2023-08-31-accounts

Asthma Allergy & Inflammation Research Trust Ltd Financial Statements Year Ended 31 August 2023 Charity registration number. 1129698 Company registration number: 06767479

Contents Page Charity Reference and Administrative Detsils Trustees, Annual Report (including Directors, R￿jort) Independent Examinerfs Report Slalement of Finanual Activit￿$ (including Income and Expendrture Accountl Balan￿ Sheet 10 11 Notes lo the Financial Statements 12-25

Asthma Allergy & Inflammation Research Trnst Ltd Year Ended 31 August 2023 Charity Reference and Administrative Details Charity registration number 112%98 Company registration number 67479 Trustees Professor D Davies MrLASDunn Piofessor S T Holg*e Professor J Lucas Professor G Roberts Dr J Slaler-Jefferie5 Dr M Synek Registered office PAailpoint 810. Level F Southampton General Hospital Tremona Road. Southampton S016 6YD Independent Examiner T C Benlall FCA Tim Benlall LLP Toyd Cottage Rockboume Fordingbridge SP6 3PF Solicrtors Paris Smf(h LLP Number 1 London Road Southampton S015 7AE Investment manager5 RBC Brewin Dolphin 12 Smithfield Street London EC1A 9LA

Asthma Allergy & Inflammation Research Trust Ltd Trustees, Annual Report {induding Directors. Report) Year Ended 31 August 2023 The TTUStees present their reExJrt arml the finar￿1 Stat￿￿￿ of the charity for the year eridèl 31 August 2023. The TnJstee5 have adopted the provtstons of the Statement of R￿OrnMended Pwtice ISORPI °Accounting and Rep)rting by Charik5' in prepanng the annual report and fit%naal statements of the charity. Chairfs report The AAIR Charty is proud to raise funds for the wortL1-renowned asthma. allergy and ￿Spiratory research department at Universty Hospital Southampton FacuKy of Med￿lne. The Faculty has experts who have made nBny important breakthroughs. from understanding nthanisms of d￿ease to pK)neering new treatments and infiuencing gudelines. Thankfulty. the CQVID pandemic eased during 21Y22-2023 and we saw a graflual rehjm to normal lrfe in the UK. However, long COVFD ￿nti￿LIeS lo be tKx)rly t1nde￿lO￿J, affecting people's li¥es through persistent fatigue or brain fog, as well as taknng them out of the workforce. FurthemK>re, while the winter months at the @nd of 2022 saw fewer hospital adrnissions for COVID-19 than during the 'iirst two major outbreaks of the pandemic, there was a much sleeper rise in admissions for antt other respiratory viruses. bringing extra PTessure on our NHS. Beyond COVID. Ihe Heallh Eltects of Climate Change in the UK 2023 Report highlighted that air pollution is one of the greatest enwTonmental nsks to public health in the UK and the effects of climate change on outdoor air pollub.on was highlvJhted as a maior Con￿rn. Importanuy, some people are rn0￿ sU￿ptib￿e to the health effects of air pollution induding those wrth preexisting respiratory and cardiovascular diases. y￿jr￿3 people, pwnant women. older wple and iow4nwme communities. Given the burden of lung diwse, rt is unsurprising that the UK Govemmenvs 2021 Life Sciences Wision, which fr￿SeS on heltxng the NHS lo solve of the biggest healthcare tKoblems of our generation, identified reduang nthKIty and nyjtslty from resFxratw disease as one of the seven healthcare missKsn priorrties. During 2022-2023. So(rthampton's respiTatory dortors. nurses and researchers have continued to work towarts better understanding and approaches for treatrnent of respiratory and alkrgi¢ diseases. The AAIR Challty is committèd to help aCh￿ve these goals espeaally through ]everaging our fijnding by pump-pnme studies for larger grant applications and supwrting the next generJ"on of respiratory research scientists. For ex2mple, AAIR fvnded a feasibilty study In asthmatic children which was used lo develop a protocol for a ftjll randomised study which is now ftjnded by the NatK>nal Insbtule for Health and Research INIHRI. The Prescriplton Alerts for Reltever inhalers in Children {PARCI project will determirte whether targeted. enhanced asthma reviews in high-risk children can prevent severe asthma attacks and are cosleffectrve. AAIR-ftJnded researchers have also devebped a (￿MpleX nyxlel of lung afveoli (the air saGS of the lung where the blood exchanges oxygen and cartK)n dioxide during the process of breathingi which is now being Used lo analyse the effect of air pollut¥)n on alveoli. This typè of work is imwrtanl because not only can air pollutants damage the alveoli. bul ukrafine particulates Inanopartsc￿s that are less than 100nm diamelerl in the air pollub.on can cros5 wa the afveoli into the Girculation lo (ause further damage lo the heart and other organs. Other AAR-funded projects have focussed on genetic mulations affects.ng motile rilia Ifinger4ike projections that beat and tTr)ve micr(>bes and debris such as air pollution partides up and out of the airways). These mulations cause primary ctliary dy5kinesLg IPCDI, an airway disease char2Cterised by mucus build up wh￿h ￿adS to inflammation and infection in the lungs. mutah.ons that affect non-mob.le cilia (known as primary cilia) can cause a bro￿1 spectrum of developrnental syndromes affechng sever31 organs. AAIR-funded research has identthed a novel mtrtalion in a 9elle which causes &primary ciliopathy affecting skeletal development combs.ned with defective mob'le cilia and PCD. This has expanded the genetic profile of PCD and developed the rrvjlecular understsnding of motile and primary c¢lia. Researchers have also developed and charactetised an immortalised rTK)del of airway eprthelium with PCD caused by mulalions In the DNAH5 gene. A LifeArc programme grant will hamess this SUC￿$$ by developing further PCD-gene models for high throL*ghput screening of novel therapeutics_ On beha￿ of all the Trustees, I would like to thank our generous donors and benefactors whose ¢ontr"nued support is essential for funding research into asthma and other lung diseases. During 2022-2023. this support has enabled the AAIR ChaTity to award alnN)st £65,QOO to fund a wide range of new projects, provide siudentship supporL butsaries for the Msc Allergy Course and equipnEnl grants to support studies of asthma. allergy and other lury diseases. For rr#ye information, please see our website." htt Jlvth¥.aaircha .or Professor D Dav￿. Chair

