Reglst•r•d Charlty Number: 1075877 Report of tho Trustses and Unaudited Financial Statements For th6 Yaar ended 31 March 2022 For the AGC Museum Trust Rolhmans LLP Chartered Accountsnts Avebury House Sl Peter Street Win¢hesler Hampshire S023 8BN
AGC Museum Trust Contents of the Financlal Statements for the Yoar ended 31 March 2022 Page Report of the Trustses 1to12 Independent Examinerfs Report 13 Statement of Flnancial Activities 14 Balance Sheet 15 Notes to the Financial Statements 16to25 Detalled Statement of Flnanclal Activities 26to27
AGC Museum Trust Report of the Trustse$ for the Year ended 31 March 2022 The Trustees present their report with the financial statements of the charity forthe year ended 31 March 2022. The Tnjstees have adopted the provisions of Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to Charities preparing their accounts in accordance with the Financial Reporting Standard appIlble in the UK and Republic of Ireland (FRS 1021 (effective 1 January 2019). Structure. Government and Management The Adjutant General's Corps IAGC) Museum opened in 2003 to Collect, preserve, and display the history of the AGC and its anlecedenl corps, the Royal Amiy Pay Corps, Royal Military Police. Military Provost Staff Corps, Royal Army Educational Corps, Amy Legal Services and the Women's Royal Army Corps and their rich histories. Subsequently.. In 1997, the Military Provost Guard servi (MPGS) was formed and some of their history is now displayed as part of the AGC Museum collection. In 2011, the Gurkha Staff and Personnel Support IGSPSI was formed which allowed Gurkha administrators to assimilate with their AGC counterparts without losing their essential link to the Brigade of Gurkha$. Some of their history wll also be displayed in Ihe museum. The Museum is managed by a Board of Trustees in accordance with the Museum Trust Deed dated 21 April 1999. The Board of Trustees comprises of not less than 6 members but no more than 12 members. It has.. Three Ex-officio members who are members because of their vital and influencing appointments with the AGC Corps HQ. Representation from across the Branches of the AGC and its ante¢edent Corps. The Board ofTrustees meets twi yearly forordinary meetings but has provision that allows 2 Trustees to call a special meeting at any time giving at least 14 days, notice of the date and the agenda. Formal records of all Board Meetings are maintained and distributed to all Trustees, the Curator and the AGC Finance Manager las the manager of our bank account{s) and investm8nts). The Board comprises the following key appointments.. Ex Officio Members The Corps Colon81 AGC, the Corps Secretary AGC and Corps Sergeant Major AGC are ex-offi¢io members. These 3 appointments have an important role in representing the Museum within the Amiy. th8 AGC and the general public but also keeping Trustees informed of changes in policy that affect military museums and encouraging the AGC preseNation of its unique heritage. Chair of Trustees Although the Chair has always been th8 Corps Colonel AGC appointment, the Trust Deed requires the Trustees at their first meeting each calendar year to elect any one of the Trustees to be Ihe Chair for that year. This provision is there to protect the museum's interests and prevent any conflicts of interest beleen the AGC, it's Regimental Association and the musèum. The provision allows Trustees to ensure the Chair of Trustees cannot force through an agenda that may suit theAGC Associalion but which the museum Trustees feel is not in the museum's best interest. The Chair of Trustees has been granled some delegated pow8rs from Ihe Board of Truste88 which allow the flexibility to deal with Page 1 of 27
AGC Museum Trust Report of the Trustees for the Year ended 31 March 2022 issues thal would otherwise require referral to the Board of Trustees. These powers are limited and contained in an annual letter of delègalion from the Board of Trustees. Trustees The Museum collection, at the outset comprised of the histories of the antecedent Corps and representatives of those Corps were appointed to be Trustees, from a balanced mixture of those still serving in the AGC and veterans of the antecedent Corps. It is now 29 years since the fomiation of the AGC and some of the seNing Trustees have had their entire se1 in Ihe AGC. These Trustees en¢ourage their respective Branches to add AGC historical items to the museum collection. Honorary Treasurer This Museum appoints an Honorary.Treasurer. who chairs a finance commrttee and is accountable to the Chair of Trustees and ultimately the Board of Trustees on all financial matters. To preserve their independent role the Honorary Treasurer has no delegated authority to approve payments in their own right, although the Trustees have allowed the incumbenl to exceptionally be the counlersigning offIr for payments that have been properly authorised and are within budget but exceed the authorising officers level of individual delegation. Museum Director The Corps Secretary AGC is the Museum Director., he supervises the day-to-day activities of the Museum and is accountable to the Chair of Trustees and the Board of Trustees on every aspect of the Museum's administration and all of the activities, and administration of the staff. The Museum Director has delegated powers from the Board of Trustees which aim to allow limited flexibilily to deal with issues that would othemise require approval of the Board of Trustees - these powers are contained in an annual letter of delegation from the Board of Trustees. This post is the principal authorising officer for all payments and the line manager for the Curator. Independent Museums Advisor The Board is very fortunate to have an independent advisor on museums,. his expertise on museum organisation and collection management ensures the museum activities protect, preserve and display the museum collection. Although not a Truslee, the museums advisor attends all board meetings and has the experience to advise on a wide range of museum issues. Curator The Curator is not a Trustee but is accountable lo the Board of Trustees. They attend Board Meelings to brief them on the activities Sin the last meeting, staff issues, to raise any concerns, and to understand the direction of th8 Board. The Curator is also the line manager ofthe museum staff and any volunteers working on behalf ofthe museum. The Curator has a lower level ofdelegated powers from the Board of Trustees which aim to allow the flexibility to deal with day-lo-day issues approved in the budget. In their absence, Ihe Assistant Curator has the authority to authorise payments that are within their delegation. Both Curator and Assistant Curator powers are contained in an annual letter of delegation from the Board of Trustees. Page 2 of27
