,533		 Total
funds
28 February
2021
£
963,013
442,663
(205,838)
1,199,838

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NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

18.
ANALYSIS OF NET ASSETS BETWEEN FUNDS (CONTINUED)
ANALYSIS OF NET ASSETS BETWEEN FUNDS - PRIOR YEAR
Unrestricted
funds
29 February
2020
£
Tangible fixed assets
23,950
Current assets
337,690
Creditors due within one year
(206,376)
TOTAL
155,264
19.
RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW
ACTIVITIES
Net expenditure for the year (as per Statement of Financial Activities)
ADJUSTMENTS FOR:
Depreciation charges
Decrease in stocks
Decrease/(increase) in debtors
Increase/(decrease) in creditors
NET CASH PROVIDED BY OPERATING ACTIVITIES
20.
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash in hand
TOTAL CASH AND CASH EQUIVALENTS		 Restricted
funds
29 February
2020
Total
funds
29 February
2020
£
£
1,166,990
1,190,940
32,289
369,979
-
(206,376)
1,199,279
1,354,543
FROM OPERATING
Group
28 February
Group
29 February
2021
2020
£
£
(154,705)
(252,361)
228,707
235,149
3,322
82
(1,757)
4,093
(6,538)
21,468
69,029
8,431
Group
28 February
Group
29 February
2021
2020
£
£
376,309
308,060
376,309
308,060

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NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

21. ANALYSIS OF CHANGES IN NET DEBT

Cash at bank and in hand At 1 March
2020
£
308,060
308,060		 Cash flows
£
68,249
68,249		 At 28
February
2021
£
376,309
376,309

22. CONTINGENT LIABILITIES

In 2016 the charity received funding from Arts Council England and K D Winstone Trust towards the Barrel Store project. The condition in relation to this funding regarding the signing of a new lease on the refurbished property was not met at the year end. The Trustees continue to believe the lease will be signed and have therefore recognised the income in accordance with SORP 2019.

23. PENSION COMMITMENTS

The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £2,911 (2020: £3,523). Contributions totalling £739 (2020: £977) were payable to the fund at the balance sheet date and are included in creditors.

24. OPERATING LEASE COMMITMENTS

At 28 February 2021 the Group and the Charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years
Later than 5 years		 Group
28 February
2021
£
39,872
128,672
2,210,250
2,378,794		 Group
29 February
2020
£
42,935
136,657
2,240,156
2,419,748

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NEW BREWERY ARTS LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

25. RELATED PARTY TRANSACTIONS

Charless Woodd is a Trustee of New Brewery Arts Limited and director of St James' Place UK plc. During the year St James' Place made a donation to the Charity of £31,825 (2020: £15,000).

Many trustees support the activity of the Charity by patronising the shop and café; some Trustees also attend courses and workshops. All of these transactions occur at the standard prices avalaible to the public.

26. CONTROLLING PARTY

The Charity is under the joint control of the Trustess. There is no ultimate controlling party.

27. PRINCIPAL SUBSIDIARIES

The following was a subsidiary undertaking of the Charity:

Name Company Holding Included in
number consolidation
Brewery Arts (Trading) Limited 02280161 100% Yes

The financial results of the subsidiary for the year were:

Name Income Expenditure Profit/(Loss) Net assets
£ £ £ £
Brewery Arts (Trading) Limited 276,478 (304,726) (28,248) 3,100

Page 34