2023-08-31-accounts

Docusign Envelope 10.. 8A942F7B4C3F4CW8AC4-94D95IAAOEFZ Re8i5tered numb¢r.' 03801729 Charity numb¢r: 1078804 The Art Academy (A Company Limited by Guarantee) Trustees, Report and Financial Statements For the Year Ended 31 August 2023 'AD4ALl￿5" 3110512024 COMPANIES HOUSE A15

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DooJSi9n EnvthFe 10.. 8A942F7B4C3F4L￿8AC4-940gS%WEF2 The Art Ae*demy (A C•rnpany Limited by Guarantee) Cont¢Tht5 P•ge Reftrtnce arml adminimrarive dciails of ihe Charity. its T￿￿eeS and advisers TrusteE5' r¢tKKt ltydepcndtnr auditOTS' report on the financial yatements Sthtemcnr of finarKial activitie5 10- 12 13 Balance 5heei 14 Stsiefflent of cash flow5 10 the fjhantial $tarern¢nts 16-30

Doctssign En¥ebpe ID." &4942F7&4C3F4O6(￿￿4¢4.9409s3AAoEF2 The Art Academy (A Company Limited by Guaranlee) Reference aThd Administratiye Deiails of tht Charity, its Truste￿ #nd Adviser5 For the Yer Ended 31 August 2023 Trust¢¢s D J Fennell M R C fjerlis K GoTdo J C Littler A Bright lappoint¢d 6 July 2023) P Mulholl8nd lappoinied 6 July 2023) R Pep￿T {•ppoinied 6 July 2023) TGledsion¢ (appoinied 9 November 20231 A Cusii$ {pp)inLed 28 SeNetnbEr 2023) A Apalala (apw>iiiied 6 July 2023) P R Kullich {tesigned 9 June 2023) D J H Wright (resigned 9 Jun¢ 20231 P J Harris Ire5igThcd 30 Jun¢ 2023} S Kisielewska Inti DunbaT) (apwinted 6 July 2023. resigned 7 DecEmber 20231 Company regist¢rvd 03801729 Ctharity regijtered number 1078804 Regi51ered oifitt MeThnaid Court 165a Borough High Srreet London SEI IHR Company $e¢retry S M A Zghcdi Key Monagemethi Person•Jel Rob Pep]kr- Printipal Sue Spaull- Dirtcior ofpmgrammes GeofThomp50n- Dircior of 0￿ratIOnS Sophie Sin8h- Dittcior of Dtvelopmen Darren Nairn- Direcror of Academic Quality. Sndards and Sttthi ExwierKe Independeni auditors UHY Hacker Young Chartered Accountants Tharnes House Roman SquaTC SitlingtrA)urne Keni MEIO 4BJ B¥nkeT5 Naiwest Bank PIC 250 Bl51￿p5ga1t Spitaifields Lothth)n EC2M 4AA Pa8e I

Docusign En¥eknpe ID.. 8A942F7￿C3F4C￿8Ac&g41)g53A￿oEF2 The Art Academy {A Compgny Limtted by G￿arantee) T￿Slee5, report For the year eThdtd 31 Awgwst 1023 l-lie Trusiets present Lheir annual rtrA)rt IOEeiher I￿1h ihe awjiied fina￿la1 Yaiwn¢nt5 of iht ChaTity for Iht ytar I Sepltmber 2022 to 31 Augusi 2023. The Annu•l Re￿rt serves ihe Pur￿Se5 of bDih a Trusrtts. rtport and 8 dirtctors. repon ond¢T companv law. The Trusiees confim) Ihai Ihe Annual Repon •nd financial sthi¢m¢nis ot'ihe chariiable compan), complv iyiih Ihe cuvrcni siatuiory rryuIr¢[nen￿, Ihe r¢quir¢menis ofih¢ charitable cotnpanYs £oYerning dowm¢ni 3nd ihe provi5ion5 of the Stsiemeni of R¢comrn¢Dd¢d Pr￿litt ISORPI applitable 10 £haTilies prtparing Ihtir aceounis in ac¢oidaEJte iyiih Ihe FI￿￿tial Reporting Standard applicable in ihe and R¢ptyblic or1￿18￿d IFRS1021 l¢ff¢aiv¢ l JaTr¢wv 2019). Since Ilie aiarilv qualities as &nall under seciton 382 Ol-lhe Companie$ Ati 2006. Iht Siraitgic Report rtyuired ol'medium and larRe companie5 under the Companie5 Aci 20(K (Sirai¢gic Report and D¢reciors' Rtpon) Regulaiions 2013 has be¢n omiiied. srRucfvRE. GOVERNANCE AND MANACEME14T Covernifjg document The An Acadernv 15 rc8151trtd as a tharitsble company limiied by guarantee and iva5 set up by a Twusi dttd. Tht charity'5 rules of govtTnanct are %1 Oul In lis memorandum and anicles ofa550riaiion. In Ihe tv¢DI of ihc company ivinding up. IlTr¢ liability of ils membeTS is limiitd to paying in £10 carh and thi5 obligalion conlinue5 10 hold for a year folloiving any resignaiion. The only member5 are ihe irnsiees. Or¢Anlsaiiono1 struttur¢ Th¢ Art A¢ad¢mY 15 l¢d by Rob¢rt P¢pper a5 PrirKipal and lis uecuiive ie4m mède tsp of Sue Spaull, Direcior ofProBrammes' Darren Nairn. Direcior of Atadeniic Quality. Stsndards awj Siudeni Exp¢ricnc¢: Sophie Singh. Dircaoi ofDeveltrpmeni & G¢of TIioTnpson. DIr￿lOr ofoperniions. They art supponed bv a mdnag¢meni i¢am of Georgina Roiylartds. Academic Programme Mana8er. Mhairi M¢Ghee, Public Programm¢ Manag¢r' lrfaan ShaiTrh: FinwKe Manager Jan¢ Latrf)rie, Ormims Managerand Libet1y Rowley.. Mark'¢iing & Communi¢aiions Manager. Meihods of appointment or titction o(Trusttes Tril￿tt$ tyr¢ advised of iheir dillie5 as iYtII as lh¢ hisory arwj pre5tni siiuaiion oftht chariiy btfore they join Ihe trrfjard. Policits procedures adopied for the ind¥tiwn and ¢Tiiiog of imttts Training and induction Is for nciv Irusiee5 bji will depend on IbeiT Cxisting tspuitllct. Whtrt ncccssary indu¢iion iyill providc iraining on charily legal and finanrial maiicf5. All neiy irumees Ivill be given a iour olihe Academy atid ihe chaTrre io meei M'iih 51aftand Sliiden15. All IruMe¢s are pTovid¢d iyiih copies of wlicits, ptocedur¢% minuies accoun￿ bwjgcis. plan4 and oihcr docurnenis Ihai Ihcy vill n¢¢d io ￿r￿ertake (heir role as iNsiee5. Pay policy for key ma•Rement personnel A rcmun¢Talion tommiiiee i¥iih membtrs ofihe bDard of irtsskes has noiy sa up and iyill med 10 sd iht pay poliry for k¢y personnel. R¢liitd prty relation$hip$ Ai ¢¥h iry￿¢¢5 medini arty relaied party Infom￿110ft is diseloxd. Risk m4nagemtrbi it Irusiees liaye a duty io ideniify r¢vicw ihe risk's io iithich Iht charity 15 exposed and 10 cnsure appTopriaie ronirols are in place 10 provid¢ r¢a50nable assuran¢e againg and ¢rror. ManDgtm¢ni tondua an annual risk asscssmeni and regularly c(nmuthicaie Iheir fLndings io irn#tts in nithin85. Page 2

DocuSvJn En¥doFe 10.. 8A942F784C3F4tA¢WC494095WOEF2 The Art Academy (A CompAny Limited by Guarantee) Trn5tets' report For the year ended 31 Au%u$i 2023 Tlie safely of Ihc $tudcnis is reviewcd regularly by th¢ ACade￿y-S Faciliiie5, Htallh & Safety Comminee. lis Diredor of Opcralion5, racililits Manasti, Ttthnitians. and Tuiors. Individual Mudtrtl traininE in the use of h￿r￿(b￿S maitria15 and machincr), is recordtd by Iht Technicians. OBJEcfJvES AND ACTIVITIES Policie5 •nd objectives The Purpo￿ of Tht Art Acadctny is 10 in5pirt and iiplift stKi¢ty ihrough arf and an educaiion. and io provide access 11) art e%p¢TiencL% for all in ihe community.. The motto of The Art Acadcmy is'Creaie- M￿er. It)spire'. Alms To coniribuie 10 the creaiioth of &feai itrorks of art. by providing the highesi Mandard of tdutalion 10 ￿￿dellts iirishing 10 bteomc profe55ional arti￿5. by givin8 £T¢aiiv¢ opponuniii¢s io Ihe ivid¢T community aThJ by encouraging debJi¢ around ihe praciice and principles ofHigh¢r EducaiioTh in Fine Art_ Th¢ %raie8ie5 ¢niplÉTryed by ih¢ Acadernv lo xhieve its aiffls inclwje.. Confftanily 10 imwovt all 115 £oiiises: in ￿n¥t￿ls￿ ihe BA in Fine A￿ in t)rdtr 10 rrnij) $ludtnis lo btconit professional arti&s capable of pr￿jU¢l￿g cxcell¢ni work. OffeTing a pro8ratnnie ofieaming iviih uniqut aiiribui¢% totnbining iniensive skills iTining ivith ereative aiid PTofessiono1 ¢velopmeni. St¢king oui and wgaging th¢ b¢4 possTrbl¢ iuiors, ttsid¢nL ani$ts, aThd Maff its supp)rt the stud¢Dts in iheir l¢arninK. Siriving 10 make ils programmes ai all levels acce55ible 10 lh¢ 1vidc￿ possiblt a¥ditnce by k¢tpins any incre￿¢ in ftts I ieasonable Icvel and olyering flexiblc wyment Tcrrr)s and atrcndan¢e wdlterns lo accoiiimodaie ihose on loii. income5 or siudtnis whose circiimManees thanse afitr entolm¢ni. Offering studen14 ivhen p0$5ible, t￿￿One$ ro aid in financing ih¢ir cour5¢S. OpeTaiin8 a brivad and open admission5 wklicy io enc￿r&Re diversity ith our siudeni Fxwjy. Cr¢aiinB th¢ besi lurning oppoNuniiie& we caTh through a progratnm¢ desi8n¢d wilh ih¢ h¢lp of prof¢55itsnal anists and insiil11lions thnd (yne Ihal is governcd by Ihe hiOsi academic Stsndards. Broad¢thin8 the ouirexh iYiHi' Iviihin SouihwarL. by providing cxpert An Acadony iuiiion to locil art ¥T(IUP5 al no charge. Throu8h Ihe ivork of tht Resrarch. ScholaT5hip athd &hi¢5 ComTnitt¢¢ The ATi Aca(lemy iyill #dd io iht di%our5t OTDund Ihe principles of fint art prdtlict and lis ￿ls11￿M5hlp 10 hightr tducaibtin. Principle5 Creaiing an environnKnt our siud¢nis can experimeni. T¢￿reh. 8nd Itarn from the ksi atadcmic, aTllSliC, and philosophical prJciilioncrs 50 w¢ can dev¢1￿ visionary ¥nisES WIM) will b¢ the creaiive thinkers ofEk fulur¢. Developin8 trtaiive skill& Ixyh ETadiiional coniemporary.. io WPF4)n a *udeN"s freed(xll of expression. Ertcoiirdging stud¢n15 10 undcr5Mnd ¢onsidcr ¢qually I￿ and skills Ihal hay¢ go￿ inio ih¢ crcaiion ofall artiYthrk'$ in any m¢dium. Itadilional atMI tonlem￿￿ry. Traininx every iodtvelop a ¢rilieal ond sponianeous treaii¥¢ ptocess i¥hith allDWS ih¢m io be Irue 10 Iheir ¢rtaiive vision. PaKe 3

