2024-12-31-accounts

THE NFU MUTUAL CHARITABLE TRUST

TRUSTEES' ANNUAL REPORT & FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Company Registered Number: 03618736

Registered Charity Number: 1073064

CONTENTS Trustees' Report Statement of Trustees' Responsibilities Independent Auditor’s Report Statement of Financial activities (including Income & Expenditure account) Balance Sheet Cashflow Statement Notes to the Financial Statements	PAGE
	2 8 9 14 15 16 17

1

THE NFU MUTUAL CHARITABLE TRUST

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

The Trustees, who are also the directors of the Company, submit their annual report and the audited financial statements of The NFU Mutual Charitable Trust for the year ended 31 December 2024. The Financial Statements have been prepared in accordance and compliance with current statutory requirements, the requirements of the Charity's governing document, The Companies Act 2006, The Statement of Recommended Practice applicable to charities in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and The Charities Act 2011.

REFERENCE AND ADMINISTRATIVE DETAILS

The full name of the Trust is The NFU Mutual Charitable Trust and it is incorporated and registered in England and Wales. Its governing document is its Articles of Association. The Trust is a company limited by guarantee and, as a registered charity, is exempt from using the word "limited" in its name. The Trust's charity registration number is 1073064 and its company registration number is 03618736.

The registered office and operation address is Tiddington Road, Stratford-upon-Avon, Warwickshire, CV37 7BJ. The Secretary to the Trustees is Mrs S.E. Johns. The names and addresses of the Trust's advisers are:

Bankers Barclays Bank plc, Market Cross, Stratford-upon-Avon, CV37 6AP	Solicitors Addleshaw Goddard LLP, 3 Sovereign Square, Sovereign Street, Leeds, LS1 4ER	Independent Auditor
		Deloitte LLP Four Brindley Place, Birmingham, B1 2HZ

STRUCTURE AND MANAGEMENT

The Trustees of the Trust, who are also directors of the company were in office during the year and up to the date of signing the financial statements, these were:

J.C. McLaren (Chairman) Dr H. C. Kennedy M. B. Batters M. D. Raymond – resigned 30 June 2024 N.J. Turner M.C. Kennedy – resigned 25 June 2025 A. Jones W.M. Irvine T.W.Bradshaw D. Brown – resigned 26 June 2024 A Connon – appointed 25 June 2025

The above Trustees were appointed by the Trust for three year terms which are individually reviewed at the end of each period for a new term of three years. When appointing new Trustees, the Trustees look for individuals within the agricultural and insurance industries and related charities to ensure that the Trustees as a whole provide a mix of experience and knowledge including business skills, agricultural and insurance industry experience. It is believed that the mix of skills and experience is appropriate for the needs of the Foundation.

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THE NFU MUTUAL CHARITABLE TRUST

TRUSTEES' REPORT (Continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

STRUCTURE AND MANAGEMENT (Continued)

Four Trustees are appointed by The National Farmers Union Mutual Insurance Society Limited (“NFU Mutual”). Two Trustees are appointed by The National Farmers Union of England and Wales, one is appointed by NFU Scotland and one is appointed by Ulster Farmers’ Union. The day to day management of the Trust is delegated to NFU Mutual.

New Trustees are provided with guidance on the role and duties of a Trustee, details of the Charitable Trust’s aims and objectives and guidance to assist with the grant making process.

Trustees are provided with regular updates and guidance on their role as a Trustee of the Charitable Trust.

The Articles contain no specific restrictions on the way in which the Trust can operate. The investment powers derived from the Articles include power to: invest in any manner after taking appropriate advice and having regard to the suitability of investments and the need for diversification; to delegate the management of investments to an organisation authorised under the Financial Services Act; and to arrange for title to investments to be held by a suitable custodian.

NFU Mutual has put in place deeds of indemnity for the benefit of the Directors and Company Secretary of NFU Mutual and of its associated companies, including The NFU Mutual Charitable Trust. The deeds of indemnity are qualifying third party indemnity provisions in accordance with the Companies Act 2006. These deeds of indemnity were in place throughout the year and continue to be in place at the date of this report.

RISK REVIEW

The Trustees are responsible for management of risk within the Trust. The Trustees have made an assessment of the principal risks to which the Trust is exposed, including operational and financial risks and have put in place a risk management framework, which documents controls that manage and reduce identified risks. This framework is regularly reviewed by the Trustees.

