2024-03-31-accounts

Company registration number.. 8162578 Charity registration number.. 1153001 Lakeland Arts {A company limiied by guarantee) Annual Re￿rt and Financial Statements for the Lakeland Arts Group for the Year Ended 31 March 2024 Stables Thomp50n & BTlSCOe Chartcrcd Accountants & Statutory Auditor Lowther House Lowthcr Street Kendal LA9 4DX

Lakeland Arts Contents Ref¢renc¢ and Administrativ¢ D¢¢ai15 Ito2 Strategic Report 3to5 TTUStees' Report 6t022 Independent Auditors, Report 23to25 Consolidated Ststement of Financial Activities 26to27 Consolidated ￿lane￿ Sheet 28 Balance Sheet 29 Con¥olidat¢d Slutement of Cash Flows 30to31 Notes to the Financial Staiements 32to70

Lakeland Arts Reference and Administrative Details Chalr D Reid MCIOF Trustees M Benjamin A Bl8Gk S A Crewe K M How4rth A Karwa E Kent]¢y K J S Knight T A Leach A M Lyles D Rcid MCIOF G F Rycroft E J Scult Secretary A Karwa Senlor Mgnggement l L¢adershtp L Mafiins, Inlerim Chief Exccutive I'cam L Garretl Hampson, Head of Mark¢tin8 and Communications C Jamcs, Hcad of Finance H Stslkcr, Associalc Head of Curatorial and Engagement Chlrlty Reglstratlon Number 1153001 Company Reglstratlon Nurnber 8162578 The charity is in¢ory)orat¢d in England, Page I

Lakeland Arts Reference and Administrative Details Registered Office Abbot Hall Gallery Kirldand Kendal LA9 SAL Audltor Stables Thompson & Bii¥coc Chartered Accountants & Statutory Auditor Lomrther Ilouse Lowthcr Strect Kendal LA9 4DX Sollcltors Baines Wi150n Unil 3 Lancaster Business Park l O M¢innin Way Lancaster LAI 3SW Banker$ Barclays Bank Pl 9 Highgatc Kendal LA9 4DF Page 2

Lakeland Arts Strategic Report for the Year Ended 31 March 2024 The trustees, who are diTector5 for the pwposes of company law. present their stralegic report for th¢ year cnded 31 March 2024. in Compliance with s414C of the Companies A¢t 2006. Chalr'$ Foreword Annual Report 23-24 2023-24 was a transformative year for Lak¢land Arts, fjlled with challenges, opportunities, and transilionk It mark¢d th¢ first year of a new three-year grant agreement with Arts Council England and Ihc launch of a two-year funding partnership with the F.smée Fairbairn l."oundation-key steps towards securing a bTightei future. As we continued to recover from the long-terni impacts of the Covid-19 pandemity on vi¥itor number8 and recruiim¢n¢, wc navigated additional hurdles, including the pressurcs of double4Iigit inflation. Yet, we saw these challenges galvanize our tru$lees. siaff, volunlcers, and supporters, culminating in the successful reopening of Abbot Ilall after a three-yeer closure for developrnent-a testsment to the resili¢n¢e and dcdication of our community. Abbot Hall reopened in May 2023 with a major exhibition by Scotland based land artist Julie Brook. Featuring film. drawtng and photography created ovcr & dccadc in ihe Outer Hebrides, Japan and Cumbria, the exhibition celebrated the creativ¢ links b¢twcen IAnd8cape and art. The opening al80 saw the launch of Lakeland Arts on Ihe Bluombcrg app, making objects frorn our collections and exhibition8 acc¢ssible online. A8 one of several costssaving mcasurc8, the gallery's regular winter closure for Collcctions care was extended. Abbot Hall reupcncd in February 2024. with new Art Herb￿lurn and Portruit Gallcrics as well as the r¢di$play of favuurilc objccts from our pern]an¢nt ¢olleGtion. Ai Blackwell, the stunning Halima Cassell.. Reflections cxhibition celebrated a contemporary maker working withit) the ethos of the Arts & Crafts Movement. The show featured over 60 beautiful clay sculpturcs alon88ide sketche5, drawings, collages and wallpapers. Also at Blackwell, w¢ werc dclightcd when curator Naomi Gariff b￿arn¢ thc fIrst ever recipient of the Nicholus Goodison Award, cnabling us to expand our unique collection or onlem[yorary Graft and deepen our und¢r¥141ndiny of objects already in the collection. Windemere Jety Museum began the year wilh thc popular Forty Farms photographic display highlighting thc innovthlion and resilience of the Lake District farming communtty. The lamily tocuscd bpring and summer programme includcd the Windennere Science Festival and a new exhibition of LEGO Lake District by Jon Tordoff. Alongside this, heritage boat trips and daily conservation conversations gave visitor5 exclusive behind-the-5cenes insights into th¢ highly Skilled specialist work done by our historic boat conscrvation team. The Blackwell Tca Room and Lakeshore Café at WAnd¢rniere Jetly MuyLum continued to delight ViSTtors with new ttnd hi¥h quality menu$. and we opened a combined Cr¢ativc Spacc and Coffee Bar at Abbot Hall. We a150 tiied out new incom¢ streams such as film location hire. weddings and lake activitie5. During 2023-24, the transition from operating two to three museums alongside global cost increases and ¢hallenges to the visitor economy placcd significant pressure on Lakeland Art5. finances. To safeguard long t¢rni financial stability, the or8anisation impl¢mented several measures, including the Sale of the Old Grammar School building and the continued closure of our fourth sitc the Lakeland Museum. These actions ¢nabl¢d iAkeland Arts to maintain ils artistir and engagement programmes alongside inromc-generaling activitie8. Our collaborations with partneT5 in the C'umbria Museum Consortiunl steadfast supporters like Arts Council England, and the newly-cstablished Westmorland & Furness Council remain a vital resource. This year also welcomed new funding partners, including the Esmée Fairbairn Foundation. alongsid¢ the generosity of our members. Patrons, Benefactors, and donors. To them, and to our hardworking staff, voluntecrs, and tnL¥tees. I extend my heartfeli gratitude for their tirele&1 cornmitment and shared vision, Pag¢ 3

