2022-03-31-accounts

Registered number: 03446298 Charity number: 1067884

NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2022

NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

CONTENTS

	Page
Reference and administrative details of the Charity, its Trustees and advisers	1
Trustees' report	2
Independent auditors' report on the financial statements	10 - 13
Consolidated statement of financial activities	14
Consolidated balance sheet	15
Charity balance sheet	16
Consolidated statement of cash flows	17
Charity statement of cash flows	18
Notes to the financial statements	19 - 46

NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2022

Trustees	The Rt Hon. Viscount Falmouth DL
	Mr P W Davies MBE DL
	Mr R M Holmes
	Mr S Hunt
	Mr A J Pawlyn
	Ms S V Pugh (resigned 23 September 2022)
	Mr S P Sherrard DL
	Mrs H Stembridge
	Mr B Steward (resigned 23 June 2022)
	Mr S Tregoning
	Mr D Williams
	Mr M Griffiths
	Mrs C Green
Company registered number 03446298 Charity registered number 1067884 Registered office Discovery Quay Falmouth Cornwall TR11 3QY Company secretary Mr R M Doughty Director of the museum Mr R M Doughty Independent auditors Bishop Fleming LLP Chartered Accountants Statutory Auditors Chy Nyverow Newham Road Truro Cornwall TR1 2DP Bankers National Westminster plc 2-4 St Nicholas St Truro Cornwall TR1 2RN Solicitors Wolferstans Solicitors Deptford Chambers 60-66 North Hill Plymouth Devon PL4 8EP

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

75867((6¶�5(3257 FOR THE YEAR ENDED 31 MARCH 2022

The Trustees present their annual report together with the audited financial statements of the National Maritime Museum Cornwall Trust for the year 1 April 2021 to 31 March 2022. The Annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Policies and objectives

To promote the education of the public in maritime history and current maritime developments for the benefit of the inhabitants of Cornwall and elsewhere and in particular (but without prejudice to the generality of the foregoing) the charity shall seek to:

• x establish, operate and preserve a Museum in Falmouth ("the Museum") to display the national boat collection of the National Maritime Museum and the Cornish collection effectively in a waterside site;

• x acquire, lease or borrow exhibits, static or floating, for the Museum and carry out restoration and research in relation to the same for the purpose of displaying them;

• x improve the national boat collection to provide a systematic representation of the boat tradition of the United Kingdom

• x carry out works for the establishment, improvement and development of the Museum

• x H[WHQG�WKH�0XVHXP¶V�UHSXWDWLRQ�DV�D�QDWLRQDO�FHQWUH�IRU�ERDW�H[SHUWLVH

• x support research into maritime matters especially in relation to their history, interpret Cornwall's maritime role in a national context and provide a focal point for Cornish maritime research; and

• x provide educational and lecturing facilities and tours at the Museum.

Strategies for achieving objectives

Key strategic projects included meeting the needs and motivations of visitors through:

• x the development and implementation of an active exhibition and activities programme drawing on the Museum's collections, expertise and research; and

• x fostering collaborative working and encourage volunteering.

Principal activities of the year

The principal activities of the charity in the year under review were those of the running of the National Maritime Museum Cornwall in Falmouth, together with trading operations carried on by its subsidiary companies, Discovery Quay Enterprises Limited (DQE), Discovery Quay Enterprises (Trading) Limited (DQET) and Discovery Quay Square Limited (DQS). These trading operations with the exception of DQS are to assist in fund raising and income generation through retail, catering and other services for the National Maritime Museum Cornwall Trust.

During the year DQE provided management services at the Museum's satellite site at Ponsharden, DQET provided management, trading and fund-raising services at the main site and DQS owned and operated a public amenity open square for events adjoining the Museum. During the year the companies (excluding DQS) made gift aid payments of £584,612. Further details regarding these subsidiaries can be found in the notes to the Financial Statements.

The main visible public benefit of the charity's work is the opening of the Museum to the public for 362 days a year, providing an informative and educational experience for the general public, formal and informal learning groups and our diverse communities of interest. Through this work, the charity seeks to widen knowledge and appreciation of the maritime heritage in line with its stated aims.

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Staff and volunteers

The Museum is run by a team of staff and volunteers led by a Director. The staff are responsible for planning and all business aspects of the charity. The volunteers provide essential support in seven key areas: front of house, galleries, education, boat management, collections, library and office.

As a direct consequence of the Coronavirus the number of volunteers at the Museum has dropped by 28%. We currently have 130 active volunteers plus a small number who might return if cases reduce. A recruitment drive has been implemented in a concerted effort to rebuild our volunteer base. We remain indebted to all our volunteers who have been helping us to build on our success as the most visited museum in Cornwall. Quite simply we would struggle to operate without their magnificent contribution.

ACHIEVEMENTS AND PERFORMANCE

Fundraising activities

:H�KDYH�EHHQ�H[WUHPHO\�IRUWXQDWH�WR�VHFXUH�VLJQLILFDQW�IXQGLQJ�WKURXJK�WKH�8.�*RYHUQPHQW¶V�&XOWXUH� Recovery Fund (CRF) programme to help us meet our overheads during the national lockdowns. In particular we would like to acknowledge the Cultural Recovery Fund, administered by Arts Council England, the Weston Culture Fund, the Coastal Communities Fund and the Headley Trust. Collectively these grants have not only enabled the Museum to maintain its operations but have enabled us to re-think how the Museum engages people with its collections; not just during the pandemic but for the new ways in which we will work in future.

In early April 2021 we were notified that our application for a round two ACE grant had been successful and ZH�KDG�EHHQ�DZDUGHG����������WR�KHOS�FRYHU�WKH�0XVHXP¶V�RYHUKHDGV�IRU�WKUHH�PRQWKV��IURP�$SULO�XQWLO� June. The Museum also received £32,240, the final instalment of a Coastal Communities grant and DQS received a £3k restart grant.

In May 2021 the Headley Trust awarded the Museum a further grant of £10,000. The Museum also received a £18k restart grant and DQET was awarded £2,400. The following month we received the first instalment of our Culture Recovery Fund Round 2 grant of £155,050 (70% of the total award).

In November we received the final £48k payment from the ACE round one grant and in December the Museum was awarded an ACE Lottery Fund project grant of £13,050 to enable the Museum to commission new work by 14 tattoo artists of colour, as part of a deeper conversation around the complex social, cultural, personal and artistic issues they face in the UK today. On a strategic level, this funding represented a significant endorsement, by ACE, of the artistic quality, social relevance and cultural ambition of the 0XVHXP¶V�SURJUDPPLQJ�

In January 2022 we received the second and final instalment of the ACE round two grant, which amounted to £66k and the following month the Museum Trust was awarded an additional omicron restriction grant for hospitality and leisure businesses in the amount of £6,000 and DQET was allocated £2,667.

Finally, in March 2022 the Museum received a Maritime and Coastguard Agency grant for £4,050 towards the cost of mounting the Coastguard 200 exhibition.

