Docusign Envelope ID 14224B35_36C543AD_87C542260CB87DC1 Harper Adams University HarperAdams University Annual Report and Financial Statements 2024125 + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + + ++ + + + + + + + ++++++++++++++++ ++++++++++++++++ ++++++++++++++++ ++++++++++++++++ ++++++++++++++++ DoGusign Envelope ID". 14224B35-38C543AD.B7C542260CB87DC1 p*1 DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 CONTENTS Chief Executive's RÈport...... Strategic Review.--- Report of the Govemors and Corporatè Govern8ncÈ Statement.. .20 Independent Auditor's Report to the Board of Governors of Harper Adams University..... .27 Statement of Accounting Policies.-- .30 Consolidated Statement of Comprehensive Income and Expenditure.......................................................................................................................35 Consolidated and University Balance Sheet........................................................................................................................................................................37 Consolidated Cash Flow Statement.......................................................................................................................................................................................38 Notes to the Financial Statements..........................................................................................................................................................................................39 Glossary of Terrns.........................................................................................................................................................................................................................58 DoGu$ign Envebpe ID". 14224B35-38Cs43AD￿7CsA226oc8B7DC1 ,1 DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Chief ExÈ¢utive's Report GuildHE and Universities UK and with regulators regarding the financial context for the sector and the need to find creative and affordable ways to address It. We are starting to see some interesting models and collaborations under discu5910n. Introduction The Annual Report coincides with a year of national change in the UK Lt Starts with a new government having been elected itnmediately prior to the start of the finaniial year and ended with the government setting out its agenda arising from its Comprehensive Spending Review. The University continued to hold steady in most of the major league tables and was. once again. ¥￿ed by students as the BestInstitulion forCareerProspects in Ihewhai Uni Student Choice Awards. Our graduate employability rate was the highest in country at 98.5Y* further sdidifying our position as a n3tion41 hub for advanced skills and employability in support of our partner industries. The sector regulators and other bodies have alw been activethisyear in discharging theirduties and implementing the new Government's priorities. This has included revisèd proposalsto implement Freedom of speech legislation, new Office for Students provider conditions on Preventing Sexual Harassment and a revised condition on Freedom of Speech. A new Procurement Act took effect from February 2025 with significant changes to the way in which contracts are procured and reported on. The Government has progressed its employment law reforms which have been the subject of significant discussion and debate across the sector. Public bodies including universities ￿(eIved EHRC Guidance following the case of Natasha Abrahart which darifies how institutional proce55es and poliiies can be tested to ensure they are inclu5rie for all students who are or may bè disabled. OfstÉd 81$0 consulted on a new approach to inspettions which will affed highèr edutation institutions from Autumn 2025 WÈ are awaiting forthcoming guidancefrom the EHRC on thesupreme Court ruling and sex and gender, and we anticipate consultations from the Ofs on sub-contrarting provision and the future of The Harper Keele Vet Sihool IHflSI graduated its first cohort and went through it5 fortnal accreditation process with the RCVS Our first joint graduate5 were admitted to the profession through a Special resolution, and we have subsequently received confirmation we are fully accredited. Our Future Farm continued to excel at p8ce3nd won several awards including Pig Herd Productivity of the Year Award, nd the Royal Association of British Dairy Farmer Gold Cup. The latter being the first lime a university farm had entered the competition as well as being the first university to win. We hosted a phenomen31 open d3y on Future Farm to celebratethis and it was wonderful to see how many people from 3cross the country came to visit. The numbers far exceeded our expectations and made 4 positive contribution to the LEAF Open Farm Sunday Programme This report Captur￿ our Institutional progress across the purposeand goals outlined in our Str3tegic Plan 3nd follows the headings that are cont4ined within it. My report is full of positive outcomes, but I tnu51 start in reiognltion of the challenging environment In which Harper Adams continues to operate WÉ continue to secure significant market share nationally in our core specialist disciplines. The challenge being that thetotal demand from undergraduates is stable rather than growing. We are working through a significant diversification programme to increase online and postgraduate provision. as well as our offer in professional development. We are increasing our profile Internationally and aret3king 3 more strategic rather than organic approach to student recruitment. This will have positive effects in the neht and future years. We continue to feel the effect5 of the increase in employer contribution5 to the Teacher Pension Schetne Hnd bore the first quarter of the inirea5e in employer N8tionHI Insurance tontributions Costs relating to our 5peiia115t provision, including the Future Fèrrn, showed ongoing heightened inflation which added further downward pressure on our financial result. Unsurprisingly, costs are borne at a faster rate than the impart of produrt and income diversification. We anticipate that this will be smoothed out over the next and future financial year. We wdcome the government's announcement of an increase in tuition fees for UK undergraduate students. even if this will not take effect until Demonstrating Publit Benefit As a registefftd charity, Harper Adams University has a longstanding track record of Éducation, research and enterprising activities that deliver public benefit. This work has continued at a pace, SLJPPOrted by the opening of our new urban campus base ai The Quad in Telford. We have followed the higher education framework to capture and to account forourcontributionto public benefit. The following themes provide examples of these activities as relevant to the established public benefit framework. Excellence with lrnpact and Enterprise.. Education arper Adams was established to ensure that the agricultural industry and the sertors adj8cent to it have access to talent with theskills to enable the sectorsto thrive. The University is unashamedly practice-focused, ensuring that students graduate with Ihe confidence and ability to take their knowledge and skills and ap ￿Y them in practice. This focus is wh4t leads to the institution achieving such sector-leading graduate employability outcomes. confirmed for one academic year. We have engaged with and welcomed the more determined conVer￿tIonS with governtnenL across representative bodies Including DoGusign Envelope ID 14224B35-38C543AD.B7C542260CBB7DC1 DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Chanty NumbÈr 1147717 Company NUrn￿r QBQ4971Q In October 2024 the University opened its new urban base at The Qu3d. a digital skills and enterprise hub. in central Te￿Ord. It also launched recruitmentfor newdegree cour5e5 in Applied Data Science, and Robotics. Automation and Mechatronicsforentry 2026. TheQuad is a colocation of the University, Telford College and several enterprise-focused organisations including European Innovations and Invest Te￿Ord The Hub was opened by HRH The Princess Royal in her capacity as University Chancellor. An immediate benefit of having a central location 3djaceni to the main railway S13tion and other public transport has been the ability to offer short courses. conferences and networking opportunities for businesses across Telford. Shropshire and the widerwest Mid13nds. The Breakf3Sts for Better Business Series has been oversubscribed since its launch. University Subjert Rankings for Agriculture ond Forestry. Th15 refieits an increase of more th3n 100 places since 2022. In the ￿me rankings. the University wa5 named as the top institution foremployer reputation in the UK and 2nd in the odd Major newsworthy research projects induded using fungi to James Hutton Jnstitute and other partners. using wirdess efficiency to Iwprove farm productivity and a project through the School of Sustainable Food and Farming to examine nature-based solutions to climate change with the Centre for Food Policy at City St George's. The University appointed two new Professors to accelerate our research developtnent. Professor Femando Auat Cheein was appointed tothe Department of Engineering and to lead the Harper Technology Institute. Professor David Rose wa5 appointed as an Elizabeth Creak Professor in the Department of Agriculture and Environment and to lead our new Soci31 Sciences ￿SearCh centre. The University launched a new two-year accelerated course in Veterinary Biosciences. Many Students follow this course a5 a route to enter the veterinary profession. By offering vo-year and a four-year course the aim is to increase and accelerate the throughput of qualified pmfessionals for the veterinary industry. Induslon The University continued to be successful in national specialist industry and 4gency competitions. Joseph Compton. C4itlin Townley and Matthew Butterfield were fin31ists in the RABDF Dairy Student of the Yearcotnpetition with Matthew going on to win. Zoology student Joe AdBms was chosen 85 a delegate for the United NHtions'Citizen of the Ocean. workshops. Lewis Gibbin was named one of 2025's Nuffield Farming Next-Gen Dairy Siholar5 These 5cholarship5 are another way in which the University reieives support from the Nizabeth Creak Charitable Trust. Finally, Jess Dook and Maisie Rogers were awarded Farmers Cub Pinnacle Awards, winning first and third places These awards are in addition to over £650,WO in schdarships and bursaries that Harper Adams students were awarded by industry partners and donors through the Harper Adams Development Trust. Howwe are regarded as 8 universlty. and the itnpact we can achieve. Is predicated on who gets to benefit frotn our education. re*Brch and impact. Our decision to open B new base at the Quad In Telford is B significant committnent to ensuring that a broader, more diverse population can access Harper education, and benefit from Harper expertise. To support this the University launched the Vice-chancellorfs Pioneer Scholarship5 to provide finance support and start- up resources for new students at Telford coming from the local area. This sits alongside the over 180 stholarships awardèd across the year with a total value of £654,000 through the Harper Adams Development Trust. As part of the work outlines in its new AcC￿S and Participation Plan, the University launched a Telford programme with Future Leaders UK Building on existing programme5 in London. Birmingham. Wolverhampton and Coventry, the Telford progr3mme is the first to be sponsored by a single univer51ty, and the first to be focused on a town. Year 12 student5 frotn schod5 and Coll￿e5 across Tdford were given a 6-month personal development prograrnme and acce55 to work experience with leadin9 employers The Programme culminated in 3 graduation ceremony held at Portcullis House on the UK Parli8ment8ry estate. The impact on the participants was palpable with some doing public speaking for the first time. Excellence with Impart and Enterprisw. Researrh The University continued the trend of increa51ng the total value of research Income awarded this year Plea51n9ly, the 5ucce55 rate in nationally competitive research competitions has tontinued to intfftase in parallel The University was a partner in 8 £1million Innovatè UK/ DEFRA funding award looking at the tonversion of dairy slurry into fertiliser and water. The University was also a partner in the VeGIN The Vegetable Genetic Improvement Network. which received £3m of funding across Harper Adams. the University of Warwick and an e%tensive series of industry partners. The University's focus on food inclusion continued with the Vice-chancellor speaking on a panel 4s part of the Lord Mayor of London's Colloquy on wBys to eliminate hunger. The Vice-chancellor also contributed to 3 documentary by City H8rvesL London on the impart of hunger on communities and how to tackle it. The University had an equally committed focus on mental health Three Students accompanied Professor David Rose to a major European conference on mental health in agriculture It a150 partnered ith Morrisons on its Tractor Tuesdays programme to encourage farmers to go into stores and engage in New infrastructure was installed to SUPPOrt the University's educ3tion 3nd research including 8 new insect SUTveytower and new cattle handling facilities The latter was made possible through a donation from the Kildare Charitable Trust The University's increasing reputation for res￿rch and impact was refiected in its 99rh placing in the QS Worfd Docusign Envelope ID 14224B35.38C543AD.B7C￿226OC887DC1 Y1 11 i [Ill'll DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Chanty NumbÈr 1147717 Company NUrn￿r QBQ4971Q conversations to tockle i501ation and loneliness. Our student5 also rai*d over £17.000 as part of RAG Week bwth charitie5 SUPPOrting mental health in farming being beneficiaries The Vice-chancellor continued to play an active role In the Global Federation of Cotnpetitivenesscouncils attending its annual conference and conversation in Belfast, as well as bringing university expertise Into the Couniil's work. The Deputy Vice-chancellor, Professor Michael Lee represented the University 8t COP29 in Azerbaijan. Harper Adams has official Observer status which provides enhanced access to decision-making discussions. Communlty The sense of community is one of the wost significant factors that staff and students refer to when they describe their experience at Harper Adams University. This is felt most Strongly at gr3duBtion ceremonie5 when the entire iohort Is brought together. The University hosted the sixth syrnposium of Potato C￿t Nematode M2n3geYnenl which brought together experts from the UK Keny4. the Nethedands and the United States to explore solutions to managing the effects of this nematode pest, the effects of which are estimated to Cost £31m each year to the UK potato industry. The University continued to hold Harper Together events across the year These Included events focused on research, teathing and learning, the Tethnician tommunity, and the inaugural Harper Adams ProfÈssion81 SèNices conference. Finally, the University was confirmed as a new member of the UN Food and Agriculture Organisation Livestock and Environmental Assessment and Performance Partnership. The University will be supporting the LEAP Partnership to further improvethe environmental sustainability of livestock drawing on its extensive r￿*r£h expertise in this area. The Future Farm held a community open day as part of the LEAF Open Farm Sunday programme. Over l.CN)Q are estimated to have visited the campus and the farm. including community members aged from 6 months through to 90. Influence Our home in the Quad. Tdford. h35 provided 3 spKial focu5 for business and cotnmunity eng3getnent with event5 taking pl8tÉ almost ÈvÈrywÉÈk sinte its launth. Sthools and Colleges have tome for ÈxpÉriente dayi ènd businesses have come to léarn new digital and projèct mantgÉmÈnt skills. as wèll as finding opportunities to collaborate with Harper Adams and each other. The University'5 people and research outputs iontinue to influence Sp￿la115t and sector deAoptnents in the UK and The Vice-chancellor was eletted Chair of GuildHE, the UK representative body for specialist and distinctive higher education institutions. He was also appointed as Chair of the Ironbridge Gorge World Heritage Site Steering Committee, appointed UK-lead for the employee experience on the UCEA Board. and a member of the Advisory Board for the Post-18 Project. The Harper Adams Community Fridge continues to be integral to our commitment to eliminating food waste and ensuring nobody who needs food goes without. Over 20 tonnes of food had been redistributed by the end of the reporting year frotn the launch in eady 2024. The Universitls re*arch influenced 8 number of report5 including the House of Lord's Environment and Climate Change Cotnmittee's report Nitrogen titne to reduce. rÉtytlÈ and rèuse, the National 5hÉÈp Assotiation review-. UK sheép farming and thÉ sustainability agÉnda, and a joint Greenprint rèport with Testo and The School of Sustain8blÉ Food and Farming ISSFFI on the need to provide a clear plan for farmers to transition to net zero. Globally Connetted The University's international connections continued to deepen and expand Professor lim Monaghan ￿presented the UK Agri-tech in Washington DC in a series of collaborative workshops wiih US academics and industry partners. The Vice-chancellor visited India io explore new institutional partnerships and to continue collaborative disCu￿10n9 with industry partners including its strategic partner. TAFE. The University also conferred an Honorary DSC to TR Kesevan. Group President of TAFE. ABP Professor, Professor Jude Capper, was named as Chair of the Red Tractor Beef and Lamb Technical Advisory Comtnittee. Dr Ben Clunie was featured on BBC Bre4kfast to explain why18dybirds might have Stopped play at Lords. Dr Jospeh Mh3ngo w85 invited to give evidence to the Lords. UK Engagement with Space Committee to explain how space technology Is helping to transform fartning Professor Lydia Amold. Associate Pro-VIc￿chancel1Or, was invited to give a keynote on AI at Zèyed University with dÉlegatÉs toming from Om8n, Jordan, and other Gulf States Farmer5 and practitioner5 from Uganda, Nigeria, Tanzania, Ethiopia, Kenya and Zimbabwe iame together a5 part of the Marshal Papworth Fund/ Harper Adams University Sustainable Farming Programme. After their ten-week programme, scholars presented their leaming and an outline of how they intended to Sha￿ their knovtyledge with others in their home nations. The University welcomed colleagues from China Agricultural University to campus. Visitors followed an e￿ensIVe programme of discussions and the Vice-chancelloris planning tocornplete a reciprocal visit in Autumn 2025. Docusign Envelope ID 142248J5_J8CS_43AD_87CS_42260CB87DC1 ••4 DoGUSign Envebpe ID". 