**Annual Report 2025 Trustees’ report and accounts for the year ended 31 December 2025** 

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## **Principals, Trustees and Executive Leadership Team** 

## **Patron** 

His Majesty The King 

## **President** 

HRH The Duke of Kent KG GCMG GCVO ADC 

## **Life Vice-Presidents** 

Marshal of the Royal Air Force The Lord Craig of Radley GCB OBE MA DSc FRAeS 

Air Chief Marshal Sir Michael Graydon GCB CBE ADC FRAeS 

Air Chief Marshal Sir Stephen Hillier KCB CBE DFC ADC MA RAF 

Air Chief Marshal Sir Richard Johns GCB KCVO CBE FRAeS 

Lady Hillier 

Air Chief Marshal Sir Roger Palin KCB OBE MA FRAeS FIPD 

Air Chief Marshal Sir Stephen Dalton GCB ADC LLD BSc FRAes CCMI RAF[1] 

Air Chief Marshal Sir Andrew Pulford KCB CBE ADC RAF[1] 

Air Chief Marshal The Lord Peach KG GBE KCB DL[1] 

Air Chief Marshal Sir Michael Wigston KCB CBE ADC[1] 

The Viscount Trenchard of Wolfeton DL[1] 

Lawrie Haynes CBE[1] 

## **Vice-President** 

John Isabel 

## **Council** 

## **Chair** 

Richard Daniel BSc (Hons) FRAeS 

## **Deputy Chair** 

The Viscount Trenchard of Wolfeton DL 

## **Honorary Treasurer** 

Alastair Irvine BA (Hons) MCSI 

## **Members** 

Patrick Aylmer FCA[2] 

Alison Benjamin BA (Hons) 

Wing Commander (Rtd) Sarah Davis MBA MSc FCIPD 

Lady Hillier 

Wing Commander (Rtd) Marie-Noelle Orzel OBE QVRM MSc PGDE RGN RSCN 

Chief of the Air Staff, Air Chief Marshal Sir Harv Smyth KCB OBE DFC ADC MA RAF[ 3] 

Deputy Chief of the Air Staff, Air Marshal Paul Lloyd CBE MSc MA MDA BEng CEng FIMechE RAF 

Lady Susan Meredith Mayhew BA (Hons)[2] 

## **Stepped down during the reporting period** 

Rachel Prendergast BA (Hons) MA (20 June 2025) 

Chief of the Air Staff, Air Chief Marshal Sir Richard Knighton KCB ADC FREng (29 August 2025) 

## **Board of Trustees** 

## **Chair** 

Richard Daniel BSc (Hons) FRAeS 

**Trustees as of 30 June 2026 (date report approved)** 

Allyson Arnold MSc BScN (Hons) 

Patrick Aylmer FCA4[4] 

Alison Benjamin BA (Hons) 

Richard Cryer MA (Cantab) FCA 

Wing Commander (Rtd) Sarah Davis MBA MSc FCIPD 

Alastair Irvine BA (Hons) MCSI 

Wing Commander Dr Sophie Allen MBChB FRCGP RAF 

Wing Commander Clive Martland MBE RAF Lady Susan Meredith Mayhew BA (Hons) John Neilson FCIPR[5] 

Alan Porter LLM 

## **Stepped down during the reporting period** 

Rachel Prendergast BA (Hons) MA (20 June 2025) 

## **Executive Leadership Team** 

## **Chief Executive** 

Air Vice-Marshal Chris Elliot CB CBE MA BSc 

**Director of Operations (formerly Director Grants, Strategy and Programmes)** 

Air Commodore Simon Harper OBE MA FCIPD 

## **Director of Resources** 

Victoria Akinboro BSc (Hons) ACMA CGMA 

## **Director of Fundraising** 

Ben Alonso BSc (Hons) MA PgDip (until 10 December 2025) 

Dr Hannah Brooking MSc BSc (acting, from 11 December 2025) 

## **Director of Strategy and Impact** 

Dr Hannah Brooking MSc BSc 

## **Director of Technology** 

Andrew Joubert (from 6 February 2025) 

## **Associate Director of Strategy and Impact** 

Dr Christina Floe BA (Oxon) DPhil (until 2 October 2025) 

1 Appointed 6 February 2025 

2 Appointed 18 June 2025 

3 Appointed 29 August 2025 

4 Appointed as the Senior Independent Trustee from 1 January 2025 

5 Appointed 1 September 2025 

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Trustees’ Report 

## **Contents** 

## **Supporting the Royal Air Force Family** 

**The impact of service extends far beyond military life, shaping the experiences of those who serve and the families who stand beside them. The RAF Benevolent Fund exists to support the RAF Family through both the opportunities and challenges that service brings, providing lifelong, practical help at every stage of life. From service life to transition and beyond, we are here to make sure no one faces these challenges alone.** 

## **Trustees’ Report** 

|Welcome from the Chief Executive and Chair|5|
|---|---|
|About us|6|
|Our strategic priorities|8|
|Delivering on our welfare goals|12|
|Working in partnership|20|
|Fundraising|22|
|Financial highlights|27|
|Financial review|27|
|Structure, management and governance<br>Principal professional advisers|38<br>40|
|Statement of Trustees’ responsibilities|41|
|Independent auditor’s report to the Trustees|42|
|**Financial statements**|**46**|
|Notes to the fnancial statements|**49**|
|Subsidiary entities|**80**|



Our most recent research, Meeting the Needs (MTN), continues to shape how we design and deliver support, strengthening our ability to be proactive rather than reactive. Guided by insight, experience and the voices of the RAF Family, we remained focused on delivering lifelong support that is relevant, trusted and responsive to changing needs. 

Our approach is clear and consistent. We listen carefully to those we support, act decisively to address emerging challenges, and adapt our support as lives and circumstances change. In doing so, we ensure every beneficiary receives the right help, at the right time and in the right way. Whether providing tailored, individual support, building resilience in communities, or investing in social spaces that bring people together, our work delivers meaningful, lifechanging outcomes every day. 


In 2025, our support reached across the full breadth of the RAF Family. We helped serving personnel and their families navigating the pressures of service life, veterans facing challenges with health, finances or career transition, and those living with bereavement or caring responsibilities. Many came to us with complex and interconnected needs, requiring sustained, personalised support rather than a single intervention. What unites every beneficiary is the assurance that the Fund is here for as long as support is needed; throughout service and long after it ends. Alongside this, continued investment in station communities, expanded caseworking and outreach, and new initiatives, such as our pilot School Holiday Provision, have broadened our reach and deepened our impact across the UK, and beyond our borders. 

At the heart of this impact is the generosity of our donors, supporters and volunteers whose commitment enables the Fund to stand alongside the RAF Family through every stage of life. Behind each outcome in this report is a person, and each family, a story. It is the service, resilience and sacrifice of the RAF Family that continue to drive our work today and ensure the Fund will always be there for the RAF Family, now, and for generations to come. 


**Richard Daniel, BSc (Hons) FRAeS** Chair of Trustees 



**Air Vice-Marshal Chris Elliot, CB CBE** Chief Executive 


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Trustees’ Report 

## **Our values** 

## **About us** 

Our values guide how we work, grow, and support one another and ensure that what we aim to achieve is firmly aligned with who we are. 

## **We are the heart of the RAF Family** 

**We have provided compassionate, timely support to the RAF Family since 1919. In 2025 alone, our reach was truly global, delivering localised support across 28 countries, to beneficiaries ranging in age from just three months to 103 years old. We remain a key partner in the RAF’s mission to look after their people during and after service, ensuring they are valued, recognised and supported long after uniforms are shed.** 

**During 2025, serving personnel and their families, veterans of all ages, and those affected by bereavement, were supported through challenges such as financial hardship, mental wellbeing, isolation and loneliness whenever and wherever it was needed. Our services directly helped more than 33,600 people and over 52,000 were indirectly supported through community activities and events. In many cases, our support proved life-changing.** 

## **Empathetic** 

We listen and seek to understand, always putting the wellbeing of the RAF Family first. 

## **People-focused** 

We put people at the heart of everything we do. 

## **Responsive** 

We do what we say we will, using evidence and insight to develop solutions that meet evolving needs. 

## **Inclusive** 

## **Our mission** 

## **Our vision** 

Our mission is to be there for every member of the RAF Family – listening, understanding and providing life-changing practical, emotional and financial support. 

Our vision is that everyone in the RAF Family – serving and former RAF personnel and their families – gets support when it is needed. 


We work hard to ensure everyone feels valued and supported. 

## **Innovative** 

We develop new ideas and approaches, using forward-thinking strategies to create meaningful impact. 

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Trustees’ Report 

## **Our strategic priorities** 

Our model was designed to deliver coordinated, end-to-end support rather than isolated interventions. By integrating enquiry handling, caseworking and specialist provision, we responded to a wide range of needs, often simultaneously, and sustained support over time where required. This approach reflected both the scale and complexity of demand, and the Fund’s unique role in providing lifelong support to the RAF Family. 

**We are always there for the RAF Family, providing trusted support through every stage of life, whenever challenges arise and for however long help is needed. Guided by evidence, insight and the lived experiences of those we serve, our strategy enables us to respond both proactively and compassionately to changing and increasingly complex needs.** 

Recent years have seen significant external pressures affect members of the RAF Family, including the lasting impact of the cost-ofliving crisis, changing operational demands, demographic shifts and broader societal trends. Many beneficiaries continue to face complex and interconnected challenges linked to financial insecurity, poor mental health, caring responsibilities, bereavement and the long-term effects of service life. These changing circumstances have increased the complexity of need, often requiring more personalised and sustained support. 

During the year, we expanded our in-house caseworking capability, increased geographic coverage and dealt with a higher volume of complex cases. This improved consistency, oversight and decision-making across the case lifecycle. Increased direct engagement with beneficiaries has also strengthened our understanding of needs, enabling more targeted and effective interventions. 

Safeguarding remained a core component of our operating model. We maintained robust processes throughout 2025, supported by regular training, continuous monitoring and established reporting mechanisms. We worked closely with external partners and statutory agencies to manage risk appropriately and ensure timely intervention where required. In 2026 and beyond, continuous improvement of safeguarding procedures remains a priority to ensure that vulnerable beneficiaries are protected and supported effectively. 

In 2025, our five key priorities continued to shape how we deliver support, helping us deepen our impact, strengthen awareness of our services and evolve the way we respond to increasingly complex beneficiary needs across the RAF Family in the UK and overseas. 

## **1. Providing increased hands-on, tailored support to the RAF Family** 

In 2026, we will continue to invest in our capabilities, with a particular focus on extending geographical reach and increasing in-person engagement. We have assessed that face-to-face engagement delivers better outcomes in complex cases by improving assessment quality, reducing delays and enabling more effective coordination of support. 

In 2025, we strengthened the Fund’s delivery model to ensure beneficiaries could access support more quickly and easily, and through clearer pathways. Our enquiry and referral service provided a consistent and responsive point of access across all services, enabling earlier identification of need and more timely intervention. This was critical in addressing the increasingly complex and interconnected challenges faced by serving personnel, veterans, families and the bereaved across the UK and overseas. 

## **2. Strengthening our local reach in more communities, engaging more effectively** 

In 2025, we strengthened our local delivery model, expanding our presence across the UK, reaching beneficiaries earlier and more effectively. The growth of our community outreach teams has extended access to support, particularly among individuals and families who were previously unknown to the Fund. This enabled timelier interventions and a stronger understanding of local need, allowing us to deliver support that is both targeted and responsive to the specific challenges faced by RAF communities. In line with our strategy, the continued expansion of community outreach has also increased our ability to identify and engage beneficiaries who had not previously accessed support. This reinforces the importance of maintaining an in-person presence, particularly in addressing hidden need and social isolation. 

Expanding our footprint has not only increased reach but improved outcomes. By operating closer to the communities we serve, we are better able to identify need, reduce barriers to access and provide more coordinated, practical support. This includes addressing social isolation, improving wellbeing and connecting beneficiaries to both Fund services and wider local provision. Targeted interventions, such as RAF Dementia Reminiscence Groups, continue to deliver measurable impact. In 2025, these groups supported **558 attendances across 43 sessions** , providing structured engagements for those living with dementia and enabling carers to access vital peer support, strengthening wellbeing and easing pressure on families. 

During the year, our Community Engagement team expanded in line with identified need, with new roles established in Scotland and South Wales. Activity levels increased significantly and exceeded key performance measures across outreach, home visits and community engagement. Support provided through this model ranged from direct contact and welfare checks to helping 

people access local networks and community groups. To strengthen coverage and ensure consistent access across additional regions, further expansion is planned in 2026. 

Our skilled and enthusiastic volunteers remained a crucial component of our delivery model, extending our reach, enhancing our ability to provide support, and offering both capacity and insight In 2025. Our volunteers continued to support across a wide range of activities, including direct beneficiary engagement, community programmes, fundraising and organisational support. 

## **3. Increasing fundraising income by continuing to diversify our income profile** 

In 2025, we strengthened our financial position and made continued progress toward a more sustainable and resilient income model. Total voluntary income reflected positive momentum against our objective to grow and diversify funding streams, supported by targeted investment in fundraising capability and a disciplined focus on long-term income quality rather than short-term gain. 

While legacy income continued to provide an essential financial foundation, its inherent variability reinforced the importance of building a broader and more balanced income base. During the year, we focused on strengthening complementary income streams, improving supporter retention and expanding our base of regular giving to enhance predictability and reduce reliance on any single source. 

We also took targeted action to address structural challenges within the fundraising portfolio, particularly in donor retention and community fundraising performance. Investments in stewardship, data-led engagement and organisational capacity are beginning to strengthen performance and will support more consistent income delivery over time. 

Looking ahead, our focus remains on strengthening income sustainability through 

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diversification, expanding higher-value income streams, and growing a stable base of regular supporters. This approach ensures the Fund is better positioned to respond to fluctuating income patterns and to meet the evolving and long-term needs of the RAF Family. 

## **4. Placing a greater emphasis on insight, impact and innovation** 

In 2025, we improved beneficiary access to support through the further development of our Single Point of Contact (SPOC) model. This involved extending enquiry hours, strengthening performance management and upgrading telephony systems to provide a more consistent, accessible and responsive service. As a result, we have established a more effective point-of-access into our services, enabling earlier identification of need and more consistent enquiry handling. 

These operational improvements have delivered a step change in performance. Average enquiry resolution times reduced from approximately five days to within one working day, significantly improving responsiveness and reducing delays in accessing support. This has enabled earlier intervention, particularly in more complex cases, and improved overall service quality by ensuring that needs are identified and addressed at the earliest possible stage. 

The strengthened SPOC model has also increased our capacity to manage demand, especially when enquiry volumes reached a five-year high during the second half of the year. Notably, over half of all enquiries were from individuals new to the Fund, indicating that service improvements and outreach activity are successfully extending reach and reducing barriers to access. 

In response to RAF operational pressures, including sustained tempo and short-notice deployments, we expanded targeted support for serving personnel and their families. This included piloting a School Holiday Provision programme across five RAF stations, supporting families where traditional 

childcare arrangements are disrupted by service commitments. The programme provided structured, affordable provision, including specialist support for children with additional needs, and demonstrated clear demand for further expansion. 

Investment in digital channels and improvements to the user journey have further supported accessibility, ensuring that beneficiaries can access support more easily and through the most appropriate channels. 

Together, developments achieved during 2025 have demonstrated measurable progress in both access to our services and impact. 

As a learning organisation, we actively seek and value feedback from those who use our services. Whilst satisfaction levels remain high, we recognise that there is always more to learn and we use feedback from beneficiaries to identify opportunities for improvement, strengthen service delivery and ensure we continue to meet the evolving needs of the RAF Family. 

## **5. Developing greater collaboration and partnership working** 

Our approach is to work in collaboration with 

the RAF and other stakeholders to identify areas where additional support is required, and to deploy our resources flexibly to meet those gaps. In 2025, we strengthened our role as a key partner to the RAF and the wider service charity sector, ensuring that support for the RAF Family is coordinated, complementary and aligned to evolving need. The Strategic Defence Review, with its emphasis on increased operational readiness, has reinforced the importance of this relationship. We have worked closely with the RAF to understand the implications for the serving community, identifying priority areas where our services can complement and augment public provision, particularly where needs fall outside or extend beyond what can be met through public funding. 

In 2025, we increased engagement with the serving community across all ranks, improving awareness of the Fund’s role both during and beyond service. This is critical in ensuring that individuals understand how to access support early, enabling timely intervention and reducing the risk of needs escalating. 

We continued to partner and collaborate with organisations and specialist charities to broaden our reach and extend support to the RAF Family. A key pathway was through the Confederation of Service Charities (Cobseo). As a permanent member of its Executive Board and through Cobseo clusters and forums, we worked closely with a range of military charities and other organisations, including HM Government, on matters related to veterans, families, the bereaved and the serving community. 

Collaboration across the Armed Forces charity sector has also strengthened delivery. Working alongside Royal Navy charities, we supported RAF personnel deployed on Operation HIGHMAST, ensuring appropriate provision both during deployment and on return. This reflects a more integrated, cross-service approach, improving the consistency and effectiveness of support for personnel operating in joint environments. 