Review of achievements and performance during the year

At the start of the financial year the Museum had already been closed for two weeks as part of the third national lockdown. The Museum remained closed until 17th May 2021 and reopened with most of the safety measures introduced during the pandemic retained. These precautions included online booking, contactless payments, visitor routing, a reduced catering offer, deep cleaning of toilets and play areas as well as touchpoints throughout the Museum, extra barriers (to establish protected routes); safety screens (in the reception), hygiene stations and additional directional signage. In addition, staff and volunteers were encouraged to wear face masks and were asked to continue to take twice weekly lateral flow testing. Finally we continued social distancing and restricted the number of visitors admitted into the Museum at any one time. Many of these restrictions were gradually relaxed from late June onwards. Unlike many other local Page 3

NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

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venues, the Museum remained fully operation, seven days a week throughout the summer. This was no mean achievement, set against a backdrop of rising covid cases, the µpingdemic¶ and the mandatory requirement for self-isolation. With far fewer volunteers to call on, the staff team went over and above to cover long working weeks and weekend rotas in a bid to ensure the Museum could be safely evacuated at all times. Trustees would like to express their gratitude to all volunteers and staff for their enthusiasm and hard work.

Cornwall proved to be a very popular holiday destination during the summer and the Museum benefitted from staycations, with visitor numbers exceeding 2019, which was far better than we had hoped for. The spendper±visit was higher than budget, due to a greater proportion of paying visitors rather than people returning on their annual ticket. Retail also performed strongly, presumably due to relatively higher levels of disposable income following Covid. The café, which was perhaps most effected by the Covid restrictions, saw spend-pervisit improve substantially on the previous year, but was still well below 2019 levels.

Unfortunately many of the planned events, such as Falmouth¶V�6HD�6KDQW\�)HVWLYDO��D�SODQQHG�YLVLW�IURP�WKH Tall Ships and the Oyster Festival, were cancelled at short notice due to the high levels of covid infections. One of the highlights of the summer was a Museum take-over for the G7 Summit in June. The Museum, Events Square and Maritime Car Park were utilised as the International Media Centre, providing accommodation for up to 2,000 journalists from around the world. During the summit the Museum also hosted a visit from Prime Minister Boris Johnson.

During the summer holidays the Museum was delighted to welcome back Yskynna Vertical Dance Company. Building on the success of their µ ,QWR�WKH�%OXH¶ (2020), Yskynna performed a unique and breath-taking aerial dance production entitled µ,QWR�WKH�'HHS�%OXH¶ during the school summer holidays. This production part of the programming implemented to complement the µ0RQVWHUV�RI�WKH�'HHS��6FLHQFH�)DFW�DQG�)LFWLRQ¶ exhibition in the Hold gallery.

Exhibitions

µ0RQVWHUV�RI�WKH�'HHS��6FLHQFH�)DFW�DQG�)LFWLRQ¶� 2021/22 is the second year of our major temporary exhibition in the Hold gallery.

± Hegarty's Boatyard (May September 2021) Premiered Hegarty's Boatyard, an amazing SKRWRJUDSKLF�UHFRUG�E\�.HYLQ�2¶)DUUHOO�ZKLFK�FDSWXUHV�WKUHH�JHQHUDWLRQV�DW�ZRUN�LQ�,UHODQG¶V�ODVW� surviving traditional boatyard. The exhibition was due to have toured Ireland in 2020 but, due to the pandemic, NMMC was the first venue to exhibit the exhibition

Tattoo (from mid-October 2021) Having completed its three-year UK-wide tour, µ Tattoo: British Tattoo Art Revealed ¶��ZDV�SDUWLDOO\�UHLQVWDWHG�DQG��WKDQNV�WR�DQ� ACE National Lottery project grant, was refreshed with new commissions which help to explore tattooing in the context of black history and representation, including an artist-led response to the challenging historical and contemporary cultural issues surrounding tattooing on black and brown skin.

Memories of Falmouth (from May-November 2021) Drawn on local knowledge and maritime expertise to mount Memories of Falmouth, a community co-curated exhibition, showcasing important Weller Collection, held in WKH�0XVHXP¶V�Bartlett Library. Participants provided a wealth of fascinating SHUVRQDO�LQVLJKWV�WR�EUHDWKH�OLIH�DQG�FRORXU�LQWR�WKH�WRZQ¶V�KLVWRU\�GXULQJ�WKH�����¶V�DQG�����¶V�

Coastguard 200 (from January 2022) This exhibition, designed to celebrate HM &RDVWJXDUG¶V����WK� anniversary, a coproduction between HM Maritime Coastguard Agency, the National Emergency Services Museum and the NMMC

Learning

Over the course of the year the learning team has developed and introduced new online methods of formal learning and informal engagement, including school holida\�DFWLYLWLHV�VXFK�DV�IUHH�µ0DNH-andTake¶ workshops on Facebook Live and YouTube, outdoor trails utilising QR codes and a new µEOHQGHG¶�OHFWXUH�SURJUDPPH�ZKLFK�HQDEOHV�SK\VLFDO�DQG�YLUWXDO�DXGLHQFHV�WR�OLVWHQ�DQG�HQJDJH�ZLWK�

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

75867((6¶�5(3257 (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

the principal guest curators who worked behind the scenes on our current major temporary exhibition, µ0RQVWHUV�RI�WKH�'HHS��6FLHQFH�)DFW�DQG�)LFWLRQ¶�

:LWK�IXQGLQJ�IURP�WKH�:HVWRQ�&XOWXUH�)XQG��WKH�µ&XUDWRU¶V�&XSERDUG¶��D�GLJLWDO�OHDUQLQJ�VWXGLR��KDV� been established to create a visually exciting backdrop of shelves full of weird and wonderful objects from which lessons can be delivered. We are now able to broadcast high-quality content live to schools and homes using popular video conferencing platforms such as Zoom, Microsoft Teams or Facebook live.

This process has been challenging but very positive. The learning team has had to get to grips with a whole range of new skills including directing, recording and editing new video content, using live editing software and video conferencing platforms, and learning how to present and deliver in a whole new way.

Cornish Voices Film Project

As part of our response to the pandemic we have been re-thinking the ways we deliver our stories and services. Welcoming visitors through our doors will always be at the heart of what we do but we are working on two principal approaches to safeguard our future operations. The Cornish Voices Film Project was based on our well-established living history programme which celebrates the Cornish SHRSOH¶V historic and enduring relationship with the sea and will use actor-led performances to bring to OLIH�WKH�KXPDQ�VWRULHV�EHKLQG�WKH�REMHFWV�KHOG�LQ�&RUQZDOO¶V�PDULWLPH�FROOHFWLRQV��

Based on detailed research, ZULWWHQ�E\�D�ORFDO�DXWKRU�3DXOLQH�6KHSSDUG��µ&RUQLVK�9RLFHV¶�JLYHV� powerful, dramatic and authentic voice to the lived experiences of Cornish people in the past and their legacy today. Two productions have been scripted for the Museum: µ+HYYD��+HYYD�¶ - which focuses RQ�&RUQZDOO¶V���WK�FHQWXU\�SLOFKDUd fishing industry; and µ9R\DJH�RI�WKH�0\VWHU\¶ , the true story of seven Cornish fishermen who, in 1854, sailed their lugger from Newlyn to the gold fields of Australia.

Awards

The Museum was awarded its third successive Sandford Award for Heritage EducaWLRQ��7KH�-XGJH¶V� 5HSRUW�FRPPHQGHG�RXU�/HDUQLQJ�7HDP��QRWLQJ�SURJUDPPHV�DUH�µILUPO\�URRWHG�LQ�WKH�FROOHFWLRQV�� making a visit to the museum relevant to eveU\�VFKRRO�SXSLO�LQ�&RUQZDOO�¶� This is the only scheme in existence able to provide independent quality assurance to sites which run formal learning SURJUDPPHV��,W�LV�D�QDWLRQDOO\�UHFRJQLVHG�DZDUG�DQG�D�µNLWH�PDUN¶�IRU�KLJK�TXDOLW\�HGXFDWLRQ�SURYLVLRQ�

The Museum was awarded silver in the Large Visitor Attraction Cornwall Tourism Awards.