14224B35-38C543A￿7CY226oc8B7DC1 Chanty NumbÈr 1147717 Company NUrn￿r QBQ4971Q prOf￿50r MichHel Lee iontinued to be called upon to provide evidence and insight 3t Conferenc￿ and events aiross the globe He also represented the University and the School of Sustainable Food and Farming when the Sustainable Farm Network was championed at an event at the House of Lords hosted by Lord Cuny of Kirkhale. Professor Lee also continued to serve as President of the European Federation of Anim81 Science, member of the World Farmers Organisation Scientific Council. and a Technical Adviser to the FAO of the UN. The University continued its leading role In exploring the impBCt and benefits of rewetting pe3tlBnd and how it can balance greenhouse ga5 emi55ion5 and protect carbon stocks. The Universlty hosted a tnajor knowledge exchange conference to accelerate the progre55 of this work. It has been an active and impactful year, despite the challenging e￿ernal environment. Ne￿ year Harper Adams will celebrate 125 Yea￿ as an institution and 13 years as a university. A teenager resting on the shoulders of its grandparents. We will approach that celebration rnindful of and grateful forour history. but firynly focused onthefuture. The population at large has never been more aware of food security. climate chHnge. Bnd the challenges that both pose for hum3nity We will take the opportunity to ensure that audience5 beyond our existing conneition53re aware of the pivotal role that HarperAdams play5 in both Sustainability The School of Su5tsinable Food and Farrning ISSFFI launched a new initiative to bring t{￿ether the diversity of UK farm network5 under a new Sustainable Fartn Network. It offer5 training, 5UPPOrt and resource5 from the SSFF and HarperAdams to individual networks and members. I put on record my than￿ to the students, staff, alumni and partners of H3rper Adams University, 35 It Is through them that the progress outlined above is possible. l also offer my thank5 to our Governing Body and the HHrper Adams Development Trust for their counsel, challenge, enthusiasm and support. Through the collective time and energy of all these communities I can say.. Together. We Wlll Make the Difference. In our journey to net zero on the Future Farm we have focused in the initial three years on efficiency of production where the emphasis is more on emissions intensity rather than gross emissions. This year. we have included net emissions in our reporting. accounting for both greenhouse gases produced and c3rbon captured throu9h soil. hedges. and forestry Thi5 provid￿ a more complete picture of the farm's carbon footprint and highlight5 our efforts to offset em155lOn5 Total em15510n5 from land use have risen frotn 7 587 Kt CO2e In 2022 to 7 940 Kt in 2023. and 8489 Kt In 2024. Net em15510n5 followed a slightly different pattern, increa51n9 from 7.170 Kt in 2022 to 7.522 Kt In 2023, but remaining stable at 7.522 Kt in 2024 largèly due to the inclusion of additional carbon sequestration from soil tarbon stocks. However, gross emissions per kilogram of output (emissions iniensityl improved from 1.714 kg COBe in 2022 to 1.511 kg in 2023, with a small rise to 1.537 kg in 2024. Furthermore, net emissions per kilogram have Improved ￿ery yearfrom 1.619 kg in 2022 to 1.432 kg in 2023. improving further to 1.362 kg in 2024. The data shows the farm Is becoming more efficient and reducing its carbon footprint per unit of output, despite increasing totol production Some v3riBtions reflert impr<)vements in data aicurBCy ratherthan Bctual Chang￿ In farm operBtions The 2024 figures are preliminBry and will be vBlidBted before final publication. The focus now shifts to net etnissions total aiross each farming enterprise. F277136A5C7F41C Professor Ken Sloèn Vice-chancellor and Chief Executive 81h December 2025 The SSFF and the University's catering team were shortlisted for Green Gown Awards UK and Jreland. Catering has been recognised for its drive towards sustainaNe dining and reducing food waste whilst the SSFF has been recognised for its Future Farmer Programme which is sponsored by Tesco. Harper Catering also won the TUCO Sustainability Award. The Univer51ty launched a new undergraduate degree In Agriculture with Polig and Environment to support 5tudent5 who want to specia115e in public policy and food security, a5 well a5 general 5UStainability. The first students will join the toursÈ nert year. Docusign Envelope ID 14224B35_36C543AD_87C542260CB87DC1 The Year in Numbers No.1 in the UK forjob prospects Whatuni StudentChoiceAwards, 2016, 2017, 2018. 2019, 2020. 2022, 2023, 2024. 2025 (There wasnoaward in this ategory 20211 No.1 in the UKforagriculture and forestry employer reputation QS World University Rankings, 2025 No.1 UK university for graduate employment Graduate Outcomes, 2024 *full-time, first-time undergraduate students, 15 months after graduatlng. ISO student scholarships awarded, totaling £654,000 DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Finantial Highlights Forthe Year Ended 31 July 2025 2024125 £'ooo 2023724 £'ooo Consolidated Statement of Comprehensive Income Change Tuition fees Funding Council Grants Research Grants and Contracts Other Operating and Inve5trnent Income Donations and Endowments 22,390 16,813 6.348 13,758 414 31.979 15,913 4.174 12,420 1.260 33% 167%) Total Income S9.723 56346 Surplu5 1 (Delicttl for the year 16191 90 1178%) Surplus l {Deficitl for the Finanaal Year 1619) 1178%) 2024125 £'ooo 2023/24 Consolidated Statement of Financial Position C.hanfjp Fixed Assets (incl Biologic81 Assets) Investments Net Current Assets 87,095 1.298 32,397 120.790 87,111 1.230 33,916 122.25/ Long Terrn Creditors and Prov15i0n5 136,3511 (56.939) 2% Totsl Net Assets 84.439 85,318 11%) 2024125 £'ooo 2023/24 £'ooo Change Capital Expenditure in Year 4447 5,897 14% Net Cash inflow from Opetzting Activities 1.274 5.271 176%) DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Strateglc Revlew The Universitycontinues to secure significant market share of Finanoal Statements whilst thetotsl detnand from undergr8duHte5 15 stsble rather than growing in the core specialisms. We continue to diversify 8cr095 connected and Interrelated disciplines including Veterinary medicine withthefirst cohort grzduaiing In the year. The University has managed Its resource5 carefully balancing increasing costs as a result of inflation against fixed fees for undergraduate home Students which 15 87% of the University's tuition income and 32% of total Income The financial statement5 Hre prepared in accordance with FRS102 under the HE and FE SORP 2019. The financial Statements SUtnm8ri5e and performance of the institution, togeiher with the referenced notes to the account5 These comprise A Con501idated and University Statement of financial position that summarises the assets, liabilities and reserves at the end of the financial period, The University tontinuesto receive recognition as a specialist provider of Wodd Leading Teaching and as 3 specialist research institute ￿e1vIng £5.9m of speci81ist funding. These grants enable the University to continue to prioritise student expériente and acadÈmit ÈxcÈllÈnte. A Consolidated and University Statement Cotnprehensive Income and expenditure that summarises the finantial performance for the period of report and consequential reserves movement.. A Consolidated Bnd Univer51ty Statement of Changes in Reserrfes,. and The University welcomed 659 new undergraduates including 68to thevet gchool 3t the HarperAd3mscampusforthe 2024 125 academic year. Apprentice routes to both degree and taught Postgraduate WB5 Strong with a further 109 commencing their studies in 2024125. New Research and knowledge exchange contract actiwty have continued to increase with significant growth of 33% year on year. The University continue5 to work closely with the sectors of specialism worting with many industry partners to jointly develop solution5 to tneet sector priorities. A Consolidated Statement of cash flows for the reporting period The University revalued It5 teaching and research facilities and 237 hectares of University land on transition to FR5102 as at 1 August 2014 A53 result, the assetvHlues were uplifted by £32m on transition. increasing total net assets reported. The University has chosen to continue to account for govÉmmÈnt funded capital grants over the lifè of the 8SSÈts that these granis have funded, maiching the annual depreciation charge with a recognition of grant Incorne The balance of government capital grants deferred of £11.9tn is reported as 8 long-tÈrm creditor whilst the likelihood of the liability crystallising is extremely unlikely. only in the event of The financial strategy is an integral part of the University's overall Corporate Plan and is essential to achieving its key Strategic obJective5. which provides for the development of infrastructure and delivery of high-quality programmes of reserves are intended to fund investment in key strategic project5. Perform3nce indic3tors are monitored to assess the progress of the institution against key objectives, which teaching exiellence. Student eng3getnent, internationali￿li0n and research. Financial Performanre The Univer51tygroup report a loss of £619k aftertaxation and ctuarial charges 12023124 Surplus £790kl. The loss is after the University has had 3 full year impact of the 5% inire3ge in Teachers Pension Contributions that were imposed in April 2024, and a 4 month Impact of the employer National The medium-term financial strategy for the university is to generate operating cash in exc￿5 of 1(Wh of Income In 2024125 this was 2.1% a decrease on 2023/24 at 9.4'A Scope of Financial Statements been invested In including the first year of operating Harper Adams UniversityTelford from one floor in thecouncil owned the skills hub and further investment in institution wide transformational change The finantial Statements for the year ended 31 July 2025 comprise the results of the University. its wholly owned subsidiary, Cedar Energy Limited, and the separately registered charity. Harper Adams University Devdopment Trust, which opÉrètès indÉpÈndently of the University but is consolidated within the Group financial statetnents to recognise the beneficial arrangements derived by the University. Income has incre45ed in comparison to 2023/24 The fifth tohort of school 5tudÈnts We￿ wÈltomÉd at the beginning of the academic year with an intake of 148 students 12023/24 -148 students), 50% attributed to the University equivalent to £6.6m123-24- £5ml We iontinue to feel the effeits of the itTrcre85e irTr efnployer contributions to the Teacher Pension Scheme and bore the Increase in employer National Insurance contributions. Costs relating to our specialist provision. including the Future Far showed ongoing heightened inflation which added further downward pressure on our financial result. Unsurprisingly, DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 The Universlty group has a number of key performance Performance overthe last two years shows Key Financial Ratitss as a % ol incorne siudeDt FTE 2024125 11.2%) 11.0%) S7.9% 2023124 1.2% 2024125 Operating Surplu5 / IDeficTt) 1.5% $4.3% Staff Costs 2022123 Operating Cash 20ZIIII £000 4.212 1,274 EBrrDA 6,466 5,271 Operating Cash Generated Covenant Operating Cash (Incl Jnvestmenrh¢omeJ 1,689 5,868 Po5t8radyatelmain5treiml .. Wwlf0￿eo￿￿￿ertIvGs rGI ov8reeApw￿￿teshv5{uGs rfji In order to continue to invest in the University facilities to deliver a high-quality experience for our student5 and staff the University generates cash from its acadèmic and trading The University was awarded £500k HEtF grant 12023-24., £5￿k} from Research England to 5UPPQrt knowledge exchange artivities with industry clients. During thè year the School of Sustainable Food and Farming ISSFFI continued to wofft with Industry partners, providing the platform for Agriculture and food supply chain sustainability to be addressed in both teaching, skills development and research. In 2024-25 the 1055 of £509k has resulted In lower levels of cash generated in addition to the deficit there have also been 8 reduction in creditor levels due to later receipts from international students due to change in University policy. and intrÈase in Farm stotk valuation due to turrent market conditions. Operatin8 Cashfio%v and Capital Investment Applications offers and enrolrnents The University maintained ovÈrall student enrdmÈntS 8t similar levels to previous year, whilst Harper Keele vet school accepted its fifth cohort of 148 5tudent5, Wlth 50% attributed to Harper Adams University. Contr4sting the FTE chart. the headcount chart demonstrates the significant number of part time students who receive cPD/prof￿sI0rn8￿5kllls taking one or two Specific module5. 1SftD 20E012 20EJ121 202¥EA 24115 3bJd•nt ElWOlm•nts Income Total income increased by £3.3m, in tompariwn with the 2024125. with growth across all operational areas. 202412$ IOZ¥24 In¢orne C4xnparl$on 3y￿r5 W 202412$ IOZ3J23 IlllV2 10.1 estarchiiantsand￿￿IIIQt% Irr￿51meDt Iworrvt (nhèrln( Increase in tuition grants, investment income and donations together with strong growth in research & contract incorne of 45Yo year on yÈar. DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Research Grants and Knowledge Transfer In April 2024 Teaihers pension scheme contributory r3tes were increased again for employers by 5th of psy costs increasing employer contributions to 28.7Yo of academic pay equivalent to £550k per annum. The unive￿ilY is statutorily rÈquirÈd to participatÈ in the TPS for academic staff. Furthersignificant success has been seen in winning research and consultancy contracis were achieved. with 128 contracts awarded at a valuÈ of £11 2m in the yÈ8r 12023124." £4.8ml, and projects in the year generating income of £6.3m 12023/24". £4.8tnl. Research is often undertaken in partnership with industry which enables thi5 work to betrans131ed direcdy to industry prattitÉ. The University has récognised resÈarch and contract income under the performance method where income is recognised when specific delivery milestones are et as defined under the contracts. Following the Local Government Pension Scheme ILGPS) trienni31 valuation in 2022 an uplift of pension contributions on a pha£& basis ovèr the next threÈyears, in April 2023 the rate was agreed at 18.2Yo from 16.48% for employer contribution this will increase to 21.2Yo in the last 8 months of the three-year period. In April 2025 3nd 2024 an estimate of the annual cash contributions was made and LGPS employer contributions were paid 12 months in advance in order to secure a 2.3Y. discount on contributions. The University work5 closely with industry to SUPPOrt industrial rèsearch and innovation and build the capacity of the University to increase the invofvement of science and technology in farming practice. whilst also developing, through innovation. new produrt5 and markets to support economic development. The University is required to recognise an actuarial valuation in 3ccordance with UK accounting stBnd3rd5 for the LGPS scheme. The result of the valuation impacts staff costs interest cost5 and pension liabilities represented on the Balance Sheet. The LGPS updated actuarial valuation created a pen510n credit of £362k. reducing Staff c95ts by £235k 12023124 credit of £106kl including interest. Other tncome The University has over 8(N) student rooms on campus providin9 a full range of accotnmodation which 15 managed and operated by the University. Residential accommodation is offered primarily to first year and international students. The University has a DC Group pe￿o￿al Pension plan with Stottish Widows whith is av8ilablÈ for proféssional seMcÉs staff joining the University. Other sources of income include catering, the fèrm and Conferencing. Capital developments and investment during the flnanclal year The University participate5 in national pay awards a5 agreed by UCEA on behalf of the Higher Education sector. University capital investments amounted to £4 1 m, of which £1 8m secured eady surrender in january 2025 from a long- term lease for an innovation building at the Edgmond campus. £0.9m w85 invested for the Farm Including a new straw barn and £0.4m on renewal and upgrading of digital Infrastructure to enhanie seThqces across the University Thè University is an èpprenticeship levy-ptying employer incurring a le￿ of 0.5% of its salaries less a £15.000 annual allowante, into an apprentice atcount. The funds in the account. topped up by 10Wè from the government. can be invÉstÉd only in thè training and assessment costs assotiated with university st3ff 3pprenticeships. In 2024125 the University invested 6810 of the availa￿e funds to provide apprenticeship5 to 18 employee% with some unspent fund5 transferred via a pledge to assist SMES with apprenticeships horticulture and 3nimal scienc￿. App￿￿ticeShIp posts continue to be promoted across the Univer51ty- Expendi￿re Expenditure cOm￿rIson 2023124 and 2024125 I￿￿12$ In 2024125 Interest compr15ed only of fixed inter￿t C05t of £597k for the £25m loan notes issued at 3 fixed rate of 2.390 in D￿ernber 2021 and a credit for actuarial pension charges t￿3124 2￿1￿ 70JX of £127k. Sliff CDSt5 h￿r￿￿Tati￿EXp￿￿5e5 Other operating expenses increased by £1.7m. in the period. to £21 Otn frorn £19 3tn in 2023124 Inflationary pressures on rÈt&l￿a￿dam11sltitsn An¥ty¥i$ ofOth•r Oyrating ￿p￿r￿202¥2s Pay costs rèprÈsÉnt the largest single dement of the University's expenditure. at £34.6m equivalent to 57.9% of income, a £4m increase on 2023-24. Cost5 include 5(WA of Joint vet schod re131ed costs which have increased in theyear from £1.94m to £2.4m. Research rtaff were retruited to deliver the additional contracts adding £0.9m to salary costs The national pay negotiations increased iosts by £lrn forthe ye3r. In addition to N3t1on311n5urancechang￿ and Te3chers Pension increase for the whole year together Int￿sIng pay costs by a further £700k. DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 key Suppli￿ Including additional costs relating to H3rper Adams Telford and the building on campus now managed by the University following Surrender of lease by tenant ha5 added to costs. Thefirstcohortof studentsstudied Iheir final fifth year with the joint vÉt 5thool, ThÉ final year comprises multiple clinical rotations of which rnany are with partner practice5, thi5 adds to the costs of delivery. Harper Adam5 University incurred cosis o* £2.3m in the year 12023124 £1 67ml. reducing the scheme to nil Is applied to the valuotion. current service liability of £1 k 15 recognised Separately within the valuation and thi5 balance 15 recognised a5 a liability in the year12023124 £4kl The key factor within the valuation is the year-end discount rates applied by the actuary to the future liabilities and discounted back to today's value. The higher the value of discount rate ap ￿led the lower the value of liabilities at current value. The accounting standard requires that the actuary uses 3 31 July discount rate determined by the Inv￿tment return on AAA rated corporate bonds. Taxation The University has PBrtnered with 8 Chinese university for number of years where their students undertake two years study in China and then either one ye3r on c3mPU5 In the UK. As agreed under the collaboration arrangements Harper Adam5 University staff deliver lectures in China The Chinese Pensions costs and associated Iiabilitieg continue to be 3 key risk ètross the higher education sertor The employerfs contribution rBteforthe TeBchers' Pension Scheme operating in England and Wales increased by 44% with effect of September 2019 and Increased again by 21% April from 2024 to an overall employer contribution rate of 28.7%. 