Do¢uSign Envelope ID.. 8A942F7PAC3F4W4AC4910953MCEF2 The Art Acd¢my (A Company Limited by Gwrantee) Trustees, report For the year ended 31 Augv5t 2023 Helping.sludcnts lo undersrarwj the art rnarka and th¢ workj of IIK prof¢ssiffial arti￿ lo enabk ih¢m 10 make informed choices Iviihin Ihtir creative prauice. Providing a supportiY¢. vibrani: ecleaic artiMi¢ wmmuniry ￿there crraiivity can bc nunuT¢d. A¢tivilie5 The An Academy provides • iYi(k-r8nginE ptOBTamme of an ¢ducaiion T0￿ed in ihe vision and ex￿lenCe of 115 foundinx Principal. otnbinin¥ ihe virtves org skills.bas¢d 3ppreniic¢ship iyiib the breadih and ¢niell¢ciyal siimulaiion provi¢Jcd by a London colleg¢. The ylt of tducaiiort on olTei Itquirts mort commiimeni from ils luiors ihan is iyidely available. In Sdling objective5 and planning for aciiviiics, Ihe Truyces have given du¢ consideralion 10 8¢neral guidancE published by Ihe Charity Commission relaiing 10 public btnefil: IMtludith8 tht guidthntt'PublK bencfil." ruthrbirtg J ¢harily (PB21'. b. Strategie5 for a¢hieving obj￿1ve$ The Art Academy is passiorbaie aboul chHrnpioning art forall. W¢ beli¢Y¢ ev¢rvone sh￿Id have attess ID high-qualily art edutaiion. Yiih w finan¢ial. physical. QT prJciiral barri¢rs. Led by an ¢YeCUlivt itam Ih81 have m￿Y ytsTS of txptrienct ofbtyh pracii¢in8 aft. leaching art. arTrd tunning businesses their knowled8e fillers doivn io a dynarnic managemeoi i¢am and junior itam and a lU￿r trfxly of over 100 prdciicing wi￿$. by Principal Rob PcpF¢r. The An Academy is increa5in8ly iaking a leadership role in thampionin47 ihe importance of arts educaiion nd Supporting art$ educators Il¥liorbalty. t. Activilies urtdertlken to achicvE obj¢ciives We offer art cour5e5 for ¢Y¢ry ig4 Icvels of 5k.ill and need- frorn 8 BA and FO￿¢jaIlOn Degrte io evening, Ive¢k¢nd. and Short courses in numerou5 di5eipIiT>ts sueh os painiihg_ priJJlin> rI)e￿I}yOrk & xulpture. ThEre is also A ivide-ranging ouireath progrdfflme ihai brings art ethjcaiion ro Ihose Ihai may ￿herWISe not be 8ble io enjoy the benefil d. Social inve5trnent polieie5 Over Il)e l)$1 15 ytars Ihert has bttn a dcclinc in Iht numbtrofchildren iak'ine arts subjecis.. a rcduclion in arts le8ching hours.. and f¢iver art5 i¢achers employed in schools Beyo￿ school: Infornitsl prtrBrammes lor young ptoplt havt sufftred due 10 tuls in loc¥1 guihority f￿dS and %ryice% and r¢(¢ni year5 ihe ￿ld￿rang1￿8 impa¢is ofihe pand¢mK have iren PTOtound. Th¢ Art AC￿erny b¢lieY¢s ihai in rhe UK Ihert is a rdpidlv increasing netd forqualii), arts educaiion. Therc is now a large body of ¢vid¢nce rt¥2rding lh¢ benef1￿ oran in reimaginingeducaiion for Iht 21M Century so thai li'e can all build a bElt¢r i¥orld. It 15 Ihi5 evidence that drives vs. W¢ e%i# 10 tmrthver visionaTi¢5 Iht M5 10 dtvtlop Ihtir oivn cr¢aiiv¢ pr?ciir¢$ and io be¢om¢ atiivt inenibeT5 0(Ihtir communily Wt leach an in a iTr-ay ihai can cmpower individua15 froni all iYalk-5 of life, 01 every ase. 51agt and kvel. We hav¢ sten firsi-hand ihe elyeci Ihji our arts tducali4)n can hav¢ on an indiv￿ual's rr¢alivity self-tsitcm arbd Yision ofstir. We have proverb Ihe success of OUT oulrexh pr4Trgramtn¢$ and now is Ihe iimc 10 T￿h mwe people. Our sludrnls are div¢r5c and united by J shrtd dhos Ihai lin ans educaiion is tsseniial 10 buildbng a beiier ivorld. We lake pride in havin¥ tdiicaied over J5:000 SLuden15 ov¢r ihe past 24 year* In rhe l¥a year alon¢. Iv¢ 3:(XX> SI￿¢n[s. Our ouireach prografflrnes hclp makc art ￿U¢8$10n acccssible lo Iht widtr cotnmunily wilh over 4(M) public t(rf]tses a yeaT. Pa8e 4

Docusyn En¥elope ID.. 8A942FT￿c3F4Cffj￿c4-94O9S3AAOEF? The Art Audemy (A Company Limited by Guranlee) Trusttes. report For the yer ended 31 August 21123 . Main #ttiYitie5 und¢rtxkeA to further tht Charity's prpose5 for th¢ pwblit benefit it Art Acadcmy offtrs somdhing disiinci and irtTthsingly Tare". Ihe btm of i Iradili¢)nal aielier Combined wilh the vibr8thcy and diversity ora coiiitmporary art SCIM￿1. This foun¢Jing principle Still differeniies us ioday. All our luiofs are praciisirb8 atlists and specialisis in thcir fJelds_ We offer luiiion in core artislic skills, Whil￿ chall¢n8ing Siudtnls 10 dtvelop Iheir oivth praciice irbf•Tmed by tonitmporary pr(￿eSSeS and iheorv. Wt PTeserv¢ sk'i115: 1vh1￿ btlicvin8 ihai affl never 51ands Ort our acadcmic courses ive are Pfwd 10 offer iht highest nutnkr ofconiati houis of ￿Y higher tducaiion •rt school in ihe UK. In small 8roup4 ￿uden15 ar¢ Euaranleed a minimuni o(15 ho¥TS per ii'e¢k in our BA and Foundaiim program. M'iih ihe opiion of mor¢ Thi.5 minimum is five iimc5 ilie ZrnDuni received on a comparable BA 01 Iht UK"s leading iniiuiions. llii5 personal approach ¥llow5 (kur slud¢nl$ the lime 10 m4sl¢T cor¢ aniic skills arKI unlock iheircruiiye poicniial. We 0150 rw) OV¢T 400 shon COUTXS a y¢ar from young artisis through ￿ m￿ercISsses. ACHIEVEMENT APID PERFORMANCE Min Aehtevem¢DiS of Iht ChArity In summcr of 2022 The Art Acadcmy reYalided its Higher Ed￿ation pro8rammcs iviih Ihe Op¢n University. Thi5 validaiion ivill las1 for five )'ears and gil'es us ihc security of Doiv being able 10 apply io join iht for ￿￿￿entS. A nciy course lia$ been validaied iviih a BA in Con1¢M￿rary PonrniiuT¢ having launched in Sepiemkr 2022. In prtparèiion for Registuing iviih the OffKt for Siudcni a motk rtview look place iwih OFS ins￿l0rS ii,hich has heltxd prtparc for Ihc upcomin8 iThspeciion in 2024- 2025. The Art AcJd¢mv's short cour5¢ provision coniinu¢s 10 be verv well gn¢nded wilh over 3(MX) 4thnis ￿udying iviih (kspiic more rKople iyorking from home footfall on Bom¥gh High Sireei being a ihird ofpre-panthmi¢ nUm￿r5. Many of our BA gradual¢$ h4ve coniinu¢d their prdthite or hayc gorbE onio 5wdv wi MA Fine An ?1 many nfihe lop uniir¢rsjijes. A ncw biiilding lias stcured athd Icasc signed for 2) years ai 185 Park Sircel: Ihis building is 51cp frcc and ivill be fully Equalilies Aei Compli8￿ meaning Ihai all ihe courst and 5paets ivill be cessiblt 10 ivhrtwei Ivanls io aiiend Iht ci)urses. b. Key performance indic•tors The k.ty pttforniJnct indicaiers since the panknit have b¢en bascd aTQUY)d ¢nsuring ￿￿nce bxk in g su51ainablt ivay and niakinE sur¢ Ihai fundraising plarts are in place 10 ensure movt inio a neiv buildin£ and also 10 help fill Ihe loss ofithtome due lo the pandemic losses of siud¢nis. The Aea(kin), has successfully ￿Validated ihe HiKhei Eduull￿ iyiih lh¢ Universiiy. and ivill bt appl)'ing io join ihe Oilice lor Siudenis in 2024. A n¢iY lease has king signtd a PTimc locaiion rbtxi io T81e Modtrn il'iih Iht money sccured 10 l'il oul Ihc building. Review of activitles Thr Art Aradcm), has iiveDiv years. txperien¢e leachin8 art. We know Ihe valut of Iht edu¢aiiM wt o(rtr. O￿T iivo decades iyc hgvt Eroivn wiihoul EQV¢Tninenl inYeSlnKni and lymii¢d fundraising. folloiying ihc drop of inrotnt cau5fd by ihc pandtiiiic a neiv Slr3lt %¥as pursued bastd on levern8in8 our cofftttbunity to build a pam)n scheme alongside grdnl ivriliTrg io raise funds for a neil, tllmpus. Moncy and lim¢ i¥as inveed it) Ihc projtti a nei¥ Cundraisirbg tliaiT ￿Ing appoinied iii Mav 2022. Naiasha Kaplinsk>' onered 10 lead Ili¢ (undraisin8 campaign on th voluntary b&sis and a ￿rther commiiiee iyas fomied wii11 a focus on lioing a large fundraising aiiciion ai Chrislie s in May 2023, Ihis raised in Ihe region of£200,0(X) shoiving Iht dmaz¢n¥ siipport ofihe An Academy Commiiniiy. This 1.% alongsidt a numb¢r ofpalTon s Ihai hdV¢ pkdg¢d an￿nIS rdngirbg Ironi £lO.000. £IOO,IW. PaKe 5

