2023-12-31-accounts

Charity registration number 1067178

THE CAISTER CASTLE TRUST

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

THE CAISTER CASTLE TRUST

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees	Mr PJSR Hill
	Mr P Wood
	Mr T R Hill
	Mrs MDR Randall
Charity number	1067178
Principal address	6A King Street
	Melton Mowbray
	Leicestershire
	LE13 1XA
Auditor	Newby Castleman LLP
	West Walk Building
	110 Regent Road
	Leicester
	LE1 7LT
Bankers	Lloyds Bank Plc
	PO Box 33
	7 High Street
	Leicester
	LE1 9FS
Solicitors	Cozens - Hardy LLP
	Castle Chambers
	Opie Street
	Norwich
	NR1 3DP
Investment advisors	Brewin Dolphin
	Waterfront House
	Waterfont Plaza
	35 Station Street
	Nottingham
	NG2 3DQ

THE CAISTER CASTLE TRUST

CONTENTS

	Page
Trustees' report	1 - 3
Independent auditor's report	4 - 6
Statement of financial activities	7
Balance sheet	8
Statement of cash flows	9
Notes to the financial statements	10 - 23

THE CAISTER CASTLE TRUST

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2023

The trustees of The Caister Castle Trust ("the Charity") are pleased to present their annual report and financial statements for the year ended 31 December 2023.

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 Charities Act 2011 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).

Objectives and activities

The key objectives of the charity are:

• To promote the education of the public concerning the history of motoring and to exhibit to the public historic motor vehicles, documents, photographs, artefacts and other exhibits in connection with the history of motoring including but not limited to those forming part of the collection;

• To promote the history of motoring both in Great Britain and internationally for the benefit of the public;

• To conserve for the benefit of the public historic motor vehicles, documents, photographs, artefacts and other exhibits connected with the history of motoring.

The Charity operates from exhibition facilities at Caister Castle, West Caister, Norfolk and is open to the public 6 days a week during the summer months for 20 weeks. The facilities house many fine rare veteran, vintage, classic, sports and touring automobiles and motorcycles. Caister Castle is currently home to the largest private collection of motor vehicles in Britain. Looking ahead, the Charity aims to maintain and improve facilities and exhibits as opportunities arise.

Public Benefit

In formulating and applying these objectives, the Trustees have regard to the guidance of the Charity Commission on Public Benefit.

The Charity meets the public benefit requirements through: affordable admission prices meaning the exhibition halls and other facilities are accessible to all; promoting the education of the public concerning the history of motoring; and conserving, for the benefit of the public, historic motor vehicles. Public awareness is achieved by advertising and its website, to enable as many members of the public to gain access to the collection.

Achievements and performance

Each year, the Trustees monitor the number of visitors to the exhibitions and consider the number attending in 2023 to be satisfactory. The Trustees are continually vigilant for new vehicle acquisitions to compliment the existing exhibits with vehicle acquisitions and on-going restorations of significant vehicles in the collection. The exhibition halls and other facilities are improved and extended according to requirements. The Trustees are continually monitoring long term strategic aims, to assist with future planning.

Financial review

The results for the year ended 31 December 2023 are set out in the statement of financial activities on page 7, which the Trustees consider to be satisfactory. The Trustees consider the results to be acceptable with total income increasing to £1,473,396 (2022 - £711,665), total expenditure increasing to £670,100 (2022 - £624,345), gains on investments were £2,676,071 (2022 - £127,529) and the net increase in funds was £3,479,367 (2022 - £214,849). The charity does not carry out significant fundraising activities.

The principal sources of income include entrance fees to the exhibitions, and annual income from investments. The Trustees regularly review the organisational health of the charity and seek to achieve a surplus to enable implementation of the charities aims.

Regular maintenance programmes and responsive repairs are continued throughout the year to ensure the integrity of the exhibition halls and other facilities and its heritage assets.

• 1 -

THE CAISTER CASTLE TRUST

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Reserves policy

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 at least equivalent to twelve month’s expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in income, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised.