FINANCIAL REVIEW

Financial performance and position

The results for the year and financial position of the Trust are presented in the annexed financial statements. The level of group reserves at 31 March 2022 was £24,950,553 (2021: £24,441,049). The movement on UHVWULFWHG�IXQGV�LV�GRPLQDWHG�E\�WKH�GHSUHFLDWLRQ�FKDUJH�RQ�WKH�PXVHXP¶V�EXLOGLQJ�DQG�DV�VXFK�ZH�FRQVLGHU� the unrestricted funds position to give a better indicator of our underlying financial position.

In the year, our unrestricted funds increased by £871,806. £112,856 of this related to unrealised gains from our listed investments The unrestricted surplus before these sums was £758,950.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

75867((6¶�5(3257 (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Reserves and investment policy

It is the intention of the Trustees to ensure that there are sufficient free reserves to:

• x allow for the seasonal nature of income and expenditure;

• x allow for annual fluctuations in visitor numbers;

• x support the investment in future programming; and

• x provide financial flexibility and security to face unexpected events.

At 31 March 2022 WKH�FKDULW\¶V�FRQVROLGDWHG�XQUHVWULFWHG�UHVHUYHV�VWRRG� at £3,471,868 (2021: £2,600,062), whilst free reserves (calculated as unrestricted funds held in the form of current assets less creditors due within one year) stood at £566,759 (2021: minus £129,319). It is reassuring to see this figure recover from what was a far more precarious position at the previous year end, in part due to support provided through the ACE Culture Recovery Fund. The Trustees intend to continue to rebuild free reserves to represent six PRQWKV¶�H[SHQGLWXUH�

During 2021/22 the museum was able to return to the investment fund the amounts that had been fortuitously withdrawn just prior to the Outbreak of Covid-19. We benefitted from having a relatively low amount invested during the market downturn but being fully invested during the subsequent recovery and growth. Consequently, the year-end balance on listed investments stood at £1,864,002 (2021: £1,751,146), including a revaluation during the year of £112,856.

Post year end events

Royal Museums Greenwich

Between April and July 2022, the Museum worked closely with Royal Museums Greenwich (RGM) to develop a business case to co-produce a major temporary exhibition on Pirates. In August 2021, both parties entered into an agreement to jointly design a major Pirates exhibition. The exhibition will focus on perceptions and the reality of the 'golden age' of piracy (roughly 1680 to 1720) and will consider how the current popular image of pirates developed and how that compares with what we know of the reality. The exhibition will premiere in Falmouth in March 2023 and will open in Greenwich in 2025.

One of the most exciting aspects of this project is the opportunity to look at piracy, both historical and contemporary, through the lens of modern identity politics. We therefore aim to include a mix of voices from wide and diverse backgrounds and specialisms, not just in the initial concept development, but with the aim that they would help shape the narrative as well as contribute content, alongside other guest curators and SUDFWLWLRQHUV��7KLV�DSSURDFK�LV�VRPHWKLQJ�ZH�KDYH�DOUHDG\�H[SHULPHQWHG�ZLWK�ZKHQ�GHYHORSLQJ�µ7DWWRR�� %ULWLVK�7DWWRR�$UW�5HYHDOHG¶�DQG�PRVW�UHFHQWO\�ZLWK�µ0RQVWHUV�RI�WKH�'HHS��)DFW DQG�)LFWLRQ¶��

Royal Museums Greenwich have committed £117,000 towards the cost of mounting the exhibition and are allocating curatorial and exhibition staff time to help with the development of the exhibition content.

Chatham Historic Dockyard Trust

In June 2022, Chatham Historic Dock Yard, one of the venues to have hosted Tattoo on its three-year UK WRXU��HQWHUHG�LQWR�D�FRQWUDFW�WR�KRVW�µ0RQVWHUV�RI�WKH�'HHS¶�IURP�0DUFK����3. Given the logistical complexity RI�PRXQWLQJ�µ0RQVWHUV¶��LQ�WHUPV�RI�GLJLWDO and AV installations, loans and spirit preserved specimens, there were a huge number of challenges to overcome in re-developing a major, critically acclaimed temporary exhibition with another regional museum. This was a major undertaking, and the successful resolution of WKHVH�SUREOHPV�LV�DQ�H[FHOOHQW�H[DPSOH�RI�WKH�0XVHXP¶V�DELOLW\�WR�GHPRQVWUDWH�ERWK�FRPPHUFLDO�DQG�FXOWXUDO� innovation in its exhibition development and delivery model.

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The wider context

As we emerge from the pandemic, two museum reports published in June 2022 reveal income and footfall are slowly starting to recover. In 2021/22, surveys found income had fallen to 38%, of pre-Covid levels on average, while visitor numbers were just a quarter of what they had been in 2019-20. However, looking ahead geo-political uncertainty caused by the Ukrainian invasion has put financial markets in turmoil and UK inflation is predicted to hit 11% during 2022. This will have a significant impact on disposal income and is likely to hit the leisure and hospitality industries hard.

Plans for future periods

Our key priority is to ensure the sustainability of the Museum through a programme of lively and appealing exhibitions, carefully targeted marketing and the maximisation of benefit from the trading activities and estate. Our approach will therefore continue to be based on making efforts to secure and strengthen existing income streams and by engendering a culture of experimentation to maximise new income generating opportunities.

Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is registered as a charity company limited by guarantee and was incorporated on 8 October 1997. It is governed by its memorandum and articles of association.

The charity and the group are constituted under a Memorandum of Association dated 8 October 1997 and as amended by Special Resolution dated 20 September 2018 and the Museum is a registered charity number 1067884.

Method of appointment or election of Trustees

The management of the Group and the Charity is the responsibility of the Trustees who are elected and coopted under the terms of the Memorandum of Association.

The members of the Board of Directors of the charitable company ("the charity") are its Trustees for the purposes of charity law and throughout the report are collectively referred to as the Trustees. The Trustees are elected by the Board. A Trustee retiring by rotation is eligible for re-election. The Trustees during the year under review were those listed on page 1. New Trustees are given appropriate guidance about their obligations by the chairman and existing Trustees and by reference to the Charity Commission notes.

Organisational structure and decision making

The Board of Trustees, which must have a minimum of three members but has no maximum and normally meets four times a year. There are three sub-committees to the board:

Audit, Finance & Investments Mr R Holmes (c), Mr P Davies MBE, Mr S Sherrard, Mrs E Winser Nominations Mr S Sherrard (c), Mrs H. Stembridge Acquisitions Dr H Doe (c), Mr A Pawlyn, Mr G English, Mr R Doughty, Mrs, S. Riddle, Mr A.Wyke

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Pay policy for senior staff

The Trustees are responsible for setting Museum policy and the Senior Management Team are responsible for implement policy and directing, controlling, and running the operation of the Museum. All Trustees give of their time freely and no Trustee received remunHUDWLRQ�LQ�WKH�\HDU��'HWDLOV�RI�7UXVWHHV¶�H[SHQVHV�DQG�UHODWHG� party transactions are disclosed in the notes to the accounts.

The pay of the senior staff is reviewed annually and normally increased in accordance with average earnings. In view of the nature of the charity, the Trustees benchmark against pay levels in other comparable institutions of a similar size run on a voluntary basis. The remuneration bench-mark is the mid-point of the range paid for similar roles adjusted for a weighting of up to a reasonable percentage for any additional responsibilities. If recruitment has proven difficult in the recent past a market addition is also paid with the pay maximum no greater than the highest benchmarked salary for a comparable role.