DocuSi9Th En¥elcye ID.. 8A942F7B4c3F4t￿lWI￿9lo95JwEF2 The Art Academy (A Cornpany Limited by GuaraDte¢) Trustees. rep•rt For the yeAr ended JI August 2023 Tlit Ac8demic ¢QUTse thumbtws hav¢ yd 10 see ihe nUTnb¢r5 pr¢ parKlemi¢ alihou8h thai is no%v sianin8 10 thange. The Public courses coniinue io be ivell anended all￿￿£h IhL p•iierns are difftrtni due 10 Ihe COM of living crisis. Di￿re110￿￿r), spend is limiied ID cheaper shorter course5 arc rnore wpular than Ihe loThg¢r expensiv¢ ones. There is 51111 8 sirong demand for YwThg Anisi cour5¢5 85 Iv¢II as ¥ DutnbEr of cour5¢s being purch&%¢d dir¢aly b). ¢ompani¢s fortheiT employee5. A long-i¢nii bvilding p13n has beeri pyi in place w?Ih Strong from high-l¢Y¢l SEakehDldcns in¢lydin£ develop¢r5 JTRE and SoiiihivaTk Council. Support has ￿en given lo design a yale ofthc arl catt)pus rKxi io Talc M￿le[n. iyiih a B311eTV, caf¢. materials shop along51de ninc Sludios ivhi£h in due course ivill pmvidt ancillary in¢ornt #ttams. Tht dcveloptr has xilled Ihcir iimL txptrtise and Ihe building %Yill be readv for moving in Sunimer 2024. . Fati•rs relevlnt to lchievt objeetives Financial suppon for Ihe 51aff, cotnpcicni l¢Hd¢rthip.. the COrr￿l inv¢ststni of and SuP￿rt from lh¢ Irusl¢¢s are all relevanl fxioTS in a¢hieving Ihe objteiivts. d. FyndraisTrng a¢tivilies and income generali A futxlraising tampai8n is now bcing rM￿tr￿¢￿led. the wrteeds of which wll he￿ frt out Ihe pr¢mrs¢s and invest in the and fabTi¢ of Th¢ An Academy 10 aid w>y.pandtinic recov¢ry and build resilierKe a8ainA future unknwvns. Narasha Kaplinsky ¢oniinues in her Tol¢ of Fundrni5ing Chair assisted by a fundraising cornmihet Ihai incl¥d¢s l¢adin8 art iivrld prof¢s$ionals a5 ivcII a5 some high-naiYonh Indiv￿U415 io help fvifil ih¢ An AcJemy's vision of moving inio neiv premise5 neyl io Tate Modem. A lundraisinÉ tonsuliaTri has betn l￿d w Èivt advi¢t ¥rMI guidante ¥ ivtll a5 1 n¢iv lundyaising assisiani to help ihe Dir¢¢ior or Dti'elopmeni implemtni the fundrai5in8 Siraicgy. Finnci#l revie Going concerA Alier makiiig appropristt ¢nquiri¢s: Iht T￿￿et$ b￿ a teasonablt t.¥￿¢1?110￿ Ihai Ihe Chariiv has adequaie resources 10 coniinue in opriolional c.¥lSlente for Iht forest¢able luiure. For Ihi5 rcasorl ihey continue 10 adopi the going cw¢¢rn ba515 in preparing IliE finantial si8iemenis. Further deiails regaTdin8 the loption of ihe goin8 tohcem basis can be found in ihe accouniiii8 poIicic5. b. Reserves polity The Irusitts revieiv Ihe ch•riiv s reserves ￿litY peri(wJj￿7LV and ai lekn orb an Jnnual basis. The An At¥lem)' re9￿1r¢S finaiitial r¢s¢TV¢5 to mainiain and advaD¢¢ ils acilvillts and long ierm aims ènd obi¢cti¥es. R¢￿TV¢S are nquirtd 10". Mccl operaltonal cosls in Ihe ev¢ni of a sudden downiurn in the e¢ortromy ￿$￿Ill￿g in a sharp fall in fee income. l-rusi¢es have agTecd Ili•i areund £3￿.0(￿ should bc tarn)arkcd for Ihis purpose. Currcnily ihis iaoct is nol mei," 81iliough Iht A¢adcmy lias £385.092 in unre5tricled reserves ihese are ¢ffeciively all lied up in Iht vdlue of ihe charily's iangiblc fixed asseis. noiablv Ihe freehold propert)., and Ihu5 ihr A￿dEMY currenily ha$ no 'free" ￿¢5. P￿enITalIY conduci capiial impmvthnenls of the Arad¢my s fTtehold ￿]11￿1￿E. Reduce Ihe curreni moflga8e the evetLi ora ￿¢¢P ris¢ ITh inltrest rnies. P￿tnI1811>, acquir¢ addiiional space as ivhen this tould be financed. r. Principal ri5kJ ad un¢ertainli Th¢st aTe Ihe rnosi signifi¢ani risks Ihal may adycrscly aff¢ri our business T8i¢gy. financial position, and fuiuie performance. Thc risk a$$essmenl proccss e%'aluaies lh¢ probJbililv of Ihe risk malcri¥lisinx and Ihe financial or stralc8ic IinpAcl thfiht risk. lThose risk's wh¢ch liaye a higher probabiliiy impari on #Tricgy. Tqwiaiion. optraiionk or 8 finantial ifflpaci grtaier ihan £IODk ore idethiifted as principal Pa8t 6

DocuSw4n Envdape ID.. &4942F7B4C3F4D6WAC4-940953AAOEF2 The Art Acdtmy {A Company Limited by GuArantee) Tru5tees' report For tht year ended 31 A￿gust 2023 Complelion ofiht fit Oui of B#nk$ide Campu5 on Time: The risk of delay in totnplciing Ilie nuv building could disrupi plgnned ariiviiits and cours¢ 5¢hedul¢s: p)i¢niially affeciing siudeni rttruiim¢ni and sai¢sfaciion. Hoivever ihe iimclabl¢ 15 being k￿1 to, and iThde¢d iYQTk is curreDIIy 51ighily ahud of srhcdulc. Atademie Course ￿leS.. Thue is a risk. as%Kiaied wilh the wiabilily in erbrolmeni niimbers fof a¢8demic COUTses. iyhich uld itnpact proj¢a¢d Tevcnv sty¢3m5. So far. lh¢ xlmissions for SqM¢mber 2024 ar¢ on wgtl and w¢ 've ke￿ ih¢ projtCLions loiv. Ptyblic Course f4yml)er¥.' Public cours¢5 ar¢.svbjcu 10 flvcnJalion5 in demand. Lowcr Ihan aniicipaied participalion could re9Jli i de£reased incomt from ihese SthUT¢e& iviih ihe building we feel lik'c ive will havt an in¢ress¢ in dema￿ du¢ press and ¢¥¢iien)eni ho%vev¢r ive are noi ￿Te1chIl)g iht tsrgeis high. Fundraising.. While currtnl fvrKlrai5ing cfforts have bccn ￿rOn& ihere is an inherenl ri5L' in rtlyingon thcst a¢iivilies lo COl)Iinue ai Ihe 5dmt level, which could •ffeci finan¢ial siabiliiy if i>rgtis att noi mei. There is grom'ing support for Ihe projeci of Ihe ne4Y tNJild¢n& and ii se¢ms Ihai ncxi yrdr's large¢5 Ofe t04verihan th¢sy¢ar. Sale of Mermaid Court: The sale of Memiaid Court is subjeci 10 plannin8 ￿m11s$10n$ and oiher rtgulaiory, approvals. posing a risk of dElay5 or failurc io complci¢ ihe sal< i'hich could impaci th¢ financial foTfU$15 and cash floiv position. Evenls Taking ￿nger lo Get Goig: The iniiiaiion and rnnp-up of tvenis in dit new building mi8hi tske longer iha expected, pottniially delaying Ihe realiwioD of projeaed r¢v¢nue from ¢Y¢ni homin orri¢e for Students (OFSI: Compli)n¢e wilh OFS T¢gulaiions rtmains a criii¢al risk, Iviih poieniial implication5 for licensing and operJiional freedom in hightr eduuiion govunan¢¢. We are look'ing io miiJ8aic ihis Ihrough ) #rong wsh fllr siuden15 10 comt from batkETounds where Mudenl loans may be need bui aly> I￿king 10 ￿lIId burs¥rits ith help pay for studtnis %vhi> may oiherwi5t not be Jbk io anend. d. finantil risk mn¥gemeni objectives #nd ￿lItieS The main risk5 Ihal the charity 1$ ¢xposed lo ar¢ summatiscd bcloiv. Markei r15k- ¢051 of livin8 impatling liftmyle tknietk mtanin8 less demand for art tourses: plus risin8 supplier tosis Iniere51 rai¢ risk- Ih¢ mortgage lniert￿ N¢ incrrases. due 10 a bast rate incr¢a5e Cash flo%ip volaiililv. loi siudeni number4 lus)dwaising tsrgets bcing mei Bad debi- Siudenis dtlay ￿y￿ents. The manaKtmei)I leani piovidts rt8ul•r rewi& irtcluding an annual bud8eL Te-foreC•￿5. tash floii, forecasi, margin analysis and term man3gem¢ni accounls llic i¢am monilors linancial risk, mak'e5 ￿¢0Mmenda11￿ and submiis PTOP05al$ for aai4)n ivliirh are approv¢d in Iht Tru51ee5- Inccling. Principal funding Siudenis iuiiion fees from lh¢ academic and public coursts are ihe Aeaden)y s principal funding X)ur¢e as well as a growing 51r¢am ofiKome froni fundraising including Ihe Pairon scheme is h¢lping io brid8¢ ih¢ gap as siud¢Di iiumbeTS r¢iuni. l. Review of the results Tlic rt5ulI for lh¢ vcar ivas a Much-rtdu￿d defi¢il of £42,59112022-. deficil of£221:4851. iyiih EBITDA being a posltii'e £105,￿4 12021.. negaiivc £113,932). De$pilt Ihc dcficii. IhE year 5hoiYed promi5iD8 SLgn5 ofrecovcry a￿j groiwh in 50mc L'ey aT¢as.' Tot1 in¢om¢ for the year 2lliouDted to £l.862352. tbe high￿ iu¥l incomc ever for llic Art Academv. Thi5 r¢prcsenied 12.8/p ris¢ ioial incomc in Ihe previous Year. This record income ii'hs achie4'ed principallv dut 10 successful fundrai51n8 campaigns itrhicli saiv incon1¢ from fundraising evenis ihaTr double 10 £536.26712022.. f233:4941. 111¢ fundraising aiiLiioTh lield ai ChriMie"s Avciith) House in Ma). 2023 pJrticuladv Cmlifiil: bul oside from Ihis Ihe gtneraiion of such Sum from fundTIISln8 is a signifieani achieveinenl 8IVirt ihe absencc of larKc ￿rInts. rcfle¢iing brtsad supwn Ironi ¥￿[10115 sources. PaBe 7