The Trustees are satisfied that the Company’s reserves are sufficient to allow it to absorb any short-term falls in revenue caused by a reduction in investment value as seen in recent years.

Further details of principal risks can be found on page 6 and 7 of the Trustees report.

GOING CONCERN

The Trustees have reviewed the Trust’s activities, financial position, principal risks and financial commentary as set out in the Trustees Report on pages 2 to 7 and its liquidity and operational resilience. As a result of this review the Trustees consider that the Trust has adequate resources and cash flow based upon its available Funds, including receiving additional funding in January 2025 of £1,200,000, to continue in operational existence for at least 12 months from the date that the financial statements are approved. For this reason they continue to adopt the going concern basis in preparing the financial statements.

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THE NFU MUTUAL CHARITABLE TRUST

TRUSTEES' REPORT (Continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

OBJECTIVES

The objectives, as set out in the Articles of Association, are the promotion and support of charitable purposes in the areas of agriculture, rural development and insurance in the United Kingdom - including education, the relief of poverty, social welfare and research - and any other charitable purposes.

The Trustees have decided that to provide the best value for the support it gives to organisations, the Trust will focus on initiatives which fall within the objectives and will have a significant impact on the rural community. As a result, the Trustees focus their support on initiatives with a wide reaching impact rather than local initiatives. The Trust will aim wherever possible to encourage organisations to work together in a cohesive manner to ensure that the rural community as a whole is supported.

The Trust is overseen by a Board of eight Trustees, who meet at least twice a year. Each request for funding is considered on its merits and a majority decision is reached. Every donation made must meet the objectives of the Trust. The Trust is supported by administrative staff employed by a subsidiary of NFU Mutual who carry out work for the Trust alongside their regular duties. No charge is made by NFU Mutual for these services (see accounting policy 1c), and no Trustee receives any remuneration or expenses from the Trust.

PUBLIC BENEFIT

The Trust refers to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing its objectives and in planning its future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives they have set within the rural community. Further details of how some of the Trust’s donations are being used for the public benefit and how they fit in with the Trust’s objectives can be found below in the Operational Review. The Trustees have taken into account the Charity Commission guidance on Public Benefit.

FINANCIAL REVIEW

During the year the Trust made grants totalling £1,012,462 (2023: £1,000,500) to a total of 23 (2023: 26) organisations. Many of the recipients were directly connected with agriculture, but a number of other organisations were included. These also included the bursaries awarded from the Centenary fund.

In 2024 the Trust received funding of £1,000,000 (2023: £1,000,000) from NFU Mutual. At the year end, the cash balance of £523,445 (2023: £32,320) was held in deposit accounts. Funds of £183,236 (2023: £203,156) have been invested on a short-term basis to maximise the future funds available for fulfilling the charity’s objectives. Sufficient funds remain available on deposit or readily realisable from our unquoted unit trust investment to deal with current donations and commitments.

The Trust’s investment policy, adopted in 2006, was reviewed by the Trustees during the year and considered to remain fit for purpose. To ensure that the operational needs of the Trust can be met when required, the Current Account and Deposit account are reviewed on a regular basis. Surplus funds are generally held in either the Charities Official Investment Fund (COIF) Deposit Fund or the COIF Investment Fund.

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THE NFU MUTUAL CHARITABLE TRUST

TRUSTEES' REPORT (Continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

FINANCIAL REVIEW (Continued)

Under the policy the aim is that between 50% and 80% of the Trust’s total reserves should be held in the COIF Investment Fund to gain maximum benefit from the Investment Fund’s aims of providing long term capital and income growth. Holding the majority of the reserves in this Fund allows the Trust efficient access to a wide range of investments at a low administrative cost. The Fund’s portfolio is invested mainly in equities but also includes fixed interest securities, property and other assets. These funds are revalued on a yearly basis to reflect market value. The gain or loss on revaluation is allocated between restricted and unrestricted reserves, the total reserve currently stands at £135,921 (2023: £146,290). In 2024 the fund had an unrealised gain of 5.0% (2023 gain: 11.4%). The Trustees consider that the investment policy remains appropriate with regard to the prevailing stock market conditions but this will be kept under review.