AGC Museum Trust Report of the Trustees for the Year ended 31 March 2022 Trustee Selection If a vacancy occurs on the Board of Trustees, the Chair of Trustees informs the other Trustees and where possible identifies potential candidates as replacement for consideration by the Board. No Trustees should be appointed out of committee and every placement must be discussed at the next available Board m8eting. Thé Trust Deed allows between 6 and 12 Members and this allows the Board of Trustees sufficient flexibility to consider replacements and to vote them in as Trustees without the need to Convene a special meeting. The only exceptions to this rule are the 3 Ex-officio members who automatically become Trustees by virtue of their appointments within the AGC Corps HQ. Trustee Remunerallon All of the Trustees are volunteers and none receive remuneration from the museum. Although the review of th8 Trust Deed has stalled whilst awailing Army Museums Qgilby Trust {AMOTI advice, the Board of Trustees have elected to implement the refunding of reasonable travel expenses incurred by Trustees acting on museum official activities. Composition of the Board of Trustees The Board of Trustees is shown b810w'. Name Dats Appolntsd Ex orricio Trustses Date R•tlrod Col VJ Whib'n9 ADC Col SJ Holmes ADC From 4 June 2021 From 26 May 2020 From 28 April 2012 From 16 September 2020 From 9 March 2022 4 June 2021 Lt Col (Retd) MJR Cotton MBE W01 (Corps SM) A Heron AGCIRMP) W01 (Corps SMI W Heath¢ote AGC{SPS) g March 2022 Tru8t088 Col (Retdl AK Brown OBE Col BA Gray Col M Ketterer From 31 March 2017 From 6 June 2018 From 1 October 2020 28 September 2022 17 December 2021 Col {Retd) AN King Lt Col (Reldl J Jennings Col C Terblanche From 28 February 2019 From 9 March 2022 28 September 2022 From 28 September 2022 From 1 October 2020 Col SM Vardy Lt Col {Retdl Rowena Naile MBE Lt Col (Retdl Mark Burton-Doe FCMA W01 J Donachie AGC IMPGSI Col {Retd} AJ Ward From 28 September 2022 From 28 September 2022 Fr¢ym 9 March 2022 From 2 December 2011 In Attendance Mr D Smurthwaite Independent Museum Advisor Curator Mrs BE Taubert-Brayley Page 3 of 27
AGC Museum Trust Report of the Trustees for the Year ended 31 March 2022 Committees The Trust Deed allows the Board of Twstees to fomi committees responsible for spe¢ific areas of the museums administration, Such committees act in accordance with direction from the Board of Trustees containeé in detailed Terms of Reference, Any committee formed is ultimately accountable to the Board of Trustees but the Chair of Trustees is responsible for oversight of these committees. The Finance Committee Finance Commrttee meetings are chaired by Col (Retdl AJ Ward {the Honorary Treasurer) with Col (Retd) AK Brown as the VI Chair and Lt Col (Retd) MJR Cotton and Mrs Taubert-Brayley as members. The AGC Finance Manager is in attendance, where his other duties allow, to advise on accounting matters including the Sage Reports. The Temis of Reference for the Finance Commrttee are to monitor internal financial controls to assist and advise the Trustees in order that they,. Meet their legal duties to safeguard the Charities assets. Administer the Gharities fInanS and assets in a manner that identifies and manages risks. Ensure the quality and integrity of financial reporting. Trust Objects The Objects of the Museum are to educate the publi¢ and members of the Corps in the history and military accomplishments of the Corps and to promote military eff iciency and encourage recruilmenl by public exhibition of the collection in a museum or museums or other such places as the Trustees may from time lo time decide, and lo consetve. restore, repair, re-construct and preserve the objects of the collection. Purposes of the Charlty 10. The purpose of the AGC Museum is to educate the public and members of the Corps in the history and military accomplishments of the AGC and its antecedents. The museum will collert, document, preserve, display, undertake research and provide access to material relaling to bolh the Corps and its antecedents. The work undertaken will be to the standards required to maintain 'Accredited Museum, status with Arts Council (England). In addition, material displayed in the museum will be of benefit to the general public, military veterans and serving personnel. The content of the displays will provide a slimulaling experience for all, in order to show the role of the Amy in the development of this nation,. promote the military ethos., assist in reGruiting and project a positive image of the British Army. The Trustees have paid due regard to the Charity Commission's guidance on public benefit in deciding what aclivities the charity should undertake. Review of Activities. Developments and Achievements 12. In this financial year the Museum was closed from 1 st April unlil 18th May for COVID lockdown measures. Once the Museum and café reopened, the café licence holderdecided to not renew her licence due to financial pressures. The café was then closed until a new licence holder was found in Octob8r. This, as well as restri¢tions to numbers and a lack of holiday travellers to Win¢hest8r, heavily impacted visitor numbers. Page 4 of 27