Although we have an internal caseworking capability, we continued to rely on the collaboration with other organisations and charities that assisted us with referring beneficiaries to us, caseworking and distributing financial support to the RAF Family on our behalf. The following organisations are examples of some of our partners in 2025: 

- Age in Spain 

- Blesma The Limbless Veterans 

- Defence Medical Welfare Services 

- Jamaica Legion 

- Royal Air Forces Association 

- Royal Commonwealth Ex-Services League 

- South African Legion 

- Soldiers Sailors Airmen and Families Association 

- The East India Charitable Trust 

- The Royal Canadian Legion 

- The Royal British Legion 

- Zimbabwe A National Emergency 

In 2025, we further expanded our External Grants programme, following a comprehensive review in 2024, and we were able to increase delivery through partner organisations, supporting **3,850** beneficiaries, extending our reach both within the UK and overseas. The grant programme allows us to work through organisations with specialist expertise and local presence, ensuring support is targeted and effective. This included continued assistance to RAF-linked beneficiaries overseas, as well as a coordinated response with partners in Jamaica following Hurricane Melissa. 

During the year, we also assumed responsibility for RAF beneficiaries previously supported by the Officers’ Association Benevolent Fund (OABF). This transition ensures continuity of support while enabling beneficiaries to access the full range of Fund services, strengthening both coverage and consistency over the long term. 

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## **Delivering on our welfare goals** 

Our beneficiaries are at the heart of everything we do. When they need help, we provide personalised, practical support – when, where, and for as long as it is required. We know life can bring unexpected difficulties; from small changes to major challenges, our welfare provision brings a lifetime of support and that support can be life-enhancing, life-changing and, in some cases, life-saving. 

Based on research and evidence, our four welfare goals continue to guide our work. While distinct, they often overlap, reflecting the complex, multi-layered needs of our beneficiaries. Every enquiry marks the start of a tailored support journey, shaped around individual circumstances. 

## **Our support in numbers** 

**16,189** serving personnel and their families with direct support **50,713** serving personnel and their families with community activities and events 

**17,452** veterans, their families and the bereaved with direct support 

**1,521** veterans, their families and the bereaved with community activities and events 

In 2025, we directly supported more than **33,600** people and indirectly over **52,000.** 

## **Improving access to personalised support** 

Timely access to support is fundamental to achieving positive outcomes. In 2025, we strengthened our enquiry and referral model to ensure beneficiaries can access help more quickly and through clearer, more consistent pathways. This enabled us to identify need earlier, respond more effectively from the point of first contact and manage higher volume more effectively, maintaining a consistent and timely service. Our integrated model, linking enquiry, early insight and caseworking, has improved both efficiency and the quality of support. Beneficiaries experienced greater continuity, fewer points of repetition and more timely decisions. 

Earlier contact is critical. By reaching beneficiaries sooner, we were able to intervene at an earlier stage, reducing the likelihood that financial, wellbeing or social issues escalate into more complex situations requiring intensive support. This earlier insight directly informs how support is delivered. As more beneficiaries present with multiple and interconnected needs, demand for structured and coordinated support has increased. 

Caseworking provides the link between access and outcomes and we expanded our in-house caseworking capability, ensuring that those with more complex circumstances receive detailed assessment and tailored intervention. In 2025, our caseworking teams supported **730 cases,** exceeding the initial target of 562, and enabling us to directly support **97% of enquiries to the Fund** 

Our dedicated enquiry and referral team handled **10,609 direct enquiries** during the year. Increased demand was driven, in part, by targeted marketing and improved awareness of our services across the RAF Family, ensuring that more individuals understood how to access support when they needed it. 

**requiring caseworking intervention by the end of 2025.** By taking ownership of each case, our teams coordinate support more effectively, reduce delays in decision-making and ensure that interventions reflect the full circumstances of each beneficiary. 


**84%** of enquirers reported that their initial contact with the Fund was **‘very easy or easy’** Casework turnaround time from enquiry to application is an average **29 days** compared with 45 by external caseworkers 

**93%** of those engaged with a Fund caseworker reported the process **‘easy or very easy’** 

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Trustees’ Report 

## **Improving quality of living** 

Improving quality of living is central to our charitable outcomes, focusing on ensuring that beneficiaries can achieve financial stability, meet essential needs and maintain security over the longer term. Combining early identification of need, income maximisation, financial assistance, specialist advice and caseworking, enabled the Fund to improve quality of living in a sustainable way. By addressing both immediate pressures and underlying financial challenges, we supported beneficiaries to achieve greater stability, resilience and peace of mind. 

which played a critical role in improving financial stability of our beneficiaries. In 2025, the service identified **£2.3M in** an increase of **£360K unclaimed benefits, on the previous year,** with case volumes rising by **9%.** By ensuring beneficiaries received their full statutory entitlement, this support provided a sustainable increase in income rather than short-term assistance alone. Satisfaction remained high, with **95% of beneficiaries reporting a positive experience.** 

Alongside income maximisation, we continued to support beneficiaries to navigate an increasingly complex benefits system, including changes associated with Universal Credit and wider policy reforms. In more complex cases, this support was delivered alongside caseworking, ensuring that financial advice was aligned with a full assessment of individual circumstances and linked to broader interventions where required. Debt remained a significant and growing challenge for some beneficiaries, often linked to wider financial pressures. In response, we strengthened our support offer by improving access to specialist debt advice. A new partnership with PayPlan was established to enable direct referrals for free, independent debt advice, moving beyond signposting to a more proactive and supported pathway. This service will be launched in 2026 and represents an important step in addressing financial vulnerability more proactively. 

In 2025, we continued to support individuals and families facing financial pressures, while responding to a growing trend of more complex and interconnected needs. Although wider economic conditions stabilised during the year and immediate demand for crisis financial support reduced, compared to the period following the pandemic, many beneficiaries continued to experience sustained pressure from rising costs and changing financial circumstances. As a result, demand increasingly shifted towards more comprehensive support, addressing multiple issues simultaneously rather than single points of need. 

## **We assisted beneficiaries to identify a total of £2.34M in unclaimed benefits** 

In 2025, **14 RAF Dependants Fund cases** were supported with each beneficiary receiving a grant of **£20,000.** In addition, **six** beneficiaries also received support from Dependants Income Trust. These payments are designed to provide immediate financial support in the event of the death of a subscriber, followed by longer-term financial security during bereavement, helping to stabilise circumstances at the most difficult times. 

To ensure that those in need were able to access support, we increased awareness of our services through targeted communication and marketing activity. This contributed to a significant rise in enquiry levels, reaching a five-year high. Importantly, this enabled us to identify need earlier, allowing for more timely intervention and reducing the risk of longer-term hardship. A core element of our response was our Benefits and Advice Service, 

## **Increasing independence** 

Supporting beneficiaries to live independently is a core outcome of our welfare provision, particularly for those affected by injury, disability or long-term health conditions. Our approach linking housing, practical support, community engagement, care provision and advocacy ensured that independence was addressed holistically rather than through individual interventions. By aligning these elements, we responded more effectively to complex needs, improving quality of life and enabling more beneficiaries to remain independent for longer. 

Community outreach played an important enabling role in sustaining independence, particularly for those at risk of isolation or disengagement. Through home visits, local engagement and connection to community networks, outreach support helped beneficiaries to maintain confidence, rebuild routines and access wider support systems. This preventative approach reduced the risk of declining independence, helped identify emerging needs before they escalate, and complemented more formal interventions such as adaptations or care provision. 

In 2025, we strengthened our ability to deliver coordinated support that enabled people to live safely, maintain control over their daily lives and reduce reliance on more intensive care provision. Across the year, we supported to increase their **3,570 beneficiaries** independence. 

As needs become more complex, maintaining independence increasingly depends on access to appropriate care and statutory provision. During the year, we increased grant levels for domiciliary care and care home support to reflect market conditions, ensuring continued access to necessary services. At the same time, our Advocacy Service supported beneficiaries in navigating statutory systems and securing appropriate provision, particularly in the context of increased pressure on local authority services. Demand for our Advocacy Service increased by **26%, with 331 beneficiaries supported,** enabling more individuals to access the support required to live independently. 

The Housing Trust continues to provide a key foundation for independence for those with the most complex needs. At the end of 2025, we held **173 occupied properties,** supporting **352 people** in homes that provided long-term stability and are specifically designed to meet individual and family requirements, often following life-changing injury or illness. Satisfaction remains high, with and **100% 94% of tenants satisfied confirming an improvement in quality of life,** demonstrating the impact of secure and appropriate housing on independence and wellbeing. For many beneficiaries, independence was best maintained within their existing homes and local communities. 

In 2025, we delivered targeted support including property adaptations, specialist equipment and mobility solutions. These interventions enable individuals to carry out daily activities more safely, reduce physical strain, and maintain mobility both within and outside the home. **92% experienced improved comfort.** 

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## **Enhancing wellbeing** 

Supporting the mental health, emotional resilience and social wellbeing of the RAF Family is a core component of our work. In 2025, we continued to deliver a range of preventative and responsive services that help individuals and families manage the pressures of service life, transition and later life. Our combination of mental health support, community connection, family-focused services and restorative provision ensured that wellbeing is supported in a coordinated and sustained way. By addressing both immediate needs and longer-term resilience, we were able to reduce the impact of service-related pressures and improve quality of life across the RAF Family. 

During the year, eligibility was broadened to include additional beneficiary groups, extending reach and accessibility. 

Relationship support remained a critical element of wellbeing for the RAF Family. Service life can place significant strain on family relationships, particularly during periods of deployment and separation. In 2025, **1,014 individuals** accessed relationship counselling, with **88%** reporting improvement in their situation and **75%** reporting improved mental wellbeing. These interventions help stabilise family environments, reduce stress and strengthen longer-term resilience. 

## **Community connection and veteran wellbeing** 

## **Supporting adult mental health and relationships** 

Maintaining social connection is essential to emotional wellbeing, particularly for veterans and older beneficiaries who may be at risk of isolation. In 2025, we expanded our community outreach capability, increasing local presence and engagement across additional regions of the UK. Through this approach, we supported **352 beneficiaries** , providing direct engagement through home visits, regular contact and connection to local activities and support networks. This early and preventative support played a key role in addressing isolation, rebuilding confidence and sustaining engagement with community life. Targeted initiatives continued to deliver measurable impact. This included **43** RAF Dementia Reminiscence Groups, supporting **558** attendances, which provided structured engagement for individuals living with dementia while also enabling carers to access peer support. This dual approach addresses both individual wellbeing and the wider pressures experienced by families. 

Demand for mental health and wellbeing support remained high during the year, reflecting sustained operational tempo, uncertainty and the wider challenges facing the RAF Family. In 2025, we supported **2,000 individuals** through our Listening and Counselling service, primarily within the serving community. Satisfaction remained strong, with **91%** reporting a positive experience, indicating continued effectiveness in supporting people at times of need. To maintain quality and consistency, we restructured delivery of this service, appointing a single national provider; this improved access, strengthened oversight and ensured more consistent provision across the UK, while positioning the service to respond to changing patterns of demand. 

Alongside reactive support, we continued to expand preventative provision. Free access to the wellbeing app, Headspace, provides a practical mental health toolkit to help individuals manage everyday pressures and build resilience. Usage remains high, with **98% satisfaction** and **96%** of users reporting an improvement in quality of life. 

Group-based services also continue to deliver strong outcomes. Telephone Friendship Groups **improved quality** 

## **of life for 95% of participants** , while 

Group Friendship Breaks reported **100%** satisfaction and **93% improved emotional wellbeing** . These services were particularly effective in supporting recovery following bereavement, illness or prolonged periods of isolation, helping individuals rebuild connection and confidence. 

## **Children, young people and** 

## **family wellbeing** 

Children and families within the serving community face distinct and evolving challenges, including frequent moves, parental deployment and reduced access to extended support networks. Our services focus on building resilience, confidence and stability for young people, while supporting the wider wellbeing of families. 

Our flagship Airplay programme **supported 1,953 children across 24 RAF stations** , with **832** new registrations in 2025. Outcomes remained consistently strong: **99%** reported feeling safe, **96%** were better able to settle following a move, and **94%** reported increased confidence. These programmes provided safe and stable environments that help children adapt to the demands of service life and build positive relationships. 

We also responded directly to identified gaps in childcare provision. Following evidence from the RAF Community Needs Analysis, we piloted a School Holiday Provision programme across five RAF stations. This supported **255 children from 139 families** , providing accessible and flexible childcare where service commitments disrupted normal arrangements. The impact extended beyond childcare provision as parents reported reduced stress and improved ability to manage work commitments, while children benefited from structured activity and social development. This demonstrated how targeted interventions can support both child development and overall family wellbeing, particularly in periods of increased operational pressure. 

## **Restorative support and family resilience** 

Providing time away from daily pressures is an important component of maintaining emotional wellbeing and strengthening family relationships. In 2025, demand for wellbeing breaks increased significantly, with a **55% rise** in participation. These breaks provided structured opportunities for rest, recovery and reconnection, particularly for those affected by bereavement, illness or sustained stress. **86% of participants** reported an improvement in personal and family relationships, underlining the role these interventions play in supporting longer-term wellbeing and resilience. 

We continued to provide accessible breaks, enabling beneficiaries with additional needs to stay in adapted accommodation. In 2025, **100% of participants** reported satisfaction and improved emotional wellbeing. Our accessible property in Bridlington supported **164 beneficiaries** , offering families valuable time together in a supportive environment and reinforcing the importance of restorative breaks. 

## **Support for stations and units** 

Supporting RAF stations and units is a central part of how we deliver impact at scale, strengthening the environments in which serving personnel and their families live and work. In 2025, we supported more than **50,000 members of the serving community** through station-based activity, community programmes and infrastructure investment, complementing the direct support we provide to individuals and ensuring that wellbeing is supported proactively across the service. 

Our Station Grants Programme is a key part of our support, enabling the Fund to respond flexibly to local need and augment public provision in areas that directly affect day-to-day life on base. This was delivered in close partnership with the RAF, working collaboratively with Station Commanders and welfare teams to identify priorities and 

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co-design solutions that were both impactful and sustainable. This approach ensured that support was shaped by those closest to need and aligned to operational realities. 

Our support is deliberately designed to operate at community level. By investing in social spaces, activities and local initiatives, we help create environments where personnel and families feel supported, connected and valued, which is particularly important in the context of high operational tempo, mobility and separation from wider support networks. 

During 2025, we expanded programmes that directly support families and earlystage resilience. Through BenPlay and BenParenting, we enabled RAF units to deliver locally tailored provision for new parents and young children, recognising the importance of early support in maintaining family stability. In addition, Families and Festival Day grants supported **25** RAF stations, bringing communities together and strengthening relationships across serving and veteran groups. 

Our support also addressed practical needs within the built environment. This included investment in welfare facilities, family spaces and community infrastructure across stations such as RAF Brize Norton, MOD Boscombe Down, RAF Halton and RRC Crickhowell, as well as overseas locations including Ascension Island. These relatively modest investments delivered tangible 

improvements to daily life, enhancing wellbeing and supporting a stronger sense of community cohesion. 

We also adapted our support to reflect operational realities. In 2025, sustained operational tempo and short-notice deployments placed additional pressure on personnel and families, particularly during key periods such as Christmas. In response, we extended targeted support to isolated and deployed environments, providing additional grants to **10 stations** overseas and in remote locations, supporting approximately **446 personnel** . This enabled the provision of welfare activities and communal spaces, helping maintain morale and connection for those unable to return home. The breadth of our support across stations is reflected in the wide range of locations and units reached across the UK and overseas. By combining targeted funding with local collaboration and flexibility, we enable Commanders to address specific challenges within their communities quickly and effectively. 

Grounded in collaboration, local insight and responsiveness, we delivered impact at scale while remaining focused on outcomes. By strengthening the environments in which RAF personnel and their families live, we helped reduce pressure before it escalated, improving wellbeing across communities and supporting the wider operational effectiveness of the service. 