8re classifying in-country delivery a5 creating a permanent esiablishment in China which results in a Chinese tax liability. The University has worked with advisors and the partner Universities in order for tax li4bilities to be agreed and for ongoing taxe5to be paid Significant liabilities extending back to 2013 were agreed in 2023-24. The charges agreed have resulted in a liability of £1.1mforthe 10-yè8r period that have were paid in 2023-24. Returns are now required on a monthly basis for VAT and corporation tax. Principal Ri5k5 and Uncertaintie5 The principal risks and uniertaintie5 In the higher education sector are wide-ranging and continuously evolving. The Univer51ty continues to remain vigilant and re5POn51ve to both immediate risks and long-term challenges. ThÈ UnivÈtsity'S Risk Analysis and Attion is miéwed annually by the Audit and Risk Management Comrnittee recommended to the Board for approval. The Risk Analysis and Action Plan Includes the University's Rigk Policy and a statement of its Risk Appetite and provides an evaluation of each risk based on likelihood 4nd the Impact of risks becoming a rèality. It covers risks related to business, oper3tionBI. compliance and financi31 matters. which are discussed throughout the reports within these financial Stotement5. The Plan Includes rnapping that Illustrate5 how the Risk Analysis and Artion Plan IRAAPI supports the Str3tegic objectives of the University. Cedar Eneryy The University has assessed the company's business p13ns which demonstrates that the company is in a position to meet Its immediate liabilities. Consequently, the Investment In the subsidiary ai 31 July 2025 is considered to be appropriatdy carried at Cost. Cashflow. Flnanclng and Treasury The UniversityGroup held a combined total of £33.3m of cash 8nd liquid Investrnents at the year end The University refinanced its debt in December 2021 repaying 411 bank loans and issuing 30 year, £25m fixd rate loan notÉ5 to 8 US A pr93Ctive snd well-5twclured approaih to risk managemnt not only helps safeguard the institution's financial health and reputation but a150 5UPPOrt5 It5 long- tem strategic goals. increased loan indebtedness from £12.5m to £25m. The University h4s managed its liquid resources through combination of treasury and cash deposits against a debt of £25m. The finantial Future The University's Strat￿1( plan, Together we will make a difference,. the 2030 vision. Inter￿t r3tes during the course of the year h3ve fallen. The University has held £12m in 12-month fixed rate deposits throughout the ye8rtOgetherwith ￿ndS In shorter period deposit accounts, total inte￿t receivable totals £1.3m 12023/24 £1.2ml. Harper Ad3m5 University Is comfnitted to the ddivery of excellence in academic activities, and resources ère Str4tegic8lly Invested to this end, and the University intends to attract more dIve￿e learners both from the UK and international. This will sUPPOrt growth and future Investment for the University. Penslons The University hasextended lis pr￿ence in thelocality having LGPS pension liabilitie5 reduced 51gnificantly In the year with the updated actuari81 valuation assessing the University's past seNice share of stheme to have moved to an asset position of £13.7m from £2m at the beginning of the year. An asset in a multi-employer DB scheme will not be receivable by the unive￿ilY as consequently an asset ceiling from Sepiember 2024 and ddiver a range of courses to support development and retention of ski115 in the r￿lOn. The vd school h8$ tctepted a larger than 8ntiCiP8ted intakÈ of undergr4duates in each of the first five years of operation DoGUSign Envebpe ID". 14224B35-38C543A￿7CY226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 from September2020 The School hHd its RCVS acireditotion inspection in May and is now fully accredited. There are new plans in the course of development to further build on the University's expertise in animal sciences and animal health. Student recruitment continues to be vèry cotnpetitive in the UK for both home and international students. Home student fees have been increased forthe first titne since 2015 for the home undergraduates from £9.250 to £9.535. the University has incre35ed with a 44% bid success r3te over the past 12 months. Whilst the University targets growth. the efficiency of proce$5es and systems continues to be developed tcr0$5 thÈ University. This will enable increased numbers of students to be supported, more research grant5 can be managed, and employer engagement coordinated. Proce￿￿ are reviewed. refined 8nd automated to improvè student and staff experience and to maximise resources that are invested in The University continues to identify new opportunities for gr0￿h and are working with an International recmitment company to increase ap ￿1(ationS frotn overseas for both undergraduate and postgraduatè taught courses. The University continues to explore ways of widèning the a(C￿sIbilitY of our 5peii81i5t St3ff and resource5. The continued focus on student exwriencè, student and gr3duate outcome5. our work with Industry and building the institution's reputation will be key to ongoing financial The University 15 identifying alternate markets where fee5 are not so constrained building on the University's strong credentials in delivery of CPD Hnd profe5510n31 courses. This is essential as we continue to experience inflation across the Universlty activities. The Department for Education's White Paper wa5 published on 20 October with Higher Education Fees set lo increase with inflation for Home undergraduate 5tudent5. The white paper recognises the value of our world-le&ding provision and the importance of 5peiia115t institutions and calls for an integrated system aligned with economic priorities. It supports flexible learning through the Lifelong Learning Entitleynent ILLEI and promotes loc41 collaboration between HE FE and employers. The University Is comtnitted to widening p3rtlClP3tion and recognises that cost of living pressures will irnpact and the Univer51ty will make available hardship funds to support students DDcu5*nBd by." Dts¢us*Mdby'. Local Skills Improvement Plans ILSIPS) and Get Working IKi6 J) 85BC2072SBED401. and employment support for individuals to find and access Mr Dominic Wong Chair of Governors 8" December 2025 Mrs Liz Furey Chief Financial Offi 8th December 2025 particularfy prominent in the white paper and offers a CPD deliveryopportunityforspeci3115t provider5 In a diverse range of digital provision. The Growth and Skills Levy is to eligible for short courses from April 2026. through apprenticeship units lo complement existing apprenticeships and standards Roll out will begin with At, digital and engineering and will expand subject areas over time and in alignment with Iritical needs. The Universitywill continueto build on the excellent Iink5that we 31ready have with Industry with The School of Sustainable Food and Farming initiative working with Morriwns and Raft Solutions Ltd to support the transition to more sustainable food systems. The industry partners will support production System research and for this to be translated into practical skills training. The University is formalising knowledge exchange partnership through joint bids for Knowledge Transfer Partnerships and await the outcome of a number of recent bids and have B pipdine of opportunities. To strengthen financial stHbility. the UK Government have stated that the tuition-fee cap will be increased in line with Inf13tion whi15t 8 6%'1evy' on intern3tional student le￿ 15 to be charged to fund student maintenance grants for disadvantaged students. further detail is to be given In the forthcoming Budget from the Treasury. Research funding opportunities continue to be highly cornpetitive,- however the University has built Its reputation and is achieving a bid success rate well in eycess of sector average. Working collaborativdy with Industry and key partners we plan to continue to increase research income across the university. The number of bids being made across DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Streamlined Eneryy and Carbon Reptirting Intensity Measurement The University has energy efficiency and fftducing carbon emissions as one its five key strategic airns. not only for its academic facilities, but also for the University Farm. The University Group invested in energy infrastructure, Including 8 CHP engine, Biomèss boiler, connected to a Campus wide he3t main In addition to photovoltaic panels in a projett completed in 2017. Intensity ratios reported are the total gross emissions in metric tonnes C02e per full time equivalent staff and full- time equivalent students, an established reporting ration for the Higher Education sector. Methodoloyy The University continues to embed carbon management reduction within Itg wider estates and space managetnent strategy to ensure emission reductions can be fartored inio the work undertaken as part of the overall capital investment and revenue maintenance cycle. HarpÈr Adams University has followed the 2019 HM Government Environment31 Reporting Guideline& utilising the Greenhouse Gas Reporting Protocol Corporate St3nd4rd and have applied the 2025 UK Government'5 Conversion Factors for Company Reporting. The values included in the table suwrnary are correct at the time of reporting based on the data available from internal sources and provided by external suppliers in relation to business travel and tontracted hire cars. Eneryy efflclency actlon taken In the financlal reportlny Continued to maintain PV systems 8cro55 8 roots with a cotnbined power rating of 168.72 kwp. potentially generatlng c 152,(M)O kwh p.a. and offsetting c. 35 tonnes C02e. Investment in energy Èffitient lighting schÉmÈs and a targeted improvement to some areas of double glazing were made durin9 the year Continued to purchase 1CQ% renew3ble energy. batked by RenÈWa￿t Energy Guarantee of Origin IREGOI certified energy supplies. During the yÈ8r WÉ purthased 3,716MWh 100% dean ÉnÉrgy renewables, backed by Renewable Energy Guarantee of Origin IREGOI certified energy supplies The University is required to report current UK based annual energy usage Hnd 3550Cl8ted greenhouse gas em155ions In line with the Companies IDirectors' Report) and Limited Liability Partnerships (Energy and Carbon Reportl Regulations 2018 1"the 2018 Regulations'l that came into force l April 2019 The SECR return Includes relevant mandatory reporting emissions along Wlth voluntary submissions for power consumption from renewable and low iarbon technologie5. DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 UK Greenhouse G85 em15510n5 Hnd energy Use data (Finaniial Year5 2024/25 & 20231241 Energy Ikwhl 2024125 2023124 Emissions ItCO2el 2023124 Eneryy Source Mandatory energy use & emissions.. ope1 Natural Gas Transport- 2024125 7,549,684 247,220 7,435,855 152,299 1,401.61 1,323.89 40.5 Location- Market- Location- Market- Scope 2 Purchased Electricity based basedl based basedz 3.716.826 3.611.438 Eneryy Ikwhl 2024125 650.0 Emission5 ItC02el Eneryy Source Energy Source Stopè 3 Transport- Business travel eTrjpl0￿re-0w￿edbVthC1e5& rontrortedlure 2023124 2024125 433,093 181,593 284.76 43.08 Total gross energy & emissions= 11.946.823 11,381.185 2.400.77 1144.77 Intensity RatlOS Tonnes of Co-e per student Tonnes of CO2e per student and FTE staff Voluntary energy use & ernission5 Scope 1 Biomass LPG & Kerosene Gènerated elertritity consumed on 51te 0.43 0.38 0.39 0.34 1.113.460 34.627 2,175,049 808.354 26.066 538.142 13.021 9.155 Totèl gross energy & emissions (Voluntary) Total gross energy & emissions IM8nd310ry & volunt3ry1 Energy & emlssion reductions: Scope I GÉnÈrated elertricity exported to 3,323,136 1,372,562 22.02 14.25 15,269.959 12,753.747 2.422.79 2.159.02 1,867 1.49 Scope 2 Net electricity consumption TotBI net energy & emissions (Mandatory & voluntary) 3.716,826 3.609.571 650.0 735￿1 15.269.959 12.751.880 2.422.79 2.157.53 Out of scope Biomass 1,113.460 808.354 389.77 [CO.. onlyemissions] 282.92 IC02 onlyewissionsj 1 Zero em15SIOn5 resultlng frotn purchase of dean energy renewable5, backed by Renewable Energy Guarantee of Origin certified supplies Iconsecutive certificate periods 0412023_ 03124 & 04/2024_ 03/251. Supplier.. EDF Energy 2 Zero emissions resulting from purchase of dean energy renewables. backed by Renewable Energy Guarantee of Origin certified 5upplie5 Iconsecutive certificate periods fy112023- 03124 & 0412024- 031251. Supplier". EDF Energy IN20 & CH4 only emissionsl Solar photovoltaic- Diary & Jebb. excluding eKPOrted energy Ikwhl to the National Grid DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Report of the Gtsvemors and Corporate Govemante Statement The Govèrnors have pleasure in presenting their report and financial statements for the year ended 31 July 2025 and confirm they comply with the requ1￿mentS of thè Charities Act. the Memorandum and Articles of AsSOClation of the University and thÉ Statement of Recommended Practice.. Accounting for Further and Higher E(lucBtion IFEHE SORPI Atcepted Actounting Prarticè (United Kingdom Accounting Stand4rds and 4pplicable lawl including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland,. In addition, the Board of Governors IS required to prepare the financial statements in accordance with theoffice for Student51'06'1 Aicounts Direction lissued October 20191, the Ots Terms and conditions of funding for higher education institutions and the tertns and conditions of its the funding agreement with UK Research and Innovation lincluding Research England), the Education & Ski115 Funding Agency and the Department for Education through its accountable officer. Under company law, the Board of Governo￿ must not approve the financial statements unless they are 5at15fied that they give a true and fair view of the state of aff4irs of the University and the Group and of the surplu5 or deficit, gains and 10sse5, change5 in reserves and cash flows of the University and the Group for that year. The princip318ctivity of the Universlty remain5 the prowsion of highereducation, research and knowledge exchange in the specialist areas of food production and technology. animal health and wellbeing and sustainable, living environments for the planet. The University conducts this delivery using an estate of 494 hectares linclJding the University Farml. The University'5 mission Is to adwance knowledge. to Inspi￿ and equil? learners in ourspecialisms ro deliverre81 change and contubute to a 5U5t31nable for the inh3bit3nts habit&ts across our living planer. The strategic aims required to fulfil this mission afft set out in ourstrategic plan Together we will make the difference- Our 2030 Vision,. The fin3ncial statÈments should bÈ rÉad in the context of our tontinuing commitment to *curing these aims. In p￿parIng the finaniiol statements. the Boord of Gi)vernors is required to.. The objectives of the University 4re set to reflect our educational aims and ethos. Jn setting our objectives and planning our Bctivities the Governor5 hHve considered the Charity Commission's general guidance on public ￿nefit and It5 suppletnentary public benefit guidance sdect suitable accounting Oic1￿ and then apply them CQn5i5tentty, make judgements and accounting estimates that are re3son3ile and prudent. During 2024125, our key objective was to continue embedding the University's strategic plan for the period to 2030 adapting to national and global changes shaping higher education and to the evdving skills required by graduates to succÈèd in the spéci81ist industriÈ5 and professions WÉ serve. State whether applicable UK accounting 5t4nd3rds have been followed, subjèct to any material departures disclosed 3nd explBined In the fin3ncial statement5. Bnd prepare the financial statements on the going concern b8515 unle55 it Is InBppropri8te to presume that the Group will continue in business. Using a growing range of digltal and other platform5 for flexible engagement with stakeholders. the University Continu￿ to play a distinctive and key role within the UK Higher Education sector. as a leading specialist provider of land based higher education. providing world leading te3ching 3nd research that meets the needs of the agri-food chain Please seè the Chief Executive's Report eadier in this document forfurther Infortnation. The Board of Governors is responsible for keeping adequate accounting record5that are sufficientto ghowand explain the University's tran￿£tiOnS and disclose with reasonable accuracy at any time the financial posltion of the Universlty nd enable it to ensure that the financial statements comply with the Ofs Terms and ionditlOn5 of funding for higher education institutions. the Staiement of Recommended Practice - Accounting for Further and Higher Education, the Ofs Regulatory Advice 9.. Accounts Direction (issued October 20191 and the Companie5 Act 2006. They are a150 responsible for safeguarding the assets of the Universiiy and hence for taking reasonable steps for the prevention 8nd dÈtection of fraud and other irregularities. Siatement of FSnancSal ResponsibS1Stles In attordante with the Companies Art 2006 and the University's Memorandum and Articles of Assoiiation, the Board of Governors is responsible for the administration and management of the affair5 of the University and 15 reqUI￿d to present audited financial statements for each financi81 year. The members of Board of Governors have taken reasonable steps to. The Board of Governors Ithe Governors of which are also the directors of the University for the purposes of company lawl is responsible for preparing thè Str8tegit Report and Govemors, Report and thefinancial statements in accordance with applicable law regulations. ensu￿ that Funds from whatever source administered bythe parent Univergityforspecific purposes have been propedy applied to those purpos￿ and, if rdevant, managed in occordonce with relevant legislation. Company law requires the Board of Governors to prepare financial statements for each financial ye3r Under that law. the Board of Governors is required to prepare the financial statements in aciordance with United Kingdom Generally en5ureth8t funds provided bythe 06. UK Re*Brch and Innovation (including Research England), the Education and Skills Funding Agency and the Department of 20IPage DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Eduiation have been applied in Hciordance with theo Terms and conditions of funding for higher educaiion institutlOn5. any requirements of the funding agreetnent with UK Research and Jnnovaiion lincluding ReS￿r£h England), the Education and Skills Funding Agency and the Department of Education. and any other terms and condition5 attached to them, Qualifying Third Partylndemnity Provisions Harper Adams University maintains liability Insurance for its Office￿. The University has also granted indemnities to the Èxtent permitted by law to eaih of the key Officers, the Board of Governors and Company Secretary and a nutnber of other execUtiVL￿ and Senior tnanagers. Énsure that thè University has a robust and comprehensive system of risk rnanagement. control and corporate govemance, which includes the prevention and detection of corruption. fraud. bribery 4nd Thesé indÉmnitie$ are uncapped in amount in rÈl8tion to cert4in losses and liabilities which they may incur to third parties in the course of acting as an Officer of the University or any of its associated companies. Neither the indemnity. nor insurènte cover provides tovèr in the event an Officer is proved to have acted fraudulently or dishonestly. The indemnity is categorised as a 'qualifying third-party indemnity. for the purpose5 of the Companies Act 2006 and will continue in forceforthe benefit of Officerson an ongoing bas15. ensurè that there is wular, reliable, timdy and adequate Information to monitor performance and trBck the use of public funds, plan and manage the University's artivities to remain Sectlon 172 Ststement ensure that it inform5 the Ofs of any m3teri31 Ihange in circumsi4nces. any development5that could Itnpact on the tnutual intere5t5 of the University and the Ofs. In accordance with Sertion 172 of the Companies Act 2006, the Board of Governors confirm that in performing their duties during the year ended 31 July 2025. they have acted in good faith to promote the SUCC￿5 of the University. considering the long-term impact of decisions on the institution, it5 Stakeholder5, and wider tommunity. ensure that there are adequate and effective rrangements for the managernent and quality èssurance of data submitted to HESA. the Student Loans Company, the Of5, Researth England and otherfunding or regulatory bodi￿. In particular, the Board has taken into account.. The interests of students staff. and other stakeholders.. The University has focused on enhancing the siudent experience and supporting staff well-being. Regular consultations have beèn hdd with student representatives 3nd staff unions to ensure their concerns and aspirations are addressed in the Universitls decision-making proie55e5. ensure an effective framework overseen by the University's Board of Governo￿, academic board or equivalent to manage the quality of learning and teaching and to maintain academic standards., and consider and act on the Ots, assessment of the University's r15k5 specifically in relation to these funding purposes. The Importance of malntaSnlNJ hlgh academlc and research standard5= The University has invested in new leaming resources, campus infrastructure. and research Initiatives to ensure continued academic excellence and The Board of Governors is responsible for the maintenance 8nd Int￿rity of the corporate and financial information included on the University's website. Le91￿8￿10n in the United Kingdom governing the p￿paratiOn 8nd dissemination of financial statements may differ from legislation in other Long-term strategic goals.. The Board continues to oversee the implementation of the Universitfs long-term strategic plan. aiming for sustainable growth, innovation The Board of Governors confirm that.. so f3r as each Board member 15 aware. there 15 no relevant audit information of which the University's uditor is unHw3re.