Lakeland Arts Strateglc Report for the Year Ended 31 March 2024 As we look ahe&d to 2024, we are optimistic about the opportunities that lie before us. With renewed energy and cnduring partherships, wc arc excited to continue sharing Lakeland Arts. remarkable collections with audiences today and in the generations to com¢. Dian¢ Reid Chair, Lakeland A FINANCIAL REVIEW In 23-24 in¢ome genernted totAlled £2.8 IM of which £2.55M was unrestricted and £260K was restricted this was & small decrease on the 2022-23 income which was £2.8M where the unrestricted income was £2.6M and th¢ restrA¢l¢d income was £200K, In 2023-24 the fundraising target was £610,333. This included a tsrget of £429.626 for Core budget relieving activily. plu5 an addilionul £180,707 for anlicipalcd non-corc budget r¢lieving Tcvenue and capilal PToj¢LIs. A¥idc frvm Icgacy intsu￿, fundrai6in¥ incvmb wa¥ almo¥l cnlircly for rty'striclcd ¥ranty and prvjL'Ct¥ with membership contributing to ¢ore Costs at jus¢ over £60k. Total ie50urbcs cxpended WCTC £3.416M, whiih i¥ #n inirea¥e on 2022-23 whiih w8¥ £3.268M. At 31st M￿ch 2024 the ¢arried forward restricted funds balance is reporting a surplus of £15.83NI and the arried forward unrestricted funds balance is reporting a deficit of £434K. Pollcy on reserves Although the board aspir¢s to build re$¢rv¢$ equatin8 to two month'$ unr¢$tri¢t¢d ¢haritabl¢ expenditure, in accordance to th¢ R¢s¢rve8 Policyp this wa$ not achieved in 2023-24. Principalf¥nding sources The principle SOU￿¢$ of funding for th¢ costs of operatin8 Blackwell, Windern)ere Jetty Museum and Abbot Hall arc carned income. Arts Council En8land, various grants, invcstmcnt incomc. mcmbcrship fcL'¥, donations and Gift Aid. Inveslmemtpolicy and objectives The charitable company has the power to make inv￿lments as it sees fit. The investment policy delennined by thc ln￿te¢S for the endowmcnt funds is to provide a balanced return from a broad spread of medium risk investments, and for general funds lo provide a higher income from a spread of lower risk investrnen18. The investment policy is implemented by professional investment managers SarAsin & PartneT$ LLP. Page 4

Lakeland Arts Strateglc Report for the Year Ended 31 March 2024 Pnncipal risks and uncertaindes Major risks All significant artivilie5 undertaken by Lakeland Arts are subje¢l to a comprehen8ive risk review as part of the project asse¥smenl and implementation prw¢ss. Major risks are identified and ranked based on thcir potential impact and lik¢lihood. For this purpose, major risks arc dcfined as those that could significantly affect.. . Operationaj perfom]ance, including risks to staff, volunteer4 and visitors * Achievement of 51ratcgic aim8 and objectives. • Fulfilment of exp¢¢tstions among beneficiaTiCS, 8UPPOrters, and stakeholders. Tbe tn]stee$ conduct ongoing reviews of these risks and ensure that robust Systrms and procedure5 are in place to manage them effectively. If appropriaie, risks are mitigated through in$uTancc cov¢r. The organtsation ¢rnploys the following framework lo cnsure a thorough approach to risk managcmcnt: Regular monitoring of major risks and the developnient of disasl¢r rwovcry plans Integrating rtyk idcntification and asses$menl inlo opcrational procedures Maintaining a Clear structure ufdclcgated authority and control. and Seeking to prescrvc financial reserv¢s in accordance wilh ¢stabli.ghed policies. While acknowledging that .qome initiatives may require the &cceptance and managernenl of risk to achieve key objectives, the t￿sleeS have identified and implemented mitigation strategies for mujor risks under the following ca*gorie$'. • Governance Operational Financial • Environmental . Compliancc. The straiKVlC report was approved by the trustees of the charity on 23 January 2025 and SIs￿ed on its behalf by: D Reid MCIOF Chair ond trustee Page 5