## **Support to RAF stations and units** 


**----- Start of picture text -----**<br>
RAF LOSSIEMOUTH:  £78.0K CYPRUS<br>EPISKOPI STATION:  £9.7K<br>602 SQN GLASGOW:  £0.5K<br>603 SQN EDINBURGH:  £0.5K<br>RAF SPADEADAM:  £0.7K<br>RAF BOULMER:  £64.1K<br>RAF LEEMING:  £75.8K RAF FYLINGDALES:  £1.2K<br>INTERNATIONAL BOMBER COMMAND CENTRE:  £2.6K<br>502 SQN ALDERGROVE:  £0.5K<br>RAF DIGBY:  £68.1K<br>RAF WADDINGTON:  £69.1K RAF CONINGSBY:  £63.7K<br>RAF CRANWELL:  £70.3K RAF WITTERING:  £81.6K<br>RAF VALLEY:  £59.6K RAF MARHAM:  £63.3K<br>RAF SHAWBURY:  £54.8K RAF HONINGTON:  £57.5K<br>RAF COSFORD:  £63.6K RAF WYTON:  £61.9K<br>MOD STAFFORD:  £0.3K RAF HENLOW:  £66.7K<br>RAF BRIZE NORTON:  £164.7K RAF HALTON:  £112.6K<br>RRC CRICKHOWELL:  £44.0K AIR COMMAND:  £4.0K<br>CHELTENHAM JSSU:  £0.5K RAF NORTHOLT:  £106.3K<br>CORSHAM MOD:  £0.5K<br>THE KING’S COLOUR SQN:  £1.2K<br>MOD BOSCOMBE DOWN:  £70.7K<br>NORTHWOOD HEADQUARTERS:  £10.7K<br>78 SQN SWANWICK:  £0.3K RAF HIGH WYCOMBE:  £65.0K<br>RAF ST MAWGAN:  £59.2K RAF ODIHAM:  £64.4K<br>RAF BENSON:  £101.0K<br>RAF CENTRAL FUND:  £3.0K<br>FALKLAND ISLANDS ASCENSION ISLAND<br>BFSAI FALKLANDS:  £1.0K RAF ASCENSION ISLAND:  £0.7K<br>**----- End of picture text -----**<br>


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The following examples illustrate the breadth of the programme and the range of specialist organisations supported during the year: 

|Age in Spain<br>**£2.5K**<br>Broughton House Care Village<br>**£5K**<br>Climb to Recovery<br>**£2.5K**<br>Combat Stress<br>**£30K**<br>Cornwall Ex-Military Hub Op<br>Kernow<br>**£1K**<br>Defence Medical Welfare<br>Service<br>**£10K**<br>Eastern European War Widows<br>Poland<br>**£1.8K**<br>Eastern European War Widows<br>Slovak<br>**£1.8K**<br>Erskine Veterans Charity<br>**£5K**<br>Forces Employment Charity<br>**£40K**<br>HorseBack UK<br>**£2K**<br> <br>breadth of the programme and the range of<br>specialist organisations supported during<br>the year:|Hounds for Heroes<br>**£1K**|
|---|---|
||RAF Families Federation<br>**£15K**|
||RAF Widows Association<br>**£39K**|
||Royal Commonwealth<br>Ex-Services Jamaica League<br>**£4K**|
||Royal Commonwealth<br>Ex-Services League CVP<br>**£12.8K**|
||Team Endeavour Racing<br>**£4K**|
||The Veterans Charity<br>**£5K**|
||UHBC Fisher House<br>**£10K**|
||Veterans Support Service CIC<br>**£5K**|
||Walking With The Wounded<br>**£10K**|
||Together, our partnerships enable the<br>Fund to deliver location-based and person-<br>centred support more efectively, ensuring<br>that our benefciaries beneft from a broad<br>and coordinated network of provision.|



## **Working in partnership** 

## **External grants** 

During 2025, we evolved our approach from transactional grant-making towards longer-term, strategic partnership working. Discussions were initiated with organisations including Combat Stress, the Forces Employment Charity and Help for Heroes to develop more structured and enduring collaborations. This included the development of referral pathways and shared approaches to delivery, ensuring that beneficiaries receive coordinated, consistent and holistic support across the sector. 

Our External Grants Programme allows us to deliver targeted, high-impact support through trusted partners, ensuring that assistance is both locally relevant and responsive to individual need. Following the completion of a comprehensive review of the External Grants Programme in late 2024, we expanded and reshaped the programme in 2025 to increase both reach and effectiveness. This included greater emphasis on supporting smaller, locally embedded organisations that can deliver tailored support to RAF beneficiaries, alongside strengthening relationships with larger national charities that provide specialist expertise. 

This shift reflects a more integrated model of delivery, recognising that many beneficiaries present with complex and interconnected needs that cannot be addressed by a single organisation. By working more closely with trusted partners, we ensured that individuals receive the right support, in the right place, at the right time. 

The External Grants Programme also plays an important role in extending our support internationally. We continued to provide assistance overseas, including ongoing contributions to the Eastern European War Widows through UK Embassies in Poland and Slovakia. While this group has reduced to only two remaining beneficiaries, our continued support reflects our long-term commitment to those connected to the RAF Family, wherever they are located. The programme also enabled us to be flexible and responsive to emerging need. Following Hurricane Melissa in October, we worked with the Royal Commonwealth ExServiceman’s League to assess the impact on RAF beneficiaries in Jamaica and provided targeted funding to support the Jamaica Legion in replacing a critical administration vehicle. 



**----- Start of picture text -----**<br>
Walking With The Wounded staff and beneficiary<br>**----- End of picture text -----**<br>


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## **Fundraising** 

In 2025, thanks to the generosity of our supporters, we strengthened our fundraising performance and continued to diversify our income base, generating **£19.6M** in voluntary income. Our fundraising performance improved on the previous year, with an increase of **£3.4M (21%)** . Whilst this result was supported by a strong performance from gifts in Wills, this income is inherently unpredictable and can vary considerably between years. We therefore continue to focus on developing a broad and sustainable mix of income streams to reduce reliance on any single source of funding. This enables us to respond flexibly to changing demand, invest in service delivery and maintain the financial stability required to support beneficiaries across their whole life. 

## **Summary of Fundraising income in 2025** 


**----- Start of picture text -----**<br>
£14.0M  received from gifts in Wills<br>£1.8M  received from partners, grants<br>and high-value gifts<br>Fundraising £1.7M Giving received from Service Day’s Pay<br>income £0.4M  received from community<br>fundraising<br>£19.7M<br>£1.4M  received from individual<br>donations and support<br>£0.4M  received from trading income<br>and events<br>**----- End of picture text -----**<br>


We remain fully committed to supporting the RAF Family and ensuring every pound is used where it has the greatest impact. 

**Gifts in Wills** remained the largest 

contributor to voluntary income, generating **£14.0M, 71%** of the total voluntary income. Gifts in Wills continue to provide the financial foundation of the Fund, supporting longterm planning and enabling sustained investment in services that deliver impact over many years. These contributions reflect the enduring commitment of supporters who choose to leave a lasting legacy for the RAF Family. 

As income from gifts in Wills is inherently variable, the level received in 2025 reinforces the importance of maintaining a diversified income base. 

Managing this variability remains a key priority, and we have continued to strengthen other income streams to build a more balanced and resilient portfolio, with each stream playing a complementary role. 

**Individual giving** remains a cornerstone of long-term sustainability, providing dependable and recurring income. In 2025, more than **29,000 individuals** supported the Fund through a combination of regular and one-off contributions, through a wide range of channels, including direct appeals, online giving, payroll giving, our weekly lottery, merchandise sales at events, and regular giving programmes. 

Our **Direct Marketing** programme generated 

**£1.33M** , supported by investment in acquisition and stewardship. The programme achieved over **8,900 active regular donors** , including more than **3,000 new donors** recruited during the year, strengthening the base of predictable income. Those serving in the RAF continued to give through their pay (a scheme known as **RAF Service Day’s Pay Giving)** , which generated **£1.73M** , providing a consistent funding stream. 

Income from **Trusts and High Value Gifts** totalled **£1.1M** , reflecting strong partnerships with both longstanding and new supporters. Established donors such as Dr Michael Oliver OBE DL, Mr and Mrs Blowers, the Wimbledon Foundation and the Armed Forces Covenant Fund Trust continued to play an important role, while new supporters, including the Windsor Royal Warrant Holders Association 

## and the Lest We Forget Association, 

strengthened our ability to deliver targeted support. In addition, we continued to benefit from the commitment of supporters who increased their contributions towards our wider support for the RAF Family, such as the Royal Edinburgh Military Tattoo, The Grace Trust and the James Weir Foundation. 

Our **Corporate Partnerships** portfolio generated **£620K** , supported by organisations including MBDA, BAE Systems, VIVO Defence Services, Exolum and Corps Security. These partnerships provide not only financial contribution, but also long-term strategic alignment, enabling the Fund to extend its reach and connect more effectively with the defence and wider business community. 

Events and major fundraising initiatives continue to support both income and engagement. **The Battle of Britain Gala Dinner** at RAF Northolt and flagship supporter-led challenges such as **Riding on Air** , which raised **£58K** for Airplay, demonstrate how partnerships and supporter-led activity contribute to both immediate income and longer-term growth. 

**Community fundraising** contributed **£405K** and remains an important part of our fundraising model. Through events, challenges and station-based activity, supporters across the UK and beyond continue to demonstrate strong commitment to the RAF Family. Activities ranged from endurance events and airshow fundraising to station engagement and community initiatives. Our continued presence at RAF stations, public events and community activities also strengthens relationships with serving personnel and families, ensuring the Fund remains visible, accessible and relevant. 

Throughout the year, we continued to invest in fundraising capability, focusing on improving acquisition, strengthening retention and enhancing the supporter experience. This has included increasing capacity within fundraising teams, refining engagement approaches and making better use of data and insight to understand supporter behaviour. These investments are essential in ensuring that income growth is sustainable over the longer term. 

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## **Fundraising compliance and** 

## **supporter promise** 

When fundraising, we comply with all relevant laws and regulations including the Charities Acts 2011 and 2022, the Charities (Protection and Social Investment) Act 2016, the UK General Data Protection Regulation (UK GDPR), the Data Protection Act 2018 and the Privacy and Electronic Communications Regulations 2003. In addition to executive oversight of our fundraising activities, our Board of Trustees closely monitors our fundraising activity and performance. 

We also comply with the regulatory standards for fundraising, including guidance published by the Charity Commission. We are registered with the Fundraising Regulator and are committed to the Fundraising Promise, compliance with the Fundraising Preference Service and adherence to the Code of Fundraising Practice. In 2025 we paid the Fundraising Regulator’s Fundraising Levy, a voluntary payment to help fund the organisation to regulate the charity sector’s fundraising activities. 

We are fully committed to the principles we lay out in our fundraising promise: 

We believe in being transparent in how we raise money and spend donations, and the impact this makes on the RAF Family. We take this responsibility very seriously. In all that we do, we aim to meet the highest standards, so that supporters and volunteers can give to and fundraise for, and on behalf of us, with confidence and trust that their hard work will make a difference. 

## **We are open, honest and transparent** 

We promise to be open, honest and transparent in relation to our fundraising and in how accurately we represent members of the RAF Family in the materials we produce. We engage them in planning and ensure we have their approval before the materials are made public. 

## **We are respectful** 

Whether in fundraising materials, or a conversation, we show respect and we promise never to pressurise anyone to make a donation. We are particularly sensitive when engaging with vulnerable people, including those who are elderly. Importantly, we do not and never have shared our supporters’ details with any other charity or business. Following the introduction of the UK General Data Protection Regulation in 2018, we only communicate with supporters who have given us express permission to maintain contact with them. We keep supporters up to date with our work in a way that suits them. If any supporter prefers a reduced level of contact, they only have to let us know and we will respond to their wishes. 

## **We are accessible** 

We want to make it easy for anyone to get in touch with our fundraising team. Whether they want to update their contact preferences or ask a question about our work or how we spend their donation, we welcome their phone call, email or letter. We have procedures in place should a supporter be unhappy or have concerns about any of our fundraising activities. This is available on our website or by emailing **speak-up@rafbf.org.uk** . We provide information on our website as to how people can take their complaint to the Fundraising Regulator if they feel we have not responded suitably. 

## **Working responsibly with fundraising agencies** 

We partner with professional fundraising agencies to carry out face-to-face and telephone fundraising on our behalf. Our partners are committed to the highest standards of respectful and responsible fundraising and comply with the Code of Fundraising Practice. All external fundraisers receive comprehensive ongoing training to ensure they fully understand our mission, the regulatory landscape, and the importance of engaging sensitively and respectfully with our supporters. 

In 2025, we received three complaints about our face-to-face fundraising. To put this in context, we estimate that our face-toface representatives engaged with **123,750** members of the public during the year. We also received just one complaint about our telephone fundraising. To put this into context, telephone fundraisers working on our behalf spoke to around **33,500** members of the public in 2025. The complaints we received were resolved without any need for escalation to external bodies, and we continue to closely monitor the activity of the professional agencies we employ, through call listening, shadowing and regular training. 

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## **Thank you to our donors** 

**We are immensely grateful to our donors, some of whom are listed below. Your generosity has made a significant impact, and we cannot thank you enough.** 

Adrian Swire Charitable Trust 

MBDA 

The April Fools’ Club 

Michael Cornish Charitable Trust 

Armed Forces Covenant Fund Trust 

Mrs M A Black Charitable Trust 

Pascal Fournier 

BAE Systems 

The Banham Foundation 

The RAF Armourers 

Mr and Mrs Colin Blowers 

The RAF Changi Association 

The Castanea Trust 

Red Arrows Trust 

Charles Burrell 2016 Charitable Settlement 

Royal Edinburgh Military Tattoo 

The Corps of Commissionaires Management 

Serco Foundation 

The Spitfire Experience 

Dilys Joyce Coleman Charitable Trust 

Dr Michael Oliver OBE DL 

Thales Charitable Trust 

Exolum 

VIVO Defence Services 

General Dynamics 

West London Aero Club 

The W J Hill Charitable Trust 

Grace Trust 

i3 Secure Limited 

Wimbledon Foundation 

The J H Bartlett Charity 

**Everyone who kindly remembered the Fund in their Will** 

James Weir Foundation 


John Alexander Cochrane Will Trust 

John Scott Charitable Trust 

Leonardo 

The Lest We Forget Association 

Loppylugs & Barbara Morrison Charitable Trust 

Marham Cycling Club 

Mary E Scantlebury Charitable Will Trust 

## **Financial highlights** 

The financial outcome for the year ended 31 December 2025 is set out in the “Consolidated Statement of Financial Activities” on page **46** . 

## **Income** 

Gifts in Wills: **£14M/51%** Fundraising: **£5.6M/20% Total** Serving RAF: **£1.7M/6% Income** Investments: **£2.9M/10% £27.7M** Charitable Activities: **£1.3M/5%** Other Income: **£2.2M/8%** 

Total income increased to **£27.7M (2024: £21.6M)** , representing a **£6.1M (28%) increase** on the previous year. This growth reflects strong performance across several income streams, supported by both underlying activity and one-off contributions. Of total income, **£21.3M (77%)** was from voluntary sources, (Fundraising activity and gift in Wills) and **£6.4M (23%)** was earned from charitable activities (mainly rent income), investments and the disposal of fixed assets. 

Our overall surplus before accounting for investment market losses was **£5.5M** , a significant improvement on the **£0.6M** net expenditure in 2024. We incurred unrealised losses on our investments of **£1.3M** compared to the **£2.2M** gain in 2024. 

**26** 

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**----- Start of picture text -----**<br>
Income Overview 2025 2024 Increase in 2025<br>£M £M £M %<br>Gifts in Wills 14.0 10.7 3.3 31%<br>Other Fundraising and grant income ** 4.4 3.9 0.5 13%<br>OABF grant 1.2 - 1.2 100%<br>Serving RAF 1.7 1.6 0.1 6%<br>Investments 2.9 2.7 0.2 7%<br>Charitable Activities 1.3 1.3 - -<br>Profit from fixed asset sales 2.0 1.2 0.8 67%<br>Pension interest 0.2 0.2 - -<br>27.7 21.6 6.1 28%<br>**----- End of picture text -----**<br>


** Includes Officers’ Association Benevolent Fund donation (£1.2M) and RAF Grant Aid (£0.3M) 

Legacy income remained the most significant contributor, with **£14.0M received** through gifts in Wills **(2024: £10.7M)** . As expected, gifts in Wills income continues to fluctuate year-onyear and, in 2025, represents an increase of **£3.3M (31%)** compared to 2024, reflecting the inherently unpredictable timing and value of individual gifts in Wills. In 2025 legacy income represented: 

## **• 66% of voluntary income** 

## **• 51% of total income** 

Income from donations, grants and other fundraising activity totalled **£7.3M (2024: £5.5M)** , an increase of **£1.8M (33%)** . This growth was primarily driven by a **£1.2M one-off transfer from the Officers’ Association Benevolent Fund (OABF)** , together with **£0.3M RAF Grant in Aid** , both recorded as restricted income in the year. 

Income from charitable activities remained stable at **£1.3M (2024: £1.3M)** and was primarily derived from rental income generated through the Royal Air Force Benevolent Fund Housing Trust’s portfolio of properties to support particularly vulnerable beneficiaries through the provision of bespoke housing solutions. As affordable rents are set depending on individual circumstances, the Fund provided a **£1.1M subsidy** across all Housing Trust properties, directly supporting beneficiaries’ financial stability. 

Other income increased by **£0.8M (57%)** , driven by the disposal of **13 properties (2024: 9)** that were no longer required to deliver housing support. At the end of the year, the Housing Trust held **182 properties** . 

## **Income: £27.7M** 


It is important to use our gifted and earned income judiciously to ensure that the organisation is run properly and efficiently and that we achieve the best impact for the RAF Family. 

100% of the **£6.1M** raised from fundraising activity including the **£1.7M** from the serving RAF was spent on charitable activities in year. In addition to fundraised income, a restricted **£1.2M** grant was received from the Officers’ Association Benevolent Fund (OABF) to enable the Regular Payments to continue to be made to RAF beneficiaries. **£1.1M** of this was unspent at the year end and set aside for future use. 

Most of our legacy income is given to be used on the general purposes of the charity. We received **£14.0M** of legacy income in 2025, of which **£9.7M/69%** was used during the year. The **£9.7M** includes **£7.5M** use to fund charitable activities and **£2.2M** invested in income generation activities to help secure future income. The remaining **£4.3M, 31%** of the total legacy income was carried forward to be spent on future work. 

