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← The National Memorial Arboretum Company Limited

2024-09-30-accounts

Company Registration No. 02927443 Registered Charity No. 1043992

The National Memorial Arboretum Company Limited Annual Report and Financial Statements

For the year ended 30 September 2024

The National Memorial Arboretum Company Limited

Annual Report and Financial Statements 2024

Contents Page
Officers and professional advisers 1
Trustees' annual report (incorporating a Directors' report) 2-9
Trustees' responsibilities statement 10
Independent auditor’s report 11-14
Statement of financial activities (incorporating the income and expenditure account) 15
Balance sheet 16
Cash flow statement 17
Notes to the financial statements 18-33

The National Memorial Arboretum Company Limited

Annual Report and Financial Statements 2024

Officers and professional advisers

Trustees

The Trustees of the charity, who are the Directors for the purposes of company law, who served throughout the year and up to the date of signing this report were:

Anny R Reid (chair)

Patsy Wilkinson Gary Ryan Kate Logan

Secretary

Luke Joannou (resigned 29th May 2024)

Principal Officers - Key Management Personnel

Philippa Rawlinson - Managing Director, RBL Director of Remembrance

Lorna Price - Head of Finance (until 27 October 2023)

Flora Smyth - Head of Finance (from 2 October 2023 until resignation on 13th December 2024)

Mark Ellis - National Memorial Arboretum Lead

Maria Howes - Head of Marketing & Business Development

Neill Martin Hoare - Head of Events

Mark Alexander - Head of Visitor Experience

Adrian Thickett - Head of Business Support Services (until 22 December 2023)

Andy Ansell - Head of Estates

Rachel Smith - Head of Participation and Learning

Registered Office

Croxall Road

Alrewas DE13 7AR

Bankers

Lloyds Commercial HSBC Bank plc Public & Community Sector 49 Market Street 3[rd] Floor Lichfield 25 Gresham Street Staffordshire London WS13 6LB EC2V 8EH Statutory Auditor Deloitte LLP 1 New Street Square London EC4A 3HQ Charity Registration Number 1043992 Company Registration Number 02927443

1

The National Memorial Arboretum Company Limited

Trustees' Annual Report (including the Strategic Report)

The Trustees, who are also Directors of the charitable company, present their annual report, which incorporates a strategic report, and audited financial statements for the year ended 30 September 2024.

The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, 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 reference and administrative details on page 1 form part of this report.

Strategic report

Objectives and activities

The National Memorial Arboretum Company Limited (Arboretum) is a member of the Royal British Legion (RBL) family of charities, which is the UK’s national custodian of Remembrance; supporting and delivering nationwide events through its network of branches, members and volunteers and locally in communities across the country. The Arboretum is the United Kingdom’s year-round centre for Remembrance in the heart of our country; a spiritually uplifting place which honours those who have fallen in the service of their country, recognising their service, suffering and sacrifice. The Arboretum’s vision remains:

‘To be the nation’s year-round place to Remember, an inspirational world-class setting freely open to all.’

This is central to the charity’s charitable objective of championing Remembrance and promoting its observance and participation, with the Arboretum forming a core part of RBL’s Remembrance Strategy. As a year-round space to celebrate lives lived and commemorate lives lost, we will ensure the baton of remembrance is passed on to future generations. This furthers our legal purpose which is set out in our objectives, and details how we will deliver on our aims.

The Arboretum’s specific charitable objectives as set out in the Memorandum and Articles of Association, and our strategies to achieve these, are to:

• promote good citizenship amongst the public and to promote the efficiency of the armed forces of The Crown by providing and maintaining an arboretum as a public memorial to commemorate and remember those who have lost their lives or suffered injury, or put themselves at risk of loss of life or injury, in service of the public;

• educate the public and personnel of the armed forces of the Crown in citizenship, military history, the effects of armed conflict, conflict resolution and reconciliation.

The Arboretum welcomes around 300,000 visitors to site each year, including over 20,000 young people for learning visits. Visitors can enjoy discovering over 400 memorials nestled amongst some 25,000 trees, experience riverside walks and participate in a wide variety of daily activities: guided walks, land train tours, memorial talks, exhibitions and buggy tours. Each year around 250 events take place on site, from small intimate services of Remembrance to set piece events like Armistice Day, Remembrance Sunday, and Armed Forces Day.

2

The National Memorial Arboretum Company Limited

Trustees’ annual report (incorporating the strategic report) (Continued)

The Arboretum’s management team have, over the past 12 months, reviewed the strategic priorities of the organisation and confirmed that they remain as follows:

• Developing an inspirational living landscape that embraces our environment to create new Remembrance spaces and reasons to visit throughout the seasons;

• Developing an inspirational programme which responds to visitor needs and drives visitation of target audiences and maximises the value and potential of the site;

• Nurturing a culture that uses all of our resources efficiently and effectively whilst minimising our impact on the environment.

Achievements and performance

The year ended 30 September 2024 saw a number of challenging operating conditions, with repeated flooding leading to site closures on three occasions, and the cancellation of four nights of Illuminated Arboretum. This coupled with ongoing economic uncertainty with the impact of inflation and the cost of living crisis having placed pressure on both income and expenditure for both the charitable company and its trading subsidiary, NMA (Enterprises) Limited. Despite these challenging circumstances we have seen positive signs of recovery in the latter part of the year, with strong visitor numbers and increasing amounts of visitor spending.

Visitors:

Visitor numbers for the year totalled 303,138, a 9% increase compared to 2023 (277,792). This increase in visitor numbers is attributable to a number of factors:

• Ticket sales for December’s Illuminated Arboretum proved to be the most successful to date with 17,000 tickets sold, despite the cancellation of four nights due to flooding (2023: 13,500).

• Programming across the Spring and Summer months linked to the 80th anniversary of D-Day and “The year was 1944” exhibition attracting in excess of 11,000 visitors across four days in May and June.

• The refurbishment of the “Shot-At Dawn” memorial, funded by public and corporate donations, attracting significant media attention, both regionally and nationally.

•T he “Look up” summer programme, a remembrance journey with a unique focus on cloud gazing, designed to encourage visitors to pause, reflect, and engage deeply with nature and remembrance attracted in excess of 5,000 visitors across July and August.

Landscape:

One of the key objectives of the Arboretum is to provide a public memorial to commemorate and remember those who have lost their lives or suffered injury in service to the public. We continue to see an appetite for new memorials with notable additions dedicated in year including the Pity of War, Royal Gloucestershire Regiment, General Post Office and Falkland Islanders Resistance Memorials.

3

The National Memorial Arboretum Company Limited

Trustees’ annual report (incorporating the strategic report) (Continued)

To Commemorate the Platinum Jubilee, the Arboretum took part in the Queen’s Green Canopy initiative, and in 2022 was gifted the freehold to an additional 7 acres of land adjacent to the entrance to the site by the Leavesley family. Initial stages of this project were completed in 2023 with the land housing a tree lined avenue creating an approach route to the Arboretum which is more befitting to a national heritage site. Planning permission for the final stage of this project was granted in May 2024, with initial works planned over the next 12 months (from Sept-24). Similarly, planning permission has also been granted for the development of 25 acres of woodland, acquired by the Arboretum in 2022. These developments, once funding is available, will allow for the continued placement of new memorials in the years to come.

The Arboretum continues to explore ways in which to open up areas of the site which are currently either underutilised or inaccessible and with its landowner Tarmac has developed plans for a new permanent car park to replace the overflow car park, at limited cost to the Arboretum. This coupled with Tarmac’s aspirations for future development of land adjacent to the site will in time improve both the visitor journey and facilitate engagement with the site and Remembrance by the local community.