Total funds carried forward at 31 December 2023 were £30,312,947. All of the funds of the Charity are required for the operation and development of the Trust. The Trustees consider all of the reserves of the Trust to be unrestricted. The Trustees consider the net current assets of the Charity, excluding those assets held for the long term, to be free reserves. The level of free reserves is, therefore, in the order of £873,883, which equates to the net current assets, shown on the balance sheet on page 8, excluding the investment properties held for sale.

The Trustees expenditure on repairs and improvements to property and facilities is made as and when required. The Trustees will retain sufficient free reserves, following the development projects, to cover operating costs for the foreseeable future. As set out earlier in this report, the Trustees are continually enhancing the exhibits and improving the buildings, which will result in a consequent increase in the costs of operations. It is with these plans in mind that the Trustees consider it necessary to maintain the current level of free reserves until such time as these developments are expended, and the annual increased operating costs are known with more certainty.

Investment policy

There is no restriction on the Trustees' power to invest. The Trustees are aware of their responsibility to ensure that a satisfactory return is obtained from the Charity's assets.

It is the current policy of the Trustees to hold surplus funds in interest bearing bank accounts where possible, and other investments in order to minimise risk, with an emphasis on capital preservation.

Risk management

The Trustees regularly review the major risks to which the Charity is exposed. During the year, the Trustees have considered these risks and believe that satisfactory controls are in place to mitigate them to an acceptable level. In the light of the current financial climate, the Trustees have considered the specific risks involved with income, assets and public liabilities.

Income risk

The Charity is less dependent now on the continued funding from income from public admissions which could clearly increase or decrease in any period. Rental and investment income are expected to be sources of additional funding in the future years, and should be sufficient to cover expenditure.

Asset risk

The Charity has significant value within its tangible fixed assets and investments. These are continually maintained by the Charity. The Trustees consider the spread and risk associated with its various investments, and the Charity maintains a diversified portfolio with the objective of managing the risk associated with them.

Public liabilities

The Charity recognises its duty to the public viewing the exhibition, and all reasonable steps are taken to safeguard their visits.

Structure, governance and management

Caister Castle Trust is a registered Charity (number 1067178) which was formed as a Trust on 6 January 1998 by Deed of Declaration of Trust. The Trust is governed by a Board of Trustees. Mr PJSR Hill has been assigned the day to day management of the Charity on behalf of the Trustees. However, key decisions of the Trust relating to the activities and financial performance are taken by the Trustees as a whole.

Governing Body and Appointment of Trustees

The structure of the Charity consists of one set of Trustees. The board of Trustees is authorised to appoint new Trustees to fill vacancies arising through resignation or death of an existing Trustee.

• 2 -

THE CAISTER CASTLE TRUST

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Trustee Education and Training

New Trustees will undergo an orientation day to brief them on their legal obligations under the Charities Act, the committee and decision making processes, future plans and the recent financial performance of the charity. Trustees will be encouraged to attend appropriate external training events where these will facilitate the undertaking of the role.

The power of appointing new Trustees vests in the continuing Trustees within the terms of the Deed of Declaration of Trust.

Mr PJSR Hill acts as a director for a number of the Trust's subsidiary companies and significant undertakings. These are listed in notes 20 and 21.

The Trustees who served during the year were:

Mr PJSR Hill

Mr P Wood Mr T R Hill

Mrs MDR Randall

Statement of Trustees' responsibilities

The Trustees are responsible for preparing the Trustees’ Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the Trustees to prepare accounts 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 of the charity for that year. In preparing these accounts, the Trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the charities SORP 2019 (FRS 102);

• make judgements and estimates that are reasonable and prudent;

• state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the accounts;

• prepare the accounts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The Trustees are responsible for keeping proper 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 Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. 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.

Disclosure of information to auditor

Each of the persons who are Trustees at the time when this Trustees' Report is approved has confirmed that:

• so far as that Trustee is aware, there is no relevant audit information of which the Charity's auditor is unaware, and

• each Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any information needed by the Trust's auditor in connection with preparing its report and to establish that the Trust and the Trust's auditor is aware of that information.

