Annual Report & Accounts 2012-2013

Annual Report & Accounts 2012-2013 2 Burlington Gardens, London, W3 6BA Registered Charity No. 1135752 & Registered Company No. 7228603 Al-Mizan Charitable Trust Annual Report 2012-2013 Contents Legal Information 3 Board of Advisors 4 Board of Trustees 4 Management Committee 4 Report from the Chair 5 Report from Treasurer 6 Report from the Director 7 Charitable Activities 9 Grant-Making: A Quick Summary 11 Grant-Making: Statistics 12 Sample Case-Studies & Beneficiaries 17 Accounts 19 Acknowledgements 20 2 Al-Mizan Charitable Trust Annual Report 2012-2013 Legal Information Al-Mizan Charitable Trust is governed by a Memorandum & Articles of Association, which was adopted on 1 January 2010. The organisation was incorporated on 20 April 2010 and registered with the Charity Commission on 29 April 2010. The organisation’s objects are charitable and are outlined in its governing document as follows: “The provision of goods, services and grants of money for any charitable purpose or purposes connected with or relating to the advancement of education, the relief of poverty, need or hardship, the preservation of health and other purposes which are charitable according to the laws of England and Wales, among the peoples of the United Kingdom mainly but not exclusively.” The Trustees of the Charity are also Directors of the Company. They are legally responsible for the organisation, and govern its strategic direction. 3 Al-Mizan Charitable Trust Annual Report 2012-2013 Board of Advisors Dr Robina Shah Various Directorships of NHS Trusts (North-West England) Mr Roger Chester Head of Finance, Lion Heart Benevolent Fund Imam Sikander Pathan Muslim Chaplain, Feltham Young Offenders Institute Dr Chris Hewer Lecturer in Muslim-Christian Relations Dr Judith Pfeiffer Professor in Islamic History, University of Oxford Board of Trustees Ali Orr Chair Amina Shafi Vice Chair (Appointed 29 September 2012) Afshaan Hena Secretary Amir Rizwan Treasurer Rukaiya Jeraj Founding Trustee Syed Mohammed Musa Naqvi Founding Trustee Sanjana Deen Trustee Karim Farrag Trustee Fatema Zehra Bandali Trustee Sarfaraz Hussain Trustee Masuma Rahim Trustee (Appointed 29 September 2012) Management Committee Mohammed Sadiq Mamdani Founder & Director Mohamed Mishal Mohamed Deputy Director Zahra Shirzad Grants Officer (Appointed 14 January 2013) Abbas Dhalla Finance Officer Ali Khimji Marketing Officer 4 Al-Mizan Charitable Trust Annual Report 2012-2013 Report from the Chair Charities and welfare groups look towards the coming year with trepidation as Welfare Reform policies introduced by the coalition government come into full-swing in the coming year. No one quite knows the potential impact of these “reforms” but it is clear that reduced spending on welfare will inevitably leave many families in dire need. From the increasing number of applications we receive, we are able to draw a picture of what poverty looks like in the UK. It is not only those entirely dependent on welfare benefits that find themselves unable to manage the cost of living, but also those on low wages and zero-hour contracts who have no reassurance of regular work. For many such people, our conversations have transformed from maintaining an adequate standard of living, to simply surviving. Like all grant-funders, we are continually evaluating the impact of our intervention in people’s lives. It is not fair for charities to compensate for the short-comings of statutory provision and our purpose is not simply to offer one-off hand-outs or top-up inadequate benefit payments. Rather, we consider our grant-making as an investment in people’s lives with the wider social outcomes of our intervention key to the assessment process. Nevertheless, our Grants Officers find themselves in difficult positions to refuse subsistence payments in cases of abject poverty. Rejecting an application is never an easy decision. Over the last year, I have had the privilege of attending some of the Grants Panel meetings where decisions are made on all the applications received. I have been deeply touched by the tragic stories of deprivation and suffering that are absent from the sensationalist tabloid headline that warn us of scroungers and skivers abusing the benefit system. Although many applicants are in need of much more than we can offer, reading their messages of gratitude for what is often a very small contribution to their needs, has been a humbling. I hope that many more will continue to support us in serving those in poverty, at the very heart of our communities. On behalf of my fellow Trustees and the beneficiaries of the charity, I would like to extend my gratitude to our Director, Mohammed Mamdani, and his committed team, for their stewardship and dedication to this cause. Ali Orr Chair of the Board of Trustees 5 Al-Mizan Charitable Trust Annual Report 2012-2013 Report from the Treasurer Over the year, the charity has almost tripled its fiscal income by inaugurating a regular programme of fundraising activities and seasonal campaigns. This has included our annual Charity Cycle and Charity Walk in London, as well as our