- and Community and environmentsl responsibilities.. Harpèr Adams University remains committed to environment31 sust8inBbility and has focused on agri carbon measurements and measures to reduce carbon etnissions. enhance biodiversity, and promote sustainl￿e practices. the Board members have taken 811 the steps that they ought to have taken in order to make themselves aware of any relevant audit Information and to estab115h that the University's auditor is aware of that information. The Board believes that these actions positivdy contribute to the Ion9-term 5ucce55 and sustainability of the Univer51ty. while fostering a collaborative and inclusive environment for all stakeholders Additional supporting information t8n be found within the Chief Executives Report and the Strategic Review. DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Disrlosure of inf¢)rmation to auditors The University endeavours to conduct its business in accordance with the values of the CUC HE Governance Code The Board of Governors confirm that". At the date of tnaking this report each of thÈ UnivÈrsity'5 Board members confirm the following.. innovation and growth and community together with the accepted standards of behaviour in pU￿1C life (the 'Nolan Priniiple5'1 which embrace selflessness, integrity, objectivity, accountability. openness. honesiy 4nd leadership. So far 35 each Board member is awa￿. there is no releJant inforrnation needed bythe University's auditors in connÉrtion with preparing their report of which the University's auditors are unaware,. and The 6ovemlng 8odyandA¢ademlc Board The articles require the University to h4ve a Governing Body and an Academic Board, eath with cleady defined functions and responsibilities. to oversee and manage It5 artiviti￿. Etch Board member has taken all the steps that they ought to have taken as a member in order to make them*lves aware of any ￿le￿an1 information needed by the University's 3uditorg in connection with preparing their report and to establish that the University's auditors are aware of that Inforrnation. The Board of Governor5 15 the executive goveming body. responsible for matters including the finance, property and Staffing of the Institution. It 15 specifically required to determine the education31 character and mission of the institution and to Set it5 general strategic direction. The goveming body hès a majority of independent members. The chair is dected from among the Independent tnernbers. There is also provision for the appointrnent of co-opted member5, and repre5entstive5 of the staff and students. No members of the governing body receive any reimbJrsement for the work they do for that body. The Governors are the Trustees of the University. Hlgher EduotSon Grant ￿ndIng Funding for the University s higher education students was provided by the Ofs in the fortn of teaching related grant Quality related research and knowledge exchange grants were provided by Research England Avditor5 Subject to the overall responsibility of the governing body, the Academic Board has ovèrsight of the atademit affairs of the Institution 4nd dr4ws its membership largdy from the staff and the students of the institution. It is particularly concemed with gener31 issues relating to the le3ming and teaching, research and knowledgtrexchange work of the institution. The Acadetnic Board reports to the B03rd of Governors. GrantThornton UK LLP resigned as providers of extemal audit seNices to thè University, effective from 17 January 2025. BDO LLP was appointed 85 3uditors. further to a procurement process, vtyith effect from 17 January 2025 in accordance with S¥tion 489 of the Companies Act 2006 Corporate Govemance Statement The Board of Governors has adopted a statement of primary Gener&lPr/ndples d￿cribed in further detail. The Board of Governors hès also overseen the developtnent of key performance indicators against which it will monitor the University's perforrnance. The University is committed to exhibiting best practice in all 8spects of corporate governance. Thi5 sertion desiribes the manner in which the University h35 applied the principles set out in the Committee of University Chairs ICUCI Higher Education Code of Governance. The Code takes account of the relevant sections of the Combined Code on Corporate Govemanie as they relate to the work of Higher Education In respect of its strategic responsibilities. the Bo4rd of Governors ￿te1VÈ£ ￿CoMmÉ￿dÈtiorns and 8dvite from the Academic Board and lis committees, the University Executive and joint meetings, where required, of the University Executive and members ofthe Board. The B03rd of Governor5 considers the development of strategic and annual plans 8nd monitors. amongst other items. cornpliance with the University's Instrument and Articles of Government, the conduct of financial management. hum3n resource5 management, atademic and student related developments, the management of academic quality 3nd standards. the managemnt of major estate developments, progress with major projects and risk management Regular reports on developments of note, including liaison with external agencie5, are presented to the Board by the University'5 Vice- Chancellor and other senior managers. The University changed its legal status from that of an unincorporated organisation est3blished by Trust deed to that of a Company Limited by Guarantee with èffect from 1 August 2012. The University retained ItsstatU5358 Re915tered Charity in its new legal form. It is established as a higher education institution under the tertns of the Educ3tion Reform Aci 1988 and the Further and Higher Education Act 1992 Its latest objects, power5 and framework of govemanie are set out in theArticles of Association approved bythe Privy Council in 2012 and a5 amended from time to time. The Priwj Council conferred its approval fortheaward of Universityfitle to Harper Adam5 University on 7 December 2012. The University secured Privy Council perrnission in 2020121 for the Board of Governors to make changes ès permitted under HERA 2017. The Board has direct responsibilityforoversight of several key risk5 identified in the University's Risk Analysis and Action Plan IRAAPI which is reviewed annually by the Audit and Risk M8ntgement Committee IARMCI and recotnmended to the Board for approval. The RAAP includes the University's Risk Policy and a statement of its Risk Appetite and provides an DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 evHluation of each risk b3*d on likelihood ond the irnpart of risks becoming a reality. It covers risks related to business. operational, compliance and financial matters The latter set5 out how a balanced portfolio of risk exposure will be maintained and managed and the RAAP identifies the responsible individuals who take a lead role in managing r15￿, and how action planning is incorporated into normal business processes. The Plan includes m3pping that Illustrates how the RAAP supports the strategic objettivÈs of thè University. The Internal 4uditors provide annually a mapping of howtheir planned programme of work provides assurance to the Committee and to the Board on key risks identified In the RAAP and in the sector Where appropriate, the University engage5 specific expertlse to advise and enhance its arrangements for managing key risks and incorporates outcomes into the RAAP. It also ensures that it eng3ges with sector wide briefings and workshops on key areas of risk for UK HE15 such a5 the Prevent Duty, UK Vi585 and ]rnmigr3tion IUKVII compliance and Competition and Markets Authority ICMAI requirement5 All r15k area5 are assigned to the Board or one of its committees for monitoring and actions are reported upon at each meeting of the relevant committee The Vlce.Chancellor/ChlefExecutlve The Vice-Chancellor/Chief Executive is the head of the University and ha5 t general responsibility to the goveming body for the organisation. direction and managetnent of the Under the terms of the formal financial memor3ndum between the University and Ofs. the head of the institution is the attountable officÈr and, in that tèpatity, can be summoned to appear before the Public Accounts Committee of the House of Commns. As Chief Exetutive, the Vicè-chancellor exercises con51derable influence upon the development of institutional strategy and the identification and planning of new developments. Other genior academic Bnd administrative officers contribute in various ways to these activities. but the ultimHte responsibility for what is done rests Wlth the goveming body. Professor Ken Sloan took up appointment as Viie-chancellorwith effect from 1 November 2021 and has overseen the institution'sfinancial statements since that date. Goveming Body Committee5 The Board acknowledges that it 15 re5POn51ble for a comprehensive system of control and requires that the ARMC commission the internal auditors to review an aspect of risk management annually. A report on the outcome of the annual audit of risk management Is presented tothe Board in the Annual Report of the ARMC. The Board of Governors and its committees are formally tonstituted with terms of reference and delegated powers. Although the goveming body meets al least four times each academic year, much of its detailed work Is initially handled by committees. Following 3 comprehengive intemal govemante review in November 2023, the Board agreed the constitution of the following sub-committees.. the Audit 3nd Risk Management Committee, Finance, Peopleand Resources Committee. the Govern3nce 3nd Nominations Committee and Remuneration Committee. The decisions of these ommtttees are formally reported to the governing body. The Board of Governors has est4blished 3 Govemance & Nominations Committèe which is responsible for assessment of the Board's perform3nce 3nd effective governance of the University. The Board of Governors adopts the CUC recommendation to condutt reviews of It5 effectiveness On 3 triennial basis, and field work includes I'.1 meetings with staff 3nd student members of the Board. which 3re currentty underNay. The findings of the independent effectiveness review are due to be presented to the Board of Governors In November 2025. Ongoing plans to enhance transparency include, facilitating opportunities for members of the 808rd to rneet with staff and students. requesting feedback from staff and extemal observers of meetlng5, and/or 1".1 discussions with members. and staff observers will continue to be asked to share ÈxpÈriéntÈs of obsÈrving Board meetings. Membership of th￿e commitlees cons1Sts of independent nd co-opted members of the governing body. Co-opted student and staff members may also seTve on sotne commitiees. subjed to the prowisions of the Articles. The ch8irs are normally selected frorn thè co-opted and independent members. No Governor is a rnember of both the Audit & Risk Mana9ernent and Finance, People & Resources Committees. The Audit & Risk Management Committee meets four tirnes a year, with the University's external and intern31 auditors in attendance. The Comtnittee considers detailed reports together with recommèndations for the improvement of the University's systems of intemal control. safeguarding of assets and pmention and detection of fraud, and management responses and Implement3tion plans. It also fftceives and tonsiders reports from the 0￿ and chariti￿ Commission orother bodie5 in the HE sector a5they affert the University's audited risk managementactivities and monitors adherence to regulatory requiretnents. The Committee also includes lay members. Whilst senior Univerglty offiier5 attend meetings of the Audit & Risk Management Committee, as required, thèy are not members of the Comtnittee. At least once a year, the lay member5 of the Committee meet with the Jnternal Auditors and the External Auditor5 for Independent discussion Committee also mapped its arrangements against the updated CUC HE Audit Committee Code of Praitice published in June 2020 and agreed to includea standing item on each agenda to remind membersth3t they may meet with The Ofs Included the University in a sample of prowders for Prevènt Rèview Meetings in 2019. Thè outtome of the PRM was positive with no areas for further action. In 2020/21 internal auditors have audited University compliancewith the reviged CUC Code of Govern3nce published in September 2020, and the University's governance arrangements in relation to risk management and tr8nsform3tion and digital governance v4ere the subject of further intemal audit in 2024/25. In accordancewith the Articl￿ of Govemtnent, the University 5ecrètaryhas been appointed as Clerkto the governing body. In that capacity, She provide5 independent advice on rnatter5 of governance to all members of the governing body. The Academic Registrar acts as Secretaryto the Academic Board. The University maintains a register of Interests of member5 of the goveming body and senior officers which is published on the University's web pages. 231Page DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 3uditor5 privatdy or have a tnembers, only disCU55i0n, to enhance the current arrangements or seeking approval and recording other work undertaken by extemal auditor5," to receive the fraud policy annually as an aide memoire following its annual review by Finance, People & Resources Committee. and to utilise the updated CUC checklist for evaluatin9 the perforrnance of auditors. Followin9 the internal governance review approved by the Board in November 2023, the Audit & Risk Management Committèe has 14ken overall oversight of the Health & Safety Strategy Group. alongside placing publii adverts, seeking expressions of 1rnter￿t from potential new Board members, the Nominations Cotnmittee a150 engaged the semces of Inclusive Boards, a leading specialist agency in diversity and inclusion at Board level. This led to the nomination and appointment of several new rnembers of the Board of Governors in 2021. The Remuneration Cornmittee is split into two discrete sections, one to dÈtÈrmine Senior Staff reward, and one to consider the Vice-chancellorfs pay. The Corntnittee is responsible for determining the remuneration of the most senior gtaff. Including the Universitys Vice-Ch8ncellor. The Committee's role, procedural documentation, responsibilities and deleg3ted decision-making powerswere reviewed by the Board in 2021122 in light of the revised Code published in November 2021. The decisions made by the Committee. in accordance with its delegaied authority. are reported to all tnember5 Qfthe Board of Governor5 Using the recommended form of report set out in the Remuneration Code. Where the Cotnmittee make5 recommendations out with it5 delegated uthority. it is referred to the Board for ils consideration, and if appropriate, approval Dec1510ns tnade by the Cotnmittee during 2024125 were m4de in accordance with its terms of reference, and with the procedures approved by the Board for that year. The Board has approved publication of the Remuneration Committee's rèport and revised procedures and terrns of reference as part of the University's Publication Scheme on the University's web site. The Board has t150 approved publication of an updated Remuneration Pdicy Statement which mèets the guidante set out in the November 2021 Remuneration Code. The Audit and Risk M8n8gement Committee has conducted Its effectivene55. as It doe5 annually and h35 reported to the Board on itsfindings. The 2024/25 reviewwas positive overall. The Finance, People & Resources Committee meets three times 3 year. Amongst other Items It recommends to the Board of Governors the University's annual rv¢enue and capital budget5 and monitors performance in relation to approved budgets. It also reviews progress with major strategic projects including capital developments. The Committee is responsible. on behalf of ihe Board of Govemor5, for ensuring that proper accounting records are maintained, and that the University complies with the FEHE SORP and the Ofs Accounts Direction for Higher Edutation Institutions. The Committee oversees the preparation of financial Statements. Following the iomprehen5ive internal govern3nce review In 2023. the Finance. People & Resources Committee has also absorbed the funrtions previously overseen by the Farm Strategy Committee 3nd the Staffing Committee. including the development and implementation of the University's HR Strategy. CVC Hi9her Education Code of Governance and CVC Hlyher Edutation Senior Staff Remuneration Code The Governance & Nomination5 Committee consider5 nominations for vacancies in the Board of Governors, metnbership in accordance with the University's Article5 of Association and oversees the management of governance reviews and associated bu51ness. The Cotnmittee has a majority of lay members, consisting of the Chair, Vice Chairs, further lay governor and the Vice-chaniellor The Govemance & Nominations Committee considers skill& professional background and experience, g￿raPh1(al distribution and the promotion of diversity in its succession planning and governor rÉtruitment and appointmÈnt processes. Information about