Lakeland Arts Trusteesl Report The trustees. who arc directors for the purposes of company law, present the annual report together with the ru]an¢ial sla¢¢m¢nts and auditors, T¢POrt of th¢ charilabl¢ Company for the year ended 3 l March 2024. Trustees And Officers The tn￿tee5 and officers serving during the Y￿ and since the year end were as follows: Trustccs: E M A¥il¢ (r¢si¥n¢d 7 O¢t(>b¢r 2023) M Benjamin A Black (appointed l March 2024) S A Crewe K M Howarth A Karwa E Keniley K J S Knight (appointed 24 November 2023) T A Leach (appoinied 7 October 2023) A M Lyles J Mottram PhD (resigned 15 April 2024) D Reid MCIOF G F Ry¢n)ft Ejscott N W R Thompson (resigned 7 Octobcr 2023) Chair., D Reid MCIOF Secretary: A Karwa C Kemiedy (resi￿￿ed 20 December 2023) Senior Management l Leadership Team: R Ha￿18 (resi8n¢d 17 July 2024) L Martins (appointed 17 July 2024) L Garrctt Hampson C Kcnncdy (rc&i￿d 15 December 2023) J Taylor-Hcys {appoint¢d 15 January 2024 and reSI￿¢d 30 May 2024) C James (appointed l October 2024) C Robinson (resigmed 2 November 2023) B Muir (resigned 31 March 2024) A Saczek (Tesigned I I Septcmbcr 2024) H Stall(er (appointed l April 2023 and resigned 31 January 2024) H Stsjker (appoinled l July 2024) Page 6

Lakeland Arts Trustees, Report Objectives Ictlvltles Objects andalms Omf Vifion Li to harness ihe power oj. culture olongside artistic crealivity, breafhtoh'ng landscape and rich herilage, to lrnnsform live,¥ and eniyeh COMM￿nities. We bring this vision tu lifc through exceptional museums, diverse collections. innovative programnllng and a passionate and knowledgeable team, all deeply rootcd in a strong sense of pla¢¢. Our work is firnily embedded in the local community and has a transforn)ative impact on the visitors and audiences we serve. Strategic ObJe¢tive&: In 2023-24 we entered the $e¢ond year of deliverin8 our mission, which is guided by four key objcctivcs. These objectives are essential to strengthcning Lakeland Arts, position as one of the most distinguished ¢ultural and heritage organisations in the North of England. StrYdt¢8ic Objectlve I: Curating and CarSng We are committed to developing and caring for our collections and fosieriny new ideas. ensuring that peopl¢ from all b￿C￿oUnds, both near and far, can ¢xplorc and dTaw in8pirntion frnm our world-class art and herilagc programme. Strateglc ObJe¢tlve 2: Reachlng Wlder We aim to broaden our Tcach by becoming better known and more acccs8ible to a diverse range of visitors. This involves clearly communicating who we are and lailortng our approach to altra¢t and engage varied audicnces. Strateglc Ohjettlve 3: Engaglng And Empowerlng We will Cultivate a culturc of care, respect and inclusion, placing pcoplc At the heart of our organisation. Our InuseunL4 arc spaces for storytelling, di8108ue and mcanin8ful exchang¢, encouraging debate and dLSCUS810n. Strit¢gl¢ Objeetlve 4: Suitainabl¢ and Reslllent We are building for the futurc by becoming a more dynamit, fmancially secure. environmentally r¢sponsible and socially sustainabl¢ urganisalion. Through these objectives, we Lonlinue to inspire, connect and contribute to our community while championing the unique cultural hcritage of Lakeland, Objectives, stra¢egie14nd activilles Our Actlvitie8 Context The year 2023-24 marked the beginning of a thrcc year National Portfolio funding agreement bclween Arts Council England and Cumbria Muscum Con80rtium (C.MC}, comprising of Lakcland Arts. Tullie and Word5WOrth Grasmcre. Additionally, the Consortium concluded thc final year of the Departmeni for Culture Media and Sport (DCMS) ￿llded the Helping Han&f projcct, a transfomativo two year iniiialiv¢ aim¢d at enhancing volunteering opportunities and fosterin¥ greater I￿lusiv1tY in Cumbria's arts and cultural sector. Page 7

Lakeland Arts Trustees, Report A significant focus during the year was building relationships with funders. including the Esmée Fairbairn Foundation and establishtng Abbot Hall as a landmark venue for innovative programming and collaborativ¢ partnership5. Like many other cultural organisations with a significant reliance on ihe tourisl economy, Lakeland Arts faced macroeconomic pressures, including inflation, which increased operalional costs and impacting consumer behaviour. To adapl, admissions pricing was reviewed acros$ museums in January 2024. Recruiting staff of a high calibre ¢ontinu¢d to prov¢ difficult post pandemic and the organisation Strnggled to shift from two to three open museums. As & result, the organisation sulY¢r¢d a higb staff attrition rate in 2023-24 and continued io depend more on freelance consultants throughout the year. Consumer confidcnce in 2023-24 rC￿￿]ned fragile, shaped by ongoing economic volatility and broader societal challenges. Persistent inflation and the rising cost of living led to cautious spending h&bit8, directly affecting visitor numbers and average spend per person. Recruitment challenges, a legacy of the pandemic, further compounded operational difficulties, as organi¥ations across the cultural seLlor, including Lakeland Arts, struggled to attrncl and retain skilled staff. High attrition rates and reliance on freelance consultsnts became th¢ nonrA, aff¢¢ting ¢onlinuity and team ¢ohesion. Additionally, workers. strikes across transport sectors, frequent flight and train ¢ancellations and extreme weaiher events disrupted travel plans, limiling a¢c¢ss for polenlial visitors. Tog¢ih¢r, th¢se faciors contribul¢d io a caulious conyumcr cnvironmcnt, whcrc unccrtainty curtailcd discrctionary spending and visitation pattcrns, which was felt acro88 the cntire county. Dcspitc thcsc substsntial challcngcs, Lakcland Arts succcssfully dclivcred an exccptional programmc, under￿Oring its commitment to providing high quality culturul experiencc5. Programmlng hlghllghts Exhlbltlong BLACKWELL Amy Williams, Unedrihed. January-June 2023 Starting off the 2023-24 programme year was Unearthed. a vibrant installation by Kendal-based visual artist Amy Williams, The instsllation celebrated ten extraordinary women through an oversized paper botani¢ gaiden insidc thc gallcrics at Blackwcll. Thc cxhibition featurcd local flora a8 8yThbols of remcmbrancc, fcmininity, resilience and resistsnce. Produced with local c¢Jmmunity groups Liver a Yix-month period, Unearihed illuminaled lesser known slories of Cumbrian women throughout history who brought about PM)5itive social change. Through a 8eries of workshops, Williams collaborated with locaL organisations to create a 'community garden. of smaller paper flowers and shared stories of exlraordinary Cumbrians. The project was supported by the paper mill James Cropper plc as well as the Westh)orland Arts Tn￿t F￿d via Cumbria Community Fund. Page 8

