REGISTERED COMPANY NUMBER: 07759249 (England and Wales)

REGISTERED CHARITY NUMBER: 1143799

Trustees' Report and

Unaudited Financial Statements for the Year Ended 31 December 2024

for

MUSLIM COMMUNITY OF ESSEX

(A COMPANY LIMITED BY GUARANTEE)

Page

Reference and Administrative Details

1

Trustees' Report

2

to

5

Independent Examiner's Report

6

Statement of Financial Activities

7

Statement of Financial Position

8

to

9

Notes to the Financial Statements

10

to

15

TRUSTEES

Mr M T Hussain

Dr S Naqvi

Mr A Rashid

Mr F A Shah

Mr M Hussain

Mr S A R Rizvi

Mr M M Jawad

REGISTERED OFFICE

874 Eastern Avenue

Ilford

Essex

IG2 7HY

REGISTERED COMPANY NUMBER

07759249 (England and Wales)

REGISTERED CHARITY NUMBER

1143799

INDEPENDENT EXAMINER

HM Accountax Ltd

Chartered Certified Accountants

86-90 Paul Street

Islington

London

EC2A 4NE

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 December 2024. 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).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The Muslim Community of Essex's objective is to advance the religion of Islam and education, the provision of social and religious welfare activities and to provide relief of poverty among Shia Muslims.

Significant activities

The charity provides facilities for observing the important events in the Shia calendar.

1.There are approximately 125 days of importance in the calendar which are marked by observations with special functions. These include the fasting month of Ramadhan and the mourning month of muharram.

2. Daily prayer facilities, five times a day including Fajar before the sunrise.

3. Facilities are provided for Juma prayers every Friday and where participants include other Muslims.

4. Education facilities including madressa.

Public benefit

The trustees have considered the general guidance on public benefit issued by the Charities Commission and have taken due regard of that guidance. The trustees consider that they are satisfied that the charity's activities do provide a public benefit.

ACHIEVEMENTS AND PERFORMANCE

Charitable activities

This year, the number of community programmes has increased compared to past years, reflecting stronger engagement and a growing participation across all initiatives.

Muharram Programmes

Over the first 10 days of Muharram, the programmes were highly successful, marked by significant attendance. Distinguished speakers were invited to share insightful sessions, while young reciters were given opportunities to participate, fostering emerging talent within the community.

Workshops, Community Initiatives and Skill Development

Social Media Workshop: Conducted by a professional trainer, this workshop equipped youth participants with practical skills in video editing and digital content creation.

First-Aid Training: Sixteen participants received training from an award-winning first-aid expert, enhancing the community’s preparedness for emergencies.

Sunday Morning Prayer and Breakfast Club: Initiated to promote spiritual practice and social interaction among community members.

Youth and Children Engagement

MCE Youth Sunday education clubs: Successfully organized for the first time at MCE, providing participants with a unique educational and spiritual experience.

MCE Youth Seminars: Interactive sessions with scholars encouraged youth engagement, discussion, and learning.

MCE Young Stars Programmes: Launched during Ramadhan Kareem and Muharram to encourage young talent and creativity.

Children’s Classes: Conducted alongside the main programmes in Muharram, these classes provided religious and moral education to children, ensuring engagement for all age groups.

FINANCIAL REVIEW

Financial position

The results for the year are as shown in the financial statements. The statement of financial activities shows the incoming resources and the resources expended by the different activities conducted under the Charity's name. In order to provide a better understanding of the activities undertaken, a summary and analysis of the activities is included.

The Trustees confirm that the annual report and financial statements of MCE comply with the current statutory requirements of the Charity's governing document and the provisions of the applicable charities Statement of Recommended Practice (SORP), UK Accounting Standards and the Charities Act 2011.

The Statement of Financial Activities shows how the Charity's funds have been applied during the year. The gross receipts of the Charity were £124,243 (2023: £95,785). At 31 December 2024, the balance on the restricted fund was £50,390 (2023: £44,290). The charity had a deficit of £2,868 for the year.

Reserves policy

The trustees aim to ensure that sufficient funds are maintained to enable the trust to carry out its activities.

Going concern

The trustees have assessed the Charity’s financial position and future plans and are satisfied that it has adequate resources to continue operating for the foreseeable future. The Charity has maintained stable income streams from member contributions and donations, and holds sufficient reserves to meet its obligations and planned activities.

There are no material uncertainties that cast doubt on the Charity’s ability to continue as a going concern. Accordingly, the financial statements have been prepared on a going concern basis.

Funds in deficit

The deficit in the current year was primarily due to two factors. Firstly, the organisation inherited financial challenges from the previous year. Secondly, expenses increased during the period. To address this, we are launching a membership campaign to boost regular income, improving collections and Gift Aid claims, reviewing rental income opportunities, and implementing tighter expense controls to manage costs more effectively.

FUTURE PLANS

The charity will continue to focus on promoting the advancement of Islamic religion among the shia muslims. It will also continue to improve the facilities provided at MCE.