the role of Governors 4nd background information on the University is provided to those interested in serving on the Board to ensure that new Govemors a￿ aware of the rangè of responsibilities attathed to University Governorship. Newly appointed Governors attend induttion sessions normally hdd as soon as possible 3fter confirmation of appointment. Governors also attend development sessions on a range of topics during their 3ppointment, including those offered by Advance HE. Before re-appointmenl Governors who are at the end of their first term of office are evBluated by the Nomination5 Committee on the contribution they have made to the Board's work. In norm31 circutnst3nces Governors retire atthe end of a second term of office, although the Nominations Committee will consider individual exceptional cases for an extension of appointtnent in accordance with the CUC Code of Govemance The Committee has benchmarked Its work against the CUC illustrative Practice Note on Nominations Committee5 pub115hed in November 2017 and tnade some minor changes to its worl agreed by the Board following the CUC'S ￿0MMendatIOnS for b&t prattice. In 2020121, The University has complièd with the CUC Higher Education Code of Govemance and the CUC Higher Education Senior Staff Remuneration Code in theye%r ended 31 July 2025. This included the publication on the University'5 web51te of the Annual Report and Financial Statements which includes inforrnttion on institutional performance, and publiiation of the Remuneration Committee's Report. Statement on Intemal Controls The University's Board of Governors is responsible for ensuring that the University's system of internal control is sound and for reviewing its effectivene￿. The Universitys approach is a risk-based system designed to manage rather than eliminate the risk of failure to achieve business objectives, and to prevent, detert and mitigate the risk of fraud. bribery. corruption and other irregularities Bnd can only provide reawnable and not abwlute assurante against tnaterial misstatement or1055 The system of internal control has been in place for the year ended 31 July 2025 and up to the d3te of 3pprov31 of the Annu31 Report and Financial Statements. The Governing Body monitors the effectiveness of the proce55 and its relationship to achieving the Universitfs Objectiv￿ on an on-going basis. It does this in a number of way5. The senior managernent team considers possible control issues brought to its attention by early warning methan15ms that are embedded within operational untts The senior management team and the Audit & Risk Management Committee also ￿e1ve regular reports from internal audit 241Page DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 exercises 3nd any other internal proie55 revie￿5 of key systems for managing risk. which include recommendations for improvement. and which are r15k-based.All reports set out the action plans that will be completed by management to enhance iontrols where further action is needed. The Boèrd is satisfied that risk assessmeni and internal control is embedded in on-going operations. Further work on r15k management and 3 refresh of the RAAP was completed in 2023124 with ongoing updat* presÈntÉd throughout 2024125. New intemal 3udit service5 were embedded in 2024/25. following a procurement exercise. Initial WO￿ focused on Financial Controls, Transformation & Digital Strategy. Health & Safety, Risk Managemeni and HR Processes, as well as an agile complitncÈ review of intÈmal audit follow up. ThÈ internal auditor's reports were largely posiiive. Where recommendations forfurther Strengthening existing controls were made. these h3ve been ag￿ed by m3n3gemenL with pro9￿$$ monitoring at eath meeting of thè Audit and Risk Managernent Committee. Forrnal follow-up by intemal auditors of all actions will take place during 2025126. The intemal audit reports completed during 2024125 received substantial assurance in two areas, reasonable assurance in two are85. and limited assurance in two areas. All recommended artionswere complete or underway by 31 July 2025. Employees The University is committed to providing equality of opportunity in all areas of It5 operation. The Universlty has continued to rewiew its activities against the requirements of the relevant legislation The University's Equalityand Diversity Working Group, which is made up of staff and students, continued its workto 5UPPOrt the University'5 driveto pursue the Equality ènd Diversity Agenda. The Group agreed an updated Equality Diversity and Inclusion Plan in 2024/25. With support from the Respect Committee, it will continue its orkto monitor progre55Wlth associated actiOn5arislng fro the plan and from the University's Respect Policy. Drawing on best prartite at other HEIS, work is also continuing to addrèss actions arising from the University's Gender Pay Gap analysis. It 15 also University policy to achieve and maintain high St3ndards of health and safety by 311 pr3CtIC3ble means. The Health & Safety Strategy Group, comprising staff representatives. oversees 4 fvll progr3mme of work in this area, including legislative developments and an audit programme. ultimatety reporting up to the Audit & Risk Management Committee line with governance arrangements prwously 3greed 3nd embedded throughout the year. The annuol follow-up on cotnpletion of previou5 audit re13ted actions confirmed reasonable progress for University. The Committee receives progress reports at each meeting to provide 355urance that actlons have been completed. and internal auditors provide independent assurance on cornpletion of action5 ar15ing frotn their report5 The Audit Risk Management Comrnittee's role in this area is confined to 8 high-lÈvÈl ￿eW of the arrangements for internal financial and operational systems control. value for money and overall effectiveness. Each of these areas 15 also covered in tems of the University'5 RAAP. The Plan Identifie5 risk areas and rates eath of them in terms of likelihood and impart should they become 3 reality 4nd covers business. operational. compliance and financial risks. The Committee presents the RAAP annually to the Board for its approval and adoption. The Board of Governors, agenda includes regular items for consideration of risk and control. and It receives reports thereon from senior managers and sub-committees of the Board of Governor5 and the Academic BoBrd The Board ha5 oversight of each of the highest rated risks as well as risks that are monitored at Board level and ￿elVeS a report on the status of each risk as a sianding item. The emphasis is on obtaining the relevant d￿ree of assurance and not mere reporting by exception. Members of the Audit and Risk Management Committee are also encouraged to attend HE sector wide briefings for members of University Audit and Risk Managèment Committees. At its November 2024 meeting. the Board of Govemors carried out the 3nnual assessment of the Audit & Risk Management Committee's ctivities for the year ended 31 july 2024 by considering dotumentation from the Committee, internal and extern81 audit annual reports, and by taking 4ccount of events related to the Risk Analysis and Action Plan. The Board agreed that there were 3dequate control Measur￿ in place. Community The University is one of the largest employers in the Borough ofTelford and Wrekin, and the County of ShropshI￿ It wor dosely wilh the Borough. local town and parish councils to ensure that a collaborative approach is taken with r￿ard to the Integration of the University and its, staff and students as members of the local community. During 2024/25 it engaged local and region41 stakeholders in the review of the University's Strategic Plan. Subject to compliance with value for money and University procurement regulations. local sourcing of goods and supplies helps support local business￿. whilestudents and staff living and working on the community also play an important economic role by SUPPOrting local ret311 and other services. Staff are encouraged by the University to hold voluntary positions in I￿31 groups and organisations thereby contributing to local d￿elopment plans and supporting thè ddivery of events and projects that benefit the whole communities In which the University is located. The University's engagement with Schools and college5 in Its region helps 5UPPDrt progre55ion to highèr education through its work on widening access and participation The BoHrd of Governors Is of the view that there is Hn on- going process for identifying, evaluating and managing the University's signific3nt risks that h85 been In pl3ce for the period from the beginning of January 2024 Jp to the date of approv31 of the annual report and accounts. Thi5 proce55 accords with the internal control guidance for directors in the Combined Code as deemed appropriatefor highereduiation. Various aspects of the University's compliance with the Internal control guidance have been assessed by It5 Internal auditors since Decernber 2002 so as to ensure that the University'$ systems and procedures continue to satisfactory. Governance arrangements have been the subject of the triennial Board Effectiveness review in 2025. DoGUSign Envebpe ID". 14224B35-38C543A￿7CY226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Membership of the Board of Govem¢)r5 during 2024125 land up to ihedate of th55 reporti Details of membership including changes to membership that took place during 2024125 and up to the dète of this report are set out below as follows.. A4embers who retiredfrom the &oardduring2024/25 P Nixon (July 20241 C Beer IFebruary 20251 men1b8￿ who Contlnuedtheirmen7be￿h1P olthe Bobrd during2024/25 D Wong (Chairl M Griffiths D Hewett nee Winstanley Y Hawkins R Payne J Reade T Sheikh B Shipston E Salter K Sloan Ivice-chancellorl U Uhunmwangho T Watson T Klages Bray C Ennew A ￿l￿en D Douglas ISU President) Men7bets whojoinedrhe Boèrdduriw2024/25 W Evans N Partheeban The strat￿1( Rewew and the Report of the Governors and Corporate Governance Statement Iwhich together constitute the Strategic Rewew and the Dirertor's Report) was approvÈd by the Board of Governors on 261h November 2025 and Slgned on 8th Deiember 2025. S*nBd by". 478 Clerk to the Governors For and behalf of the Board of Governors 261Page DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 IndepÈndentAuditorfs Report to the Board of Govemors of HarperAdams University Opinion on the financial Statements In our opinion. the financial statements.. members with respect to going concern are described in the relevant sections of this report. give a true and fairview of the state of the Group's and ofthe Univers1ty'5 affairs 85 at 31 July 2025 and of the Group's and the University's income and expenditure. gain5 and 1055es, change5 in re5epies nd of the Group's and the University's cash flows for the year then Ènded-, have been properly prepared in accordance with United Kingdom Generally Accepted Aicountlng Practice-. and have been prepared in accordante with the requirements of the Companies Act 2006. Other infotTration The Governing body Is responsible for the other information. The other information comprise5 the information Included in the annual report and financial statements other than the financial statement5 and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express anyform of assurance conclusion thereon. We have audited the financial statements of H3rper Adams University I'the University l and it5 5ubsidi8ries (the 'Group"I for the year ended 31 July 2025 which comprise the Consolidated Statement of Comprehen51ve Income Expenditure, Consolidated ènd University Balance SheeL Consolidated Cash Flow Statement and notes to thÈ financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their p￿paratIOn is applicable law and United Kingdom Accounting Standards, Reporting Standard 102 Thé Fi￿￿¢181 Reporting Srandard applic&bl&in rhe UKandRepubli¢ofJrelandlUnited Kingdom Generally Accepted Accounting Practice). Our responsibility is to read the other information and, in doing so. considerwhethertheother Information is materially inconsistent with the financial st4tements or our knowledge obtained in the audit or otherwi* Bppears to be m8teriBIIy tnisstated. If we Identify suih rnateri81 Inconsi5tencie5 or apparent mBteriBI misstatements. we are required to determine whether there 15 a material misstatement in the financial statetnent5 or a tnaterial misstatement of the other information. If, based on the work we have performed. we conclude that there is a material misstatement of this other information, we are required to report that fact. Basls for oplnlon We have nothing to report in this regard. We conducted our audit in accordance with International Standards on Auditing IUKI "ISAS IUKI"l and applicable law. Our responsibilities under those standards are further described In the Auditor's ￿sponsIbl1111es forthe audit of the financial statements section of our report. We believethatthe 3udit evidencewe have obtained is sufficient and appropriate to provide 4 bas15 for our opinion. Other Companies Ac¢ 2006 reporting In our opinion. based on the work undertaken In the course of the audit the information given in the 3nnu81 report and financial statements, including the fftport of the Govemors. which includes the director5. report and the strategic report prepared for the purposes of company 13w. for the financial ye3r for which the financial statements are prepared is consistent with the financial statements. and the strategic report and the dirertors, report, which re Included in the annual report have been prepared in accordance with applicable legal requirements. Independence We 3re independent of the Group and the University in accordance with the ethical requirements that are relevant to our audit of the financial Statements in the UK. including the FRC'S Ethical Standard. and we have fulfilled our other ethical responsibiliti￿ in accordance with these requirement5 Concluslons relatSng to going concem In 3uditing the financial statements. we have concluded that the board tnember5' Use of the going concern ba515 of 3ccounting in the preparation of the financiHI stHtementS 15 3ppropriate. In thelight of the knowledge&nd understanding ofthe Group and the Universityand its environment obtained in the course of the audit. we h3ve not identified material mi55taternents in the strategic report or the directors. report. Based on theworkwe have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may castsignificant doubt on the Group and the University's ability to continue as a going concern fora period of at least twelve months from when the financial statements are authorised for issue. We have nothing to report in respect of thefollowing matters in ￿latiOn to whith the Comptnies Act 2006 requires us to report to you if, in our opinion-. adequate accounting records have not been kept. or returns adequate for our audit have not been received frotn branches not wsited by u5-, or 271Page DoGu$ign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OPQ49710 the financial staternents Bre not in agreement with the accounting records and retums., or certain d15closures board tnember5' remuneration specified by law are not made.. or e have not received all the information and explanations we require for our audit. Auditor's responsibilities for the audit of the financial ststements Our objectives are to obtain ￿sOnable assurance about whether the financial statements as a whole are ffft from material misstatemenL whether duè to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with JSAS IUKI will always detect a materi41 misstatement when it eKiSts. Misst4tements can arise from fraud or error and are considered material if. individually or in the aggregate. they could re4son4Uy be expected to Influence the economic decisions of users taken on the basis of these financial Stotement5. Opinion on other matters required by the Offite for Students i~OfS"l and UK Research and Jnnovailon Ilncludlng Research England). the Edufatlon and Skllls Fundlng Agency (now part of the Departmeni for Education) and the Department for Education In our opinion. In 311 material r￿pects.. Funds from whatever source administered by the Univer51tyfor specific purposes have been propedy pplied 10 those purposes and managed in atcordante with rdevant legislation. Funds provided by the Ofs. UK Research and Innovation lincludin9 Research England), the Education and Skills Funding Agency Inow part of the Department for Edut8tionl 8nd the Department for Education have been applied in accordance with the relevant terms and conditions The requirements of the Ofs's Accounts Direction Iofs 2019 411 have been met. Sxtent to which the audit W35 c3pable ol detecting irregulèrities including fraud Irregularities including fraud, are instances of non- compliance with laws and regulations. We design procedures in line with our responsibilities. outlined above. to detea material misstatements in respect of irregularities, including fraud. The extent to which our procedures are CaPa￿e of detecting irregu13rities. including fraud is detailed below. Non-complMnce with 13wsandregul3tson5 We have nothing to report In respect of the following matters In relation to which the 06 requires US to report to you if. in our opinion-. Based on.. Our understanding of the Group and the sector in which it operates-. Discussion with rnaDage￿nt and those charged with governance", Obtaining an understanding of the Group and University's policies and procedure5 wÈrding compliance with laws and regJlations.' Direct repre5entstion from the Accountable Officer. The University's grant 4nd fee income. as di￿oSed in note 2 totheaccountg been materially MI￿ated. The University'5 expenditure on acce￿ 3nd participation activities for thè financial year, as has b￿rn disclosed in note 26 to the accounts. hHS be materially misstated. Responsibilities of the Board of Govemors We considered the significant laws and regulations to be the Financial Reporting Standard 102, the statement of Recommended Practice, Accounting for Further Education nd Higher Education IFEHE SORP 20191, the Ofs Accounts Direction (October 20191. Companies Act 2006. and UK tax As explained more fully in the board of Govemors responsibilities statemenL Iwho arè also the dirertors of the University for the purposes of company lawl 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 Board ol Governors determine is necessary to enable the prep3r3tion of financial 5tatementS that are free from material mi55tatement. whether due to fr8ud or error. The Group is also subject to laws and regulations where the con*quence of non-compliance could have a material effect on the amount or disclosure5 in the financial statements. for Èxatnple through the imp051tion of fines or litigations In preparing thefinancial statements, the board of Governor5 are ￿SpOn£1b1È for assessing the Group and the UnivÉrsity's ability to tontinue as 8 going toncÈrn, distlosing, as 8pplitable, m8ttÉrs rdated to going tontèrn and using the going concern basis of accounting unless the board of governors either intend to liquidate the Group or the University or to cease operations, or have no realistic alternative but to do so. We identified such laws and regulations to be health and safety legislation, the Bribery Act 2010, data protection and registration with the Office for Students and their Ongoing Conditions of regisiration. Our procedures in respect of the above included.. Review of Minut￿ of meeting5 of those charged with governance for any instances of non- cornplianie with law5 and regulation5,- 281Page DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Review of correspondence with regul3tory and tax Uthoriti￿ for any instances of non-compliance with laws and regulations-, Review of financial statement disclosures and agreeing to supporting docutnentation," Invdvement of tax experts in the audit and Review of legal expenditure accounts understand the nature o* expendiiure incurred. to ensure correct treatment at the balance sheet date. WÈ also tommunitatÉd olÈvant idÈntifiÉd laws and rÈgulttions and potential fraud risks to all engagèmènt tÈam members who were all dÉÈmed to have appropriate competence and capabilities and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit to We assessed the suscewibility of the financial statements to maierial misstatement. including fraud. Our risk assessment procedures included.. Our audit procedures were designed to respond to risks of ateri31 mi55tatement in the financial st4tement& recognising that the risk of not detecting a material 1SStatement due to fraud is higher than the risk of not detecting one regultln9 from error. as fraud may involve ddiberate concealtnent by, for exarnple, forgery. 