Asthma Allergy & Inflammation Research Tntst Ltd Trustees. Annual Report (including Dlrector5' Report) Year Ended 31 August 2023 Directors and Trustees The directors of the charitable company a￿ its trustees for the purposes of charity law. The Iwstees who served during the year and. unless otherwise noted. Since the year end. are as follows.. Professor D Davies MrLASDunn Professor S T Holgate Professor J Lucas Professor G Roberts Dr J Slaler-Jefferies Dr M Synek Objectives and activities Objectives The objectives of the ¢harty are". The ￿lief of sickness by prOmot￿n of research inlo asthma and associated allergy and airnays diseases, and r(s diagnosis and treatment. principalty in the Universty of Southampton Faculty of Medicine and, by such research. to improve the quality and range of diagnosis and treatment to be offered to patients, and to publish for general as well as medical ¢onsideralion the results of such rearch To provide edtJcatKJn and training on the diagnosis and treatment of asthma. allergy and airways diseases The strategies employed to achieve the chanty's objecttves are.. To present lo pharmaceutical producets a Veh￿te whereby they can contribute lo research in to asthma, allergy and inflammation To facilitate the purchase of major items of equipment necessary for such research To enable researchers within the Unwersrty of Southampton Faculty of Medicine to attend seminars and conferences thr¢)ughout the wodd relating to asthma, allergy and inflammation To support the Faculty of M￿1Cl￿e by financing the research fees for holders of specialist skills as and when appropriate lo the ¢Jbjectives of the charty To provide a veh￿Ie to hold and dispense fvnd5 al(ocated to invests"gators for Wofk in asthma, allergy and inflammation wrthin the Facurty of Medicine To promote and develop the woth and stLbdy of a¢￿jemIc in asthma, al￿rgY and inflammalion within the Facutty of Medicine A¢tivitFes Information about how the above strategies are appl￿d rs gNen in Achievements and Perfonnance {see below). Policigs The principal pol*cies of the charty are as folbws.. Grant making To ensure the charty's WO￿ delivers its aims and objectives. the Scientific Commrttee remews all grant applicalK)ns and makes reCommendat￿n5 foi funding or reject¥Jn to the full Board of Trustees based on scientffjc quality and validity, fft to the Charty cèjectives and hthv the proposed work will lead to future external funds.

Asthma Allergy & Inflammation Research Trust Ltd Trustees, Annual Report (including Director5, Report} Year Ended 31 August 2023 Objectives and activities (continued) Grdnl makAng {conb"nuedJ The charity is particulaTly keen to supwrt early career researchers to help them to become rnore established investigators and this is also refle¢led In the recommendatiOll5 made by the scientif￿ Commtttee. Each grant award is subject to provision of an annual review of pro9￿$$, which is assessed by a member of the Sc￿nt￿l¢ Cornmrttee, and a final re￿rt is required. It is a condf(ion of the award that the applicant5 acknowledge the AAIR Charty in any pUbl￿atIonS or presentat￿n$ lo scienlffic or lay aydiences. Investment The charity has aprK)inted the professional investment advisers, RBC Brewin Dolphin, to manage tts investment portfolio on a discretsonary basis. In October 2016. the ¢harty adopted an Investment Policy that.. Albws the porrfolio to be invested wdely Requires diversifiGation by asset Class and man￿er. so that one half of the total sum invested carries a very low investment risk profile Icash or near cash Investments denominated in slerlingl and one haw of the sum invested carrEs a moderale investment risk profile. The asset classes can include cash, bonds, equf(ies, propety. hedge funds. structured products, private equity, commodrties and any other asset th* is deemed surtable and does not conflict Y￿h the chanty's purp(Ise Restricts the proportion of investrnent in non-steJ14ng assets Requires all investments to be realisable wrthin three months Seeks a retum on non-cash baLgnces of inffation plus 4% per annum over the long term, after expenses The Investment Policy is reviewed annualty. Rese￿e$ Of the lolal assets held by the ch3nty, some represent funds that a￿ committed to specrfic purposes. or to grants and awards. in the form of Restrsded Funds and Designated Funds (referred to collectively as 'Comrr7ttted Funds'l. the balance being Un¢ommrtted Funds. As the charity is unable lo predict the level of income. particulaty donations and legacies, from year lo year. the charity's poltcy 15 to retain at least £100,000 of Un¢ommrtted Funds. this level being reviewed annually. The Designated Funds solely represent the charty's ¢ommrtked expenditure on grants awarded lo researchers. The awards are usualty time-limited. although an exlensKJn will be given if there Sre good reasons ft)r doing so and providing rt results in the original purpose of the award being achieved. Any unused grants are retained by the ehanty and. Ni due course. removed from Desigr>aled Funds. Some of the Restricted Funds date back many years and the fund-hokler may have retired or moved away from AAIR-related research. In such cases. the Charity's rK)Iicy 15 to encourage the fund-holder to release the monies to the charty to allow further Designated Fund awards lo other AAIR researchers. The fund-holders are offered the Incentive crf having the award named after them. 11 is the charty's policy not lo release unused Restricted Funds to the fund-holder5 for purposes other than those permitte(J by the charity s chartiable objects. Public benefit statement The trustees have considered the Charity Commi8shJn's gU¥jan￿ on public benefft. including the guidance 'Publi¢ benefft.. running a charty IPB21'. The chanty is commrtted lo promoting research that contn"butes to the relief of sickness ¢aused by asthma and associated allergy and airways diseases. and lo provide education and training on the diagnosis and treatment of asthma, allergy and airways ctiseases. In carying out their actN4ts'es and making their decisions, the trustees are mindhjl ol the need to compty with their dEty to have Tegard to the guidance on public benefit.