Community Engagement and Development

MCE Senior Citizens Initiative: Targeted programmes to support and engage senior members, promoting active participation and well-being.

MCE Book Club: Establishment of a book club to cultivate a culture of reading, discussion, and lifelong learning.

Youth Entrepreneurship Programme: A platform for young members to present business ideas and receive mentorship and financial support from experienced community professionals.

Organizational Growth and Digital Transformation

Centralized Data Management: Streamlining community records to improve efficiency and decision-making.

New Website Development: Creating a modern, user-friendly digital platform to enhance communication and engagement.

Improved Audio-Visual Recording: Upgrading recording of programmes for later broadcast on YouTube, enhancing community awareness and outreach.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

Muslim Community of Essex (“MCE”) is a company limited by guarantee incorporated on 1 September 2011.

The charitable company is governed by a Memorandum and Articles of Association. It was registered as a charity with the Charity Commission on 14 September 2011.

In the event of the charitable company being wound up members are required to contribute an amount not exceeding £1.

Recruitment and appointment of new trustees

The charity is governed by a board of trustees drawn from local community. This is to ensure that the board has skills and experience required to oversee the management of the charity and its operation.

Induction and training of new trustees

All new trustees receive a planned induction programme before taking up their place on the board. This includes an explanation of their roles and responsibilities, an induction to other trustees, an overview of the recent business and an explanation of board format and process.

Key management remuneration

The trustees are considered to be the key management personnel of of the charity, in charge of directing and controlling the charity and running its day to day operations. All trustees give of their time freely and no trustee remuneration was paid in the year.

Trustees are required to disclose all relevant interests and register them with Board of Trustees, and, in accordance with trusts policy, withdraw from decision where a conflict of interest arises.

Details of trustee expenses and related party transactions are disclosed in notes to the accounts.

Related parties

The Charity does not hold assets on behalf of any another Charity, company or individual.

Risk management

The trustees have examined the major strategic, business and operational risks which the trust faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks

No serious incidents were reported during the year.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO THE INDEPENDENT EXAMINER:

In so far as the trustees are aware:

- there is no relevant accounting information of which the charity's independent examiner are unaware; and

- the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant accounting information and to establish that the independent examiner are aware of that information.

TRUSTEES' RESPONSIBILITY STATEMENT

The trustees (who are also the directors of Muslim Community Of Essex for the purposes 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) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

Company law requires the trustees to prepare financial statements for each financial year. Under that law, the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those 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;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the board of trustees on 31 October 2025 and signed on its behalf by:

Dr S Naqvi - Trustee

Independent examiner's report to the trustees of Muslim Community Of Essex ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 December 2024.

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

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.

Muhammad Husnain Haider FCCA, ACA

HM Accountax Ltd

Chartered Certified Accountants

86-90 Paul Street

Islington

London

EC2A 4NE

31 October 2025

2024

2023

Unrestricted

Restricted

Total

Total

fund

funds

funds

funds

Notes

£

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

68,871

6,100

74,971

71,479

Charitable activities

Charitbale actitivity

21,185

-

21,185

13,673

Investment income

2

28,087

-

28,087

10,633

Total

118,143

6,100

124,243

95,785

EXPENDITURE ON

Charitable activities

3

Charitbale actitivity

54,372

-

54,372

80,326

Other

72,739

-

72,739

56,787

Total

127,111

-

127,111

137,113

NET INCOME/(EXPENDITURE)

(8,968

)

6,100

(2,868

)

(41,328

)

Other recognised gains/(losses)

Gains on revaluation of fixed assets

-

-

-

455,510

Net movement in funds

(8,968

)

6,100

(2,868

)

414,182

RECONCILIATION OF FUNDS

Total funds brought forward

1,365,248

44,290

1,409,538

995,356

TOTAL FUNDS CARRIED FORWARD

1,356,280

50,390

1,406,670

1,409,538

CONTINUING OPERATIONS

All income and expenditure has arisen from continuing activities.

2024

2023

Unrestricted

Restricted

Total

Total

fund

funds

funds

funds

Notes

£

£

£

£

FIXED ASSETS

Tangible assets

9

1,100,080

-

1,100,080

1,126,259

CURRENT ASSETS

Debtors

10

55,000

-

55,000

40,000

Cash at bank and in hand

212,119

50,390

262,509

245,779

267,119

50,390

317,509

285,779

CREDITORS

Amounts falling due within one year

11

(10,919

)

-

(10,919

)

(2,500

)

NET CURRENT ASSETS

256,200

50,390

306,590

283,279

TOTAL ASSETS LESS CURRENT LIABILITIES

1,356,280

50,390

1,406,670

1,409,538

NET ASSETS

1,356,280

50,390

1,406,670

1,409,538

FUNDS

12

Unrestricted funds:

General fund

1,356,280

1,365,248

Restricted funds:

Khums - S Imam

38,954

32,854

Khums - S Saadat

265

265

Building fund

11,171

11,171

50,390

44,290

TOTAL FUNDS

1,406,670

1,409,538

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2024.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2024 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 31 October 2025 and were signed on its behalf by:

Mr M T Hussain - Trustee

Mr M Hussain - Trustee

Mr S A R Rizvi - Trustee

Dr S Naqvi - Trustee

1.	ACCOUNTING POLICIES

Charity information

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, as modified by the revaluation of certain assets.