The Trustees' report was approved by the Board of Trustees.

Mr PJSR Hill Trustee

Dated: 22 October 2024

• 3 -

THE CAISTER CASTLE TRUST

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF THE CAISTER CASTLE TRUST

Opinion

We have audited the financial statements of The Caister Castle Trust (the ‘charity’) for the year ended 31 December 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• give a true and fair view of the state of the charity’s affairs as at 31 December 2023 and of its incoming resources and application of resources, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Charities Act 2011.

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 charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including 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 charity’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.

Other information

The other information comprises the information included in the Trustees' report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information contained within the Trustees' report. Our opinion on the financial statements does not cover the other information and 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 there is 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.

• 4 -

THE CAISTER CASTLE TRUST

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE CAISTER CASTLE TRUST

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

• the information given in the financial statements is inconsistent in any material respect with the Trustees' report; or

• the charity has not kept adequate accounting records; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

As explained more fully in the Trustees' Responsibilities Statement set out on page 4, the Trustees 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 charity’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 cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 145 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

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.

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.

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

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. However, responsibility for the prevention and detection of fraud ultimately rests with both those charged with governance and management of the charity.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, our procedures included the following:

• obtaining an understanding of the legal and regulatory framework applicable to the charity by considering the nature of the industry in which the charity operates and enquiring of management; and

• identifying the key laws and regulations considered to have a direct impact on the financial statements including the UK Charities Act 2011 and UK Generally Accepted Accounting Practice; and

• assessing how the charity is complying with the applicable legal and regulatory framework by making further enquiries of management and observing the company's control environment regarding compliance with regulations and fraud prevention; and

• assessing the susceptibility of the charity's financial statements to material misstatement, including how fraud might occur, by considering the effectiveness of the charity’s accounting systems and controls and how these were monitored by management. Where the risk of material misstatement was considered to be higher in certain areas, further audit procedures were designed to address this increased risk; and

• discussing amongst the engagement team how and where fraud might occur in the financial statements and any potential indicators of fraud.

• 5 -

THE CAISTER CASTLE TRUST

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE CAISTER CASTLE TRUST

Audit response to risks of irregularities identified

Our procedures to respond to risks identified included the following:

• reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; and

• enquiry of charity staff responsible for compliance to identify any instances of non-compliance with laws and regulations; and

• reviewing supporting documentation confirming compliance with specific laws and regulations considered central to the ability of the company to operate; and

• enquiry of management, those charged with governance and other relevant parties around actual and potential litigation claims; and

• reviewing supporting documentation regarding actual and potential litigation claims; and

• reviewing minutes of meetings of those charged with governance; and

• performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias; and

• communicating identified laws and regulations and potential fraud risks to all engagement team members and assessing whether there are any indications of fraud or non-compliance with laws and regulations throughout the audit.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's Trustees those matters we are required to state to them in an auditors' 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 charity and the charity's Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Newby Castleman LLP

23 October 2024

Chartered Accountants Statutory Auditor West Walk Building 110 Regent Road Leicester LE1 7LT

Newby Castleman LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.

• 6 -

THE CAISTER CASTLE TRUST

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2023

Notes Income from: Donations 3 Charitable activities 4 Investments 5 Other income 6 Material other income 7 Total Expenditure on: Raising funds 8 Charitable activities 9 Total Net gains / (losses) on investments 15 Net income for the year/net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward	2023 £ 48,739 192,427 421,022 10,576 800,632 1,473,396 236,176 433,924 670,100 2,676,071 3,479,367 26,833,580 30,312,947	2022 £ 115,093 166,122 417,520 12,930 -
		711,665
		240,585 383,760
		624,345
		127,529
		214,849 26,618,731
		26,833,580

All income and expenditure derive from continuing activities.

All income and expenditure in the current and prior period is unrestricted.