The Trustees believe that the Trust should generally maintain minimum unrestricted reserves of around £100,000. It is felt that this is an appropriate level of reserves to fund any unanticipated events and to give the Trustees the flexibility to support initiatives at short notice. The level of reserves set is less than the current annual income but would help the Charitable Trust to maintain a reasonable level of commitments if its income were to reduce suddenly. Reserves relating to the unrestricted fund at the year end amounted to £108,034 (2023: £109,168) and the reserves relating to the restricted fund at the year end amounted to £80,972 (2023: £109,060). The reserves policy allows the Trustees to use its reserves to fund unanticipated events which have a significant impact on the agricultural industry or farming community. Compliance with the reserve policy is monitored twice a year by the Trustees. The policy itself is renewed annually.

The Trustees consider the Trust's financial position in relation to its future plans and commitments to be satisfactory.

The Trust has no connected charities or subsidiary companies.

OPERATIONAL REVIEW

During the year the Trustees have continued to make donations in accordance with the Trust’s objectives to promote and support in particular the areas of education and relief of poverty in agriculture, and rural development. The Trustees assess the Trust’s performance by considering the range of organisations supported and the potential impact of those organisations and any specific initiatives supported. The Trustees are satisfied that the donations made in the year support the Trust’s objectives and strategy to target organisations and initiatives with a significant impact on the rural community. A list of the organisations to whom donations were made by the Trustees can be found in note 5 to the financial statements on pages 19 and 20. The donations cover a variety of organisations and types of requests for funding. Further details of some of the charities supported by the Trust during the year are given below.

The Trust provided a donation of £75,000 to Rural Support which provides professional guidance to farmers and family members to support their farm business and personal wellbeing in Northern Ireland. The charity had seen a significant rise in demand for its services and required funding for their Mental Health Resilience Support Programme.

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THE NFU MUTUAL CHARITABLE TRUST

TRUSTEES' REPORT (Continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

OPERATIONAL REVIEW (Continued)

The Trustees remain committed to supporting education and the relief of poverty within agriculture and the rural community and therefore a donation of £26,746 was provided to Farms for City Children to give two groups of children from disadvantaged areas the opportunity to live and work on a farm for a week.

In addition, the Trustees continue to support the national Young Farmers’ Clubs with donations during the year to the National Federation of Young Farmers Clubs, YFC Ulster and Wales YFC. These donations contributed towards education, training and mentoring programmes within Young Farmers Clubs across the country.

The Trustees will continue to encourage charities to work together in a cohesive manner to ensure that the rural community as a whole is supported. The Trustees will continue to focus their support on initiatives which will have a significant impact on the rural community, and therefore will predominantly support organisations with a national or very large regional remit. Donations will continue to be made which, in the opinion of the Trustees, meet the objectives of the Trust. At all times the Trustees will bear in mind the level of reserves available to the Trust and the likely future demand for donations.

In 2024, the Charitable Trust continued to support The NFU Mutual Charitable Trust Centenary Award. The Centenary Award gives annual bursaries of up to 75% of the course fees for selected postgraduate students in agriculture. Four bursaries were awarded in 2024 (2023: three).

The award focuses on students studying one of following themes:

• The application of science and innovative technologies to enhance productivity, efficiency, and profitability for UK farming businesses,

• Building resilience and safeguarding the physical and mental wellbeing of those living and working in the UK agricultural industry,

• Tackling the risks of climate change, whilst maintaining food security, to improve the sustainability of UK agriculture,

• Identifying opportunities for supporting nature and biodiversity in the development of farming and land management practices in the UK.

The Trustees intend to continue to make donations to other charitable organisations and initiatives in line with the Trust’s objectives and strategy with particular focus on education and relief of poverty in agriculture and rural areas. It will also continue to award postgraduate bursaries through the Centenary Award for agriculture students.

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THE NFU MUTUAL CHARITABLE TRUST

TRUSTEES' REPORT (Continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

FINANCIAL INSTRUMENTS

The Trust is exposed to financial risk through its financial assets and financial liabilities. In particular, the key risks relate to cashflow risk, market risk and interest rate risk.

Cashflow Risk

The risk is that current assets are insufficient to pay grants as they are approved. This position is managed by ensuring that sufficient funds are available from short-term notice deposit accounts to pay the grants as they are approved.