**100%** of income earned (investments, asset disposals, and charitable activities) was used in year to finance support costs and costs of raising funds. 

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## **Expenditure** 

Direct support to individuals: **£8.8M/40% Total** Welfare programmes & grants: **£5.6M/25% ExpenditureIncome £27.7M2 2** Housing support: **£2.4M/11%** 

Income generation: **£5.4M/24%** 

Total expenditure in 2025 was **£22.2M (2024: £22.3M)** , comprising **£16.8M (76%)** on charitable activities, **£5.4M (24%** ) on income generation. 

Expenditure on charitable activities was broken into **£8.8M (2024: £10.0M)** supporting individuals directly, **£5.6M (2024: £4.8M)** on welfare programmes and external grants and **£2.4M (2024: £2.4M)** on housing support. 

The reduction in direct financial support compared to 2024 reflects a lower level of crisis demand following the easing of cost-of-living pressures. However, this shift has been accompanied by increased investment in welfare programmes and grants, reflecting the growing complexity of need. The highest spend on charitable activities was the provision of support to individuals, **52%** of the total. **33%** was spent on welfare programmes and external grants, an increase from **28%** in 2024. In addition to expenditure shown in the Statement of Financial Activities, a further **£0.5M (2024: £1.4M)** of capital expenditure was incurred for housing provision. 


**----- Start of picture text -----**<br>
2025 2024<br>**----- End of picture text -----**<br>


||**£M**|**%**|**£M**|**%**|
|---|---|---|---|---|
|Charitable Activities|16.8|76%|17.2|77%|
|Raising funds|5.4|24%|5.1|23%|
|Total|22.2|100%|22.3|100%|



## beneficiaries received. 

Throughout the year the Fund has been there to help and, when times are tough, we met the varied and complex needs of the RAF Family. The **£16.8M** we spent on charitable activities was slightly lower than in 2024 and continues to show how the demand for financial support has reduced since the height of the of the costof-living crisis in 2023; this has not impacted the quality or quantity of the support we provided or the very positive impact our 

The **£5.4M** spent on generating income was **£0.3M/7%** more than the previous year (2024: **£5.1M)** . The most significant element of this relates to costs incurred in raising funds from individual supporters and expanding our database of supporters. For every **£1** we spent directly on fundraising we received **£5.60** in the year **(2024: £4.70)** . 

## **Expenditure: £22.2M** 




fair and consistent approach. Maintaining tight control over support costs remains a priority. This allows us to maximise the proportion of resources directed towards delivering support for the RAF Family, while ensuring the Fund remains well governed, efficient and compliant. 

Expenditure on charitable and income generating activities includes attributed support costs. These costs are incurred to ensure the Fund is well run, properly governed and compliant, and operates efficiently using the tools, processes and skills that maximise our impact in delivering our charitable objectives. Support costs also include the depreciation of fixed assets charged in the year. These costs totalled **£3.8M in 2025 (2024: £4.7M)** , representing a decrease of **£0.9M (22%) year-on-year** . Of this total **£1.4M** related to fundraising activity and **£2.4M** was apportioned to charitable activities. 

Support costs include **£193K (2024: £193K)** of pension scheme running costs, paid in line with our obligations as the Scheme employer and these costs were partially offset by pension interest income of **£96K (2024: £196K)** . The actuarial valuation of the scheme remains **nil at the end of the year (2024: nil)** . 

There was an acturial surplus of **£2.6M (2024: 1.2M)** but was recognised in accounts in accordance with FRS102 para 28.22. 

We continue to ensure that costs are attributed directly to the activities that drive them wherever possible. General support costs are allocated on a headcount basis to provide a 

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## **Investments** 

Our investment policy aims to preserve the real value of funds under our stewardship and to generate income that goes towards funding the work we do to support the RAF Family. We do this by investing in diversified portfolios managed by our investment managers who, in line with the mandate they are given, develop stable long-term portfolios that generate financial returns within the level of risk acceptable to us. Our endowment funds are also invested on a long-term basis with generated income spent on charitable activities and capital gains reinvested. Our Investment Policy (last reviewed in 2024) gives regard to guidance provided by the Charity Commission and underpins decisions that are always made in the best interests of the Charity. Our investment managers, CCLA Investment Management Limited and Cazenove Capital, presented their performance over the year. 

## **Disabled Holiday Trust** 

## **Holiday Bonds** 

The RAF Benevolent Fund is the sole Trustee of The Royal Air Force Disabled Holiday Trust (DHT), an unincorporated charity. DHT property bonds, held in trust by the RAF Benevolent Fund, were valued at **£680K** at the year-end **(2024: £639K)** . Additional units in the year were valued at **£16K (2024: £35K)** and a **£24.4K** gain on valuation **(2024: £4K loss)** . The units held under this policy are used to provide affordable, accessible breaks. 

The DHT was closed as a Charity on 12 June 2026. 

## **Pension Scheme** 

The FRS 102 accounting valuation result for the closed defined benefit scheme based on assumptions agreed with the actuary was a surplus restricted to nil as at 31 December 2025 (2024: nil). Under paragraph 28.22 of FRS102, when an entity has a surplus, this can only be recognised to the extent that the entity is able to recover the surplus through reduced contributions in the future or through refunds from the Scheme. 

For the current year end, consistent with 2024 disclosures, we have restricted the surplus to nil on the grounds that we do not have an unrestricted right to a refund. Even though the liability is reported as nil we acknowledge that the accounting figures are market based and subject to volatility from time to time. 

The Pension Scheme’s Statutory Funding Objective is to have sufficient and appropriate assets to cover its Technical Provisions, that is, an estimate of the assets needed at any particular time to make provision for benefits already accrued under the Scheme. These include pensions in payment and benefits accrued by other members which will become payable in the future. An actuarial valuation as at 31 December 2025 showed an estimated funding position of 107% on a technical provisions’ basis and 96% on a solvency basis. **£1.2M** was paid in the year ended 31 December 2025 **(2024: £1.2M)** and **£400K** in the four months up to April 2026. 

Our long-term investments are in funds regulated by the Charity Commission and the Financial Conduct Authority and under the management of CCLA (COIF Charities Investment Fund) and Cazenove (Sustainable Multi Asset Fund). The value of our long-term portfolio at 31 December 2025 was **£66.5M (2024: £68.2M)** ; **75%** of our portfolio was invested in equities. Against the backdrop of significant volatility in the investment markets due to economic factors and geopolitical events, unrealised losses at the end of the year were **£1.3M (2024: gains £2.2M)** . 

We manage cash in a way that provides the right access and optimises interest income earned. Cash that is forecast to be required within 12 months is held in Notice or Treasury deposit accounts with UK regulated banks or other financial institutions with at least a long-term A+ rating or equivalent with independent agencies such as Fitch, Standard & Poors or Moody. As at 31 December 2025, the Fund held **£5.3M** in a 95-day notice deposit account and **£4.7M** in current accounts with Barclays Bank. 

We earned **£2.9M** income from our pooled funds and interest **(2024: £2.7M)** . 

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## **Reserves** 

Our total funds on 31 December 2025 were **£128.9M (2024: £125.9M)** . These comprised unrestricted funds of **£116.8M (2024: £114.7M)** , while restricted and endowment funds were **£12.1M (2024: £11.1M)** . This is shown in the table below: 


**----- Start of picture text -----**<br>
Total funds held in:  2025 2024<br>£M £M<br>Fixed Assets 27.2 28.6<br>Beneficiary Loans 5.9 6.2<br>Other net assets 8.7 6.5<br>Cash and Investments<br>75.1 73.4<br>- unrestricted<br>Unrestricted funds 116.9 114.7<br>Cash and Investments<br>12.1 11.1<br>- restricted funds<br>129.0 125.9<br>**----- End of picture text -----**<br>


The net book value of properties held to provide housing support included in fixed assets is **£23.3M (2024: £24.5M)** . 

## **Free reserves** 

For more than a century, we have stood alongside the RAF Family, offering support in moments of need and challenge through changing times, now more so than ever. This commitment drives everything we do and why we manage our reserves with care and foresight. Every pound entrusted to us carries a promise that support will be there not just today, but whenever it is needed in the future, thereby ensuring that the support we receive delivers lasting impact. Our long term approach to managing reserves, balancing compassion with financial prudence, reflects our responsibility to those we serve now and our commitment to future generations of the RAF Family. This disciplined approach ensures that, when circumstances change or demand rises, we are always ready to respond. Above all, we are resolute in our promise that no member of the RAF Family will face hardship without help, today or in the years to come. 

In determining our minimum free reserves requirement, we consider several factors, including the sources of voluntary income and the uncertainty surrounding their value and timing, rising costs and ongoing geopolitical uncertainty, and exposure to investment market risk. We also consider our ability to respond to a mass fatality incident not covered by insurance, or to other sudden surges in demand for support, as well as the need to maintain sufficient resources to ensure operational resilience and continuity. 

In 2025, against the backdrop of a deteriorating global security environment and increasing operational complexity, we believe it is both appropriate and necessary, as a leading RAF charity, to hold reserves that enable continued support to the RAF Family during periods of heightened operational activity. Accordingly, we have set our minimum **free reserves at £55M** , comprising two elements: 

- A **£30M** strategic reserve to provide immediate and longer-term capacity to respond to significant increases in support requirements arising from more frequent and intensive RAF operations. 

- A **£25M** operational reserve to mitigate income risk, provide working capital, and support long-term financial sustainability. 

The position at 31 December 2025 is summarised in the table below: 


**----- Start of picture text -----**<br>
2025 2024<br>£M £M<br>General funds 101.0 92.2<br>Fixed Assets (27.2) (28.6)<br>Loans to beneficiaries (5.9) (6.2)<br>Free reserves 67.9 57.4<br>**----- End of picture text -----**<br>


## **Designated funds** 

Designated funds at year end totalled **£15.9M (2024: £22.6M)** . Of this, **£4.3M** has been allocated for strategic development over the next three to five years, including the replacement of our CRM system. A balance of **£3.0M** remains designated for the staff pension deficit recovery plan, following utilisation of **£1.2M** in 2025. **£7.7M (2024: £8.0M)** relates to the Dependants Fund, held to meet commitments to support RAF personnel who are subscribers to the Fund. The **£0.9M** designated for the property in Scotland remains unchanged from the prior year. Further details are provided in Note 24 to the financial statements. 

## **Restricted funds** 

Restricted funds representing the unspent balance of funds received for specific charitable activities were **£6.1M (2024: £4.9M)** . The largest single restricted fund of **£3.1M (2024: £2.9M)** is for the maintenance and upkeep of the Bomber Command Memorial. 

Endowment funds included both permanent and expendable funds and were **£6.0M (2024: £6.3M)** . These funds represent income donated to the Fund but subject to the condition that the capital remains unspent. 

The value of the endowment fund fell by **£0.3M** , the net unrealised loss on investments **(2024: £0.3M** unrealised gain). 

## **Going concern** 

These financial statements have been prepared on a going concern basis, reflecting the Trustees’ view that the Fund will continue to operate and support the RAF Family for at least 12 months from the date of approval of the accounts. As at 31 December 2025, the Group held net current assets of **£28.6M (Charity: £34.9M)** . Liquidity remained strong, with cash and investments totalling **£87.1M (Charity: £78.6M)** . 

Free reserves available for use at the Trustees’ discretion amounted to **£62.9M** , representing a **£5.0M (5%)** increase on the prior year, and were held in cash or readily 

realisable investments. The Trustees have set a minimum free reserves requirement of **£55M** , which was met throughout the year. 

The Fund operates rolling five-year financial plans alongside its annual budgeting process. The current plan for 2026 to 2030 supports delivery of our strategy and objectives and is based on realistic assumptions, with sufficient flexibility to respond to changing circumstances. Findings from the most recent Meeting the Needs of the RAF Family research indicate no expectation of significant changes in the nature of our activities. While emerging warfighting readiness may alter how support is delivered to serving personnel, the Fund remains well positioned to adapt its services as required. 

Total expenditure of just under **£120M** is forecast over the period 2026 to 2030. Financial projections indicate that this can be funded from anticipated income and reserves while remaining fully compliant with the reserves policy. 

Income and expenditure are closely monitored through regular forecasting, including rolling cash flow projections that are updated throughout the year. The Fund has no material short- or long-term credit obligations that rely on income not yet received. 

We continue to invest in our fundraising to increase our supporter base which will protect and grow future income and expect continued success over the next five years. 

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Trustees’ Report 

## **Managing risk** 

Our Board has overall responsibility for managing the risks faced by the Fund. Each of the Board’s Committees takes ownership of risk within their remit and they provide regular reports, recommendations and assurance to the Board. Our Executive Leadership Team regularly assesses and manages risk on a routine basis, and our Board discusses strategic risks, at a minimum, quarterly. The strategic risks we faced during the year were: 

## **Meeting the needs of** 

## **Financial sustainability** 

## **the RAF Family** 

**Risk:** We are unable to sustain sufficient income to fund the RAF Family’s current and future welfare needs. 

**Risk:** We are unable to meet the needs of the RAF Family due to the performance of those who provide services on our behalf, our own failure to deliver effective and timely support or a lack of understanding of the needs of the RAF Family. 

**Mitigation:** We continue to focus on growing our supporter database, maintaining individual and corporate relationships and developing new relationships, increasing opportunities for fundraising, diversifying our income and monitoring our expenditure. Our aim is to deliver support to our beneficiaries based on need whilst ensuring that we are cost aware and all our activities align with our charitable objects and Strategic Priorities. Our robust risk-based reserves policy was monitored, reviewed and approved by our Board during the year. 

**Mitigation:** We continue to only work with third-party suppliers who share our values and high standards of delivery. All new suppliers are subject to robust due diligence, and we maintain regular performance oversight and monitoring throughout. During the year we progressed our Welfare Continuous Improvement (CI) Review which has enabled us to re-align welfare outputs into a new team who are directly responsible for enhancing the beneficiary journey. 

We continue to be evidence-based and use data and analysis to understand the needs of the RAF Family and the environment we work in. During the year we progressed our Meeting the Needs research to look at the size, shape and needs of the RAF Family and will use this to help shape our welfare delivery now and for the future. We also continue to engage closely with other charities to avoid overlap as well as promote collaboration and partnership working wherever possible. 

## **Safeguarding and the** 

## **duty of care** 

**Risk:** A failure in our safeguarding processes results in harm and significant damage to our reputation. 

**Mitigation:** We remain committed to providing a safe and respectful environment for everyone who engages with us, whether they are members of the RAF Family, supporters, employees, contractors or volunteers by ensuring we have a robust safeguarding policy in place, which is supported by and reinforced with our other policies and independently audited every three years (audit complete in 2026). Oversight of safeguarding is undertaken by the Board of Trustees and our Welfare and Safeguarding Committee. During the year the Committee regularly reviewed the Fund’s Safeguarding Register and monitored the progress against the actions from the Executive Safeguarding Sub-Committee. Safeguarding training for staff and Trustees is mandatory, and we have a dedicated Safeguarding Lead Trustee on our Board. 

## **Technology, information and data security** 

**Risk:** A significant data breach or disruption to our operations due to a system failure or malicious cyber-attack. 

**Mitigation:** We have a Managed Security Service Provider who provides 24/7 enterprise grade threat monitoring and response to ensure that cyber risks are detected and neutralised in real time and our defences are continuously refined to ensure our digital estate is protected at the highest level. We also continuously ensure that Data Protection policies are compliant with legislation and the Information Commissioner’s requirements. All our staff are required to undertake annual mandatory training on data protection and the UK General Data Protection Regulation (GDPR). 

## **Governance and compliance with regulatory requirements** 

**Risk:** Failure to comply with legal or expected best practice requirements leads to reputational damage or financial impacts. 

**Mitigation:** Our Board actively maintains oversight of our governance both directly and via its Board Committees to ensure we can achieve our strategy and goals, fulfil our charitable purpose and comply with the law. We have several ‘subject matter experts’ amongst our staff who keep abreast of changes in legislation, rules, regulation and codes of practice so we can ensure we understand the impact on our activities. We also invest in continuing professional development, where appropriate, as well as maintaining networks. Internal audits assist with providing ongoing assurance of our internal control environment. Bespoke inductions are provided for new Trustees, employees and volunteers. 

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Trustees’ Report 

## **Structure, management and** 

## **governance** 

## **Public benefit** 

## **Structure and governance** 

In the development and delivery of the Fund’s strategy, aims and objectives, the Board of Trustees is satisfied that the extensive welfare support provided to our beneficiaries, along with the other charitable activities undertaken, meets the publicbenefit requirements of the Charities Act 2011. 

The Fund was founded in 1919 and incorporated by Royal Charter in 1999 as amended by Privy Council Order in 2008 and 2017. As well as the maintenance, upkeep and repair of the RAF Memorial at Victoria Embankment in London, our purpose is also to be here for every member of the RAF Family in need – listening, understanding and providing life-changing practical, emotional and financial support – and to promote the efficiency of the Royal Air Force with a view to enhancing the morale and wellbeing of serving members of the Royal Air Force. 

## **Reference and administrative** 

## **details** 

The Royal Air Force Benevolent Fund has the Charity Commission registration number 1081009. As we own/lease land and properties in Scotland, we are also registered with the Office of the Scottish Charity Regulator (OSCR) to comply with the Charities and Trustee Investment (Scotland) Act 2005. Our registration number is SCO38109. Our restricted and endowed funds have a separate registration number, 207327. 