• 7 -

THE CAISTER CASTLE TRUST

BALANCE SHEET

AS AT 31 DECEMBER 2023

Notes Fixed assets Tangible assets 16 Heritage assets 17 Investment properties 18 Investments 19 Current assets Stocks 22 Debtors 23 Investments 24 Cash at bank and in hand Creditors: amounts falling due within one year 25 Net current assets Net assets Charity funds Unrestricted funds 29 Total charity funds	2023 £ £ 3,234,415 1,495,294 18,087,376 5,384,979 28,202,064 1,370 170,773 1,237,000 775,168 2,184,311 (73,428) 2,110,883 30,312,947 30,312,947 30,312,947	2022 £ £ 3,234,395 1,331,700 14,731,723 5,227,791 24,525,609 1,370 282,125 1,667,500 408,675 2,359,670 (51,699) 2,307,971 26,833,580 26,833,580 26,833,580	2022 £ £ 3,234,395 1,331,700 14,731,723 5,227,791 24,525,609 1,370 282,125 1,667,500 408,675 2,359,670 (51,699) 2,307,971 26,833,580 26,833,580 26,833,580
			24,525,609 2,307,971
			26,833,580
			26,833,580
			26,833,580

The financial statements were approved and authorised by the board of trustees on 22 October 2024 and are signed on its behalf by:

Mr PJSR Hill

Trustee

The notes on pages 10 - 23 form part of these financial statements.

• 8 -

THE CAISTER CASTLE TRUST

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023

Notes Cash flows from operating activities Cash generated from/(absorbed by) operations 30 Investing activities Purchase of tangible fixed assets Proceeds on disposal of tangible fixed assets Purchase of heritage assets Purchase of investment property Purchase of other investments Proceeds on disposal of other investments Investment income Net cash used in investing activities Net cash used in financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year	2023 £ £ 594,593 (79,258) - (163,594) (353,186) (385,418) 332,334 421,022 (228,100) - 366,493 408,675 775,168	2022 £ £ (193,078) (222,014) 1,800 (78,141) (189,274) (906,126) 261,528 417,520 (714,707) - (907,785) 1,316,460 408,675

• 9 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

Charity information

The Caister Castle Trust is governed by its Constitution.

1.1 Basis of preparation

The charity is a public benefit entity as defined by FRS102. These financial statements have been prepared in accordance with: The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (“FRS 102”), Accounting and Reporting by Charities: the Statement of Recommended Practice for charities applying FRS 102 (2019), the Charities Act 2011, and UK Generally Accepted Accounting Practice.

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 have been prepared under the historical cost convention, modified to include investment properties and listed investments at fair value. The principal accounting policies adopted are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

Consolidated financial statements have not been prepared, because the aggregate gross income is below the consolidation threshold.

1.2 Going concern

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.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.

1.4 Incoming resources

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.

Donations from subsidiary undertakings and participating interests are recognised on an accruals basis, once the charity has been notified of the donation.

Income from charitable activities includes admission receipts and shop sales from the motor museum and is recognised on a receipts basis as the related goods and services are provided.

Investment income is earned through holding assets for investment purposes. It comprises rental income and farming income which are recognised on an accruals basis, as well as dividend income.

1.5 Expenditure recognition

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs relating to the category. Expenditure is recognised when 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. It is recognised under the following headings:

• Costs of raising funds includes costs incurred in seeking donations, legacies, as well as managing investments.

• Expenditure on charitable activities notably includes costs to further the delivery of the objectives of the charity.

Irrecoverable VAT is charged against the category of resources expensed for which it was incurred.

• 10 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

(Continued)

1.6 Support costs

Support costs are those that assist the work of the charity but do not directly represent charitable activities and costs of raising funds and include office costs, governance costs, and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity. Support costs are allocated to costs of raising funds and expenditure on charitable activities on a basis consistent with use of the resources.

The analysis of these costs is included in note 10.