Market Risk

The Trust invests in an unquoted unit trust. There is a risk that the value of this investment can go down. The risk is managed by ensuring that surplus funds are spread between such investments and deposit accounts. The Trustees are satisfied that the Company’s reserves are sufficient to allow it to absorb any short-term falls in revenue caused by a reduction in investment value as seen in recent years.

Interest Rate Risk

The Trust holds funds in a COIF deposit account. There is a risk that the rate of interest earned on the level of the Trust’s deposits will reduce. The risk is managed by ensuring that surplus funds are spread between this and the Barclays Bank deposit accounts.

RELATED PARTIES

The Trust received a £1,000,000 donation from NFU Mutual which it has used for charitable purposes (2023: £1,000,000). This amount has been paid in full to the Charitable Trust by NFU Mutual .

Four Trustees are appointed by NFU Mutual Insurance Society Limited. Mr Raymond is a director of the Royal Countryside Fund; grants totalling £75,000 (2023: £80,000) were approved to this organisation during the year, of which £nil were outstanding at the end of the year (2023: £nil).

INDEPENDENT AUDITORS

The auditors Deloitte LLP, have indicated their willingness to continue in office. A resolution that they be reappointed will be proposed at the Annual General Meeting.

SMALL COMPANIES EXEMPTION

In preparing this report, the directors have taken advantage of the small companies exemptions provided by Part 15 of the Companies Act 2006 to not prepare a Strategic Report.

By order of the Board

N.J. Turner 25 June 2025

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THE NFU MUTUAL CHARITABLE TRUST

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 DECEMBER 2024

The Trustees (who are also directors of the NFU Mutual Charitable Trust for the purposes of company law) are responsible for preparing the Trustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Charities SORP;

• make judgments and estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards have been followed ; and

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

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

• there is no relevant audit information of which the charitable company's auditor is unaware; and

• the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

By order of the Board

N.J. Turner 25 June 2025

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THE NFU MUTUAL CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE NFU MUTUAL CHARITABLE TRUST

FOR THE YEAR ENDED 31 DECEMBER 2024

Report on the audit of the financial statements

Opinion

In our opinion the financial statements of The NFU Mutual Charitable Trust (the ‘charitable company’):

• give a true and fair view of the state of the charitable company’s affairs as at 31 December 2024 and of its 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, including Financial Reporting Standard 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”; and

• have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities Act 2011.

We have audited the financial statements which comprise:

• the statement of financial activities;

• the balance sheet;

• the cash flow statement; and

• the related notes 1 to 14.

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

Basis for opinion

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

We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the Financial Reporting Council’s (the ‘FRC’s’) Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

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THE NFU MUTUAL CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE NFU MUTUAL CHARITABLE TRUST (continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

Other information

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

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Responsibilities of trustees

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

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

Auditor’s responsibilities for the audit of the financial statements

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

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

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THE NFU MUTUAL CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE NFU MUTUAL CHARITABLE TRUST (continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

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

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

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

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

• had a direct effect on the determination of material amounts and disclosures in the financial statements. These included UK Charities Act, UK Companies Act of 2006, pension legislation and tax legislation; and

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

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

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

We presume a risk of material misstatement due to fraud in revenue recognition which is related to the completeness of donation income. To address this risk, we reviewed the Trustees’ meeting minutes, all bank statements in the period, and post year end records up to the date of this report to test whether the donation income had been appropriately included in the financial statements. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.

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

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

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

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THE NFU MUTUAL CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE NFU MUTUAL CHARITABLE TRUST (continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

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

• reading minutes of meetings of those charged with governance.

Report on other legal and regulatory requirements

Opinions on other matters prescribed by the Companies Act 2006

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

• the information given in the trustees’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the trustees’ report has have been prepared in accordance with applicable legal requirements.

In the light of the knowledge and understanding of the group and parent charitable company and their environment obtained in the course of the audit, we have not identified any material misstatements included within the trustees’ report.

Matters on which we are required to report by exception

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

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

• the 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.

• the trustees were not entitled to take advantage of the small companies’ exemption from the requirement to prepare a strategic report

We have nothing to report in respect of these matters.