Risk management

The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity, and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks. The process of review is ongoing and risk management is considered as part of the decision making process.

Information on fundraising practices

The Museum DLUHFWRU�OHDGV�WKH�7UXVW¶V�IXQGUDLVLQJ�HIIRUWV�VXSSRUWHG�E\�RWKHU�PHPEHUV�RI�WKH�VWDII�WHDP��2XU� fundraising activities are primarily directed towards trusts and foundations, not individuals. Where we do receive donations from individuals, it will typically be of their own initiative.

FUNDS HELD AS CUSTODIAN

There are no funds held by the Charity on behalf of another charity, other than the funds collected by its subsidiary company Discovery Quay Square (DQS), from its local residents towards the maintenance of the sea wall surrounding Discovery Quay Square. The funds are held by DQS in a separate deposit account.

7KH�7UXVWHHV¶�5HSRUW��LQFRUSRUDWLQJ�D�VWUDWHJLF�UHSRUW��ZDV�DSSURYHG�E\�RUGHU�RI�WKH�7UXVWHHV��DV�WKH� company directors, on 6 December 2022 and signed of its behalf by:

Mr S P Sherrard DL Chair of Trustees

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

(CONTINUED)

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles of the Charities SORP (FRS 102);

• make judgements and accounting estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;

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

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NATIONAL MARITIME MUSEUM CORNWALL TRUST

OPINION

We have audited the financial statements of National Maritime Museum Cornwall Trust (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 March 2022 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the Charity balance sheet, the Consolidated statement of cash flows, the Charity Statement of Cash Flows and the related notes, 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 Financial Reporting Standard 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 Group's and of the parent charitable company's affairs as at 31 March 2022 and of the Group's incoming resources and application of resources, including its income and expenditure 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 Companies Act 2006.

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 Group's or the parent 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.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NATIONAL MARITIME MUSEUM CORNWALL TRUST (CONTINUED)

OTHER INFORMATION

The other information comprises the information included in the Annual report other than the financial statements and our Auditors' 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.

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

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

• the information given in the Trustees' report for the financial year for which the financial statements are prepared is consistent with the financial statements.

• the Trustees' report has been prepared in accordance with applicable legal requirements.

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' report.

We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:

• the parent charitable company has not kept adequate and sufficient accounting records, or returns adequate for our audit have not been received from branches not visited by us; or

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

• certain disclosures of Trustees' remuneration specified by law are not made; 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, the Trustees (who are also the directors of the charitable company for the purposes 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 Group's and the parent 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 Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NATIONAL MARITIME MUSEUM CORNWALL TRUST (CONTINUED)

AUDITORS' 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 Auditors' 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:

• We have considered the nature of the sector, control environment and financial performance;

• We have considered the results of enquiries with management and trustees in relation to their own identification and assessment of the risk of irregularities within the entity;

• We have reviewed the documentation of key processes and controls and performed walkthroughs of transactions to confirm that the systems are operating in line with documentation;

• We have obtained and reviewed the Charity’s documentation of their policies and procedures relating to: o Identifying, evaluation and complying with laws and regulations and whether they were aware of any instances of non-compliance;

• Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;

• The internal controls established to mitigate risks of fraud or noncompliance with laws and regulations;

• We have considered the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.

As a result of these procedures, we have considered the opportunities and incentives that may exist within the organisation for fraud and identified the highest area of risk to be in relation to income recognition, with a particular risk in relation to year-end cut off. In common with all audits under ISAs (UK) we are also required to perform specific procedures to respond to the risk of management override.

We have also obtained an understanding of the legal and regulatory frameworks that the Charity operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the Charities Act 2011, Charity SORP 2019, FRS 102 and the terms and conditions attaching to material grants received by the Charity.

In addition, we considered the provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Charity’s ability to operate or avoid a material penalty. These included maritime Law, Environmental Law and compliance with the Food Safety standards, the Landlord and Tennant Act and Trading Standards.

Our procedures to respond to risks identified included the following:

• Reviewing the financial statement disclosures and 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 unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

• Reviewing board meeting minutes;

• Enquiring of management in relation to actual and potential claims or litigations;

• Performing detailed transactional testing in relation to the recognition of income, specifically grants with a particular focus around year-end cut off; and

• In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgments made in accounting estimates

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NATIONAL MARITIME MUSEUM CORNWALL TRUST (CONTINUED)

are indicative of potential bias and evaluating the business rationale of significant transactions that are unusual or outside the normal course of business.

We also communicated identified laws and regulations and potential fraud risks to all members of the engagement team and remained alert to possible indicators of fraud or non-compliance with laws and regulations throughout the audit.

As a result of the inherent limitations of an audit, there is a risk that not all irregularities, including a material misstatement in financial statements or non-compliance with regulation, will be detected by us. The risk increases the further removed compliance with a law and regulation is from the events and transactions reflected in the financial statements, given we will be less likely to be aware of it, or should the irregularity occur as a result of fraud rather than a one-off error, as this may involve intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.

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 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 charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Alison Oliver FCA (Senior statutory auditor) for and on behalf of

Bishop Fleming LLP Chartered Accountants Statutory Auditors Chy Nyverow Newham Road Truro Cornwall TR1 2DP

Date: 20 December 2022

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2022

Note Income from: Donations and legacies 4 Charitable activities 5 Other trading activities 7 Investments 8 Other income 9 Total income Expenditure on: Raising funds Charitable activities 10 Total expenditure Net (expenditure)/income before net gains/(losses) on investments Net gains/(losses) on investments Net (expenditure)/income before taxation Taxation Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward	Restricted funds 2022 £ 120,000 135,451 - - - 255,451 - 657,498 657,498 (402,047) - (402,047) - (402,047) 21,840,987 (402,047) 21,438,940	Unrestricted funds 2022 £ 34,749 1,190,362 1,192,409 71,339 4,476 2,493,335 330,919 1,364,591 1,695,510 797,825 112,856 910,681 - 910,681 2,600,062 910,681 3,510,743	Total funds 2022 £ 154,749 1,325,813 1,192,409 71,339 4,476 2,748,786 330,919 2,022,089 2,353,008 395,778 112,856 508,634 - 508,634 24,441,049 508,634 24,949,683	Total funds 2021 £ 15,648 1,246,453 499,419 31,553 212,865 2,005,938 97,566 1,829,306 1,926,872 79,066 (134,402) (55,336) 80,000 24,664 24,416,385 24,664 24,441,049

The Consolidated statement of financial activities includes all gains and losses recognised in the year.