1.7 Tangible fixed assets

Tangible fixed assets are measured at cost, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

Long leasehold land & buildings Freehold buildings Equipment

Over the life of the lease 50 years 5 years

Freehold land is not depreciated.

1.8 Investment properties

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in the Statement of Financial Activities ("SOFA").

1.9 Heritage assets

In accordance with its objectives, the Trust holds a collection of veteran, vintage and classic vehicles. Only the vehicles for which reliable historic information is available for cost or valuation have been recognised on the balance sheet of The Caister Castle Trust. The remaining vehicles have not been recognised on the balance sheet as there is no reliable historic information available to confirm the cost or valuation. The Trustees believe no accurate valuation can be placed on these assets because of their unique nature.

The collection is held in exhibition halls within the trust, and the cost of maintenance is charged through the statement of financial activities. The exhibition halls and other facilities are open to the public 6 days a week during the summer months.

1.10 Fixed asset investments

Listed investments are stated at market value as at the balance sheet date. The statement of financial activities includes the net gains and losses arising on market valuation and the disposals throughout the year, in respect of the holdings.

Unlisted investments, comprise investments in subsidiaries and associates, which were part of a legacy made to the Trust, are valued on the basis of their donated cost at the time of the donation less impairments to date.

1.11 Impairment of fixed assets

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, or the asset’s cash generating unit, is estimated and compared to the carrying amount in order to determine the extent of the impairment loss (if any). Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the SOFA unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

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THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

(Continued)

1.12 Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct material costs and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

1.13 Cash and cash equivalents

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

1.14 Financial instruments

Financial instruments are recognised in the charity’s balance sheet when the charity becomes party to the contractual provisions of the instrument.

Debtors and creditors with no stated interest rate and receivable or payable within one year are measured at transaction price. Any losses arising from impairment are recognised in the SOFA.

1.15 Employee benefits

When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

1.16 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount 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. If the revision affects both current and future periods they will be recognised accordingly.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Valuation of investment property

The valuation of investment properties are reassessed annually by the trustees and, when necessary, amended to reflect current estimates.

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THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

3 Income from donations

Unrestricted funds 2023 £ Donations from subsidiary undertakings and participating interests 48,739 4 Income from charitable activities Unrestricted funds 2023 £ Admission receipts and shop sales 192,427 5 Income from investments Unrestricted funds 2023 £ Rental income 274,617 Dividend income 63,069 Farming income 83,336 421,022 6 Other income Unrestricted funds 2023 £ Net gain on disposal of tangible fixed assets - Sale of labour costs 1,902 Insurance recharged out 8,349 Promotional income 325 10,576	Unrestricted funds 2023 £ Donations from subsidiary undertakings and participating interests 48,739 4 Income from charitable activities Unrestricted funds 2023 £ Admission receipts and shop sales 192,427 5 Income from investments Unrestricted funds 2023 £ Rental income 274,617 Dividend income 63,069 Farming income 83,336 421,022 6 Other income Unrestricted funds 2023 £ Net gain on disposal of tangible fixed assets - Sale of labour costs 1,902 Insurance recharged out 8,349 Promotional income 325 10,576			Total 2022 £ 115,093
				Total 2022 £ 166,122
				Total 2022 £ 289,757 51,369 76,394
				417,520
		Total Unrestricted funds 2023 2022 £ £ - 1,800 1,902 2,205 8,349 8,616 325 309 10,576 12,930		Total 2022 £ 1,800 2,205 8,616 309
				12,930

• 13 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

7 Other material income

	Unrestricted	Total	Unrestricted	Total
	funds		funds
	2023	2023	2022	2022
	£	£	£	£
Exceptional item	800,632	800,632	-	-

This exceptional item is income received as an instalment for land sold in Y/E 2020.

