The Trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ending 31 July 2024. The Trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts.
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 Trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives they have set.
The main objectives of the charity are: -
• To provide and promote a method of enhancing music education and personal development for children and teachers in schools
• To provide a safe and user-friendly environment for the children
The Voices Foundation's Theory of Change, which outlines how we aim to transform music education for children in England, has remained central to our work. We have worked creatively in partnership with schools, Multi-Academy Trusts, Music Hubs, and other education providers to achieve their ambitions for music teaching and learning and maximise impact for the pupils they serve, delivering our committed programmes throughout the school year. We have provided over 1,000 teachers and other education professionals with high-quality music learning experiences over the past year, which in turn has benefitted over 50,000 pupils in England.
After three decades of supporting the development of children and young people through singing, the Voices Foundation ceased operations in July owing to the current economic climate. However, the legacy of the recently closed charity is set to continue through a new teacher support programme announced by ABRSM. ‘ABRSM Voices’ will offer Continuing Professional Development (CPD) opportunities, bespoke curriculum programmes and engagement support across a wide range of settings, from schools and Multi-academy Trusts (MATs) to music hubs and choral festivals. In addition, the programme will extend ABRSM’s offer to school music teachers, building on relationships forged through initiatives such as Classroom 200 and the Teacher Hub. The programme, to be delivered by a team of practitioners, many of whom previously worked with the Voices Foundation, will be able to continue the inspirational work created by the Voices Foundation through the future ABRSM programmes. We are glad of the opportunity provided by ABRSM to offer the potential for real impact on the future music education landscape.
At the October 2023 board meeting the management team presented a forward view of the activities and finances for the charity based on their considerable continued efforts on both programme sales and fundraising. While there remain many opportunities, new and existing, for programmes, the financial forecast indicated a significant gap such that the charity was not a going concern. At the December 2023 board meeting, and after seeking further, more detailed, information from the management team which re-confirmed that the charity was not a going concern, a decision was taken by the Board to close the charity. Following that decision the delivery of committed programmes continued through the practitioners while the administrative focus was towards closure in an orderly manner, with staff given proper notice and appropriate notification and treatment of the various contractual arrangements in place.
Under normal operating conditions reserves are needed to bridge the gaps between spending on education and outreach activities and receiving resources through voluntary donations and grants. The Trustees have established the level of reserves that the charity ought to have. The trustees consider that a prudent level of reserves should cover at least 3 months costs of the charity at the level included in the forward-looking budget for the year ahead, which equates to £nil (2023: £120,744). Since 4Q of 2023 when the trustees were made aware that the general reserves held had fallen below the policy level, the actual reserves have been monitored closely. The level of reserves continued to fall during the year as resources were required to cover costs arising as part of the closing of the Voices Foundation. The actual general reserves at 31 July 2024 were £3,558 (2023: £77,288) and restricted reserves £nil (2023: £62,727).
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:
Trustees are appointed due to their interest in the work of the charity and their recognised experience in specific fields which will further support the work of The Voices Foundation.
The Board of Trustees has overall control of the charity's activities and typically meets on a quarterly basis. In the exceptional circumstances of the charity not being a going concern the board has met more frequently to consider the matters arising.
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of The Voices Foundation (the charity) for the year ended 31 July 2024.
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.
The Voices Foundation is a private company limited by guarantee incorporated in England and Wales. The registered office is Penrose House, 67 Hightown Road, Banbury, Oxfordshire, OX16 9BE.
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.
As at the time of approving the accounts, the trustees have a reasonable expectation that the charity will not continue as a going concern. The trustees intend to close the charity within the following accounting period and transfer the remaining assets and liabilities into another charity. Therefore the accounts are prepared on a basis other than the going concern basis. Current assets have been stated at recoverable amounts. Any creditors falling after more than one year have been restated as current.
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.
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.
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.
Fees for training
Resource/product sales
Training activities
The average monthly number of employees during the year was:
Redundancy and termination payments totalling £3,215 were made in the reporting period.
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
Deferred income is included in the financial statements as follows:
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 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.
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.
There were no disclosable related party transactions during the year (2023 - none).