OocuSi9n Envelope10.. 8A942F784C3F4tw8AC4-9109￿oEF2 The Art Academy (A Company Lirnited by Guarantee) Tru5tees' report For the yexr eDded 31 2023 Publit courses. Income from public coufse& included wiihin Ihe ic8chin8 tsn ¢10s%s ioi¥l in note 5, siabilised 81 £759.521: marking the SIron8￿ )'e3r rccord: up Imrn £733.974 in 2021-2Q22. Weekend and $htsrt tour5CS in P?Tlirulor solv ¢xcellenl yplakc. with 10181 income rcacbiDg £439:39312022 £319.393). Toidl expendiiure for Ihe vur ivas £1:905:443 12022. £1:873:5851. Th¢ slighi risc in ex￿ndlIUTe is attribuiable 10 additional cost in¢re85e5 in fundToi$ing due 10 our incTea5¢d lundraising ettOn5 in Ihc y¢ar_ Whi151 Ihe cash balaiice ￿d￿ced bv 24V• I￿ring the vtar 10 £169:642 12022.. £223:5641.. operniin8 aciiviiies pmvidtd a wsiiive cash inlloiv o1'£94,01512022.' ￿5b Oullloik o1-£173.142) iyhich highligbis lurther Ilit ¢niproveLI uiiderlying rtsulis. TTrie reduc110￿ in cash aro4e niainlv dv¢ 10 ih¢ Co￿lInu￿ f¢payinenl of the mortgag¢ and a5StKiated initresi coq5. iog¢iher %Yiih invesiiii¢ni in capiial ¢¥pendilur¢. Alihough there is still a defi¢il: Ihe enco¥raging ¢rend$ owlined above have made Ihis Ihe besi )'¢ar Since Ihe pandeiiiic. Th¢ signs art SITofbg for 202J.2024: iTriih an addiiional income WTeam expccied io c105¢ thc gap benv￿n expcndiiurc and ij)comc, bringing th¢ AL7deiny inlo Q Wtplus for 2023-2024. PIAhS for future ptriods An effeciive fundraising siraliLV ha> been pui in plate. irtluding a p8irons' scheme and Jn onnual fundraisi￿¢ auclion led b), Iht rundr815ing cornmiiiee ai Chr151ie"s Auciion House. This Mraitgy has noi only rnised Iht profile ol"Ihe Art Acadtmv bill also h¢lptd bridg¢ ihe gap beiiveen intonK and cipendiiur¢ as ac4dcmic numt¢T5 f¢EUrn and cvenlually exce¢d. prc-pandcmic lei'¢l5. Kty lulurt plons in¢ludc. BA Rtvlidiiion: The An Ac￿eMY has succr¢dcd in revalidaitng lis BA progrnni Ihrough ils pannership iviih The Open Univcrsil),. The moek Offict for Sludeni revieii. has PTqJated (he Academ). for ils lltxl slep in registering studen1$ foT loans admitiing iniemaiional 51udents. MA Fine Arl V¥lidalion= Plann¢d for 2024. Ihis will anract new students 10 Ihe A¢ademy_ Nvv Building.. A ne%¥ fullv acc¢ssible builsjing. s¢1 10 be compla¢d in sumnier 2024. ¥Yill ¢nablt Ihe Arn Acadeniy io fvifil its vision ofbeing lh< mosi intlusivt art sthool in IA)caied rtht io ihe presii8iousTalc Mod¢rn. tlic sile iyill fcalure a gallcr)F cafe, mai¢rials shop.. nine 5tudi05, aThJ an •udiiorium. This nriv space ivill suppm Ihe A¢a(kmy's proftssional fo¢us and t.xiesive ski115 PToYisitsn in 8 PUryM)seuili crbviwnmtffti. Additional inronK YT¢am$ from space r¢n￿l and events hire Ivill funh¢r 5uppDA Ihe illslllulion. Siralegic pl￿$ are resularly r¢vicii'¢d bv E¥eculiY¢ T¢¥m and d¢ci(kd by Ihe Twa¢¢5 ￿ board meMinB5. Statement 4)fTrusitts' responsibililies The Tru￿¢¢$ liitho ar¢ a15Q Ihe diTecior5 oCih¢ Chariiv fof Ihe PUTpose5 of compan>, laii,) resrM)nsible for prtparsng Ihe Tru.¥ees' Report and Ihe financial Slai¢mcnis in a¢£oidathct %Yiib applirabl¢ laiv and Uniied Kin8d(bfft A￿0￿￿ling SiaT¥JaTd5 (Unii¢d KiThgdoiii Gcncrally A¢cepi¢d Accounling Pracii¢el. Company la%¥ requires ih¢ TrU￿te5 io wepare firw￿Jal for each financial yEar_ Ujmlei tompany laiv, Ihe Tnisie¢s ItiLISI approve the financial slalemenis Unle￿ Ih¢y arc 5aiisfied Ihai Ihey giv¢ a In￿ and fair vieiv of lh¢ Maie ofdffairs of Ihe Charity and of ils incoiiiin8 fcsoiiTCts and applicaiion Of r¢50urces: including iis incom¢ and exptthdiiure. fof Ihai period. In preparing Ihe5¢ financial Siai¢meniR Ihe Trumees are rcquirtd io". stleci suiiable atcouniing p)lici¢s and iheD èppty Ihem consisi¢nrly', observe the Melh￿j5 and principles of Ihc Ch&riii¢s SORP IFRS 1021-. make jiid8ThenlS and accoiinling ¢￿i￿aleS Ihai are reag)nabl¢ and prudeni." stsie %%'heihtr applicoble UK A¢rouniing SiaTrdaTds IFRS 102) hayc been folloiyed. gjbjeci to any maicrial depanures disclo5￿ and ¢xplained irt Ihe finantial siaiemerbts.. prepar¢ Ihe fina￿la1 siaiements on Iht 8oiNg b&sis unless il i5 inarvTOPTiaic io pr¢suni¢ Ihai th¢ Charity will toniinue in bysin¢s5. The Trust¢¢s are rtsp)nsible for ketpin￿ dequ•tt •tcounlin8 records Ihal 5uffici¢nt io shDii' explain Ihe ChaTII}p 5 Iiansaciions and distlosc iyiih reasonable accurdc), ai any lim¢ Iht linancial S￿$11•00 ol"Iht ChaTiiy and enablc Ihtm lo crtsDrt thai Ihc linat)cial aitinenis tomply iviih Ihe Coiiiwanies Au 201￿. Try •150 responsibk for safeguardin8 Iht asseis of Iht Chariiy and hence for taking reasonable 51eps for Ihc preY¢niion and dtituion offv4ud and thihei iTh¢gulariiies. Pa8c 8

Do¢uSi9n EnvePJpe ID.. 8A942F7￿C3F4C￿8Ac4-94Dg5￿oEF2 The Art Academy (A Company Llmited by Cuargntee) Trustees. report For ihe year tnd¢d 31 August 2023 Dls¢losure of informAtlon to udilOIS E4¢h ol-lhe person5 Ivho wc Truee5 * lh¢ lime when ihi5 Tntses' Repon 15 approved ha5 Contimxd Ih.' as far •s thAi Tiu$iee is aivoT¢. Ihert is no rel¢Yoni audil inlornwiioth ofivhich the charily's a￿li0r$ ar¢ unaivaTe, and Ih21 Trumee has 14k¢n all the sieps IhJi (x]%hi ￿ have bt¢n tsken as a TTUSlee in order io be awar¢ o(￿Y relevani audil inforniaiion and 10 tsiablish Ihai the chaiily's audiioT5 art awart ofihai infomiaiion. Audi10trS l-ht auditor5, UHY Hack"er Youn& have indica1￿ Iheir willin8ness io in oific¢. The d¢sigaaled Trii*e¢5 Ivill prop05¢ O fflDlion r¢appoiniinB Ihe avdiior5 81 a mtding ofihc Trusiets. Approved by ord¢r ofih¢ members ofiht board ofTntstets a￿] signed on their behaifby= A Cusiis Twsite D J Fennell T￿￿te Dale.. 30 May 2024 P¥ge 9

Q¢nsibililies for the audii of the finarKial stsiemenis secii¢n of our re￿rt. We are Inde￿nde￿I of ihe eharitabl¢ ¢otnpany in accordance wilh th¢ eihiEal r¢4uirements ihat are r¢lEvani io our audit of the financial stst¢menis In Ihe Uniied Kingdom, irtluding the FinarKial Reponing Council's Ethical SIandaid. and we hav¢ Ifilled our other ethical rcsponsibilitics in aCCQTdancc with ihcsc rwuircThKois. We kIl￿t Ihai the audit evidct)ce we have obtsined Is svifjcient and 3pproprioie ro provide a basis foT ouropin)on. Covlu5ions relgting to goiog ronc¢rn In audiring rhe financial stsiemenis. wc have Concl￿ that the TTifft& use of the going Co[￿eM basi$ ofaccounting in rhe preparatioth of lh¢ finw)cial 5taE¢menlS is appropriate. Based on work w¢ have perfonn(xl, we hav¢ not identified any maierial uncellainiies Telaiing io tvcnis or conditions ihai. Individually ortolleciively, may cèsi sigriificani ihe thariubk ciKnpany's abil?ry to continue as 3 going ¢orKern for a of al lusi twelve Inonihs from when ihe financtal s181emcnis ate authorised for issue. Our resp>t￿lb1llIieS and th¢ r¢sEx)n$ibiliiies of the Tn]51tt5 With r¢sFW itsgoing concern 3re dc5crib¢d in ih¢ relev￿1 5¢Gltons of ihis rermm. Other Informatio Thc other infomvtion wnprises lh¢ inf0rnati￿ trtcl¢thd in ihe Annu81 R¢rA￿ oikn than fI￿n¢181 si8icments and our Auditois. Report therton. The Trusit¢s ar¢ rcsponsible for rhe oib¢r informfiiiorb contained wiihin ihc Annual Report. OUT opinion on th¢ financial siaiemenis dots noi cover rhe oiher Information and. exrzpi ro ihe exieni oiheTWi5¢ ¢xplicirly siaied in our rewn, we do noi expTE55 any fonn of assurance conclusion Ihtreon. Our resp)nsibility IS 10 read Ihe oiher inforrnaiion and, In doing so. consider wheiher lh¢ other infotmaiion 15 tnaierially Inronsisi¢nt WlEh Ihe financial siatemcnis or our knowledge obiained in ih¢ c¢)urse of Ihe audii, or otherwise appears 10 be tnaitrially misstated. If we IdenTify such tnaierial incon51s1encie& or appar¢Thr maEeiial rniSStsi¢rnent5, w¢ are TequiTcd io detennine whcihcr this gives rise 10 a maierial misstsrttntnl In Ihe financial staiernents thetnselves. If, based on ihc work we have p¢rfonned, ￿ conclude that tkrc is a matcrial mi551aiemeni of this other infomiaiion, we are required 10 rtpon that faci. We have Mihing 10 re￿rt in this re8aYd. Pagt 10

OoruSv4n Envelope 10.. 8A942F784C3F4D6&&AC4.94095>WEF2 The Art Ac&demy (A CompAny Limited by Guarantee Independent Auditors, Report to th¢ Members of The Art Academy (conlinued) Oplnlon other ltters preserlbtd by tht Cottwnks Att 20•6 Ill our opinion, bascd on the work undertaken in the course ofihc avdii.. the inforniaiion given in ihe Tru￿ee$, ReF4Jrt for the fit)arKial yeai for which ihe financial stsiemethis are prepar￿ is consi5teni with the finantial starernenls. Ihe Trustees. Re￿rt has prepawj in ac&)rdan¢e with applicable legal requirements. Miitr5 on whith we #re rtquirtd 10 report by extptiOA In th¢ light of our knowledgc and und¢tstsndingof ih¢ charithble compgny and its environment obiained in (he course of the audii. we have not id¢ntified tnaierial rnis5ts1eThenrs in ihe Tntstee5' Rwn. W¢ ha￿ nothing 10 rcport in respeci of Ihe following rnallers in retar￿n io which Companies Ad 2006 requires us io rcport io you if. in ur opinion.. adequare accounting records havc not been kepr, or rclurns ad4yaie forour audii have not b¢¢n reccivcd froin branch¢5 not visiied by us. or the fina￿la1 staiements noi in •grc¢mrnt wilh ts 8ccouniiThg re¢￿¢ts and r¢wrn5- or ctrtain disclosures of Trt)￿ets, Yemuntraiion specified by law ate not made- OT wc ha￿ nor rettivtd all ih¢ infom￿11￿ ajxl ¢xplan¥tions w¢ T¢quirt for OUT audil. or Ihe Trnsiees wete not entitled 10 prepare the financial 51atemerblS in accordance with ihe Small companies regiTTre and Mke advanthge of lh¢ small compni¢s' exempiion5 in preparing Trnsiees. Repon and from the rcqtsiremeni w prepare a Siraitgic Repon. Re5pon$ibilities of tTU5ttts As explained Tnere fully in the Trusiees, Rcsrrf)rbsibililies Ststetncnt. the Trusi¢es IWIK) ar¢ a150 dirtciorsof ihe EhaTiiabl¢ company for Ihe purposes of company law) are responsible for ihe preparation of the financial statement$ and for bejng satisfied Ihai they ¥ivt a INe and fair view. and for suth int¢rnal control as lh¢ TTusiee5 d¢t¢nnirK is rKc¢55¥ry to ¢nable th¢ P￿paTri10n of finanGial staiemeDrs thai are free fTom material missiaiemeni. wh¢therdue to fTaud orerror. In prtparin¥ th¢ financial siatcm¢nrs. the Tru51c¢s are le$￿)￿51b1C for assessing ihc charitable compaDy'S ability io coniinuc as a going concern, disclusing. as applicablE. Wtiaiier5 related 10 8oin8 concern and using Ihe 80ing con#Tn basis of accouniin8 unlEs5 rhe Trusiees eiihcr inicnd 10 Iiquidote Iht charitsbk cOM￿nY or io ceast operaiions. OT have no realisiic aliemaiive btst to do so. Audifort. responsibilities Cor thf audit olt&e fin4ncDl slatemtnt5 OUT obj¢ciive5 are 10 obtaio rtsonable assuTancc abo￿ whdher the financial Maieincnis as a wholc are flee from maierial missiateincThi. wheiher du¢ io fraud or erTor. and to Issu¢ an AuditOfS' Rcpott that includes our opinion. Rtasonabl¢ assurance is a high l¢v¢l of assurance. but Is not a gu3fdniee IhaT an audir conduded in accordance wilh ISAS (UK) will always deteci a m3terial missiat¢inenl when it exisis. Missiatemenis Can arise fTom fraud or enDT aTrJ art tonsideTed matenal If. Lndividually OT In Ihe aggre8ate, they could reasonably ￿ eX￿Cl¢d to InnuerKt thc economic decisions of ￿Ts tsken the basis of these financial si2iemethis. IrregulaTltics, including fraud. 8r¢ in$ianres of rrf)n-CQtnpliancc with laws and regularion$. We dcsign PTIKedures in linr wilh our tesponsjbililies. outlined above. 10 deie£i tnaterial misstatements ill rtspect of irregulaii1i￿. ir￿l￿till￿ fra￿1. The exieni 10 which our procedurts a￿ capable of deieciing irregulaTLlies. including fTaud Is detsiled below." How ihe audit was ￿SIde¥ed capable of deieubng irregularities irKludinR fraud-. Our approach to Ideniifying and assessing the risks of matcrial misstaiuncnt in Te5PEcr of ir￿guI1r1Ii¢$. including fraud and noTh complianct wilh laws and regulaiions. wd5 as follows". we idenrified ihe laws atmi rcgulaiions applicable To the charitable ¢irtpany ihrough discussion$ with manaRemeni, arK1 from our ommercial knowledge and ex￿rIenCe of ih¢ sector. we fLKused on specific laws ar￿ rtsulaiions which w¢ ¢onsider¢d may havt a direct maieiial effed on the accounis or Ihe oper8tion5 of the chan￿ble company. includtTrg ihe Charities Act 2011. Page 11