8 Expenditure on raising funds

Unrestricted funds 2023 £ Costs of raising funds Cost of sales 3,497 Repairs and maintenance 10,406 Legal and professional 3,300 Advertising 6,090 Commission on rents 28,906 Share portfolio management 19,857 Other expenditure 17,921 Support costs (note 10) 146,199 236,176 Expenditure on charitable activities Activities undertaken directly Note 10 £ Motor exhibition halls and other facilities 249,263	Total Unrestricted funds 2023 2022 £ £ 3,497 3,476 10,406 11,825 3,300 16,025 6,090 5,657 28,906 31,319 19,857 17,824 17,921 17,074 146,199 137,385 236,176 240,585 Support Costs Total 2023 Note 11 £ £ 184,661 433,924	Total 2022 £ 3,476 11,825 16,025 5,657 31,319 17,824 17,074 137,385
		240,585
		Total 2022 £ 383,760

9 Expenditure on charitable activities

• 14 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

10 Expenditure on activities undertaken directly

Labour costs Property repairs and maintenance Insurance Rent and rates Light and heat Telephone General Repairs and maintenance to exhibits Legal and professional Expenditure on support costs Basis of allocation Staff costs 2* Depreciation 1 Accountancy and audit 1 Motor expenses 1* Travel 1 Other expenses 1 Admin expenses from Caister Castle Limited *3 Analysed between: Raising funds Charitable activities	2023 £ 3,466 106,647 76,503 12,865 15,770 6,696 6,635 - 20,681 249,263 2023 £ 211,824 79,238 25,946 3,580 200 864 9,208 330,860 146,199 184,661 330,860	2022 £ 3,252 65,500 66,117 14,037 11,009 6,730 6,827 843 34,141
		208,456
		2022 £ 194,677 77,492 23,223 2,670 1,486 886 12,255
		312,689
		137,385 175,304
		312,689

11 Expenditure on support costs

• *1 Costs have been allocated to charitable activities.

• *2 Staff costs have been allocated as follows: Raising funds - Wages costs recharged from Caister Castle Limited £136,991 (2022 - £125,130) Charitable activities - Wages costs within the charity £74,833 (2022 - £69,547)

• *3 Administrative expenses recharged from Caister Castle Limited have been allocated to raising funds.

The amount charged to the statement of financial activities in respect of auditor's remuneration was £25,946 (2022 - £23,223).

12 Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

• 15 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

13 Trustees

None of the Trustees (or any persons connected with them) received any remuneration, during the year or prior year.

14 Employees

Number of employees

The average number employees during the year was:

Number of employees The average number employees during the year was:
	2023	2022
	Number	Number
Office and management	5	5

Whilst the exhibition halls and other facilities are open, 11 (2022 - 11) employees of Caister Castle Limited work for the charity, their salary costs are recharged to the charity.

Employment costs Wages and salaries Social security costs Other pension costs	2023 £ 206,561 4,180 1,082 211,823	2022 £ 189,818 3,890 969
		194,677

There were no employees whose annual remuneration was £60,000 or more.

15 Net gains on investments

Revaluation of investments Gain/(loss) on sale of investments Revalution of investment properties	2023 £ 88,344 15,760 2,571,967 2,676,071	2022 £ (175,240 (45,982 348,751
		127,529

• 16 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

16 Tangible fixed assets Cost At 1 January 2023 Additions At 31 December 2023 Depreciation and impairment At 1 January 2023 Depreciation charged in the year At 31 December 2023 Carrying amount At 31 December 2023 At 31 December 2022 17 Heritage assets At 1 January 2023 Additions At 31 December 2023	Long leasehold land & buildings £ 643,000 - 643,000 115,737 8,573 124,310 518,690 527,263	Freehold buildings Equipment £ £ 3,091,364 159,364 67,573 11,685 3,158,937 171,049 403,424 140,172 61,067 9,598 464,491 149,770 2,694,446 21,279 2,687,940 19,192	Total £ 3,893,728 79,258
			3,972,986
			659,333 79,238
			738,571
			3,234,415
			3,234,395
			Museum exhibits £ 1,331,700 163,594
			1,495,294

The exhibition halls' exhibits comprise a collection of veteran, vintage and classic vehicles. Only vehicles where reliable historic information is available for cost or valuation have been recognised in the balance sheet. A significant proportion of the collection of vehicles are on loan from Parade Court Limited. No value has been included in the financial statements for this loan agreement because the value of the donated service is unquantifiable due to the nature of the transaction. The remainder of the collection has not been recognised on the balance sheet of The Caister Castle Trust because reliable historic information is unavailable to confirm cost or valuation. The Trustees believe no accurate valuation can be placed on these assets because of their unique nature.