AGC Musèum Trust Report of the Trustees for the Year ended 31 March 2022 13. The Museum began opening for longer hours but continued daily cleaning regimes and implementation of restrictions in line with government policies. Staff also were required to complete weekly lateral flow tests before their scheduled work-days. Governan of the Museum continued, with virtual Trustees and Finance Committee meetings taking place, and in person when restrictions permitted. 14. The Museum had 7,947 visitors for this financial year. This is an increase on the year before, wilh the Museum being open for all but 8 weeks including th6 nomal Christmas closure period. The loss of the café over the summer holidays had a large impact on visitor numbers. 15. The Education and Volunteers programmes were suspended in March 2019, due to the inability to host school visits within gov8mment guidelines and to safely have volunteers working alongside staff. The Education programme was restarted in November 2021, wilh 5 primary schools visiting the site to take part in school sessions. There was also a visit by a college in February. The volunteering programme was restarted in February with one volunteer recruited. 16. The Museum created a lemporary exhibition for AutUMnlnIer 2021 for the 30th anniversary of Operation Granby. A second temporary exhibition for the 40th Anniversary of the Falklands War took pla¢e from January 2022 until 6th April 2022. 17. Visits from military establishments increased this financial year, with only 2 having been cancelled due to COVID. The Museum welcomed visits from 11 units with more booked for the coming months. 18. Thé Museum website has now been live for some tirne and updated with blog posts to focus on aspects of the Museum and its collections. An online temporary exhibition blog was Created for the Falklands War exhibition and will be completed for all temporary exhibitions in the future. The Museum continues to post on soual media, including Facèbook, Instagram and Twitter. Facebook is the most popular platform for the Museum, with antecedent and AGC themed months completed on top of celebrating anniversaries and temporary exhibitions. 19. The audit of th8 coll8Ctions was restarted al the end of last financial year and is continuing at a steady pace. 20. The Museum is continuing to accept items into the collection. A small build-up was amassed during periods of dosure with a subsequent backlog of work, but Ihis has been scheduled into the work plan and will be cleared fait1y quickly. 21. The Museum continues to work with other organisations, including Winchester's Military Museums IWMM) and the National Army Museum {NAM). 22. Winch&ster's Military MuseumslWMMI continued to hold regular meetings to keep everyone on site aware ofongoing work and to Continue to promote the museumsjointly. The education program for the WMM site, which was suspended in March 2020, has revitalised and r8Started from December 2021. 23. The National Amiy Museum (NAM) continues to provide free online and in person training even during periods of closure and hosted a Trustees Away Day in January where the redevelopment of Ihe Museum was discussed. Col BA Gray acted as the day's facilitator Page S of 27
AGC Museum Trust Report of the Trustees for the Year ended 31 March 2022 and advisors from the NAM and AMOT not only gave thought-provoking presentations but also contributed to the debate from their vast experience. 24. There have been 36 enquiries to resear¢h,' the majority of these have been family history research related, due, in the main, to an increase of members oflhe public becoming interested in family histories during lockdown. The Museum was contacted by 2 academics for research, as well several members of the AGC who were working on a Corps Battlefield Study of D-Day and the wider Normandy Campaign. Financial Review 25. The Finan Committee continue to ¢lini¢ally scrutinise the financial aspects of the Museum assisting the Trustees to better understand their finances and ensuring the procedures are in place lo protect both the Museum and the staff that are employed. Progress has been steady but significant engagement has been greatly assisted by the employment, by the Corps HQ, of a more experienced finance manager whose knowledge of SAGE, VAT, and general accountancy has been invaluable. 26. Policy Development The Trustees have approvèd a program of policy development, the delivery of which will greatly assist the Trustees, staff and those charged with reviewing compliance. This shows the Trustees commitment to following the Charity Commission best pradice guides. 27. Governlng Document Progress on updating the Trust Deed has been frustralingly slow. The original document, dated 21 April 1999, was updated by Trustees but it contained requirement to consult with AMOT on any future amendment. During that consultation rt transpired thatthe majoriiy of military museums had used the nowdated AMOTtemplale and that rather than assist the AGC Museum to go it alone. there was merit in AMOT seeking legal advi on the AGC Museum draft and using that to update their museums template. The Trustees accepted the logic of this approach but have been disappointed by the lack of progress. 28. Letters of Delegation The Trustees letters of delegation lo key personnel and the subsequent scrutiny of paymenls have not only improved the administration of Museum but also revealed areas for improvement and in some cases, cost savings. 29. Budget Screening and Financlal Reportlng The newly introdUd 5-year plan budget screening and in year management processes have resulted in not only greater awareness of the budget at Board level but also increased confidence in the finan¢ial management ofthe Museum. Issues have been identified in a number of areas and resolved and for the first time the AGC Association was able to use the 5-year plan to approve the grant for the next year their Autumn meeting. 30. Internal Audlt. The resoluiion of the Honorary Treasurer internal audit observations is now controlled by Col AK Brown who not only coordinates the adions required but also brief the Trustees of the types of issues that have occurred. The Finance Committee use the issues to make improvements to prevent recurrenGe. 31. Risk Registèr A High-level Risk Register has been adopted by the Board of Trustees which they review as an agenda item al each of their meeting. Any Trustee may recommend an issue for inclusion in the Risk Register. Some of the risks identified weaknesses and the need for further work by the Trustees to mitigate them. Page 6 of 27