Asthma Allergy & Inllammation Research TTUSt Ltd Trustees. Annual Report (including Directors. Report) Year Ended 31 August 2023 Structure. governance and management Govemlng document The charity is a private company limtted by guarantee and is govemed by ts Articles of Association, dated 29 November 2021. The company was incorporated on 8 December 2008 and registered as a charity on 18 May 2009. Wf(h effect from 1 September 2009, the company took ovei the a¢livrties. assets ard liabiif(ie5 of charty numbei 803715. which was con5trtuied on 1 May 1990 and tegislered as a charity on 2 July 1990. Appointment of Trustees Trustees are recrurted from amongst the members of the UnNersty of Southampton Fa¢uKy of Medicine. members of the medical profession, and members of the general public who are recommended by the Iruslees and the professional organisations wrth which the charty is associated. Trustee induction and training Potential trustees musl be recommended by an existing Diredor ITrusteel of the Charrty. All trustees will be entitled to vote on the appointment of new trustees and they will be given at least seven clear days, notice of any resolution lo be tr) a meeting to appoint a new trustee. Once their appointment is approved by the Irvslees, the new trustee will be sent key dctumenls regarding the Charty and ￿t$ objectives. These will be as follows.. The Ch8Tity's Articles of Ass(Kiation (containing the Chanty's policy on dealing with conflicts of interesti., The Charty's latest annual reptyt and accounts.. Minutes of the most recent trustees, meeting,. The Charity Commission's essent￿1 guidance on being a trustee., Any other key documents required fof the posit￿)n. New trustees will be invrted to the next Trustees, meeting following their appointment. Their appointment will e forma5ised * Companies House and the Chanty CommL%SiOn. Oryanisation The board of trustees. whsch comprises not ￿sS than three members (with no maximum}, oversees the charty. with delegated authonty being gNen to tsvo sub-ccynmiitees.. Finance Committee The Fin8nce Committee has responsibilty for operational and financial management. An administrator provides support and coordines firtancial information for the Finan￿ Committee and the board of trustees. During the year, the committee comprised trustees.. Prolessor Davies (chair) ond Mr Dunn. sc￿nI￿￿ Comn7ittee The ScienttfiG Commrttee 5crutinises all sc￿nI￿1¢ grant and scholarship appliGaliDns. providing recommendations lo the trustees on those SLsriable ￿ funding. During the year, the commrttee comprise¢J the folknwing trust￿S.. Professor Lucas. Professor DavEs Dr Synek. Others who supported the committee during the year were Dr Emity Swindle IAssociale Professor i Pharmacologyl. Dr Mark Jones (Associate Professor in Respiratory Med4cinel and Professor Tilman Sanchez-Elsner (Professor of MO￿ular ￿ed￿lne1. Risk management The trustees evalLJale anij monitor risk at their meetings and also Ihfough the wort of their sub-commrttees. The principal risks are a5 follows". Safe-keeping and management of nN)ney The financial risk. including the approach to risk inherent in the chanty's investment portfolio. is evaluated and monrtored by the Finance Committee, whch nonnalty meets thr b.mes each year and reports to the next meeting of Iruslees. One rrtember of the Finance Committee monrtors the financial Posttion al ￿ast monthly, liaising wrth the adminislralor and professional bookkeeper as required Appropriate scrub.ny of grant applications The Scientrfic Committee assesses all applicatDns, ensuring that they provKle appropriate use of the charity's resources and fLtIfiI the char¢ty'"s objectives, and reports to the ttustees, norinally al their next meeting.

Asthma Allergy & Inflammation Research Trust Ltd Trustees, Annual Report (including Directors. Report) Year Ended 31 August 2023 Achievements and perfomiance Work has continued this year in refining the charity's working practices and record keeping as well as introducing others where necessary. Attendant wrth the day-lTrday running ￿quirements. the trustees have been particularly careful not to neglect any of the chanty's generous donors and volunteers, who have continued lo support rts work, arHJ thank them all foi their support. Historically, legacies have Pfoved to be a substantial part of the ¢harity's donated income and for that the trustees are gratefLJI lo the estates and relatives of those legalors who have been so generous In their thoughts and actions. In most of these cases the charrty has had no previous contact with the legators and its thanks to the families of the deceased can onty be channdled through a Sol￿rtOr.. it is the trustees, earnest hope that they reach the intended recipEnts. The charrty's income is such that rt is able lo continue its assistance in financing research in the Universty of Southampton Facuhy of Meéfjcine, or the allied Wellcome Trust Clinical Research Facility and NIHR Southampton Biomedical Research Centre. Most importantly the trustees have been able lo continue to support the all-importanl provision of grants for pump-priming research projects (recommended maximum £10.000 per award), equipment grants loften leveraging against funds from e15ewherel and PhD research Studenlships. During the financial year, the charity received £38.132 (2022.. £3,355) in donations and legacies, an(t incurred expendrture totalling £80,41912022.' £67.7391 in pursuan￿ of rts objectives. Awards were made lo searchers in the UniversTty of Southampton Faculty of Medicine. or the allied Well¢ome Trust Clinical Research Facilty and NIHR Sothhampton Biomedical Researeh Centre. lo support new pump-priming project grants lo deliver the objectives of the chanty. The preservation of the integrity of the ￿$tricted funds remain5 high on the Charity's priority list. These restricted ftsnds are held for the excluswe use of researchers and, in the main, are directty funded by corporate donations and exiemal ￿searCh grants. The restricted fvnds are regularfy revwed by the trust￿$. Flnancial review The charty achieved an overall deficit for Ihe year of £38.812. after net losses on investments of £5,309, 12022.. net deficit £138,387, aftei nel losses on investrnents of £79,140}. The principal source of funds during the year was legacies lolalling £34.80412022". the piinc4)al scNJrce was investment income of £5,137). During the year. the charity Continu￿ to designate funds. awarding grants of £69,875, which included an adjustment lo a grant awarded in a prior year of £5.44212022.' totsl awarded £55,829). Al the end of the year, unrestrtcted funds totalkd £380,65212022". £415.8471. Total charity funds. including restricted reserves of £34, 18012022." £37.7971. amounted lo £414.83212022.' £453,644}. The trustees have been giwng fvrther consideration to those individual restricted ftjnds, which have remained unused for several years, in an attempt to ensure that the funds are used for the purposes intended, or otherwise released to the charty for related, appropriate purposes. During the year, wrth aulhorty from the re￿vant fundholders. £nil12022-. £10.1991 was released from restricted funds lo general funds lo facilrtate further grar¢t awards. Details of the charity's policy for hdding reseNes are included In 'ObiectNes and 8ctivrties' {see page 51.

