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Pallant House Gallery Pallant House Gallery Annual Report & Financial Statements For the Year Ended 31 March 2024 Charity Registration No. 1102435 Company Registration No. 05045130 (England & Wales) ADEPE7XE 2811012024 COMPANIES HOUSE

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Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Reference and Administrative Information Company number 05045130 Country of incorporation England & Wales Charity number Country of registration 1102435 England & Wales Registered office & operation address Pallant House Gallery 8-9 North Pallant Chichester West Sussex P019 ITJ Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows: John Ayton MBE Chair Charles Martin Deputy Chair (appointed to role 8 December 20231 Company Secretary Elizabeth J Davis Aki Abiola Cllr Clare Apel- Joanna Beer Andrew Cussins Laura Ford Elsebeth Gatacre Olaf Gueldner Patrick Holmes Mahtab Hussain Zachary Leonard Roger Mavity Andrea Rose QBE OMG Jacqueline D Russell Tamara Templer The Rt Hon. the Lord Tyrie Robin Vousden Mark Washer Jane Weeks (appointed 8 December 2023) (appointed 22 September 2023) (appointed 22 September 2023} (appointed 22 September 2023) (appointed 27 September 2024 (appointed 27 September 2024) (resigned 18 May 2023) (retired 22 September 2023) {appointed 27 September 2024) {appointed 22 Septernber 20231 (Deputy Chair. retired 8 December 20231 Gallery Di¢tOr Simon J Martin Auditor Sayervincent LLP 110 Golden Lane London ECIY OTG Bankers Barclays Bank PLC 74-75 East Street Chichester West Sussex P019 IHR Investment Managers Sarasin & Partners LLP Juxon House. 100 St Paul's Churchyard London EC4M 8BU Page 2 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Contents Reference and Administrative Information....................... Chair's Statement............................................. Trustees, Annual Report.. Objectives & Activities.......... Our Mission and Vision. Public Benefit Derived from our Activities.-..-.-............................. Performance and Achievements During the Year..-..- .- .... ..... Summary of Financial Results..........................-................................................................................. Capital Project...-.. Exhibitions...... Collection and Acqui5itions......-.-.-.. Community Programme ..-..................................................-......-.............................-......................... Fundraising....-....- .10 Buildings & Facilities. Commercial Aclivities....-.-..............................-. .11 .12 Human Re50urces... -12 Financial Review . .13 Reserves Policy and Going Concern................................................................................................. 14 Investment PolKy and Objectbves..... . . ... .15 Principal Risks and Uncertainties.................-.-.........................-.-.... Structure, Governance and Management....................................................................................... 16 Statement of Responsibilities of the Trustees.............................. .18 Auditor.......................-.-.-......................-.....-.. .16 .19 Independent auditorfs report to the members of Pallant House Gallery....................................... 20 Consolidated statement of financial activities .24 Consolidated balance sheet............................................................................................................. 25 Consolidated statement of cash flov... .26 Notes to financial staternents.............................................................. .27 Reference and administrative information set out on page 2 forms part of this report. The financial statements complywith currentstatutory requirements, the memorandum and articles of association, the requirements of a directors, report as required under company law, and the Statement of Recommended Practice Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102. Page 3 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Chairfs Statement l am delighted to present this Annual Report for 2023-24, which represented the Gallerfs most successful year in terms of visitor numbers and revenue. We have welcomed over 75,000 people to enjoy cultural experiences at the Gallery, bringing in close to £500,OtK) of admi55i0n income.. an impressive increase of 45% on the previous year. This increased footfall also generated record sales for both our independent franchises. The Gallery attrarted these exceptionally large audiences thanks to a hugely popular and critically acclaimed summer season, which included the first major museum exhibition ofGwen John. alongside new work bycontemporary artist Kaye Donachie.The autumn season of John Craxton andjake Grewal exhibitions also received excellent press coverage, although ticket sales returned to more 'normal' levels. The Gallery is not immune to external pressures and the challenges facing the culiural sector and businesses generally. Indeed, the impact of rising inflation and the cost of living were more keenly felt over the winter months. Desprte our cultural contribution and outstanding community programme, the 1055 of our National Portfolio Organisation status and the annual £91,000 of Arts Council funding was a blow. Building financial resilience from other sources of income thus became an even greater priorty and we are very grateful for all our loyal supporters including Chichester District Council. There was a 10% increase in Friends. income and Il% in Patrons. income over ihe period as well as some Significant legacies. The appointment of a new Head of Development will further improve the Gallerfs approach to philanthropy going forward. The Board and I sUPPOrted staff changes that have resulted in a more qualified and experienced team overall. The leadership team was significantly stngthened with the creation oftwo new roles: a Chief Operating Officer and Chief Curator. supported by a new, full time Head of Finance. The team is now delivering against a Business Plan for 2024-26. which builds on existing strategic priorities and identifies clear operational goals. Our cultural arnbitions are undimmed. New staff and a renewed focus have brought additional energy to help realise the Gallery's mission. In tackling some of the long-standing issues that have held back the Gallery previously, l am confident that the tearn 15 laying robust foundation5 for a more resilient organisation that will be better placed to deliver its ambitions. John Arcon Chair ofthe Board of Trustees Page 4 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Trustees, Annual Report The Trustees present their report and the audited financial statements for the year ended 31 March 2024. Objectives & Activities The Charitys objectives areforthe public benefft to promote and advance the education of the public in. and to promote. the visual arts and history of art principally in the Chichester administrative district and in particular, to maintain, preserve, restore and furnish Pallant House in the City of Chichester as a period house within which to exhibrt works of art of historic or public interest for viewing by the public. Our Mission and Vision Our mission is to share and stimulate new thinking on British art and to play a pivotal role in the creative lives of the widest possible audience. Our vision 15 to be recognised as an international centre for Brttish art from 1900 to now. We achieve this by obserrfing the following six principles: Making Modern British art relevant today by exploring contemporary, historic and international connections, redressing imbalances in its history and filling gaps in our collettion. Putting our audiences at the heart of what we do. striving to understand their needs and motivations, enabling two-way conversation5 and involving them in our work. Thinking of the Gallery as rnore than a physical destination. expanding our audience reach through digital, outreach and regional, national and international partnerships. Being a recognised authority on Modern British art and an example of best practice in all aspects of our work. Creating and upholding a distinctive brand for the Gallery that inft)rms all activity. Investing in our people, culture. a55ets and systems. and working to becorne financially and environmentally sustainable and appropriatety resourced. Public Benefit Derived from our Activities The Trustees of the Gallery have paid regard tothe Charity Commission's published guidance on public benefit. They believe that people who have access to the visual arts derive real benefit from the experience through Ihe expansion of their creative ideas, practice and understanding; through appreciation, learning and participation. The Gallery provides the opportunity for people to gain a better understanding of the cultural and artistic make-up of our society and enhances their personal response to and enioyrnent of creativity- Page 5 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Performance and Achievements During the Year Summary of Financial Results The Gallery delivered a surplus of £1,250k in the year 12022-23- deficit of £313k). These figures comprise exceptional and restricted items in both years. At an underlying level, the Gallery continues to incur operational deficits. with the operating deficit for the year of E238k and £512k of net cash utilised for operating activrties. Capital Project During the year the focus has been on building internal capacity and improving systems to deliver a future Capital Project. During the 2024-25 financial year the Gallery will start to work with project rnanagers and internal and external stakeholders in order to revise the brief for a multi-disciplinary design team, in advance of launching the project. Exhibitions 2023-24 was the Gallery's most successful year to date, with record admission numbers matched by outstanding press reviews and visitor feedback. The Gallery operates a dynamic two-seasons exhibitions programme {May- October and November April). Each season comprises one main exhibition in the New Wing and one secondary exhibition in the Historic House. These showcase the Gallervs curatorial excellence. telling new stories about modern British art while supporting contemporary creattvity through the work of emerging or more established artists. These are supplemented byfour Print Room exhibitions per year (two per season), which present new research or insight into the Galler¢s outstanding collertion of works on paper and rare books. Collections displays within the Historic House are also periodically refreshed. notably to facilitate loans out or reveal rentlY acquired works. Summer / Autumn Season Gwen John.. Art ond Life in Lornlon ond Poris was a timely reappraisal of the work of a trailblazing artist long overshadowed by her brother, Augustusjohn. Curated by independent curator Alicia Foster with support from the Gallery's team, the exhibition enabled the Gallery to establish or deepen relationships with a number of partners, with loans from 22 public collections in the UK and abroad, and rarely available pieces from private collections. It was accompanied by a major publication, achieved great press coverage and critical acclaim, and attracted record visitoi numbers. The exhibition subsequently toured to the Holburne Museum, Bath. Pallant House Gallery's Community Programme artists responded to this exhibition by making new work. which featured in the exhibition, A Ploce of My Own. Koye Donochie.. Song for the Lost Act was the artist's first institutional solo show, and presented new work alonEside a painting recently acquired from the artist with the support of the Contemporary Art Society. Donachie designed a site-specific wallpapertoformthe backdropforherselection of 26works Page 6 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 from the Gallerfs collection. The exhibition was accompanied by the artisvs first monograph, authored by Gallery director, Simon Martin. In the Print Room, Role Models. Writers, Portraits16 May- 23 July) and From Lifr. Drawing the Figure (26 July l October) were both drawn entirety from the collection with recent acquisttions demonstrating the Gallery's effort5 to increase the diversrty of artists and subjects represented. The season's success was achieved by an unusually short4taffed curatorial team, following the departure of the Head of Exhibitions in November 2022 (replaced by a Chief Curator in August 20231, showing a canny deployment of reduced resources at a pressured tirne. Autumn / Winter Season The retrospettive, John Croxton.. A Modern Odyssey Charted the development of this celebrated Modern British artist, from wartiffle Britain to the sunny shores of Chania, Crete. Featuring many rarely seen works from private collections and the Craxton Estate as well as loans from British public collections, the exhibition was the first opportunity to display two works by Craxton recently acquired from the estate of Sinclair Hood through the Acceptance in Lieu scheme. Curated with Craxton biographer lan Collins, the exhibition was accompanied by a new publication with essays from staff and distinguished writers. Shown within the exhibition. leading contemporary artist Tacita Dean'5 16mm film diptych, Crockers, premiered at the Gallery. Filmed in and around Craxton's Cret3n house, it is an homage to the artist who encouraged Dean's own career. In ihe Historic House. Joke Grewol.. Some days I feel more alive was Grewal's first instilutional solo Show and revealed his affinities With British Neo-Romantic artists, whose work he selected to show alongside his own. In the Print Room, Sonctuoryselerts.. Voicesfrom the Communty16 October-4 February) was curated by members of the Sanctuary in Chichester Womens, Literacy Group of locally-based refugees and asylum seekers. Hobib Hojallie.. Penned into History {10 February - 21 April) followed from Hajallie's residency at the Gallery as pan of University of the Arts london's Decolonising Arts Institute 20120 programme. Alongside new work on loan from the artist, it included The Lorge Collectors, a monumental drawing produced as a result of the residency and acquired into the collection. Collection and Acquisitions During 2023-24, 118artworks were acquired forthe permanentcollection. This included 69 new works by female artists lof which 6 were newly represented in the collection), bTinging the gender ratio to 24.6% of women artists, and 36 new acquisitions of works by Black. Asian and ethnic minorty artists. Acquisitions 2023-24 Accepted in lieu of inheritance tax by HM Government from the estate of Isabella Anne Marshall Hewat and allocated to Pallant House Gallery Accepted in lieu of inheritance tax by H M Government from the eslate of Sinclair Hood and allocated to Pallant House Gallery Gift of Nan3 Shiomi Bequeathed by Alan Edward Fowler through Art Fund Bequeathed by Nina Drucker with Art Fund Support 25 29 Page 7 of 41