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.

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 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.

Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.

Tangible fixed assets

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

Freehold property

-

2% on cost

Improvements to property

-

20% on cost

Related party exemption

The charitable company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Taxation

As the Charity is not registered for VAT, all costs shown are inclusive of VAT. The charity is exempt from corporation tax 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.

2.	INVESTMENT INCOME

2024

2023

£

£

Rents received

28,087

10,633

3.	CHARITABLE ACTIVITIES COSTS

Support

Direct

costs (see

Costs

note 4)

Totals

£

£

£

Charitbale actitivity

52,808

1,564

54,372

4.	SUPPORT COSTS

Governance

Finance

costs

Totals

£

£

£

Charitbale actitivity

64

1,500

1,564

5.	NET INCOME/(EXPENDITURE)

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

2024

2023

£

£

Depreciation - owned assets

26,179

17,199

6.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 December 2024 nor for the year ended 31 December 2023.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 December 2024 nor for the year ended 31 December 2023.

7.	STAFF COSTS

2024

2023

£

£

Wages and salaries

11,667

7,724

11,667

7,724

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

2024

2023

Volunteers

30

15

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

8.	COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted

Restricted

Total

fund

funds

funds

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

71,224

255

71,479

Charitable activities

Charitbale actitivity

13,673

-

13,673

Investment income

10,633

-

10,633

Total

95,530

255

95,785

EXPENDITURE ON

Charitable activities

Charitbale actitivity

80,326

-

80,326

Other

56,787

-

56,787

Total

137,113

-

137,113

NET INCOME/(EXPENDITURE)

(41,583

)

255

(41,328

)

Other recognised gains/(losses)

Gains on revaluation of fixed assets

455,510

-

455,510

Net movement in funds

413,927

255

414,182

RECONCILIATION OF FUNDS

Total funds brought forward

951,321

44,035

995,356

TOTAL FUNDS CARRIED FORWARD

1,365,248

44,290

1,409,538

9.	TANGIBLE FIXED ASSETS

Improvements

Fixtures

Freehold

to

and

property

property

fittings

Totals

£

£

£

£

COST

At 1 January 2024 and 31 December 2024

1,283,710

43,218

2,528

1,329,456

DEPRECIATION

At 1 January 2024

158,710

43,218

1,269

203,197

Charge for year

25,674

-

505

26,179

At 31 December 2024

184,384

43,218

1,774

229,376

NET BOOK VALUE

At 31 December 2024

1,099,326

-

754

1,100,080

At 31 December 2023

1,125,000

-

1,259

1,126,259

10.	DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Prepayments and accrued income

55,000

40,000

11.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2024

2023

£

£

Other creditors

1,000

1,000

Accrued expenses

9,919

1,500

10,919

2,500

12.	MOVEMENT IN FUNDS

Net

movement

At

At 1/1/24

in funds

31/12/24

£

£

£

Unrestricted funds

General fund

1,365,248

(8,968

)

1,356,280

Restricted funds

Khums - S Imam

32,854

6,100

38,954

Khums - S Saadat

265

-

265

Building fund

11,171

-

11,171

44,290

6,100

50,390

TOTAL FUNDS

1,409,538

(2,868

)

1,406,670

Net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

118,143

(127,111

)

(8,968

)

Restricted funds

Khums - S Imam

6,100

-

6,100

TOTAL FUNDS

124,243

(127,111

)

(2,868

)

Comparatives for movement in funds

Net

movement

At

At 1/1/23

in funds

31/12/23

£

£

£

Unrestricted funds

General fund

951,321

413,927

1,365,248

Restricted funds

Khums - S Imam

32,599

255

32,854

Khums - S Saadat

265

-

265

Building fund

11,171

-

11,171

44,035

255

44,290

TOTAL FUNDS

995,356

414,182

1,409,538

Comparative net movement in funds, included in the above are as follows:

Incoming

Resources

Gains and

Movement

resources

expended

losses

in funds

£

£

£

£

Unrestricted funds

General fund

95,530

(137,113

)

455,510

413,927

Restricted funds

Khums - S Imam

255

-

-

255

TOTAL FUNDS

95,785

(137,113

)

455,510

414,182

A current year 12 months and prior year 12 months combined position is as follows:

Net

movement

At

At 1/1/23

in funds

31/12/24

£

£

£

Unrestricted funds

General fund

951,321

404,959

1,356,280

Restricted funds

Khums - S Imam

32,599

6,355

38,954

Khums - S Saadat

265

-

265

Building fund

11,171

-

11,171

44,035

6,355

50,390

TOTAL FUNDS

995,356

411,314

1,406,670