AGC Museum Trust Report of the Trustee8 for the Year ended 31 March 2022 32. Cash Flow The Honorary Treasurer now provides a financial report to the Trustees on a quarterfy basis., his reports have moved on from explaining the infomiation in the SAGE reporting and any anomali8S to recommending areas for improvement such as the opening of a 35 day deposrt account for cash flow surpluses and underperfomiing investments. Income and Expendituro 33. Major Sources of Income The total income as at 31 March 2022 was £85.41 K. The majority ofthis cam8 from 2 sources of income- a quarterly grant in aide from the MOD toward staff costs of £61.43K and a grant from the AGC Association toward operating cost shortfall of £19.5K. There are also a number of smaller income streams from interest on investments, donations, research fees, shop sales and the recovery of VAT. Fundraising The Museum has a policy for fundraising activities, including hiring space in the museum for rneetings, bul has not fundraised in this year because of a lack of confidence in the public post COVID and concerns regarding staff safety. No legacies from former m8mb8rs oflheAGC orlheirfamilies were received in this financial year butthe GSPS held an event which raised £1.15K. 35. Expenditure The total expenditure as at 31 March 2022 was £69.16K. The bulk of this expenditure from the museum was for staff costs of £53.18K, pension payments of £2.64K, insurance of the museum and the collection of £2.17K, IT support of £2.22K and accountancy & legal ¢ost5 of £1.1 K. All of the other expenditure did not exceed £1 K and has therefore not been detailed here. It can be seen in lh8 Statem8nt of Financial Activities at the rear of this submission. Excess of Income The Museum ended the year with an unplanned excess of income before gains of£16.25K generated in the main through the knowledge ofthe Finance Manager and a period of closure of the museum through COVID. More accurate VAT accounting also resulted in a greater recovery of VAT. The reduction in the cost of salaries was due lo a claim for employer's allowance of£3.84K in year and admissible arrears Glaims totalling £9.45K. The Trustees decision to sell off the café equipment reduced the cost of maintenance by £1.68K and we received the GSPS donation of £1.15K. 37. Use of Excess of Income This years unplanned éxcess of income will be used to add to the museums reserves to defray the costs of the museum redevelopment and for contingency against any additional staff costs. Page 7 of 27
AGC Museum Trust Report of the Trustees for the Year ended 31 March 2022 38. Histori¢al Review of Financial Performance The historical look at the PvIouS 5 year5 financial performance is shown below. Incomo l Expenditure 31 Mar 17 31 Mar18 31 Mar 19 31 Mar 20 31 Mar 21 Total Income £50k £75.29K £63.63K £84.77K £85.14K Total Expenditure £54K £68.74K £75.44K £79.71K £74.18K ExGe55 of Income ov8r Expenditure NIA £6,55K NIA £5.06 £10.96K ExsS of Expenditure over Income NIA £11.81K NIA NIA £4K 39. Operating Cost Grants. The Museum is subsidised by the AGC Association by an annual grant. Historically there has been no reconciliation process at the end of the year and any excesses of income were kept by Ihe museum. Conversely any excess of expenditure has been absorbed from the museum's réserves. Given the last 3 years large excess of income and the improved budgetary controls, it would be wrong for the museum to continue with this approach. The Trustees have elected to give an annual reconciliation of the previous years spend as part of their bid to the AGC Association and to redu the following years demand on them. Investment Pollcy and Perforniance 40. Investment Management As at 31 March 2022, the museum has in total £79,461.65 invested,. in the Blackrock Armed Forces Common Investment Fund there is £73,720.74 and in the COIF Charity Funds £5,740.91. 41. Investment Objective$ In 2011 the Trustees wanted to establish a reserve that provided quarterly income to the museum to defray the operational cost demands on the AGC Regimental Association and to provide a buffer lo any employment costs that occurred as we took on slaff that were filling posts thal were previously Civil Service. This reserves policy has not changed. 42. Future Inveslmenl Strategy The Trustees have discussed their investment strategy and decided not to change from the existing policy until after the redevelopment is complete. The Trustees plan to hold a series of sessions post redevelopment to develop a clearer understanding of their future financial strategy, reserves and investment policy during 2023 and 2024. 43. Investmènt Returns This year's investment return was a gain of £4,081. The Trustees felt that the performance of Blackrock was satisfactory but that they would close the CCLA account because it had not met their expectations and there were better options for that small investmenl. Page 8 of 27
AGC Museum Trust Report of the Trustees for the Year ended 31 March 2022 Rlsk Management 44. The Trustees now have risk as a standing item on all Trustee meetings. The Museum now have a strategic risk register (which is maintained by the Museum Director and reviewed by the Board of Trustees) and a MO tactical financial risk register (which is reviewed at Finance Committee Meetings). Each risk is assigned to an owner who is responsible for the maintenance of that risk, the mitigation and assessing the probability and potential impact. The Trustees consider each of the strategic risks and give their views on the effectiveness of the mitigation, the probability of the risk occurring and the potential impact. All changes to the Risk Register will be discussed and agreed by the Truee$. Reserves Strategy 46. Reserves Policy A reseNes policy was established by the Trustees in 2011 bècause the museum was embarking on a significant Ghange - the museum staff would no longer be replaced by MOD civil seNants but instead the MOD would provide a quarterly grant in aide to assist the museum in financing the employment of their own staff. The Trustees lack of knowledge of employment legislation was discussed and the possib18 impact. 