Pallant House Gallery Annual report and fIrn(la1 statements For the year ended 31 March 2024 The Golder- Thompson Gift Other works acquired through donationlgiftltransfer Artworks purchased or cornmissioned by Pallant House Gallery Number of new works by women artists (number of individual artists) 14 16 18 691221 58.5% 49133) 41.5% 3616} 30.5% 22 Number of new works acquired by men {number of individual artists) Number of new works by Black, Asian and ethnic minority artists (number of individual artists) Number of newly represented artists Number of newly represented female artists Number of newly represented male artists 16 Artists Represented in the Collertlon 20221 2021-22 2022-23 2023-24 Number of artists Number of male artists 896 981 1,045 788 175.4%) 257 (24.6%) 55 15.3%) 1,067 804 175.4%} 263 124.6Yts) 58 (5.4%) 693 177.4%) 203 122.6%1 38 14.2%) 745 175.9%) 236 124.1%) 47 14.8%) Number of female artists Number of Black, Asian & ethnic minority artists Conservation Treatment of 66 works was completed during the year, including the treatment and re-framing of significant new acquisitions by Marie Laurencin and John Craxton, and the conserrfation and mounting of 53 works on paper. In addition, we are undertaking a staged programrne of re-Ela2in8 key works and building our stock of standard frames for works on paper fitted with non-reflective. non-uv glass. This project will support preventative conservation measures particularly in the Historic House environs and improve the visitor experience by offering a greater clarity of view. External Loans During 2023-24, the Gallery lent 25 works to 11 drfferent venues including Royal Academy. Holburne Museum and National Portrait Gallery, and international venues FLAG Art Foundation. New York. USA. Stadel Museum, Frankfurt, Germany; and Hamburger Kunsthalle, Hamburg. Germany. Community Programme The Learning and Public Programmes team delivers a range of engagement opportunities for people of all ages to increase access to and enjoyment of art and creativity inspired by the collettion and exhibitions. During 2023-24, 560 activities were delivered. which were enjoyed by almost 5,400 Page 8 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 participants. In addition, we delivered the final stage of the National Lottery Community Fund INLCFI Pallant Partners project. Learning and Publlc Programmes Area Total Partiupants Total Partklpatlons Total Acllvltles Formal education activity for children and young people (Encounter and Create workshops. School in Residence, and free self-led Nisits 5UPPOrted by Gallery resources) 1.700 2.040 103 Informal learning for children and families (free Open Days, holiday workshops and self-led visits) 1.851 1.851 31 Adult learning workshop5. talks and special events 1.526 1.526 54 Community Programme (weekly workshops. projerts and trips) 219 2,570 328 Pallant Partners NLCF project 254 44 Total SJ96 8,241 560 Partners in Art is the Gallerfs longstanding scheme, which matches Community Programme volunteers with participants in one-to-one art partnerships. These may involve studio visits or off-site meetings and, as a result, are recorded drfferently. There were approximately 840 additional participations in 2023-24. Key successes: Encounter and Create programme for schools and colleges officially launched followin8 previous pilots, and bookings progressed well. Introdtsced a teachers Continuing Professional Development programme for School in Residence participants to build teacher confidence. 'A Place of My Own, exhibition was 3 snIfICant milestone in Community Programme development, with members exhibitin8 their work, created in response to the Gallery's major Gwen John exhibition, within a main gallery for the first time. Delivering a 'Cre3ting Community, symposium which explored values-led engagement. This wa5 the first professional development event of this kind delivered by the Gallery and very well attended, with representatives of over 50 cultural organisations from across the UK and Europe. Partnership working flourished, including deepenin8 relationships w¥th Chichester Pride and the University of Chichester to deliver special Summer Lates. A music programme was introduced in collaboration with the Royal Colle8e of Music and the Royal Academy of Music, and a co-curation project with Sanctuary in Chichester led to a print room exhibition. £121k of income was generated from grant5. donations. art and ticket sales. PaEe 9 ot41

Pallant House Gallery Annual report and financial ststements For the year ended 31 March 2024 Key challenges: Lack of alternative physical spaces within the Gallery, including studio space and classrooms, limits what can be delivered and the number of participants. However, staff are currently working at capacity, so any increase in physical space would need to be matched with additional staff support. Fundraising The Gallery drives income generation through a mixed funding model. Fundraising through philanthropy and partnerships continues to be important and is predominantly managed through the Development Team with sUPPOrt from the Development Advisory Group and other key members of the Gallery's Staff. All developrnent and fundraising activities were carried out in-house and no agencies or individual consultants were contractually engaged to raise funds on behalf of the Gallery. Such activities were compliant with appropriate codes and there have been no complaints about them. The Gallery generally focuses on wealthy individuals, trusts and foundations and statutory bodies as a source of funds, leaving members of the public a free choice whether to become a Friend or donate additionally when buying a ticket. Consequently, it is not necessary to have rneasures that specifically protect vulnerable people from fundraising, while care is given to ensuring the safety of all potential donors. Key fundraising income channels for 2023-24 were as follows- Individual giving Patrons Friends Major grfts Olher donations Gifted artwork Legary gifts Trusts & foundations Corporate sponsors and partnerships Statutory & public funding bodies Individual giving throu8h Friends, memberships and the Patrons pro8rarnme continues to be successful and provided a significant income stream of £161k and £155k respettively. In addition, the Gallery received legacy gifts and other donations from individuals of £274k. Gifted artworks from individuals, which are onty accepted once they have been vetted and approved by the Acquisition Commrttee, are another signrficant Sour of support. During 2023-24 artwork valued at £681k was gifted tothe Gallery. Funds received through Chichester District Council I'CDCI of £130k were almost matched by fund5 from Arts Council England I'ACE,), National Lottery Community Fund and other Trusts of £124k. This included transition funding from ACE following the Gallery's loss of ACE National Portfolio Organisation status and associated grant. Page 10 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Corporate support remains the most challenging area for the Gallery. Funds secured through this channel totalled £47k in 2023-24. There is significant potential to grow this income channel. Buildings & Facilities Pallant House Repairs to the outside of the historic house. which is owned by CDC, have been identified as urgent for some time. These are necessaryto prevent further deterioration and leaks within the building. The executive team negotiated with CDC throughout the latter half of 2023 to ensure this was addressed. CDC appointed contractors, and repairs and decorative work to wood and brickwork at the rear of Pallant House began in April 2024. CDC is working with architects and conservation specialists to devise a method to ensure further water ingress does not occur via the parapet. These works concluded in early July 2024. Similar works to the front of Pallant House will be conducted by CDC'S contractors in autumn 2024. Satety & Security The Gallery has employed a key holding alarm response company since December 2023. Securitas are now the first responders to fire and intruder alarm call outs instead of Gallery staff. Fire Risk Assessment 3SFire. a company owned and Tun by Hampshire and Isle of Wight Fire and Rescue Authority, carried out a fire risk assessment of the site in January 2024. The report recorded no high priority issues, and the overall risk level is tolerable. Duty Managers The number of Duty Managers and key holders has been increased by the training of new members of staff, which has improved operational resilience. This sharing of knowledge and responsibility has also helped ease pressure on frontline staff and should help reduce staff turnover in the Visitor Services team. 7 North Pallant Significant repairs are required to the roof of 7 North Pallant. which will require scaffolding to the front of the property. Whilst this work is undertaken in autumn 2024, window frame repairs and redecoration will also be undertaken. l North Pallant To relieve the cramped working conditions in Pallant House, the Communications and Development teams moved into a new office at l North Pallant in January 2024. Page 11 of 41

