Musiko Musika
Our vision is the cultures and music of different communities contribute to the future of a society that respects the right of everybody to live in a peaceful world in a sustainable and equitable manner.
Our Mission is to generate happy, safe and trusting environments for people of all ages and origins to share, learn and engage with music, culture, and creativity as continuous life-long processes.
“The performance and workshop were fantastic, pupils experienced live Latin music for the first time and learnt to play pan pipes for the first time! Pupils were engaged throughout, pupils were dancing and having a great time!” music teacher Ickburgh School, Hackney (SEND)
Report of the trustees for the year ended 31st March 2024
The trustees are pleased to present their report together with the financial statements of the charity Musiko Musika (Charity Commission registered number 1099508 principal address 8 Red Square, 3 Piano Lane, Carysfort Road London N16 9AW) for the year beginning 1 April 2023 and ended 31 March 2024.
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 Companies Act 2006 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 objects for which Musiko Musika is registered are:
to promote, maintain, improve and advance cultural and musical education in the community, particularly education of students attending schools or other educational establishments and other young people particularly by the encouragement of the Art of Music with special reference to the education and training of young musicians, pupils who have or may discover musical gifts or aptitude and other persons likely to benefit therefrom, the practice and provision of music and musical studies; and
the creation, encouragement, teaching and performance of music including, without limitation, the acquisition and provision of facilities, instruments, scores and other means of performance and study and places for such purposes and any other matters which can be achieved by charitable means for charitable objects.
Investment powers
Under the articles of association, the charity has the power to make any investment, which the trustees see fit.
Professional advisers
Accountant and Independent Examiner: Brian Clifford, Bright Grahame Murray, Emperor's Gate, 114a Cromwell Road, Kensington, London, SW7 4AG.
Bank: Lloyds Bank.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
Section 2 Trustees and Governance
Organisation
A board of trustees who meet quarterly, administers the charity. All trustees are appointed by resolution of the existing trustee body. There are no custodian trustees.
Name of Trustee | Name of person (or body) entitled to appoint any charity trustee |
David Ayres | Trustee resolution |
Niamh Broderick | Trustee resolution |
Mansukhlal Hirani | Trustee Resolution |
Juliet Offner | Trustee resolution |
Isabel Ros-López | Trustee resolution |
Judith Skinner | Trustee resolution |
Martina Vernon | Trustee resolution |
Elanor Warwick (Chair) | Trustee resolution |
Section 3 Activities and Achievements
A report from the Joint Artistic Directors consisting of a review of the activities and progress on our Key Performance Indicators during the period 2023 / 2024 and an overview of future developments
Musiko Musika continues to be artistically directed and managed by Mauricio Venegas-Astorga and Rachel Pantin, founders of the organisation, and has been an Arts Council England National Portfolio Organisation since April 2012 with a new funding agreement in place for the NPO period 2023-26. Since April 2015 the organisation has had a base for its work at the Lyric Hammersmith and is one of a group of 9 partner organisations working with the Lyric, creating the biggest cultural hub for children and young people in West London. We also have a partnership with London Metropolitan University for an initial five-year period 2022-27 as part of the university’s London Met Labs. Our patrons are Baroness Christine Crawley, Baroness Gabrielle Bertin, Martin Morales and Richard Harvey.
The roots of the organisation are in Quimantu, the Anglo-Chilean band that was founded by Mauricio Venegas-Astorga in 1981. Quimantu has always had a social and cultural mission that extends beyond the band’s work in creating, performing, and recording music. In 1998 that mission took shape as a new organisation – Musiko Musika – an organisation that could work in parallel to Quimantu, reaching further than the band could alone, engaging children, young people, families and the community with music as a powerful agent for social change, as a tool for increasing our understanding of each other, and as means of giving creative and cultural expression to our lives.
From our Business Plan for the period April 2022 to March 2027:
We undertook a major review and update of our Business Plan and planning documents in 2022. These have been designed to integrate with Arts Council England's planning and monitoring tools and structures (Activity/Outcomes Plan and Investment Principles) and reflect our commitment to the Let's Create agenda. This report considers out progress and achievements against KPIs measuring delivery of our organisational mission, vision and aims.