During the year the Arboretum has been awarded its first ‘National Plant Collection’ status recognising the collection of Hamamelis planted over the past four years. A provisional award has also been granted for our growing collection of Amelanchier which is hoped will be granted the full award once younger plants have become more established.

Programmes:

This year programming has continued to build on RBL’s Remembrance Strategy with the ambition of ensuring that the service and sacrifice of our armed forces family is always remembered. Being freely accessible 364 days a year the Arboretum is well placed to deliver against this vision with its under pinning belief in “Remembrance for All”.

The year began with the opening of two exhibitions, in October 2023 entitled ‘The Journey Continues’ and ‘The Chapters of Our Lives’ with both providing a continuation of the exploration of the story of the Windrush generation that had been the focus of the ‘Carnival Windrush’ event earlier in 2023. The exhibitions explored the contribution the Windrush generation made to the UK post WW2 and invited visitors to explore their own life stories and experiences. This theme was continued through Illuminated Arboretum with the images of 22 Windrush Elders forming part of the light installations.

Moving into 2024 programming has been heavily focussed on the year 1944 and the 80th Anniversary of D-Day. “The year was 1944” exhibition opened in May 2024 with a reconstruction of a 1940s house built in the gallery spaces, accompanied by trails across the site inviting both children and adults to explore memorials dedicated to key moments in the war campaign in 1944. On the 6th June 2024 the Arboretum hosted, on behalf of RBL, a commemorative service to mark the 80th anniversary of the D-Day landings. The event was attended by the Duke and Duchess of Edinburgh and 26 veterans of the D-Day and Normandy campaigns. To further commemorate the anniversary the gallery spaces were home to the “Legacies of D-Day” a replica of an RBL exhibition hosted in Normandy, which showcased the stories and photographs of veterans of the campaign.

The refurbishment of the Shot at Dawn memorial, necessitated through the repeated flooding of the area in which it resides attracted significant media attention, and allowed us to retell the stories of 309 British and Commonwealth soldiers shot for desertion, cowardice, striking a senior officer, disobeying a lawful order, casting away arms, mutiny and sleeping at post during the First World War. The refurbishment was funded entirely through public and corporate donations totalling over £50k, with corporate supporters also donating £16k of materials required for the project and providing over 200 corporate volunteers to support the Arboretum team in the refurbishment.

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The National Memorial Arboretum Company Limited

Trustees’ annual report (incorporating the strategic report) (Continued)

We have also commemorated more recent conflicts, hosting events on behalf of RBL to mark the 25th anniversary of the end of the war in Kosovo and the deployment of NATO forces to support peace. A similar event was held just following the financial year end, marking the 10th Anniversary of the end of combat operations by British Armed Forces in Afghanistan.

Our summer programme “Look Up” proved to be popular with visitors of all ages, offering an opportunity to pause, reflect and engage with remembrance themes whilst surrounded by nature. Over 5,000 visitors engaged with the activities on offer, including family opera performances.

Sustainability:

The Arboretum is custodian to 150 acres of green space and is committed to acting sustainably, having a positive impact on our environment and its ecology, and being an advocate for sustainable practices. We have already undertaken work to limit our negative impact on the environment via recycling and using locally sourced products and materials where possible and solar panels were installed in 2023. Our efforts in ensuring sustainability of our operations resulted in an Award for Excellence in Sustainability from the Greater Birmingham Chambers of Commerce in February 2024. Over the next five years we will continue to embed ethical and sustainable practices into our daily operations.

The Arboretum remains committed to growing its self-generated income sources to deliver against its strategic aims.

Financial Review

Income for the year was £4.7m (2023: £5.1m). The Arboretum is a free to enter site; its main sources of income are voluntary donations, grant funding and profits from its trading subsidiary NMA Enterprises Limited.

Grant funding totalling £2.6m was received from RBL, £2.3m being the annual Remembrance grant, funding day to day operations of the Arboretum (2023: £2.3m), and £0.3m relating to the D-Day 80 commemorations. No capital grants were received from RBL in the year (2023: £0.2m).

In addition, to the above, Grant in Aid funding from the Ministry of Defence was received for the ongoing maintenance of the Armed Forces Memorial, funds received in 2024 totalled £92,000 (2023: £138,000). The end of the National Lottery Heritage Fund project “Lockdown Landscapes” during the year resulted in an overall drop in grant income received. Funding received in year for the project totalled £27k (2023: £222k).

The main annual fundraising event of the year in October, “Ride to the Wall”, proved to be very successful, generating £150k (2023: £140k) thanks to the high volumes of pre-registrations for the event and bespoke merchandise sales. Whilst we saw a drop off in on-site donations from visitors, a trend seen across other visitor attractions due to the cost of living crisis, this reduction has been countered somewhat by the public fundraising campaign for the Shot at Dawn Memorial attracting in excess of £50k of public donations, and £16k of donated materials.

Expenditure in the year was £5.1m (2023: £4.9m), a year-on-year increase of £0.2m, attributable to grant funded activity increasing in line with grants receivable.

The above resulted in a net decrease in funds of £0.5m (2023: increase of £0.2m).

Capital expenditure for the year was £0.1m (2023: £0.5m), and relates to the costs of securing planning permission for the final stage of the Queen’s Green Canopy and woodland acquired by the Arboretum in 2022.

5

The National Memorial Arboretum Company Limited

Trustees' Annual Report (including the Strategic Report) (Continued)

The trading subsidiary, NMA (Enterprises) Limited, saw an increased surplus of £325k (2023: £64k) in the year resulting from increased visitor numbers and prices increases implemented to counter inflationary cost pressures. £220k of this surplus was received from NMA (Enterprise) during the financial year, with the balance of £123k paid in April 2025.

Reserves policy and going concern

As the Arboretum is part of the Royal British Legion group, its policy is to not seek to hold reserves as this leads to a duplication of reserves at a group level. A rolling 12 month ‘letter of comfort’ under which The Royal British Legion will continue to provide any financial support (either through the waiver of intercompany debt, the provision of further intercompany funds or equity) that may be required in order for the organisation to pay its liabilities as they fall due, has been in place for a number of years.

Total charity funds decreased by £0.5m to £23.6m at the end of the year (2023: £24.1m). Total charity funds comprise unrestricted funds of £20.8m (2023: £21.4m) and restricted funds of £2.8m (2023: £2.7m) including expendable endowment funds of £2m (2023: £1.9m).

Total unrestricted funds comprise designated funds of £19.7m (2023: £20.0m) and general funds of £1.1m (2023: £1.3m).

Designated funds represent the net book value of completed fixed assets relating to grounds and buildings and legacy income. As legacy income is difficult to predict and cannot be counted on to help fund day to day activities, any significant receipts are set aside to fund future development and engagement activity. The designated funds balance is reduced in year with depreciation outstripping fixed asset additions and legacy income.

Total restricted funds at the end of the year were £2.8m (2023: £2.7m). £2.0m (2023: £1.9m) relates to maintenance endowments for the maintenance and insurance for a number of specific memorials, including the Queen’s Green Canopy. These funds are held in interest bearing deposit accounts, attracting interest of £95k during the year, with £91k on new endowments being received in the year in respect of both new, and existing memorials (2023: £0.2m). The remaining £0.8m of restricted funds includes £0.5m for the ongoing maintenance of the Armed Forces Memorial, future development of the site, including the final stage of the Queen’s Green Canopy and maintenance and upkeep of the newly refurbished Shot at Dawn Memorial.