Lakeland Arts Trustees, Report Halima Cassell.. Reflectinxs. July2023-January 2024 Reflections show¢as¢d over 60 individual geometric xnd architeclural sculpturcs cascaded throughout the house, each handmade by Cas$ell in the eleven years since her first exhibition at Blackwell in 2012. The exhibition highlighted the artist's preparatory and making PTocess with sketchbooks, Collages, drawings. studio footage and Ilve demonstrations alongside the remarkable artworks. The exhibition explored connections bctwccn nature, material$ and craft, linking to the ethics underpinning the Arts & Crafts Movem¢nt. Cassell's work also demonstrated the significance vf symmetry in design, drawing and carving. cchoing thc Arts & Crafts Movement and many of the de8i8n elements of Blackwell, giving a nvd to thc upcoming exhibition by William De Morgan. Cassell spoke about her work and her pr￿¢$$ on film and in events at Blackwell. including a live demonstration. Local $¢hools and visitors to Blackwell were invited to create symmetrical drawings and collages inspired by the exhibition. Lorna Singleton, New Year New Mttker, January 2024 Every year we plarfonn contemporary makers from across lh¢ United Kingdom (UK) whose practi¢¢ champions traditional h8ndiGrufts that reflects the ethos of the Arts & Crafts Movement. This year we showcased Lorna Singleton, a basket weaver based in Grizcdalc, Cumbria. Singleton's craft is steeped in hcritagc and embraces the regional tradition of making swill or 8pelk baskets. She is one of the la$t two rcmaining swill basket makers in the UK rnaking hcr craft critically endangered. Singleton gTows and harvests the raw materials for her baskcls frum local woodland, a proces8 known as coppi¢in¥. Thc coppiced wood is soak¢d in large vats of watcr until the wood bccomes malleable. Tho wood 18 then ¢ut and shaved down to create equ#l width strands for weaving. A short (Lilcunicntary film was made of Singleton discussing her craft and creating work in her Cumbrian sttldio. Sublime Symmelry.. Iyilliam De Morgan, February 2024-ongoing At the end of thc financial year, the exhibition Sublime Symm¢ty.' Wllllam De Mnrgan opened at Bla¢kwell in partncrship with the rje Morg&n Foundation. Thc cxhibition featured 60 pots, tiles and vascs from the De Morgan Colle¢lion. includin8 exampleb of Dc Morgan's designs inspir¢d by anim415 and Islamic art. Suhlime Symmety looked bcyond the glazed surface of D¢ Morgan's ¢cramic5 to the math¢m&tical principles underpinning his work. The exhibition includcd a self-led educational guide for key stage two students and family activities exploring $ymmety in design. Curator and Director of the De Morgan Museum, Sarah Hardy. gave public talks and tours of the exhibition. WINDERIVIERL JETTY MUSEUM Forty Farms, March-June 2023 At the slarl of April 2023, Windemerc Jetty Museum had Forty Farnis on display, an exhibition by British Life Photographer of the Year, and Cumbrian famier, Amy Batema￿ Forty Furmy offcrcd a unique insight into the everyday lives, fears alld hopes of 40 extraordinary farniers, through pholography, products, film and words to reat¢ an inllnersive experience. A series of pholography workshvps and talks accompanied the exhibition. Page 9