The notes on pages 19 to 46 form part of these financial statements.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:03446298

CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2022

Note Fixed assets Tangible assets 15 Investments 17 Investment property 16 Current assets Stocks 18 Debtors 19 Cash at bank and in hand Creditors: amounts falling due within one year 20 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 21 Total net assets Charity funds Restricted funds 22 Unrestricted funds 22 Total funds	62,868 299,571 1,458,996 1,821,435 (1,050,138)	2022 £ 21,251,659 1,864,002 2,813,362 25,929,023 771,297 26,700,320 (1,750,637) 24,949,683 21,438,940 3,510,743 24,949,683	56,428 373,943 719,849 1,150,220 (1,085,102)	2021 £ 21,593,256 1,751,146 2,813,362 26,157,764 65,118 26,222,882 (1,781,833) 24,441,049 21,840,987 2,600,062 24,441,049

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Mr S P Sherrard DL

Date: 6 December 2022

The notes on pages 19 to 46 form part of these financial statements.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:03446298

CHARITY STATEMENT OF FINANCIAL POSITION FOR THE YEAR ENDED 31 MARCH 2022

Note Fixed assets Tangible assets 15 Investments 17 Investment property 16 Current assets Debtors 19 Cash at bank and in hand Creditors: amounts falling due within one year 20 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 21 Net assets excluding pension asset Total net assets Charity funds Restricted funds 22 Unrestricted funds 22 Total funds	857,201 395,558 1,252,759 (540,664)	2022 £ 19,261,788 1,866,002 2,813,362 23,941,152 712,095 24,653,247 (1,750,637) 22,902,610 22,902,610 21,358,685 1,543,925 22,902,610	366,025 182,902 548,927 (537,623)	2021 £ 19,539,861 1,753,146 2,813,362 24,106,369 11,304 24,117,673 (1,781,833) 22,335,840 22,335,840 22,510,818 (174,978) 22,335,840

The Charity's net movement in funds for the year was £562,294 (2021 - £(66,971)).

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Mr S P Sherrard DL

Date: 6 December 2022

The notes on pages 19 to 46 form part of these financial statements.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022

Cash flows from operating activities Net cash provided by/(used in) operating activities Cash flows from investing activities Dividends, interests and rents from investments Purchase of tangible fixed assets Purchase of investments Net cash provided by/(used in) investing activities Cash flows from financing activities Repayments of borrowing Grants received Net cash provided by financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year	2022 £ 729,367 71,339 (61,559) - 9,780 - - - 739,147 719,849 1,458,996	2021 £ (630,327) 112,658 (69,999) (1,028,675) (986,016) (27,240) 1,084,250 1,057,010 (559,333) 1,279,182 719,849

The notes on pages 19 to 46 form part of these financial statements

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE) CHARITY STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022

Cash flows from operating activities Net cash used in operating activities Cash flows from investing activities Dividends, interests and rents from investments Purchase of tangible fixed assets Purchase of investments Losses on investments Net cash used in investing activities Cash flows from financing activities Repayments of borrowing Grants received Net cash provided by financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year The notes on pages 19 to 46 form part of these financial statements	2022 £ (79,695) 71,339 (61,559) - (112,856) (103,076) - 395,427 395,427 212,656 182,902 395,558	2021 £ (634,832) 112,658 (69,999) (1,052,429) 175,429 (834,341) (28,552) 906,326 877,774 (591,399) 774,301 182,902

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

1. GENERAL INFORMATION

The Charity is a company limited by guarantee (Company no: 03446298). The registered office Discovery Quay, Falmouth, Cornwall, TR11 3QY. The members of the company are the Trustees named on page 1. In the event of the Charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the Charity.

2. ACCOUNTING POLICIES

2.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

National Maritime Museum Cornwall Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Charity and its subsidiary undertakings. The results of the subsidiaries are consolidated on a line by line basis.

The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements.

The financial statements use British Pounds Sterling as the presentation currency and are rounded to the nearest £1 throughout.

2.2 BASIS OF CONSOLIDATION

The financial statements consolidate the accounts of National Maritime Museum Cornwall Trust and all of its subsidiary undertakings ('subsidiaries').

The Charity has taken advantage of the exemption contained within section 408 of the Companies Act 2006 not to present its own Income and expenditure account.

2.3 GOING CONCERN

The trustees anticipate that the charity will continue to operate within its available resources, and be able to tolerate a reasonable level of unforeseen circumstance for a period of at least 12 months from the date of these financial statements. The financial statements have therefore been prepared on a going concern basis.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

2. ACCOUNTING POLICIES (continued)

2.4 INCOME

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

Donated services or facilities are recognised when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use of the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), the general volunteer time is not recognised and refer to the Trustees' report for more information about their contribution.

On receipt, donated professional services and facilities are recognised on the basis of the value of the gift to the Charity which is the amount it would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

2.5 EXPENDITURE

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management carried out by the Trust. Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements.

Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

2. ACCOUNTING POLICIES (continued)

2.5 EXPENDITURE (CONTINUED)

Charitable activities and governance costs are costs incurred on the charity's operations, including support costs and costs relating to the governance of the charity apportioned to charitable activities.

All expenditure is inclusive of irrecoverable VAT.

2.6 GOVERNMENT GRANTS

Government grants relating to tangible fixed assets are treated as deferred income and released to the Consolidated statement of financial activities over the expected useful lives of the assets concerned. Other grants are credited to the Consolidated statement of financial activities as the related expenditure is incurred.

2.7 INTEREST RECEIVABLE

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.8 TAXATION

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

2.9 TANGIBLE FIXED ASSETS AND DEPRECIATION

A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of financial activities.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following bases:

• Freehold property 1% and 2% straight line - Fixtures and fittings rates between 10% and 25% straight line Museum model exhibits - rates between 10% and 25% straight line

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

2. ACCOUNTING POLICIES (continued)

2.10 HERITAGE ASSETS

It is the policy of the Board not to capitalise heritage assets in the Museum collection. The Museum's collection consists of a range of objects, boats, art, books and archives.

These items are held in support of the Museum's primary objective of increasing knowledge, understanding and appreciation of the maritime heritage.

The Board considers that financial valuations of heritage assets would be misleading to the value and significance of the material culture involved. In many cases reliable cost information is not available or there are significant costs involved in obtaining a valuation that would outweigh any benefits. Other than a few items that have been purchased, the Museum does not recognise these assets on its balance sheet.

However, it is very important for a Museum to account to the public for the management and care for the collections entrusted to it. High standards of Collections Management are applied to the collections held by the Museum in order to preserve and manage collections on behalf of, and to make it available to, the public. An Accession Register and records are kept on collections, its provenance, and its donors. These are made available for all enquiries and requests, subject to appropriate security and data protection guidelines.

Conservation expenditure incurred on heritage assets is recognised in the Statement of financial activities as incurred.

2.11 INVESTMENTS

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Consolidated statement of financial activities.

Investments in subsidiaries are valued at cost less provision for impairment.

Investments held as fixed assets are shown at cost less provision for impairment.

2.12 INVESTMENT PROPERTY

Investment properties are carried at fair value determined annually by the Trustees and derived from the current market rents and investment property yields for comparable real estates, adjusted if necessary for the difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in the Statement of financial activities.

2.13 STOCKS

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

2.14 DEBTORS

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

2. ACCOUNTING POLICIES (continued)

2.15 CASH AT BANK AND IN HAND

Cash at bank and 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.

2.16 LIABILITIES AND PROVISIONS

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated statement of financial activities as a finance cost.

2.17 FINANCIAL INSTRUMENTS

The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

The Group's financial assets and liabilities consists of cash and cash equivalents, short term investments, trade and other debtors, trade and other creditors, and accrued expenses. The fair value of these items approximates to their carrying value due to their short term value. Unless otherwise stated, the Group is not exposed to significant interest, foreign or credit risks arising from these instruments.

2.18 OPERATING LEASES

Rentals paid under operating leases are charged to the Consolidated statement of financial activities on a straight line basis over the lease term.

2.19 PENSIONS

The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.