High-level strategy for 2022-27
Consolidate our activities and brand identity around two strands: WMA and Sing Songo
Maintain our focus on work, projects and partnerships that are effective and strongly align with our vision, mission and values
Ensure our work supports and is relevant to the social and cultural needs of the people and communities we work with in the post-pandemic era
Provide a deeper musical and cultural experience to more people
Create a supportive inter-generational, inter-cultural community in the organisation and our work
Embed digital development, youth leadership and environmental sustainability in our organisational development, programme delivery and artistic development
Aims
1) Create opportunities for the diversity of cultures and talent in our communities to be valued and respected
2) Improve the social and educational outcomes for the children, young people and families we work with
3) Improve the wellbeing and mental health of our participants, audiences and team
4) Improve and extend/ strengthen equality of access and opportunities to participate in, perform and experience high quality music, particularly for people from underrepresented backgrounds
5) Scale up our reach and deepen our impact through our work in digital & content production
6) Create pathways for young people to access high quality music education with progression routes into the music industry
7) Reduce the environmental impact across all our activities
Activity strands:
There are two main strands to Musiko Musika's programme of work:
The World Music Academy strand provides world music programmes through participatory projects, the Voces Festival, performances, residencies, training and touring projects and the ECCO (Ethnic Contemporary Classical Orchestra) ensembles for young people.
The Sing Songo projects work in the UK and in Chile with children at early years, primary and secondary level as well as with families and teachers, using music to support the development of strong speech and language skills and other areas of the curriculum including personal, social and emotional development.
Digital: Both strands are supported by an extensive digital resource of videos, audio, publications and our two apps available for Apple and Android devices (Sing Songo and World Music Academy).
Equality, diversity and inclusion
The core principle at the heart of Musiko Musika’s EDI approach is that human beings are all equal, with empathy being the baseline for ensuring that our EDI policy is implemented across our work and throughout the organisation. Our EDI Policy and Action Plan set out our commitment to the principle that equality of opportunity and access, diversity of representation, provision and participation and inclusion are a continuous process of development and understanding for the organisation. Our guiding values:
Acceptance of difference
Flexibility
Communication
Connection
In response to the evolution of the social, political and cultural environment in which we live and work we continue to work to three key themes in our Action Plan that will have an impact on equality, diversity and inclusion in the work of the organisation and music, culture and education in the wider world. These are:
Theme 1: Accessibility
Theme 2: Inclusion beyond cultural diversity
Theme 3: Youth leadership & youth representation
Our EDI Action Plan is supported by and works in parallel with the Inclusivity and Relevance strand of our Arts Council Investment Principles Plan. Our 3-year ambition (2023-26) for the Inclusivity and Relevance Investment Principle is as follows:
“We have a deeply embedded sense of inclusion in our work and practises and will have codified our approach and systems in EDI that keep our work relevant so we can maintain and replicate these as MM grows and develops; we will share them externally as a leader on inclusive practice in our sector.”
In 2023/24 our staff and freelance artists extended to 29 people, of whom 69% are from backgrounds other than white European. We continue to strive to address through the provision of technology and support as well as in the design and production of our apps and digital content the barriers to inclusion that are embedded in society. With our partners we are also addressing equality of opportunity and access in the socio-economic diversity of the communities that we reach
Environmental statement
Musiko Musika’s Environmental Policy is a statement of our commitment to help reduce the impact of our activities on the environment based upon the following principles of:
integrating sustainability considerations into all our business decisions;
minimising the impact on sustainability of all office and transportation activities;
reviewing, annually reporting, and to continually strive to improve our sustainability performance.
The policy is supported by an Environmental Action Plan.
Our annual environmental report for 2023/24 (from data submitted to Julie’s Bicycle’s Creative IG Tools) shows emissions of 4 tonnes CO2 (emissions in 2022/23 were 9 tonnes). Last year’s emissions were higher due to the inclusion of an international artist from Chile in our Voces Festival. The use of a hybrid car with average fuel consumption of 148 mpg and 11KWh/ 100km has also had a positive effect on our emissions.