Pallant House Gallery Annual report and financial ststements For the year ended 31 March 2024 Commercial Activities Pallant Café and Restaurant The Restaurant is an independent franchise which operates on the ground floor of the Gallery. A new contract was signed with Pallant Catering Services in October 2023 and runs until March 2026. The Restaurant had its most successful yearto date in 2023-24. 13rgefy due to the high level of visitor numbers, with gross sales exceeding £600k. The Restaurant contributes rental income and pays a profit share to the Gallery on sales. Pallant Bookshop The Bookshop is an independent franchise which ss a leading specialist bookshop for Modern British art and design. and the primary point of sales for the Gallery's publications and other merchandise. The Bookshop Director. Nicholas Higbee, is a regular attendee at the Galler<s Collections and Exhibitions Advisory Group. The Bookshop contributes rental income and pays commission to the Gallery on sales of Gallery product5. Its contract is due for renewal in March 2025. Human Resources The Gallery recognises that its staff and volunteers are its greatest resource and require investment to get the best outcomes. In order to provide the Executive, slaff and volunteers with appropriate support, training and development opportunities, the Gallery appointed eknernal HR consultants Emphasis HR to provide ongoing HR advice lin February 20241 and has invested in several new online systems: Virtual College. a training platform; BreatheHR, a people management system; and Better Impact. a volunteer engagement and management system. As of 31 March 2024. the Gallery team consistedof 20full-time and 17 part-time permanent members of staff and four casual Visitor Services A55iStants (equivalent to 29.8 full-time roles). Three new posts were created during the year- a full-time Chief Curaior, who started in August 2023; 3 full-tirne Chief Operating Officer. who started in Septernber 2023- and a Manager of Philanthropy and Partnerships {0.8 FTEI, who started in July 2023. The arrival of the Chief Operating Officer and departure of the former Head of Audiences & Development allowed the Gallery to redefine the remit of Head of Development to focus solely on income generation, supported by the new managerial role. In addition. a full-time Head of Finance wa5 appointed in January 2024 (replacing the former part-time freelance post holder), and changes were made to the Visitor Services team to simplify the rota and give greater consistency of cover. The Gallery is indebted to our dedicated team of almost 150 volunteers, who support all aspects of our programme and operations. They fulfil a variety of roles across different departments, including poliry and programme advisors (via the Galletvs Sub-committees and Advisory Groups). Gallery Assistants. GalleryGuides. library and archives assistants. and support of our Learning and Community Programme. Over 15.000 hours of volunteertime were donated to the Gallery in 2023-24 and we are hugely grateful fortheir support. Page 12 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Financial Review The results for the year are set out in the Statement of Financial Activities and accompanying notes later in this report. The Statement of Financial Activities shows that a surplus of £1,250k was delivered in the year12022- 23: deficit of £313k). These figures comprise exceptional and restricted items in both years. At an underlying level, the Gallery continues to incLAr operational deficits. Excluding gifts of artwork (of £681k) and capital growth of the endowment fund lof £807k). the operating deficit for the year was £238k. In terms of cash. £512k of net cash was utilised for operating activities. The Gallery is very pleased with the snificant increase in admission income during the year. which owed much to the success of the Gwen John summer exhibition. Rental income and corporate sponsorship also performed well compared to the prior year. However. income from legacies and donations decreased, and the transitional grant from Arts Council England was lower than the full grant received in the prior year. The grant from Chichester District Council is the only confirmed public funding for 2024-25. Costs increased by IO% year-on-year to £2,525k. Whilst some higher costs were incurred due to high levels of inflation, the Gallery also chose to incur higher staff and marketing costs. to build capacity within the team, strengthen management, and better promote the Gallery. An exceptional rebate of business rates of £95k was received from CDC during the year. following a change in the V31u3tions Office Agentrfs policy in determining rateable values for museums. This related to rates paid between 2017-23 and was exceptional in nature. Principal funding sources during the year were as follows- Page 13 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Income Summary 202>24 %of 2022-23 %of £tKKJs totul Earned Income Adrni5sion Commercial £492 £170 £661 £338 £162 £500 19% Phlanlhropk lftmttutkns Arts Counol England National Lottery Cornmunity Fund Trusts £53 £73 £19 £20 £112 £23 £124 Stattstoryl G¢s%wnn*ntl Publk Chichester Distritt Counol HMRC Total E130 £222 £352 £130 E194 £324 12% Corporations Corporatè Total £47 £47 £15 £15 1% lrtdi¥idu41s Dodations Frlends Legaoes Patron5 Total £214 £161 £60 £iss £590 WA £243 £147 £527 £140 £L057 Other Gifted artwork InvestrnEnt income Miscellaneous Rentsl income £681 78 £26 Ello £1.195 £189 £340 £3 £75 £606 23% otal 968 IWA £L614 Reserves Policy and Going Concern Our reserves are set out in the accounts within the balance sheet and in more detail in note 21. The trustees have a reserves policy designed to ensurethatthe Gallery has adequate re5erve5 to carry out its charitable objectives including maintaining the assets entrusted to it. Endowment funds- There are four endowment funds that have varying terms. all established with the overarching objective of being invested to provide income to support the Gallery's core operation. In the case of at least one fund. this was the stipulation of the donor and in the remainder, it isthe policy of the trustees. Restrirted funds.. There are nurnerous restricted funds which are listed later in these accounts. Each fund relates to a separately identifiable activity that has attracted its own funding from various donors with the proviso that their support is to be applied only to that project. Normally the Gallery has agreed to fund any balance from its wider resources to ensure a successful outcome. These projects Page 14 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 are usually short teim, typically completed within a year, and taken together represent the essence of the Gallery's core operation. Desi nated funds unrestricted The designated funds comprise of buildings and artworks. They were largely created historically by the provision to the charity of the Gallery buildin& along with funds held for related contingencies, and the collection of works of art donated or purchased from donations for display in the Gallery. These designated funds are illiquid. Trustees have reviewed the reserves policy during the year, which was last amended during 2017-18. and believe that it remains appropriate. The reserves policy is as follows". The Gallery should hold cash balances in unrestricted funds, of at least £21M),000 or, if greater, the cash projected to be required for its activities for the following two months. This is currently achieved through holding liquid account5 Wlthin cash and investment5. The endowment fund of £300.IJX) provided by the Friends in 2018119 should only be held in readily realisable investments so Ihat it acts as a second layer of reserves rf required to meet unexpected adverse circumstances. The other endowment funds should continue to include in excess of £500,000 of readily realisable investments that could be sold as a third layer of reserves, whilst otherwise continuing to provide income forthe core operation. This resep4e5 policy was met during 2023-24 and up to the date of signing this report. It continues to be reviewed annuallyand thetrustees have resolved that it should continue in force for a furtheryear. During the year, the Gallery restored operational capacity by investing in key management positions, including a Head of Development who is leading on fundraising. However, an uncertain funiJraisin8 climate remains and the loss of an annual Arts Council England ('ACE'I National Portfolio Organisation I'NPO,) grant of £91k has been keenly felt. Consequently, the trustees accept Ihat operating deficits are realistically unavoidable until higher leve15 of sustainable income can be secured, which in turn will mean it is likely the Gallery will continue to draw on reserves. Currentforecasts for 2024-25 showthat deficits should be contained comfortably within the level of reserves currently in place. Consequently, the trustees conclude that there are not any material uncertainties about the Gallery's ability to remain a 80in6 concern in the foreseeable future. Investment Policy and Objectives Under its Articles. the Gallery has the power to invest funds in the furtherance of its charitable objectives. Tlie Gallery's investment poliry is to grow the endowment funds and generate a reliable income stream to help fund operations. This total returns basis is based on a medium level of risk. Funds are invested over a 3-5 year term on a discretionary basis in a fund that has a strong ethical and sustainable ethos. The Gallerfs endowment funds are invested in Sarasin & Partners Endowments Fund for charities, which is a global multi-asset CAIF unit trust that adopts responsible ESG standards. In the financial year ending 31 March 2024, the Gallerls portfolio with Sarasin increased in value by £807k and generated dividends of £334k. Page 15 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Principal Risks and Uncertainties The trustees have a dutyto identify and reviewthe risks to which the Gallery is exposed and to ensure appropriate rneasures are being taken to mitigate these and controls a in place to provide reasonable assurance. The Gallerfs Risk Register contains the principal risks that the trustees and executive have identified. and the mitigating actions to minimise these risks. Each risk is allocated a likelihood and consequence score, and responsibility for monitoring is assigned to a named member of staff. The trustees have delegated the review of the Gallery's Risk Registerto the Finance, Audit and Risk Committee {'FARC'), which last reviewed the Risk Register in June 2024. Ift addition, the Risk Register is regularly reviewed by the executive. In respert of buildings and contents, the risk of damage due to fire is controlled by an extensive fire detection and alarm system, whith is monitored 2417 and serviced annually. A team of trained Fire Marshalls and a Duty Manager are named on a daily list. held at reception. and are responsible for the safe and efficient evacuation of the galleries, and communicating and liaising with the alarm monitoring company and emergency services. An Emergenry Salvage Priority list is updated regularly to include works from the G311erfs collettion and works on loan, and their location. The impact of any Ioss would also be mttigated through extensive insurance cover, both commercial and through the Government's Indemnity Scheme. The FARC meets every quarter to review the current and projected financial position of the Gallery, so that timely corrertive action can be instigated to minimise the impact. Structure, Governance and Management Legal Status of the Gallery Pallant House Gallery is a charitable company limited by guarantee, incorporated in England and Wales on 16 February 2004 and registered as a charity in England and Wales on 2 March 2004. The charitable objects and powers of the company are set out in its articles of association. The trustees, who are also the Directors for the purpose of company law, and who senied during the year are listed in the 'Referen and Administrative Inforniation, section at the beginning of this report. None of the trustees has any beneficial interest in the charitable company. All the trustees are members of the charitable company and guarantee to contribute £10 in the event of a winding up. Appolntrnent of Trustees Trustees are proactively selected and appointed to ensure that a broad range of relevant skills, experience and diversity are represented across the trustee board. The Nominations Committee (a formal sub-committee of the Board of Trustees) is responsible for Trustee recruitment and succession planning and Chichester Distrirt Council also has the right to appoint and remove one Irustee. A skills audit is undertaken biennia Ily to identify any gaps and priorities, and recru itment takes place by open advertlsement and interview. The Nominations Committee recornmends all Trustee appointment5 to the Board for formal approval. Five new Trustees were appointed by the Board during the period of this report. Page 16 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Trustee Induction and Training The company secretary provides or arranges external induttion training to each newly appointed trustee. They are required to complete a declaration of Fit and Proper status, in line with HMRC'S Fit and Proper Persons Test. and receive key governance documentation. including the articles of association, annual financial statements and the Charity Governance code. The Gallery also maintains a secure online Trustee Portal, where members can access key governance and operational documents. The trustees are responsible for the overall governance of the Charity. They delegate all day-to-day responsibilities for ru nning the organisation to the Director. Simon Martin. As mentioned in the HR section above, the Gallery also created two new senior executive roles to support the Director during 2023-24. The Finance Audit & Risk Committee and Nominations Committee. as well as a number of informal Advisory Groups, have been established to ensure that the trustee5' governance responsibilities are fulfilled. Terms of Reference exist for each of these bodies, and they are reviewed and approved by the 803rd. All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 8 to the accounts. Remuneration Policy for Key Management Personnel The outcome of the annual staff pay review and remuneration levels for key management personnel are approved by the Finance, Audit & Risk Committee. within the parameters of the Gallerfs salary banding system Iwhich was introduced in autumn 20221. Aformal Remuneration Policy was approved by the Board early in the financial year 2024-25. The trustee board is responsible for the appointment and performance management of the Director. The Senior Pay disclosures include the Director and senior members of the leadership team. Equality and Diversity The Gallery is committed to equality, diversity and inclusion within all elements of its operation and programme. The Gallery has a number of written policies in place to reflect our legal obligations and organisational requirements. Mandatory EDI training was introduced for staff in 2023 and this will be rolled out to volunteers in the second half of 2024. A new Equality Diversity and Inclusion Action Plan was created to reflect the Business Plan 2024-26 and approved by the 8oard in June 2024. Related Partles and Relation5hlps with Other OrEanSsations Prior to the merger on 1st April 2018. the Gallery enjoyed a close relationship with the Friends of Pallant House, whose objectives were financial and other support for the Gallery. The activtty of the Friends of Pallant House is now undertaken directly by the Gallery. Until 31 March 2020, a trading subsidiary, Pallant House Gallery Services Limtted, carried out commercial activities related to the Gallery and received income from the restaurant and the bookshop. After that point, this was carried out by the parent Gallery company. There is also a dormant subsidiary. Pallant House Enterprise5 Limited, with an historical involvement in collection of subscription5 from Friends. Both subsidiaries will be closed after the year end. Funds Held as Custodian Trustee on Behalf of Others The charity does not hold funds as custodian trustee on behalf of others. Page 17 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Statement of Responsibilities of the Trustees The trustees (who are also directors of Pallant House Gallery for the purposes of company law) are responsible for preparing the trustees, annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards {United Kingdom Generally Accepted Accounting Practice). Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and group and of the incominE resources and application of resources. including the incorne and expenditure, of the charitable company or group for that period. In preparing these financial statements, the trustees are required to: Select suitable accounting policies and then apply them consistentlyp Observe the methods and principles in the Charitie5 SORP; Make judgements and estimates that are reasonable and prudent. State whether applicable UK Accounting Standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements- and Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware: There is no relevant audit information of which the charitable company's auditor is unaware; and The trustees have taken all steps that they oughtto have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the Llnited Kingdom governing the preparation and dissemination of financial statement5 may differ from legislation in other jurisdictions. Members of the charity Buarantee to contribute an amount not exceeding £10 to the assets of the company in the event of winding up. The total number of such guarantees at 31 March 2024 was IS (2023: 141. The trustees are members of the charity. but this entitles them only to voting rights. The trustees have no beneficial interest in the charity. Page 18 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Auditor Appolntment Sayer Vincent LLP was rtrappointed as the charitable companws audttor during the year and ha5 expressed its willingness to continue in that capacity. Disclosure of Informatlon to Audltor Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit. but which has not been made available to the auditor. They have further Confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information. The trustees, annual report has been prepared in accordance with the special provision5 applicableto companies subject to the small companies. regime. The trustees, annual report was approved by the trustees on 27 September 2024 and signed on their behalf by: Elizabeth Davis Trustee & Com an Secreta Page 19 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 Independent auditor's report to the members of Pallant House Gallery Opinion We have audited the financial statements of Pallant House Gallery (the 'parent charitable companWI and its subsidiary Ithe 'group') for the year ended 31 March 2024 which comprise the consolidated statement of financial activities, the group charitable company balance sheet, the consolidated statement of cash flows and the notes to the financial statements. including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards. including FRS 102 The Financiol Reporting Standord applicable in the UK and Republic of Irelond (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: Give a true and fair view of the state of the group's and of the parent charitable company's affairs as at 31 March 2024 and of thegroup's incoming resources and application of resources. including its income and expenditure, forthe year then ended Have been properly prepared in accordance with United Kingdorn Generally Accepted Accounting Practice Have been prepared in accordance with the requirernents of the Companies Act 2006 and the Charities Att 2011 Basis for opinion We conducted our audit in accordance with International Standards on Auditin8 {UK) (ISAS {UKI) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the group financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, includin8 the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in actordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern In audrting the financial statements,'we have concluded that the trustees, use of the goinE 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. individu311y or collectively. may cast significant doubt on Pallant House Gallery'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. Other information The other information comprises the information included in the trustees, annual report. other than the group financial statements and our auditorfs report thereon. Page 20 of 41

