REGISTERED COMPANY NUMBER: 05347772 (England and Wales)

REGISTERED CHARITY NUMBER: 1051578

Report of the Trustees and

Unaudited Financial Statements

for the Year Ended 31 March 2025

for

Birmingham Centre For Arts Therapies

Page

Report of the Trustees

1

to

3

Independent Examiner's Report

4

Statement of Financial Activities

5

Balance Sheet

6

to

7

Cash Flow Statement

8

Notes to the Cash Flow Statement

9

Notes to the Financial Statements

10

to

22

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 ended 31 March 2025. The trustees have adopted the provisions of 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).

This report is also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.

OBJECTIVES AND ACTIVITIES

Objectives and aims

Arts Therapies UK exists to improve mental health and wellbeing through the use of creative, evidence-based therapeutic interventions. Our charitable objectives, as recorded with the Charity Commission, are

1)

The relief of people with special needs by the provision of arts therapies

2)

To advance education and promote research and to publish the useful results of such research into arts therapies.

Significant activities

To achieve these objectives, Arts Therapies UK delivers a wide range of services across the country. In 2024-25, these included:

•

1,707 hours of 1-to-1 therapy with children, young people, and adults.

•

2,354 Arts in Health (AiH) sessions in community and group settings.

•

772 days of in-school therapeutic support working directly with pupils and teachers.

•

6 corporate wellbeing sessions, marking the soft launch of a new strand of work supporting staff in professional environments.

These activities represent more than statistics; they embody moments of creativity, connection, and healing for individuals facing trauma, isolation, stress, or mental health challenges.

Public benefit

In setting these objectives and aims, the Trustees have given due regard to the guidance published by the Charity Commission on Public Benefit.

ACHIEVEMENT AND PERFORMANCE

Charitable activities

This reporting year has been one of consolidation and renewed ambition. Emerging stronger after a challenging 2023, Arts Therapies UK has demonstrated growth in income, delivery, and impact.

The soft launch of our corporate wellbeing service was a significant milestone. Partnering with organisations including Avison Young, Clyde & Co, and Enable, we introduced creative, arts-based approaches to staff wellbeing. This initiative strengthens our mission while providing opportunities for unrestricted income to support our charitable programmes.

FINANCIAL REVIEW

Financial review

We are pleased to report a return to surplus, with income of £704,000 (a 19% increase on the previous year) and expenditure of £674,000, resulting in a net surplus of nearly £30,000.

Our unrestricted reserves have now reached the 10% target set by the Board, a key measure of financial resilience. This achievement reflects careful financial management under the guidance of our CFO, Mark Driver, whose stewardship and commitment to governance have been invaluable.

While our fundraising function experienced disruption, we were delighted to welcome back Helen Couriel as Lead Fundraiser. Despite challenges, Helen secured strong levels of grant funding, and the coming year will see renewed investment in this vital area.

Reserves policy

The charity's policy is to hold unrestricted reserves at a target level of 10% of annual turnover, to ensure resilience and stability.

As of 31 March 2025, our reserves totalled £253,886, of which £180,803 are restricted. The remaining £68,963 of free reserves is just below our target of 10% of turnover by only £1,457.

Going concern

There are no material concerns about the charities ability to continue. The budgeted income and expenditure for the following year, based on reduced levels of service, is sufficient fort the charity to continue as a going concern.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document and charity constitution

The charity is a Charitable Company, Limited by Guarantee. It was opened September 1993, registered as a Charity in December 1993 and became a Company Limited by Guarantee in January 2005.

Structure, Governance and Management

The Board of Trustees has continued to provide robust oversight and strategic direction. Trustees have been fully engaged in supporting organisational restructuring, reviewing risk management, and ensuring strong financial and governance policies.

We are grateful for the continued service of our trustees and extend particular thanks to Wendy Cox, who stepped down this year after many years of valued contribution. Her dedication has played an important role in the charity's growth and stability.

Internally, the Board oversaw a modest restructure to create a more agile and impact-driven leadership team. New roles-including Deputy CEO/Head of Operations, Customer Success Manager - Therapy, and Customer Success Manager - Therapeutic Activities-reflect our commitment to service quality and client focus.

In January 2025, the Board was pleased to welcome our CEO, Russell Wall, into his role on a full-time basis. Under his leadership, the organisation has grown significantly in reach, delivery, and strategic clarity.

Looking ahead, the Board remains committed to strong governance and to ensuring that all decisions are rooted in our mission, values, and impact.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

05347772 (England and Wales)

Registered Charity number

1051578

Registered office

c/o Locke Williams Associates LLP

Studio 2

50-54 St Pauls Square

Birmingham

B3 1QS

Trustees

Dr J Clarke

Ms W Cox (resigned 30.11.24)

R French-Lowe

L Owen

C Graham

W A Ham (appointed 7.7.25)

S J Gambardella (appointed 7.7.25)

L A Allen (appointed 7.7.25)

K Self (appointed 7.7.25)

The above Trustees are also Directors of the company.