1srepregentation5 or through collusion There are inherent limitations in thé audit procedurès perfomed ènd thÈfurthÈr rÈmovÉd non-tompliancÉ with laws and rÉgul8tions is from the events and transadions refiettÉd in the finantial statements. the less likely we are to become aware of it. Enquiry with m3n3gement and those Iharged with govemance regarding any known or suspected instances of fraud.- Obtaining an understanding of the Group and Univer51ty's policies and procedure5 relatlng to-. Detecting and responding to the risks of fraud," and Intemal controls established to mitigate r15ts related to fraud Review of minutes of meetings of those ch3rged with govérn8nte for any known or suspettÈd instances of fraud., Discussion amongst the engagement team as to how and where fraud might occur In the financial statements," and Performing 3n31wical procedures to identify Bny unusual or unexperted relationships that may indicate risks of material misstatement due to fraud. A further description of our responsibilities forthe audit of the financial statements is located on the Financial Reporting Council's website 3t. www fr forms part of our auditor's report. . This description Use of our report Thi5 report Is rnade sdely to the b03rd of governors as a body. in %ccord%nce with Chapter 3 of Part 16 of the Cotnpanie5 Act 2(M)6 Our audit work ha5 been undertaken so that we might state to Ihe University's board of governors those rnatter5 we are required to State to them In an auditorfs report and for no other purpose. To the fullest eytent permitted by law, we do not accept or a55ume responsibility to anyone other th4n the University and the b03rd of govÉmÉr$ 8$ a body, for our audit worl for this rÈporL orfor the opinions we have formed. Based on our risk asse55ment we considered the area's most susceptible to fraud to be management override including inappropriate joumals to tnanipulate the finaniial staternent and tnanagement bia5 in In accounting estimates. In addition, we consider revenue recognition an area to be susceptibleto fraud particularfy in relation to the posting of journals to other income, the recognition of tuition fees in line with course dales and the recognition of research grani income in line with the performance conditions. Our procedure5 in respert of the 3bove included". Testing a sample of journal entries throughout the year, which met defined risk criteria. by agreeing to supporting documentation,- Testing the appropriaieness of the certain journals to material mÉnuÈ streams", A review of estimates 4nd judgements applied by anagement in the financial statement to as5es5 the 3ppropriateness and the existence of any systèmatic bits,. Testing a sample of research grant contracts to the performance conditions noted in the agrèements,. and Comparing the level of deferred tuition fee income to expertation5 and testing 3 5omple of deferra15 SlgNd by.. 2FQ7121fj4E12IBO Anthony Mcmellon (Senior Statutory Auditor) For and on behalf of BDO LLP, Statutory Auditor Birmingham. UK 12 December 2025 BDO LLP is3 limited liabilityp3rtnership registered in England and Wale5 (with registered number OC3051271. 291Page DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 C￿m￿nyN￿Thbpr OBQ49710 Statement of Actountlng Pollcles The following accounting policies have been applied cons1Stently In dealing with Item5 which Bre considered statements and therefore have prepared the financial Statements on a going concern bas15. C+)n5olidation Basls of Preparailon The consolidated finantial statement5 include the financial statements of the University. its wholly owned subsidiary undertaking Cedar Energy Litnited and the Harper Adams University Development Trust. The H4rper Adams University DevelopmentTru5t is treated a5 8 5ub5idiary of the University on ihe grounds that the University has the powerto exercise. or artually exercise, dominant influence or control over the undertaking. The Group and parent University financial statements have been prepared in accordance with United Kingdom Accounting Stand4rds. including Financial Reporting Standard 102 IFRS 1021 and the Statement of Recommended Practice ISORPI.. Accounting for Furtherand Higher EdJcaiion 12019 edition). They have also been prepared in atcordance with the 'carried fonK3rd' powers and duties of previous legislation (Further and Higher Edutttion Att 1992 and the HigherEduc3tion Act 2CNYI 3nd the newpower50fthe Higher Education and Research Act 2017, the Accounts Dirertion Isgued by the Office for Students IOfSI. the Term5 and conditions of funding for higher education institutions issued by the Office for Student5 and the Terms and conditions of Research England Grant. Intra-group transactions a￿eliMin81ed on con501id8tion. The financi81 statements of HarperAdams Students Union a￿ not consolidated Into the financial statements of the University. as the University has no control or significant influence over poliiy decisions of the Students Union. The University owns the entire 5hare5 of two Subsidiary companies'cedèr Energy Limited. and"Harper Adams IRural Enterprises) Limited" lincorpor3ted 27 July 2W91 "Harper Adams Rural Enterprises Limited. has not traded since incorporation. The University is a public benefit entity and therefore has 3pplied the relevant public benefit requirement of the applicable UK13ws and accounting standards. Golng Con**Income**
Tuition fees
1
Funding council grants
2
Research grants and contracts
3
Other operating income
4
Investment income
5
**Total income before endowments and donations**
Donations and endowments
6
**Total income**
**Expenditure**|**Year ended 31 July 2025**
**Consolidated**
**University**
**£’000**
**£’000**
22,390
22,390
16,813
16,813
6,348
6,415
12,395
12,803
1,363
1,361
**59,309**
**59,782**
414
759
**59,723**
**60,541**|**Year ended 31 July 2025**
**Consolidated**
**University**
**£’000**
**£’000**
22,390
22,390
16,813
16,813
6,348
6,415
12,395
12,803
1,363
1,361
**59,309**
**59,782**
414
759
**59,723**
**60,541**|Year ended 31 July 2024
Consolidated
University
£’000
£’000
21,979
21,979
15,913
15,913
4,774
4,774
11,203
11,771
1,217
1,209
**55,086**
**55,646**
1,260
1,395
**56,346**
**57,041**|Year ended 31 July 2024
Consolidated
University
£’000
£’000
21,979
21,979
15,913
15,913
4,774
4,774
11,203
11,771
1,217
1,209
**55,086**
**55,646**
1,260
1,395
**56,346**
**57,041**| |---|---|---|---|---| |||||**55,646**
1,395| |||||**57,041**| |||||| |Staff costs before LGPSpension service cost
7
(Decrease)in Staff LGPSpension service cost
7|34,802
(235)|34,802
(235)|30,691
(106)|30,691
(106)| |Total Staff Costs
Depreciation and Amortisation
11
Other operatingexpenses
8|34,567
4,349
20,943|34,567
4,128
21,879|30,585
5,197
19,295|30,585
4,924
20,344| |Interest and other finance costs (excl. LGPS interest)
9
Interest and other finance costs(LGPS only)|598
(27)|598
(27)|598
2|598
2| |Total Interest and other finance costs
**Total expenditure**
**(Deficit) /Surplus before other gains and losses**
Gain on disposal of fixed assets
Gain on investmentsand endowments
12
**(Deficit) /Surplus before taxation**
Taxation (charge)
10
**(Deficit) /Surplus for the year**
Actuarial(loss) / gain in respect of pension schemes
25
**Total comprehensive income and expenditure for the**
**year**
Represented by:
Restricted endowment income for the year
Restricted comprehensive income for the year
Unrestricted comprehensive income for the year|571
**60,430**
**(707)**
6
145
**(556)**
(63)
**(619)**
(260)
**(879)**
(128)
(64)
(687)
**(879)**|571
**61,145**
**(604)**
6
145
**(453)**
(76)
**(529)**
(260)
**(789)**
(128)
36
(697)
**(789)**|600
**55,677**
**669**
14
210
**893**
(103)
**790**
387
**1,177**
98
750
329
**1,177**|600| |||||**56,453**| |||||**588**
14
210| |||||**812**
(128)| |||||**684**| |||||387| |||||**1,071**| |||||98
750
223| |||||**1,071**| All items of income and expenditure relate to continuing activities The accompanying accounting policies and notes form part of these financial statements 35 | P a g e ## **Consolidated and University Statement of Changes in Reserves** Year ended 31 July 2025 |**Consolidated**
**Balance at 1 August 2023**
Surplus from the income and expenditure
statement
Other comprehensive income
Release of restricted funds spent in year
**Total comprehensive income and**
**expenditure for the year**
**Balance at 1 August 2024**
Surplus from the income and expenditure
statement
Other comprehensive expenditure
Release of restricted funds spent in year
**Total comprehensive income and**
**expenditure for the year**
**Balance at 31 July 2025**
**University**
**Balance at 1 August 2023**
Surplus / (Deficit) from the income and
expenditure statement
Other comprehensive income
**Total comprehensive income and**
**expenditure for the year**
**Balance at 1 August 2024**
Surplus / (Deficit) from the income and
expenditure statement
Other comprehensive expenditure
Release of restricted funds spent in year
**Total comprehensive income and**
**expenditure for the year**
**Balance at 31 July 2025**|**Income**
**Endowment**
**£’000**
**1,055**
98
-
-
98|**and expenditure account**
**Restricted**
**Unrestricted**
**£'000**
**£'000**
**540**
**82,546**
750
2
-
327
-
-
750
329|**and expenditure account**
**Restricted**
**Unrestricted**
**£'000**
**£'000**
**540**
**82,546**
750
2
-
327
-
-
750
329|**Total**
**£'000**
**84,141**
850
327
-| |---|---|---|---|---| |||||1,177| ||**1,153**
77
-
(205)
(128)
**1,025**
**Income**
**Endowment**
**£’000**
**1,055**
98
-
98|**1,290**
**82,875**
36
(428)
-
(259)
(100)
-
(64)
(687)
**1,226**
**82,188**
**and expenditure account**
**Restricted**
**Unrestricted**
**£'000**
**£'000**
**222**
**81,085**
750
(164)
-
387
750
223||**85,318**
(315)
(259)
(305)| |||||(879)| |||||**84,439**| |||||**Total**
**£'000**
**82,362**
684
387| |||||1,071| ||**1,153**
77
-
(205)
(128)
**1,025**|**972**
36
-
-
36
**1,008**|**81,308**
(438)
(259)
-
(697)
**80,611**|**83,433**
(325)
(259)
(205)| |||||(789)
**82,644**| 36 | P a g e DoGusign Envebpe ID". 14224B35-38C543A￿7CY226oc8B7DC1 co￿OI1￿￿ted and University Balan￿ Sheet Year ended 31 July 2025 Year ended 31 July 2025 cor￿oI1dated University £'ooo Year ended 31 July 2024 Consolidated University £'o E'OCM) Note5 Non-current assets Tangible 35setS Investments 86,412 1,298 83,364 2,143 683 630 86.820 86,477 1,230 634 83,209 2,075 634 835 86.753 Trade and other receivables 15 88,393 88.341 Current assets Stock Trade and other receivables Investments C35h and CBsh equiv31ent5 14 1,435 5.055 10.525 24,444 41.459 1,433 5.388 10.525 23,802 41.148 1,297 4.854 14,058 24,249 44.458 1,297 5.183 14,058 23,499 44.037 12 Creditor5- amounts falling due within one year 16 19,0621 19,0691 110,5421 110,5741 Net current assets 32.397 32.079 33.916 33A63 120.790 118.899 122.257 120.216 Creditors- amounts falling due after rnore than one year 136.1801 136.1801 136.7511 136.7511 Provlsions Pensions provisions Other provisions 25 11841 Totrl net assets 84,439 85.318 83.386 Re5tricled reserves Income and expenditure reserve- restricted reserve EndobYment- restricted reseNe 1.226 1,008 1,290 972 1.025 1.025 Unrestricted reserves Income snd expenditure reserve- unrestricted 82,188 80.611 82.875 81,261 84.439 85.318 83.386 The financial statemenis on pages 35 to 38 were approved by the Board of Governors on 26th November 2025 and signed on its behalf on 8" December 2025 by.. by". 65UC207I6BED401..... ........... Mr Dominic Wong Chair of Governors ..F27FI&ASQZF4.1C..... .......... Professor Ken Sloan Vice Chancellor -E23F.Ihl.Q.1I42471._ Mrs Liz Furey Chief Financial Officer The atcomp8nwng attounting polities and notes form part of these finantial statements. DoGusign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Consolldated Cash Flow Ststement Year ended 31 July 2025 Notes Year ended 31 July 2025 £'ooo YeBr ended 31 July 2024 £'o( Cash flow from operatin9 activities (Deficit) / Surplus for the year 790 Adjusiment for non-cash liems Depreciation Gain on investments Uncreasel in stotk and biological assets Uncreasel in debto (Decrease) I Increase in creditors Difference between net pension and ta5h tontribution Capital grani income 4,349 5,197 11,0411 1.139 13871 16781 4.687 25 12601 17931 682 Adjusimeni for Snvesiing or flnanclng actSviiSes Interest payable Profit on the sale of fixed asset5 598 598 592 Net cash inflow from +Jperating activities 1.274 5.271 Cash flow5 from investing activities Proceed5 from sale5 of fixed a55et5 Capital grani receipts Investment income Payments made to acquire fixed assets Withdrawal / linvestmentl into nOn-Cur￿￿t asset investments 14 239 204 5112 255 14.4461 3,5 270 13.8971 11,0001 Net tash oufflow from investing adivities 14811 14.3741 Cash flow5 from financing activitie5 Interest paid Repayments of arnounts borrowed 15981 15981 1601 Net cash oufflow from financing activitles 15981 16581 Increase/ IDecreasel In cash and cash equlvalents In the year 195 239 Cash and cash equivalents at beginning of the year Cash and cash equivalents at end of the year 24.249 24,444 24.010 24,249 The accotnpanying aicountlng policie5 and notes forrn part of these financial statement5 DoGusign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Notes to the Flnanclal Statements Tulilon fees Year ended 31 July 2025 Year ended 31 July 2024 Corwlidated University Con501id8ted University £'ooo £'ooo £'o Full time students- home/EU Full tirne students tharged overseas fees Part tirne fees Short cour5efee5 Otherfees 19,OM 1,442 712 826 366 22,390 19, 1,442 712 826 366 22.390 18,552 1,550 683 704 490 21,979 18,552 1,550 683 704 490 21.979 Funding body 9rants Yearended 31 July 2025 Ye3r ended 31 July 2024 ConsolidatÈd University Consolidated Univèrsity £'ooo £'OCK) £'orA) Recurrent grant IOFSI Release of deferred capital grant IOFSI Research grHnt IResearch Englandl Higher Education Innovation Fund Education and Ski115 Funding Ageng 12.718 438 1.870 500 1,287 16.813 12.718 438 1.870 500 1,287 16.813 11.728 459 2,166 551 1,009 15.913 11.728 459 2,166 551 1,009 15.913 Details of Grant and Fee Income Yearended 31 July 2025 Year ended 31 July 2024 Consolidated UniveYsSty Consolidated University £'ooo £'o £'o Grant Income from the Ofs Grant Income from other bodie5 Fee income for taught awards (excl. VA Fee income for rese4rch awards (excl. VAn 13,657 9.504 22,311 79 13,657 9.571 22,311 79 12,739 7.948 21,923 56 12,739 7.948 21,923 56 45.551 4S,618 42.666 42.666 The above note now includes research grants and income within the line"Grant Income from other bodies" row for both the current and prior year. which had been prwou4y omitted in error. The review of the disclosure h35 confirmed there 15 no impact on the primary statements. Research grants and tontratts Year ended 31 July 2025 Consolidated University £'ooo Year ended 31 July 2024 Consolidated University £'ooo £'ooo UK Research and Jnnovation Research Councils Government Funded (UK and Overgeasl Research Charities (UK and Owerseasl Industry and Commerce (Mher 2,261 1.703 497 1,7fA 123 6.348 2,279 1.703 520 1.790 1,657 1.278 205 1.528 106 4.774 1,657 1.278 205 1.528 106 4,774 6.415 Other operating income Year ended 31 July 2025 Consdldated Unlversity £'ooo Year ended 31 July 2024 Consolidated University £'(h)o £'ooo Catering and residence Conferences 3nd short course accornrnod3tion Consultancy Fami Other income Validation fÈÈs 4.639 4,639 4.664 1,013 120 3.799 1.546 61 11.203 1,013 120 3.812 2.101 61 11.771 230 4,367 2.189 86 12.395 230 4.379 2,585 86 12.803 DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Investment income Year ended 31 July 2025 Consolidaied University £'ooo £'ooo Year ended 31 July 2024 Consolidated University £'ooo £'ooo Bank interest Development Trust Interest 1,361 1,361 1,209 1,209 1.363 1.361 1.217 1.209 Donatlons and endowments Year ended 31 July 2025 Corks01idated University Year ended 31 July 2024 Consolidated Univer51ty £'ooo £'ooo Other donations with restrictions Other donations without restrictlOn5 403 758 1,249 1.394 414 759 1.260 1.395 Stsff costs Yearended 31 July 2025 CO￿OI1d?ted University Year ended 31 July 2024 Consolidated University £.￿0 £.￿0 Staff Costs.. 26,816 26,816 2.944 5,042 34.802 2351 34.567 24.001 2.398 4,292 30.691 1061 30,585 24,001 2.398 4,292 30.691 1061 30,585 Social security costs Pension tosts (Éxtl LGPS sÈNice costl 5,042 34,802 2351 34,567 LGPS Semce cost Total During the year severance costs of £nil were paid 12024.. £nill lo nil individuals12024.. nill. Therefore. no cosis are included within the salaries figures above forthe current yÉarto 31 July 2025. Year Ended 31 July 2025 Year Ended 31 July 2024 Emolument5 of the Vice-chancellor (VCI Consolldated & University Consolidated & University Ivci Ivci £'ooo 256 Salary Benefits Employer's pension contributions 259 21 281 20 277 The Vice-chancellorfs b351( salary 15 6.9812024-. 6.911 times the median p3y of staff. where the medi3n p3y Is calculated on B full-time equivalent basis for the salaries paid by Harper Adams University to its rt8ff. The total remuneration is 6.55 12024.- 6.861 times the median total remuneration of staff. where the median tot31 remuneration including employer pension contributions is calculated on a full-time equivalent basis for the total remuneration by Harper Adams University to its staff. Benefits Benefits relate to private health insurance paid for by the University on behalf of the Vice-chancellor. 40Ipage DoGusign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Key mana9ement personnel Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the University. Total staff costs including pension paid to the senior management team lincluding the Vice-chancellor. comprising of 8 members12024.' 7 members). Yearended 31 July 2025 £'ooo Year ended 31 July 2024 £'ooo Key management personnel emoluments 1,269 1,233 Remuneration of higher paid staff lincluding the Vice-chancellorl based on the individua15 full titne equiv31ent IFTEI posltion, excluding employer's pension.. Yearended 31 July 2025 Co￿oI1ddted university No. No. Year ended 31 July 2024 Consolidated University No. No. £1CM),WO to £104,999 £105,WO to £109.999 £110.WO to £114.999 £115,WO to £119,999 £125,WO to £129,999 £130,CQO to £134.999 £135.