As required under our Charter, Trustees are elected by our Council, following a recommendation from the Board. Trustees usually serve an initial term of up to four years and may be eligible for re-appointment for a further term of up to four years, depending on their background, skills and experience (which is assessed via regular skills audits) and the current and future needs of the Fund. Trustees may not hold office for a continuous period of more than eight years without the consent of our Board. Our Board of Trustees is made up of no fewer than 10 and no more than 15 Trustees. 

In accordance with Section 96 of the Charities Act 1993 (now replaced by Section 20 of the Charities Act 2011), the Charity Commission has stipulated that the two charities, having the same charity Trustees, are to be treated as a single charity. We are also registered as a Royal Charter Company with the Companies House registration numbers ZC000201/RC000773. 

When seeking new Trustees, the Fund advertises the role in a variety of ways. Our new Trustees are offered a bespoke induction programme and opportunities for training throughout their term. During 2025, our Board, either as a whole or through its committees, continued to receive ongoing briefings and training in critical areas such as safeguarding and cyber security. 

The RAF Benevolent Fund Group also encompasses other entities; you can find details of these at the back of this report. We carry out some of our activities through these organisations. 

for the Chair and as an intermediary for the other Trustees, and a dedicated Safeguarding Lead Trustee whose role is to advise the Board on safeguarding matters and ensure they are up to date with prevailing and emerging legislation and best practice. Our Board met five times in 2025. It also met separately for an away day strategy session. 

The key governance activities undertaken by the Board in 2025 included: 

- monitoring the ongoing progress against the delivery of the Fund’s strategy; 

- monitoring the activities, through its committees, of our Executive Leadership Team, led by the Chief Executive; 

- the annual review and approval of the Fund’s reserves policy; and 

- approval of the Fund’s new Speaking Up policy. 

During the year our Board Committees were: 

- Finance, Audit and Investments Committee 

- Fundraising, Communications and Engagement Committee 

- Welfare and Safeguarding Committee 

- Major Grants Committee 

- Nominations Committee 

- Remuneration Committee 

The decisions which can be made by our Committees, as delegated to them by the Board, are set out in the relevant terms of reference. 

We extend a thank you to all Committee members for their advice, guidance and support during the year. 

## **Our subsidiaries** 

We carry out some of our activities through subsidiaries, all of which the Fund is either the sole member, sole shareholder or sole trustee: 

- RAF Benevolent Fund Housing Trust Limited 

- RAF Dependants Fund 

- RAF Dependants Income Trust Limited 

- RAF Benevolent Fund Trustees Limited (dormant) 

- RAFBF Trading Limited 

- RAFBF Property Company Limited (dissolved, 17 Feb 2026) 

- RAF Disabled Holiday Trust (closed, 12 June 2026) 

During the year we commenced a review of our subsidiary structure which remains ongoing. The purpose of the review is to ensure that our structure is efficient, fit for purpose and effective. 

We have a Senior Independent Trustee whose role is to act as a sounding board 

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Trustees’ Report 

## **Principal professional advisers** 

## **Independent external auditor** 

## **Investment managers** 

CCLA Investment Management Limited 

Crowe U.K. LLP 55 Ludgate Hill London EC4M 7JW 

One Angel Lane London EC4R 3AB 

## **Independent internal auditor** 

Cazenove Capital 1 London Wall Place London EC2Y 5AU 

MHA 2 London Wall Place London EC2Y 5AU 

## **Bankers** 

Barclays Bank plc 1 Churchill Place London E14 5HP 

## **Actuary** 

Broadstone Corporate Benefits Limited 100 Wood Street 

London EC2V 7AN 

## **Solicitors** 

Charles Russell Speechlys LLP 5 Fleet Place London EC4M 7RD 

Mills & Reeve 24 King William Street London EC4R 9AT 

## **Statement of Trustees’** 

## **responsibilities** 

Our Trustees are responsible for preparing our Trustees’ Report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires our Trustees to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the Fund and the group and of the incoming resources and application of resources of the Fund for that period. In preparing these financial statements, our Trustees are required to: 

They are also responsible for safeguarding our assets and, hence, for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the Trustees are aware: 

- There is no relevant audit information of which the Fund’s auditor is unaware. 

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

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

- Select suitable accounting policies and then apply them consistently 

- Observe the methods and principles in the Charities Statement of Recommended Practice (SORP) (FRS 102) 

- Make judgements and estimates that are reasonable and prudent 

## **Trustee declaration** 

- State whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements 

Trustees hereby approve the 2025 Annual Report on 30 June 2026. 


- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Fund will continue in business. 

Richard Daniel BSc (Hons) FRAeS Chair, Royal Air Force Benevolent Fund 

Our Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time our financial position and enable them to ensure that the financial statements comply with the Charities Acts 2011 and 2022, the Charities and Trustee Investment (Scotland) Act 2005 (as amended by the Charities (Regulation and Administration) (Scotland) Act 2023), the Charities Accounts (Scotland) Regulations 2006 and the provisions of its Royal Charter. 

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Independent Auditor’s Report 

## **Independent auditor’s report to** 

## **the Trustees** 

## **Basis for opinion** 

## **Opinion** 

We have audited the financial statements of the Royal Air Force Benevolent Fund (the parent charity) and its subsidiaries (the group) for the year ended 31 December 2025 which comprise consolidated statement of financial activities, the consolidated and charity balance sheets, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 

In our opinion the financial statements: 

## **Conclusions relating to** 

- give a true and fair view of the state of the group’s and of the parent charity’s affairs as at 31 December 2025 and of the group’s incoming resources and application of resources, including its income and expenditure for the year then ended; 

## **going concern** 

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

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

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

- have been prepared in accordance with the requirements of the Charities Act 2011 and the Charities and Trustee Investment (Scotland) Act 2005 and regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006. 

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

## **Other information** 

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

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

We have nothing to report in this regard. 

## **Matters on which we are** 

## **required to report by exception** 

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 and the Charities Accounts (Scotland) Regulations 2006 require us to report to you if, in our opinion: 

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

- sufficient and proper accounting records have not been kept; or 

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

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

## **Responsibilities of Trustees** 

As explained more fully in the Trustees’ responsibilities statement set out on page 41, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

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

42 

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Independent Auditor’s Report 

## **Auditor’s responsibilities for the audit of the financial statements** 

We have been appointed as auditor under section of the Charities Act 2011, and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Acts and relevant regulations made or having effect thereunder. 

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

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

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

We identified and assessed the risks of material misstatement of the Financial Statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion. 

We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the Financial Statements. The laws and regulations we considered in this context were Charities Act 2011 and the Charities and Trustee Investment (Scotland) Act 2005 together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items. 

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charity and the group for fraud. The laws and regulations we considered in this context for the UK operations were; General Data Protection Regulation (GDPR), Health and safety legislation and Taxation legislation. 

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and other management and inspection of regulatory and legal correspondence, if any. 

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing of recognition of legacy income and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, internal audit, and the Finance Audit and Investment Committee about their own identification and assessment of the risks of irregularities, sample testing of legacies and the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, OSCR and reading minutes of meetings of those charged with governance. 

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect noncompliance with all laws and regulations. 

## **Use of our report** 

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

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

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

**Crowe U.K. LLP** 

Statutory Auditors 

55 Ludgate Hill 

London EC4M 7JW 

## Date:  17 July 2026 

Crowe U.K. LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006 

44 

45 



Financial statements 

## **Financial statements** 

Consolidated statement of financial activities For the year ended 31 December 2025 


**----- Start of picture text -----**<br>
2025 2024<br>£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000<br>Income and endowments from<br>Donations and gifts in Wills  18,682   2,291   -  20,973  15,367   603   -  15,970<br>Charitable activities  1,287   -   -   1,287   1,299   -   -   1,299<br>Other trading activities  367   -   -   367   267   -   -   267<br>Investments  2,814   86   -   2,900   2,596   101   -   2,697<br>Other income  2,168   -   -   2,168   1,416   -   -   1,416<br>Total Income 2  25,318   2,377   -  27,695  20,945   704   -  21,649<br>Expenditure on raising funds  5,477   -   -   5,477   5,117   11   -   5,128<br>Expenditure on charitable activities<br>Direct support to individuals  8,048   705   -   8,753   9,631   318   -   9,949<br>Welfare programmes and grants  5,119   435   -   5,554   4,376   449   -   4,825<br>Housing support and assurance  2,307   154   -   2,461   2,291   76   -   2,367<br> 15,474   1,294   -  16,768  16,298   843   -  17,141<br>Total Expenditure 3  20,951   1,294   -  22,245  21,415   854   -  22,269<br>Net income/(expenditure)<br>before gains/(losses) on   4,367   1,083   -   5,450   (470)  (150)  -   (620)<br>investments<br>Transfers between funds  -   -   -   -   -   -   -   -<br>Net gains/(losses) on<br>11  (1,145)  172   (306)  (1,280)  1,845   39   286   2,170<br>investments<br>Net income/ (expenditure)  3,222   1,255  (306)  4,170   1,375  (111)  286   1,550<br>Other recognised gains and losses:<br>Actuarial gains/(losses) on<br>15  (1,054)  -   -  (1,054)  1,700   -   -   1,700<br>defined benefit pension scheme<br>Net movement in funds  2,168   1,255  (306)  3,116   3,075  (111)  286   3,250<br>Total funds brought forward  114,740   4,866   6,262  125,868 111,665 4,977 5,976  122,618<br>Total funds carried forward 23 116,908   6,121   5,956 128,984 114,740 4,866 6,262 125,868<br>Note Unrestricted  funds Restricted  funds Endowed  funds Total Unrestricted  funds Restricted  funds Endowed  funds Total<br>**----- End of picture text -----**<br>


The notes on pages **49 to 79** form part of the financial statements. All amounts relate to continuing operations. All gains and losses recognised in the year are included in the statement of financial activities. 

Consolidated and charity balance sheets As at 31 December 2025 


**----- Start of picture text -----**<br>
Note Group  Group  Charity  Charity<br>2025 2024 2025 2024<br>£'000 £'000 £'000 £'000<br>Fixed assets<br>Intangible assets 9 - 4 - 4<br>Tangible assets 10 27,213 28,637 3,949 4,149<br>Investments 11 67,202 68,794 59,971 61,200<br>Loans to beneficiaries 12 5,919 6,215 5,919 6,215<br>100,334 103,650 69,839 71,568<br>Current assets<br>Stock 15 11 - -<br>Debtors and prepayments 13 10,679 8,891 17,961 19,073<br>Cash at bank and in hand 19,911 15,703 18,618 14,214<br>30,605 24,605 36,579 33,287<br>Current liabilities<br>Creditors and accrued charges: amounts<br>14 (1,955) (2,387) (1,742) (2,095)<br>falling due within one year<br>Net current assets 28,650 22,218 34,837 31,192<br>Net assets excluding long-term liabilities<br>128,984 125,868 104,676 102,760<br>and pension liability<br>Defined benefit pensions liability 15 - - - -<br>Total net assets 128,984 125,868 104,676 102,760<br>Funds<br>Endowment funds 5,956 6,262 5,956 6,262<br>Restricted funds 6,121 4,866 6,121 4,866<br>Designated funds 15,893 22,553 8,191 14,566<br>General funds 101,014 92,187 84,408 77,066<br>Pension reserve - - - -<br>Total funds brought forward 23 128,984 125,868 104,676 102,760<br>**----- End of picture text -----**<br>


Approved by the Board of Trustees on 30 June 2026 and signed on its behalf by 

Alastair Irvine Honorary Treasurer 

46 

47 



Financial statements 

## Consolidated statement of cash flows 

For the year ended 31 December 2025 


**----- Start of picture text -----**<br>
2025 2024<br>£’000 £’000<br>Net cash used in operating activities (2,155) (5,230)<br>Cash flows from investing activities<br>Dividends and interest from investments  2,900  2,697<br>Proceeds from the sale of property  3,302 2,448<br>Purchase of property and equipment  (481) (1,419)<br>Net withdrawal from investments  314  9,449<br>Net cash provided by investing activities 6,035 13,175<br>Cash flows from financing activities<br>Loans awarded  (195) (235)<br>Loan repayments  523  1,046<br>Net cash provided by financing activities  328  811<br>Change in cash and cash equivalents in the year 4,208 8,756<br>Cash and cash equivalents as at 1 January 15,703 6,947<br>Cash and cash equivalents as at 31 December 19,911 15,703<br>Reconciliation of net income to net cash flow from operating activities<br>Net income/(expenditure) for the year ended 31 December  4,170  1,550<br>Adjustments for:<br>Depreciation charges and amortisation  582  691<br>Gains on investments  1,280  (2,170)<br>Dividends and interest from investments  (2,900) (2,697)<br>Profit on the sale of fixed assets  (1,977) (1,220)<br>Loan interest  (29) (116)<br>Loans converted to grants  4   9<br>Loans written off less provision  (7)  -<br>Increase in stock  (4) (1)<br>(Increase)/decrease in debtors  (1,788) (430)<br>(Decrease)/increase in creditors  (432) 258<br>Pension interest expense  146  96<br>Pension fund costs  (1,200) (1,200)<br>Net cash used in operating activities (2,155) (5,230)<br>Analysis of cash and cash equivalents<br>Current accounts  19,911  15,703<br>Total cash and cash equivalents  19,911  15,703<br>**----- End of picture text -----**<br>


## **Financial statements** 

For the year ended 31 December 2025 

## **1** Principal accounting policies 

## **Basis of preparation** 

## **Accounting convention** 

These are the financial statements of the Royal Air Force Benevolent Fund and its related entities. The Charity was incorporated by Royal Charter in England and Wales on 24 November 1999. The Trustees of the Charity are named on page 3. The registered office is 67 Portland Place, London W1B 1AR. 

These financial statements have been prepared on a going concern basis under the historical cost convention, with the exception of investments which are included at market value, and in accordance with applicable accounting standards. 

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). 

The Charity is a public benefit entity for the purposes of FRS 102 and therefore the financial statements have been prepared in accordance with the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (Charities SORP (FRS102), the Charities Act 2011 and the Charities Accounts (Scotland) Regulations 2006 as amended by the Charities Accounts (Scotland) Amendment (No. 2) Regulations 2014. 

The statement of financial activities (SOFA) and balance sheet consolidate the financial statements of the Charity and its subsidiary undertakings. The results of the subsidiary entities are consolidated on a line by line basis. A summary of the results of the subsidiary entities is shown in Note 27. 

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Financial statements 

## **Functional currency** 

The Charity’s functional and presentational currency is GBP and is shown as £’000s in the financial statements. 

## **Going concern** 

The Trustees have assessed whether the use of the going concern basis is appropriate. They have reassessed the business plans, income and expenditure projections, and taken the Charity’s reserves levels into account. Their conclusion is that there is no doubt about the Charity’s ability to continue operating as a going concern. 

The Trustees have made this assessment for a period of at least one year from the date of them approving the financial statements and are assured that the Charity has adequate resources to continue to operate for the foreseeable future. 

The Charity therefore continues to adopt the going concern basis in preparing its financial statements. 

## **Fund accounting** 

General funds are unrestricted funds that are available for use at the discretion of the Trustees in furtherance of the general objects of the Charity and that have not been designated by the Trustees for other purposes. 

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of the designated funds are set out in the notes to the financial statements. 

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

Endowment funds are either permanent or expendable. Permanent funds are normally held indefinitely, while Trustees have the power to convert expendable funds into income. These funds are set out in Note 26. The return on endowment investments is made up of income earned and gains or losses in the market value of the investments. 

Income generated from endowment funds is spent on charitable activities. Investment income and gains are allocated to the appropriate fund. 

## **Recognition of income** 

Income is recognised in the Statement of Financial Activities (SOFA) when the Charity becomes entitled to it, it is more likely than not that the income will be received, and the monetary value of the income can be estimated with sufficient accuracy. Entitlement to legacy income is assumed when there is sufficient evidence that a gift has been left to the Charity, usually through the notification of a Will. Receipt of legacy income is deemed probable when there has been a grant of probate, and it has been established that there are sufficient assets in the estate to pay the legacy and there are no conditions attached to the legacy that are outside the control of the Charity or uncertainty around receipt of this gift. Income from pecuniary gifts in Wills is recognised upon notification or receipt, if earlier. 

Gifts donated for resale are included as income when they are sold. No amounts are included in the financial statements for services donated by volunteers. 

## **Recognition of expenditure** 

Expenditure is recognised in the SOFA on an accrual basis when an obligation that can be measured, or reliably estimated, exists at the reporting date, and it is more than likely that payment will be paid in settlement. 

Two main categories of expenditure shown in the SOFA are expenditure on raising funds and expenditure on charitable activities. Expenditure on raising funds includes all expenditure incurred to raise voluntary income to spend on charitable purposes as well as investment management fees. Expenditure on charitable activities includes all costs incurred by the Charity in carrying out its charitable aims to support the beneficiaries of the RAF Benevolent Fund. 