Company Secretary

R Wall

Independent Examiner

Locke Williams Associates LLP

Chartered Accountants

Studio 2

50-54 St Pauls Square

Birmingham

West Midlands

B3 1QS

Approved by order of the board of trustees on 23 September 2025 and signed on its behalf by:

R French-Lowe - Trustee

Independent examiner's report to the trustees of Birmingham Centre For Arts Therapies ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2025.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company 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 your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act.

Independent examiner's statement

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a member of the 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:

1.	accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or

2.	the accounts do not accord with those records; or

3.	the accounts 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

4.

the accounts 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 accounts to be reached.

David Williams FCA FCCA

Locke Williams Associates LLP

Chartered Accountants

Studio 2

50-54 St Pauls Square

Birmingham

West Midlands

B3 1QS

24 September 2025

31.3.25

31.3.24

Unrestricted

Restricted

Total

Total

funds

funds

funds

funds

Notes

£

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

2

142,765

167,106

309,871

179,030

Charitable activities

4

Therapy

287,848

102,520

390,368

406,820

Investment income

3

3,189

-

3,189

3,809

Other income

770

-

770

1,225

Total

434,572

269,626

704,198

590,884

EXPENDITURE ON

Raising funds

5

22,935

-

22,935

25,172

Charitable activities

6

Therapy

377,904

273,862

651,766

625,875

Total

400,839

273,862

674,701

651,047

NET INCOME/(EXPENDITURE)

33,733

(4,236

)

29,497

(60,163

)

Transfers between funds

16

(588

)

588

-

-

Net movement in funds

33,145

(3,648

)

29,497

(60,163

)

RECONCILIATION OF FUNDS

Total funds brought forward

39,938

184,451

224,389

284,552

TOTAL FUNDS CARRIED FORWARD

73,083

180,803

253,886

224,389

31.3.25

31.3.24

Notes

£

£

FIXED ASSETS

Tangible assets

12

4,120

3,687

CURRENT ASSETS

Debtors

13

43,017

48,226

Cash at bank

216,571

184,783

259,588

233,009

CREDITORS

Amounts falling due within one year

14

(9,822

)

(12,307

)

NET CURRENT ASSETS

249,766

220,702

TOTAL ASSETS LESS CURRENT LIABILITIES

253,886

224,389

NET ASSETS

253,886

224,389

FUNDS

16

Unrestricted funds

73,083

39,938

Restricted funds

180,803

184,451

TOTAL FUNDS

253,886

224,389

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2025.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2025 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

(a)	ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.

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

The financial statements were approved by the Board of Trustees and authorised for issue on 23 September 2025 and were signed on its behalf by:

R French-Lowe - Trustee

Cash flows from operating activities

Cash generated from operations

1

31,073

(69,936

)

Net cash provided by/(used in) operating activities

31,073

(69,936

)

Cash flows from investing activities

Purchase of tangible fixed assets

(2,474

)

(3,372

)

Interest received

3,189

3,809

Net cash provided by investing activities

715

437

Change in cash and cash equivalents in the reporting period

31,788

(69,499

)

Cash and cash equivalents at the beginning of the reporting period

184,783

254,282

Cash and cash equivalents at the end of the reporting period

216,571

184,783

1.	RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES

31.3.25

31.3.24

£

£

Net income/(expenditure) for the reporting period (as per the Statement of Financial Activities)

29,497

(60,163

)

Adjustments for:

Depreciation charges

2,041

1,422

Interest received

(3,189

)

(3,809

)

Decrease/(increase) in debtors

5,209

(2,436

)

Decrease in creditors

(2,485

)

(4,950

)

Net cash provided by/(used in) operations

31,073

(69,936

)

2.	ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank

184,783

31,788

216,571

184,783

31,788

216,571

Total

184,783

31,788

216,571

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, 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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing.

No amount is included in the financial statements for volunteer time in line with the Charities SORP (FRS 102).

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Allocation and apportionment of costs

Expenditure on charitable activities includes:

-

Direct costs being directly related therapists fees and travel costs incurred in the performance of the therapy programmes

-

Support costs, being those costs that that assist the work of the charity but do not directly represent charitable activities and include office premises costs, administrative support costs and governance costs. They are incurred directly in support of expenditure on the objects of the charity.

Where costs can not be directly attributed to particular headings, they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Office equipment and furniture

-

25% on cost

Computer equipment

-

25% on cost

The costs of minor additions or those costing below £500 are not capitalised.

Taxation

The charity is registered with the Charity Commission and under the provisions of Section 478 Corporation Tax Act 2010, is exempt from liability to taxation on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Financial instruments

The Charity only has financial assets and 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. These basic financial instruments include debtors and creditors, receivable or payable within one year and with no with stated interest rate.

Cash and cash equivalents

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.