￿0 to £139.999 £255,WO to £259,999 £260,WO to £264.999 The following tables summtrise the staff headcount firstly by the full time e4uiv8lent IFTEI tontrart values, which is required under statutory reporting obligations for HESA and secondly by the 3ctu31 count of individuals included on the payroll, in line with the Companie5 Att reporting requirements HESA IAvera9e ￿E} Yearended 31 July 2025 Co￿OI1d￿ted Univeryity No. No. Year ended 31 July 2024 Consolidated University No. No. Average staff numbers by major category HESA.. Academic Administration and Support Management & Specia115t Other Research Technic41 215 166 215 166 190 158 43 190 158 43 25 33 594 25 33 594 16 16 553 553 Companles Act (Avwage Counii Corks01idated No. University No. Consolidated No. University No. Average staff numbers by major category per Co Act.. Academic Administration and Support Management & Specialist Other Research Technic31 240 190 47 160 31 35 703 240 190 47 160 31 35 703 231 231 66 135 19 38 650 66 135 19 38 650 Following a review of the methodology 4round HESA and Companies Aci staff count disclosures. a discrepancy was identified in the Companie5 Act data and relevant categori￿tIon of staff. Thi5 has been updated to represent the appropriate position based on a greater underst3nding of the information. DoGusign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Justification for Head tsf Institution Salary The University is a specialisi Higher Education Institution (HED with 8 well-est8blishÈd national and international reputation for the high quality of its teaching, knowledge exchange and applied research.11 is recognised bythe industries with which it works as playing an important leadership role in producing high-calibre graduaies and delivering applied research of value to food production, animal health and welfare. engineering. rural land management. and the wider natural environment. Our work continues to make a direct contribution to planet4ry health. animal health and wellbeing. and ultimately. human health. Details of the public benefits delivered by the Univer51ty are provided elsewhere in the Annual Report and Financial Statements. The Board of Govemor5 has estab115hed a ReFnuneration Comrnittee which operate5 in accordance with the CUC Higher Education Senior Staff Remuneration Code Ifir5t published In June 2018 and m05t recently revised in November 20211. The Board has approved a Remuneration Policy Statement Ipublished in the Harper Adams University Publication Scheme, Section 41, which sets out the printiplès by which the remuneration of all senior stsff, including thè Vice-chancellor as the hèad of the University, is dètermined. The Policy Statement describes the Senior Staff r￿le￿ process. through which the annual performance of the Victrchancellor is assessed by the Chair and Vice-chair of the Board, reported to Retnuneration Comrnittee. and subsequently noted by the Board. Feedback from independent governors is also gathered and incorporated into this prOc￿s. The Board and it5 Cotnmittees 3re clear that principles of equality. diversity. and inclusion underpin their decisions, and that the Univer51ty must be able to 3ttrad and retain Senior staff with the skills and expert15e required to ddiver it5 Strategic objectives. When reviewing remuneration, an t$5essment 15 rnade of individual performance against agreed objeitivei alongside institutional performance ènd relevant benchmarking data (including the UCEA Senior Staff Remuneration Surveyl. Decisions take Into account the value of the role, the level of rèsponsibility, the size and complexity of the Organ1￿110n, and the specific expèrtise required. The Remuneration Committee is authorised to make recommendations on senior pay awards within an envdope of up to 5% of the senior pay bill, in addition to any nationally negotiated increases. Proposals that would exceed this threshold a￿ subject to the approval of the full Board, including staff and student members. Further details are set out in the Policy Statement. ic*Chancellor Review 2024125 The Vice-chancellor's objectives for the yeor to 31 July 2025 reflected the continued ddivery of the Harper2030 Strotegic Plan. Key prioritie5 Included-. Leadership Ènd Inttitutional Development To 4ct as a visible. 4ccessible. and effective leader across the University. To ensure robust strategic. operational. and financial planning, and to continuè development of an organisational culture aligned with institutional Strategic Partnerships and External Representation.. To represent the University on the national and international stage, including through attive roles with GuildHE UCEA Bnd other sector and regional bodie5. to extend partnerships with key stakeholders such as Telford Wrekin Council and regional employers. Acodernic R￿0￿{￿ Bnd Exiellence". To drive achievement in educ4tion. research. enterprise. ensuring enhanced academic performance. student ÉxperiÈncÉ and Émployability outcom￿. Resource Management and Infr3Structure-. To ensure the effective use of resources and infrastructure resilience, delivering financial objectives in line with budget. Community and Civic Engagement.. To act as a trusted partner, contributing P051tivelyto local, regional, and national growth. During 2024125, the Vice-chancellor demonstrated strong performance acr055 these obJeitives continuing to provide strategic leadership and advancing key Institutional prioritie5 H15 leadership has been central to the ongoing delivery of the Harper2030 Strategy, to etnbedding iultural chan9ewithin the Univer51ty, and to ra151n9 the profile of HarperAdam5 nationalty and intemationalty 421page DoGusign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 The Board and Remuneration Committee tonsidered benchm8rking evidencè, sector practice, and performancè outtomes in detemining the Vice-chantellorfs remuneration for the year. In 2024125, the Vice-chantellor, tlongside all other staff, received the nationally negotiated pay award of 1.4/.. Thevite-chtncellor subsequently declined the award as per the prior year award of £5,WO, with the funds instead to be allocated to the Development Trust in 2025/26 with a focus towards supporting staff and students in times of hardship. No additional pay rècommendations were made for the Vice-chancellor or the senior team, reflecting the current financial climate and wider operational constraints. For 2024125. the Board also noted that the Vice-chancellor rem3ined 3 member of the University's defined contribution pension scheme. The Board is Sat15fied th3t the Viie-chancdlorfs remuneration packagefortheyearended 31 July 2025 was appropriate in the context of seclor benchmarks, Institutional performance, and the leadership ddivered during the ye3r Trade Union Facility Tlme TheTrade Union (Facility Time Publication Requirements) Regulations 2017 requirethe Universityto disclose cert4in rnetrics detailing the provision of paid or unpaid time off from an employee's normal roleto undertake trade union duties and Bctiwties The Univer51ty hod seven full time equiv31ent employee5 who Spent 0% to 5LWA of their working hours on trBde union artiviti￿. of whiih 163 hour5 were spent on Tr3de Union Activiti￿. This represents 0.01¥¢ of the total pay bill1£3.1k of £26rnl. Members of the Board of Governors The University Board of Governorg members are the trustees forcharitable IBW purposes. Due to the nBture of the University's operations and the compositions of the Board, being drawn from local public and private sector organisations it is inevitable that transartions will tske place with organ15atlOn5 in which a member of the Board tnay have an interest. All transactions Involving organ15atlOn5 in which a member of Board may have an interest, including those identified below. are conducted at arm's length and in accordance with the Universlty's FinanciBI Regulations and usual procurement procedures. Harper Adarns in ]reland is an alumni a550ciation for former Harper Adam5 Students in Irdand. Harper Adarns Club is the alumni association for former Harper Adams students. Via the Harper Adams University Development Trust there are transactions made via èssoci8ted relationships through supporting trustees at each entity During the year paytnent5 totalling £2,50012024 £3.3961 were made to Harper Adams in Ireland and payments totalling £nil12024.. £nill to Harper Adams Club. No Board member has received any remuneration/waived p4yrrents from the group during the year12024." none) The total expenses paid to or on beh4lf of 12 Board members was £1.97012024.. £1.1941. This represents travel and subsistence expenses incurred in attending Board, Committee meetings and Charity events in their official capacity. 431page DoGusign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Other operatin9 expertses Year ended 31 July 2025 Consolidated Unlvwslty £'ooo Year ended 31 July 2024 Consolidated £'o £'ooo Academic and related expenditure Administration and central services Library, computer 3nd other academic support service5 PremisÈs- Other prÈmisÈs costs Premises- Refuthishment and maintenance Premises- Utility Costs Research grants and contracts Residences and catering operations Other including income gener4ting operations Development Trust 5cholar5hip expenditure and audit fee 4,869 1.216 3,999 903 1.343 1.459 2,847 401 3.355 551 20.943 4,869 1.216 4.557 903 1.343 2.556 2.832 989 3,522 935 1.352 1.758 2,482 373 3.338 502 19.295 989 4.025 935 1,352 2.906 2.482 373 3,238 3.202 21,879 20.344 Other operadng exp*bes InAt 1 August 2024
Additions
Disposals
**At 31 July 2025**
**Accumulated depreciation**
At 1 August 2024
Charge for the year
Disposals
Impairment
**At 31 July 2025**
**Net book value**
At 31 July 2024
At 31 July 2025
Financed by capital grant
Other
**Net book value at 31 July 2025**|**Freehold**
**Property**
**Plant and**
**Equipment**
**Computer**
**Equipment**
**Total**
**£’000**
**£’000**
**£’000**
**£’000**
100,700
26,827
2,379
129,906
2,277
1,926
92
4,295
-
(20)
-
(20)| ||**102,977**
**28,733**
**2,471**
**134,181**| ||28,730
13,852
847
43,429
2,847
947
360
4,154
-
(6)
-
(6)
90
102
-
192| ||**31,667**
**14,895**
**1,207**
**47,769**| ||71,970
12,975
1,532
86,477
**71,310**
**13,838**
**1,264**
**86,412**| ||10,151
1,667
-
11,818
61,159
12,171
1,264
74,594| ||**71,310**
**13,838**
**1,264**
**86,412**| The prior year closing position was identified as having a number of misclassified assets and associated depreciation charges in relation to their categorisation on the accounts in comparison to the fixed asset register maintained by the University. The review of the disclosure has confirmed there is no impact on the primary statements and as such has been reclassified within the note. Asset impairment has been calculated consistently with the principles of section 17 of FRS102. During the year a building asset that had been identified as not suitable for use was written down to just the value of the land associated with it. Furthermore, an assessment of costs incurred to date in relation to pathology building facilities were no longer considered to be an asset and were impaired accordingly to ensure the records reflect a true and fair view. Land and certain buildings in the University were re-valued on a fair value basis by an independent Chartered Surveyor as at 31 July 2014. As a first-time adopter of FRS102 the University has used that fair value as its deemed cost at 1 August 2014 in accordance with FRS102 paragraph 35.10(c). Following a review of historic fixed asset valuation information, there has been a prior period adjustment of opening asset disclosures and depreciation charges between the relevant category headings, where previous allocations were inconsistent with the application of the University’s accounting policy for depreciation of plant and equipment. The result is a net nil impact on the financial statements but more accurately reflects the actual position. Included within freehold property is land costing £22,652,480 (2024: £22,652,480) which is not depreciated. 46 | P a g e ## **11. University fixed assets** |**11.**
**University fixed assets**||| |---|---|---| |**12.**
**Investments**
**Long term asset investments**
Investment in subsidiary company
Quoted securities at market value
Unquoted securities at cost
**Current asset investments**
Short term cash deposits
Restricted endowment funds
**Total investments**
**Restricted endowment funds**
UK and Overseas Bonds
UK and Overseas Equities
Property and Other Funds
Cash and cash equivalents
Cost or valuation
At 1 August 2024
Additions
Disposals
**At 31 July 2025**
**Accumulated depreciation**
At 1stAugust 2024
Charge for the year
Disposals
Impairment
**At 31 July 2025**
**Net book value**
At 31 July 2024
At 31 July 2025
Financed by capital grant
Other
**Net book value at 31 July 2025**|**Year ended 31 July 2025**
Year ended 31 July 2024
**Consolidated**
**University**
Consolidated
University
**£’000**
**£’000**
£’000
£’000
-
1,000
-
1,000
1,266
1,111
1,198
1,043
32
32
32
32
1,298
2,143
1,230
2,075
9,500
9,500
13,000
13,000
1,025
1,025
1,058
1,058
10,525
10,525
14,058
14,058
**11,823**
**12,668**
**15,288**
**16,133**
172
172
169
169
704
704
696
696
127
127
171
171
22
22
22
22
**1,025**
**1,025**
**1,058**
**1,058**
**Freehold**
**Property**
**Plant and**
**Equipment**
**Computer**
**Equipment**
**Total**
**£’000**
**£’000**
**£’000**
**£’000**
100,700
22,185
2,379
125,264
2,277
1,926
92
4,295
-
(20)
-
(20)
**102,977**
**24,091**
**2,471**
**129,539**
28,736
12,472
847
42,055
2,847
727
360
3,934
-
(6)
-
(6)
90
102
-
192
**31,673**
**13,295**
**1,207**
**46,175**
73,447
8,204
1,558
83,209
**71,304**
**10,796**
**1,264**
**83,364**
10,151
1,667
-
11,818
61,153
9,129
1,264
71,546
**71,304**
**10,796**
**1,264**
**83,364**|| |||| |||1,298
2,143
1,230
2,075
9,500
9,500
13,000
13,000
1,025
1,025
1,058
1,058| |||10,525
10,525
14,058
14,058| |||**11,823**
**12,668**
**15,288**
**16,133**| |||172
172
169
169
704
704
696
696
127
127
171
171
22
22
22
22| |||**1,025**
**1,025**
**1,058**
**1,058**| The University investment in the subsidiary company, Cedar Energy Limited (incorporated in England and Wales) of £1,000,000 comprises 500,000 ordinary £1 shares at par and 500,000 £1 preference shares at par. 47 | P a g e DoGusign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Investments Icontinuedl Consolidated Investments Restricted Endowments Quoted Unquoted Securities at Securities Mkt Value at Cost Short Term Cash Deposits Total £'ooo £'ooo Opening Value as at 15f August 2024 1,058 1,198 32 13,000 15.288 Additions D15P05als Fair value movement 13,5001 13.610 145 77 68 Closing Value as at 31￿ July 2025 1.025 1.266 32 9.StX) 11.823 UnlversSty Investments Investment Restricted Quoted Unquoted Endowments Secuiities at Securities Mkt Value at Cost Short Term Cash DeposSts Totsl Subsidiary £'ooo £'ooo Opening Value as at August 2024 1.000 1.058 1.043 32 13.000 16.133 Additions Disposals Fair value movement 13,5001 13.6101 145 77 68 Closing V31ue as 3t 31￿ July 2025 1.025 32 9.500 12.668 Year ended 31 July 2025 Consolidated University £'ooo 77 68 145 Year ended 31 July 2024 Consolid4ted University £'ooo £'o 98 Gain on Investments Unrealised Market V3lue Gain on Re5trirted Endowments Unrealised Market Value Gain on Unrestricted Investments 77 68 145 98 210 210 13. Biological A55ets The University's farming operations Include dairy c3ttle. which are classified 85 biologicBI assets under Long Term Assets in the statement of financial position and are stated at fair value less costs to sell Changes in fair value less costs to sell are recognised in the st3tement of comprehensive Income Thevalue of the Dairycattle classified as biologic31855etS 3t the reporting date w35 £683k 12024.. £634kl. 14. Year ended 31 July 2025 Consolidated University Year ended 31 July 2024 Consolidated University £'ooo £'ooo £'ooo £'oth) Farm stocks Consumables Goods for resale 1.378 23 34 1.435 1.378 21 34 1.433 1.225 36 36 1,297 1.225 36 36 1.297 15. Trade and other r￿e1vable5 Year ended 31 July 2025 Consolid8tÈd University Year ended 31 July 2024 Consolidated University £,0(￿) £'ooo £'ooo £'ooo Amountsfalling due within one year Re5e3rch gr3nis receivable5 Amounts owed by Subsidiary company Othertrade receivables Prepayments and accrued income Other receivBbl 978 978 379 1,359 2,544 128 5.388 1.146 1.146 382 770 2,706 179 5.183 1.361 2,588 128 5.055 777 2,752 179 4.854 481page DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Trade and Other receivable5 (Continuedl Amountsfalling due after one year Amounls owed by Subsidiary company 630 6.018 835 6.018 5.055 4.854 16. Credltots: amounts falllng due wlthln one year Year ended 31 July 2025 Consolidated University Year ended 31 July 2024 Consolidated Universlty £'ooo £'LN)O Amounts owed to Subsidiary company Deferred Incorne Taxation and social security Sundry creditors and accrued expen5e5 74 3,357 1.196 4,442 9,069 67 2,359 698 7,450 10.574 3,392 1,197 4,473 2,359 698 7,485 10.542 Deferred income Re5e3rch gr3nts received on account Grant income Tuition fee income Other income 1,456 633 930 373 3,392 1,456 633 930 338 3.357 1.668 651 1.668 651 40 1359 40 1359 17. Cr•JltoYs: amounts fallSng due after one year Year ended 31 July 2025 Conwlidated University Year ended 31 July 2024 Consolidated University £'ooo £,(￿0 Deferred income 11.751 Loans.. Other loans 25,000 25,000 25,(M)O 25,000 Total creditot5 due after one year 36,180 36,180 36.751 36,751 Deferred Intome.. Deferred incotne represents deferred capital government grants which are required under FRS 102 to be reported as 4 long term creditor based on the tirning of the amounts due to be released to the Statement of Comprehensive Income and Expenditure. Other Loans.. Other loans refer to a £25m note purchase agreement for 30 years at a rate of 2.39% with Pacific Life Insurance Company which Was agreed in December 2021. Other loans repayable as ft4low In one year or less Between one and five years In five yeBr5 or more 25.000 25.( 25.000 25.th)0 25.000 25.000 25.000 25.lJXI 491page |**18.**
**Provision for liabilities**
**Consolidated**
As at 1 August 2024
Charge in the year
Released to the SOCI
**As at 31 July 2025**
**University**
As at 1 August 2024
Charge in the year
Released to the SOCI
**As at 31 July 2025**|**Year ended 31 July 2025**
Year ended 31 July 2024
**Deferred**
**Tax**
**Other**
**Provision**
**Total**
Deferred
Tax
Other
Provision
Total
**£000**
**£000**
**£000**
£000
£000
£000| |---|---| ||**109**
**75**
**184**
133
76
209
**-**
**-**
**-**
-
-
-
**(13)**
**-**
**(13)**
(24)
(1)
(25)| ||**96**
**75**
**171**
**109**
**75**
**184**| ||**-**
**75**
**75**
-
75
75
**-**
**-**
**-**
-
-
-
**-**
**-**
**-**
-
-
-| ||**-**
**75**
**75**
**-**
**75**
**75**| ## **Other Provision** The provision is for overseas tax where the University undertakes teaching overseas. ## **Deferred Tax** The deferred tax provision, in relation to the subsidiary Cedar Energy Limited, includes the following: |**Capital gain on disposal**|**Year ended**
**31 July 2025**
**£’000**
Year ended 31 July
2024
£’000
**96**
109| |---|---| No deferred tax asset has been recognised by the subsidiary on the remaining losses due to uncertainty regarding their crystallisation in the foreseeable future. ## **19. Endowment and Restricted reserves** Reserves with restrictions are as follows: |**Consolidated**
**Balances at 1 August 2024**
Scholarships and bursaries
Capital
Accumulated Income
New endowments
nvestment income
New donations
ncrease / (Decrease) in market value of investments