The continuing operation of the Arboretum is dependent on donations and grants from supporters, together with funding from The Royal British Legion to support day to day activity. Given the close operational relationship with The Royal British Legion, the letter of comfort in place and grant funding agreement in place, and the key role the Arboretum plays in the fulfilment of the Legion’s Remembrance strategy, the Trustees are confident that funding will be available to support the Arboretum’s activities into the future. Reflecting on this, the Trustees have therefore prepared the accounts on a going concern basis.

6

The National Memorial Arboretum Company Limited

Trustees' Annual Report (including the Strategic Report) (Continued)

Risk Management

The Trustees are responsible for ensuring there are effective and adequate risk management and internal control systems in place to manage major risks to which the charity is exposed. The process in place regarding risk management and internal control includes the following:

• The risk analysis is reviewed by the management team and scrutinised quarterly by the Board of Trustees. The Trustees are satisfied that for risks identified a planned schedule of activity is being undertaken so the impact on the charitable company will be minimised should any of the risks materialise.

• Internal audit, which is provided to the group by a third party, undertake a programme of examinations, ensuring the effectiveness of risk management and controls.

The key risks and how they are managed are:

The key risks and how they are managed are:
Principal risk Mitigation
Fundraising and grant income does not meet targets. - Progress against budget is assessed.
- Financial support available from parent charity to meet
funding gap.
Investment in new attractions does not increase visitor
numbers.		 - Prepare sound business cases prior to embarking on
projects.
- Increase advertising and marketing spend to create
awareness.
Visitors are deterred from visiting due to site flooding
and other extreme weather events.		 - The website is kept up to date detailing any accessibility
issues. The temporary exhibition programme should help
preserve visitor numbers during periods of inclement
weather and minor localised flooding.
- Phase 1 of a programme of drainage improvements has
been implemented to reduce the impact of flooding
Maintenance endowments given to cover repairs of
memorials are not sufficient to cover costs.		 - Funds are pooled to obtain best rates.
- The Arboretum has a fundraising strategy with the
primary objective of achieving growth in unrestricted
income over the medium to long term.

The charitable company is not unduly exposed to price, credit, liquidity or foreign exchange risk.

The charitable company is included in The Royal British Legion’s group insurance policy which provides a comprehensive package of insurance against foreseeable risks including public and product liability.

The charitable company is covered by insurance from loss arising from neglect or default of its Trustees, and to indemnify the Trustees against the consequences of neglect or default on their part.

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The National Memorial Arboretum Company Limited

Trustees' Annual Report (including the Strategic Report) (Continued) Future developments

Next year, the Arboretum will:

• Undertake initial works in respect of the final stage of the Queen’s Green Canopy and woodland extension , in order to make a material start to the projects within the timeframe of the planning permission granted. This will allow for full development of these sites once funding is secured.

Public benefit statement

In considering the operation, achievements, performance and finances of the charitable company the Trustees have given due regard to the public benefit guidance published by the Charity Commission.

Structure, governance and management

The Arboretum was incorporated in 1994 as a Private charitable company limited by guarantee not having a share capital and registered in 1995 as a charity with the main governing principles being contained in Memorandum and Articles of Association. The Arboretum has been part of The Royal British Legion (the RBL) family of charities since 2003. The RBL is the sole member of the company and controls the appointment of all Trustees.

The Board of Trustees consists of four Trustees appointed by the RBL with one Trustee appointed as chairman. Two of the Trustees are also on the Trustee board of the RBL, one Trustee is a member of the executive management team of the RBL with line management responsibility for the Arboretum, and the remaining one member is an independent Trustee with visitor attraction experience. Meetings of the Board of Trustees take place quarterly. In accordance with its Articles of Association a term of any Trustee’s appointment cannot exceed three years, but a Trustee is eligible for reappointment for a further two terms and can be removed from office by the RBL at any time. Trustees are recruited through a variety of means, including open advertising. Training for all Trustees is provided through the RBL.

Responsibility for the day-to-day operations of the Arboretum has been delegated by the Managing Director to the National Memorial Arboretum Lead, who is supported by a management team, administrative support staff and a team of volunteers. The Managing Director has established an executive management structure for the Arboretum to undertake operational activities with a clearly defined management and reporting structure. The management team meets weekly to discuss operational issues and new initiatives and take any action as required.

The Arboretum has a subsidiary company, NMA (Enterprises) Limited, which carries out the trading activities of the charity, principally the operation of restaurant and café facilities, concessions and business functions.

The Managing Director is supported by the following boards and committees:

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The National Memorial Arboretum Company Limited

Trustees' Annual Report (including the Strategic Report) (Continued)

Key management personnel remuneration policy

The key management personnel remuneration policy has been harmonised with that of the parent charity. Roles are initially evaluated at the group job evaluation committee, which uses the Hay System, and salaries are benchmarked with similar roles in the local area in order to attract the appropriate calibre of candidate. The charitable company then operates an annual appraisal scheme at which performance is assessed against set objectives. The annual pay award is set by the parent charity.

Equal opportunities

The company is an equal opportunities employer and is committed to a policy of employment based on aptitude and ability without discrimination of any kind.

Volunteers

The Trustees recognise the hard work contributed by staff, volunteers and the NMA friends who in many ways keep the site going. Active volunteers gave around 49,000 hours (2023: 45,000 hours) of invaluable help during the year. Volunteer activities include the provision of educational support for facilitated learning visits, guiding visitors around the site, and grounds maintenance which equates approximately to an additional 30 full time staff. The contribution is recognised by all who visit the site and many visitors write to express thanks for the way volunteers help with their visit and comment on the pride the volunteers take in all they do.

Fundraising

As a location-based charity the Arboretum does not have a national network of fundraisers or agents acting on its behalf. The majority of fundraising is derived directly from on-site activities and donation boxes. In addition, up to 2 direct mail campaigns may be undertaken per annum to registered supporters and applications are made to grant funders for specific initiatives to further charitable objectives. To date we have not received any complaints regarding fundraising activity. We endeavour to ensure our fundraising activity is not overly obtrusive or put anyone under undue pressure to donate.

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Docusign Envelope ID. CBF5F64E-6F9A4ED6-95EF-71319584BBOB The National Memorial Arboretum Company Limited Trustees. responsibilities statement The Trustees (who are also Directors of The National Memorial Arboretum Company Limited for the purposes of company law} are responsible for preparing the Trustees. Annual Report and the financial ststements in accordance with applicable law and United Kingdom Accounting Standards {United Kingdom Generally AC￿pted Accounting Practice) including FRS 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 which give a true and fair view of the state of affairs ofthe charitsble company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial slalements, the Truslees are required to- select suitsble accounting policies and then apply them consistendy; 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. and prepare the financial statements on the going concem basis unless it is inappropriate to presume that the charitable company will continue in business. The Trustees are responsible for keeping adequate accounting records that disdose wth reasonable accuracy at any time the financial position of the charitable company 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 charitsble company and hence for taking reasonable steps for the prevention and detection of fraud and other i￿egUlarities. In so far as the Trustees are aware.. there is no relevant audit information of which the charitable companls auditor is unaware. and the Trustees have taken all steps that they ought to have tsken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that infomiation. The Trustees are responsible for the maintenance and integrity of the corporate and financial infomiation included on the charitsble company's website. Legislation in the United Kingdom goveming the preparation and dissemination offinancial ststements may differ from legislation in other jurisdictions. This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006. This report, incorporating the Director's report and including the Strategic Report, was approved by the Board of Trustees at their meeting on 21 March 2025 and signed on its behalf by- 3DF47È1AgeEA4GF Anny R Reid Chair of Trustees 30-Apr-25 10

The National Memorial Arboretum Company Limited

Independent auditor’s report to the members of The National Memorial Arboretum Limited

Report on the audit of the financial statements

Opinion

In our opinion the financial statements of The National Memorial Arboretum Company Limited (the ‘charitable company’):

We have audited the financial statements which comprise:

The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs(UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report.