Five year financial summary of heritage asset transactions

Additions	2023 £ 163,594 163,594	2022 £ 78,141 78,141	2021 £ 74,136 74,136	2020 £ 128,911 128,911	2019 £ 149,696
					149,696

• 17 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

18 Investment property

Investment property
Fair value At 1 January 2023 Additions Net gains or losses through fair value adjustments At 31 December 2023	2023 £ 14,731,723 353,186 3,002,467
	18,087,376

Investment property comprises of commercial land and rental property. The fair value of certain investment properties have been arrived at on the basis of valuations carried out by Mather Jamie Chartered Surveyors at December 2023, Owen & Owen Chartered Surveyors at December 2023, Aldreds Estate Agents at December 2023 and Brown & Co at May 2023, none of which are connected with the charity. The valuations were made on an open market value basis by reference to market evidence of transaction prices for similar properties. The fair value of other investment properties is stated at the trustees' valuation and has been guided by a previous external valuation as well as the trustees' knowledge and experience.

19 Fixed asset investments

Listed investments Unlisted investments £ £ Cost or valuation At 31 December 2022 3,064,111 2,163,680 Additions 385,418 - Valuation changes 88,343 - Disposals (316,573) - At 31 December 2023 3,221,299 2,163,680 Carrying amount At 31 December 2023 3,221,299 2,163,680 At 31 December 2022 3,064,111 2,163,680	Total £ 5,227,791 385,418 88,343 (316,573)
	5,384,979
	5,384,979
	5,227,791

• 18 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

20 Subsidiaries

These financial statements are separate charity financial statements for Caister Castle Trust.

Details of the charity's subsidiaries at 31 December 2023 are as follows:

Name of undertaking	Registered	Nature	Class of	% Held
	office	of business	shares held	Direct
Caister Castle Limited	England and Wales	Supply of labour	Ordinary	100.00
Curnaseer Limited	England and Wales	Farming	Ordinary	100.00
Ferncombe Limited	England and Wales	Letting of property	Ordinary	100.00
Parade Court Limited	England and Wales	Letting of property	Ordinary	75.00
Wymondham Dairies Limited	England and Wales	Supply of labour	Ordinary	91.00

The aggregate capital and reserves and the result for the year of subsidiaries excluded from consolidation was as follows:

Name of undertaking	Profit/(Loss)	Capital and
		Reserves
	£	£
Caister Castle Limited	-	(619)
Curnaseer Limited	15,114	253,040
Ferncombe Limited	(14,960)	141,232
Parade Court Limited	8,378	39,162
Wymondham Dairies Limited	(6,547)	32,639

The above companies have the following year ends; Caister Castle Limited - 31 December, Curnaseer Limited - 31 July, Ferncombe Limited - 31 October, Parade Court Limited - 31 October and Wymondham Dairies Limited - 30 November.

The registered address of the subsidiaries are the same as the company's registered office address as given in the company information page of these financial statements.

Caister Castle Limited, Curnaseer Limited, Ferncombe Limited, Parade Court Limited and Wymondham Dairies Limited have been excluded from consolidation due to them being financially insignificant to the group in aggregate.

• 19 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

21 Significant undertakings

The charity also has significant holdings in undertakings which are not subsidiaries of the charity and are not classified as joint ventures or associated undertakings:

Name of undertaking

Goodfine Limited Pikerace Limited Scotsborough Castle Limited Pool Hall Farm Limited

The above companies have the following year ends; Goodfine Limited - 31 July, Pikerace Limited - 31 July, Scotsborough Castle Limited - 5 April, and Pool Hall Farm Limited - 31 July.