Lakeland Arts Trnstees, Report LEGO Lake Ditslrict, July-oclober 2023 The LEGO Lake Districl display opened at Wind¢rnier¢ Jetty Mweum for summer 2023 for our family audience. The display includ¢d an impr¢$siv¢ ten squar¢ m¢tr¢ long rcpli¢a of thc Lak¢ District madc by LEGO bricks built by artist Jon Tordoff, highlighting the landscape of the Lake District in a unique way. The model feE4tured fells, woodlands, lakes and waterfalls and ¢onlAnued to grow during ils time at Windemere Jetty Museum. A family friendly truil was In1r￿lUC¢d Ihr(iu¥hvu¢ th¢ whol¢ mu5cum sitc to ¢llivura¥c visitt)r5 10 explore the lake shore. Alongside the display were daily self led a¢tivities, plus a series of work¥hops for families and enthusiasts of all ages, including Live Build sessions with artist Jon Tordoff. A family day fcaturcd local community organisation stalls and LEGO models from other enthusiasts including a detailed replica of Windemiere. Liiile LICAF, September-october 2023 Lakcland Arts partnercd again with Lakcs Intcrnational Comic Arts Festival to host the family section of th¢ f¢stival, Littl¢ LICAF. Th¢ family f¢stival aims to g¢t young people And their parcnts involved with comic arts by encouraging th¢m to 8¢t ¢Teative and giv¢ drawin¥ # ¥0. Displays were on show throughout the museum and Old Fire Station outbuilding, stslls and work5hop5 ran throughout the weekend to encourage drawing and feature artists, work a$ well as the f¢stival's work within local schools. JoL'elyn McGregor, Dredged, Octobcr-DLLcmbcr 2023 As part of our COn￿lisSi0nIng project for Arts Council England, local artist Jocelyn McGregor was asked to ¢r¢at¢ wurk i￿pIred by Windcrniere to be put on display at Windcrn)crc Jcty Muscum. The outcome w Dredged, a surr¢&l work which d¢lv¢d into th¢ sp￿¢ between nature and the human world, between land and water, dark and light in the context of the glob81 climate crisis. McGregor, an award-winning sculptor, ¢r¢ated anthropomorphic ¢r¢arures from salvag¢d materials. Working with the Dove Collage Po¢ls, McGr¢gvr ¢xplor¢d Cumbrian fvlklvrc #nd Ihc ¥lvri¢¥ b¢hind Ihc muscum's collection. Live perforn]ance8 and film brought the stories lo life. Microworld, Junuary 2024wonyoin¥ Inspircd by ccosyStcm8 and dcsigncd for all agcs, Microworld is an immersive di8lt&l play space that adapt8 to visitors as they interact with it. Microworld invites visitors to Atep into a surreal world where creatures and the visitor intsract wlth ¢ach other. Created by Genctic Moo and produced by Lumen Art Projecls, the installation has offered visitors of all ages an opportunity to play and consider their impact on the world around th¢m. ABBOT HALL Julie BrooK What ￿ it Thot Frill Lasl?, May-December 2023 Abbot Hall reopcned in May 2023 with an exhibition by British land artist Julie Brook. Ivhot ig li That Will The r¢opening exhibition spann¢d the entire art gallery and in¢luded rib￿ drawings and photography spanning decades and including Works made in the Outer H¢bride$. th¢ 15hikawa Prefecture, Japan and in Cumbria. The show fcaturcd thc artist's procc5s and painstaking labour in crcating large scale sculptural interventions in remote landscapes, expressing the invisible forces- gravity, time and tide- which govern our lives. Page 10

Lakeland Arts Trustees, Report The cxhibition was complemented by sevcral pieces from the Abbot HaIl collec1Aon includitig works by Frank Auerbacl4 Barbara Hepworth. John Piper. John Ruskin, JMW Turner and Elizabeth Frink as well as a new public sculpture created by Julie Brook at Holker Hall. Brook worked with Lakeland Arts to priKiuc¢ local schi)ol and community group workshops, gav¢ tours and spoke at events in the gallery including a Q&A event wilh Robert Macfarlane in ¢ollaboration with Kendal Mountain Festival. A b<M)k, What is it Thai Will Lasl? Land and ndal Art ofJulie Brook published by Lund Humphries was made to coincide with the exhibition. Ari Herbariiim, February 2024-ongoing Abbot Hall's most intimatc gallery presents an immersive exhibition of nature in art. displaying a selcction from our own rich collection. The light filled gallery gathers drawings, paintings and digital work depicting flora and fauna by artists including Winifred Nichol¥on and Percy Kelly amongst others. The quiet space off¢L8 Visitors a peacetul moment in nature to ¢ortsider biodiversity and its connection io health and wcllbeing. Porlrait Gallerles, Fcbruary 2024wongoing Setting a tone of welcome, inclusion and conversation, Abbot Hall's ground floor galleries connect visitors and local fVTnmunitics to our extraordinary colle¢tion. These galleries tell divenC Storics of pcople. their lived cxp¢rien¢es, conflicts and conllnonaliti¢s. Highlights Irom thc collection include Kurt Schwitter& Celia Paul, Hilde Golds¢htnidt, Lucion Frcud, Charn]ainc Walkiss. Stsnley Spencer, Joan Ewdley, George Romney and Victor Pasmore. Kendal based artist Lela H￿riS was invited to exhibit two of her works and supported the team with workshops for locol sludcnts. Gilbe.rÈ Spencer, Mor¢h 2024￿ngoIng Launching at th¢ very end of 2023-24, this exhibition, madc in partnership with Lis Llewel1￿ Fine Art, brought together (iilbert Spencer'y m&jor paintings for the first time in over 50 years. show¢asing his remarkable preparatory studi¢s and full range of illustrative art. The exhibition considered Spencer's staths within 20th century British modernism and ¢xamincd his work in th¢ ¢ontexl of the revival of the Brilish land￿ap¢ tradition. as well a5 Ihe important role he played in Ihe reinvi8oralion ofpublic mural paintin8. In 1940, Gilbert Spenc¢T was evacuatcd from London along with several of his students from Royal Colleg¢ of Art. They ￿rC scnt to nearby Ambleside where they became a ¢olourful preience in thc wartimc villa8e. A section of the exhibition focused on Spencer's lim¢ in Cumbria, developed in collaboration with locals Russell Mllls and Deborah Walsh, curator and author of Bohemians in FJhile.' The Royal College of Art in Ambleside 1940-1945. Claude Cahun, Beneath Ihis mask, March 2024wongoing This exhibition, a150 opening at the end of the 2023-24 year. featured the work of French photO8raphcr Claude Cahun (1 894-1954), whose Practice investigates gender and identity. This Hayw￿ Touring exhibition contains 42 Contemporary giclee prints made from scans of Cabun's Origin￿ photographic self portraits, as the majority of the negatives were 105t. The photographic series explores the artist's alignment to thc Surrealist movement, relationship with herself and gender and the subversion of traditional portraitur¢ after she fled Nazi occupation in Frdnce. Pagell

