The trustees present their annual report and financial statements for the year ended 30 November 2024.
The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) in preparing the annual report and financial statements of the charity.
Legal and administrative information set out at the front of these financial statements form part of this report.
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 dated 5 September 2016, the Charities Act 2011 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 company was incorporated on 26 August 2022 and became registered at the charity commission on 20 November 2023.
For the benefit of the public generally, particularly the inhabitants of Middlesex and its surrounding areas:
(a) to promote community participation in healthy recreation by providing facilities for the playing of and development of cricket and other sports that are capable of improving health (‘facilities’ in this article means land, buildings, equipment and organising sporting activities including coaching and instruction);
(b) to provide and assist in providing facilities for sport, recreation or other leisure time occupation of such persons who have need for such facilities by reason of their youth, age, infirmity or disablement, poverty or social and economic circumstances or for the public at large in the interests of social welfare and with the object of improving their conditions of life;
(c) to advance the education of children and young people, with particular reference to those in schools and universities, through such means as the trustees think fit in accordance with the law of charity;
(d) to further such other exclusively charitable purposes according to the law of England and Wales as the trustees see fit from time to time.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
The board have set the following priorities in the foreseeable future:
Develop a clear, forward-looking strategy and an execution plan, and
Engage with the charity’s stakeholders to foster broader buy-in, working with the team to agree clear shared objectives and help reinvigorate the board’s efforts.
The year has been one of transition for Middlesex in the Community (MITC), marked by changes to the management structure and the implementation of new accounting processes to ensure greater transparency and efficiency. Despite these adjustments, MITC has continued to deliver a broad programme of activity across the county, supported by key funding partners:
Chance to Shine – Supported the delivery of cricket in primary and secondary schools, together with leadership programmes and street cricket clubs to engage young people in non-traditional formats of the game.
Lord’s Taverners – Enabled inclusive opportunities for young people through cricket in SEND schools and the development of Super 1s disability cricket hubs.
ACE – Funded the recruitment of a North London Cricket Development Officer to increase participation among communities chronically under-represented in cricket.
ECB – As MITC’s major funder, provided core County Partnership Agreement (CPA) funding for operational and staffing costs. Targeted ECB funds also supported programmes in Women and Girls’ cricket, Coach Development, and the Cricket Cities initiative.
MITC is grateful for the continued support of its partners, which has allowed the charity to maintain delivery, broaden participation, and strengthen its operational foundation during a period of organisational change.
The charity’s income of £803,076 (2023: £213,814) was mainly made up of donations received.
The annual expenditure amounted to £936,452 (2024: £22,317).
As at 30 November 2024 Middlesex In The Community Ltd carried forward unrestricted general funds of £18,942 (2023: £191,497) and restricted funds of £39,179 (2023: £nil).
In line with the recommendations of the Charity Commission, the trustees have formally adopted a reserves policy. This recognises that the income of the Trust does not arise evenly year on year and so to enable the Trust to plan its activities it is prudent to hold reserves.
The charity have worked hard over the financial year ended 30 November 2024 to stabilise the position of a number of income sources, meaning the charity is now in better financial health. Suppliers have been engaged with and relationships have improved such that MITC is more certain of its go-forward funding position.
In addition to this, a thorough review of the roles and responsibilities of staff has been carried out, leading to an improved operational structure within the business that should lead to more effective organisation and profit-making in future years. A fundraising plan was put in place by MITC to generate additional income into cricket (aside from core income) which will make MITC more financially sustainable in the long term.
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The charity is a company limited by guarantee. The charity was established by a governing document dated 30 October 2023 and registered with the Charity Commission under charity number 1205799.
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:
The existing trustees are responsible for appointing further trustees. Any person who is willing to act as a trustee, and who is permitted by law to do so, may be appointed to be a trustee by resolution of the Trustees.
The minimum number of trustees is three and the maximum number of trustees is 12.
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of Middlesex In The Community Ltd (the charity) for the year ended 30 November 2024.
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the Companies Act 2006 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. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the Charities Act 2011.
Since the charity’s gross income exceeded £250,000, the independent examiner must be a member of a body listed in section 145 of the Charities Act 2011. I confirm that I am qualified to undertake the examination because I am a member of Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
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 Companies Act 2006.
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 Companies Act 2006 other than any requirement that the financial statements 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 financial statements 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.
Middlesex In The Community Ltd is a private company limited by guarantee incorporated in England and Wales. The registered office is Lord's Cricket Ground, St. John's Wood Road, London, NW8 8QN.
The reporting period was extended to 30 November 2023 to align the company's the reporting date with that of related entities. The reporting period for the period ended 30 November 2023 is 15 months.
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" 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)". 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.
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.
Events and fundraising is recognised on an invoice basis at the date of the events and fundraising takes place.
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 of purchase cost.
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’ 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.
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the charity transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
Basic financial liabilities, including creditors 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.
The average monthly number of employees during the year was:
There was no key management personnel compensation in the period.
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 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.
The Trust is limited by guarantee without any share capital. In the event of the Society being wound up, each member is liable to contribute for the payment of the debts and liabilities of the Trust of such amount as may be required, but not exceeding £1.
At the period end, the charitable company owed £9,687 (2023: £2,254) to Middlesex County Cricket Club Limited and was owed £Nil (2023: owed £55) by Middlesex Cricket Board Limited, in relation to reimbursed expenses.