The trustees present their annual report and financial statements for the year ended 31 March 2023.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019).
The charity's objects are for the benefit of the public in Scotland and elsewhere and for the advancement of the arts:-
to foster, promote and increase public appreciation and knowledge of the arts; and
to improve public participation and interest in the arts, and in particular the active encouragement and development of public participation and interest in the cultural and social heritage of the East Neuk of Fife and Scotland generally.
The policies adopted in furtherance of these objects are as follows:-
presentation of public readings and any other performances or events calculated to promote any of the arts or to foster, promote or increase public appreciation or knowledge thereof or interest therein at an annual East Neuk Literary Festival or at such other festival in the Fife region of Scotland or at such other place or places as the charity through its Trustees shall from time to time determine, such activities to be for the benefit of the local and general public;
the support, encouragement and promotion of authors, writers and practitioners of any of the arts by providing them with opportunities to perform and display their talents at the East Neuk Literary Festival or at such other place or places as the charity through its Trustees shall from time to time determine; and
the establishment and promotion of international, national and regional exchanges of ideas and information in relation to the arts, the dissemination of the useful products thereof and the establishment and maintenance of such local, national and international links with other bodies, institutions and companies as may assist in the achievement of the foregoing. This will be effected by the promotion of education and especially appreciation and understanding of the arts, by lectures, demonstrations, performances, displays and otherwise in theatres, community centres, schools and in any other suitable venues.
There has been no change in these during the year.
The trustees have paid due regard to guidance issued by OSCR in deciding what activities the charity should undertake.
The charity held its first set of events under the title "Conversations on the Coast" in November 2022. There were four evening talks as follows:-
- 3 November - Neil Oliver - Bringing human history to life
- 10 November - Ambrose Parry - The Gruesome World of Corruption of Blood
- 17 November - Tom Pow - Must I write? If so, what? And what especially, now?
- 24 November - Elizabeth Macneal - Dark and spectacular tales from Victorian London
Over the four evenings (each of which was a great success) the charity had 2 sell-out events and 2 well attended events. The events were all well supported locally and there is strong demand for the second series of evenings which will be held in November 2023.
At a Board Meeting on 13 January 2023 the Trustees agreed to launch a children's writing competition for the local primary schools. Local schools were approached and Elie Primary School and Colinsburgh Primary School enthusiastically agreed to work with the Trustees to involve their pupils in such a competition during the 2023 summer term.
During the year the charity received a financial donation of £5,000 and achieved ticket sales amounting to £3,930 producing total income of £8,930. Total expenditure amounted to £8,202 which included some non-recurring expenditure.
The charity's overall financial position at the end of the reporting period showed a net asset position of £4,558 (2022 - £3,850).
Policy on reserves
The financial reserves policy is to maintain a level of reserves to meet liabilities as they fall due.
The level of reserves is monitored and reviewed by the trustees several times a year. The unrestricted reserves at the year end are £4,558.
Risk management
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
The inaugural East Neuk Literary Festival took place in November 2022 and was a great success. Arrangements are in hand to stage the second festival in November 2023 and 4 speakers have been secured. The format will remain as in November 2022.
The Trustees have launched a pilot children's writing competition and Elie and Colinsburgh Primary Schools have participated. 58 entries have been submitted which covers the full complement of the two schools. The stories have been divided into 4 categories depending on the stage of the individual pupil and they will be adjudicated by independent adjudicators who have experience in children's education. Prizes will be given to the winners of the 4 individual categories and a prize for the overall winner and the winning school.
The charity is a company limited by guarantee. East Neuk Literary Festival Limited is governed by its Memorandum dated 3rd March, 2020 and its Articles of Association.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
New directors of the Board (trustees) are appointed by ordinary resolution (a resolution passed by majority vote) at an annual general meeting or a general meeting. At the annual general meeting in each year any director who has served for three consecutive years without being re-elected shall retire from office. A director who has served for two consecutive three years terms shall not be eligible for re-election until 12 months have elapsed from the date on which that director's second three year term elapsed.
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
Key management personnel
The trustees consider the board of trustees to be the key management personnel of the charity, in charge of directing and controlling the charity and running and operating the charity on a day to day basis. All trustees give their time freely and no trustee remuneration or expenses were paid in the year.
Trustees are required to disclose all relevant interests and in accordance with the charity's policy, and withdraw from decisions where a conflict of interest arises.
The trustees' report was approved by the Board of Trustees.
I report on the financial statements of the charity for the year ended 31 March 2023, which are set out on pages 5 to 10.
The charity’s trustees, who are also the directors of East Neuk Literary Festival for the purposes of company law, are responsible for the preparation of the financial statements in accordance with the terms of the Charities and Trustee Investments (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the 2006 Accounts Regulations does not apply. It is my responsibility to examine the financial statements as required under section 44(1)(c) of the Act and to state whether particular matters have come to my attention.
My examination is carried out in accordance with Regulation 11 of the 2006 Accounts Regulations. An examination includes a review of the accounting records kept by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeks explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently I do not express an audit opinion on the view given by the financial statements.
In connection with my examination, no matter has come to my attention:
to keep accounting records in accordance with section 44(1) (a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and
to prepare financial statements which accord with the accounting records and comply with Regulation 8 of the 2006 Accounts Regulations;
to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.
Income from grants and donations
All income and expenditure derive from continuing activities.
The notes on pages 7 to 10 form part of these financial statements.
The notes on pages 7 to 10 form part of these financial statements.
East Neuk Literary Festival is a private company limited by guarantee incorporated in Scotland. The registered office is Fairview, The Shore, Earlsferry, Leven, Fife, KY9 1AP.
The financial statements have been prepared in accordance with the charity's governing document, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
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 are allocated on the portion of the asset’s use.
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts.
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Income from grants and donations
Grants
Event income
Fundraising costs
Unrestricted funds
Unrestricted funds
Advertising/Marketing
Materials and set building
Hire of sound equipment
Refreshments
Hall hire
Registration fees
Insurance
Subcontractor fees
Equipment
Independent examiner's fee
The average monthly number of employees during the year was:
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
There were no disclosable related party transactions during the period.