Lakeland Arts Trustees, Report Participation and lerdrning During the 2023-24 period, Lakeland Arts delivered a range of participatory projects across our sites and the wider community, engaging various stak¢hold¢rs through our legrning PTogramme. In totsl, we collaborated with: . Over 1,200 pupils through 36 school Workshops • Approximately 2,700 youn8 people and their familie$ throu8h infonnal learnin8 programmes Below are examples of the impact￿1 projects delivered durAng this period.. Windermere Science Festival For the ¥e¢ond year, Lakeland Art¥ parthcrcd with thc Windctmcrc Scicnce Festival, now held in May rather than March. This vibrant weekend event offered local schools, students, community mernbe￿, and visitors the hance io explore diveTse aspecls ol. science and discover the joy of Sciencc Tcchnology En8inccring Arts and Maths (STEAM) Icarnin8. Forge Feslival As a major partner in the three year Forge I*estival projecl led by The Knutted Pruj¢¢l 4md cu fund¢d by Arts CuunLiI England, Lakcland Arts providcd funding and pcrfornlance spaces to 8UPPQrt this initiative. The project addressed & gap identified through researu'h, which found thal yvung pevple 4¥ed 16-24 ID Cumbria fell a jack of crealive opportunities. Many partiLipants were neurudivcr¥cnl ur cxpcricnccd low confidcnce. Through workshops, they developed social connections, gain¢d confidence, &nd created original perforn)ance$ and music with 8uidancc from industy prof¢ssion81s. In April 2023, perfornwices were held at Windermere Jetty Museum, and preparation8 for the 2024 festival, focused on elimate justice And hosted ai Abboi Hall, began in Febnw 2024. The Land Wilhin This parti¢ipatory projcct cngagcd primary agcd S￿dents from Kendal in a series of workshops inspired by the artwork of Channaine Watkiss. Year 5 and 6 students created s¢lf portrait pholo8raph$ ¢xploriJ)8 th¢m¢$ of identity. ancestry, and nature, infornKd by Watkiss. exploration olthe transatlantic slave trade. Follow up workshops in 2024 extended the programme into thc gallery space at Abbot IIall and fornied the basis of its long tenn school programme. CliMAR T CliMART empowered young people across Cumbria to explore art as activism, focusing on climate justice. Lakeland Arts pannered with organisations including Cumbria Development Educution Centre's (CDEC) Young C1]n￿le Leaders progranlllle, Cumbria Action for Sustainability (CAtS) Climate Café, and the South Lakes Youth Di5ttict Council. As part of the project, young people participat￿ in zine making workshops, where they expressed their views on climate i55ucs and the human impact on the planet. Page 12

Lakeland Arts Trusteesl Report MAR Tcrealives This initiative airned to establish long terni Creative partnerships with schools in Cumbria, enriching their cU￿1culuM by engaging with Lakeland Arts. collection. Participating schools experienced-. Self guided visits to IAkeland Arts. sites Hands on workshops inspired by the collection4 held both at Blackwell and in schools An exhibition of stud¢nt work ut Blackwell In 2023-24, MART Creatives included Our Voice, an cxtended ¢ollaborative project involving Sthdents with Educational Needs (SEN) from S#ndgatc School in Kendal. MEND MEND is a community focused inilialive bringing crcative activities to rural villages. tackling isolation, and raising awareness of arts and heritagc. Using ihe MEND van, Lakeland Arts participated in evenls such as: Stealing Thunder Storytelling Festival • Baffow Festival of TrJn5PUrt K¢ndal Pridc Fcstival. These diverse proje¢ts ex¢mplify Lakeland Arts, commitment to fostering creativity, inclusion, and engagement across the region, Coll¢¢tion$ xnd D15plays Atqulsltlon$ There were six acquisitions into the Lakeland Art8 collection: l. 'Dobbin' a carved wajnut rocking horse by Harry Simpson, donated by Christopher Solomon, June 2023 2. 'Betwecn Two Suns, a painting by Lela Harris, purchased January 2024 3. 'Rosina' a drawing by Lela Harris, purchascd Januory 2024 4. 'lris' an electric launch build by Tirn Hayton, donated by the Keswi¢k Launch Company, F¢bn￿ry 2024 5. A children's chair by William Birch Ltd, donated by Shei18 Files, FcbTUAry 2024 6. 'The Sow¢r' a painting by Alec Kam. donalrd by thc latc Eve1￿ KaTn, with Art Fund Support, March 2024 Coll¢etlon Items IoADed out Exblbldon Loan¥ Outgolng (England) Borrowlng In5tltutlon Qugntlty MIM& Middlesbrough Arniitt, Ambleside TOTAL Exhlbltlon Loans Outgolng (rest of UK) Borrowing Ioslltutlon Quantity Non¢ TOTAL Exhibltion Lo4ns Outgoing (lllternatlonal) Borrowing Instltutlon Quantlty TOTAL Page 13