DooJSi9n Envelope ID.. 8Ag42F7￿c3F4OSwC4.94O9s3UoEF2 The Art Academy {A Company L¥mlted by Gu*rantee) Independ¢Tht Auditors, Report io the Members of The Art Academy (continuedl we 855e55ed ihe e¥t¢ni of complianct with the l•ws and re8knlaiions idEnrifJcd abovE thnyjgh making ¢nquiri¢s of managetn¢nl and in5￿Cting cotrespondcnc¢' atjd rdentifjed law5 oftd Tegulaiion5 were commvnitaied WIthF￿ iheaudil ieam and the ie•m remained alert io insianc¢5 of non. cornpliarKt ihroughout the audil. Wc asSCSscd Ihe susceptibiliry of the charitabl¢ ￿ny'S accwnts w mai¢TiII misstakmenL includin8 obiaining ath understarxting of how fraud rnight ot£llr. by.. making enquiri¢s of inanagemcnt as ro wh¢rc th¢y consi¢kred ther¢ w45 swiibility to fraud. Ikir knowledge of acnjal, susp¢cied and alleged fTrud: a considcring th¢ internal conirols in plac¢ io mitigaic risk5 of fraud •ThJ non-compliance with 18ivs and r¢gulAti¢)n5. To addre$s the risk of frnud ihrtyjgh rrLanagemeni bias and overrid¢ of cMtroL8. we." perfOr[￿l analytical PTottdur¢5 10 id¢Diify any OT Y￿¥F￿¢d r¢lationShi￿. ie$ied joumal entries io idcniify unusual uansaciions"

ssesstd whether judgem¢nts and assum￿10n$ madc in deiemiinLng ihc aCcO￿tIng ¢stimates sei tyji in ihe 8c¢ounting policies

were indicative of wbtential bias. and investigated the raiiothale b¢hind significant 0runus￿l trJwuior*. In response io the risk of iry¢gul3ririe5 and non-cornpli8nc¢ with faws ar￿j Tegulaiion$. w¢ d¢5igned procedures which incluthd. bui wcre rtol limii¢d io.. agreeing financial 57atemeni dis¢105urcs to un(kTlying SUPFVMinB d￿Umen[al10n,. reading tnirbutes of mcetings of those charged wilh goveTnance.' and ewuiritsg of managemeni and rtpreseniatives ofTnJsiees as ro acnjal and po¢ential liiigaiion and Claims. A further descTirAion of our rtsJM)n5ibililie5 for thE audii of the finaKial State[￿nts 1$ Ioc41ed on rhe Finanrial RepoNin8 Council's web$iie at". www rsres sibililies. Th¢5 de5cfiptitsn fornis part of our AudilOfS' ReTX>ll. Use ofouT reporl Thi5 rerwt 15 made solely to The charifablc cornpznys rn¢JnbeT5, as a t￿y, in arrordance with Chaprer 3 of Part 16 of the Cornpani¢5 Act 2006. Our audii ivork has bttn undertaken so thai we mishi state ro Ihe charitable co￿panY'S mefflbers ihose mailers wt arc required 10 ale 10 Ihem in an Audiiors. Report aThJ for no othtr warpose. To Ihe full￿ ¢xieDI perniincd by law, wt do accepi or assume $ponsibiliry to anyone oihtr ihan (he chariiable comp3ny and lis n￿MberS a5 a b￿y. for our audii Work. for thi5 r¢port, or for the opinion$ we have fomxd. Allin Hirkie Bsc FCA (Stnior 51alutOry auditor) foT and on behalf of UHY Hacker Young Chan¢red Accouniants Thain¢$ House Rornan Square SittiDgbournc Kent ME104BJ Dale.. 30 May 2024 P•g¢ 12

OocuSvJn En¥dope 10.. BA942F7B4C3F4tWC940953AAOEF2 The Art Academy (A Company Limited by GuAraThtee) Statejnent of financial activit1¢5 {incorporatiThg i•¢ome expenditure ac£ount} Ftsr the Year Ended 3A Augu$t 2023 Unrestricted Tolal fund$ 2023 Toiul 2023 2022 Nole Dr>naiions and legaeies Charitsble a¢livJlies Other trdding aciiviiic5 Inv¢snnenls 51.604 1.273.681 536.267 1.300 51.604 1.273.681 536.267 1.300 01.526 1,357.080 2J3.494 Toi#l intome 1.862,852 1,862,852 1.652, 100 Expertditure •n'. Raising funds Charitable aciivitics 92.660 1,812.783 92.660 ,812.783 62.118 1,811,467 Tot1 expendiiure 1.905.443 1.905,443 1,873,585 Nei movenknt in funds {42.591} {42,591) {221.485} Retontlli*iion of C•nds: Toral fvnds bioughi fornvatd Ner movemeJ]r in fvnds 427.683 142.591) 427.683 142.591} 049. 168 (221.485) Total funds ¢arritd fonvard 19 385,092 385,092 427.683 The St•i¢meni of Financial Activities irtludes all Bains and10sses retognised in the ycaT. Tht notes on p3gc$ 16 to 30 fomi part of financial 5rai¢rnEnt5_ Pa8e13

C)ocuSlgn En¥etope ID. 8A942F784C3F408W4C4.94D953MOEF2 The Art Academy (A Company Limiied by Guarantee) Registered nurnber- (13801729 Balance Sheet As at 31 August 2023 Z023 2022 N•te Flxed assets Intangible asscts TangTbl¢ assets 14 1.668,644 1,705,921 1.677.644 1.705.P21 Current 55ets St(Kks 15 54.226 173.651 169.642 27.730 ikbrors 16 11g.OPO CJ5h ai bank and itt hand 223.564 397,519 371.010 Creditors.. amoun¥s fallinB due wiihin on¢ year 17 (643,178) (57Q.203J Net current 4ssels 1 libililie5 {245.659) (199. 193) Toial lsstts le55 Current liibililies 1.431.985 1.506.728 c￿li10￿.- amounts fallittg due after mor¢ rhan onc year 18 (1.046.893) fl.079.045) Toi*l nei assets 385,092 427,683 Charity RestrLcred funds Unr¢51ricled fvnds 19 19 385.092 427.683 Total funds 385,092 427.085 The Tru51¢¢s acknowledge ih¢ir reSp￿sibIlItieS fix complying with ihe reqU1￿Me￿iS of Acl wilh respe£1 10 accounliThg records and prep3ralion offLnancial siatemenrs. The financial stsitmenis have bccn Fffq￿red irt ￿0￿darKe with th¢ provisi￿ applieable to ¢ntitt¢$ $ubjett io Ihe small ¢omyAnies TeBime. The financial 51atemenis were approved and aulhorised for tssue by Trustcesand $78r￿ on Iheir khalf by= C•E99Q42F%l4ts.. A Custis DJ Fennell Date.. 30 May 2024 Thc nolcs on pages 16 10 30 form part of tlw financial SEakJnen Page 14

DoGuSi9n Env•ke ID.. 6A942F7￿c3F4D6o4Ac4-g4D95S41oEF2 The Art Aeademy (A Company Limited by Guarantee) StatemeTrt of Cash Floivs For the Year Ended 31 August 2023 2023 2022 Note C$h now5 from operating ¥tivilies N¢t rash used in opcraiing aciiYirie5 94,015 f173. 141) Ch8h from Inve5tillg ttivitit5 Proceed5 from ihe 5alc of tangible fixed ass¢ Purchase of iniangible assers Purchase of tsngible fixed assd5 Inter￿ recesve (25.879) 19.0001 127.914) 1.3 ¢a$h used in inv¢sling #ttivitie5 135,614) 125,879) Cash flows from financing attivities Repaymenis of bOMJ￿nB Initre￿ payable (29,1221 {83,2011 (54.8PI) (40,789) Nti ca5b us¢d in fittan¢ing atiivili 1112.323) (95.680) Ck4nge in c8sh t￿h equivalents in ihe y￿r Cash and cash cquivaltnts ai Ihe b￿InnIng of th¢ year (53,922) (294.7011 223.564 518.205 Cash tsh equlvltNts #i the ewl of tbe yer 22 169,642 223.504 Th¢ notes on pages 16 10 30 fomi of ihesc financial skiements Pagr 15