first Networking Dinner in Manchester. Throughout the year, we continue to increase the number of regular donations by direct debit, which serves the important function of helping our Grants Panel to predict available budgets in forthcoming months. We maintain our adherence to a policy of no administrative cost on direct and voluntary donations from individuals. Whilst this is challenging, we recognise that this provides reassurance to many donors who are wary of charities that spend considerable funds on marketing, fundraising and consultancy. By limiting our administrative income to tax relief, sponsorship and trading, we ensure that no individual donor carries the burden of subsidising our core operating costs. Our unrestricted reserves have dramatically increased this year, due to the generous donation of the freehold interest in a London property. This asset was valued at £128,000 although it holds no actual value until its sale. The Trustees currently have no plans to sell the freehold interest. Amir Rizwan Treasurer 6 Al-Mizan Charitable Trust Annual Report 2012-2013 Report from the Director The last year has marked the first full year of operating our core grant-funding programme, the General Welfare Fund, which supports a broad social and demographic profile of vulnerable families across the UK with small grants and interest-free loans of up to £500. This year, the General Welfare Fund has supported 135 vulnerable families with wide-ranging needs from essential household supplies such as a cooker to mobility equipment. Whilst a significant proportion of our funds support education, vocational training and access to employment as a means of breaking the cycle of poverty, the reality is that we are quickly drawn to support basic subsistence, such as food vouchers, with only immediate or short-term benefits. Traditionally, grant-funders have undertaken policy research and political lobbying as a means of transforming these time-limited contributions to the long-term objective of holding the state to account for the fact that an increasing number of families are dependent on hand-outs for food, clothing and basic hygiene. Ironic, in a country that is defined as a welfare state. Whilst the Trust supports these initiatives, as a smaller charity with limited resources, we consider it our role to promote awareness and understanding of poverty at the grassroots of the community to complement the policy work which informs those in government. Despite such lobbying, which must continue, a more realistic assumption is that the current economic and political trends are unlikely to dramatically change in the coming years, and it is local communities that must inevitably fulfil this need. With strong links to the British Muslim community, the Trust has focused its advocacy on challenging ideas and stereotypes within this community, which despite its generosity, has focused its relief work almost entirely in the international domain, neglecting the need which persists closer to home. We have sought to achieve this advocacy through regular seasonal campaigns that combine awareness-raising, fundraising and active service. In the last year, the Trust has worked with local communities to pack and distribute food parcels during Ramadan, and Winter Warmer Packs to the homeless during the cold months of the year. We also recognise that despite our national remit, and although our funds reach every part of the United Kingdom, without any regional bias, our donor database is very much limited to London. This year, the Trust held fundraising dinners in both London and Manchester, marking a progressive move towards greater regional presence. Although more than half of our applicants approach us directly, we are also reliant on front-line charities to provide the community-based support which makes our grants effective in changing lives. In reverse, our financial investments also allow these charities achieve the best for their service users. In the last year, we have developed a diverse network of grassroots partnerships across the country who have assisted us in identifying needy individuals who may benefit from a grant or interest-free loan, a food parcel during Ramadan or a Winter Warmer Pack during the cold months. Alongside grant-funding and grassroots advocacy, the Trust has initiated plans for two new, subsidiary areas of work: 7 Al-Mizan Charitable Trust Annual Report 2012-2013 1) Food Poverty – Sustainable Food Banks Although food banks are common to every town and city, our research has indicated that many are unsustainable, ineffective and operate with an explicit missionary agenda. In the last quarter of the year the Trust confirmed its plan to pilot a new food bank model, with the potential of sharing good practice with other independent food banks, not only providing emergency food, but additional services that challenge the root causes of food poverty. It is simply not enough for charitable projects to restrict their impact to immediate and short-term solutions without concern for medium and long-term impact.

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