Asthma Allergy & Inflammation Research Trust Ltd Trustees. Annual Report (including DireGtOTS' Report) Year Ended 31 August 2023 Trustees. responsibilities The trustees (who are aL£o directovs ofA8thma Al￿rgY & Infiammatson Research Trust Ltd for the purposes of company lawl are restK)nsible for preparing the Tru5tees' Allnual RerM)rt and the financial statements in aC￿rdan￿ with apPl￿ble law ar￿fj Uniled King(kJm AccL)unting Standards Iuniie(l Kingdom Generalty AC￿pted Accounts￿ P[xti￿) Company L3w requires the trust5 to prepare finartial statements fDr e&h fmanaal year. Under company law. the trustees must not approve the financial ststements unless they are satisfied that they give a true and fair view of the state of affairs of the chairtable company and of the incoming resources and applicat￿n of resources, including the incx)we arKt expendituie, ol the charitable company for that per￿. In prepanng these financial ststements. trustS required to". sdect suitsble accounting and then appty them coftsisteTrUy," observe the r￿lOd5 and pri￿1p￿ in the Charitss SORP 2019 {FRS 102): makejudgements and estimates that are reasonable and pnjdent", prepare the financial stslements on the going con￿ll ba￿S unless it is inappropriate to presurne that the Charitab￿ corrpany will continue In Ope￿Il0n. The trustees are reswnsibte for keeping adequate ￿$un*"n9 records that disclose wrth reasonable accuraey at any lime the financial posrfj.on of the chatitable company and enable them to er7sure that the financial statements 0)Mp￿ with the Companies Ad 21￿. They are also responsible for safeguarding the assets of the charitat￿e company and heno fDr taking reasonabk steps for t prevention and detection of fraud ar￿ other irregulariiies. The trustees are responsibte for the rroimenance aTrJ inbjnty of ¢xJrpordte and financial informabon included on the charitsble ¢ompany's websrte. Legislatt"on in the United Kingdom goveming the preparat￿n and dissemination of finan￿81 stalements may dtffer from ￿l51a￿.0￿ in otherjurisdth"oris. On behaff of the l%)ard of trustees Professor O Davies. Tnjstee Date.. 16 April 2024

Asthma Alleryy & Inflammation Research Trust Ltd Independent Examinerfs Report Year Ended 31 August 2023 Independent Examinerfs Report to the T￿￿te9$ of Asthma Alleryy & Inflarnmatlon Research Trust Ltd I report lo the charity trustees on my examinat￿n of the &counls of the corT￿nY for the year ended 31 August 2023 wh￿h are set out on pages 10 10 25. Responsibilities and basis of report As the charity trustees of the company land also its directors for Ihe purposes of company lawl you are responsible for the prepar*ion of the accounts in accordan￿ wrth the r￿UirementS of the Companies Act 2C4)6 Ilhe 2006 Act'}. Having satisfied rnyse￿ that the accourts of the company are not required to be audited under Part 16 of the 20￿ Act and are eligible for independenl examination. I rewjrt in respect of my examination of your company's accounts as Cairied out under section 145 of the Charrties Act 2011 I'the 2011 Act'}. In carrying out my exam£n81ion I have followed the Directigns gwen by the Chaiity Commission under section 14515llb) of the 2011 Acl_ ndependent examinerfs statement I have completed my examination. I confimi that no matters have come to my attention in connection with the examination giving me cause to believe that in any malerral respect.. accounting ￿cordS were not kept in respect of the company as requir￿ by seclion 386 of the 2006 Act." or the accounts do not accord with those records.. or the accounts do not compty with the accounting requTrrements of section 396 of the 2(X)6 Acl other than any requirement that the accounts g£ve a 'true and fa%r view. which is not a matter considered as part of an independent examination-, ( the a¢¢ounts have not been prepared in accordan￿ with the rneth(xJs and principles of the ststemenl of Recommended Practice for accounting and reporting by charities lapplicable to harrts.es preparing their accounts in 8CCordar￿e with the Financial Reporting Standard applicable in the UK and Republic of Iretand IFRS 102}1. I have no concerns and have come across no other matters in connection wrth the examination to which attention should be drawn in this report in order to enable a proper understsnding of the accounts lo be reached_ Timothy C Belllall FCA Tim Bentall LLP Toyd Cottage Rockbourne For(lingbridge SP6 3PF Date..