Docusign Enveknpe ID.. 8A942F784C3F4D6(W4C4-94095W40EF2 The Art Academy (A Company Limited by Curantee) Notes to ihe Financial Statements For the Year Ended JI August 2(J23 General iAformation The An Academy is a thariiable twpar)y limiied by guardtLiee, re81￿e￿d in England and Wales. lis r¢gisiered office is Mennaid COUN. 165a Borough High Str¢¢L London. SEI IHR. The nature of the ¢haTity'S oper81iorb5. ar￿ iTS printipal aciiwty is ￿ irbspirt and uplift Society Ihmu8h art and an education, artd io proV￿C access 10 art experiuwe for all th¢ communiry. Ac¢ouDting policies 2.1 Basi5 of prtpraiion of fiTrantiaJ siaiements The financial $TatetncniS haye been prepared in accordance with the Charitie5 SORP {FRS 1021- Accounlinx and Rcp)rting by Charities.. Siaitmeni of Re¢ommcDded Praciicc applicable 10 chanlies prtparing iheir atcounis in accordan¢¢ ih Ihe Financial R¢w>rting Siandard ¥ppli¢abl¢ in Ihe UK atyj Republic of Ireland {FRS 1021 Icfftciive l January 2019}. the Financial Reportin¥ Standard applitdble in ihe UK and Republic of Irel4￿1 {FRS 102) and Ih¢ CornpBnies Aci 2006. The Art Aud¢iDy mect5 ts dcfinii¢oTr of J public è¢ncfii cniiry under FRS 102. A55ers and liabiliiic5 are initially recognised ar hisTlXital cosi or iransatlion value un1¢5s Other￿$¢ $thted in ihc r¢levant arrounting poli 2.2 Going fo•fern The Irusitts of The Art Acaderny condtsci an annual assesstnenl of Ihe appropriateness of the 8Olll8 concen) basis irb preparing ihe financial statemcnts. Thjs includes evaluai¢Dg material uncertainiics ￿laTed io evenis or coJ)ditions thar could $IBnificanly affect the Ac¥d￿Y'S ability 10 conrinu¢ its opcrdEion$. Thi$ a5%s5n3¢nr 15 mad¢ for ai least on¢ year from ih¢ darc the fIna￿laT siaiements are auilK)rised for 155ue. A pivotsl eletnent of our &sscsstnent i$ the ongoirtg suppm oui banking partn¢r. NatW¢4. D¢spit¢ rh¢ balance sh¢¢r 5howithg increased m cuffeni liah"l¢iie5 of £245.659 as of 31 AuBusi 2023 12022= £199.1931 the stnjctured repayment ienms fa¢ilitst¢d by thi5 5upwn arc cnJ¢ial in main¢aining our fjnancial 5tabilily. A$ of lh¢ I¥￿1 approv41 iJa. swdcni enrolrn¢ni our publi¢ progrnmmes h•s ￿abIll$¢d p)51-pandemic. ￿'iTh con$i51eni enroltneni rhToughouE ihe y¢ar_ Thr HIg￿r Edtscarion 5mor is exptriethcing robust rcgi$tr31ion for S¢p(¢tnber 2024, marking highest Trumbets since we-pathic levels. Following a mrKk Offi Foi Siudenis audit itb Aummn 2023. the trus1¢￿ are optifflisiic ochicving registraiion wiihsn Ihc next twelve mmihs. which will allow greater srLtd¢ni 8ccess 10 our exeelknt Higher Educaiion offeiinKs ihiou8h stud¢nt loans ar￿ ini¢rnatJonal $wd¢ni adtnission5. Our OuiTeach progrdms coniinuc to grow wilh sustained syppon from a major foundaiion. ¢nsunng access 10 hi8h.qualiry an Couwses for those Itss financially able. The tmbedded new fvndraising strntegy, SUPPOrted by a d¢dicaied Fundraisin8 Cornmillct rhai includes disiinguished ¢hairs and partners fTom Ix)Ih the art and eommercial seciots. has ptTformed well in 2023 Bnd wntinues strongly In 2024. a5 by Ihc 5UCCC55 of our annual auciion ai Chnsiic'5 wilh over 250 aNendee$. The has ¢volvd over ihe pasi year. gaiD¢ng CXpert￿ from the Higher Eduuiion. Finance, L¢gal, and Consinjclion scciors - kcy ar¢a5 rhai afe cufTently brn¢fiiing from ihis advic¢. Th¢ Art Aca(kmy ¢oniinue5 10 innovate wiihin ihc higher ¢ducatiort sectoi, undcts¢oTtd by the Insriwiional AppToval fvorn The Open Univetsiiy atbd the cr¢aiion of a new MA in Finc Art. with PTogTammc v•lthiborb exFxcied Wiihin Ihe Dcxi Twelve moD¢hs. Th¢ signing of a new 25-year lease and the subsequent fir-our project for our staie-of-lhe-art campus ai 185 Park Sireei. whieh will be ready for 5n￿entS by la 5umnxr 2024. rtpresethis a significant developirent. L4)¢aied near Tare Modern. Ihis facility includes a xround-floor gallery, café. and maierial shop. plu5 nine studio4 significanily enha[￿l￿g our ptofil¢ Ihry)y8h ￿)1¢￿¢181 corrM)raie Par￿￿[ShipS and eveni h05ting upabiliti¢s_ Despite soThe uncertaintits projecied 5mdeni numbers, Ihe diversified revenuc 5tr¢am5 from whol¢ buildiTh8 Tentals gallery. auditorium. mcerin8 rix>fft. arbd studio hires Provide addirion31 IrK0￿ It is a150 nDiable that foT Iht firm itme in our 24.year hisiory. Ihe buildinKs wll k fvlly acccssible aThJ cotnplkani wilh the Equality Acl, which Is esseniial for ronniii8 a t￿￿¢rn ¢dwational InsiiNtion. Pagt 16

Oo¢uSign Enveknpe ID.. 8A942F784C3F4D6fyeAC4-94D953M(EF2 The Art A¢aderny (A Company Llmited by Gu4r8llte¢) Notes to the Fin#nei#l Statements For the Year Ended 31 Augusi 2023 Ac¢ounting policies (conti•yedl 2.2 Golng ¢on¢ern Iconiiued) Forecas¢s ihrough fo 31 August 2025 projm a surplus. 5UPPOrted by oogoing fundrJi5ing iniiiativcs. tht Pairon 5¢h¢me, and eveni hiTC5. K¢y financial assufflptions aTe bas¢d Ihe conlin￿d Success of our fundraising ev¢nTs, $uth as the Christie's auction in May 2024, and litnely ineThnt frorn ourtoutses and fflateri¥l sales. The Itustets also rely on short-lcn fvnding from Paimns and rhc swaiegic sale of Memiaid House by August 2025, wtih 8n ofFtt currently in progrcss. Despiie ihe curteni finartial and political uncertaiThtie& Ihe inJMees art confident ihai the Academy will maintsin sufficieni rcsources to ope￿ie for the foT¢seeablc future. Based on ihis confidence and Ihe suff¢5sful impl¢rn¢niaiion of our sirniegi initiatives, we continue to thpt goifig concern bjsis of a￿oUn11Th8 Our financial siat¢m¢nts. 2.3 Income All incotne is re￿gniSEd once Ihe Charity has eThlitl¢mrnt to rh¢ incoine. li 15 probable ihai incoTh will b¢ re￿iVed and the amount of itKome receivable can be TnEasured reliably. Other income is recognised in thc Ftriod in which it is TCC¢iWdbk and to ihf¢xt¢nt gor¥Js have bE¢n provid¢d or on completion of Ehe service. 2.4 Expenditure Expendilure 75 reco8ni5ed once there is 3 legal or cormnKtiYe ubli8ation to transfer econoinic bEnefit io a ihird party, il Is probable Ihai a transfer of t￿r￿¥T￿le trtncfilS will be rtquirtd in settleincnl and Iht arnounl of Ihe obli8alion can be me4suTcd Tcliably. ExpcndiwT¢ is classified by 8Clivity. The costs ofeach aciivsry are mad¢ up of ihe iotal of direci ¢osts atKI shaied ¢0st4 inclwting 511ppori c051s involved in und¢naking each 8ciivity. Direci wsis sttr¥bvtsbJe io a 51llBle 3clivity are allocated direcily io ihai aciiviry. Shared cosis which cmiribuie to rnte ihan orte activiry and support co$is which are noi aiiributable 10 a single aciivity art apponioncd between ihose aciivilits ot) a basi5 consisieni wilh ihe use of resourccs. Central staff cost5 are all¢Kared on the basi5 of lime spcnt. and depreciaiion tharges all￿ated on ihe FK>rtion of ihe asscl's ust. Exp¢ndityr¢ on rJising fvnd5 inclth all up¢ndiwre incuTr¢d by lh¢ Chariry ro rJix fund5 for its charitable wvposcs ind inelvdes cosis Of all fundraisitlg act1￿1]¢$ eveis and non-charitable ITading. ExrKndiwr¢ o chariiabk acr1vit1￿ 15 incurred on directly un¢Jcrraking ihc aciivirie5 which fvnhcr ihe Chariiys objcctives, as w¢ll as any a55￿1￿[¢d support costs. All expendiwre is inclusive of iryecoverable VAT. 2.5 Allotatlon and appOTt￿n￿ent of fosts Deiailed management accounts art keo wih costs alkncaid ofi a catssal basis 8nd chctked against budgets. The l¢vel of deigil is considered 100 great for published a¢￿vnI$. In these financial sthkmeDtS Cosi allocaiions are the SUMI￿an¢S tsf that trbanagein¢nt infortnation. Matching T¢Stricted costs with r¢levant fund5 15 tnade 3$ accuratcly as p0$5ible by ref¢rrin io ihe ienns of lh¢ dorK>r. The admini$iraiioTr cosi allocaijon berwetn fuJJdT315illK aeiivJti¢5. leaching and r¢5idenr anisis in Ihe published SOFA Is tnade on Ihe basis of rtspctlive tutnover. PfOPEtry cost5 aTe allocated to ihe aciiviiies by dtdicaicd floor space. 2.0 Jnlgngible #ssets am•rt15atio Inlan¥ible ass¢￿ c051ing £l.O(Kl or more aTe capirali5ed and rctognisa wh¢n futu￿ e￿n￿niC benefits ar¢ probablc. and Ihc cosi or value of the asset can be mtasurtd reliably. Intsngiblc assds are iniiially recosnised ai cosi. After rtcogniiion. undet the e051 Incthl, iDianbiibl¢ as5cts ar¢ measured ar cosi less any i¢¢umulaied anK>rnisaiion and any •ccumulaicd invi￿1 losses. Amonisation Is wovidcd on iDrangible a5sers at Tales calculaicd ￿ wri* otTihc c051 of each asset on a ￿raIght-ll￿¢ ba$is ovcr ¢xpYcied us¢fiJl lifc_ Pag¢ 17

Oocusign Envelope ID. 8A942F7B4C3F4CWAC4-94095JWEF2 The Art Academy (A Company Limited by Guaraniee) P4otes to the Financial Statements For the Year Ended 31 August 2023 2.6 Intan¥iblt asJets and amorli5tion (conlinued) AmonisAiroTr rs providrd on the following b￿"5.. Compultr sofnvare 20% 2.7 Tagrble fixed ts5tts and depretili•th Tangible fixed a￿1$ cosring £ l.lJ(K) or Jwre are rnpitali5ed and Tccognised when fvwre cconomic bencfirs are Probablc and rhe cosi or vo1 of the assa can k mu$ured reliably. Tangible fix¢d 3sset$ aTC initially Teco8nised ai cost. AftLY rewition, under rhc cost rnodcl, tsngible fixed asseis gre measured al cost less accumulaied depreciaiion and any accutnulaied impabrtnent losses. All cosis ill¢UTted ro bring a Dgibl¢ fixed a5sei into its inndcd working condition slHxLld ￿ included in ihe ineasuremcni of ¢051. Depreciariott is charged so as 10 8110¢41e ih¢ cosi of tsngibk fJx¢d asset$ less t￿lT r¢sidual valu¢ over theirestimatd us¢fi]1 live5. using the sgrdighi-line mcihod. Dtweciaiion is provJ¢kd following ba51$." Freehold pToptlly Lot)g-iemi lea5¢W property Plant 3nd machinery Fixtures and fillitbgs Compuier ¢quiptDeni 2% 2% OVCT least ieThns 2.8 Stocks Stocks are valutyj ai the k>wer of cosr awl net reali5able valK afi¢r tnaking du¢ allowance for ob501etE and slow-￿VIng stwk$_ 2.9 Debtors Trade and oiheT delmors are r¢wyistyi at the 5¢ttknn¢nt otnouni after 8ny tradc discounr offcrcd. Prepayrn¢nt5 are valued ai Ihc amouni prepaid of any trade di$ctyJn￿ due. LIO Ctsh li b#k ind in h*hd Ca$h at bank and in hand Includes cash artd short-iem) highly liquid inves1￿entS with a Short tnatunty of three Thonihs or less from the date of aCqUi5Lrion OT owiing of th¢ d¢p05it tx simiLaT account. 2.1 l Lisbilities ind provisions Liabilitics art Tecogni5ed when there Is an obli¥aiion at the BalarKe Shed date a5 3 resulT of a pasi ¢v¢nt. it Is probabl¢ that a Iran5fer of ¢¢On0￿1C bEnefii will bc T¢Y4uired Jn Stllkn￿ry[. aThJ the amount ofihe selllemeni can be esibinaied reliably. Liabiliiies are Tecognised ai Ihe amouni ihat Chariry anticipat¢s li will pgy to wile th¢ d¢bi or the ainounr ii ha$ rcceived a5 ¥dvan¢cd payments for Ihe goods or seryices ii musi PTovide. Provision5 are rKasured ai Ihe btsi euimiie ¢)f ihe amounts rrylvira io S¢ttlc lh¢ obli¥aiiort. Wherr ih¢ effeci of rhc iiin¢ value of tnoney is maierial. the provision is based on Ihe preseni value of Ihtsse itnounis. discounted ai the prc-iax distouni rate Ihai Teflecis the nsks SP￿lf1¢ io ihE liability. Tr unwindittg of rhe discouni is recognised in Ihe Sraieineni of Financial Acliviiies a5 a finance cosi. Page 18