## **Support costs** 

Support costs have been classified as: information technology and facilities, depreciation, general management and administration, finance and payroll, HR and governance. These costs have been allocated to activities on a basis consistent with the use of resources, and indirect costs have been apportioned on a headcount basis or in proportion to direct costs or income. 

## **Grant commitments** 

Grants awarded are expensed in the SOFA in the year in which they are approved by the Trustees and the offer is conveyed to the recipient. Grants awarded but not paid are recorded as a liability within the balance sheet. 

## **Tangible fixed assets** 

## **and depreciation** 

Tangible fixed assets costing more than £1K (£5K in the RAF Benevolent Fund Housing 

Trust Ltd) are capitalised and included at cost, including any incidental expense of acquisition. 

Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost on a straight-line basis over their expected useful economic lives as follows: 

|• Freehold land|nil|
|---|---|
|• Freehold<br>buildings|over 50 years|
|• Leasehold<br>buildings|over the life of the<br>lease, or 50 years if<br>shorter|
|• Leasehold<br>improvements|over 30 years|
|• Project and ofce<br>equipment|over fve years|
|• Computer<br>equipment|over three years|
|• Motor vehicles|over fve years|



A full year’s depreciation is provided in the year of asset acquisition, and none in the year of disposal. 

## **Intangible fixed assets** 

## **and amortisation** 

Software is classified as an intangible fixed asset and is capitalised where the cost plus incidental expenses incurred in acquisition is more than £1K. 

Amortisation is provided on intangible fixed assets to write off the capitalised value on a straight-line basis over three years. A full year’s amortisation is provided in the year of asset acquisition, and none in the year of disposal. 

## **Foreign currencies** 

Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. Monetary assets and liabilities are retranslated at the exchange rate ruling at the balance sheet date. All differences are taken to the SOFA. 

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Financial statements 

## **Related party disclosures** 

The Charity has made the required disclosures in accordance with the Charities SORP (FRS 102). 

Transactions with group undertakings are eliminated on consolidation. 

## **Investment** 

Investments are stated at market value at the balance sheet date. The SOFA includes the net gains and losses arising on revaluation and disposals throughout the year. Income receivable on investments is recognised in the SOFA on the accruals basis. 

## **Stock** 

Stock consists of purchased goods for resale. Stocks are valued at the lower of cost and net realisable value. Items donated for resale or distribution are not included in the financial statements until they are sold or distributed. 

## **Pension costs** 

Pensions are accounted for in accordance with FRS102 section 28, with a valuation undertaken by an independent actuary for the defined benefit scheme, the Royal Air Force Benevolent Fund Staff Pension Fund, which is closed to future accrual. Net pension finance income or costs are included immediately in other income or employee costs as appropriate. 

Actuarial gains and losses are recognised immediately on the face of the SOFA. The scheme deficit is included as a liability in the balance sheet. Details of the pension scheme are included in Note 15 to the accounts. 

The amounts charged to the SOFA for defined contribution schemes represent the contributions payable in the period. 

## **Financial and operating costs** 

The Charity does not have any finance leases. Rentals payable under operating leases are charged to the SOFA over the period in which the cost is incurred on a straight-line basis. 

## **Financial instruments** 

The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the Charity’s balance sheet when the Charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. 

Investments are also basic financial instruments, but valued at Fair Value instead of Cost. 

With the exceptions of prepayments, taxation debtors/creditors and deferred income, all other debtor and creditor balances are considered to be basic financial instruments under FRS 102. See Notes 13 and 14 to the accounts. 

## **Judgements and key sources of estimation uncertainty** 

In the application of the Charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. 

The most significant estimates and assumptions which affect the carrying amount of assets and liabilities in the accounts relate to: 

- **Gift in Wills** – Recognition of gift in Will income is a significant estimate and is done once the Fund is entitled to the legacy, it is probable that it will be received, and it can be reliably measured. Where the legacy is a residuary gift which is a share of the net value of an estate, income recognised in the accounts is estimated from known information about the value of the estate discounted by 10% to cover legal fees and expenses, the value of any pecuniary or specific gifts, significant known debts, and Inheritance Tax (IHT). Estimates are refined in accordance with ongoing updates. With pecuniary gifts, income is recognised based on the legacy notification received. 

- **Useful economic lives** – The annual depreciation charge for property and equipment is sensitive to change in the estimated useful economic lives and residual value of assets. These are reassessed annually and amended where necessary to reflect current circumstances. 

- **Loans** – Specific provisions have been made against loans where there is a high risk of non-repayment. 

- – The 

- **Pension scheme deficit** underlying assumptions used by the actuary in valuing the scheme are in accordance with FRS102 and based on assumptions recommended by the actuary. 

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Financial statements 

## **2** Income and endowments 


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£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000<br>Donations and gifts in Wills<br>Royal Air Force service<br> 1,726   -   -  1,726  1,634   -   -  1,634<br>personnel<br>General donations  3,224  2,045   -  5,269  3,150   481   -  3,631<br>Legacy income  13,732   246   - 13,978 10,583   122   - 10,705<br>18,682  2,291   - 20,973 15,367   603   - 15,970<br>Charitable activities<br>Housing  1,235   -   -  1,235   1,157   -   -   1,157<br>Respite care  21   -   -   21   26   -   -   26<br>Loan interest  31   -   -   31   116   -   -   116<br> 1,287   -   -  1,287  1,299   -   -  1,299<br>Other trading activities<br>Income from fundraising<br> 242   -   -   242   146   -   -   146<br>events<br>Trading income  125   -   -   125   121   -   -   121<br> 367   -   -   367   267   -   -   267<br>Investment income<br>Dividends from pooled funds  2,161   86   -  2,247  1,939   101   -  2,040<br>Interest earned  653   -   -   653   657   -   -   657<br> 2,814   86   -  2,900  2,596   101   -  2,697<br>Other Income<br>Profit on the sale of fixed<br> 1,977   -   -  1,977  1,220   -   -  1,220<br>assets<br>Pension interest income  191   -   -   191   196   -   -   196<br> 2,168   -   -  2,168  1,416   -   -  1,416<br>Total Income 25,318  2,377   - 27,695 20,945   704   - 21,649<br>Unrestricted Restricted Endowed Total 2025 Unrestricted Restricted Endowed Total 2024<br>**----- End of picture text -----**<br>


## **3** Analysis of expenditure 


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£'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000<br>Raising funds<br>Donations and gifts in Wills  3,084   -   1,376   4,460   3,104   -   1,308   4,412<br>Regional engagement  648   -   -   648   337   -   -   337<br>Other trading activities  38   -   -   38   24   -   -   24<br>Investment management<br> 331   -   -   331   355   -   -   355<br>fees<br> 4,101   -  1,376  5,477  3,820   -  1,308   5,128<br>Charitable activities<br>Direct support to<br> 7,452   -   1,301   8,753   8,328   -   1,621   9,949<br>individuals<br>Welfare programmes and<br> 1,599   3,123   832   5,554   632  3,208   985   4,825<br>grants<br>Housing Trust support  2,153   -   307   2,460   1,605   -   762   2,367<br>11,204   3,123  2,440 16,767 10,565  3,208  3,368  17,141<br>Total expenditure 15,305   3,123  3,816 22,244 14,385  3,208  4,676 22,269<br>Direct costs External  grants Support  costs Total 2025 Direct costs External  grants Support  costs Total 2024<br>**----- End of picture text -----**<br>


See Note 22 for analysis of welfare programmes and external grants. 

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Financial statements 

## **4** Analysis of support costs 


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£'000 £'000 £'000 £'000 £'000<br>Information technology and facilities  612   580   375   136   1,703<br>Depreciation and amortisation  85   80   52   19   236<br>General management and administration  53   50   32   12   147<br>Finance  250   236   143   56   685<br>Human resources  214   202   131   48   595<br>Governance  162   153   99   36   450<br>Total  1,376   1,301   832   307   3,816<br>£'000 £'000 £'000 £'000 £'000<br>Information technology and facilities 585 725 441 141 1,892<br>Depreciation and amortisation 76 95 57 466 694<br>General management and administration 30 37 22 7 96<br>Finance 210 260 158 50 678<br>Human resources 167 207 126 40 540<br>Governance 240 297 181 58 776<br>Total 1,308 1,621 985 762 4,676<br>Raising  funds Direct  support to  individuals Welfare  programmes  and grants Housing  Trust  support Total 2025<br>Raising  funds Direct  support to  individuals Welfare  programmes  and grants Housing  Trust  support Total 2024<br>**----- End of picture text -----**<br>


## **5** Staff costs 


**----- Start of picture text -----**<br>
2025 2024<br>£'000 £'000<br>Wages and salaries  5,595   5,054<br>Social security costs  698   711<br>Pension costs  778   691<br>Termination and redundancy costs  -   -<br> 7,071   6,456<br>**----- End of picture text -----**<br>


Costs for termination and redundancy are incurred when there is a constructive or legal obligation to make the payment. 

The number of employees whose pay and benefits (excluding pension contributions) amounted to more than £60,000 in the year was as follows: 


**----- Start of picture text -----**<br>
2025 2024<br>No. No.<br>£60,001 – £70,000  11   7<br>£70,001 – £80,000  4   3<br>£80,001 – £90,000  2   -<br>£90,001 – £100,000  -   2<br>£100,001 – £110,000  1   1<br>£110,001 – £120,000  1   -<br>£120,001 – £130,000  1   -<br>£130,001 – £140,000  -   -<br>£140,001 – £150,000  -   1<br>£150,001 - £160,000  1   -<br> 21   14<br>**----- End of picture text -----**<br>


19 employees (2024: 12) whose pay and benefits amounted to more than £60,000 in the year were members of the Group Personal Pension Plan, a money purchase scheme. 

The average number of employees, calculated on a headcount basis, analysed by function was: 


**----- Start of picture text -----**<br>
2025 2024<br>Charitable activities  77  74<br>Cost of generating funds  31  28<br>Governance, administration and support  24  21<br>132 123<br>**----- End of picture text -----**<br>


## **6** Key management personnel 

The key management personnel of the RAF Benevolent Fund are the Executive Leadership Team (ELT). 

The ELT comprises of the Chief Executive, Director of Operations, Director of Fundraising, Director of Resources and Director of Technology. Total employee pay and benefits received by ELT for services to the group were **£804K** (2024: £659K). A new Director of Technology and Data role was created at the start of the year. 

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Financial statements 

## **7** Net expenditure 


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2025 2024<br>**----- End of picture text -----**<br>


||||
|---|---|---|
|**Net expenditure for the year is stated after charging:**|||
|Amounts paid for audit services (including VAT):|||
|Audit fees (current year)|79|<br>67|
|Audit fees (prior year under accruals)|17|<br>14|
|Corporation Tax Services|4|<br>-|
|Corporation Tax Services (prior year under accrual)|4|-|
|Investment management fees|331|336|
|Amortisation of intangible assets|4|24|
|Depreciation|577|666|
|Operating leases|172|101|
|Proft on disposal of fxed assets|(1,977)|(1,220)|



## **8** Trustees’ remuneration 

The Trustees neither received nor waived any emoluments during the year 2025 (2024: £nil) 

Out-of-pocket expenses were reimbursed to Trustees as follows: 

||**2025**|**2024**|**2025**|**2024**|
|---|---|---|---|---|
||No.|No.|£’000|£’000|
|Travel and Accommodation|6|6|4.0|3.3|



## **9** Intangible assets 


**----- Start of picture text -----**<br>
Group Charity<br>2025 2024 2025 2024<br>£'000 £'000 £'000 £'000<br>Software costs<br>Cost on 1 January 2,534 2,556 2,534 2,556<br>Additions during the year  -   -   -  -<br>Disposals during the year  -  (22)  -  (22)<br>Cost at 31 December 2,534 2,534 2,534 2,534<br>Amortisation at 1 January  (2,530)  (2,528)  (2,530)  (2,528)<br>Amortisation for the year  (4)  (24)  (4)  (24)<br>Depreciation on disposals during the year  -   22   -   22<br>Accumulated amortisation at 31 December (2,534) (2,530) (2,534) (2,530)<br>Net book value 31 December - 4 - 4<br>**----- End of picture text -----**<br>


## **10** Tangible fixed assets 


**----- Start of picture text -----**<br>
Group 2025 Charity 2025<br>£'000 £'000 £'000 £'000 £'000 £'000<br>Cost on 1 January 40,199 362 40,561 7,089 362 7,451<br>Additions during the year  452   30  482  -   30  30<br>Disposals during the year (1,860)  -  (1,860)  -   -   -<br>Cost at 31 December 38,791 392 39,183 7,089 392 7,481<br>Depreciation at 1 January  (11,562)  (362)  (11,924)  (2,940)  (362)  (3,302)<br>Depreciation for the year  (567)  (10) (577)  (220)  (10) (230)<br>Depreciation on disposals during<br> 531   -   531   -   -   -<br>the year<br>Accumulated depreciation at 31<br>(11,598)  (372) (11,970)  (3,160)  (372)  (3,532)<br>December<br>Net book value 31 December 2025 27,192  20  27,213 3,929  20  3,949<br>Property Equipment Total Property Equipment Total<br>**----- End of picture text -----**<br>



**----- Start of picture text -----**<br>
Group 2024 Charity 2024<br>£'000 £'000 £'000 £'000 £'000 £'000<br>Cost on 1 January 40,446 362 40,808 7,080 362 7,442<br>Additions during the year 1,419  -  1,419  74   -   74<br>Disposals during the year (1,666)  -  (1,666) (65)  -  (65)<br>Cost at 31 December 40,199 362 40,561 7,089 362 7,451<br>Depreciation at 1 January (11,333)  (362) (11,695)  (2,710)  (362)  (3,072)<br>Depreciation for the year  (666)  -   (666)  (221)  -   (221)<br>Depreciation on disposals during the<br>437  -   437   (9)  -   (9)<br>year<br>Accumulated depreciation at 31<br>(11,562)  (362)  (11,924)  (2,940)  (362)  (3,302)<br>December<br>Net book value 31 December 2024 28,637  -  28,637 4,149  -  4,149<br>Property Equipment Total Property Equipment Total<br>**----- End of picture text -----**<br>


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Financial statements 

## **10** Tangible fixed assets (cont) 


**----- Start of picture text -----**<br>
Group 2025 Charity 2024<br>£'000 £'000 £'000 £'000 £'000 £'000<br>Net book value at 31 December is<br>analysed as follows:<br>Headquarters - London 3,379  -   3,379  3,590  -  3,590<br>Other properties 468  -  468 474  -  474<br>Gulf Trust Fund (restricted fund) 82  -   82  84  -  84<br>Charity  3,929   -   3,929   4,148   -  4,148<br>RAF Benevolent Fund Housing Trust Ltd 23,264  -  23,264 24,489  -  24,489<br>Group 27,193  -  27,193 28,637  -  28,637<br>The net book value of properties<br>comprises:<br>Freehold 23,564 24,772<br>Long leasehold 3,629 3,865<br>27,193 28,637<br>Property Equipment Total Property Equipment Total<br>**----- End of picture text -----**<br>


## **11** Fixed asset investments 


**----- Start of picture text -----**<br>
Group Charity<br>2025 2024 2025 2024<br>£'000 £'000 £'000 £'000<br>Market value as at 1 January 68,794 76,073 61,200 68,646<br>Additions  16  616  16  616<br>Withdrawals (328)  (10,065)  (284)  (10,020)<br>Net investment (losses)/gains  (1,280)  2,170   (961)  1,958<br>Market value at 31 December 67,202 68,794 59,971 61,200<br>Investments are represented by:<br>Listed investments 66,522 68,155 59,291 60,561<br>Cash holdings in investments - - - -<br>RAF Disabled Holiday Trust Bonds  680  639  680  639<br>Total 67,202 68,794 59,971 61,200<br>**----- End of picture text -----**<br>


The Charity is the sole Trustee of the RAF Disabled Holiday Trust whose net assets to the value of **£680K** are included within investments. Also included is the Charity’s share capital in the RAFBF Trading Co Ltd of £1, the results of this subsidiary entity are shown in Note 27. 

Properties held by the RAF Benevolent Fund Housing Trust Ltd support charitable activities. Properties are held so that beneficiaries, including wounded, injured or sick personnel who have been medically discharged from the RAF, can live in suitable, usually heavily adapted, accommodation. Properties are stated at historical cost and depreciated as per the policy stated in Note 1. 

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Financial statements 

## **12** Loans to beneficiaries 


**----- Start of picture text -----**<br>
Group Charity<br>2025 2024 2025 2024<br>£'000 £'000 £'000 £'000<br>Balance at 1 January 6,215 6,919 6,215 6,919<br>New loans 195 235  195  235<br>Management fee 29 116  29  116<br>6,439 7,270 6,439 7,270<br>Repayments  (523)  (1,046)  (523)  (1,046)<br>Loans converted to grants  (4)  (9)  (4)  (9)<br>Bad debts written off  -   -   -   -<br>Provision for loan conversion  7   -   7   -<br>Balance at 31 December 5,919 6,215 5,919 6,215<br>**----- End of picture text -----**<br>


Loans enable the Fund to meet particular types of financial need of individuals, in an effective way. Two loans were made in 2025. During the year we reviewed the way we provide this support, resulting in provision changes from 2026 which will focus on short term support provided to those who are able to repay. 