Pallant House Gallery Annual report and financial ststements For the year ended 31 March 2024 The trustees are responsibleforthe other infomiation contained within the annual report. Our opinion on the group financial statements does not cover the other information, and, except to the extent otherwise explicitly stated in our report, we do not express any form of aSSUTance conclusion thereon. Our responsibility is to read the other information and. in doing so, consider whether the other information is materially inconsistent with the group financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements. we are required to determine whether this give5 rise to a material misstatement in the group financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstaternent of this other information, we are required to report that fact. We have nothing to report in this regard. Opinions on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit: The information given in the trustees, annual report. for the financial year for which the financial statements are prepared is consistent with the financial statements. The trustees, annual report has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the trustees, annual report. We have nothing to report in respect of the following matters in relation to which the Companies Art 2006 and Charities Act 2011 requires us to report to you if. in our opinion: Adequate accountin8 records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or The parent charitable companyfinancial statements are not in agreement with the accounting records and returns. or Certain disclosures of trustees, remuneration specified by law are not made: or We have not received 311 the information and explanations we require for our audit. or The directors were not entitled to prepare the financial statements in accordance with the small companies, regime and take advantage of the small companies. exemptions in preparing the trustees. annual report and trom the requirement to prepare a Strategic report. Responsibilities of trustees As explained more fully in the statement of trustees, responsibilities set out in the trustees, annual report, the trustees (who are also the directors of the parent charitable company for the purposes of company law} are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free frorn material mtsstatement. whether due to fraud or error. Page 21 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 In preparing the financial statements. the trustees are responsible for assessing the group's ability to continue 3$ a goinE conrp.rn, disclosin& as applicable. matters related to going concern and using the goinE concern basis of accounting unless the trustees either intend to liquidate the group orthe parent charitable company or to cease operations, or have no realistic alternative but to do so. Auditor's responsibilities for the audit of the financial statements We have been appointed auditor Under the Companies Act 2006 and section 151 of the Charites Act 20113nd report in accordance with those Arts. 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 auditorfs report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit condurted in accordance with IW IUK) will always detert 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 reasonabty be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities. includin8 fraud. are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misslatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities. including fraud are set out below. Capability of the audit in detecting irregularities In identifying and assessing risks of material misstatement in respect of irregularities, includin8 fraud and non-compliance with laws and regulation5. our procedures included the following: We enquired of management and the audit and risk committee, which included obtaining and reviewing supporting documentation, concerningthe group's policies and procedures relating to: Identifyin& evaluatin& and complying with laws and regulations and whether they were aware of any instances of non-compliance: Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspetted, or alleged fraud: The internal controls established to mitigate risks related to fraud or non<ompliance with laws and regulations. We inspetted the minutes of meetings of those charged with governance. We obtained an understanding of the legal and regulatory framework that the group operates in, focusing on those laws and regulations that had a material effect on the financial statements or that had a fundamental effect on the operations of thegroup from our professional and sector experience. We communicated applicable laws and regulations throughout the audit team and remained alert to any indications of non-compliance throughout the audit. We reviewed any reports rnade to regulators. Page 22 of 41