We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the

financial statements in the UK, including the Financial Reporting Council’s (the ‘FRC’s’) Ethical Standard, and we have fulfilled

our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is

sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that,

individually or collectively, may cast significant doubt on the charitable company’s ability to continue as a going concern for a

period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

11

The National Memorial Arboretum Company Limited

Independent auditor’s report to the members of The National Memorial Arboretum Limited (continued)

Other information

The other information comprises the information included in the trustees’ annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the charitable company for the purpose of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on the FRC’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

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The National Memorial Arboretum Company Limited

Independent auditor’s report to the members of The National Memorial Arboretum Limited (continued)

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

We considered the nature of the charitable company’s industry and its control environment, and reviewed the charitable company’s documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management and the trustees about their own identification and assessment of the risks of irregularities, including

those that are specific to the charitable company’s business sector.

We obtained an understanding of the legal and regulatory frameworks that the charitable company operates in, and identified the key laws and regulations that:

• had a direct effect on the determination of material amounts and disclosures in the financial statements. These included UK Charities Act and UK Companies Act; and

• do not have a direct effect on the financial statements but compliance with which may be fundamental to the charitable company’s ability to operate or to avoid a material penalty. These included Charity Commission for England and Wales (Charity Commission) regulations and Fundraising regulations.

We discussed among the audit engagement team regarding the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.

As a result of performing the above, we identified the greatest potential for fraud in the following area, and our procedures performed to address it are described below:

•r evenue recognition, which is related to the completeness of grant income due to the added complications present in determining fulfilment of recognition criteria: we performed detailed substantive tests on grant income including from a reciprocal population and agreeing it to supporting documentation to confirm the income was complete.

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.

In addition to the above, our procedures to respond to the risks identified included the following:

• reviewing financial statement disclosures by testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;

• performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

• e nquiring of management and in-house legal counsel concerning actual and potential litigation and claims, and instances of non-compliance with laws and regulations; and

• reading minutes of meetings of those charged with governance.

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The National Memorial Arboretum Company Limited

Independent auditor’s report to the members of The National Memorial Arboretum Limited (continued)

Report on other legal and regulatory requirements

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit,

we have not identified any material misstatements in the strategic report or directors’ report included within the trustees’ report.

Matters on which we are required to report by exception

Under the Companies Act 2006 we are required to report in respect of the following matters if, in our opinion:

We have nothing to report in respect of these matters.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we

do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

………………………………..............

Nicola Wright, ACA (Senior statutory auditor) For and on behalf of Deloitte LLP Statutory Auditor Newcastle upon Tyne, United Kingdom

Date: 30 April 2025

14

The National Memorial Arboretum Company Limited

Statement of financial activities (incorporating the income and expenditure account)

Year ended 30 September 2024

Note
Income and Endowments
from:
Donations and Legacies
3
Charitable Activities
4
Other Trading Activities
Investments:
Net income from Trading Subsidiary
5
Bank interest
6
Total income
Expenditure on:
Raising Funds
7
Charitable activities
8
Total expenditure
Transfer between funds
20
Net Movement in Funds
Total funds brought forward
Total funds carried forward
Net (expenditure)/ income for the year
Reconciliation of funds:
Net movement in funds for the year		 Unrestricted
Funds
Restricted
Funds
Endowment
Funds
Total Funds
2024
£'000
£'000
£'000
£'000
2,882
508
91
3,481
769
-
-
769
50
-
-
50
220
-
-
220
35
20
95
150
3,956
528
186
4,670
862
-
-
862
3,720
460
97
4,277
4,582
460
97
5,139
(626)
68
89
(469)
81
(81)
-
-
(545)
(13)
89
(469)
21,360
793
1,925
24,078
(545)
(13)
89
(469)
20,815
780
2,014
23,609		 Total Funds
2023 (1)
£'000
3,997
705
41
250
78
5,071
787
4,134
4,921
150
-
150
23,928
150
24,078

There were no other recognised gains or losses other than those listed above and the net income for the year. All income and expenditure derive from continuing activities.

(1) See note 19 for 2023 detailed Statement of Financial Activities

The notes on pages 18-33 form part of these accounts.

15

Docusign Envelope ID. CBF5F64E-6F9A4ED6-95EF-71319584BBOB The National Memorial Arboretum Company Limited Balance Sheet As at 30 September 2024 2024 £'ooo 2023 £'ooo Note Fixed assets Tangible fixed assets Heritage assets Fixed asset investments Total fixed assets 14 15 16 19.547 403 20.025 403 19.950 20.428 Current assets Debtors Cash at bank and in hand 17 609 794 3.573 4,182 3,306 4,100 Total current assets Liabilities: Creditors: amounts falling due within one year 18 (523) (450) Net current assets 3,659 3,650 Total net assets. being total assets less current liabilities 23.609 24.078 Funds General Funds Designated Funds Restricted Funds 1,090 19.725 780 2,014 1,345 20.015 793 1,925 Expendable Endowment Funds Total funds 23,609 24,078 The financial statements of The National Memorial Arboretum Company Limited, were approved and authorised for issue by the Board of Trustees at their meeting on 21 March 2025, and signed on behalf of the Board of Trustees by Anny R Reid (chair) Trustee Date: 30 April 2025 Company Registration No. 02927443 The notes on pages 18-33 form part of these accounts. 16

The National Memorial Arboretum Company Limited

Cash flow statement

For the year ended 30 September 2024

Note
Net cash provided by operating activities
26
Cash flows from investing activities
Interest receivable
Purchase / gifts of property, plant and equipment
Purchase of heritage assets
Net cash provided by / (used in) investing activities
Cash flows from financing activities
Interest element of finance lease payments
Repayment of finance leases
Donations of endowment
Net cash provided by /(used in) financing activities
Net increase /(decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2024
2023 (2)
£'000
£'000
106
103
150
78
(64)
(534)
-
(55)
86
(511)
(1)
(1)
(15)
(21)
91
317
75
295
267
(113)
3,306
3,419
3,573
3,306

There are no cash equivalents, therefore cash and cash equivalents comprise cash at bank and in hand.

(2) The prior year comparative figures have been restated to reflect donations of endownment under finance activities. See note 26 which has also been restated.

17

The National Memorial Arboretum Company Limited

Notes to the financial statements

Year ended 30 September 2024

1 Accounting policies

Company and Charitable Status

The National Memorial Arboretum Company Limited, a public benefit entity, is incorporated in England and Wales as a private company limited by guarantee not having any share capital. There are currently five Trustees who are also members of the charitable company. Each member has undertaken to contribute to the assets in the event of a winding up a sum not exceeding £10. The charitable company is registered with the Charity Commission for England and Wales. The registered office is given on page 1.

Basis of accounting

The financial statements are prepared under the historical cost convention in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the UK and Republic of Ireland (FRS 102) effective 1 January 2019 (SORP 2019); and the Companies Act 2006.