Asthma Allergy & Inflammation Research Trust Ltd Statement of Financial Activities (including Incorne and Expenditure Account) Year ended 31 August 2023 Unrestrided Restrided funds hjnds 2023 Totsl 2022 Total Note Income from". Donations and legacies Investments 38.132 8,784 38,132 8.784 3,355 5,137 Total income 46,916 46.916 8.492 Expenditure on: Charitable activities Total expenditure 76.802 76.802 3.617 3,617 80,419 80A19 67,739 67,739 Net gainslllossesl on investments 12 15,309) (5,309) {79.140) Net incomellexpenditurel 135,1951 13.617) 138,8121 {138,3871 Transfers between funds Nat movement in funds 135,1951 13.617} (38,812) 1138.387) Re¢onciliation of funds: Total funds brought forward 15 415,847 37,797 453.644 592.031 Total funds carried forward 380.652 34.180 414,832 453.644 All income and expenditure derive continuing activities. The statement of financial actEvtties includes all gains and kisses recogni8ed during the year. 10

Asthma Allergy & InfI￿rnall0n Research Tnmt Ltd Balance SIKet As al 31 AuguBt 2023 2023 2022 Flxed as¥•ts 12 371.812 m.397 13 11A21 91613 10J72 Cash al bank 8ThY in hand 10&934 Crnd114xs: •nouhts falllng du•wlthin ono yoar 14 80￿14 13.613 75,247 Totsl assets 1•8s cuThent Aabilili•ts 414832 414,832 Charlty FUNIS 15 15 34180 380M2 31,797 415A47 Unrestrict8J funds Totsl charity fu￿1& 4#4832 For the year endNI9 31 Aoust 2023. the (>)nyry Yrds entiiw lo wmpts)n from attfrt under bon 471 of the Companies ALY 2C(O relating to snpll crMnwte& The Mem￿ have not requ￿ed th8 to obtaNI an awlit of i& thathl slat•ner)ts for ts year in queslion in aC0)rdar￿ th se(aM 476 of th8 c￿￿nieS Act 2(￿. The fingnck?I statenMts were apwoved aTvJ aumv￿j ftK isgje ty lh8 Bowd on 16 Awl 2a24. &gned on tshalfof the lThrd ￿trUstee$. L A Dunn. Tn Data. 2310412024 023 O z()2fr Tho notes M p3g8s 12 b 25 fonn ptollhe8e fina￿la1 s1e￿￿ Ccrfnpany re9istrallcn rRfftiber. C6767479

Asthma Allergy & Inflammation Research Trust Ltd Notes to the Financlal Statements Year ended 31 August 2023 Summary of Signifi￿nt accounting policies lal General information and basis of p￿paratIOn Asthma Allergy & InflammatKJn Research Trust Ltd is a private company limf(ed by guarantee registered in England and Wale5. In the event of the Charty being wound up. the liability in respect the guarantee is limited to £10 per me￿ber of the charrty. The address of the registered office is given in the charity infomialion on page 2 of these financial Statements. The nature of the charity s operations and principal a¢twrties are described in the Tru5tees' Annual Report. The chartty constitutes a public benefft enlity as defined by FRS 102. The financial slalements have been prepared in accordance wjth Accounting Reporting by Charities." Slalement of Recommended Practice applicable to charities preparing their accounts in accordance wrth the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporllng Stsndard applIcab￿ in the Unrted Kingdom and Republic of Ireland IFRS 1021. the Charities Act 2011, the Companies Act 201￿ and UK Generally Ac￿pIed Accounting Practice. The financial statements are p￿Pared on a 90ing concem bas55 under the historical ¢osl convention, m¢JJrfied to include certain items at fair value. The financral statements are presented in slerfing which is the functional Cufrency of the charity. The signrficant accounting poli¢ie5 applied in the preparation of these financial slalements are set out below. These policies have been Consistent￿ applied to all years presented unless otherwise ststed. Ibl Funds Unrestricted funds are availabk for use al the dtscretion of the trustees in furtherance of the general obje¢twe5 of the charity and which have not been designated for other purposes. Des*gnated funds comprise unreslrthd fun¢Js that have been set aside by the trustees for particular purposes. The aim and use of e&h designateAJ fund is Set oul in the notes to the financial slalements. Restricted fvnds are funds wh￿h are to be used in accordance wrth specific restrictions imposed by donors or which have been raised by the charrty for particular purposes. The cost of raising and administering such funds are charged against the spectfic fund. The aim and use of each reslricled fund is sel out in the notes to the financial statements. l¢} Income rKognltion All incoming resources are included in the Statement of Financial A¢tNrties ISOFAI when the charity is legally entitled lo the income after any perfomiance conditions have b￿n met. the amount can be measured reliabty and rt is probable that the income will be received. Donat¢ons'. rf therp are conditions attach&J to the dOnat￿n and it require5 a ￿Ve1 of perf0mlan￿ before entitlement can be obtained. incL¥ne is deferred until Ihose condrtions are fvlly mel, or the fuffilmenl of those ¢ondEbons ￿ within the cothrol of the chanty and rt is pfobable that they will be fulfilled. Donated facilities and donated professional serv￿e$ ale recognised in income al their fair value when their economic beneff( is probable, they can be measured reliabty and the charity has control over the rtem. Fair value is detemiined on the basi5 of the value of the gfft lo the charty. for example the amunt the charity would be willing to pay in the open market for such facl1rt￿S and Servi￿S. A corresponding amount is recognised in expenditu￿, No amount is includ￿￿ in the financial ststements for general volunteer time. 12