## **13** Debtors 


**----- Start of picture text -----**<br>
Group Charity<br>2025 2024 2025 2024<br>£'000 £'000 £'000 £'000<br>Legacy accrued income  9,887  7,826 9,887 7,826<br>Inter company balance  -   -   7,387  10,263<br>Other debtors  642  918  568  872<br>Prepayments  150  147  119  112<br>10,679 8,891 17,961 19,073<br>**----- End of picture text -----**<br>


## **14** Creditors: amounts falling due within 

## one year 


**----- Start of picture text -----**<br>
Group Charity<br>2025 2024 2025 2024<br>£'000 £'000 £'000 £'000<br>Trade creditors  437  432  434  429<br>Taxation and social security costs  196  202  244  268<br>Accruals for grants payable  950  1,308  757  1,059<br>Other creditors  372  445  307  339<br>1,955 2,387 1,742 2,095<br>**----- End of picture text -----**<br>


## **15** Pension commitments 

The Royal Air Force Benevolent Fund pension arrangements are as follows: 

A Group Personal Pension Scheme made up of a collection of individual pension plans arranged by the Fund is provided by an insurance provider. This service has been provided by Royal London since November 2016. The liability of the employer is limited to the contributions it makes which amounted to **£693K** (2024: £693K) of which **£54K** remained payable at the year end (2024: £54K). 

The RAF Benevolent Fund Staff Pension Fund is a defined benefit scheme. The scheme was closed to new members on 31 August 2005 and was closed to future accrual on 1 April 2014. The most recent actuarial valuation was carried out as at 31 December 2021. Under the schedule of contributions agreed as part of the actuarial valuation as at 31 December 2021, the employer paid **£1.2M** during 2025 (2024: £1.2M). The deficit contribution plan is unchanged, the employer will make contributions at the current rate of **£100K** per month until 30 April 2026. 


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2025 2024<br>£'000 £'000<br>Reconciliation of funded status to balance sheet<br>Defined benefit obligation  (22,606)  (23,371)<br>Fair value of plan assets  25,250  24,562<br>Restriction on recoverable surplus (2,644) (1,191)<br> -   -<br>Net defined benefit liability<br>The amounts recognised in the SOFA are as follows:<br>Pension Scheme expenses  146   -<br>Net interest expense on net defined benefit liability  (91) 96<br>Interest expense due to surplus restriction  91   -<br>Total pension expense recognised in the SOFA 146 96<br>Reconciliation of defined benefit obligation over the year<br>Defined benefit obligation as at 1 January  (23,371)  (27,453)<br>Interest expenses on defined benefit obligation  (1,211)  (1,160)<br>Remeasurement - effect of experience adjustments gain  (12)  700<br>Remeasurement - effect of changes in assumptions loss  499   2,951<br>Benefits paid  1,489   1,591<br>Defined benefit obligation as at 31 December  (22,606)  (23,371)<br>Changes in the fair value of plan assets over the year:<br>Fair value of plan assets as at 1 January   24,562   24,649<br>Interest income on plan assets  1,302   1,064<br>Remeasurement - return on plan assets excluding interest income gain  (179)  (760)<br>Contributions by employer  1,200   1,200<br>Benefits paid (1,489) (1,591)<br>Pension scheme expenses (146)  -<br>Fair value of plan assets as at 31 December 25,250 24,562<br>Return on plan assets  1,123   304<br>Remeasurements recognised in SOFA<br>Remeasurement - effect of experience adjustments gain  (12)  700<br>Remeasurement - effect of changes in assumptions gain/(loss)  499   2,951<br>Remeasurement - return on plan assets excluding interest income gain (179) (760)<br>Total remeasurement (loss)/gain recognised in SOFA (308) 2,891<br>**----- End of picture text -----**<br>


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## **15** Pension commitments (cont) 


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2025 2024<br>£'000 £'000<br>Remeasurements recognised in Other Comprehensive Income:<br>Remeasurement - return on plan assets excluding interest income gain/<br>(179) (760)<br>(loss)<br>Remeasurement - effect of changes in assumptions gain/(loss) 499 2,951<br>Remeasurement - effect of experience adjustments gain/(loss) (12) 700<br>Remeasurement - change in recoverable surplus excluding interest<br>(1,362) (1,191)<br>expense<br>Total remeasurement (loss)/gain recognised in OCI (1,054) 1,700<br>Reconciliation of restriction of recoverable surplus over the period:<br>Restricted surplus at the start of the period 1,191  -<br>Interest expense arising from restricted surplus 91  -<br>Remeasurement - change in recoverable surplus excluding interest<br>1,362 1,191<br>expense<br>Restricted surplus at the end of the period 2,644 1,191<br>Reconciliation of funded position:<br>Net defined benefit (liability)/asset at the start of period  -  (2,804)<br>(Expense)/credit recognised in profit and loss (146) (96)<br>Gain/(loss) recognised in OCI (1,054) 1,700<br>Contributions by RAFBF 1,200 1,200<br>Net defined benefit (liability)/asset at the end of period  -   -<br>**----- End of picture text -----**<br>


||£’000|**2025**<br>%|£’000|**2024**<br>%|
|---|---|---|---|---|
|**Assets:**|||||
|Target Return Fund|24,723|<br>97.9%|24,128|98.2%|
|Cash/other|527|<br>2.1%|434|1.8%|
||**25,250**|**100%**|**24,562**|**100%**|
||||**2025**|**2024**|
|**Principal actuarial assumptions at the balance sheet date:**|||||
|Discount rate|||5.4%|5.4%|
|RPI infation rate<br>CPI infation rate|||2.9%<br>2.5%|3.3%<br>2.8%|
|Increases to pensions in deferment (CPI max 5%)|||2.5%|2.8%|
|Increases to pensions in payment (CPI max 5%)|||2.5%|2.7%|
|Commutation (% of pension)|||22%|22%|
|Mortality - base table|||S4PA|<br>S4PA|
|Mortality - allowance for future improvements|||CMI 2024|CMI 2023|
||||1.0% LTR|1.0% LTR|
|**Life expectancies from age 63:**|||||
|Male currently aged 63|||86.2|85.9|
|Female currently aged 63|||88.6|88.5|
|Male currently aged 43|||87.3|87.0|
|Female currently aged 43|||89.8|89.7|



Amounts for current and previous four periods are as follows: 


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2025 2024 2023 2022 2021 2020 2019 2018<br>£’000 £'000 £'000 £'000 £'000 £'000 £'000 £'000<br>Defined benefit<br>(22,606)  (24,562)  (27,453)  (27,338)  (39,680)  (41,561)  (37,767)  (34,526)<br>obligation<br>Fair value of<br>25,250 24,562  24,649   24,282   26,215   25,030   24,039  22,231<br>plan assets<br>Deficit  2,644   -  (2,804) (3,056) (13,465) (16,531) (13,728) (12,295)<br>**----- End of picture text -----**<br>


## **16** Related party disclosure 

Donations to the value of £6,950 (2024: £1,375) were received from individual Trustees in the year. Details of all inter-company transactions are shown in Note 27 on subsidiary entities. There were no other related party transactions. 

## **17** Ultimate controlling party 

The Trustees do not consider there to be an ultimate controlling party. 

## **18** Capital commitments 

There were no major planned capital commitments for 2025. 

## **19** Analysis of group net assets between funds 


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Unrestricted  Restricted  Endowment<br>Total Funds<br>Funds Funds Funds<br>2025 2024 2025 2024 2025 2024 2025 2024<br>£'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000<br>Fund balances at 31 December are represented by:<br>Tangible,<br>intangible fixed  27,131 28,558  82  83  -   -  27,213 28,641<br>assets<br>Investments 58,329 59,799 2,918 2,732 5,955 6,263 67,202 68,794<br>Loans to<br>5,919 6,215  -   -   -   -  5,919 6,215<br>beneficiaries<br>Current assets 27,474 22,009 3,121 2,051 10 545 30,605 24,605<br>Current liabilities (1,945) (1,841)  -   -   (10)  (546)  (1,955) (2,387)<br>Pension liability  -  -  -   -   -   -   -  -<br>Total net assets 116,908 114,740 6,121 4,866 5,955 6,262 128,984 125,868<br>**----- End of picture text -----**<br>


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## **20** Operating leases 

At 31 December 2025 the group had total annual commitments under non-cancellable operating leases, all for office equipment and vehicles, as follows: 


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2025 2024<br>£ £<br>Payments due: office equipment and vehicles<br>Within one year  81,578   56,260<br>Within two to five years  90,454   44,869<br>Total  172,032   101,129<br>**----- End of picture text -----**<br>


## **21** Contingent liability 

The actuarial valuation of the Scheme as at 31 December 2023 revealed a funding shortfall (Technical Provisions minus the value of assets of £2,373,000). This funding shortfall is expected to be eliminated by the end of the Recovery Plan which is two years and three months after the valuation date. This expectation is based on technical provisions calculated according to the method and assumptions and return on existing assets and new contributions set out in the Statement of Funding Principles dated 18 March 2025. 

Currently the agreed Deficit Recovery Plan is for the Charity to pay £100,000 per month to the Pension Scheme up to April 2026. 

The legal mortgage over the Charity’s Head Office at 67 Portland Place and 45 Devonshire Close, London, granted in favour of the Trustee of the Staff Pension Fund expired at the end of December 2024 and it was agreed with the Pension Scheme Trustee that this charge does not need to be reinstated. 

## **22** Welfare programmes and External grants 


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2025 2024<br>**----- End of picture text -----**<br>


||£’000|£’000|
|---|---|---|
|**GRANT FUNDING TO THE SERVING ROYAL AIR FORCE**|||
|**Station grants**|||
|603 RAuxAF Sqn Edinburgh|1|<br>1|
|RAF Akrotiri|3|<br>1|
|RAF Aldergrove|-|<br>1|
|RAF Benson|2|<br>38|
|RAF Boulmer|6|<br>3|
|MOD Boscombe Down|17|<br>-|
|RAF Brize Norton|62|<br>9|
|RAF Coningsby|13|<br>2|
|RAF Cosford|9|<br>5|
|RAF College Cranwell|4|<br>4|
|RAF Digby|5|<br>3|
|RAF Episkopi|-|10|
|BFSAI Falklands|1|<br>-|
|RAF Fylingdales|1|<br>15|
|RAF Gibraltar|1|<br>-|
|RAF Halton|52|1|
|RAF Henlow|7|<br>4|
|RAF High Wycombe|15|<br>3|




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2025 2024<br>£’000 £’000<br>RAF Honington   4   4<br>RAF Leeming   7   1<br>RAF Lossiemouth   30   40<br>RAF Marham   30   4<br>RAF Northolt   48   2<br>RAF Odiham   10   2<br>RAF Shawbury  1   1<br>The King’s Colour Squadron  3   -<br>RAF St Mawgan  6   3<br>RAF Valley   10   4<br>RAF Waddington   12   39<br>International Bomber Command Centre  3   -<br>RAF Wittering   20   6<br>203 Sqn Brunei  1   6<br>602 Sqn (Glasgow) -  1<br>RAF Central Fund  3   -<br>RAF Ascension Island  1   -<br>RAF Spadeadam  1   1<br>RAF Wyton  7   3<br>MOD Corsham  1   1<br>RAF(U) Swanwick  3   1<br>RRC Crickhowell  43   16<br>The King’s Foundation  3   5<br>Air Command  4   -<br>Fighting with Pride (FWP)  1   -<br>RAF Falcons  4   -<br>RAF Football Team  2   -<br>RAF Rugby Team  4   -<br>RAF Police Football Team  1   -<br>RAF American Football Team  2   -<br>RAF Golf Team  2   -<br>RAF Military Working Dogs Team  3   -<br>TOTAL GRANT FUNDING TO THE SERVING ROYAL AIR FORCE  469   240<br>2025 2024<br>£’000 £’000<br>CONTRACTED SERVICES TO SUPPORT THE SERVING ROYAL AIR FORCE<br>Airplay programme<br>RAF stations - youth support programme  1,381   1,204<br> 1,381   1,204<br>General support<br>RAF Families Federation  15  15<br> 15  15<br>Grant refund (RAF Shawbury) (11) (1)<br>TOTAL CONTRACTED SERVICES TO THE SERVING ROYAL AIR FORCE  1,385   1,218<br>TOTAL GRANTS AND CONTRACTED SERVICES TO SUPPORT THE<br> 1,853   1,458<br>SERVING ROYAL AIR FORCE<br>**----- End of picture text -----**<br>


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2025 2024<br>£’000 £’000<br>CONTRACTED SERVICES TO SUPPORT THE SERVING<br>AND VETERANS’ COMMUNITIES<br>Wellbeing partnerships<br>Headspace (mental wellbeing)  74   74<br>Silver Line/Age UK  124   128<br>Work Stress Management (Listening and Counselling)  374   624<br>Relate (Young People Listening and Counselling)  98   107<br>PAM (Listening and Counselling)  226   274<br> 896   1,207<br>Relationship support<br>Relate - relationship counselling/mediation  164   201<br>TOTAL CONTRACTED SERVICES TO SUPPORT THE SERVING AND<br> 1,060   1,408<br>VETERANS’ COMMUNITIES<br>**----- End of picture text -----**<br>



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2025 2024<br>**----- End of picture text -----**<br>


||£’000|£’000|
|---|---|---|
|**GRANTS FUNDING TO THE VETERANS’ COMMUNITIES**|||
|AFCFT grant (Op UNITE)|18|<br>176|
|Combat Stress|30|<br>-|
|Age in Spain|3|<br>-|
|Defence Medical Welfare Service|10|<br>-|
|Fares4Free|-|<br>5|
|The Veterans Charity|5|<br>5|
|On Course Foundation|-|3|
|RAF Widows' Association|39|34|
|Royal Commonwealth Ex-Services League (includes support<br>towards caseworking costs)|13|15|
|Slovak Western Front Army Veterans Widows|2|-|
|SSAFA, the Armed Forces Charity (includes support towards<br>caseworking costs)|-|21|
|Highground|-|4|
|Mission Motorsport|-|5|
|Waterloo Uncovered|-|4|
|Eastern European Veterans - Poland|2|3|
|Eastern European Veterans - Slovakia|-|2|
|Team Endeavour Racing UK CIC|4|-|
|Hounds for Heroes|1|-|
|HorseBack UK|2|-|




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2025 2024<br>£’000 £’000<br>Cornwall Ex-Military Hub - OpKernow  1   -<br>Climb to Recovery  3   -<br>Erskine Veterans Charity 5  -<br>Team Endeavour Racing  4   -<br>Veterans Support Service CIC 5  -<br>Veterans Outdoors  -  5<br> 145   282<br>Employment support<br>Regular Forces Employment Association  40   56<br>Walking With The Wounded  10   5<br> 50   61<br>Housing support<br>Broughton House  5  -<br>Queen Elizabeth Hospital Birmingham Hospital Charity - Fisher<br> 10   -<br>House<br> 15   -<br>TOTAL GRANT FUNDING TO THE VETERANS’ COMMUNITY  210   343<br>TOTAL GRANT AND CONTRACTED SERVICES PAYMENTS TO<br> 3,123   3,209<br>THIRD PARTIES<br>Total contracted services  2,445   2,626<br>Total discretionary grants  678   583<br>TOTAL COST OF SUPPORT THROUGH GRANT AND<br> 3,123   3,209<br>CONTRACTED SERVICES<br>**----- End of picture text -----**<br>


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## **23** Statement of funds 


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£'000 £'000 £'000 £'000 £'000 £'000 £'000<br>General reserve 92,187 24,909  (19,099)  (783) 3,800 101,014 84,408<br>Designated funds - see<br>22,553  409   (1,706)  (363) (5,000) 15,893 8,191<br>Note 24<br>Pension reserve  -   -   (146)  (1,054)  1,200   -   -<br>Total unrestricted funds 114,740 25,318 (20,951) (2,200)  - 116,907 92,599<br>Restricted income funds -<br>4,866 2,377  (1,294)  172   -   6,121   6,121<br>see Note 25<br>Endowment funds - see<br>6,262  -   -   (306)  -   5,956   5,956<br>Note 26<br>Total funds 125,868 27,695 (22,245) (2,334)  - 128,984 104,676<br>£'000 £'000 £'000 £'000 £'000 £'000 £'000<br>General reserve 89,780 20,539  (18,609)  1,677   (1,200)  92,187   77,066<br>Designated funds - see<br>24,689  406   (2,710)  168   -   22,553   14,566<br>Note 24<br>Pension reserve  (2,804)  -   (96)  1,700   1,200   -   -<br>Total unrestricted funds 111,665 20,945 (21,415)  3,545   - 114,740  91,632<br>Restricted income funds -<br>4,977 704  (854)  39   -  4,866  4,866<br>see Note 25<br>Endowment funds - see<br>5,976  -   -   286   -  6,262  6,262<br>Note 26<br>Total funds  122,618  21,649  (22,269)  3,870   - 125,868  102,760<br>At 1 January  2025 Income Expenditure Net gains/(losses) Transfers Group at 31 December  2025 Charity at 31 December  2025<br>At 1 January  2024 Income Expenditure Net gains/(losses) Transfers Group at 31 December  2024 Charity at 31 December  2024<br>**----- End of picture text -----**<br>


## **Unrestricted Funds** 

The sum of £22.5M (2024: £22.5M) is included in unrestricted funds and relates to the following designated reserves: 


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Reserves held by the RAF Dependants Fund to relieve immediate financial distress in the<br>£7.8M (2024: £7.8M) event of the death of a subscriber by giving a tax free grant, payable at the discretion of the<br>Fund.<br>Pension deficit recovery contributions based on a revised recovery plan to pay £100K per<br>£4.2M (2024: £4.2M)<br>month up to April 2026.<br>Enhanced welfare provison to (1) advance our strategic ambitions (2) enhance our welfare<br>£9.5M (2024: £9.5M)<br>delivery and (3) build on our success<br>£935k (2024:£935k) Property Fund to be used to maintain the Charity’s presence in Scotland as required.<br>**----- End of picture text -----**<br>


The transfer of £1.2M (2024: £1.2M) from general reserves to the pension reserve represents the Fund’s contribution paid into the defined benefit pension scheme in the year. 