2.20 FUND ACCOUNTING

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

3. CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENT

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions:

The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Critical areas of judgement:

The liability and contingent liability disclosed in respect of the sea wall include an element of estimation uncertainty due to their nature.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

4. INCOME FROM DONATIONS AND LEGACIES

DONATIONS Donations and sponsorship Members subscriptions Founder memberships TOTAL 2022 DONATIONS Donations and sponsorship Members subscriptions Founder memberships TOTAL 2021	Restricted funds 2022 Unrestricted funds 2022 £ £ 120,000 26,394 - 3,565 - 4,790 120,000 34,749 Unrestricted funds 2021 £ 13,686 1,962 - 15,648	Total funds 2022 £ 146,394 3,565 4,790
		154,749
		Total funds 2021 £ 13,686 1,962 -
		15,648

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

5. INCOME FROM CHARITABLE ACTIVITIES

Charity incoming resources Charity incoming resources 6. GRANTS RECEIVED ACE Funding Coastal Communities (DCLG) Arts Council - Monsters of the Deep Exhibition Funding Arts Council - Tattoo Commission Garfield Weston Foundation Covid Support Grants HLF Covid Emergency Funding Arts Council - Culture Recovery Fund Other Grants	Restricted funds 2022 Unrestricted funds 2022 £ £ 135,451 1,190,362 Restricted funds 2021 Unrestricted funds 2021 £ £ 806,010 440,443 2022 £ 65,375 - - - 13,050 - 28,476 - 270,000 18,526 395,427	Total funds 2022 £ 1,325,813
		Total funds 2021 £ 1,246,453
		2021 £ - 32,240 4,995 30,000 - 117,650 173,335 250,000 436,500 12,816
		1,057,536

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

7. INCOME FROM OTHER TRADING ACTIVITIES

Income from non charitable trading activities

Unrestricted funds 2022 £ Trading income 1,192,409 Unrestricted funds 2021 £ Trading income 499,419 8. INVESTMENT INCOME Unrestricted funds 2022 £ Investment income 71,339 Unrestricted funds 2021 £ Investment income 31,553	Total funds 2022 £ 1,192,409
	Total funds 2021 £ 499,419
	Total funds 2022 £ 71,339
	Total funds 2021 £ 31,553

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

9. OTHER INCOMING RESOURCES

CJRS Income CJRS Income ANALYSIS OF EXPENDITURE BY ACTIVITIES Charitable activities Charitable activities	Activities undertaken directly 2022 £ 1,798,194 Activities undertaken directly 2021 £ 1,673,974	Unrestricted funds 2022 £ 4,476 Unrestricted funds 2021 £ 212,865 Support costs 2022 £ 223,895 Support costs 2021 £ 155,332	Total funds 2022 £ 4,476
			Total funds 2021 £ 212,865
			Total funds 2022 £ 2,022,089
			Total funds 2021 £ 1,829,306

10. ANALYSIS OF EXPENDITURE BY ACTIVITIES

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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

10. ANALYSIS OF EXPENDITURE BY ACTIVITIES (CONTINUED)

ANALYSIS OF SUPPORT COSTS

Curatorial Auditors remuneration Accountancy fees TOTAL 2022 Curatorial Auditors remuneration Accountancy fees TOTAL 2021 11. AUDITORS' REMUNERATION Fees payable to the Charity's auditor for the audit of the Charity's annual accounts Fees payable to the Charity's auditor in respect of: All non-audit services not included above	Museum 2022 £ 161,332 24,239 38,324 223,895 Museum 2021 £ 95,680 17,845 41,807 155,332 2022 £ 19,375 4,864	Total funds 2022 £ 161,332 24,239 38,324
		223,895
		Total funds 2021 £ 95,680 17,845 41,807
		155,332
		2021 £ 17,845 -

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

12. STAFF COSTS

Wages and salaries Social security costs Contribution to defined contribution pension schemes	Group 2022 £ 635,801 47,574 30,536 713,911	Group 2021 £ 595,735 40,605 26,391 662,731	Charity 2022 £ 545,754 44,123 26,512 616,389	Charity 2021 £ 502,474 40,605 26,391
				569,470

The average number of persons employed by the Charity during the year was as follows:

	Group	Group	Charity	Charity
	2022	2021	2022	2021
	No.	No.	No.	No.
Management and administration	37	52	21	32

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

		Group	Group
		2022	2021
		No.	No.
In the band £70,001	- £80,000	1	1

All Trustees and certain senior employees who have authority and responsibility for planning, directing and controlling the activities of the Charity are considered to be key management personnel. Total remuneration in respect of these individuals is £75,785 for 1 personnel member (2021: £72,828 for 1 personnel member).

13. TRUSTEES' REMUNERATION AND EXPENSES

During the year, no Trustees received any remuneration or other benefits (2021 - £Nil).

During the year ended 31 March 2022, expenses totaling £NIL were reimbursed or paid directly to 1 Trustee (2021 - £NIL).

14. CORPORATION TAXATION

The Charity is exempt from tax on income and gains falling within section 478, 486 and 488 CTA 2010 and s256 TCGA 1992 to the extent that these are applied to its charitable objects. There was no UK Corporation Tax payable by National Maritime Museum Cornwall Trust in 2022.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

15. TANGIBLE FIXED ASSETS

GROUP

COST OR VALUATION At 1 April 2021 Additions At 31 March 2022 DEPRECIATION At 1 April 2021 Charge for the year At 31 March 2022 NET BOOK VALUE At 31 March 2022 At 31 March 2021	Freehold property £ 23,466,015 - 23,466,015 4,274,365 234,510 4,508,875 18,957,140 19,191,650	Long-term leasehold property £ 3,176,193 - 3,176,193 1,132,798 63,524 1,196,322 1,979,871 2,043,395	Fixtures, fittings and equipment £ 1,106,893 61,559 1,168,452 911,383 37,312 948,695 219,757 195,510	Museum model exhibitions £ 1,769,926 - 1,769,926 1,607,225 67,810 1,675,035 94,891 162,701	Total £ 29,519,027 61,559
					29,580,586
					7,925,771 403,156
					8,328,927
					21,251,659
					21,593,256

Included in freehold property is freehold land at cost of £5,000 (2021: £5,000), which is not depreciated.

A debenture has been given to the Heritage Lottery Fund to secure the repayment of grants if they should become repayable.

BEIS (formerly: South West of England Regional Development Agency) have a fixed charge over an element of the leasehold land and property.

HSBC UK Bank plc hold a fixed charge over some of the land included within freehold property.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

15. TANGIBLE FIXED ASSETS (CONTINUED)

CHARITY

COST OR VALUATION At 1 April 2021 Additions At 31 March 2022 DEPRECIATION At 1 April 2021 Charge for the year At 31 March 2022 NET BOOK VALUE At 31 March 2022 At 31 March 2021	Freehold property £ 23,456,015 - 23,456,015 4,274,365 234,510 4,508,875 18,947,140 19,181,650	Fixtures, fittings and equipment £ 1,023,938 61,559 1,085,497 828,428 37,312 865,740 219,757 195,510	Museum model exhibits £ 1,769,926 - 1,769,926 1,607,225 67,810 1,675,035 94,891 162,701	Total £ 26,249,879 61,559
				26,311,438
				6,710,018 339,632
				7,049,650
				19,261,788
				19,539,861

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

16. INVESTMENT PROPERTY GROUP VALUATION At 1 April 2021 At 31 March 2022 CHARITY VALUATION At 1 April 2021 At 31 March 2022	Freehold investment property £ 2,813,362
	2,813,362
	Freehold investment property £ 2,813,362
	2,813,362

The 2022 valuations were made by the trustees, on an open market value for existing use basis.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