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THE NFU MUTUAL CHARITABLE TRUST

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE NFU MUTUAL CHARITABLE TRUST (continued)

FOR THE YEAR ENDED 31 DECEMBER 2024

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Andy Fern (Senior statutory auditor) For and on behalf of Deloitte LLP Statutory Auditor Birmingham, United Kingdom

25 June 2025

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THE NFU MUTUAL CHARITABLE TRUST

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME & EXPENDITURE ACCOUNT)

FOR THE YEAR ENDED 31 DECEMBER 2024

FOR THE YEAR ENDED 31 DECEMBER 2024
Note	Unrestricted Funds Restricted Funds Total Funds Total Funds
		2024	2024	2024	2023
		£	£	£	£
Donations 2	1,013,758 12,041		- 1,013,758 1,010,369 210 12,251 2,508
Income from investments 3
	1,025,799		210 1,026,009 1,012,877
Total income
	(1,032,105) (33,206) (1,065,311) (1,039,430)
Expenditure on
Charitable activities 5
Net Expenditure	(6,306) (32,996) (39,302) (26,553)
	5,172 4,908 10,080 23,311
Net gain on investments 6
	(1,134) (28,088) (29,222) (3,242)
Net movement in funds 13
	109,168 109,060 218,228 221,470
Fund balances brought forward at 1January
	108,034 80,972 189,006 218,228
Fund balances carried forward at 31 December 9

The prior year comparatives for each individual fund are stated in Note 13 of the Notes to the Financial Statements on page 24.

All of the above transactions relate to continuing operations. All gains and losses recognised in the year are included in the Statement of Financial Activities

The notes on pages 17 to 25 form an integral part of these financial statements.

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THE NFU MUTUAL CHARITABLE TRUST

BALANCE SHEET

AS AT 31 DECEMBER 2024

	Note		2024		2023
			£	£	£	£
FIXED ASSETS
Investments	6			183,236		203,156
CURRENT ASSETS
Cash at bank and in hand			523,445		32,320
Debtors	7		-		1,768
Creditors: Amounts falling due within
one year	8		(517,675)		(19,016)
Net current assets				5,770		15,072
NET ASSETS				189,006		218,228
THE FUNDS OF THE CHARITY
Revaluation reserve: Unrestricted	9			83,647		78,475
UnrestrictedIncomeFunds	9			24,387		30,693
TotalUnrestricted				108,034		109,168
Revaluation reserve: Restricted	9			52,274		67,815
Restricted Income fund	9			28,698		41,245
Total Restricted				80,972		109,060
TOTAL CHARITY FUNDS	9			189,006		218,228

The financial statements on pages 14 to 25 were approved by the Board of Trustees on 25 June 2025 and signed on its behalf by:

N Turner The NFU Mutual Charitable Trust Company Number: 03618736 25 June 2025

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THE NFU MUTUAL CHARITABLE TRUST

CASHFLOW STATEMENT

FOR THE YEAR ENDED 31 DECEMBER 2024

Note Unrestricted Funds Restricted Funds Total Funds	Note Unrestricted Funds Restricted Funds Total Funds	Note Unrestricted Funds Restricted Funds Total Funds	Note Unrestricted Funds Restricted Funds Total Funds	Note Unrestricted Funds Restricted Funds Total Funds	Total Funds	Total Funds
		2024	2024	2024		2023
		£	£	£		£
	478,517 (29,643) 448,874 12,041 210 12,251 - 30,000 30,000
NET CASH FROM OPERATING ACTIVITIES 14					(440,490)
CASHFLOW FROM INVESTING ACTIVITIES
i i i Interest from investments					2,508
Proceeds from sale of investments					25,000
NET CASH USED IN INVESTING ACTIVITIES	12,041 30,210 42,251				27,508
	490,558 567 491,125 24,350 7,970 32,320
NET INCREASE / (DECREASE) IN CASH & CASH EQUIVALENTS					(412,982)
Cash & cash equivalents at the beginning of the year					445,302
CASH & CASH EQUIVALENTS AT THE ENDOF THE YEAR	514,908 8,537 523,445				32,320
	514,908 8,537 523,445
Cash & cash equivalents consist of:
Cash at bank and in hand					32,320
CASH & CASH EQUIVALENTS	514,908 8,537 523,445				32,320

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THE NFU CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