Pallant House Gallery Annual report and financial statements For the year ended 31 March 2024 We reviewed the financial statement disclosures and tested these to supporting documentation to assess compliance with applicable laws and regulations. We performed analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments. assessed whether the judgements made in making accounting estimates are indicative of a potential bias and tested significant transactions that are unusual or those outside Ihe normal course of business. Because of the inherent limitations of an audit, there is a risk that we will not detett all irregularities, including those leading to a material mi5Statement in the financial statements or non-compliance with regulation. This risk increases the more that cornpliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likelyto become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, a5 fraud involves intentional concealment. forgery, collusion, omission or misrepresentation. A further description of our responsibilities is available on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. Use of our report This report is made solely to the charitable company's members as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and sertion 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an audrtorfs report and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone otherthan the charitable cornpany and the charrtable company's members as a body, for our audit work, forthis report, or for the opinions we have formed. Judith Miller (Senior Statutory Auditor) 23 October 2024 for and on behalf of Sayervincent LLP, Statutory Auditor 110 Golden Lane, LONDON, ECIY OTG Sayer Vincent LLP is eligible to act as auditor in terms of section 1212 of the Companies Act 2006 Page 23 of 41

Pallant Callery Slalement gf Ilnandal attfvIts li•corporatl•g an and eXpendIre x(ount) For the nded 31 March ZOZ4 2014 To1 Vnresfiiuid 2023 Total Unr¢strict¢d Ro51rkiod Endowrtnf R¢51rkt•d Endowment 140fe Income from-. Oonaiion5 aod legacies Charirable aCTNiltes CollecTion management Exhiblllons & dlsplays Public programmes Pubiishlng Other ir4dlng •Cihl•i Investment5 1.358.J02 59.948 1.418,250 1.237.649 76.330 1.313.979 9,BOD 699.S27 41.314 136.939 109.606 378.186 9.800 794.096 121.142 136.9J9 109.606 3711.186 4.061 521,389 23.934 139.351 74.426 339,70 33.950 105.091 57.361 38.011 626,480 81.295 139.351 74.428 339.709 94.$69 79.828 Tal Income 2.733.674 234.345 2.968.019 2.340,521 272,732 2,613.253 Eypendlture on.. Raising lunds Charltable aaivltie5 Collection mana9emenl Exhlbitlons & dlsplays Public programmes 122.390 9.507 131.897 88.622 8.310 96,932 269,743 1.009.S26 600.189 159.068 2.246 10.655 6.448 670 273,103 1.272.809 686.140 161.337 237.644 974.671 527.181 159.S54 34.664 142.169 76,896 23.273 2,505 10.275 S.S57 1.682 274.813 252.628 79.503 1.598 609.634 184.509 T•tal exp¢ndiiure 2.160.917 344.350 20.019 2.S25.286 1,987.672 28S.312 20.019 2.293.003 Nei l•c•me l (expendiiure) before nei 9th5 1 (losse51 on IhvtstmEnt5 57Z.758 1110,005) 120.0?9) 442.734 352.849 112.5801 120.0191 320.250 Nel gains I Ilossesl on In¥Èstmonis 806.981 806.981 1633.4271 1633.4Z71 Nii Income I lexpentmiurel for the year 572.758 1110.0051 786.962 1.249.714 352.849 11 E.580) 1653,4461 Transfers beThveety funds (32.716) J2.716 Net Income l (xpthd11 btl•re other rec•gnlsod galns and losses 572.7S8 1110.005> 786.962 1.249.714 320.133 20.136 1653.446) Orher galn5 1 (105se51 Net movement ln funds 572,758 11 io.oos) 786.962 1,249,714 320,133 20.136 1653.446) Toral funds bmught forward Toial funds cathod l•p•rd 31.962.51 ? 494.349 11.078.690 43.535,556 31.642,384 384.344 11.865.652 44.785.270 31.962.517 474.213 11,732.136 43.848.733 J2.535.275 494.349 11,078.690 43.53S.SS6 All of the abtyt resylls art drl¥t¢l from rrJntlnuln9 aahi¢s. Yhere were no hOT rtcvgnlsed Or ltysses othv ih•n Ihose siaied abD¥Q. Movemenrs In lunds are disdostd lty Nore 21 a to lh¢ financi siaiemefits. Page 24 of 41

Pallant House Gallery Balance sheet Company no. 05045130 l M rch20 2024 2023 Note Fixed assets: Tangible assets Heritage assets Investments 8.008.520 24.589.433 11,050,973 8.284,931 23.908,483 10.217,860 43.648,926 42.411,274 Current assets: Stock Debtors Cash at bank and in hand 15.867 594.140 793.203 30,390 488,631 955,636 1.403,210 1.474.657 Liabilities: Creditor5.' amounts falling due within one year 1266,866) (3 50,3 75) Net current assets 1.136.344 1,124,282 Total net assets 44.785.270 43.535.556 The funds of the charity: Unrestricted income funds= Designated funds General funds Endowment 22a 31,698.169 837.106 1,796.929 31.302,555 659,962 1.746,963 Total unrestricted funds 34.332,203 33.709.480 Endowment (restricted) Restricted income funds 10.068,723 384,344 9.331,727 494,349 Total charlty funds 44,785,270 43.535,556 Approved by the trustees on 27 September 2024 and signed on their behalf by.. Elizabeth Davis Trustee & Company Secretary Page 25 of 41

Pallant House Gallery Statement of cash flows 2024 2023 Cash flows from operatlng actlvltles Nei income l (expenditure) for the reporting period las per the statement of financial activities) Depreciation charges Donations of heri(age assets included in income (Cainslllosses on investmenis Dividends, interest and rent from investments Ilncrease)Idecrease in stock5 Ilncrease)Idecrease in debtors Increa5el(decreasel in creditors 1.249.714 (313.177) 304,585 (680.950) (833.113) 1378.186) 14.523 (105.509) (83.509) 306,402 1188,875) 633,427 (339,709) 5,438 199,326 11,180 Net cash provlded by I lused in) operatlng actlvlties Cash flows from Investlng actlvltles: Dividends and interest from investments Purchase of fixed assets (512,HS) 314.012 378.186 (28.174) 339.709 141,3581 Net cash provlded by Investing activities 350.012 298.351 Change In cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Change in cash and cash equivalents due to exchange rate movements (162.433) 955.636 612.363 343.273 Cash and cash equivalents at the end of the year 793,203 955.636 Page 26 of 41

Pallant House Gallery Notes to the flnanclal staremenrs Fo eare l Accountlng policies a) Statutory Inforniatlon Pallant House Gallery is a chariiable company limired by guaranree and is incorporated in England & Wales. Pallant House Gallery is an incorporated charity re9lStered with the Charity Commission for England and Wales. The reglsrered office address 15 Pallant House Gallery. 8-9 North Pallant, Chichester. West Sussex. POI 9 1 TJ. b) Basls of preparation The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 1021 Icharities SORP FRS 1021 and the Companies Act 2006. These financial statements reflect only the results of the charity. Pallant House Gallery. Its wholly-owned subsidiaries Pallant House Gallery Services rnIted and Pallant House Enterprises Limited. are both dormant and do nor hold any material asset or liability valve. Transartions and balances between the charity and its subsidiaries have been eliminated frorn the consolidated financial statements. Balances betyveen the entities are disclosed in the notes of the charity'5 balance sheet. A separate Statement Of financial activities. or income and expenditure account, for the charity itself Is noi presented because the charity has taken advantage of the exemptions afforded by section 408 of the Companies Aci 2006. Assets and liabilities are initially recognised at historical cost or transaction value unless othenvise stated in the relevant accounting policy or note. In applying the financial reporting framework. the trustees have made a number of subjective judgements, for example in respect of si9nificant accouniin9 estimates. Estimates and judgements are conrinually evaluated and are based on historlcal experience and other factors. including expectaiions of future evenis that are believed to be reasonable under the circumsrance5. The narure of the estimation means the actual ouicomes could differ from those estimates. Any significant eslimates and jyd9ements affeciing these financial statements are detailed within the relevant accounring policy below. c) Publlc benefit entlty The charlty meets the definition of a public benefir enrity under FRS 102. The trusrees do not consider that there are any sources of estimation uncertainty at the reportin9 date that have a significant risk of causing a material adjustment to the carrying amounrs of assers and liabilities within the next reporting period. d) Golng concern The trustees consider that there are no material uncertainties about the charity's ability to continue as a 90ing concern. Financial projections have been prepared that show that the existin9 cash resources supported by the ability io realise investments will be sufficient to allow the Callery to continue operating for the foreseeable furure and in particular. for the twelve months following the signing of these accounts. Furrher reference can be found in the section, 'Reserves Policy and Going Concern. in the Trustees. Report. e) Income Income is recognised when the charity has entitlement to the funds. any performance conditions artached to the income have been met. it is probable that the income will be re(eived and that the amount can be measured reliably. Income from 9overnmenr and other grants, whether 'capital' grants or 'revenue' grant5, is recognised when the charity has entitlemenr to the funds. any performance conditions attached ro the grants have been met. it is probable that the income will be received and the amount can be measured reliably and is not deferred. For legacies, entirlement is raken as the earlier of the date on which either.. the charity is aware that probate has been granied, the estate has been finalised and notificaiion has been made by the executorlsl to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy. In whole or in part, is only considered probable when the amount can be measured reliably and the chariry has been notified of ihe executor's inieniion to make a distribution. Where legacies have been notified io the chariry, or the charity is aware of the granting of probate. and the criteria for income recognition have not been met. then the legacy 15 a treated as a contingent asset and disclosed if marerial. Income received in advance of the provision of a specified ser¥ice is deferred until the criteria for income recognltion are met. Page 27 of 41