17. FIXED ASSET INVESTMENTS

GROUP COST OR VALUATION At 1 April 2021 Revaluations AT 31 MARCH 2022 NET BOOK VALUE AT 31 MARCH 2022 AT 31 MARCH 2021 CHARITY COST OR VALUATION At 1 April 2021 Revaluations AT 31 MARCH 2022 NET BOOK VALUE AT 31 MARCH 2022 AT 31 MARCH 2021	Investments in subsidiary companies £ 2,000 - 2,000 2,000 2,000	Listed investments £ 1,751,146 112,856 1,864,002 1,864,002 1,751,146	Listed investments £ 1,751,146 112,856
			1,864,002
			1,864,002
			1,751,146
			Total £ 1,753,146 112,856
			1,866,002
			1,866,002
			1,753,146

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

17. FIXED ASSET INVESTMENTS (CONTINUED)

PRINCIPAL SUBSIDIARIES

The following were subsidiary undertakings of the Charity:

Names	Company	Registered office or principal	Principal activity	Class of	Holding	Included in
	number	place of business		shares		consolidation
Discovery Quay Enterprises (Trading)	03714613	Discovery Quay, Falmouth,	Running commercial	Ordinary	100% Yes
Limited		Cornwall, TR11 3QY	trading operations at
			the Museum
Discovery Quay Enterprises Limited	04519567	Discovery Quay, Falmouth,	To provide boat	Ordinary	100% Yes
		Cornwall, TR11 3QY	storage and other
			facilities for the
			Museum
Discovery Quay Square Limited	05856283	Discovery Quay, Falmouth,	Ownership and	Limited by		-% Yes
		Cornwall, TR11 3QY	operation of a public	guarantee
			amenity open
			square for events
			adjoining the
			Museum

The financial results of the subsidiaries for the year were:

Names	Income	Expenditure	Profit/(Loss)	Net assets
	£	£	for the year	£
			£
Discovery Quay Enterprises (Trading) Limited	1,000,412	(445,702)	554,710	12,775
Discovery Quay Enterprises Limited	130,210	(100,308)	29,902	232,783
Discovery Quay Square Limited	22,646	(23,493)	(847)	5,883

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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

18. STOCKS

	Group	Group
	2022	2021
	£	£
Goods for resale	62,868	56,428

19. DEBTORS

DUE WITHIN ONE YEAR Trade debtors Amounts owed by group undertakings Other debtors Prepayments and accrued income	Group 2022 £ 95,654 - 14,216 189,701 299,571	Group 2021 £ 196,984 - 12,869 164,090 373,943	Charity 2022 £ 51,377 635,282 10,400 160,142 857,201	Charity 2021 £ 31,645 196,216 11,552 126,612
				366,025

20. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank loans Payments received on account Trade creditors Other taxation and social security Other creditors Accruals and deferred income	Group 2022 £ 65,209 - 155,743 28,750 595,253 205,183 1,050,138	Group 2021 £ 65,209 3,522 132,686 33,279 640,298 210,108 1,085,102	Charity 2022 £ 65,209 - 116,122 12,225 234,089 113,019 540,664	Charity 2021 £ 65,209 - 100,797 10,264 291,577 69,776
				537,623

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

21. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Bank loans Other creditors	Group 2022 £ 950,637 800,000 1,750,637	Group 2021 £ 981,833 800,000 1,781,833	Charity 2022 £ 950,637 800,000 1,750,637	Charity 2021 £ 981,833 800,000
				1,781,833

The aggregate amount of liabilities payable or repayable wholly or in part more than five years after the reporting date is:

Repayable by installments Payable or repayable other than by installments	Group 2022 £ 689,801 800,000 1,489,801	Group 2021 £ 720,997 800,000 1,520,997	Charity 2022 £ 689,801 800,000 1,489,801	Charity 2021 £ 720,997 800,000
				1,520,997

Included within the above bank loans balance, is one loan repayable over 25 years. For the initial 10 year period interest will be charged on the outstanding balance at a rate of 3.46%. The applicable interest rate after this initial fixed period will be 2.07% per annum above base rate, subject to a review.

The bank loan is secured against the freehold land for which the loan was used to purchase.

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

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22. STATEMENT OF FUNDS

STATEMENT OF FUNDS - CURRENT YEAR

UNRESTRICTED FUNDS Net Book Value of unrestricted funded assets Net Book Value of Car Park General Funds Trading Subsidiaries' reserves Other Unrestricted Grants	Balance at 1 April 2021 £ 147,268 1,613,362 576,674 262,758 - 2,600,062	Income £ - - 1,083,711 1,154,124 255,500 2,493,335	Expenditure £ (23,032) - (836,149) (580,829) (255,500) (1,695,510)	Transfers in/out £ - - 584,612 (584,612) - -	Gains/ (Losses) £ - - 112,856 - - 112,856	Balance at 31 March 2022 £ 124,236 1,613,362 1,521,704 251,441 -
						3,510,743

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

22. STATEMENT OF FUNDS (CONTINUED)

RESTRICTED FUNDS Project Development Fund Museum Development Fund - Fixed assets Museum Development Fund - revenue expenditure Garfield Weston Foundation Sir Thomas Oats Fund Arts Council CRF Garfield Weston - Digitisation Education Programme Exhibition Funding ACE Funding Other Restricted Grants CJRS TOTAL OF FUNDS	Balance at 1 April 2021 £ 1,853,957 19,082,762 713,353 40,000 3,265 - 117,650 30,000 - - - 21,840,987 24,441,049	Income £ - 120,000 - - - 48,500 - - 65,375 17,100 4,476 255,451 2,748,786	Expenditure £ (56,674) (316,599) - (31,124) - (48,500) (117,650) - (65,375) (17,100) (4,476) (657,498) (2,353,008)	Transfers in/out £ - - - - - - - - - - - - -	Gains/ (Losses) £ - - - - - - - - - - - - 112,856	Balance at 31 March 2022 £ 1,797,283 18,886,163 713,353 8,876 3,265 - - 30,000 - - -
						21,438,940
						24,949,683

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

22. STATEMENT OF FUNDS (CONTINUED)

Unrestricted funds

Included in the unrestricted funds are two separate funds to recognise the net book value of fixed assets held by the charity funded by unrestricted funds or from funds whose restriction end upon the acquisition of the asset, and that consequently cannot be easily converted into cash.

Also included in unrestricted funds is the Charity's trading subsidiaries' reserves.

Restricted funds

The Project development fund represents grants received in relation to the Charity's trading subsidiaries and have been included in those companies' accounts as deferred income. This has been treated as restricted fund grants received for consolidation purposes.

The Museum development fund represents grants received from various sources, including grants received in connection with the construction of the museum and is released to the Statement of Financial Activities on an annual basis in line with depreciation; as well as grants received in the year as detailed in note 6.

Sir Thomas Oates fund represents legacy funding received to fund the purchase of local items for the Cornish Galleries.

Garfield Weston Foundation fund represents funding of the Digitisation Education Programme.

The Arts Council England Culture Recovery Fund (CRF) represents grants offered as a financial support measure to cultural organisations during the Covid-19 pandemic.

The Exhibition Funding relates to income received to assist in the delivery of the museum exhibitions.

The total of restricted funds balance of £21,470,064 as at the year end reflects the high capital cost of constructing and fitting out of the museum building, as noted above under the headings of the Project development fund and the Museum development fund.