1 ACCOUNTING POLICIES

The financial statements have been prepared on a historical cost basis as modified by the revaluation of certain investments. The financial statements have been prepared in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in compliance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Charities Act 2011, the Charity's governance document, the Charity Commission guidance on Public Benefit and the Companies Act 2006. The accounting policies have been consistently applied in the financial statements, the main policies have been outlined below:

a) Donations

Income received by way of donations and gifts is included in full in the Statement of Financial Activities when receivable.

b) Expenditure on charitable activities

Grants payable are payments made to third parties in the furtherance of the charitable objectives of the Trust and are accounted for in full as liabilities of the charitable company when approved by the Trustees and conveyed to the recipient. The expenditure is recognised in the period incurred and includes any attributable VAT which cannot be recovered. Support costs include expenditure on the administration of the Trust to comply with constitutional and statutory requirements. Included with this category are costs associated with the strategic, as opposed to the day-to-day management of the Trust’s activities.

c) Donated Services

In accordance with SORP (FRS 102) costs are attributed to services donated by the Group Company based on time spent. These are shown within both incoming resources and resources expended on the face of the Statement of Financial Activities for disclosure purposes only.

d) Investments

Investments are held in the UK and included at market value at the balance sheet date. Gains and losses on investment are recognised in the Statement of Financial Activities. Unrealised gains and losses are attributed to the revaluation reserve on recognition and transferred to income funds when the gain or loss is realised.

e) Income from Investments Income from investments is included in the year in which it is earned.

f) Fund accounting

Unrestricted funds are funds which are available for the use at the discretion of the Trustees in furtherance with the general objectives of the Trust. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charitable company for particular purposes.

g) Financial Instruments

The charity 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.

17

THE NFU MUTUAL CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (Continued)

AS AT 31 DECEMBER 2024

1 ACCOUNTING POLICIES (Continued)

h) Taxation

The Trust is a registered charity and as such is entitled to certain tax exemptions on income and profits from investments, and surpluses on any trading activities carried on in furtherance of the charity's primary objectives, if these profits and surpluses are applied solely for charitable purposes. The Trust is not registered for VAT and accordingly, all the expenditure is recorded inclusive of any VAT incurred.

i) Cash at bank and in hand

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.

j) Debtors

Debtors are amounts due from related parties and other receivables arising from trading and services performed in the ordinary course of business. If collection is expected in one year or less, they are classified as current assets. If not, they are presented as non-current assets. Debtors are recognised initially at fair value and subsequently measured at amortised cost less provision for impairment.

k) Creditors

Creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers or commitments made in relation to charitable donations. Trade creditors are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Creditors are recognised initially at fair value and subsequently measured at amortised cost.

l) Use of judgements, estimates and assumptions

The preparation of the financial statements does not require the Trustee’s to make any judgements, estimates or assumptions in the process of applying the Company’s accounting policies due to the simplistic nature of its operations.

m) Going Concern

The Charity’s activities, together with the factors likely to affect its future development, performance and position are set out in the Trustees’ Report on Page 2 to 7. As a result of this review the Trustees consider that the Trust has adequate resources and cash flow based upon its available funds, including receiving additional funding in January 2025, to continue in operational existence for at least 12 months from the date that the financial statements are approved. The Trustees’ believe that given the simple nature of the Trust it is appropriate to continue to adopt the going concern basis in preparing the financial statements.

18

THE NFU MUTUAL CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (Continued)

AS AT 31 DECEMBER 2024

2 DONATIONS

				2024			2023
				£			£
	Donations from NFU Mutual		1,000,000 13,643 115			1,000,000
	Value of administration services provided by NFU Mutual					10,259
	Private Donations					110
			1,013,758			1,010,369
3	INCOME FROM INVESTMENTS
				2024			2023
				£			£
	Investment income represents interest earned on funds held		12,251			2,508
	on deposit

• 4 TRUSTEES AND EMPLOYEES

There are no employees of the Company (2023: nil).

No Trustees received remuneration or expenses during the year in respect of their services to the company (2023: nil).

5 EXPENDITURE ON CHARITABLE ACTIVITIES

The grants included within Expenditure on Charitable Activities are all paid to institutions with no grants paid to individuals. All grants paid to institutions from each of the Unrestricted and Restricted funds are listed below.