Pallant House Gallery Notes to the financial Statements l Accounting policies (continued) el Income Friends and Parron Subscriptions are recognised when received. Entrance fees are recognised in income when they are receivable except for group deposits which are recognised when the group visii takes place. Admission income for exhibitions is recognised when the rickets are 501d. Ticket income relatin9 to courses. events and group bookings is reco9nised when they take place. Book and other sales income are recognised when receivable. Donatlons of glfts. servlces and facilitles Oonated professlonal serwces and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated th the donation have been met, the receipi of economic benefir from the use by the charity of the item is probable and that economic benefii can be measured reliably. In accordance wirh ihe Charities SORP (FRS 102). volunteer time is not recogni5ed. Refer to the trustees. annual report for more information about volunteers, contribution. On receipt, donated gifts. profe551onal Services and donaied facilities are recognised on the basis of the value of the gift to the charity. which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market." a correspondin9 amount is then reco9nised in expenditure in the period of receipt. g) Interest receivable Interest on funds held on deposir Is included when receivable and the arnount can be measured reliably by the charity.. this is normally upon notification of rhe interest paid or payable by the bank. h) Fund accountlng Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria Is charged to the fund. Unrestricted funds are donations and other incomin9 resources received or 9enerated for charitable purposes. Designated funds are unrestricted funds earmarked by the rrustees for particular purposes. Endowment funds are split betsveen those designated thus by donor stipulation and those by reversible trustee decislons. The capital of the donor stipulated endowments must be maintained. although the income can be utilised in accordance with the terms of ihe endowment. l) Expendlture and Irrecoverable VAT Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party. it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings". Costs of raising funds relate to the costs incurred by the charity in inducing third parties to make voluntary contributions to it. as well as the cost of any activities with a fundraising purpose. Expenditure on charitable actiwties includes the costs of delivering services. exhibltions and other educational activities undertaken to further the purposes of the charity and their associated support costs. Other expendirure represents those items not falling into any oiher heading. Irrecoverable VAT is charged a5 a central support cost or included in the cost of a fixed asset. J) Operatlng leases Rental charge5 are charged on a straight line ba515 over ihe term of the lease. Page 28 of 41

Pallant House Gallery Notes to the financial statements l Accountlng policies (contlnued) k) Tangible fixed assets Items of equipment are capitalised where the purchase price exceeds £1 .000. Depreciarion costs are allocated to aaivities on the basis of the use of the related assets in those actiwties. Assets are reviewed for impairment if circumstances indicate their carrylng value may exceed their nei realisable value and value in use. Major components are treated as a separate asset where they have significantly different patterns of consumption of economic benefits and are depreciated separately over its useful life. Where fixed assets have been revalued, any excess between the revalued amount and the historic cost of the asset will be shown as a revaluation reserve in the balance sheet. Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value tsver its expected useful life. The depreciation raies in use are a5 follows.. Buildings Plant & machinery Fixrures, fitting5 and equipmeni Artwork (all purchased) 50 years 15 years l O years not depreciated 11 Heritage assets A heritage a55et is defined as "a tangible asset with historical, artistic, scientific, technological, geophysical or environmenral qualities that is held and maintained principally for its contribution to knowledge and culture. The Gallery has estimated a value in these financial statements in respecr of it5 various collections of artwork, which were all gifted to it (purchased artwork is categorised within tangible fixed assets). Any acquisitions are shown eirher at cost or in the case of donations. at an estimated valuation on the date of receipt. Any gains or losses on revaluation, if they rake place, would be recognised in the Statement of Financial Activities. m) Investments Invesrments are a form of basic financial instrument and are initially reco9nised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. Any change in fair value will be recognised in the statement of financial activities. Investment gains and losses, whether realised or unreali5ed. are combined and shown In rhe heading "Net gainsiiiosse5) on invesiments" in ihe statement of financial activitles. The chariiy does not acquire put options. derivatives or other cornplex financial insiruments. n) Investments in subsidlarles Investments in subsidiaries are at cost. o) Stocks Stocks are made up of catalogues and are stated at the lower of cosr and estimated selling price less costs to complete and sell. Provision is made where necessary for obsolete. slow moving and defective Stocks. p) Debtors Trade and other debtor5 are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discount5 due. q) Cash at bank and In hand Cash ai bank and cash in hand includes cash and short term hi9hly liquid investments with a shon maturity of three months or le55 from the date of acquisltion or openin9 of the deposit or similar account. r> Credltors and provision5 Creditors and provisions are recognised where the charity ha5 a present obligation resultin9 from a pasr event ihat will probably result in the transfer of funds to a third party and rhe amount due to settle the obli9aiion can be measured or esiimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. s) Flnanclal Instruments The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subseouently measured at their settlement value. t) Pensions Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. Page 29 of 41

Pallant House Gallery Notes to the financial statements 2 Income from donations and legacies 2024 Total Unrestricted 2023 Total Unrestricted Re5tricied Restricted Art5 Council England grant Assistance to acquire arThvork Chichester DC grant Corporate membership Oannatt Trust gift Donations and gifts Friends & Patrons subscriptions Gift Aid on income Gifts of artwork Grant5 for specific activities Legacies 52.948 7.000 52.948 27,530 130.000 1.667 90,759 12.698 130.000 5.000 150,000 57,305 286,596 31,987 188,875 (17.578) 302,007 90,759 14,028 130,000 5,000 150,000 57.305 286.596 31,987 188,875 {17.578) 377.007 20,530 130,000 1.667 1,330 114.634 375.851 34.671 680.950 114.634 315,851 34.671 680.950 60.000 60,000 7S,000 1,358.302 59.948 1.418.250 1.237.649 76,330 1,313,979 3 Income from charitable actlvitles 2024 Total Unrestricted 2023 Total Unrestricted Restricted Resrricted Collection management Charges to owners Grants & donations 8.429 1.371 8.429 1.371 2,978 1.083 2.978 35.033 33.950 sub-total.for collection managemeni 9.800 9.800 4.061 33.950 38,011 Exhlbltlons & dlsplays Admission income Charges ro other gallerie5 Corporate sponsorship Donations to exhibitions Exhibition tax relief Gift Aid on enrrance fees Supporters, Circle 491.586 491,586 13.130 44,847 36.346 1 $4.723 32,305 21.159 338.010 338,010 13.130 44.847 15.433 io,000 i 0,000 21,420 135,000 26,959 95,091 20.913 154,723 32.305 21.420 135.000 26.959 21.159 95,091 Sub-total for exhibitions & displays 699.527 94,569 794.096 521.389 105,091 626,480 Publlc programmes Courses earned income Donations Grants income Natlonal Lottery Community Fund Sale of artsvork 29,663 8,621 2,985 4,165 22,944 47.874 1.860 32.648 12.786 22.944 47,874 4.890 18.486 230 18.716 700 38.491 18,640 39,191 18,640 4.748 3.030 4,748 Sub-total for public programmes 41,314 79,828 121.142 23.934 57.361 81,295 Publishing Advertising income Grants Image rights revenue Sales of publications 15,819 8,000 1.464 111,656 15.819 8.000 1,464 111.656 73.452 13,452 1,449 124.450 1,449 124,450 Sub-total for publishing 136,939 136,939 139.3SI 139,351 Total income from charitable artivities 887.580 174.397 1.061.977 688.735 196.402 885,137 Page 30 of 41