47. Review of Reserves The Trust8es have discussed the reserves and decided that until the Museum redevelopment project had been completed, the existing resetves policy must not be compromised by over commitment offunds. The reserves policy would continue to be reviewed annually. The total serveS at 31 st March was £225,662 (2021.. £205,330}. Plans for the Future 48. The Chair of Trustees had presented a funding request for a £250K grant with the AGC Association and desprte the fact that there were still administrative complications with getting the lease finalised the AGC Association, not only approved the grant but also removed the previous caveat that it would only be releas8d once the new lease was in place. The Trustees in reviewing the plans for the redevelopment noted the need for a closure of the museum to allow the work to be completed and therefore selected the optimum window of opportunity as Dember to February which would have Ihe least impact upon footfall with grand opening in the Spring. The redevelopment project remains the Trustees highest priority activity. 49. OF equal importance to the museum Trustees is securing the lease from MOD and the adoption of a new trust deed. Significant pressure has been applied to the Defence Infrastructure Organisation (DIOI for the lease and to AMOT for a response to the changes proposed. This will continue and the Trustees have discussed getting legal advice lo proceed with the trust deed without waiting for the AMOT deliberations. 50. Th8 development of financial policies and improved accounting procedures at all levèls has made the accounting more robust without adding eXsSive and unnecessary administration. The Trustees now have a far better understanding of the finances and the consèquences of their decisions and the staff have benefitted from clearer direction and lop cover for their activities. This work is not completed and will continue follow8d by compliance review5 in the years following. Page 9 of27
AGC Museum Trust Report of the Trustses for the Year ended 31 March 2022 51. The Curator and Honorary Treasurer have reviewed the fixed assets of the museum and written off those items beyond economical repair or of no use, or Commercial value. to the museum. There is still more work to do on this but this area but the museums asset recording has been greatly improved. The Trustees have also authorised the Curator to embark on a staged revaluation the heritage property,. this will not only allow a more realistic insurance value but also reveal the flaws in our existing valuation. This work could only be possible because of the assiduous accession recording of the collection by the Curator and the staff. 52. Although the Museum has only 4 employees,. the procedures and polici8S that must be in place for the staff and their management are the same as a large organisalion. In 2011 an employee's handbook was drafted bul this has not been regularly updated. The Trustees have looked at other charities and seen what they have in place and the Chair of Truslees has undertaken to draft a new employment policy for approval by the Trustees and implementation in the next period. 53. The Museum has accreditation high on its agenda and has a programme of reviews for all the documents that form part of the accreditation pro$$ in the next period. Fortunately, rnany of these documents use the templates provided but that should not lead to complacency. Gaining accreditation is a top priority for the Trustees so reviewing all of the relevant documents and policies will be completed on time. The Trustees have accelerated the equipment replacement,, and purchased equiprnent more suilable for the task such as larger computer screens, better printers, heaters and replacement laptops. The Trustees support the Curator's aspiration to improve the internel speed not only to improve the perfomiance for the staff but also modernise the system that has been in place for far loo long. Creating an improved working environment for the staff and giving them lop-down support and encouragement from the Trustees has been welcomed and our retention of our staff remains eXlIent. This work will continue next year wrth reviews of the CCTV system and other equipment due for rePlarnent. 55. Finally, whilst all of those tasks are important, the Trustees have undertaken to update the Museums financial slrategy and resetves policy which will give them, and their major funding sources, a better understanding ofwhere they see the museum in the long tem and roughly how much was needed to achieve their aspirations. Page 10 of 27
AGC Museum Trust Report of the Trustees for the Year ended 31 March 2022 R8fèrence and Administratlve Detalls Name Adjutant General's Corps Museum Trust Charity Number 1075877 Principal Address Corps Headquarters AGC The Gloucester Building Worthy Down Winchester Hampshire S0212RG Bankers Royal Bank of Scotland Lawrie House Victoria House Famborough Hampshire GU17 7NR Independent Examinor Rothmans LLP Chartered Accountants Avebury House St Peter Street Winchester Hampshire S023 88N Solicitors Mr Richard Robson Wamer & Richardson 29 Jewry Street Winchester Hampshire S023 8RR Investment Manager detslls Blackrock UK Charities and Endowments Drapers Gardens 12 Throgmorton Ave London, EC2N 2DL Page11 of27
AGC Museum Trust Report of the Trustees for the Year ended 31 March 2022 Statement of Trusteè Responsibilities The charity Trustees are responsible for preparing the Tw$tees' Report and financial statements in accordance with applicable law and the United Kingdom Accounting Standards (United Kingdom G8n8rally Accepted Accounting Practi). The law appli¢able to charities in England and Wales requires the Trustees to prepare financial statements for each financial year that give a true and fair view of the stale of affairs of the charity and of the incoming resources and application of the resources of the charity for that period. In prèparing these financial statements, the Trustees are required to.. Select suitable accounting policies and apply them consislently- Observe the methods and pnnciples in the Charities SORP, Make judgements and estimates that are reasonable and prudent; state whether applicable accounling standards have been followed, subject to any material departLJres disclosed and explained in the financial statements- Prepare the financial statements on the going concern basis unless it is inappropriate to presurne that the charity will continue in business. The Trustees are responsible for keeping SLrfFicient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (accounts and Reports) Regulations 2008 and the provisions of the Trust Deed. They are responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and oth8r irregularities. The Trustees are responsible for the rna1ntenan and integrity of the Charity and financial information included in the charity's website in accordance with legislation in the United Kingdom governing the preparation and disseminalion of financial statements. Approved by th8 Trustees on Date 2f lu0uper 3072 Signed on behalf of the Board Lt Col (Ret'd} MJR Cotton MBE Trustee & Museum Director Date Page 12 of27