Restricted funds are listed below.
	2024	2023
Unrestricted Funds–Grants	£	£
Royal Agricultural Benevolent Institution	75,000	80,000
Farming Community Network	75,000	80,000
Royal Scottish Agricultural Benevolent Institution (RSABI)	75,000	80,000
Rural Support	75,000	80,000
Addington Fund	75,000	80,000
The Royal Countryside Fund	75,000	80,000
Linking Environment and Farming	70,000	50,000
NFU Education	70,000	50,000
Fareshare	50,000	50,000
Oxford Farming Conference	20,000	50,000
Samaritans	50,000	40,000
Farmstrong Scotland	50,000	19,000
The National Federation of Young Farmers Clubs	38,000	38,000
Wales Federation of Young Farmers Clubs	31,000	19,000
Young Farmers Clubs of Ulster	30,000	30,000
Tir Dewi	30,000	30,000

19

THE NFU MUTUAL CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (Continued)

AS AT 31 DECEMBER 2024

EXPENDITURE ON CHARITABLE ACTIVITIES (Continued)

	Unrestricted Funds–Grants (Continued) Mental Health Innovations Farms for City Children UFU Nuffield Farming Scholarships Trust Papyrus Scottish Association of Young Farmers’ Clubs Gareth Raw Rees Memorial Scholarship Air Ambulances UK The Henry Plumb Foundation Royal Highland Educational Trust Open Farm Weekend, Northern Ireland Wales Young Farmers Club The Smallpiece Trust Access toFarms	28,716 26,746 20,000 16,000 15,000 15,000 2,000 - - - - - - -	28,716 26,746 20,000 16,000 15,000 15,000 2,000 - - - - - - -	- 17,000 - 15,000 - - 2,000 30,000 20,000 15,000 15,000 11,000 11,500 8,000	- 17,000 - 15,000 - - 2,000 30,000 20,000 15,000 15,000 11,000 11,500 8,000
		1,012,462		1,000,500
			2024 (£)		2023 (£)
	Unrestricted Funds–support costs:
	Administrative services provided by NFU Mutual		13,643		10,259
	2024 AuditFees (gross ofVAT)		6,000		5,852
			19,643		16,111
	Total expenditure on charitable activities–Unrestricted funds	1,032,105		1,016,611
	Restricted Funds–Grants:
	St Catherines College Cambridge	10,166		-
	Jesus College Cambridge	10,166		-
	Harper Adams	8,640		5,119
	University of Warwick	2,440		-
	Hartpury University	1,794		1,767
	Darwin	-		9,677
	Aberwystwyth University	-		5,681
	University of London	-		575
	Total expenditure on charitable activities–Restricted Funds	33,206		22,819
	Total expenditure on charitable activities	1,065,311		1,039,430

20

THE NFU MUTUAL CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (Continued)

AS AT 31 DECEMBER 2024

6	INVESTMENTS		2024			2023
			£			£
	Valuation at 1 January	203,156			204,845
	Net gains	10,080 (30,000)			23,311
	Sale proceeds from disposalsof investments				(25,000)
	Valuation 31 December	183,236			203,156

Investments are stated at market value at 31 December 2024. The historical cost of the investment at 31 December 2024 was £47,316 (2023: £56,867). The investments balance relates entirely to a COIF investment which is an unquoted unit trust and an accumulation fund.

7	DEBTORS		2024		2023
			£		£
	Tradedebtors		-	1,768
			-	1,768
8	CREDITORS–AMOUNTS FALLING DUE WITHIN ONE YEAR		2024		2023
			£		£
	Grants Payable	511,675		13,164
	Accruals	6,000		5,852
		517,675		19,016

Audit fees for the financial year net of VAT were £5,000 (2023: £4,877) and are included within Accruals.

21

THE NFU MUTUAL CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (Continued)

AS AT 31 DECEMBER 2024

9	RESERVES
		Opening balance 1 January 2024		Total income	Expenditure on charitable activities			Net Investment gains
			£	£			£		£			£
Unrestricted fund			30,693	1,025,799			(1,032,105)		-			24,387
Revaluation fund- unrestricted			78,475	-			-		5,172			83,647
Sub total- unrestricted funds				1,025,799			(1,032,105)		5,172			108,034
Restricted fund		41,245		210			(33,206)		20,449			28,698
Revaluation fund- restricted		67,815		-			-		(15,541)			52,274
Sub total- restricted funds		109,060		210			(33,206)		4,908			80,972
Total		218,228		1,026,009			(1,065,311)		10,080			189,006

The unrestricted fund reserve represents the free funds of the charitable company which are not designated for particular purposes. The restricted fund reserve represents the funds available under The NFU Mutual Charitable Trust Centenary Award scheme. The aim of the Centenary fund is to help generate a legacy for the future of agriculture by utilising these funds to provide a 75% bursary of course fees for postgraduate agricultural students.