Energy for the office (electricity) continues to be supplied by a 100% renewable energy provider. We note that we have been informed by Julie’s Bicycle that due to the way in which data on electricity is currently collected and measured (across the country) and then reported elsewhere it is not possible for the reduced emissions from using a 100% renewable energy provider to be reflected in our carbon footprint.
Our 3-year ambition 2023-26 for Arts Council England’s Environmental Responsibility Investment Principle is as follows:
“Our significant artistic and organisational development ambitions around environmental sustainability will be supported by the skills, knowledge and capabilities in the organisation (team and board) and external partnerships to inform the development of our programming and new business models.”
Section 4 Policies
Reserves policy and risk management (Grant making policy, and investment selecting policy are not applicable)
Musiko Musika maintained a robust financial position during 2023/24 through careful risk management by the Joint Artistic Directors (JADs) under the oversight of the trustees. The challenging environment of the cost-of-living crisis continues to impact on many of the vulnerable groups that Musiko Musika work with, exposing inherent inequality across society as much as the wider cultural sector. Musiko Musika’s long-term commitment to equality, diversity and inclusion are needed now more than ever to provide sustained access to the life affirming musical experiences increasingly unavailable elsewhere.
Arts Council England National Portfolio Organisation funding for the period 2023-26 gives a base of stability for core costs and in the last year the range of external funding successfully brought in facilitated several new strands of work giving a balanced mix of new and ongoing funding sources. This is echoed in the diverse range of practical partnerships, which continue to introduce new connections into the family of longer-term collaborators. All of which enrich Musiko Musika’s impact and activities beyond financial benefit, through effective collaborations and supportive alliances.
We achieved last year’s reserves target of holding at least two months operational budget as a financial buffer which provides current projects with stability over the coming year against any unforeseen fluctuations in a difficult fundraising environment.
Risk management is undertaken through regular reviews of the financial position of the organisation and monitoring the comprehensive Risk Register alongside ACE’s approach to risk assessments. These are an important opportunity to review and ensure that the appropriate mitigating actions are in place to strengthen Musiko Musika and secure its successful operation and delivery of its mission. These procedures are now well-established and alongside the organisation’s strong project management skills we can ensure that we deliver high quality educational and cultural experiences whilst potential risks are mitigated, and new business avenues are constantly being explored.
Trustees’ responsibilities in relation to the financial statements
Company law requires the trustees to prepare financial statements that give a true and fair view of the state of affairs of the charity at the end of the financial year and of its surplus or deficit for the financial year. In doing so the trustees are required to:
• select suitable accounting policies and then apply them consistently;
• make judgements and estimates that are reasonable and prudent; and
• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enables them to ensure that the financial statements comply with the Companies Act 1985. The trustees are 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.
Accountant
The trustees agree to the reappointment of Brian Clifford of Bright Grahame Murray as accountant.
Section 5 Signature and Declaration
I declare in my capacity of charity trustee that the trustees have approved the above: and have authorised me to sign it on their behalf.
Elanor Warwick (Chair)
Date:
The trustees, who are also the directors of Musiko Musika for the purpose 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 which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
I report to the trustees on my examination of the financial statements of Musiko Musika (the charity) for the year ended 31 March 2024.
As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Musiko Musika is a private company limited by guarantee incorporated in England and Wales. The registered office is 8 Red Square, Piano Lane, Carysfort Road, London, N16 9AW, UK.
The financial statements have been prepared in accordance with the charity's [governing document], the Companies Act 2006, 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, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. 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.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
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.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost.
Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.
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. Bank overdrafts are shown within borrowings in current liabilities.
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.
Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to net income/(expenditure) for the year so as to produce a constant periodic rate of interest on the remaining balance of the liability.
Grants
Income from Charitable Activites
Income from Charitable Activites
Income from Charitable Activites
Bank interest receivable
Website and app costs
Project costs
Travelling
Insurance
Repairs and renewals
Communication and stationery
DBS Checks
Payroll costs
Bank charges
Project costs
Independent examiner fees
Other governance costs
The average monthly number of employees during the year was:
The remuneration of key management personnel was as follows:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
There were no disclosable related party transactions during the year (2023 - none).