AGC Museum Trust Indap8ndont Examiner's Report to the Trustees of the AGC Mu8eum Trust For tha Year Ended 31 March 2022 Independent examIne$ report to tho Trustees of AGC Museum Trust I report to the Gharity trustees on my examination of the accounts of AGC Museum Trust (the Trust} for the year ended 31 March 2022. Responsibilitlas and basis of report As the charity trustees of the Trust you are responsible for the pparatIOn of the accounls in accordance with the requirements of the Charities Act 2011 I'the Act,). I report in respect of my examination of the Trust's accounts Carried OLrt under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. Indepondant Examinerfs Statement I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving m8 cause to believe that in any material respect.. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or the accounts do not accord with those records., or the accounts do not comply with the appliGable requirements Conrning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an indep8ndent examination. I have no concerns and have come across no other matters in connection with th8 exarnination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Susan Sullrvan FCA ICAEW Rothmans LLP Chartered Accountants Avebury House Sl Peter Street Winchester Hampshire S023 88N Date.. 22 December 2022 Page 13 of 27
AGC Museum Trust ststement of Financlal Activities For the Year Ended 31 March 2022 2022 2021 Unrestricted Unrestricted & total funds & total funds Notes Income and Endowments From Donations and legacies 82,427 82.748 Charitablo a¢tivitles Museum Activities 544 Investrnent income 2,445 2,391 Total 85,416 85,139 Exwndlture on Charitable activltles Museum Activities 69.165 74.176 Net galns on investments 4,081 12,441 Net Income 20,332 23,404 Reconclllatlon of Funds Total funds brought forward 205,330 181,926 Total Funds Carrled Fonvard 225,662 205,330 Page 14 of 27
AGC Museum Trust Balance Sheet For the Year ended 31 March 2022 2022 2021 Unrestricted Unrestricted & totsl funds & total funds Notes Fixod Assets Tangible assets Heritage assets Investments 4,192 80,244 69,639 10 11 80.244 73,720 158,408 154,075 Current Assfrts Stocks Debtors Cash at bank and in hand 12 13 14 994 17,393 50,710 1,094 2,835 49,629 69,097 53,558 Croditors Amounts falling due within one year 15 11,8431 12,303) Net Current Assets 67.254 51,2S5 Total Ass•ts less Current Liabilitigs 225,662 205,330 Net Assets 225,662 205,330 Funds Unreslricled funds.. General fund 16 225,662 205.330 Total Funds 225,662 205,330 The financial statements were approved by the Board of Trustees and authorised for issue on ck2tand were signed on its behalf by.. Lt Col {Ret'd) MJR Cotton MBE- Trustee Page 16 of27
AGC Museum Trust Notes for the Financial Statements For the Year ended 31 March 2022 Accountlng Policies Basis of preparing the Financial Statements The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordan with the Charities SORP IFRS 1021 'Accounting and Reporting by Charities.. Statement of Recommended PraGti¢e 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 20191,, Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, wilh the exception of investments which are included at market value. The financial statements have been prepared to give a 'true and fair, view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair vieW. This departure has involved following the relevant version of the Statement of Recommended Pra¢tice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102} rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn. The financial slatements are prepared in sterfing which is the functional and presentational currency of the Charity. The financial statements are rounded to the nearest pound. The Trustee5 consider that there are no material uncertainties about the charItS ability to continue as a going Gon¢ern and these accounts are prepared on a going concem basis. The most significant estimates affecting these accounts are the estimations of the useful lives of the fixed assets and heritage assets. There are no significant judgements which affecl the amounts recognised in the financial statements. With respect to the next reporting period, the most significant areas of uncertainty that affect the carrying value of assets held by the Charity are the level of investrnent return and the performan of investments. Income All in¢ome is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, rt is probable that the income will be received and the amount can be measured reliably. Grants from other agencies, donations and other income from activities are in furtherance of the charity's objects and are part of the general funds of the charity. A restricted fund is recognised where this is an agreed and explicit condition of the grant or donor. Expenditure Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation Committing the charity to Ihal expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all Cost related lo the category. Where costs cannot be directly attributed to particular headings, they have been allocated to activities on a basis consistent with the use of resources. Page 16 of 27