Pallant House Gallery Notes to the financlal statements d31 24 4 Income from other trading actiwties 2024 Total Unrestricted 2023 Total Unrestricted Restricted Restricted Franchisees. rental income Gallery hire incorne Other income 108,516 1.090 108.516 1.090 70.684 4.364 1620) 70.684 4,364 16201 109,606 109.606 74.428 74,428 S Income from Investments 2024 Total Unrestricted 2023 Total Unrestricted Restricted Restricted Dividend5 from endowment Rental income Other inve51ment income 334,059 35.750 ,377 334.059 35.750 ,377 299,857 36.850 3,002 299.857 36,850 3.002 378.186 378.186 339.709 339,709 Page 31 of41

ht House fAlbEry Nots to thÈ finarlal statsm•nts 6a Afiawsls ol 0xndItu (currnvthtar> ColknH>h Exhibi5 bt & dispy% wogramrne5 G¢¥mance C05r5 Support 2024 Tot1 2023 Total runds Fvbth"5&iry Staff <osts (Nott 81 Arii518 iechnician lee5 Artwoik conservation Artwaik iranspD Aud1en<t deI?pMenr Audit fee5 110.204 67.459 319.962 40.799 16.on) IS8.978 193.63Z ZO.125 402.2Th) 827,839 36,919 41.748 37,936 158.978 2,194 23.085 190.9011 83.827 21.166 98.852 4.302 21.860 22,890 58,978 6,750 306,402 27.300 gi.760 6.098 2.194 13.085 19D.WII Course expenses Course leadtr fees Depreciation Exhlbitioty dE%lopmtht Facililie5 rnanayernonl 3.827 301.587 304,587 51.883 80.268 SZ.B13 80.268 271 21.761 28.821 91.755 50.584 63.477 IrreCD¥Qrab VAT Klagaiine & gallery pUb1Katn% Offitt C05t5 98.737 98.737 42.800 36,018 46.810 73.930 12,600 930 19.023 21.422 42.800 36.018 58,139 J4.462 41.29F 59.552 Professiotyal lets PromotvJnal a(tMty Property renral Rtstarch 29.Z55 73.930 12.600 930 17.7S9 1.264 18,424 23,463 16,583 Supporter developfflent Systems tnhaottmoTrt Systems maintenance Touiing & fees TtU51et5' expEn5e5 21.422 58.438 58,438 7.541 7.541 6,658 8,396 103.26 16.328 103.268 16.3ZB 15,462 131,197 130.7Z4 597.496 277.459 118.061 S7.951 1.210.897 2.525.286 2.293.003 SuppDrr tQ5r5 Cmance c05r5 135.876 6.503 644.470 30.843 390.015 18.665 40.535 1.940 (1.210.897) Twal *xpen¢lture 2024 131.897 273.103 1.272,809 686.140 2,525.216 Total txpendituie 2011 96.932 274.813 609.634 184.509 2.293.003 Page 32 of 41

Pa114nt Houst Gallery Notes to the nnanclal 5tatementS 24 6b Analy51s of txpendlturt (wlor CdlÈui mana9emÈni Exhibitions Public & display5 wogramrne5 Support fund Pubh5hin9 C05t5 ZOZ3 Total Starr ¢osis INore 81 7Z.Z47 59.487 574 10.234 260.283 36.345 16.987 98.852 150.791 19.160 877.839 36,919 27.221 98.152 4,302 22,860 21.890 58.97 6.750 306,402 27,300 93.760 fj,09B 1.222 fj3,477 85,721 115.399 38.139 33,462 41,297 59.552 11.700 1.045 18,424 23,463 36.583 Artwork conservation Armork transport Audience developrnEnt 4.302 22.860 22.890 Course expeDse5 Course Itader fftts 58.978 6.7$0 J06.402 Exhibilion developmtnt 27.300 93.760 6.098 Finance tharyE5 Fundraising evmi ¢$Ès Insurance 1rrecDVerae VAT Magazine & galkry publicatyons Office cosr5 PR (onsuliancy ProfessionAI rtts Promotional Property rental Research 1.222 32.093 51.384 95.721 115.199 38.139 J3.462 17.460 59.552 11.700 23.837 1.045 1fj.297 2.127 Supptsrter development Systems enhancernent Sy51em5 rnainienance Tourin9 & fees Trustets. expen5e5 23.463 36.583 6.658 6.6S8 8.396 91.216 15,462 8.396 wbsiie m•ihien•nct 15.462 96.93Z 119.730 448.552 216.519 134.559 55.093 1.291.003 SuppDrt tQ515 G¢v¢rnahce Costs 649.281 19.282 376.1$1 16.964 47.795 2.155 6.692 (55.09Jl ToLIl expenditure 2023 96,932 274.813 609.634 184.509 2.293.003 Page 33 of 41

Pallant House Gallery Notes to the financial statements Net income for the year This is stared after charging l {crediting)-. 2024 2023 Oepreciation 304.585 306.402 Business rates rebate (95.67 2) Operating lease rentals payable- Property rental 12.600 11.700 Operatin9 lease rentals receivable.. Property (144.266) 1107.5341 Auditor's remuneration lexcluding VAfJ'. Audit fees 23.085 22.860 Analysls of staff costs, vustee remuneratlon and expenses, and the cost of key management personnel Staff cost5 were as follows.. 2024 2023 Salaries and wages Redundanoi Costs Social security Costs Employer's contribuiion to defined contriburion pension schemes Other forms of employee benefits Trainiftq costs Travel and sustenance Volunteer expenses 970.739. 2.171 80.604 16.315 6.925 14.821 16,677 5.330 775.915 58.086 13,373 5.470 4.999 15.557 4.439 1.113.582 877.839 The following number of employees received ernployee benefits (excluding employer pension costs and employer's national insurance) during the year between.. 2024 No. 2023 No. £60.000 - £69.999 £70,000 - £79,999 £80.000 - £89,999 £90,000 - £99,999 The total employee benefits (including pension contributions and employer's national insurance) of ihe key management personnel were £2 30.040 12023.. £144,671). The charity trustees were neither paid nor received any other benefits from employment with the charity in the year (202 3.. £nil). No charity trustee received payment for professional or other services supplied to (he charir¥12023'. £nil). Trustees. expenses represents the paymenr or reimbursemenr of travel and subs1Stence costs rotalling £60 1202 3.. £nil) incurred by l {2023'. nil) member relating to attendance ar rneetings of the trustee5. Page 34 of 41

Pallant House Gallery Notes to the flnancial statements 24 Staff numbers Tho average number of employees Ihead count based on number of staff employedl during the year was 40 12023.. 38). Staff are split across the aaivities of the charity as follows.. 2024 Full Tlme Eoulvalent No. 2023 Full Tirne Eouivalent No. Headcount Headcount No. No. Administration Commercial Communications Curatorial Development Directors Finance Froni of House Operations Public Programmes 12.0 13.7 40.1 29.8 37.7 28.1 l O Related party transactlons Durin9 the year. rhe Gallery entered Into the followin9 transactions with relaied parties= Sofas & Sruff. whose Founder and CEO, Andrew Cussins is a trustee of the Gallery, became a corporare member of the Gallery Ifor £S.0001 in Oecember 2023. Sofas & Stuff is also the headline sponsor (for £20.000) of the Siill Life exhibition. which runs from I l May - 20 Ociober 2024. Amounis contributed to the Gallery by the Trustees and their related parries totalled £33.309. These were within the normal course of busines5 and were not resiricted in nature. I l Taxation The charity is exempt from corporation tax as all its income 15 charitable and is applied for charitable purposes. 12 Tangible fixed a55ets Fixtures. fiitings & equipment Freehold property Plant & machinery ArTh¥ork Total Cosr At the start of the year Additions in year Disposals in year 8.880.847 984.010 1.343.414 8.024 594.777 20.150 11.803,048 28.174 At the end of the year 8.880.847 984.010 1,351,438 614.927 11.831.222 Depreciation At the srart of the year Charge for the year Eliminated on disposal 1.711.909 177.617 853.101 65.600 953.107 61.368 3.518.117 304,585 At the end of the year Net book value At the end of the year 1.889.526 918.701 1.014.475 3,822.702 6,991.321 65.309 336.963 614.927 8,008,520 At the start of the year 7.168.938 130.909 390.307 594.777 8.284.931 All of the above assets are used for charitable purposes. The full value of the freehold property has been depreciated as a building in accordance with the depreciation policy. without allowing for any element of value attributable ro land. Page 35 of 41

Pallant Hovse Callery Note5 to the financial statements ar ende 13 Heritage assets 2024 2023 At l April 2023 A55ers donared during the year 23.908.483 680.950 23.719.608 188.875 Fair value at the end of the year 24.589.433 23,908,483 All of the above assets are used for charitable purposes. The Gallery owns a substantial art collection and an archive of works that are of naiional and worlthvide imporiance. It boasis one of rhe best collections of Modern 8rirish art in the UK and significant holdings of contemporary British art. Largely grown through gifts and bequests donated over the past forty years, it 15 3 'collection of collections., not just telling the srory of Modern British art but also the story of a number of indiwduals, all passionate collectors of ari who generously donated works to the Gallery for the benefit of the publhc. The collection includes painting5. drawings. prints. sculptures. ceramic, lithographs and artists, skeichbooks and tools. The Gallery has limired resource5 ro enable ir to purchase amvork but when offered works as a gift the Direcior. Chief Curator and others with the requisite skills and knowledge. determine vthether they should be added to the collection. In making their decision they take into account both the quality of the work and whether it is an appropriate complement to the existing collection. In doing so, they are guided by a full formal Collecrion5 Development (Acquisitions and Disposal) Policy. which was last revised in 2020 and formally approved by the trustees on 4 December 2020. There has been no impairment and only three disposals of Heritage Asset5 involving arOrk during the last five years. It is not ihe Gallery's policy to dispose of Herita9e Assets but, should the Director or Chief Curator believe it would be appropriate to dispose of a work. the Gallery's Disposal Poliry specifies that the decision must be ratified by the Trustees on the advice of the curatorial staff and that the Director or Chief Curator do not have the power to dispose of any work. The Gallery maintains a fvll and detailed inventory of all Ihe items in its collection. The colleciion is available for public viewing throu9h rotatin9 displays and access to any work nor on display can be arranged by appotntmeni. The Heritage Assets are regularly valued by professional valuers for insurance purposes. Artworks have been valued when they have been lent to external venues and a re¥aluarion of all work5 last valued at over £1 00.000 in 2009 took place during 2020121 by Gurr Johns. The Heritage Assets are reported in the Financial Statements at the insurance valuation at the dare of acquisition and then not 9enerally revalued. 14 Investments 2024 2023 Fair value at the start of the year Additions at cost Net gain l {loss) on change in fair value 10.217.860 26.732 806.981 10.851,287 (633.42 71 11.050.973 10.217.860 Cash held by investment broker pendin9 reinvestment Fair value at the end of the year 11.050.973 10.217.860 Page 36 of 41