Asthma Allergy & Inflarnmation Research Trust Ltd Notes to the Financial Statements Year ended 31 August 2023 Icl Income recognition (continued) For legacies, entrtlement is the earfier of the dale on which erther. the charty is aware that probate has been granted. the estate has been finalised and the Ghaaty has been noltfied of an impending distribution, or when a distrib{rt￿n is received from the eslale. R￿1p1 of a legacy. in whole or in part, 18 only considered probable when the amount can be measured ￿liablY and the charity has been notified of the execulorfs inlerktion to make a distribution. When legacie5 have been notified lo the harty, or the charsty is aware of the granting of probate. and the crrteria for income recognition have not been met. the legacy is treated as a conts"ngent asset and disclosed in the notes to the financial Statements. Investment income is eamed through holding assets for investment purposes, such as shares, and includes dividends and interest. Income is included when the amount can be measured reliably and the ¢harily's right to receTrve payment is estsblished. Idl Expenditure recognrtion All expendrture is accounted for on an accruals basis and has been classified under headings that aggregete all costs related to the category. Expenditure is recognised where there is a leg81 or constructive obligation to make payments to th5rd partEs, it is probable that the settlement will be required and the amount of the oblyation can be measured reliably. It is categorised under the following activty headings". ExpendrfutB on chaniable aC￿rt￿$." includes the costs of making grant awards in furtherance of the charity's key objectives and their associated support costs.. atyl Olher expenditu￿.. represents Ihose rtems not being 'expendrtuie on chantable activities, or the cost of raising funds. Irrecoverable VAT is charged as an expense against the ¥tivtty for which the expenditure arose. Grants payable lo third parb.es are within the Charitab￿ obJ"ectives. W)ere uncondrtional grants are offered, they are accrued as scx)n as the Tecipient is notified of the grant. as this gives rise lo a reasonable expe¢lalion that the ￿1plent will receive the grants. Where grants 8re conditional relating to perfomiance, the grant is onty accrued when any unfi1￿lled conditx)ns are outside of the control of the charity. Condrtional grants ale treated as de5HJnated fijnds, details of wh￿h are shown in note 15. lel Support costs allocation Support costs a￿ those that assist the woth of the ¢hartty but do not dI￿￿Y represent charitable activilEs,' they include office costs, governan￿ costs arxl administrative costs that are incurred directly in support of expendrture on the objects of the chanty. The basis on wh￿h support cos15 have been allocated is sel out in note S. lfj Investrnants Investments are recognised initialty at fair value. which is normally the transaction price excluding transaction costs. Subsequenlty. they are measured at fair value wrth changes recognised in 'net gains J Itossesl on investrnents, in the &)FA. Igl Debtor5 and credltors r￿e1Vable I payable within one year Debtors and creditors receivable or payable within one year are recorded at transaction pri￿. Ihl Provisions Prowsions are recogniwj when charrty has an obligat￿n at the balance sheet date as a resutt of a past event, rt is probable that an ouffiow of economic beneffts will be required in settlement and the amount can be reliabty eslimaled. 13

Asthma Alleryy & Inflammation Research Trust Ltd Notes to the Financial Ststernents Year ended 31 August 2023 {il Tax The chanty is an exempt charriy wrthin the meaning of Schedu￿ 3 of the Charties Act 2011 and is considered to pass the tests set in Paragraph 1 Schedule 6 Finance Act 2010 and therefore rt meets the definit￿n of a charttable company for UK corwration tax purposes. (i} Going concern The financial statements have been prepared on a going con￿￿ basis as the trustees believe that no material uncertainties exist. The trustees have 0)nsider￿1 the level of funds held and the expected level of income and expendrture for 12 months from authorising these financial statements. The budgeted income and expendrture is sufficient wf(h the level of reserves for the charity lo be able to contsnue as a going concem. {k) Judgements and key sources of estimation uncertainty Apart from those invofvTrng estimates. no key iudgemenls have been made in applying the above accounting policies, wh￿h have a s￿n[r￿ant effect on anK)unts recognised in the financial statements. No key assumptions have been made Con￿mIng Ihe future. and other key sources of estimation un¢ertainty, at the reporting dale that have a s￿n￿leant risk of Causing a material adjustment to the C8rrying amounts of assets and liabiltties within the next financial year_ Income from donations and legacies 2023 2022 Grfts Legacies Donated services 2.928 34.804 400 2,907 48 4(NJ 38.132 3.355 Income from donations and legacies was £38.13212022". £3.3551 of which £Nil12022." £Nill was attributable to resth.cted and £38,132 {2022." £3,355) to unfestrKted funds. Income from investments 2023 2022 InleTesl on depostts Income from listed investrnents 8.486 8.784 5,134 5,137 All income from investments in both year5 was attrsbutable to unrestricted funds. 14

Asthma Allergy & Inflammation Research Trust Ltd Notes to the Financial Statements Year ended 31 August 2023 Analysls of expenditure on charitable activitles Expendilure in 2023 Grant fvnding of activrties Support costs Total Research grants PhD sludenlships Total payab 48.637 5,401 54,038 26.381 80.419 Of the total expendilure of £80.419. £3.617 was attributable to restricted funds and £76.802 to unrestricted funds. Details of support costs are given in note 5. All the grant funding is regarded a5 a single activrty for the PUTrKJses of allocating support Costs. ExpendituTr in 2022 Grant funding of activrties Support costs Total Research grants PhD sludentships Total payab 44,148 5.815 49,963 27,076 77,039 Unused expenditure relum&J 19.300) {9,3001 40.663 27.076 67.739 Of the totsl expendrture of £67,739. £589 was attributable to restricted funds and £67.150 to unrestricted funds. Detsils of support Costs are given in note 5. All the grant funding is regarded as a single aclTvity for the purposes of allocating support costs. 15