AGC Museum Trust Notes for tha Financial Statements For the Year ended 31 March 2022 ACCOUNTING POLICIES - continued Governance Costs Governan costs are the costs of professional advice, holding trustee meetings or committee meetings associated wilh decision making, any fee for audit or independent examination and any fee incurred in the preparation, statutory filing, printing or copying of the annual report and accounts. Allocation and Apportionment of Costs Support costs include administrative and govemants costs and are allocated to the activities the Charity undertakes in proportion to the level of resources utilised by 6ach activity. During the ¢urrenl and previous years all expenditure incurred by the Charity has related to the single activity of the goveman¢e of the AGC Museum. Tanglble Flxed Assets All assets having a purchase value of more than £500 are capitalised. The cost of tangible fixed assets are written off by equal annual instalments over their expected useful lives using the following methods of depreciation: Fumilure, fixtures and equipment - Straight Line over a period of 2 - 10 years Assets with a life of more than one year but with a purchase value of below £500 are included within the inventory but the cost is written off in the year rt is incurred and is not depreciated over the useful life of the asset. Heritage Assets In the course of the unit's history, the charity has acquired gifts, memorabilia, regalia, silverware, antiques and other historical artefacts in the course of distinguished military service in service of the Crown. The value of these pieces is in large part derived from their close association with Regimental history which precludes the use of conventional valuation techniques being applied. Whilst the objects of the charity do not specifically include preservation and conservation, the pieces represent an essential element of lebrating the unit's history and foster esprit-de-corps. Consequently, the managing Trustee considers the charity to hold heritage 8s$ets as an element of national history on behalf of the nation. Heritage assets are initially measured at cost. Assets which are donated to th8 charity are measured at valuation wherever this can b8 reliably estimated. The initial valuation of donated assets is subsequently treated as the deemed cost of the asset therefor8 these accounts present all assets at cost less depr8ciation. Assets are depreciated over their useful èconomic lives, however in the Trustees, opinion, all of the assets currently held by the Trust have infinite lives and are therefore not depreciated. The Trust's heritage assets are managed by the Trustee5 of the AGC Museum Trust and are displayed for public viewing at the AGC Museum in Winchester. The Museum Curator maintains register of all assets which have been acquired by the Trust. including the source of each asset, the date of acquisition, a briet description of the asset and its acquisition cost or value. Stocks Stocks a valued at th8 lower of cost and net realisable value, after making due allowance for obsolete and slow-moving items. Taxation The charity is exempt from tax on its charitable activities. Page 17 of 27
AGC Museum Trust Notes for the Financial Statsments For the Year ended 31 March 2022 ACCOUNTING POLICIES - continued Fund Accountlng Funds held by the Charity are deemed to be.. General Purpose l Unrestricted funds. These are the funds that can be used in accordance with the charitable objectives at the discretion of the Managing Trustee. The Charity does not cuentlY have any Restricted or Endowment funds. Penslon Costs and other Post-Retir8ment Benefits The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. Donatsd Goods, Services and Facilitios Donated goods, services and facilities are recognised as income when the charity has control over the Item, any conditions associated with the donated item have been mel, the receipl of economic benefrt from the use by the charity ofthe item is probable and that economi¢ benefrt can be measured reliably. On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain setvices or facilities of equivalenl economic benefit on the open market,. a corresponding amount is then reco9nised in expenditure in the period of reGeipt. On receipt, donated goods are recognised at theirfairvalue. Goods donated for on-going use by the charrty are recognised as tangible fixed assets, with the corresponding gain recognised as income from donations. Investments Investments are a fomi of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as al the balance sheet. The Charity's investments are held in unit trusts and the fair value for these investments is equivalent to the market value, using the bid price. All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the drfference between the fair value at Ihe year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities. Page 18 of27
AGC Museum Trust Notes to the Financlal Statements - continued For the Year ended 31 March 2022 Donatlons and Legacies 2022 2021 Donations Grants 1,494 80,933 67 82,681 82,427 82,748 The Charity is provided with Museum facilities within the Peninsula Barracks and administrative supportfrom Army personnel within theworthy Down Army Camp at no cost, No income is included in these financial statements for these donated facilities as it is not possible to reliably measure the value of these grfts. Grants reived, included in the above, are as follows.. 2022 2021 Arniy Museums Ogilby Trust AGC Regimental Association 61,433 19,500 64,681 18,000 80,933 82,681 Investment Income 2022 2021 Dividends Received Deposit account interest 2,443 2,367 24 2,445 2,391 Incomè from Charitable Activities 2022 2021 Activity Museum Activities Shop income 544 Charitable Actlvltles Costs Support costs (see note 6) Direct Costs Totals Museum Activities 57,868 11,297 69,165 Page 19 of27
AGC Museum Trust Notes to the Financial Statements - continued For the Year ended 31 March 2022 SUPPORT COSTS Governance costs Other Totals Museum Activities 9,430 1,867 11,297 Accountancy and legal fees relate solely to the fees due to the Independenl Examiner, Rothmans LLP, for the independent examination of these accounts. Support costs, included in the above, are as follows.. 2022 Museum Activities 2021 Museum Activities Office & admin costs Insurance Repairs and renewals Telephone & internet Postage and stationery Sundries Security Travel & Subsistence Depreciation of tangible fixed assets Loss on Disposal Refreshments and meeting costs Bookkeeping Accountancy and legal fees 30 2,176 1,765 2,222 13 1,664 528 1,567 206 270 87 35 877 153 104 98 166 1,084 742 585 1,125 11,297 6,957 Trustees, Remuneration and Benefits There were no trustees, remuneration or other benefits for the year ended 31 March 2022 nor for the year ended 31 March 2021. Trugtees. expenses There were 4 trustees who were reimbursed expenses of £543.04 for the year ended 31 st March 2022 (31st March 2021 £Nil). Page 20 of27