The principal accounting policies are set out below:

Basis of Preparation

Under section 401 of the Companies Act the charitable company is exempt from preparing consolidated accounts. The results presented therefore represent the accounts of the charitable company; The National Memorial Arboretum Company Ltd. The results of the National Memorial Arboretum group including NMA Enterprises Limited are included in the accounts of the ultimate parent charity – The Royal British Legion which are publicly available.

Going concern

The accounts have been prepared on a going concern basis as set out on page 6 of the Trustees’ Report. Performance during 2024 has continued to be impacted by the cost of living concerns, although to a lesser extent than previous years, with a recovery in both visitor numbers and surplus from trading activities. The Trustees have considered the Charity’s financial position, capital and forecast and support available from the parent charity. Given the close operational relationship with The Royal British Legion, the letter of comfort in place, the funding supplied for the Remembrance Centre and the Aspects building , and the key role the Arboretum now plays in the fulfilment of the Legion’s Remembrance strategy, the Trustees are confident in the ongoing support of the Legion in funding the Arboretum.

Income

Income is recognised when the charitable company has entitlement to funds, performance conditions attached to the income have been met, it is probable that the income will be received, and the amount can be measured reliably.

Donations including amounts received for fixed assets are recognised immediately on receipt. The only exception to this is where there are

predetermined conditions to be met, in these instances income is recognised once the required conditions have been met in full.

Grant income is recognised on written confirmation of the grant once any inherent performance related conditions of the grant have been met in full.

Legacy receipts are recognised when it is probable it will be received. This is deemed when:

18

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

1 Accounting policies (continued)

Interest receivable relates to interest on bank deposits and current accounts, under the terms of FRS102 this does not require adjustment using the effective interest rate method laid down by the standard, as the rate receivable is deemed to reflect the effective interest rate applicable.

Donated professional services and facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have paid to obtain services or facilities for equivalent economic benefit on the open market. A corresponding amount is then recognised in expenditure in the period of receipt.

Income from charitable activities is recognised on an accruals basis.

In accordance with the Charities SORP (FRS 102) due to the extremely wide variety of skills provided to the Arboretum by its volunteers, it is not possible to quantify the value, consequently no income is recognised in respect of general volunteer time received - information on volunteer contributions is disclosed in the Trustees’ Report on page 9.

Expenditure

Expenditure is recognised on an accruals basis once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably.

Expenditure is classified under the following activity headings:

Raising funds – includes costs incurred in generating fundraising income, advertising, and direct mail.

Charitable activities – includes direct costs of operating the charity (including staff costs) and maintaining the grounds and memorials along with the costs of commemorative events held in furtherance of the charitable objectives.

Support costs – are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back-office costs, premises costs and governance costs. These costs are allocated between the cost of raising funds and expenditure on charitable activities. The bases of cost allocation are set out in note 9.

Fund Accounting

The charitable company holds the following funds:

Restricted funds represent grants, donations, legacies and appeal monies received which are allocated in accordance with the donors instructions for specific purposes and are expendable only in accordance with the donor’s wishes.

Designated funds represent funds set aside for the net book value of completed fixed assets relating to grounds, buildings and supporting infrastructure.

General funds are expendable at the discretion of the Trustees in the furtherance of the objects of the charitable company.

Maintenance endowments are expended in line with the terms of their respective donation agreements.

Taxation

The charitable company is a registered charity and has no liability to corporation tax on its charitable activities under the Corporation Tax Act 2010 (chapters 2 and 3 of part ii, section 466 onwards) or section 256 of the Taxation for Chargeable Gains Act 1992, to the extent surpluses are applied to its charitable purposes. The activities of the charitable company’s wholly owned trading subsidiary are subject to corporation tax; however all profits are paid to the charitable company by way of gift aid.

19

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

1 Accounting policies (continued) Tangible fixed assets and depreciation

i) Tangible assets

Tangible Assets are included at acquisition cost less depreciation. The capitalisation threshold is £20,000. Land held on long-term lease and

landscaping costs to bring the grounds into use are not depreciated. Generally, depreciation is provided on other tangible fixed assets at rates calculated on a straight-line basis over their expected useful lives, the only exception to this is grounds equipment purchased during the 2020 financial year which is depreciated over the term of the Hire purchase/finance lease of 4 years.

----- Start of picture text -----
Long leasehold land and initial landscaping - not depreciated
Long leasehold and ground
Ground improvements and drainage - 6.67%
improvements
Roadways and paths - 8.33%
Heritage assets Not depreciated
Building and fixtures 2%
Solar Panels 5%
Visitor facilities and fixtures
Grounds Equipment under Finance lease 25%
Catering Equipment 20%
Office equipment Office equipment 20%
----- End of picture text -----

Depreciation is not provided until an asset is brought into use. Depreciation is then charged over the asset’s economic life based on the percentages above as appropriate. Depreciation is not charged in the year of disposal but is included in the profit/loss on disposal calculation.

Capital projects with a life of more than 1 year are managed via a capital work in progress account. Projects are transferred to fixed assets and depreciated over their economic life once they come into use.

Assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of the asset’s fair value less any costs of sale and its value in use.

Where appropriate gifted land or other property is valued by a RICS qualified surveyor at the market rate prevailing at the point the asset is transferred to the Arboretum.

ii) Heritage assets

The charitable company has capitalised trees held on site for Remembrance value within the financial statements. The trees are managed as part

of the Arboretum ensuring that they are accessible to the public in line with the objectives of the charitable company.

Trees are included at cost as the Trustees deem a valuation policy to be inappropriate. The trees are deemed to have indeterminable lives as they are preserved through ongoing maintenance of the Arboretum and the Trustees do not therefore consider it appropriate to charge depreciation. However, a review for impairment is carried out on an ongoing basis and in the case of any damage, for example as a result of a severe storm or disease, the value of the trees will be adjusted and the impairment recognised in the Statement of Financial Activities.

The Armed Forces Memorial (AFM) is included as a Heritage Asset. Given the significant repairs required to the AFM on acquisition from the Armed Forces Memorial Trust in 2015, and the cost of ascertaining a definitive value through a surveyor’s valuation significantly outweighing any benefit gained due to the unique nature of the asset, the AFM is included in the accounts at the nominal value of £1.

20

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

1 Accounting policies (continued) iii) Memorials

Under the current policy issued in 2010 new memorials are built by the commissioning organisation/association who retain ownership. Memorial holders are requested to either pay an annual maintenance charge for the upkeep of the grounds surrounding their memorial or make an upfront maintenance endowment to facilitate the ‘lifetime’ maintenance of their memorial in the event their organisation should cease to exist in the future. These are regarded as expendable endowments and the capital can be used to fund ongoing maintenance costs. All funds received for annual maintenance are included in the tree plaques, benches and paviors income category under income from charitable activities. Lump sum maintenance endowments are recognised under voluntary income and any subsequent expenditure is shown in the cost of charitable activities (endowment).

Prior to the introduction of the policy in 2011, any donations received for memorial construction were credited to income from charitable activities and any unspent balance transferred to endowment funds. These remaining balances will be used to cover maintenance on the specific memorials in the future.

Employee Benefits

The charitable company operates a defined contribution pension scheme. The amount charged to the Statement of Financial Activities in respect of pension contributions and other retirement benefits is the contributions payable in the year. The difference between this and contributions actually paid is shown as either accruals or prepayments in the balance sheet. All costs relate to unrestricted activities.