Lakeland Arts Trnstees, Report Collecdon care and documentatlon . An interim collection Luralur wus in post from August 2023 to Fcbrnary 2024, following thc departure of our previous collection curator. A new Pern￿nen( collections mana8er came into post in May 2024. Th¢ Curatorial t¢un] began a John Ellennan funded project to audit and rationalise the social history colleclions of the Lakeland Muscum, and a numbcr of Lakcland Arts. storage units, with the assistance of 0¢¢88ional volunteers. This WOTk is ongoing, but around 150 objccl records have been updat¢d on Modes. The curY4torial am Gontinued to undertake regular conservation cleaning &t Blackwell and Windern]ere Jety Boat collectlon conservatlon Wc continuc to dcvclop spccialist maritime heritage conservation ski118 at Windcrn)eTe Jetty Museum. Throughout 2023-24 the team has maintained Lakeland Arts. outdoor, floating and operating fleet and has continued with dedicated projects to conserve and restore specific boats from ihe collection. The project work has included., Rccuvcry and conscrvation of the clectric launch Iris (circo 1905) Fabricating and instAlling a movable cradle for SL Fsperance Filting ¢xhausls and windscreen to racing hydroplane K184 Reconditioning and Lumrniysioning a SissLint cnginc (circa 1902) for SL Osprey Commis8ioning a boiler for SL Lady El￿abeth (circa 1900) EarDed Income The commercial a¢tivili¢$ of Lakeland Arts are managed by Lakcland Arts Enterprises Ltd, the charity's wholly owned trading subsidi&ry. This entity undeTtskes all non primary charitable operalions, donaling 118 nel incumc lo the charity annually. Efforts to increase Commercial revenue continued through retsiL caiering, and private hire while trialling new income stream5 such a5 weddings, film location hire. water ￿ctivItieS and commcrcial boat work. Howcver, limited funds for testing new initiatives resulted in growth insufficient to offset broader organisational challenges. Exhibitions like Forty Farms and the LEGO Lake District display attracted higher adrnissions, contributing significantly to earned income, despite lower than expected tourist number5 in the Lake District,. Earned income from Lakeland Arts EnteTprises inCre￿d to £1.049M in 2023-24 compared with 2022-23 which was £764K. Herltage bo*t trlpi Daily boat trips. operating from April through October 2023. were conducted ex¢lu$ively aboard Penelope Il as major boiler and engine repairs wer¢ carried out on Osprey. These trips remained popular, welcoming over S.3{￿ passengers and accommodating an additional 20 exclusive charters. Winter operations focused on private hire due to staffing challenges and escalating filel costs for both vessels. Despite th¢s¢ hurdles, h¢TitAg¢ boat trips 8¢nwatd a net income of L47,646 for the year. Page 14

Lakeland Arts Trustees, Report Caterlng Staffing shortages and significanl food intlativn posrd cball¢ngcs for catering operations across all sites. Nevertheless, progre88 was made: • At Windernxre Jcty Museum, new ¢quipm¢nt was Intr￿ul¢￿ and scasonal mcnus wcrc implcmentcd at the L4keshore Cafe, inwrovin8 serrfice and flexibility At Blackwell, a r¢du¢ed offer was introducd due to staff capacity limitations, providing an opportunity to reassess 8nd relaunch in 2025 . At Abbot Hall, the Creative Space and Coffee Bgr opened in May 2023 with a simple menu of bot drinks and baked good% with plans to expand based on demand, Overall. 2023-24 catering income wa8 £700K an increase in comparison with 2022-23 which was £537K. Retill Retail operations, both in person and online, continued to grow. albeit more slowly than anticipated. Product ¥elcctions were aligncd with the curatorial programme, drtving increased sales during exhibition5 such as Forty Farnis and LEGO Lake District. Retail outlets were also reintroduced at Abbot Hall, complementing its r¢openin8. Retail incorne overall was £237K in 2023-24 a small increase in comparison with 2022-23 which was £213K. FJvents and prlvate hlre L4keland Arts hosted various events, including Ihe Model Boat Regatta, Lake District Summer Music Fcstiv&l. and Blackwell's popular Autumn Craft Fair. A wedding license was secured for Windennere Jelly Muscum in 2023, facilitating small weddings. Privhte celebrations, corporale meetings, and workshops. Thc vcnuc was a180 used as a film location for Several produclions throughout the year. Partnership$ with lo￿] organisalions, such as Stride und Edgc Yoga and Total Adv¢ntur¢ Cano¢ and Kayak Hire, provided additional Cngagcmcnt opportunities for visttors. CommerclAI boat ¢onservatlon Leveraging herita8e skills, Lakeland Arts undcrtook 8evctal high profile conservation projects, including: . A 3D digital model of De Wadden for National Museums Live￿001 . Condition surveys of Herbert L¢igk for Barrow Town Docks Museum Restore and install clcctric propulsion to Motor Launch Borwicb for private customer . Visual structural survey of the WWII rescue motor launch RML497 for National Museum of the Royal Navy . Repair of SL Gondola's gunw41es lor the National Trust Visltor experience The visitor experience *am focused on enhancing engagement through improved communication, ticketing systems, and regular tr8inin8. Key initiative8 included: . Introduction of daily tours and talks al Blackwell . Recruitment and training of stsff and volunt¢er.s for Abbot Hall's reopenll • Transition to rolling training sessions covering hygiene, allergen awarenes& Gift Aid, and new EPOS systems Page 15