AGC Museum Trust Notes to the Financial Statements - conllnued For the Year ended 31 March 2022 Staff Costs 2022 2021 Wages and salaries other pension costs 53,180 63,921 55,817 65.941 The average monthly number of employees during the year was as follows.. 2022 2021 Museum Staff No employees received emoluments in excess of £60,000. The charty considers the Board of Trustees lo be its key management personnel. No Trustee received any remuneration for services to the Charity in the current or previous year. Tanglble Fixed Assets Fixtures and fittings Cost At 1 April 2021 Additions Disposals 195,330 3,007 (6,140) st As at 31 March 2022 192 197 Depreciation At 1 April 2021 Charge for year On disposal 191,138 1,548 At 31 March 2022 187,753 Net Book Value At 31 March 2022 4,444 At 31 March 2021 4,192 Page 21 of 27
AGC Museum Trust Notss to the Financial Statements - continued For the Year ended 31 March 2022 10. Heritage Assets Total Market Value At 1 April 2021 and 31 March 2022 80,244 Net Book Value At 31 March 2022 80,244 At 31 March 2021 80.244 The charity accounts for all Heritage Assets at cost18ss depreciation. Assets with indefinite useful lives are not depreciated and are subject to periodic impairment reviews. Summary Analysis of Horitago Asset Transactions There have been no heritage asset transactions in the last 5 years. Heritage Assets not recognised on the Balance Shoet The museum reserve colleclion consists of 60,000 items comprising photographs, documents, objects and uniforms all of which relate to the hislory of the antedentS and current Corps. These items are unique lo the history of the Corps but the majority of the ilerns do not have commercial value. The accounts include only those items which have been acquired at a known cost. The remainder of the collection has not been recognised in these accounts as infomiation on their cost or valuation is not available and such infomation cannot be obtained at a cost commensurate with the benefit to the users of the accounts and to the charity Page 22 of 27
AGC Museum Trust Notes lo thè Financial Statements- continued For the Year ended 31 March 2022 11. Fixed Asset Investrnènts Listed investments Market Value At 1 April 2021 Revalualions 69,639 4,081 At 31 March 2022 73,720 Net Book Value At 31 March 2022 73.720 At 31 March 2021 69,639 There were no investment assets outside the UK. Investments consist solely of investments held in unit trusts or other collective investment schemes. 12. Stocks 2022 2021 Shop Stock 994 1,094 13. Debtors: Amounts Falling Due wlthln One Year 2022 2021 Other debtors VAT Prepayments and accrued income 9,990 156 7,247 18 2,817 17,393 2,835 Th8r8 are no amounts falling due after more than one year. 1& Cash at Bank and In Hand 2022 Total funds 2021 Total funds Cash in hand Bank current account Bank deposit accounl 70 34,898 15,742 40 43,849 5,740 Total 50,710 49,629 Cash at bank and hand is a financial asset measured at amortised cost. Page 23 of 27
AGC Museum Trust Notes to the Financial Statements - continued For the Year ended 31 March 2022 1S. Creditors.. Amounts Falllng due within One Year 2022 2021 Credit card liability Accrued expenses 159 2,303 1.843 2,303 The are no amounts falling due after one year. 16. PJlovement In Funds Net movement in funds At 31.3.22 At 1.4.21 Unrestricted funds General fund 205,330 20,332 225,662 Total Funds 205,330 20,332 225,662 Net movement in funds, included in the above are as follows.. Incoming resources Resourees expended Gains and losses Movement in funds Unrestricted fund8 General fund 85,416 169,1651 4,081 20.332 Total Funds 85,416 69,1651 20 332 Comparatlvos for movement in fund$ Net movement in funds Al 31.3.21 At 1.4.20 Unreslri¢ted funds General fund 181,926 23.404 205,330 Total Funds 181,926 23,404 205,330 Page 24 of 27
AGC Museum Trust Notes to the Flnancial Statements - continuod For the Year ended 31 March 2022 16. Movem•nt in Funds - contlnuod Comparativ& net movement in funds, included in the above are as follows.. Incoming resources Resources expended Gains and bsses Movement in funds Unrestricted funds General fund 85,139 {74,176) 12,441 23,404 Total Funds 85,139 74,1761 12,441 23,404 17. Rolated Party Dls¢lo•ure8 Whilst the Charity has a close working relationship with the Amiy, there are no transactions with the Army which require disclosure under SORP FRS102. The only transactions made in favour of the Trust are wholly allributable to the charitable activities of furthering military efficiency. The Chairman, who a¢ls as Managing Trustee, is a serving officer and fulfils th• role as Trustee in awordanGe with the applicable laws and regulations. During the year ended 31 March 2022 the charity received grants totalling £19.50012021.' £18,000) from The Adjutant General's Corps Association (charity no 11852981. The AGC Museum Trust and the AGC Regimental Association have several trustees in common and trK*th Charities have the obj'ect of promoting the efficiency of the Adjutant General's Corps. Page 25 of 27
AGC Museum Trust Detalled Statement of Financial Activities For the Year ended 31 March 2022 2022 2021 Income and Endowmonts Donations and legacles Donations Grants 1,494 80 933 67 82,427 82,748 Investment income Dividenés Received Deposit Account Interest 2,443 2,367 24 2,445 2,391 Charitable aGtivlties Shop Income Total Incoming Resources Expenditure Charitable activities Wages Pensions Advertising Shop purchases Stock Contribution to RAPC Conservation Costs Administralion & Education Membership fees Exhibition costs Projects 53,180 2,637 129 100 139 536 150 804 63,921 2,020 156 799 238 85 186 57,868 67,219 Support Cosls Other Office and Administrative Costs Insurance Repairs and Renewals Telephone and Internet Postage and Stationery Sundries Security Travel and Subsisten Depreciation Fixtures and Fittings Depreciation Computer Equipment Loss on sale of Café Equipment Refreshments and Conferencing Costs 30 2,176 1,765 2,222 13 1,664 528 1,567 206 270 87 35 877 153 104 98 829 719 166 1.084 9,430 5,247 Page 26 of 27
AGC Musèum Trust Detalled Statement of Financial Activitles For the Year ended 31 March 2022 2022 2021 Other Governance Costs Bookkeeping Accountancy and Legal Fees 742 585 1,867 1,710 Total Resources Expended Net Income before Gains and Losses 16,251 10,963 Reali8ed Ro¢ogni8ed Gains and Losses Realised gain{lOsSes) on Fixed Assets Investments Net Incomel{Expenditure) Page 27 of 27