Financial Instruments

The charity only has financial assets and liabilities that qualify as basic financial instruments. Basic financial instruments are initially valued at transaction value and subsequently measured at their settlement value as follows:

Trade and other debtors are recognised at the settlement amount after any discounts offered. Cash and cash equivalents include cash and other short-term highly liquid investments with a maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Prepayments are valued at the amount prepaid net of any trade discounts due. Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will result in the transfer of funds to a third party and the amount to settle the obligation can be measured reliably. Creditors and provisions are recognised at their settlement value after allowing for trade discounts due.

2 Critical accounting judgements and key sources of estimation uncertainty

In the application of the accounting policies, which are described in note 1, the Trustees are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The Trustees do not consider that there are any critical judgements or sources of estimation uncertainty requiring disclosure that are not already disclosed above.

21

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

3 Analysis of Income from donations and legacies

Total
Donations
Gifts in kind
Legacies
General grants		 Unrestricted
Restricted
Endowments
2024
2023
£'000
£'000
£'000
£'000
£'000
384
51
91
526
937
-
16
-
16
-
188
-
-
188
154
2,310
441
-
2,751
2,906
2,882
508
91
3,481
3,997

3a General grants comprise the following:

Total
Grant in Aid - Armed Forces Memorial
The Royal British Legion - Remembrance
The Royal British Legion - Queens Green Canopy
The Royal British Legion - DDay 80
National Lottery Heritage Fund
Memorial Grant Scheme
Lichfield District Council - Changing Places
Other grants		 2024
2023
£'000
£'000
92
138
2,300
2,300
-
200
304
-
27
222
6
6
-
32
22
8
2,751
2,906

Income from general grants includes non-performance-related grants, of which £92,000 are government grants (2023: £138,000). This relates to Grant in Aid funding from the Ministry of Defence. There were no unfulfilled conditions or other contingencies relating to government grant income recognised in the year.

4 Analysis of income from charitable activities

This note provides an analysis of activities specifically undertaken to generate income for the charity. It includes performance related grants for Armed Forces Day and other commemorative activity, primary purpose trading in the form of tree plaque, inscribed paviors, annual maintenance of plots and memorials and the recharge of overhead expenses to the Arboretum’s trading subsidiary NMA (Enterprises) Limited.

Performance related grants
Car park
Learning Services
NMA (Enterprises) overhead recharge
Tree plaques / benches/ annual maintenance
Other
Total		 2024
2023
£'000
£'000
10
10
317
289
48
40
306
278
86
85
2
3
769
705

22

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

5 Net income from Trading Subsidiary

The charitable company has a trading subsidiary NMA (Enterprises) Limited, which is a private company registered in England and Wales, of

which the registered office is given on page 1. A summary of the trading results is shown below. Audited financial statements will be filed with the Registrar of Companies. NMA (Enterprises) Limited primarily carries out the operation of a retail shop, restaurant and functions.

Assets
Liabilities
Total
Other income
Administrative expenses
Operating profit before taxation
Analysis of income from investments
Gifted from NMA (Enterprises)
Payment to parent charity under the gift aid scheme
Profit and total comprehensive income for the year
Bank interest
Turnover
Cost of sales
Retained earnings brought forward
Net assets
Profit before taxation
Taxation
Gross profit
Retained surplus for the year
Retained surplus carried forward		 2024
2023
£'000
£'000
3,133
2,926
(2,405)
(2,374)
728
552
(458)
(489)
270
63
55
1
325
64
325
64
18
204
(220)
(250)
123
18
123
18
803
688
(680)
(670)
123
18
2024
2023
£'000
£'000
220
250
150
78
370
328
Total
Raising donations, grants &
legacies
Advertising, marketing & direct
mail		 Direct Costs
2024
Support Costs
2024
Total
2024
Direct Costs
2023
Support Costs
2023
Total
2023
£'000
£'000
£'000
£'000
£'000
£'000
55
23
78
17
31
48
644
140
784
604
135
739
699
163
862
621
166
787

23

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

8 Analysis of expenditure on charitable activities

Commemorative events
Grounds & memorial upkeep
Visitor operations
NMA (Enterprises) recharge
Total		 Direct costs
2024
Support Costs
2024
Total
2024
Direct Costs
2023
Support Costs
2023
Total
2023
£'000
£'000
£'000
£'000
£'000
£'000
719
140
859
439
117
556
511
210
721
512
249
761
873
1,518
2,391
1,112
1,427
2,539
-
306
306
-
278
278
2,103
2,174
4,277
2,063
2,071
4,134

9 Analysis of support costs

Governance
Central Management
Administration
Premises
Depreciation
Legal & Professional
Total		 Raising funds
2024
Commemora-
tive
events
2024
Grounds &
memorials
2024
Visitor
operations
2024
Recharged to
NMA
enterprises
2024
Total
2024
£'000
£'000
£'000
£'000
£'000
£'000
13
12
17
85
-
127
33
28
43
220
126
450
29
25
37
180
-
271
88
75
113
552
117
945
-
-
-
479
63
542
-
-
-
2
-
2
163
140
210
1,518
306
2,337

2023 Comparative Analysis of support costs

Governance
Central Management
Administration
Premises
Depreciation
Legal & Professional
Total		 Raising funds
2023
Commemora-
tive
events
2023
Grounds &
memorials
2023
Visitor
operations
2023
Recharged to
NMA
enterprises
2023
Total
2023
£'000
£'000
£'000
£'000
£'000
£'000
12
9
19
71
-
111
34
24
51
190
123
422
30
21
45
172
2
270
87
61
131
497
107
883
-
-
-
483
46
529
3
2
3
14
-
22
166
117
249
1,427
278
2,237

Costs are allocated according to employee headcount for each activity, with the exception of depreciation which is apportioned according to usage of assets.

24

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

10 Net income for the year

Net income for the year
2024 2023
Income is after charging: £'000 £'000
Depreciation of owned assets 542 529
Auditor remuneration : Fees payable to the charitable company's auditor for audit of the financial statements 30 28

11 Analysis of staff costs, trustee remuneration and expenses and the cost of key management personnel

The average number of employees was:

Total
Raising funds
Charitable operations
Support		 2024
2023
No.
No.
7
5
39
42
10
10
56
57

Their aggregate remuneration comprised:

Total
Social Security costs
Pension costs
Wages and salaries		 2024
2023
£'000
£'000
1,422
1,380
123
119
142
139
1,687
1,638

During the year no severance payments were made (2023:nil).

The number of employees whose emoluments excluding pension contributions but including benefits in kind were in excess of £60,000 was:

Total
£70,000 - £80,000
£60,000 - £70,000		 2024
2023
-
1
1
-
1
1

The total remuneration (including pension contributions but excluding employer’s National Insurance Contributions) of the key management personnel of the charity for the year totalled £440,000 (2023: £450,000). Total employer’s NIC paid in respect of key management personnel totalled £45,000 (2023: £47,000).

Trustees' remuneration

No Trustees received remuneration during the current or prior year and no expenses were paid to any Trustees during 2024 for expenses (2023: nil).

25

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

12 Taxation

The activities of the charitable company are exempt from corporation tax. The activities of the charitable company’s wholly owned trading subsidiary are subject to corporation tax; however all profits are paid to the charitable company by way of gift aid therefore no tax liability will arise.

13 Irrecoverable VAT

The charitable company was unable to recover £182,000 of VAT for the 2024 financial year (2023: £205,000). This has been allocated back to the individual expenditure categories to which it relates.