Asthma Allergy & Inflammation Research TTust Ltd Notes to the Financial Statements Year ended 31 August 2023 Allocation of support Costs All sUPPOrt costs a￿ attributable to the chaTrty's grant fu[￿Ing actwities. Support costs 2023 Total Govemance Inole 6) Finance Infr)malion technology Office Costs Publicty and advert15ing Investment management fees and charges (note n Professional fees Other 2.970 385 1,359 14.688 1.190 4.694 807 Total 26.381 Support costs 2022 Total Govemance (note 61 Finance Infomiation technology Office costs Publicrty and advertising Investment management fees and charges (note 7) Professional fees Other 2.850 417 940 15,115 1,038 6.468 168 80 Total 27,076 Governance costs Note 2023 2022 Independent examinerf5 remuneration 2,970 2.850 76

Asthma Allergy & Inflammation Research Trust Ltd Notes to the Financial Statements Year ended 31 August 2023 Invesbnent management costs 2023 2022 Investment managerfs fees arFd charges 4.694 4,694 6.468 All the above costs in t¥)th years were attn"butsble to unrestricted funds. Analysis ot gr4nts Grant awards are made by designats'ng funds for drawiftg down by the re¢ipfrenl, subject to the ongoing approval of tnjstees, nomialty on a staged basis. Amounts drawn down are included in expenditure on charitable 8Ctivrties (note 41", movements on the designated ftjnds are shown in note 15. Grant awards made during the year were as foll¢)ws'. Grants 2023 Grants to individuats Total Research grants awarded 64.433 64,433 Adjustment lo grant awarded in previous year 5.442 5,442 69,875 69.875 Grants 2022 Grants lo dEvKluals Total Research grants awarded 55,829 55.829 Independent examinerfs remuneration The independent examiner's remuneralion amounts to an independent examination fee of £1.485 12022- £1.4251 and other services of £1,485 {2022 - £1,425). 17

Asthma Allergy & Inflammation Research Tn￿t Ltd Notes to the Financial Statements Year ended 31 August 2023 10 Staff costs and employee benefts There were no empbyees or staff costs in the cu￿ent or prior year. 11 Trustèes. and key rnanageme￿ personnel remuneration and expenses The chatty is managed by its ttustees and has no other key management personnel. The Iruslees nerther receNed nor waived any remUnera￿n during the year12022.. £Nill. The trustees were not reimbursed for any expenses during the year {2022.. £Nill. 18

Asthma Alleryy & Inflammation Research Trust Ltd Notes to the Financlal Statements Year ended 31 August 2023 12 Fixed asset investments Listed investments Cost or valuation At 1 September 2022 Addrtions Disposals Revaluation AI 31 August 2023 378,397 167.822 {169,0981 15,3091 371.812 Carrying amount". At 31 August 2023 371,812 At 31 August 2022 378.397 Fixed asset investments are measured inrtialty * fair value and subseqijently at fair value (their market value) al the reporting dale. Investments at fair value comprise_. 2023 2022 Equities Bonds Gbbal investments Absolute retum Commodrties Propety Other investments 125.852 99,212 121.498 83.164 101.421 131.993 12.060 25,796 2,782 21.181 9,485 15,765 371,812 378,397 The fair value of listed investments is provKled by RBC Brewin Dolphin and, ordinarity, is detemiined by reference lo the middle market price al the close of business on the balance sheet date. 13 Debtors 2023 2022 Prepayments and accrued income Other debtors 1,321 10.000 11.321 1,672 9,300 10.972 19

Asthma Allergy & Inflammation Research Trust Ltd Notes to the Financlal Statements Year ended 31 August 2023 14 Credito￿. amounts falling due within one year 2023 2022 Trade credrtors A¢cwals and deferred income 38,805 22,109 589 13.024 60,914 13,613 15 Fund rgconciliation Unrestrictgd funds: surnmary of movements Movements foryearended 31 August 2023 Balance * 1.9.2022 Net movement in funds Balance at 31.8.2023 Unrestricted 239.852 185,202 Designated funds.. a) Research grarils b} Equipment grants c) PhD studentships 128.457 1631} 20.045 41 19,455 127,826 20,045 47.579 195,450 47.538 175.995 Tolal 415,847 135.195} 380.652 Movefftents foryearended 31 August 2022 Balance at 1.9.2021 Nel move￿nI In funds Balance al 31.8.2022 UnTesth"cted 239 852 Designated funds". a} Research grants bl Equipment grants c} PhD studentships 147,479 3.443 119,0221 13.4431 9.820 132.2851 128,457 47.538 175,995 208 280 Total 1127,5991 415,847 20

Asthma Allergy & Inflammation Research Trust Ltd Notes to the Financial Statements Year ended 31 August 2023 Note 15 {continued) Unrestricted funds: analysis of movements Movements forygarended 31 August 2023 Transfers betsveen fvnds Gains I {bssesl Nel movement for the year Income Expenditure Unrestricted 46.916 (26.3811 {69,8751 15.3091 {54,650} Designated.. al Research gfan15 bl Equipment gTants bl PhD studentships 145.0191 44,388 20,045 5.442 16311 20.045 41 15.401) 46.916 176,801) 15.3091 Movements forye8rended 31 August 2022 Transfers between funds Gains I Ilossesl Nel Tnovement for the year Incorw Expendrture Unrestrrted 8.492 (27.076) 17,7891 {79,1401 1105,5131 Transfers from restricted funds (page 221 10.199 2.410 10,199 (95,3141 Designated.. al Research grant5 bl Equipment grants b) PhD slLJdenlships (34.2591 15,237 13,4431 14,005) {19.0221 {3.4431 19,8201 15,8151 8,492 167.1501 10,199 179.1401 (127.5991 21