2.	DONATIONS AND LEGACIES

31.3.25

31.3.24

£

£

Donations

1,759

3,902

Grants

308,112

175,128

309,871

179,030

Grants received, included in the above, are as follows:

31.3.25

31.3.24

£

£

National Lottery Community Fund

75,889

74,179

Birmingham Cty Council

73,400

13,163

Baron Davenports

1,700

-

Eveson Charitable Trust

-

15,000

Birmingham District Nursing Charitable Trust

3,000

5,000

Edward and Dorothy Cadbury Trust

2,500

-

Roger & Douglas Turner Charitable Trust

5,000

4,000

WED Charitable Trust

1,000

-

Souter Charitable Trust

3,000

3,000

Cole Charitable Trust

2,000

-

Arnold Clark

1,000

-

DG Albright Charitable Trust

500

-

Lillie Johnson Charitable Trust

500

-

Fitton Trust

300

-

Grimmitt Trust

-

3,000

Edgbaston Neighbourhood Network Scheme

-

9,990

Garfield Weston Foundation

15,000

15,000

W A Cadbury

25,000

-

City of Wolverhampton Council

5,632

7,416

The Foyle Foundation

-

15,000

Sir Jules Thorn Trust

3,000

2,500

Richard Kilcuppes Charity

500

500

George Henry Collins Charity

-

750

Yardley Neighbourhood Network Scheme

-

6,630

Awards For All

18,736

-

Bentley Advancing Life Chances

500

-

Eric W Vincent Trust

780

-

The Grantham Yorke Trust

4,000

-

G J W Turner Trust

1,000

-

The James Frederick And Ethel Anne Measures Charity

1,500

-

Keith and JoanMindelshon Charitable Trust

1,000

-

The Lord Austin Trust

1,500

-

The Saintbury Trust

3,000

-

Squire Patton Boggs Charitable Trust

500

-

The Haramead Trust

5,000

-

The Patrick Trust

2,000

-

Department for Education (DfE)

7,943

-

Hodge Hill Neighbourhood Network Scheme

9,991

-

Arts Council England

26,971

-

Ways for Wellbeing UK CIC

3,330

-

Warwick Town Council

1,440

-

308,112

175,128

3.	INVESTMENT INCOME

31.3.25

31.3.24

£

£

Deposit account interest

3,189

3,809

4.	INCOME FROM CHARITABLE ACTIVITIES

31.3.25

31.3.24

Activity

£

£

Therapists sessional fees

Therapy

307,505

356,197

Arts in Health

Therapy

82,863

50,623

390,368

406,820

5.	RAISING FUNDS

Raising donations and legacies

31.3.25

31.3.24

£

£

Staff costs

22,935

25,172

6.	CHARITABLE ACTIVITIES COSTS

Support

Direct

costs (see

Costs

note 7)

Totals

£

£

£

Therapy

533,482

118,284

651,766

7.	SUPPORT COSTS

Governance

Management

costs

Totals

£

£

£

Therapy

116,540

1,744

118,284

Support costs, included in the above, are as follows:

Management

31.3.25

31.3.24

Total

Therapy

activities

£

£

Trustees' expenses

-

59

Wages

64,151

55,400

Rent

144

-

Administration

10,772

12,036

Meetings

653

741

Communication

16,042

14,706

Light, power & heating

13,211

1,233

Training & courses

919

1,428

Miscellaneous

5,552

10,829

Advertising & marketing

1,872

2,754

Carried forward

113,316

99,186

31.3.25

31.3.24

Total

Therapy

activities

£

£

Brought forward

113,316

99,186

Insurance

1,183

1,247

Depreciation of tangible and heritage assets

2,041

1,422

116,540

101,855

Governance costs

31.3.25

31.3.24

Total

Therapy

activities

£

£

Accountancy and legal fees (including independent examination)

1,744

1,693

8.	NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

31.3.25

31.3.24

£

£

Depreciation - owned assets

2,041

1,423

Independent examination

540

540

9.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 March 2025 nor for the year ended 31 March 2024.

Trustees' expenses

31.3.25

31.3.24

£

£

Trustees' expenses

-

59

One trustee was reimbursed travel expenses in the prior year.

10.	STAFF COSTS

31.3.25

31.3.24

£

£

Wages and salaries

192,615

133,626

Social security costs

13,945

53,571

Other pension costs

4,724

3,818

211,284

191,015

The average monthly number of employees during the year was as follows:

31.3.25

31.3.24

Project staff

3

3

Central & administration

2

2

Fundraising

1

1

6

6

No employees received emoluments in excess of £60,000.

Remuneration paid to Key Management Personnel in the year totalled £36,188 (2024 £28,782).

11.	COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted

Restricted

Total

funds

funds

funds

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

69,937

109,093

179,030

Charitable activities

Therapy

328,006

78,814

406,820

Investment income

3,809

-

3,809

Other income

1,225

-

1,225

Total

402,977

187,907

590,884

EXPENDITURE ON

Raising funds

25,172

-

25,172

Charitable activities

Therapy

391,329

234,546

625,875

Total

416,501

234,546

651,047

NET INCOME/(EXPENDITURE)

(13,524

)

(46,639

)

(60,163

)

RECONCILIATION OF FUNDS

Total funds brought forward

53,461

231,091

284,552

TOTAL FUNDS CARRIED FORWARD

39,937

184,452

224,389