22 Stocks

22 Stocks
Finished goods and goods for resale 23 Debtors Amounts falling due within one year: Amounts due from subsidiary undertakings Other debtors Prepayments and accrued income 24 Assets held for sale Investment property held for sale	2023 £ 1,370 2023 £ 77,973 3,577 89,223 170,773 2023 £ 1,237,000	2022 £ 1,370
		2022 £ 88,631 93,736 99,758
		282,125
		2022 £ 1,667,500

• 20 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

25 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
Notes Deferred income 26 Trade creditors Other creditors Accruals	2023 £ 19,500 14,065 4,434 35,429 73,428	2022 £ - 10,080 3,365 38,254
		51,699

Deferred income is included in the financial statements in respect of proceeds on the sale of land received in advance of the period it relates to.

26 Deferred income

Other deferred income	2023 £ 19,500	2022 £ -
Deferred income is included in the financial statements as follows:
Deferred income is included within: Current liabilities Movements in the year: Deferred income at 1 January 2023 Resources deferred in the year Deferred income at 31 December 2023	2023 £ 19,500 - 19,500 19,500	2022 £ -
		- -
		-

• 21 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

27 Related parties

During the year, the charity sold services to the following companies, of which Mr PJSR Hill is a director:

	2023	2022
	£	£
Curnaseer Limited	681	717
Goodfine Limited	755	779
Pikerace Limited	679	717

During the year, the charity bought services from Caister Castle Limited totalling £146,199 (2022 - £137,384). During the year the company received rent from Wymondham Dairies Limited of £1,717 (2022 - £1,717). The charity also received farming income from Curnaseer Limited of £27,460 (2022 - £5,949).

A significant proportion of the collection of vehicles is on loan from Parade Court Limited, a company which Mr PJSR Hill is also a director of. No value has been included in the financial statements for this loan agreement because the value of the donated service is unquantifiable due to the nature of the transaction.

During the year, the following companies, of which Mr PJSR Hill is a director, made donations to the charity:

charity:
	2023	2022
	£	£
Goodfine Limited	16,954	23,928
Pikerace Limited	31,785	50,533

Amounts due from related parties at the year end are as follows:

Caister Castle Limited Goodfine Limited Parade Court Limited Ferncombe Limited Pikerace Limited Space Foods Limited	2023 £ 12,410 16,954 2,664 10,354 31,785 3,806 77,973	2022 £ 11 23,928 - 10,353 50,533 3,806
		88,631

28 Retirement benefit schemes

Defined contribution schemes

The charity operates a defined contribution pension scheme for all qualifying employees.

The charge to the SOFA in respect of defined contribution schemes is shown in note 14. This expenditure has been allocated to support costs and unrestricted funds.

• 22 -

THE CAISTER CASTLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

29 Unrestricted funds

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.

At 1 January 2023 Incoming resources £ £ General funds 26,833,580 1,473,396 Previous year: At 1 January 2022 Incoming resources £ £ General funds 26,618,731 711,665 30 Cash generated from operations Surplus for the year Adjustments for: Investment income recognised in statement of financial activities Gain on disposal of tangible fixed assets (Gain)/loss on disposal of investments Fair value gains and losses on investment properties Fair value gains and losses on investments Depreciation and impairment of tangible fixed assets Movements in working capital: Decrease in debtors Increase/(decrease) in creditors Increase in deferred income Cash generated from/(absorbed by) operations	Resources expended £ (670,100) Resources expended £ (624,345)	Gains and losses £ 2,676,071 Gains and losses £ 127,529 2023 £ 3,479,367 (421,022) - (15,760) (2,571,967) (88,344) 79,238 111,352 2,229 19,500 594,593	At 31 December 2023 £ 30,312,947 At 31 December 2022 £ 26,833,580 2022 £ 214,849 (417,520) (1,800) 45,982 (348,751) 175,240 77,492 87,726 (26,296) - (193,078)

• 23 -