Pallant House Gallery Notes to the flnancial statements 15 Subsidiary undertaking These financial statements are consolidated financial sratements for Pallant House Gallery gTOUP. Details of the Gallerfs subsidiaries at 31 March 2024 are a5 follows.. Name of undertaking Registered Nature of business office Class of shares % held direct held Pallant House Gallery Services Limited Icomoanies House no.- 055261581 UK Dormant Ordinary loo% Pallani House Enierprises Limited IcomDanies House no.: 037876041 UK Dormanr Ordinary loo% At 31 March 2024. Pallant House Gallery Services Limiied's assets totalled £200 12023.. £2001, it5 liabilirie5 £nil 12023.. £nill and total funds £2001202 3: £2001. Ar 31 March 2024. Pallant House Enrerprises Limited'5 assers totalled £1 0012023= £1001, its liabilities £nil 12023.. £nil) and total funds £1 0012023., £100). There was no income or expenditure in the year for either company. 16 Debtors 2024 2023 Trade debtors Accrued income Deferred expendrtLAre Tax relief5 VAT Prepayments Other debrors 120.980 55.367 2.109 373.938 (7.7S6) 42.994 6.508 120.396 68.040 17.047 229,231 4,871 46.431 2.615 594.140 488.631 17 Creditors: amounts falling due withln one year 2024 2023 Trade creditors Accruals Taxation and social securiry Deferred income Other creditor5 Provi5i0ns- see note 18 90.958 41.714 22.071 85.746 21,377 5.000 116,551 57,762 15.918 145,928 14.216 266.866 350.375 Page 37 of 41

Pallant House Gallery Notes to the flnanclal statements nd d 31 M rch 2024 18 Provisions for liabilities Provisions for liabilities comprises a full provision for a trade receivable. 2024 2023 Balance at the beoinninq of the Year Amounr released in the year Increaselldecrease) in provision in the year 17.730 (12.730) 15.850 1 ,880 Balance at the end of the vear 5.000 17.730 19 Pension scheme The Gallery complies with employer's automatic enrolment obligations under the Pensions kt 2008. Employer contributions are made to employee pension schemes operated by a third party. 20a Analysls of net assets between funds <current year) Designated Endowment Endowment {Restricted) (Unrestricted) Re51ricied Unrestricted Tangible assets Heritage assets Investments Net current assets 7.048,735 24.589.433 814.679 145.106 10.068.723 982.250 60.000 384.344 692.000 Net assets at 31 March 2024 31.698,168 10.068.723 1.796.929 384.344 837.106 20b Analysi5 of net a55ets between funds (prior year) Designated Endowment Éndowment (Restricted) (Unrestricted) Restricted Unrestricted. Tangible assets Heritage a55et5 Invesiments Net current assets 7.334.072 23.908.483 860.830 90.029 9.331.727 886.133 60.000 494.349 569.933 Net assets at 31 March 2023 31.302.555 9.331.727 1.746.963 494.349 659.962 Page 38 of 41

Pallant House Gallery Notes to the finantial statements 21 a Movements In funds (current year) At l April 2023 Income & Expenditure & gains losses Transfers At 31 March 2024 A- Endowrnent funds: Appeal Fund HLF Catalyst The Monument Trust JM Fund (unrestrictedl 1 .645.630 2.028.066 5.658.031 1 ./40,903 129.968 160.171 446.857 69.985 1,775.598 2.188.237 6.104.888 1.796,929 120.07 91 Total endowment funds 11 .078.690 806.981 120.0191 11 .865.652 Restrirted funds.. Donations & legacies Raising funds Collection Management Public Programmes Exhibirions Organisation Development 59.948 59.948 19,5071 36.165 (81,8181 9.792 369,764 (9.5071 37.279 76.241 9.467 371.362 94.569 79.828 (252.6281 179.5031 (1.598) Total restrirted funds 494.349 234.345 (344.3SOI 384.344 C - Unrestricted funds.. Designated funds.. ACE small capital works New Wing No 7 North Pallant Print room island Acquisitions fund Heritage assets funds 285.102 4.807.018 1 .632.000 15.175 654.777 23.908.483 139,4981 (208.8031 134.0001 (3.0351 245.604 4.598.215 1.598.000 12.140 654.777 24.589.433 680.950 Total desionaied fund5 31,302.555 680.950 1285.3361 31.698.169 General funds 659.962 2.052.724 11.875.581) 837.106 Total unrestricted funds 31.962.517 2.733,674 12,160,917) 32.535.275 Total funds 43.535.556 3.775.000 12,52 5,2861 44,785.270 Total unrestricted funds exclude the JM Fund which is an unrestricted component of the endowment fund. The narrative ro explain the purp05e of each fund is 9iven at the foot of the note bel¢)w. Page 39 of 41

Pallant House Gallery Notes to the financial statements 21 b Movements In funds (prior year) At l April 2022 Income & Expendirure & gains 105ses Transfers At l April 2023 A - Endowment funds.. Appeal Fund HLF Catalyst The Monumenr Tru5r JM Fund lunrestrictedl 1.747.646 2.7 53.790 6.008.785 1.821.915 1102.0161 1125.7241 1350.7541 174.952) 1.645.630 2.028.066 5.658.031 7.746.963 Total endowment funds 1.732.136 1653.4461 11 .078.690 Restricted funds= Collection Management Public Programmes Exhibitions Organisation Development 62.955 10,072 51.676 349.510 35.280 129.361 108.091 1289) 172.3051 1201.718) 11 1.0001 {60,6671 9.113 51.418 32.852 37,279 76.241 9.467 371.362 Total restricted funds 474.213 272.732 {285,312) 32.716 494.349 C - Unrestricted funds.. Designated funds". ACE small capital works New Wing No 7 North Pallanr Print room island Acqu151tions fund Heritage assets funds 324.600 4.996.217 1.666.000 18.210 635.697 23.719.608 (39.498) {189.199) 134.000) (3.035) 285.102 4.807,018 1.632.000 15,175 654.777 23,908,483 19.080 188.875 Total desionated funds 31.360.332 188.875 1265.7321 19.080 31,302.555 General fund5 282.052 2.151.646 {1.721.9401 151.796) 6S9.962 Toral unrestricted fund5 31.642.384 2.340.521 (1.987.672) 132.716) 31.962.517 Total funds 43.848,733 2.613.253 {2.926.4301 43,535,556 Purposes of endowment funds Endowment funds represent assets that either the donors required or the trustees have decided should be set aside from donations received by the Gallery in order to generate incorne. Income arising on the endowmenr fund5 can usually be used in accordance with the objects of the Gallery and is included as unrestricted income. Any capital gains or losses arising on the asset5 are reinvested. Purposes of resiTlCted funds Restricted funds represent the net a55ets attributed to specific activities or projects that the Gallery undertakes. In some insrances. the Gallery has received a donation from one or more sources that has stipulared that the fund5 should only be applied for a specific activity. In other cases. in particular with the individual exhibition restricted fund accounts. there are no such donations. or formal re5triciions on the donarions fall short of what is required and has been made good by a transfer from 9eneral reserves. The approach taken is Still to show these as individual restricted funds so as to report separarely on their outcomes. Purposes of deslgnated funds Designated funds represent items of arThvork or building assets. which have either been gifted to the Gallery or (o rhe extent they have been acquired ihrou9h 9rants and donations for that purpose. The funds serve to Set aside rhe value of those assets from general unrestricted funds to reflect that they are not available for ongoing activities. Page 40 of 41

Pallant House Gallery Notes to the financial statements 22 Operating lease commitments pardble as a lessee The charity's total future minimum lease payments under non-cancellable operaring lea5e5 is as follows for each of the following periods.. Property Equipment 2024 2024 2023 2023 Less than one year One to five years Over five years 39.000 39.000 39.000 974 3.896 39.000 78.000 4.870 The numbers shown for property commitmenr5 represent the renr due per a lease for the land and buildings at Pallant House, Chichester POI 9 1 TJ. The rental amount is due for review by l April 202 5. The Gallery receives the benefit of a conce55i0n rent vthich means that the amounts paid are lower than the cemmitmeni. 23 Contlngent assets or liabilltles There are no contingent assets or liabilities. 24 Post balance Sheet events There were no post balance sheet events. 25 Legal status of the charirv The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1 O. Page 41 of 41

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