The trustees present their report and financial statements for the year ended 31 March 2026.
The trustees are also directors of the charity for the purposes of the Companies Act 2006. The trustees' report contains a directors' report as required by company law.
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 charity's objects are to promote the widest understanding of professional audio in all its contexts and to promote the cultural and educational benefits resulting from producing sound of high technical and artistic quality; in particular, by encouraging the maintenance of the highest professional standards among sound operations personnel, securing improvements in the art and technique of operational sound resulting in such cultural and educational benefits, promoting and publishing the relevant results of experiment and research designed to secure such improvements, and providing a forum for the exchange of information.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
In performing our activities we have considered the Charity Commission's general guidance on public benefit per our duty outlined in s17(5) of the Charities Act 2011.
Significant activities
General activities maintained. The focus this year has been on support for members and increased fund raising and support events.
Membership of the IPS:
The membership is drawn primarily from audio professionals working in operational posts within the UK audio industry and related professional audio fields. There are a number of members from Europe and the rest of the world who share the same aims and ideals as those members in the UK.
The IPS has three main categories of member - Full. Affiliate and Student. The category of Affiliate also caters for those in related industries, for example, manufacturing and further education establishments who have expressed an interest in the work of the IPS and wish to be associated with it. Student members are those who are still receiving formal education on a full-time course or other relevant studies.
From the foregoing it will be seen that membership of the IPS is open initially to a wide group of individuals with a common interest in audio. Much of what IPS produces is also available to the public through the website and publications.
Funding of the IPS:
The primary source of funding for the organisation is by annual subscription. There is an additional source of income provided by commercial companies who wish to be associated with the activities of the IPS and have become Sponsor Companies of the Institute.
Financial position
The trustees are pleased with the progress achieved in reviewing its financial position and implementing changes to its operational focus. Finances and activities are regularly monitored and sufficient reserves held to cover short term needs.
Throughout the year under review the IPS has been able to maintain a very positive financial position, with a healthy bank balance, that gives security for the continued activities of the Institute.
Following on from the progress made last year with more member’s meetings, this past year has seen an increase in both the number of meetings plus fresh opportunities for visits to places of interest for the membership and their guests. While this has often incurred more expenditure these activities have none the less has been funded from within the institute’s resources.
A number of successful members' meetings were held throughout the year, in various locations, affording the members good networking opportunities as well as the benefit of hearing presentations at first hand.
This past year has seen an increase in the “churn” within the membership. While the overall numbers have remained fairly static with new younger members replacing departing older long-time members, what has been noticed is a number of members pausing their subscriptions due to constrained financial circumstances.
This is a reflection of the general situation throughout the media industry with budget constraints within the commissioning companies leading to much reduced employment opportunities for the IPS members.
Again, the IPS was able to hold another of its popular one-day Pro Audio shows in November which have now become a fixture in the professional audio calendar. Additionally in March the Institute held another by-annual Training Weekend at Warwick University which has also become a popular event attracting both IPS members as well as those from the wider audio industry who value the sessions presented at these weekend.
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 a minimum of three 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 amount of funds the charity holds at 31 March 2026 is £38,685.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
The charity is a company limited by guarantee as defined by the Companies Act 2006. It is controlled by its governing document, a deed of trust.
The original deed was dated January 1993 and was updated in April 2018.
During the year the Executive Committee of the IPS took the decision to duplicate a number of the Officer roles within the committee, e.g. appointing two chairmen, two vice chairmen, and two treasurers. This is to enable the Executive Committee meetings to satisfy the condition laid down in the M&A’s that requires two officers to be present for the meeting.
Now the monthly Executive Committee meetings can be quorate and not have to rely on specific individuals to always attend as Officers for the meetings to be quorate.
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:
Any person who is a Full Member of the Institute and is willing to act as an Executive Committee member, and is permitted by law to do so, may be appointed to the Executive Committee -
(a) by ordinary resolution passed at the Annual General Meeting of the Institute or
(b) by a decision (invitation) of the existing Executive Commitee.
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
The Committee may from time to time, and at any time, co-opt any Full Member of the Institute as a member of the Executive Committee, either to fill a casual vacancy or by way of addition to the Executive Committee, provided that there shall not be more than 10 co-opted members of the Executive Committee at any one time. Any member so appointed shall retain their office only until the next Annual General Meeting, but they shall then be eligible for election.
No person who is not a Full Member of the Institute shall in any circumstances be eligible to hold office as a member of the Executive Committee.
The Executive Committee shall, from their number, appoint the officers of the Institute as they see fit.
The IPS is governed by its Memorandum and Articles of Association which sets out the agenda for the trustees. The trustees are all members of the Executive Committee of the IPS led by their Chairman. All the members of the Executive Committee (EC) are drawn from the membership of the organisation and are elected annually at the AGM by the membership, as laid down in the Memorandum and Articles of Association.
All EC members and their Chairman operate in a purely voluntary manner without financial reward, save for the reimbursement of reasonable expenses incurred in the performance of their duties for the Committee. The daily administration of the organisation in undertaken by the Secretariat, currently one individual working on a part-time basis, for which he is remunerated accordingly.
The trustees' report was approved by the Board of Trustees.
The trustees, who are also the directors of The Institute of Professional Sound 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 The Institute of Professional Sound (the charity) for the year ended 31 March 2026.
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.
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.
The Institute of Professional Sound is a private company limited by guarantee incorporated in England and Wales. The registered office is C/O Azets, Carnac Place, Cams Hall Estate, Fareham, Hampshire, PO16 8UY, United Kingdom.
The financial statements have been prepared in accordance 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 charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 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 contain information about The Institute of Professional Sound as an individual company.
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 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.
The charity does not have any restricted funds at the balance sheet date.
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.
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Income is the amounts derived from the provision of goods and services.
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 costs 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.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
The assets' residual values, useful lives and depreciation methods are reviewed and adjusted prospectively if appropriate.
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).
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 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.
The charity is exempt from corporation tax on its charitable activities.
Event income
Event income
Meetings
Executive committee
Business services
Telephone and postage
Website and email costs
Exhibitions and promotional
Bank charges
Subscriptions
Accountancy fees
Governance costs includes payments for Independent examination fees of £500 (2025- £400).
The average monthly number of employees during the year was:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
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 (2025 - none).