Docusign Enveknpe ID". 8A942F784c3F4￿￿C4-9lO95?AAoEF2 The Art Academy IA Company Limited by Guarantee) Notes to th¢ Financial Siatem¢nts For the Year Ended 31 August 2023 Amnting policies (continued) 2.12 fihantil Iwjstrymtnts Thc Chariry only has financial 3SStis and financial liakn.liiie5 of ¥ kind thai qualify as basic fin8ncig1 Insi￿l￿¢nI5. Ba$ic financial in$rTumcnt5 arc initially recogni5cd at trdns•crion valuc and sub5equenily tncasure41 at their sellleTn¢nt value wilh th¢ ¢xceplity of Imnk loans which arr Subseq￿lt]Y at atrwtis¢d cosr using ih¢ ¢ff¢Gtive inialst rn¢thod. 2.13 Operaling le¥3es Renthls paid undei opeiaiing leases ate charged 10 ihe Ststemeni of Finartial Adivities on a Mraighi line basis over th¢ lease icrm. 2.14 Pe$ions The chaTltabl¢ company o￿Tal¢S a defined coniribuiion rKnsion scheme. Coniribuiions payable 10 ihe charl￿ble pany'$ pension aTe ehaTg¢d ￿ th¢ Stsiem¢ni of FinatKial Aciiviiies in th¢ periLKI ￿ which Ihcy ￿131¢. 2.15 Fund artoutiAg G¢n¢rdl funds ar¢ unT¢stricied fvnd5 which aTe availablc for ai ih¢ di￿[¢[10￿ of thc Trust￿$ in furth¢rnll￿ of the general objectives of ihe Chariry and which h8ve noi bee]] designated for other purpose$. R¢51ria¢d fvnds ar¢ filt￿$ whi¢h arc to b¢ u5¢d in accordance with specific restrictions imposcd by donor5 or whi¢h have been raised by the Chariry for panicular pu￿Se$. The costs of raising and adThinis1￿iTh8 5Kh funds are ch3r8ed again51 Iht spxcific fvnd. The aim and use of eatth Ytstricted fund is sei out ih the note$ 10 Ihc fina￿la1 stslcmenis. Inv¢siinenl incomcj sai￿ and losscs ar¢ allocated to ihc approwia fund. Criticgl xrcounting es¢im2t¢s aroas of Preparation of the accounts rcqvircs ihe TTusiees and managetrtni 10 m8ke SiBnificani judgmenis and esismaies. The iitms in ilit accoLmlS where th¢% judgment5 have been madc inrlud¢.' Ihe uscful economic lives 4ryTibuicd 10 iangibl¢ fixed asseis u5¢d io deT¢rmine ihe annual depreciaiion ehaTgc: th¢ ptovi$ion againg doubrful bad debts in resp￿1 of Course f¢e$' ¢st2rnaies i Te5peci of accrued ¢xpet)diwrt. JncoA (rom donaiions and Itgtit5 Unre5tri£ted ReStr￿Cted luNds Totgl funds 2112J Toiul futtds 2022 2023 202J Donari0Th5 51.604 51.604 01.526 A￿0/y$l$ of 2022 10101 10.817 50.70 OJ.52tS Page 19

Otsujsign Envelope 10.. 8A942F784C3F4LWC4.94D953AAOEF2 The Art Academy {A Cornpany Limited by Gu•raThtee Notes to the FinaTreial Staiennts For the Year Ended 31 Atsgusi 2023 Inc•me Irom charitable adiviti UDre5tricted funds 2023 Total funds 2•23 Tolol 2Q22 Teaching art classes Residenr anisis. 5twii05 1.265.155 8.526 1.265.155 8,526 1.338.255 18.825 Toial 2023 1.273.681 1,273,681 1.357.080 Affalysis 012Q22 I￿￿1 byfund 1.357.080 1.357.080 Income froth other trading ttivitit5 from fundraising events Urtstri¢itd fynd$ 2023 Total Ttrial 2023 2022 Christie's auciion C￿al1vity ieain twilding Sale of art marcri315 Other miscellaneous irwne 198,869 6.770 198,869 6.770 79.746 250.882 .604 92.894 130.990 79.746 250.882 536,267 536.267 233.494 Toial 2022 233.494 233.4P4 Jftyestmeni incott Unre51ricl¢ Total rund$ Toial 2023 2023 2022 Inve$imen¢ incomc 1.3 I,Joo Page 20

D0¢uSty3n Envebpe ID.. 8A942F784C3F406r￿￿C4-94D95sIAoEF2 The Art Audemy (A Cornpany Limited by GuaraThlee) r4otes to the Fin￿¢11 S¢aiements For the Yt#r Ended 31 A vgtss¢ 2023 Analysig ofexpeThdiiure o eh•riiable #rtivities Suwnary by fund type ure￿WItted lurJd5 Z•23 Resiriried fund5 2023 TotJ 2023 Total 2022 Teaching an classes 1.812.783 1.812.783 1.811.407 Anolysis of2022 ioioltyfund 1.700, 758 50.709 1,811.467 An¥l)si5 of expethdityre by ¢iivDties Aclivitie5 ndertke dirttily S¥ppori cos15 Total Tolal ids 2QZ3 2023 2023 T￿hIng art classe5 659.630 1,153.153 1,812.783 1.811.467 Anclysis of2022 Ioiul 655.65 1,155,809 1.111.467 Analysis of direct ros¢s Total rund5 2023 Toi<¥l 2022 Course material 94.318 417.452 45,426 78,702 23.732 J3.255 432.108 37,614 06, 722 27,074 8.885 Tutor ￿515 Marketing & adv¢rt151tl8 Other coursc material Shop illaierial Syiidry cos15 Tvlal 2023 659,630 fj55.fj58 Pa8e21

DDcuSign Envl¢pe ID". 8A912F784C3F4c)6(￿MC4.940gSYA0ÉF2 The Art Academy (A Cornpany Limiied by Cuaraniee) Notes to the Finan£ial Statements For the Year Ended 31 August 2023 An¥lysi5 of¢iptnditure by xlivities (¢oAtiTruedl Athlysls ofsupporl costs Totsl funds 2023 roiol IM￿d& 3022 STaff cosis 622.520 56.941 8,442 31,768 392.300 27.039 14.143 629.862 01.007 6.495 21.057 394. 112 13, 787 28,229 Admini5tratiorb COST5 Audiior refflutberdlion Legal costs Property ex￿NseS Sundry c0515 Bank cha￿5 Total 2023 1.155.8Q9 io. Auditor5. remuner•tion 2023 2022 Fees payable 10 Ihe C￿nty'S auditor for ihc audii and preparation of the chari￿s annual aecounts (inclusive of VAT) 5,922 Sl•(fcostS 2023 2022 Wages and salaries Swial securiiy ¢05ts Coniribution 10 dtfJn¢d coniribuiion peDsioD Schemes 572.736 35,783 14.001 575.030 43.422 11,410 622.520 tf29.8if2 The aveyagc numbcr of rkrson$ employed by the Charity during ihe y¢ar was a5 fo114MVS.' 2023 2022 Cxecuiive Adminisiraiion 20 Technical scryi¢¢s 20 23 P3g¢ 22

Docusign Envelope 10". 8A942F7B4C3F406WC4.94D953AAOEF2 The Art Academy {A Company Limited by Guarantee) Notes to the Finan¢i•l Statements For the Year Ended 31 Augu$t 21123 Staff cost$ (eontinwdl No employec T¢ttived remuncrarion amouniing ro more ih•n £60.1￿ in ¢ith¢r year. The Kcy Managemeni Personnel of The Art Academy comwise the TnLStees and senior managers as lisred on Page l. The atnount of employc¢ bvn¢fiis (iThcluding ¢mploy¢r p¢nsiofi conrributj¢)n5 a￿j employer naiional in5UTance coniributioi)51 and other paytnents paid ro key managetnenl ￿rSOnnel foi Iheir service5 to th¢ An Acade5ny was £81.93112022.. £78,136). 12. Trustees, remuneration e¥prns¢s The Principal bccame 8 ￿Slee on 6 Juty 2023. and was paid lmuncraiion. and recelved ￿n51¢j￿ benefits. from his employrneni wilh th¢ Chariry. The remuneraiion paid 15 solely in rwi of service5 pmwded unthr his coniTaci of employm¢Thl, wilh no rernuiieraiion ￿1￿¥ teceived for ￿ryIng a5 a tn]st¢¢. The valuc of his remuneration and sxhcr benefits Isthicd only for ihe pcriod 6 July 2023 10 31 Au8u5r 2023 for which he w&5 a mistee} was a5 follows". 2023 2022 R P¢pp¢r R¢mun¢raiioD P¢nston contributi￿￿ paid 8,490 708 During ihc year ended 31 Auxusi 2023. TnJs*¢ eXper￿ts have been Incurred (2022- £NILJ. Intan￿ble a$8ets Computer 50ftware Cosl Additions 9,000 At J l Augy512023 9.000 N¢t book valyt Al 31 Augu512023 9,000 Ai 31 Aug￿11 2022 Page 23

DocuS4n Enveknpe ID.. 8A942F784C3F4O6(￿C4-940gs3AAoEF2 The Art Ac•demy (A Company Limited by Guarniee) Notes ID ihe Financi#l Statements For the Yer Ended 31 August 2023 14. T4ngible fiAed $kts Fixture5, rittirtgs and computer eqyipmenl IA)#24erni lesehold roperty Freehold property Plani and machinery Total Cosi or v#lugiknn Ai I Sepiembcr 2022 Additions 1.820.306 10.022 15.545 64,262 269.893 12.369 2.164,483 27,914 At 31 Augusi 2023 1.820,306 25.567 64.262 282.262 2.192.397 Dtpre¢iation Al I Sepieinber 2022 Charg¢ for th¢ yvr 189.3(I6 27.( 9.156 1.663 62.093 857 198.007 35.671 458.562 65.191 Al 31 2023 216,306 10,819 62,950 233.678 523,753 Net book value Al 31 Aususi 2023 1.604.IKKJ 14.748 48.584 1.668.644 Al 31 Augusi 2022 i.oJi.000 2,109 71,886 1, 705,921 Included in freehold prop¢rty is tand at rosl of £455,077 which 1$ d¢pTeciat¢d. 15. Siotks 2023 2022 GO￿j$ for resale 54226 27. 750 16. Debton 2023 2022 ivithin one yur Trad¢ dcbtors 123.068 26.035 24.548 36,169 44 OiheT debiors Prepayments 83.477 1?3.651 J 19.690 Pa8e 24