14 Tangible fixed assets

Charge for the year
Net Book Value:
At 30 September 2024
At 30 September 2024
At 30 September 2024
Accumulated Depreciation:
At 1 October 2023
Transfers
At 1 October 2023
Cost:
Additions
At 30 September 2023		 Long Leasehold
and Ground
Improvements
Visitor Facilities
and Fixtures Office Equipment
Assets Under
Construction
Total
£'000
£'000
£'000
£'000
£'000
2,520
22,175
25
429
25,149
-
-
-
64
64
1
-
-
(1)
-
2,521
22,175
25
492
25,213
1,412
3,687
25
-
5,124
34
508
-
-
542
1,446
4,195
25
-
5,666
1,075
17,980
-
492
19,547
1,108
18,488
-
429
20,025

In 1994 the Arboretum site of 152 acres was gifted by Tarmac Plc on a 999-year lease at a peppercorn rent. Included in the cost of the long leasehold land is land with an ascribed value of £120,000 and landscaping costs to bring the grounds into use at £827,000 which is not depreciated. Further land was gifted to the Arboretum in 2022 with an ascribed value of £178,000. Costs associated with the development of this land will be recognised at cost value as and when works are undertaken.

26

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

----- Start of picture text -----
15 Heritage assets
Trees Total
Basis of capitalisation At cost
£'000 £'000
Carrying amount at 1 October 2023 403 403
Carrying amount at 30 September 2024 403 403
----- End of picture text -----

----- Start of picture text -----
2024 2023 2022 2021 2020
Purchases:
Trees - 55 - - -
Total
- 55 - - -
Additions
----- End of picture text -----

Trees are an inherent part of the Arboretum and have been designated Heritage Assets and are not depreciated as described in note 1. These trees are included at cost as the majority have been selected for their symbolic meaning rather than from an arboreal collection perspective. The trees were originally planted as saplings and are now quite mature specimens. In the Trustees’ opinion no provision for impairment is required at this time.

The Armed Forces Memorial is included in the accounts at a deemed cost of £1. This reflects the dilapidated state in which the memorial was

transferred to the Arboretum in 2015. The cost of ascertaining a value for the memorial through a surveyor’s valuation significantly outweighs any

benefit that will be derived by the organisation. Ongoing repairs and maintenance costs to the memorial were expensed in the year.

16 Fixed asset investments

The Trustees of the charitable company own the entire issued share capital of two ordinary shares of £1 each at a cost of £2 of NMA (Enterprises) Limited. During the year NMA (Enterprises) Limited gift aided £220,000 profit to the Arboretum (2023: £250,000) and at the end of the year had aggregate reserves of £123,000 (2023: £18,000).

17 Debtors

Total
Amounts owed by subsidiary undertaking
Trade debtors
VAT reclaimable
Prepayments and accrued income
Amount owed by parent		 2024
2023
£'000
£'000
49
73
233
377
154
-
120
344
53
-
609
794

Amounts owed by the subsidiary undertaking are non-interest bearing and payable on demand.

27

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

18 Creditors: amounts falling due within one year

Total
HMRC - PAYE and NI
Amount owed to parent
d
t ki
Trade creditors
Hire purchase/ finance lease
VAT creditor
Accruals and deferred income		 2024
2023
£'000
£'000
226
138
61
2
45
47
-
59
-
15
191
189
523
450

The amounts owed to and from parent undertaking are non-interest bearing and repayable on demand.

19 Comparative statement of financial activities

Note
3
4
5
6
7
8
20
Reconciliation of funds:
Net Movement in Funds
Total funds brought forward
Total income
Expenditure on:
Raising Funds
Charitable activities
Total expenditure
Transfer between funds
Net (expenditure) / income for the year
Donations and Legacies
Charitable Activities
Other Trading Activities
Investments:
Net income from Trading
Bank interest
Retained earnings carried forward
Income and Endowments
from:
Net movement in funds for the year		 Unrestricted
Funds
Restricted
Funds
Endowment
Funds
Total
Funds
2023
£'000
£'000
£'000
£'000
2,869
811
317
3,997
695
10
-
705
41
-
-
41
250
-
-
250
6
6
66
78
3,861
827
383
5,071
787
-
-
787
3,614
441
79
4,134
4,401
441
79
4,921
(540)
386
304
150
305
(305)
-
-
(235)
81
304
150
21,595
712
1,621
23,928
(235)
81
304
150
21,360
793
1,925
24,078

28

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued) Year ended 30 September 2024

20 Movements on funds

Development and Engagement
The Blues and Royals
Total Unrestricted Funds
Designated Funds Total
Wrens
NMA Memorials & Buildings
Police Service Northern Ireland
Victims of overseas terrorism
Royal Ulster Constabulary
Bastion Memorial
Army Apprentices
Durham Light Infantry
British Korean Veterans
Basra Wall
Total Expendable endowments
Guards Parachute Association
Royal Military Police
Scouts
Army Air Corp
Desert Rats
Royal Artillery
Household Division
RLC
Queen’s Green Canopy
National Mining Memorial
RBL Remembrance Glade
Royal Army Medical Corp
Post Office
Submariners
41 Club
Unrestricted Funds:
Designated Funds:
Fixed assets
General Fund
Polish Ex-Combatants
Royal Engineers
Expendable endowments:
Heroes’ Square garden maintenance
Royal Electrical & Mechanical Engineers
Devon & Dorset Regiment
Queens Lancashire Regiment		 At 1 October
Income
Expenditure
Transfers
At 30
September
2023
2024
£'000
£'000
£'000
£'000
£'000
1,345
3,768
(4,040)
17
1,090
19,596
-
(542)
64
19,118
419
188
-
-
607
20,015
188
(542)
64
19,725
21,360
3,956
(4,582)
81
20,815
732
126
(39)
-
819
28
1
(1)
-
28
38
2
(1)
-
39
15
1
(1)
-
15
27
1
(2)
-
26
45
2
(3)
-
44
27
2
(2)
-
27
47
2
(1)
-
48
84
4
(1)
-
87
27
1
(2)
-
26
41
2
(1)
-
42
93
5
(8)
-
90
29
2
(2)
-
29
17
1
(1)
-
17
25
2
(1)
-
26
24
1
(1)
-
24
24
1
(1)
-
24
36
2
(2)
-
36
19
1
(1)
-
19
27
1
(1)
-
27
26
1
(1)
-
26
23
1
(1)
-
23
53
3
(3)
-
53
56
3
(3)
-
56
38
2
(2)
-
38
20
1
(1)
-
20
31
2
(2)
-
31
84
4
(4)
-
84
28
1
(1)
-
28
21
1
-
-
22
37
2
(2)
-
37
103
5
(5)
-
103
1,925
186
(97)
-
2,014

29

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

20 Movement of funds (continued)

Restricted Funds

D-Day 80
Total Restricted Funds
AFM
Remembrance Centre
Functions Pavilion
NLHF
Total Charity funds
Shot at Dawn fundraiser
Memorial Woodland/ Queens Green Canopy
Other funds received & fully utilised in year		 At 1 October
Income
Expenditure
Transfers
At 30
September
2023
2024
£'000
£'000
£'000
£'000
£'000
484
119
(93)
-
510
130
-
-
-
130
34
-
-
-
34
145
1
-
(64)
82
-
27
(20)
(7)
-
-
66
(42)
-
24
-
304
(304)
-
-
-
11
(1)
(10)
-
793
528
(460)
(81)
780
24,078
4,670
(5,139)
-
23,609

Separate funds are held for the following purposes:

• Expendable endowments - a number of memorial holders gift monies to the Arboretum for the ongoing maintenance and upkeep of their memorial which is critical to the longevity of the Arboretum as the number of memorials increases. Due to the significant increase in take up of the scheme only endowments of over £20,000 are separately disclosed all others are included under the NMA memorials and building category.