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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

22. STATEMENT OF FUNDS (CONTINUED) STATEMENT OF FUNDS - PRIOR YEAR

UNRESTRICTED FUNDS Net Book Value of unrestricted funded assets Net Book Value of Car Park General Funds Trading Subsidiaries' reserves Other unrestricted grants	Balance at 1 April 2020 £ 138,100 1,613,362 58,268 269,522 - 2,079,252	Income £ 29,961 - 462,402 521,414 186,151 1,199,928	Expenditure £ (20,793) - (199,425) (528,178) (186,151) (934,547)	Taxation £ - - 80,000 - - 80,000	Transfers in/out £ - - - - - -	Gains/ (Losses) £ - - 175,429 - - 175,429	Balance at 31 March 2021 £ 147,268 1,613,362 576,674 262,758 -
							2,600,062

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

22. STATEMENT OF FUNDS (CONTINUED)

RESTRICTED FUNDS Project Development Fund Museum Development Fund - Fixed assets Museum Development Fund - revenue expenditure Tanner Trust Garfield Weston Foundation Sir Thomas Oats Fund DCLG re Boat Trips Arts Council - Monsters of the Deep HLF Covid Emergency Funding Arts Council CRF Garfield Weston - Digitisation Education Programme Exhibition Funding TOTAL OF FUNDS	Balance at 1 April 2020 £ 1,910,631 19,665,884 713,353 4,000 40,000 3,265 - - - - - - 22,337,133 24,416,385	Income £ - - - - - - 32,240 4,995 250,000 371,125 117,650 30,000 806,010 2,005,938	Expenditure £ (56,674) (313,329) - (4,000) - - (14,990) (4,995) (250,000) (348,337) - - (992,325) (1,926,872)	Taxation £ - - - - - - - - - - - - - 80,000	Transfers in/out £ - 40,038 - - - - (17,250) - - (22,788) - - - -	Gains/ (Losses) £ - (309,831) - - - - - - - - - - (309,831) (134,402)	Balance at 31 March 2021 £ 1,853,957 19,082,762 713,353 - 40,000 3,265 - - - - 117,650 30,000
							21,840,987
							24,441,049

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

23. SUMMARY OF FUNDS

SUMMARY OF FUNDS - CURRENT YEAR

General funds Restricted funds	Balance at 1 April 2021 £ 2,600,062 21,840,987 24,441,049	Income £ 2,493,335 255,451 2,748,786	Expenditure £ (1,695,510) (657,498) (2,353,008)	Transfers in/out £ - - -	Gains/ (Losses) £ 112,856 - 112,856	Balance at 31 March 2022 £ 3,510,743 21,438,940
						24,949,683

SUMMARY OF FUNDS - PRIOR YEAR

General funds Restricted funds	Balance at 1 April 2020 £ 2,079,252 22,337,133 24,416,385	Income £ 1,199,928 806,010 2,005,938	Expenditure £ (934,547) (992,325) (1,926,872)	Taxation £ 80,000 - 80,000	Transfers in/out £ - - -	Gains/ (Losses) £ 175,429 (309,831) (134,402)	Balance at 31 March 2021 £ 2,600,062 21,840,987
							24,441,049

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

24. ANALYSIS OF NET ASSETS BETWEEN FUNDS

ANALYSIS OF NET ASSETS BETWEEN FUNDS - CURRENT YEAR

	Restricted	Unrestricted Total
	funds	funds funds
	2022	2022 2022
	£	£ £
Tangible fixed assets	20,563,446	688,213 21,251,659
Fixed asset investments	-	1,864,002 1,864,002
Investment property	1,509,831	1,303,531 2,813,362
Current assets	165,663	1,655,772 1,821,435
Creditors due within one year	-	(1,050,138) (1,050,138)
Creditors due in more than one year	(800,000)	(950,637) (1,750,637)
TOTAL	21,438,940	3,510,743 24,949,683
ANALYSIS OF NET ASSETS BETWEEN FUNDS - PRIOR YEAR
	Restricted	Unrestricted Total
	funds	funds funds
	2021	2021 2021
	£	£ £
Tangible fixed assets	20,936,719	656,537 21,593,256
Fixed asset investments	-	1,751,146 1,751,146
Investment property	1,509,831	1,303,531 2,813,362
Current assets	194,437	955,783 1,150,220
Creditors due within one year	-	(1,085,102) (1,085,102)
Creditors due in more than one year	(800,000)	(981,833) (1,781,833)
TOTAL	21,840,987	2,600,062 24,441,049

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NATIONAL MARITIME MUSEUM CORNWALL TRUST (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW FROM OPERATING 25. ACTIVITIES

Group 2022 £ Net income for the year (as per Statement of Financial Activities) 508,634 ADJUSTMENTS FOR: Depreciation charges 403,156 (Gains)/Losses on investments (112,856) Dividends, interests and rents from investments (71,339) Decrease/(increase) in stocks (6,440) Decrease/(increase) in debtors 74,372 Increase/ (decrease) in creditors (66,160) Grants received - NET CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES 729,367 26. ANALYSIS OF CASH AND CASH EQUIVALENTS Group 2022 £ Cash in hand 1,458,996 TOTAL CASH AND CASH EQUIVALENTS 1,458,996 27. ANALYSIS OF CHANGES IN NET DEBT Cash at bank and in hand Debt due within 1 year Debt due after 1 year	Group 2021 £ 24,664 397,646 134,402 (112,658) 14,365 (86,853) 16,982 (1,018,875) (630,327) Group 2021 £ 719,849 719,849 At 1 April 2021 £ 719,849 (65,209) (981,833) (327,193)	Charity 2022 £ 562,294 339,632 - (71,339) - (491,176) (28,155) (390,951) (79,695) Charity 2022 £ 395,558 395,558 Cash flows £ 739,147 - 31,196 770,343	Charity 2021 £ (66,971) 334,122 134,402 (112,658) - 12,358 (95,134) (840,951) (634,832) Charity 2021 £ 182,902 182,902 At 31 March 2022 £ 1,458,996 (65,209) (950,637) 443,150

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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

28. CONTINGENT LIABILITIES

Discovery Quay Square Limited, a trading subsidiary of the Charity, is legally responsible for the ongoing maintenance of the sea wall at Discovery Quay. A survey undertaken in 2016 provided a draft estimate for remedial works required in the short- to medium-term future. An accurate estimate of the cost of meeting this obligation cannot be ascertained at present, and further surveys will be required in order to obtain a more accurate estimate.

A fund has been created to cover these costs. At the year end, a total of £358,950 (2021: £329,629) had been accrued through a Deed of Covenant from entities and residents in the area who benefit from the sea wall. This amount is included within other creditors.

During Spring 2022, a coating product was trialled on one section of the sea wall. If shown to be successful, this will allow a rolling programme of works to be implemented that may significantly reduce the cost of remedial works required and may make the annual contributions to the fund a viable solution for funding the ongoing maintenance of the sea wall.

A claim for unspecified damages was lodged post year end against a subsidiary in respect of damages caused as a result of a fire that took place post year end in a headleased property and associated issues. The subsidiary has disclaimed liability and is defending the action. Legal advice obtained indicates that any liability is uncertain at this time and, as a result, cannot be quantified.

29. PENSION COMMITMENTS

The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £26,512 (2021 - £26,391). Contributions totaling £3,078 (2021: £3,087) were payable to the fund at the balance sheet date and are included in creditors.

30. RELATED PARTY TRANSACTIONS

The consolidated financial statements of National Maritime Museum Cornwall Trust have taken advantage of the exemption in Financial Reporting Standard 102 Section 33.1A in not disclosing intra group transactions with 100% owned subsidiaries.

There are no further related party transactions or balances to disclose.

31. CONTROLLING PARTY

The Charity is controlled by the Board of Trustees.

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