DocJJSwJn En¥ebJpe 10 PA942F784C3F4l￿-￿4c4-9409S3AAOEF2 The Art Academy {A Company Limited by Gur•n¢tt) Notes lo the FiTraTrcial Statements For the Year Ended 31 August 2023 17. Creditor5: Amounts falling due withill oney￿r 2023 2022 Battk loans 61.919 262.095 56.889 281,888 13,087 57.165 159. 174 TTad¢ creditors Oihcr iaxaiion and social secuiity r crediioT5 49.419 258,478 A¢&n15 and d¢f¢rra 643,178 570.203 2023 2022 Deferred irKorne llt I Sepicmber 2022 Re$ource5 ¢jcftTh￿ during ih¢ YUT Ainounts r¢leased from pr¢vi¢Ju5 pcrifyls 10.224 209.963 (110224) 32.210 110.224 (3J.216) 209.963 110,224 Deferred income ai Ihe year-end COM￿Sed cOu￿t ftt inconx in advaE)ce of £209.963. 18. Creditors- Amounts flllng d¥e fttr Mort ihan ot yer 2023 2022 B8nk loan$ 1.046,893 1.079.045 Included within the atrxkve amounts falling due &% follows.. 2023 2022 Betiyeen one ond Iwo years Bank loan5 61,919 58,889 Bctween two *nd fiye year5 Bank loans 185,737 170,660 Over five years Bank loat7S 799.217 843.490 A 20 year arranbemcni was agreed with Nai West bank and sig￿￿ on 22 March 2021. The 20 year mort8age loan is secured on Ihe charity'5 freehold pro￿rtY ai 165a Borough High SITCd and Is repayable by iTrJthihly insiallinenis. Ihc full balance including interest will bc repaid in March 2(￿1. Pag¢ 25

Docu5vJn Envelope10" 8A942F7B4c3F4CW&4c4-94L￿s1WEF2 The Art Acaderny IA Company Limited by Guarantee) Notes to the Financial Statements For the Year Ended 31 August 21123 19. Stateme•t of funds Statenjerti of fund$- cMrre•t year Bl•oce 1 I September 2022 B￿lAncE at 31 Au¥ust 2023 Incornt Expe•diture U•resirl¢ied funds G¢neral Fund5 427.683 1,862.852 11,905.4431 385.092 Siattmtnt of funds- prior ye•r Boloffce I Swemiyr 2021 Bolonce al ExpeMdii¥iY 31 Atsgusi 2022 Income Unreslricted funds Gencrnl Funds 649.168 1.601.391 (1.822.870) 427.683 Rtjtricled North Wes¢ Mulii-ward Neighlx)uthood5 FUNI WaI¢￿8n Prizc KICk￿art Scheme (5,OOOJ (19,000) (26. 709) 19.000 26. 709 50.70 (50.70$)) Tot¥1 Off￿ndS 649.168 1.652.100 (1.873.585) 42?.083 Page 26

Docusign Envelope ID.. 8A942F7B4C3F4o￿c4.94Dg5￿1ÉF2 The Art Academy (A Cofflpany Limited by Guar4ntee) Noie5 to the FiThgn¢ial Stalements For the Year Ended JI August 2023 2•. Analysis oloei #sseis bdvtelh An•lysi5 •( net 55et5 beiween fu•ds- currefjt yer Umrestrietod fund5 2023 Total funds 2023 Tangibl¢ fbxed asscts Intangible fixcd asset$ cu￿en[ assets 1.668.644 1.668.644 9,000 39?,519 1643,178) 11.046,893) 397,519 (643,1781 (1.046.893) Crtdiiofs due within onc ytar Crediiors due Fll more ihatTr onc year Total 385,092 385.092 Anly5is of net assets bttweeA funds- prior year Unruiticied Toiul 2022 2022 Tangibl¢ fixed a5sefs Current assets Creditors duE wiihin one year Creditors due in more Ihan one year 1.7QS.921 371.010 (570.203) (1,079.045) 1.705.921 371.010 (570.203) (1.079.045) Toil 427,683 427,683 Page 27

OocuSign Envelope ID.. BAg42F7￿C3F406￿Ac4.g4D952AlOEF2 The Art Academy (A Comp#ny Limited by Guarantee) r4otes to the Flnancial StteJnent5 For the Year Ended 31 August 2023 21. ReconcS1iaiio offitt movemenl ID fuThd$ i• net tash now from optr*iini attivilies 2023 2022 Nel expEnditurE for the year las p¢r StsiwKnl of FiNT￿l¥l Aaiviii¢5) (42,591) (221.485) AdJustmenls for: D¢pr¢oianon charges Inler¢si payable DecTra$e/lincre3se) in Mocks Increase in debiots 64,394 83.201 {26.4701 {53.9611 70.742 {1.3(K>) 60.764 40.789 3.040 (74,676) 12.420 Increase in credilOTS Interesi received rash proyided byllused inl owating activities 94.015 (173. 142) 22. An#ty$i$ of e4sh and cA5h equiv4ltnts 20Z3 2022 Cash in hand 229 518 223,040 Noiic¢ d¢p05its {k55 Ihan 3 months) 169.413 Total cash and cash equivalents 169.642 223,564 23. Analysi$ of changt5 in net de Atl Seplemb¢r 2022 Al 31 August 2023 C￿h fio)Y$ Cash al bank and in hand Debi due within l yur Dtbi due afier l yC3T 223,564 {58.889} {1.079.045} (53.922) {3,030) 32.152 169.642 (1.046.893) 1914,3701 124,800} {939.1701 Page 28

Oocusign Envelope ID.. aA942F7B4C3F4D6W4C4-940953A40EF2 The Art A¢ademy (A Company Limited by G￿arantee} Notes to the FinaTr¢i#l Statements For the Year Ended 31 August 2023 24. Cothtingeni li#bilities The Art Academy has a coniingenr liability in res￿1 of its It￿ mern￿ld Ho￿$t. A new short iem) lease was $i8ned during Ihe ycar. ¢nding 12 JurK 2024. and this rolled forward obligaiions under the PTeViOU5 l¢a5e io pay. on 8 full indemniry basis, all rusonable Cosis, ¢haTges and expen5e5 whirh rJJay be incufr¢d by the LarKllord in connECtion with the PTcpgration. servic¢ and enfoT¢emeni of any schedule of dIlap￿alI￿s telaiing io rhe condition of Memiaid House durin8 Ihe ierni or ai a date on which it cnds (however Il may end}. Ai this time the tnist¢¢5 have nol receivcd ¢onfirMati￿. or orh¢rwise. of any payment for dilapidatiOllS thai mèy arisc under ihis obligarion. 25. Ptnsion ¢ommitme#ts The charitable cornpany operaics a defjned coninbuiion pcnsion xh¢me. The as5Ct5 of the scheme are held separately frorn iho of the tharitable company in an Inde￿nd¢￿tty adrninister¢d fvnd. The pension rost chxT8e r￿resentS Contriburions payable by the charirable cornpAtby io Ihe fund. 26. Optraling lease comth1t￿t￿ts Ai 31 Augus1 2023 the Charity had commimvnts to make fiJmr¢ rniThimurn lease po￿¢￿15 under noD-canccllablt opcraiing leases as follows-. 2013 2022 lat¢r than l year Later than l yearand noi lat¢r than 5 Y￿ 74,739 56,438 114.408 3J.080 149,488 Th¢ following Irdse pdyinents h•v¢ b¢en rccognisd as an expense in StaiemeTri of fina￿10) aciiviiic5' 2023 2022 Operatin8 IcaK rentsls 141.193 166.418 27. Tr¥stees' benefits: adyantes credit •nd gu*rantees During the yeai a ttew rrusiee Wds apN)ini¢d. who T￿tiVe￿ r¢mun¢rdliM during thE y￿r ior811ing £10,16012022.. £NTrl}. No other Irusiees received remurbtraiion during Ihe year. 28. Rplaltd party tr#ths2¢tio The Art Academy has not enlettd iftio any related pa]ty irdnsaction dunng Ihe y¢at..th¢K are there any outsiaNiin8 bBlances owing b¢rwttn related partie5 and The Aff Academy ¥131 Augusi 2023. DurTrng rhe ycar a number of InJ51ccs conrriburcd io ihc fvndrnising effons of Ihe charity by purchasing tabks ai ihe Chri5tie'$ auaiop ¢￿TrI, as ￿11 a5 providing li￿5 for ihe auciion. Durin¥ ihe year 2 truste￿ ￿¢1Yed totDmissioD on the g1¢ of an WOTk ar fundrJi5ing ev¢￿￿ toialling £3,994. PJg¢ 29

Oocusign EnveloFe IO". 8A942F7B4C3F4D6WC4-94095WOEF2 The Art Academy (A Company Limited by Guarant¢e) Notes io the Finanrigl Stgternents For the Year Ended JI August 2023 29. Pdsi balnce $htd evth(s The Art Academy signed a 25-year underfea5c for lis new siaie-of-the-an ¢ainpus 81 185 Park Streci. L￿dOts SEI. on 22 January 2024. Lttaied near Tale Mod¢rn. rh¢ n¢w campu5 will ready for s￿￿¢￿￿$ by late 5umtrw 2024 and. ¥5 disclosed in the Trnsiees, report and going concern accouniing policy. reptesethts a significant develoFxneni. Wbilsi the lea￿ is for 25 yea]5, th¢r¢ is a break claus¢ for ¢itlw portyon 22 January 2044. The leasc includes a r¢Trt-fr¢¢ (peppercorn rcni) 10 and in¢luding 30 June 2024. followed by two years ai £197,709.70 per 3nnum (s￿/0 of the full annual rent). Frotn and including l July 2026 10 aThd irKludiD8 th¢ firsi R¢vtew Date, 22 January 2029, the annual Tent is £395,419 40. In addsiion ro the Cott Itase pyTtktnts. Tht AM Academy is liable for la) an Insurance Rent and (b) A Building Service Charge, ￿)[h of which are b85¢d ￿ an afftwrlt ¢quival¢nt to a'fair and rrasonablc woportion of Ihc suins payable by ihe landlord Lmder ihe Superior iAs¢.' 185 PaTk Sireet rcquires a si8nifKant attMMJni of d¢v¢li>ptneni in order to b¢ ready for u5¢ in the dcsired iimescale. To facilirg1¢ Ihis The An Academy has eniertd into a developtnenl agreement wilh ihe landlord and JTRE LondoTb Ltd. the developer, and has agr¢ed to pay E750,000 (plus VAT if appliublcl by Instal￿¢￿1$ so thai ih¢ JfRE Is able io meet Ihe balance of Jis paymeni obliBaiions the BuildinK C4)ntrdtr. and arky other cosrs il i5 r¢quir¢d 10 pay in r¢latioTr io the d¢v¢loprn¢nt. To hElp fund this. in Aprtl 2024 ¢hariry eniercd Tnio a fin8rktt lease facrlriyof up £41N),C4yJ. The Itase penod 1$ 60 inonihs, and lh¢ tnonihly rental tyayable. in advance, 15 £8.871.08, including inr¢5t at the curr¢ni iDr¢r¢51 raie. Inier¢sr $(cn*s based on an interesi rate of 5.SYo Over UK Bank Bast Raie. Pag¢ 30