22

THE NFU MUTUAL CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (Continued)

AS AT 31 DECEMBER 2024

10 RELATED PARTY DISCLOSURES

NFU Mutual appoints trustees to the trust and is therefore a related party. Four Trustees are appointed by NFU Mutual (2023: four).

The Trust received a £1,000,000 donation from NFU Mutual which it has used for charitable purposes (2023: £1,000,000). This amount has been paid in full to the Charitable Trust by NFU Mutual .

Mr Raymond is a Trustee of Forage Aid; grants totalling £nil (2023: £nil) were approved to this organisation during the year, of which £nil were outstanding at the end of the year (2023: nil). Mr Raymond is also a director ot the Prince’s Countryside Fund; grants totalling £75,000 (2023: £70,000) were approved to this organisation during the year, of which £nil were outstanding at the end of the year (2023: nil).

11 ANALYSIS OF NET ASSETS ACROSS FUNDS

The net assets are held for the funds as follows:

						Total
				£	£	£
		Restricted fund		84,927	(3,959)	80,968
		Unrestricted fund		621,754	(513,716)	108,038
		Total		706,681	(517,675)	189,006

12 CAPITAL

The charity is a company limited by guarantee. Each member has undertaken to contribute £1 to the assets of the Company to meet its liabilities if called on to do so. The members consist of the 8 Trustees and the Company Secretary. The total amount guaranteed by the members at 31 December 2024 is £8 (2023: £9).

==> picture [494 x 104] intentionally omitted <==

23

THE NFU MUTUAL CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (Continued)

AS AT 31 DECEMBER 2024

13 COMPARISON OF THE STATEMENT OF FINANCIAL ACTIVITIES

Total income from Donations Investment income Total incoming resources Total expenditure on Charitable activities Total resources expended Net income/(expenditure) Gains on investment assets Net movement in funds Fund balances bought forward at 1 January Fund balances carried forward at 31 December	Total income from Donations Investment income Total incoming resources Total expenditure on Charitable activities Total resources expended Net income/(expenditure) Gains on investment assets Net movement in funds Fund balances bought forward at 1 January Fund balances carried forward at 31 December	Total income from Donations Investment income Total incoming resources Total expenditure on Charitable activities Total resources expended Net income/(expenditure) Gains on investment assets Net movement in funds Fund balances bought forward at 1 January Fund balances carried forward at 31 December
	1,025,799	210 1,026,009 1,012,705
	(1,032,105)
	(1,032,105)
	(6,306)
	5,172
	(1,134) 109,168
	108,034

24

THE NFU MUTUAL CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS (Continued)

AS AT 31 DECEMBER 2024

14	RECONCILIATION OF NET MOVEMENT IN FUNDS TO CASH INFLOW FROM OPERATING
	ACTIVITIES

Unrestricted Funds Restricted Funds Total Funds	Unrestricted Funds Restricted Funds Total Funds	Unrestricted Funds Restricted Funds Total Funds	Unrestricted Funds Restricted Funds Total Funds	Unrestricted Funds Restricted Funds Total Funds	Total Funds	Total Funds
		2024	2024	2024		2023
		£	£	£		£
	(1,134) (28,088) (29,222) (12,041) (210) (12,251)
NET MOVEMENT IN FUNDS FOR THE YEAR					(3,242)
Adjusted for:
Interest from investments					(2,508)
OPERATINGFUNDSFOR THE YEAR	(13,175) (28,298) (41,473)				(5,750)
	496,864 1,795 498,659 - 1,768 1,768 (5,172) (4,908) (10,080)
Increase/(Decrease) in creditors & accruals					(409,661)
Decrease/(Increase) in debtors					(1,768)
Unrealised investment loss gain					(23,311)
NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES	478,517 (29,643) 448,874				(440,490)

25