Expenditure
**As at 31 July 2025**|Donations
Endowments
**Year Ended**
**2025**
**Total**
£’000
£’000
**£’000**
540
-
**540**
750
1,025
**1,775**
-
128
**128**
1,290
1,153
**2,443**
-
-
**-**
36
-
**36**
406
-
**406**
-
77
**77**
(506)
(205)
**(711)**
1,226
1,025
**2,251**|Year Ended
2024
Total
£’000
540
1,025
30| |---|---|---| |||1,595
-
60
1,249
38
(499)| |||2,443| 50 | P a g e ## 19. **Endowment and restricted reserves (Continued)** |**Analysis of other restricted funds/donations by type or**
**purpose:**
Scholarships and bursaries
Capital
Accumulated Income
**University**
**Balances at 1 August 2024**
Scholarships and bursaries
Capital
Accumulated Income
New endowments
Investment income
New donations
(Decrease) / Increase in market value of investments
Expenditure
**As at 31 July 2025**
**Analysis of other restricted funds/donations by type or**
**purpose:**
Scholarships and bursaries
Capital
Accumulated Income
**20.**
**Capital and other commitments**
**Capital commitments**
At 31 July, the following amounts had been authorised:
Authorised and contracted for
**Operating leases**
As at 31 July, Harper Adams University had minimum future
lease payments under operating leases expiring between one
and five years:
Plant and machinery|Donations
Endowments
**2025**
**Total**
**£’000**
440
-
**440**
750
1,025
**1,775**
36
-
**36**
1,226
1,025
**2,251**
Donations
Endowments
**Year Ended**
**2025**
**Total**
£’000
£’000
**£’000**
222
-
**222**
750
1,025
**1,775**
-
128
**128**
972
1,153
**2,125**
-
-
**-**
36
-
**96**
4
-
**4**
-
77
**(42)**
(4)
(205)
**(132)**
1,008
1,025
**2,033**
Donations
Endowments
**Year Ended**
**2025**
**Total**
£’000
£’000
**£’000**
222
-
**222**
750
1,025
**1,775**
36
-
**36**
1,008
1,025
**2,033**|2024
Total
£’000
540
1,813
90| |---|---|---| |||2,443| |||Year Ended
2024
Total
£’000
222
1,025
30| |||1,277
-
60
750
38
-| |||2,125| |||Year Ended
2024
Total
£’000
222
1,813
90| |||2,125| ||**Year ended 31 July 2025**
Year ended 31 July 2024
**ConsolidatedUniversity**
Consolidated
University
**£’000**
**£’000**
£’000
£’000
-
-
1,800
1,800
-
-
-
-|| The above capital commitment of £1.8m for 2024 relates to the surrender of a lease agreement for a commercial research facility located on the University campus. This transaction was completed during the financial year. 51 | P a g e ## **21. Post balance sheet event** There are no post balance sheet events to report. ## **22. Contingent liabilities** There are no contingent liabilities to report. ## **23. Related party transactions** The University has a number of related parties where governors and senior staff members sit on boards and panels to assist as necessary based on the respective objectives of the organisation, all transactions with these related organisations are conducted on an arm’s length basis. Harper Adams University was a member of the Agri-EPI Centre Limited until March 2024, a company limited by guarantee. During the year the University incurred costs of £nil (2024 52k) on behalf of Agri-EPI Centre Limited for whom the university is acting as agent. The University received income of £nil (2024 £88k) from Agri-EPI Centre Limited by way of reimbursement of costs incurred on its behalf and providing services through service level agreements. At the balance sheet date, Harper Adams University was owed £nil (2024 £7k) and owed Agri-EPI Centre £nil (2024 nil). The Harper Adams University Students’ Union is an independent constituted body and, therefore, is not included in the Consolidated Financial Statements of the University. During the financial year the University made payments to the Students’ Union of £254k (2024 £239k) and received £56k (2024 £67k). At the balance sheet date, Harper Adams University was owed £1k (2024 £5k) and owed the Students’ Union £1k (2024 £28k). Harper Adams University was a member of CIEL Livestock Limited until March 2024, a company limited by guarantee. During the year the University made payments to CIEL Livestock of £nil (2024 £1k) and received £nil (2024 £nil). At the balance sheet date, Harper Adams University was owed nil (2024 £nil). The Vice-Chancellor continues to hold a professional engagement with Monash University based in Australia. During the year the University received £nil (2024 £6,614) as a reimbursement for travel expenses incurred. No payments were made to Monash University. At the balance sheet date, no funds were owed to or from Monash University (2024 £nil). Ken Greetham, served as a Harper Adams University Governor until July 2025, was also a Board Member of The James Hutton Institute. During the year the University made payments to The James Hutton Institute of £nil (2024 £1kl) and received £nil (2024 £13k). At the balance sheet date, Harper Adams University was owed £nil (2024 £nil) and owed The James Hutton Institute £nil (2024 £nil). The University has taken advantage of the exemption in FRS102, Section 33 of FRS 102 that transactions with wholly owned subsidiary companies are not disclosed. ## **24. Subsidiary undertakings** The subsidiary companies (all of which are registered in England and Wales), wholly owned or effectively controlled by the University, are as follows: |**Company**|**Principal Activity**|**Status**| |---|---|---| |Cedar Energy Limited|Production of electricity and heat|100% owned| |Harper Adams (Rural Enterprises) Limited|Dormant|100% owned| |Harper Adams University Development Trust|Provide support for students in the agricultural sector|Controlled undertaking| Cedar Energy Limited’s trading results are consolidated with the Harper Adams University accounts on the income and expenditure and balance sheet respectively. The principal activity of Cedar Energy Limited is to produce electricity and heat. Harper Adams University Development Trust is a separately registered charity in the UK. The primary purpose of the charity is to raise funds to benefit the University and its students. This Trust is treated as a quasi-subsidiary of the University on the grounds that the University has the potential to exercise power or dominant influence over the funds. 52 | P a g e DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 25. Pension sthemes The three principal pension xhemesforthe Univer51ty'5 Staff arethe Teacher5 Pension Schetne ITPSI, av3il3bleto all aiadetnic staff. Non- academic staff are eligible to join either the Local Government Pension Scheme ILGPSI, operated by Shropshire County Council Pension Fund ISCCPFI or the Harper Adam5 Univer51ty Group Personal Pension, provided by Siottish Widow& The TPS and LGPS are both defined benefit schemes. The Scottish Widows scheme is a defined contribution scheme. Year ended 31 July 202S £'ooo Ye8r endèd 31 July 2024 £'o Total employer pension contributions for the year Local Govèrnment Pension Scheme Teacher5. Pen510n Scheme Scottish Widows HKVS Staff Pension (administe￿￿ by Kede University) 1,404 2,697 785 232 5.118 1,142 2,193 214 4.160 lil Lotal Govemment Pension Stheme Membership of the Local Governtnent Pension Scheme ILGPSI operated as the Shropshire County Council Pension Fund is available to eligible non-teaching staff. The LGPS Is a funded defined-benefit scheme. with the assets held In sep8r3te trustee-administered funds. The tot81 tontribution made for the year ended 31 July 2025 was £1,868,785 of whith employerfs contributions tot8lled £1,404,079 and ernployees, contributions totalled £464.706. As from April 2025. the agreed contribution r3te is 21.2¥0 for employers with no monthly deficit sum. The Universty made 3n advance payment of Employer contributions totalling £1,265,371 in April 2025 IApril 2024". £1,386,734). Employees pay a percentage between 5.5Y. nd 12 5¥0 depending on the individuals pensiona￿e pay. On 26 October 2019, the High Court handed down the Mccloud judgrnent involving the Lloyds Banking Group's defined benefit wnsion schemes. The judgment concluded the schemes should be amended to equalise pension benefits for men and women in relation to guaranteed minimum pension benefits, "GMP.. The Govemment will need to consider this outcorne in conjunction with the Governtnent's recent consuhation on GMP Indexation in publicsector schemes before concluding on any changes required to LGPS schemes. No provision Rulir¥ on amendment of Contracted out Salary Related pension xhemes On 16 June 2023. the High Court handed down The Virgin Medi? Ltd v NTL Pen510n Trustees It decision. considering the implic3tion5 for Section 37 of the Pension khemes Act 1993. In a judgement delivered In July 2024, the Court of Appeal unanitnously upheld the decision of the High Court and the Impact of the decision is likely to be that 5cheme5 who tnade amendments without getting the required certification from the actuary will have additional liabilities. This consequently impact5 the financial statements Idefined benefit pension obligation) of the sponsoring employer There a￿ plans in plate by the Government Actuarial Department to miew the potential implit8tions, but at thè current time it is not possible to estimate the potential imp8CL if any, on the Scheme. Assumptlc*)s In accordance with the requirements of FRS102 and the HEFE SORP, the Fund Actuary was instructed to complete a full valuation of the Universlty's element of the fund 05 at 31 July 2025. with comp3r8tive figures 3t 31 july 2024. The financial a55UmPtions used to calculate scheme liabilities under FRS102 are Principal Actuarial Assumptions Asat 31 July 2025 Asat 31 July 2024 Prite inflation ICPD Rate of increase in ￿larIeS Rate of Increase of Pensions in Payment 2.5% 3.75% 2.6% 5.9% 2.6Y. 3.85% 2.7Y. 4.9% DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 The iurrent tnortality assutnptions indude 5uffitient allowance forfuture itnprovetnent5 in mortality rate5. The a55umed life expeitations on retiretnent age 65 are-. As at 31 July 2025 £'ooo at 31 July 2024 £'o Retlrlny today Males Females 21.5 24.1 21.7 24.2 Retlrlny In 20 years Males Females 22.8 25.6 23 25.9 The assets In the scheme were.. As at 31 July 2025 £'ooo 36.386 &511 2.714 432 13.630 61.673 As at 31 July 2024 £'ooo 32.765 7,950 1.817 568 13.685 56.78S As at 31 July 2023 £'o 26.675 8,942 1,686 715 13,081 51.099 Corporate bonds Property Cash Other Total Asat 31 July 2025 Asat 31 July 2024 £'o 56.785 154,7311 2.058 141 Scheme assets 61.673 147,9451 13,7281 Impact of asset ceiling (Deflcltl In the xheme- net penslon Ilablllty recorded wlthln penslon provlslons Current sepjice cost Administration Expenses Past service cost5- GMP indexation Total operating charge 1.169 55 1,143 55 1,224 1.198 A5at 31 July 2025 £'ooo A5at 31 July 2024 £'ooo Anatysis of the amount charged to interest payable/credited to other finance income Interest on Assets 12.8351 2,652 2,602 Curtailments Impact of asset ceiling Net charge to otherfinance income 82 53 Total pension cost recognised in ststement of comprehensive income 1.142 1.145 Anatysis of gther wmprehen5ive inwmw. Gain on assets 1,886 9,424 2.993 15491 2.057 387 Effect of Asset Ceiling (including interest) Total other conyrehensive Icostl / intorne before dedurtion for tax 12611 Anatysis of movement in sutplus/ldeficiii Deficit at beginning of year Contributions or benefits paid bythe University Current Service c05t Otherfin3nce ch3rge Gain recognised in other comprehensive income Surplus / (Defiritl at end of year 14941 1.249 1.405 111.5421 12.0601 2,444 141 DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Analysis of movement in the present value Presentvalue of liabilitie5 at the start of the year CUr￿rnt servite cost (net of member contributions) Curtailments Past service cost 54.731 1,169 51.593 1,143 2.652 465 19.4241 11,6481 47.945 2.602 467 549 Attual member contributions lincluding notional contributions) Actual benèfit payments Pre5entvalue of liabilitie5 at the end of the year 54.731 Fair valueof assets ai the stsrt of the year Expected return on assets Aciuari31 gain / (Ios51 on assets Attual contribution5 paid by University Actual member contributions (including notional contributions) Attual benefit payments Fair valueof scheme assets at the end of the year 56,785 2,835 1.831 1,405 465 11,6481 61.673 51.099 2,655 2.938 1,249 467 56.785 The LGPS assets do not Include 3ny of the university's own financial Instrurrents, or any propety ((cupied by the university. Auual re￿M on scheme assets Expected return on scheme a55et Asset gain / Ilossl 2,835 1,886 4.721 2,655 2,993 5.648 A movement in the discount rate of 0.1% would impact on liabilities by £0.9m and a movement in pay inflation assumption of 0.1% would again Itnpacl on liabilities by £0.9m lill TÈathers' Pension Stheme The Teathers, Pension Scheme ffPSI is 3 Statutory, contributory, defined benefit scheme, govemed by the Teachers. Pensions Regulations 2010. and. from l April 2014. by the Teachers, Pension Scheme Regulations 2014. These regulations apply to teachers In Schools and other educational establishments. including Further Education Colleges and Higher Education Institutions where membership is a requirement of ESFA I OFS funding. Membership Is automatic for full-timeteachers and lecturers and. from l January 2007. automatic too forteachers and lecturers in part-time employment following appointment or a change of contract. Teachers and lecturers are able to opt out of the TPS The Teachers, Pension Budgeting and ValuatSon Account Although Membe￿ may be employed by various bodies, their retirement and other pension benefits are set out in regulations made underthe Superannuation Act 1972 and are paid by public funds provided by Paditment. The TPS Is an unfunded scheme and members contribute on a 'pay as you go, basis. these contributions. along with those made by employer& are credited to the ExcheqJer under arrangements governed by the above Act ThÈTÈachÈrs' Pensions Regulations 2010 require an annual actount, thÈTÈachÈrs' Pension Budgeting and Valuation Atcount to be kept of receipts and expenditure linduding the cost of pension increasesl. From 1 April 2001. the Account has been credited with a real rate of return, which is equivalent to assuming that the balance in the Account is invested in notional investments that produce that real rate of return. DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Valuation tsf the Teachers. Pension Scherne The latest actuarial miew of the TPS was carried out as èt 31 March 2020 tnd in 8Ctord8nce with The Publit Service Pènsions Ivaluations and Employer Cost Capl Directions 2023. The valuation report was published by the Department for Educ4tion (the Departmentl on 13 (ktober 2023. The key results of the valuation were.. employer contribution rates We￿ increased from 23.68% of pensionable pay to 28.6% (with effect of April 20241 following the Gi)vernment Actuarie5 Department review of vHluations", total scheme liabilities for service to the effective date of £262 billion, and notional assets of £222.2 billion, gimng a notional past 5eMce deficit of £39.8 billion-. Afull copyof thevaluation report and sUPPOrting documentation can befound on theTeachers' Pension Schemewebslteatthefollowing location.. htt .te%chers ensions.co.u members Stherne Changes Following the Hutton report in March 2011 and the subsequènt consultations with trade unions and other rep￿SentatiVe bodies on reform of the TPS. the Dep3rtment published 4 Proposed Final Agreement. setting out the design fora reformed TPS to be implemented from 1 April 2015. The key provisions of the refomed scheme include.. a pension based on cafftr average earnings", an accrual rate of1157th,' and a Normal Pension Age equal to State Pension Age. but with options to enable members to retire eadier or later than their Normal Pension Age. Importantly, pension benefits built up beforè l April 2015 will be fully protected. In addition, the Proposed Fin81 Agreement includes a Government commitment that those within 10 years of Norm81 Pension Age on I April 2012 will See no change to the age at which they can retire, and no decrease in the amount of pension they receive when they retire. There will also be further transitional protection. tapered over a three-and-a-half-year period, for people who would fall up to three and a h8kF year5 Outside of the 10-ye8r protedion. Rryulations giving effect to a reformed Teacher5. Pension Siheme catne into force on 1 April 2014 and the reforrned schetne will commence on l April 2015. The pension costs paid to TPS in the year amounted to £2.697.09212024.. £2.189.8531. FRS102 1281 Under the definitions set out in FRS102128.111, the TPS is a multi-employer pension plan The University is un8bleto identify its share of Accordingly. the university has taken advantage of the eKemption in FRS102 and has accounted for its contributions to the scheme 4s if it were a defined-contribution plan. The Univèrsity has set out above the information available on the plan and the implications for the university in terms of the antiiipated contribution rates. liiil Swtti5h Widows Scheme The University provide5 a pension arrangement known as a Defined Contribution (DCI pension scheme for all employees. The pension arrangement is called the Harper Adarns University Group Personal Pension and is provided by Scottish Widows. The University's iontribution to the DC scheme ranges frorn 5% up to a maximutn 1(PA of pen510nable salary. dependent upon the levd of employee contributions chosen by the scheme member. Ernployer contributions to this scheme are accounted for through the Consolidated Statement of Comprehensive Income at the time that payment to the external provider 15 acirued as due DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 26. Atcess and Participation Plan- Reported Spend Year ended 31 July 2025 Other Consolidated Costs University Year ended 31 july 2024 St3ff Other Congolid3ted Costs Costs & University Staff Costs £'(th £'ooo 333 309 406 46 £'ooo 642 406 247 £'ooo £'ooo 186 401 333 58 £'ooo 587 333 218 135 1.273 Access Investment Financial Support Support for Disabled Students Research & Ev31uation Total Access and Participation Expenditure 201 160 135 678 761 1.439 792 The Aices5 and Participation Plan for Harper Adatns University 15 available at-. Har er Adam5 APP Plan Staff tosts identified above of £678k12023.- £481kl are intluded within the total payro115 tosts as det8iled at note 7 of the accounts The Ofs guidance allow5forthe sdection of different, but acceptable iatryor15ation technique5, which can result in different measurements of categories of eligible 3ccess and particip4tion expenditure and can affect comparability with other institutions. As a consequence. the tpproath to the developmènt and implÉmÈntation of access and partitipation plans tan vary as agreed with the OFS DoGUSign Envebpe ID". 14224B3s-38C543A￿7CsA226oc8B7DC1 Glossary of Terms APB Auditing Praitice Board BBSRC Biotechnology and Blo1(￿1[al kiences R@￿earCh Couniil cuc Committee of University Chairs EU European Union FRS Finantial Reporting Standard HEFCE Higher Education Funding Council for England LGPS Local Government Pension Scheme RDEC Research and Development Exwnditure (￿dit REESEP Rural Employer Engagement Student Experience Project 50RP Statement of Recommended Practice TPS Teachers Pension Scheme OFS Office For Students Docusign Envelope ID 14224B35_36C543AD_87C542260CB87DC1 Harper Adams University Together we will make the difference Harper Adams University Newport, Shropshire, TF108NB Tel: *44 (0)1952 820820 Fax: (0)1952 814783 Website: www.harper-adams.ac.uk