• Functions Pavilion - funding received from the parent charity to progress the development of functions pavilion to host the 250 Remembrance functions which take place on site per annum.

• Memorial woodland/Queens Green Canopy - funding received and expended relating to the expansion of the NMA into the new land gifted to the Arboretum by Tarmac and the Leavesley family in 2022.

• NHLF- Funding from the National Lottery Heritage fund for the Lockdown landscapes project. A partnership project with the National Forest Company and Westminster Abbey.

• D-Day 80 - funding was received and allocated for two main purposes: £285,000 for the D-Day 80 Remembrance Event at the National Memorial Arboretum, and £25,000 for the Legacies of D-Day Exhibition, also held at the NMA. There was a £6,000 underspend of the Grant, which is to be paid back to The Royal British Legion, hence only £304,000 total income recognised.

Note: Expenditure of restricted funds for items which are subsequently capitalised will result in a transfer from restricted to unrestricted funds as the items capitalised are subsequently used for general purposes.

30

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

21 Comparative movement on funds

Development and Engagement
General Fund
Queens Lancashire Regiment
Royal Artillery
Submariners
41 Club
Household Division
RLC
Queen’s Green Canopy
British Korean Veterans
Polish Ex-Combatants
Royal Ulster Constabulary
Unrestricted Funds:
NMA Memorials & Buildings
Basra Wall
Army Apprentices
Durham Light Infantry
The Blues and Royals
Wrens
Royal Military Police
Scouts
National Mining Memorial
RBL Remembrance Glade
Royal Army Medical Corp
Post Office
Army Air Corp
Designated Funds Total
Total Unrestricted Funds
Desert Rats
Expendable endowments:
Royal Engineers
Police Service Northern Ireland
Victims of overseas terrorism
Heroes’ Square garden maintenance
Royal Electrical & Mechanical Engineers
Devon & Dorset Regiment
Designated Funds
Fixed assets
Total Expendable endowments
Bastion Memorial
Guards Parachute Association		 At 1 October
Income
Expenditure
Transfers
At 30
September
2022
2023
£'000
£'000
£'000
£'000
£'000
1,632
3,721
(3,872)
(136)
1,345
19,684
-
(529)
441
19,596
279
140
-
-
419
19,963
140
(529)
441
20,015
21,595
3,861
(4,401)
305
21,360
577
183
(28)
-
732
28
1
(1)
-
28
37
1
-
-
38
15
1
(1)
-
15
28
1
(2)
-
27
46
2
(3)
-
45
28
1
(2)
-
27
46
2
(1)
-
47
82
3
(1)
-
84
28
1
(2)
-
27
41
1
(1)
-
41
97
3
(7)
-
93
30
1
(2)
-
29
18
1
(2)
-
17
25
1
(1)
-
25
24
1
(1)
-
24
24
1
(1)
-
24
36
2
(2)
-
36
20
1
(2)
-
19
27
1
(1)
-
27
26
1
(1)
-
26
23
1
(1)
-
23
54
2
(3)
-
53
57
2
(3)
-
56
39
1
(2)
-
38
20
1
(1)
-
20
31
1
(1)
-
31
85
3
(4)
-
84
29
1
(2)
-
28
-
21
-
-
21
-
37
-
-
37
-
103
-
-
103
1,621
383
(79)
-
1,925

31

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

21 Comparative movement on funds (continued)
Restricted Funds
AFM 488 152 (156) - 484
Remembrance Centre 130 - - - 130
Functions Pavilion 34 - - - 34
Memorial Woodland/ Queens Green Canopy 60 400 - (315) 145
NLHF - 222 (232) 10
Other funds received & fully utilised in year - 53 (53) - -
Total Restricted Funds 712 827 (441) (305) 793
Total Charity funds 23,928 5,071 (4,921) - 24,078
22 Current liabilities
Current assets
Fixed assets
Analysis of assets and liabilities between funds		 Unrestricted
Funds
£'000
832
781
(523)		 Designated
funds
£'000
19,118
607
-		 Restricted
funds
£'000
-
780
-		 Endowment
funds
£'000
-
2,014
-		 Total
2024
£'000
19,950
4,182
(523)
Total 1,090 19,725 780 2,014 23,609

23 Comparative analysis of assets and liabilities between funds

Total
Fixed assets
Current liabilities
Current assets		 Unrestricted
Funds
Designated
funds
Restricted
funds
Endowment
funds
Total
2023
£'000
£'000
£'000
£'000
£'000
832
19,596
-
-
20,428
963
419
793
1,925
4,100
(457)
-
-
-
(457)
1,338
20,015
793
1,925
24,071

24 Employee retirement benefits

The charitable company operates a defined contribution scheme for all qualifying employees. The charitable company's contribution to the scheme in the year was £142,000 (2023: £139,000). Outstanding amounts to be paid into the scheme at the year-end were nil (2023: £nil).

25 Related party transactions

The charitable company received payment of £306,000 (2023: £278,000) from NMA (Enterprises) to cover the cost of operational overheads incurred on its behalf.

Payments totalling £220,000 were received from NMA Enterprises under gift aid during the year, £18,000 relating to 2023 surplus and a payment on account of £202,000 relating to the to 2024 surplus (2023: £250,000).

The company received a general remembrance grant of £2,300,000 (2023: £2,300,000) from its parent charity the Royal British Legion and a further £310,000 towards Dday-80 commemorations. (2023: £200,000 was received for strategic developments).

No Trustee received payment for professional services or other services provided to the charity during the year (2023: £nil).

There were no donations received from Trustees during the year (2023: £nil).

32

The National Memorial Arboretum Company Limited

Notes to the financial statements (continued)

Year ended 30 September 2024

26 Cash flow statement

a) Reconciliation of net income to cash generated by operations

Instant access working capital
Notice deposits
Other cash balances
Net (expenditure) / income for the year
Adjustments for:
Interest payable
Interest receivable
Depreciation charges
Decrease in debtors
Increase / (decrease) in creditors
Cash generated by operating activities
b) Analysis of Cash and cash equivalents
Donations of endowment
c) Analysis of change in net debt
Cash
Finance leases
Total
Operating cash flow before movement in working capital		 2024
2023
£'000
£'000
(469)
150
(150)
(78)
1
1
542
529
(91)
(317)
(167)
285
185
37
88
(219)
106
103
2024
2023
£'000
£'000
339
196
275
266
2,959
2,844
3,573
3,306
At 1 October
Cash-flows
At 30
September
2023
2024
£'000
£'000
£'000
3,306
267
3,573
(15)
15
-
3,291
282
3,573

27 Ultimate parent undertaking

The Royal British Legion (Registered Charity number 219279) is the charitable company’s immediate and ultimate parent undertaking and ultimate controlling party. The parent undertaking of the smallest and largest group which includes the company for which the group accounts are prepared is The Royal British Legion. The consolidated financial statements of The Royal British Legion can be obtained from the charity’s registered office at 199 Borough High Street London, SE1 1AA. The accounts of the Arboretum’s trading subsidiary NMA Enterprises Limited (Company number 04259701) can be obtained from Companies House.

28 Post balance sheet event

On 3rd April 2025 £123,000 was received from NMA Enterprises under gift aid, being the remaining surplus relating to the 2024 financial year. (2023: the remaining surplus of £18,000 from the 2023 financial year was paid 20th December 2023)

33