Asthma Allergy & Inllammation Research Trust Ltd Notes to the Financial Statements Year ended 31 August 2023 Note 15 Icontinuedl Rgstricted funds Balance Net movement Transfers in funds Balance Net movement 31.8.2022 in funds Balance at 31_8 2023 31.8.2021 Ardem- Jones European Asthma Friedmann Gadola Hai(¢hi Healy Holgate Prize Fund Vijayanand Waller Walls 6.977 6.977 6.977 2.830 (2,830) 6.￿9 2.826 3,097 7,107 500 16,869) 2,826 3,097 7.107 2,826 3.097 7,107 (5CK)I 6.189 7,984 4206 48.S85 6,189 7.984 3,617 37.797 6.189 7.984 15891 589 13.6171 3.617 10.199 Rostrlcted funds." analysis of movements Movements foryearended 31 August 2023 Net movement for the year Income Expendrture Walls (3.617) (3.6171 Movements foryeèr ended 31 August 2022 Net movement for the year Income Expenditure Walls 1589) 15891 As there had been no movernent in most of the funds for several years. the Tmslees have previously invited all the fundholders to submit a proposal oullining how the balance of the restricted funds would be used for research or educational PTojects in line with the Charrty's objectives. Should the fvndholders not intend lo expend the f15nds imminently. or have a relevant proje¢l in mind, the Trustees invited them lo ¢on5ider releasing the baL2n￿ of their funds lo the Charty in ordei that they could be used to fund relevant projects by other researchers". in this case, h¥0 options were provided." identrfying their Contribution to a project by making an award in their name. or ￿leaSing their restitled funds to general funds to facililale future awards. Dursng the prior year, Professors Howe and Friedman authorised the balance of funds under their control. totalling £10,199, to be released lo general furKls lo facilitate fijther grant awards.

Asthma Allergy & Infiammation Research Trust Ltd Notes to the Financial Ststements Year ended 31 August 2023 Note 15 Icontinuedl Fund descriptions a} Unrestricted ftJrJd5 All unrestricted funds may be Irealed as designated. bl Designated funds Research and equipment grants, and PhD sludentships The funds were established to support the work and study by students and others in asthma. allergy and innamrnabon wrthin the Universty of Southampton Facuty of MeLticine. or the allied Welkome Trust Clinical Research Facilty and NIHR Southamplon Biomedical Research Cenlre. c) Restricted funds Restricted funds are for the purF)oses described belcvw." Ardern-J¢)nes To support the work of Dr MKhael ATdem-Jones in defrnatology. particularly wrth the Wessex Demiatology Advisory Ccmnmittee and the European SOc￿ty for Demiatological Research. Gadola and Gadola UltTrsound Inrtialive To support the work of Professor Slephen Gadola in ultrasound stLFdies in rheumatology. Haitchi To support the work of Professor Haitchi in aslhma research. Heaty To support the Work of Professor Eugene Healy. parbcularly with the British Society for Investigative Dermaloloay and the European Society of Dermatological Research Vijayanand To supwrt the wotk of Dr Vijayanand on viruses. Wgller To support the WO￿ of Dr Derek Waller in allerg￿ disease. 23

Asthma Allergy & Inflammation Research Trust Ltd Notes to the Financial Statements Year ended 31 August 2023 16 Analysis of net assets between funds As 8t 31 August 2023 lunds funds ToLIl Fixed assets 177,632 165.000 29.180 371,812 Cash and current investments 20.744 63,252 8.617 92.613 Other cuffent assets I Iliabiliti"es) (13.1741 132.8021 {3,61n 149,5931 Total 185,202 195.450 34.180 414,832 As al 31 August 2022 fund& Total Fixed assets 210,011 150.CM)O 18,386 378,397 Cash and cuffent investments 32.171 25.717 20,000 77,888 Other current assets I Iliabilrties) 12,330} 278 1589) {2.6411 Total 239.852 175,995 37.797 453,644 24

Asthma Alleryy & Inflammation Research Trust Ltd Notes to the Financial Statements Year ended 31 August 2023 17 Related party transactions AdministralNe serV￿eS During the year. £13,61412022". £13,718) was payable to a company in wh￿h the trustee. Mr L A Dunn, has an interest, for administratNe services provided to Ihe charity by one of that company's employees. No benefrt accrues lo MT Dunn. orthe company in which he has an interest. the addr(￿nal costs to the company (including salary and Employers, National Insuran￿) being matched by payrnents made by the charty At 31 August 2023. £9.20412022 £Nil) was unpaid and £95912022. £1.1511 was accrued in respect of the services provKled during the year. ReSea￿h gtsnts Applications to the charty for fvnding inGlude those made. or sEJpported, by Trustees for reSea￿h into areas, relating to the charriy's objectFves. in wh￿h they have spe¢rf4c medi￿1 expertise. Such applications are 5Grutinised by the chanty's Scientrfic Commthee, using the same process that is applied to all other requests, wrth the exception that. rf the project invofves a member of th81 commtit&, the relevant Trustees recuse Ihem5efves when a decision E made aboLrt their application in Order to avoid a confiict of interest. TTUStees do not benefft directty from the grants awarded. During the year, no grants were awarded for research projetts in whrh trustees had an inlerest12022.' none}. The movements for the year are shown bek)w. Trustees suman Balance undrdwn at YJ9r22 Expenditu￿ in Ihe year 8alance undrnwn at 31/V£3 Lucas 9.499 9.499 9.499 Movements foryearended 31 August 2022 Trnslee's sumame Balance undrawn all/9￿7 Retuffled to general fv￿$s Balance ndtswn at 31/8r22 Davies 17 {171 Roberts 4,924 14,Y24) 1,103 Lucas 10,602 15,543 9.499 9.499 18 Contingent assets- legacy income At 31 August 2023, the charity had been nclified of four {2022.. four) legacies. the valLfes of which could not be measured reliably andlor where payments had not been agreed by the executors. At the balan￿ sheet date. the estimated amount receivable was £170,000 12022." £168,300) 25