## **Restricted Income Funds – Over £100K** 


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Bomber Command<br>Maintenance of the Bomber Command Memorial in Green Park, Piccadilly<br>Memorial<br>Gulf Trust The funds are held in a ring-fenced fund for the benefit of RAF Gulf War Veterans<br>Lowe Trust Supports Battle of Britain veterans and their descendants<br>RAF Disabled Holiday  Providing holidays to severely disabled serving and ex-RAF personnel and their immediate<br>Trust dependants<br>Afghan Brain Injury  To support veterans of Afghanistan who have sustained a brain injury<br>Armed Forces<br>Covenant Fund  -  To support the mental health of veterans of Afghanistan<br>Operation Unite<br>Endowment Funds – Over £100K<br>E H Jubb Fund For the benefit of aircrew, their widows and dependants<br>For the maintenance and upkeep of property used as a home for members of the RAF and<br>Newton Driver<br>their dependants who are convalescent or disabled. If the income cannot be used for this<br>Memorial Fund<br>purpose it can be applied for general purposes of the Fund.<br>Viscount Nuffield<br>Income used for general purposes<br>Endowment<br>Hector Pilling<br>To provide financial assistance for foundationers at the Duke of Kent School<br>Memorial Fund<br>To help with the education of dependants of deceased members of the RAF killed on duty<br>RAF Prize Trust<br>or attributable to Service<br>Douglas Turner  To be used for the assistance or benefit, including education, of former or future pilots and<br>Benefaction navigators and their dependants<br>RAFBF Educational<br>To promote the education of the children of members of the Royal Air Force<br>Endowment Fund<br>RAFBF Educational<br>To promote the education of the children of members of the Royal Air Force<br>Expendable Fund<br>Peter Henry Slater-<br>Eiggert Memorial  For the benefit of ex-members and dependants of 83 Squadron<br>Fund<br>The Revd. James<br>Edmund Strickland  For the use of general purposes of the Royal Air Force Benevolent Fund<br>Memorial Fund<br>**----- End of picture text -----**<br>


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## **24** Designated funds 


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At 1 At 31<br>January December<br>2025 Income Expenditure Net gains Transfers 2025<br>£'000 £'000 £'000 £'000 £'000 £'000<br>Pension deficit recovery contributions 4,172  -   (1,215)  -  -  2,957<br>Enhanced welfare provision/Strategic<br>9,459  -   (160)  -  (5,000) 4,299<br>development projects<br>Property Fund for the Scotland Office 935  -   -   -   -   935<br>Total designated funds - Charity 14,566  -  (1,375)  -  (5,000) 8,191<br>RAF Dependants Fund 7,987  409   (331)  (363)  -   7,702<br>Total designated funds - Group 22,553 409 (1,706) (363) (5,000) 15,893<br>At 1 At 31<br>January December<br>2024 Income Expenditure Net gains Transfers 2024<br>£'000 £'000 £'000 £'000 £'000 £'000<br>Pension deficit recovery contributions 5,565  -   (1,393)  -   -  4,172<br>Enhanced welfare provision 10,359  -   (900)  -   -  9,459<br>Property Fund for the Scotland office 935  -   -   -   -  935<br>Total designated funds - Charity 16,859  -  (2,293)  -   -  14,566<br>RAF Dependants Fund 7,829  575   (417)  -   -  7,987<br>Total designated funds - Group 24,688 575 (2,710)  -   -  22,553<br>**----- End of picture text -----**<br>


Trustees agreed to redesignate funds previously earmarked for enhanced welfare delivery to reflect current requirements for transformation in systems, welfare services and fundraising capability over the 2025 to 2027 period. The funds will be used for our CRM replacement project, which is scheduled to be completed in 2027, and the acceleration of our community engagement support. 

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Financial statements 

## **25** Restricted funds 

The RAF Benevolent Fund is responsible for a large portfolio of restricted funds. We have disclosed any individual funds with an opening or closing balance of over £10,000. The remainder of funds are grouped together under Other grant making funds within the restriction to which they are committed. 


**----- Start of picture text -----**<br>
As at  As at 31 As at As at 31<br>1 January Expenditure/ December 1 January Expenditure/  December<br>2025 Income transfer 2025 2024 Income transfer 2024<br>£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000<br>Education<br>Other grant making funds -  -  -  -   -   22   22   -<br> -  -  -  -   -   22   22   -<br>Housing<br>Housing Trust General Restricted Fund  -  85  85   -   -   41   41   -<br> -   85   85   -   -   41   41   -<br>Other<br>Bomber Command Memorial  2,905   294   72   3,127   2,808   165   68   2,905<br>Trustee General & Learning and Development  22   -   -   22   22   -   -   22<br>Gulf Trust  353   -   51   302   378   -   24   353<br> 3,280   294   123   3,451   3,208   165   92   3,280<br>Welfare Programmes<br>Armed Forces Covenant Fund Trust (Operation Unite)  23   10   33  -  199   -   176   23<br>Airplay  13   -   -   13   -   -   -   -<br>Restricted to RAF Valley - - -  -  14  -  1 13<br> 36   10   33   13   213   -   177   36<br>Individual welfare<br>OABF Ex Officers and Families Fund  -   1,186   93  1,093 - - - -<br>Afghan Brain Injury  227   -   -   227   227   -   -   227<br>RAF Disabled Holiday Trust  599   55   28   626   581   47   29   599<br>Fulmer Fund  51   -   -   51   51   -   -   51<br>Lowe Trust  572   -   -   572   572   -   -   572<br>Vets, CEW, Reminiscence Groups, 2023  12   33   33   12   8   28   24   12<br>Other grant making funds  6   889   890  5  6   441   441   6<br>B Browns CT Financial  Assistance -  - -  -  25 -  25  -<br>Royal Observer Corps  83   -   12   71   87   -   4   83<br> 1,550  2,163  1,056   2,657  1,557  516   523   1,550<br>Total restricted funds  4,866  2,552 1,297  6,121   4,977   744  855  4,866<br>**----- End of picture text -----**<br>


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Financial statements 

## **26** Endowment funds 

The purpose of funds exceeding £100,000 is set out under Note 23. 


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As at 1 As at 31 As at  As at 31<br>January Unrealised December 1 January Unrealised December<br>2025 Gain/(loss) 2025 2024 Gain/(loss) 2024<br>£’000 £’000 £’000 £’000 £’000 £’000<br>Permanent endowment funds with unrestricted income<br>Pilot Officer J P L Branson Memorial Fund  51   (3)  48   49   2   51<br>Pilot Officer James Erskine Cunning Memorial Fund  48   (2)  46   46   2   48<br>Flying Officer L S Delaney Trust  14   (1)  13   13   1   14<br>Paddy Finucane Memorial Fund  21   (1)  20   20   1   21<br>Louise Alice Kay Memorial Fund  43   (2)  41   41   2   43<br>Mosquito Memorial Fund  12   (1)  11   11   1   12<br>Flying Officer Douglas Frank Newsham Memorial Fund  38   (2)  36   36   2   38<br>Viscount Nuffield Endowment  1,110   (54)  1,056   1,059   51   1,110<br>Helen Mary Renton Fund  45   (2)  43   43   2   45<br>RAF Rugby Union Fund  53   (3)  50   51   2   53<br>Peter Henry Slater-Eiggert Memorial Fund  153   (7)  146   146   7   153<br>The Revd. James Edmund Strickland Memorial Fund  110  (5)  105   105   5   110<br> 1,698  (83)  1,615   1,620   78   1,698<br>Expendable endowment funds with unrestricted income<br>Flying Officer William Dron Memorial Fund  2   (0)  2   2   -   2<br>Frederick Eley Fund  5   (0)  5   5   -   5<br>Wing Commander J Higginson Fund  10   (1)  9   10   -   10<br>Peter Grattan Holt Memorial Fund  53   (3)  50   50   3   53<br>E H Jubb Fund  352   (17)  335   336   16   352<br>Middle East Relief Fund  45   (2)  43   43   2   45<br>Morley Fund  7   (0)  7   7   -   7<br>Orlebar Memorial Fund  8   (0)  8   8   -   8<br>Shattock Memorial Scholarship Fund  13   (1)  12   12   1   13<br>Wooding Memorial Fund  9  (1)  8   9   -   9<br> 504  (25)  479   482   22   504<br>Permanent endowment funds where the use of the income is restricted<br>Newton Driver Memorial Fund  2,253   (110)  2,143   2,150   103   2,253<br>Group Captain W E Purdin Memorial Fund  3   (0)  3   3   -   3<br>RAFBF Educational Endowment Fund  570   (28)  542   544   26   570<br>Douglas Turner Benefaction  136  (7)  129   130   6   136<br> 2,962  (145)  2,817   2,827   135   2,962<br>Expendable endowment funds where the use of the income is restricted<br>Mrs H M Jereham Memorial Fund  31   (2)  29   30   1   31<br>Hector Pilling Memorial Fund  663   (32)  631   633   30   663<br>RAF Prize Trust  254   (12)  242   242   12   254<br>RAFBF Educational Expendable Fund  150  (7)  143   143   7   150<br> 1,098  (53)  1,045   1,048   50   1,098<br>Total endowment funds  6,262  (306)  5,956   5,977   285   6,262<br>**----- End of picture text -----**<br>


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Financial statements 

## **27** Subsidiary entities 

The results of the Fund’s wholly owned subsidiary entities are included within the Consolidated SOFA as follows: 


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RAF<br>RAF<br>RAFBF Trading Dependants  RAFBF Housing  RAF Disabled  Subsidiary<br>Ltd Dependants Fund Income Trust  Trust Ltd Holiday Trust Entities<br>Ltd<br>2025 2024 2025 2024 2025 2024 2025 2024 2025 2024 2025 2024<br>£'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000<br>Income from:<br>Donations  -   -   -   -   -   -   -   2   29  50  29   52<br>Investments  7   7   247  242  2   2   35   47   -   -   291   298<br>Other trading activities  124  120  -   -   -   -   -   -   -   -   124   120<br>Charitable activities  -   -   -   -   -   -   1,245  1,137  -   -   1,245   1,137<br>Profit on sale of properties  -   -   -   -   -   -   1,977  980  -   -   1,977   980<br>Subscriptions  -   -   162  164  32  32  -   -   -   194   196<br> 131  127  409  406  34  34  3,257  2,166  29  50  3,860  2,783<br>Expenditure on:<br>Charitable activities 90 65  280  360  -   -   1,859  2,093  -  29  2,228  2,547<br>Other trading activities  40  58  -   -   -   -   -   -   -   -   40   58<br>Management and administration 1 4  51  57  34  34  -   -   -   -   87   95<br> 131  127  331  417  34  34  1,859  2,093  -  29  2,355  2,700<br>Net gains/(loss) on investment assets  -   -  (363) 168  -   -   -   -   24  (4) (339)  164<br>Net result of subsidiary  -   -  (285) 157  -   -   1,398  73  53   17   1,166  247<br>**----- End of picture text -----**<br>


## **RAFBF Trading Limited** 

Company number: 07768120 

A company set up for the RAF Benevolent Fund to conduct trading in support of its charitable objectives. The Company donated **£88,596** to the Fund in 2025 (2024: £65,527). 

The inter-company balance owed to the Fund at year end was **£195,742** (2024: 

- £270,127). The net assets at year end were **£1** (2024: £1). 

## **RAF Dependants Fund** 

Charity number: 253492 A charity with the RAF Benevolent Fund as custodian Trustee. Set up to promote the efficiency of the RAF through relieving dependants of deceased serving personnel from financial distress. There were 14 deaths in 2025 (2024: 18). 

The inter-company balance owed to the Charity at year end was **£3,533** (2024: 

- £77,153). The net assets at year end were **£7,704,071** (2024: £7,986,844). 

## **RAF Dependants Income Trust Limited** 

Company number: 01285364 A company set up for RAF Dependants Fund subscribers to make further financial provision for their dependants in the event of their death in service. There were six member deaths in 2025 (2024: seven) and beneficiaries received payments made on behalf of the Trust by the underwriters Aviva. The company donated **£nil** to the Charity in 2025 (2024: £nil). 

The inter-company balance owed to the Charity at year end was **£5,707** (2024: £4,447). The net assets at year end were **£3,339** (2024: £3,339). 

## **RAF Benevolent Fund Housing Trust Limited** 

Company number: 1058896 Charity number: 264636 Scottish charity number: SCO38218 

A wholly owned subsidiary of the RAF Benevolent Fund. Its sole activity is to hold and operate properties of beneficiaries of the RAF Benevolent Fund. 

The inter-company balance owed to the Fund at year end was **£7,135,438** (2024: £9,904,766). The net assets at year end were **£16,409,304** (2024: £14,797,221). 

## **RAF Disabled Holiday Trust** 

Charity number: 286019 

The Fund was the sole Trustee of the RAF Disabled Holiday Trust (DHT), until it closed on 12 June 2026. The Charity’s sole activity was to provide holidays to disabled serving and former members of the RAF and their dependants via the purchase of holiday bonds which entitles it to book holidays in the UK and Europe for its beneficiaries. Prior to its closure the holiday bonds were transferred to the Fund and holidays are now provided directly by the Fund, instead of a separate Charity. 

The inter-company balance owed by the Charity at year end was **£78,625** (2024: £91,145). The net assets at year end were **£621,734** (2024: £568,359). 

RAF Benevolent Fund Gift in Kind amounted to **£12,500** (2024: £8,880). 

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## **Subsidiary entities** 

## **RAF Benevolent Fund Housing Trust Limited** 

Companies House: 1058896 Charity Commission: 264636 OSCR: SC038218 

## **Directors/Trustees:** 

Air Vice-Marshal Chris Elliot (Chair) Victoria Akinboro Patrick Aylmer 

Wing Commander Sarah Davis Air Commodore Simon Harper Alan Porter (from 25 Mar 2025) Emrys Rogers 

## **RAFBF Trading Limited** 

Companies House: 07768120 

## **Directors:** 

Air Vice-Marshal Chris Elliot (Chair) Victoria Akinboro Alison Benjamin James Dooley 

## **RAF Disabled Holiday Trust (closed as a charity from 12 June 2026)** 

Charity Commission: 286019 

## **Trustee:** 

The Royal Air Force Benevolent Fund (Reg Charity: 1081009) 

## **RAF Dependants Income** 

## **Trust Limited** 

Companies House: 01285364 

## **Directors:** 

Air Vice-Marshal Chris Elliot (Chair) 

Victoria Akinboro 

Richard Cryer 

Air Commodore Simon Harper 

Wing Commander Clive Martland 

Group Captain Dawn Murty (until 14 May 2025) 

Wing Commander Tracey Bottrill (from 14 May 2025) 

## **RAF Dependants Fund** 

Charity Commission: 253492 

## **Management Committee members:** 

Air Vice-Marshal Chris Elliot (Chair) 

Victoria Akinboro 

Richard Cryer 

Air Commodore Simon Harper 

Wing Commander Clive Martland 

Group Captain Dawn Murty (until 14 May 2025) 

Wing Commander Tracey Bottrill (from 14 May 2025) 

## **Scheme Manager:** 

Andy Cairns 

## **RAF Benevolent Fund** 

## **Trustees Limited** 

Companies House: 00945083 

## **Directors:** 

Air Vice-Marshal Chris Elliot (Chair) 

Victoria Akinboro 

## **RAF Property Company Limited (dissolved as of 17 Feb 2026)** 

Companies House: 10456754 

## **Directors:** 

Air Vice-Marshal Chris Elliot (Chair) Victoria Akinboro 

## **Royal Observer Corps** 

## **Benevolent Fund (dormant)** 

Charity Commission: 209640 

OSCR: SCO37659 (de-registered in Scotland as of 19 May 2026) 

## **Trustee:** 

The Royal Air Force Benevolent Fund (Reg Charity: 1081009) 

Patrick Aylmer 

Wing Commander Sarah Davis Air Commodore Simon Harper Alan Porter (from 25 March 2025) Emrys Rogers 

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**81** 




Please contact us today if you need our support. 




Live chat on our website: **rafbf.org** 

Email: **mail@rafbf.org.uk** 

Call: **0300 102 1919** 

**Royal Air Force Benevolent Fund** 67 Portland Place London W1B 1AR 

To support us visit: **rafbf.org/get-involved** 


The RAF Benevolent Fund is a registered charity in England and Wales (1081009) and Scotland (SCO38109)