Lakeland Arts Trusteesl Report Volunteerillg Lakeland Arts completed the fmal year of the Helping Hands proj¢¢t, fost¢ring inclusivity, increasing workforce div¢rsily. and addr¢ssing isolution Cumbria. With Abbot Hall's reopening, Lakeland Arts welcomed approximately l On volunteers, many returning after the gall¢ry's thre¢ y¢ar hiatus. Volunt¢¢rs play a vilal rol¢ in ¢nhan¢ing vtsilor ¢xperi¢n¢es and gathering f¢¢dba¢k Their contributions were invaluablc during this transf0m￿tiVe ycar and we are extrcmcly apprcciative of all that they do. Ralsed Income Lakeland Arts, as a member of Cumbria Museum Consortium, completed the first year of the new funding period 08 a National Portfolio Organisation (NPO) to Arts Council England. Lakeland Arts is grateful for thc donations, gTants and spon¥orship we receive from all thc individual¥ and organisations who support us. The support meaAs we are able to continue our worK helping u8 to conserve our Grade I lisled buildings, care for and develop the Trusl's collections, promote world class art and heritag¢ and deliver excitin8 exhibi1ion and learnin8 pro8rammes. Lakeland Arts wou]d like to sincerely ihank all ihe individuals and organisaiions mentioned In this reporL and all those who with to remain anonymous. A new fundraising strategy Nva8 agryeed l)ecember 2023, aligning with the new creative vision for Lakcland Art £835K wa$ rais¢d in th¢ y¢ar ¢ndin8 31 Mar¢h 2024, r¢pr¢s¢ntin8 30/0 of our ov¢rall income in 2023-24. Valuublc support Larnc from a Tan8c of sourcc& including individual donors. trusts and foundatio￿, ststutory fimders and COTPOTate OTganisations. Lakeland ATts continues to Teceive support from OUT Membcts, Patrons and Benefactors, raising & totsl of £75K in 2023-24 from membership schemes. Westmorland & Furne88 Council and Kendal Town Council continued to support programme activilies. In 2023 wc bcgan a mulli year partnership with funder Esmée Fairbairn Foundation via Ihcir Collcctions Fund. The projeci aims to support thc organisation's transition into chang¢making through Abbot Hall a8 a fl4g8hip for innovation. Other restricted funding to 8UPPOrt speeific proje¢t8 and activitie8 included grant8 from the John R. Murray Charitable Tn￿t, the Sir Nicholas Goodison Award, the National Lottery Heritage Art Fund, th¢ Ivolfson oundation and DCMS. the JOI￿ Ellennan FoundatioN th¢ Lucy Groupi the GF Arniita8e Charitable Trus( the Wes¢moTland Art5 TnLSt. the Midwood McTuTk Trust. The Blackwell Loan Agreement, dated 7 November 2023, fornialises a l()an arrnngement between The Lakeland Arts Trusl (tKnd¢r) and Lak¢land Arts (Borrowcr), both register¢d ¢harilies operating out of Abbot Hall Art Gallery, Kendal, with Lakeland Art5 as the sole ¢OTporal¢ trustee of the Lakeland Arts Tru51. UDder the a8rc￿nCnt, thc Lcndcr has advanccd £125,478.25 to thc BoTrowcr, drawTr from thc rc5trictcd Blackwcll Endownent Fund in accordance Thith Charity cOn￿nIsSion guidelincs. The loan is intended to fund repairs and maintenance of Blackwell, & property 0￿￿ed by th¢ Lender and utilised by the Borrower for income generation and charitabl¢ activities. The &greement establishes a 19-year repayment schedule with monthly in5talments be8innin8 November 7. 2024. following a one-year payment holiday. Interest is a¢¢rued at 7.40/0 per annum on the outstanding liabilities, with a final paymeni date in November 2043, there are no penallles for early repayment. M&rketlng and CommunlcAtlons Macroeconomic factOTS continued to sigDiliraDtly in￿￿¢t visitor behaviour such that a r¢turn lo pre pand¢mi figures SeeTr￿ likely to take longer than anticipate￿ requiring & greatly improved fin4ncl￿ climate both 1ntsn￿tl0llal1y and in the UK. While ihere was some ￿Owth in internaiional towism in 2023-24, the majority of surveyed visitors came from a much shorter distance within the North of England and Scotlan Page 16

Lakeland Arts Trustees, Report The Marketing and Communications team relied on freelat￿t support throughout the opening of Abbot Hall in May 2023 but was reduced further in size in December 2023. in response to increased oveTheads and lower than anticipated income. The team continued to prioritise high quality graphic design, illustration, photO8fdphy and video ¢0 capture all a8pe¢ts of both charitable and commercial ar¢as of worL Widening Ihe range of mark¢ting matcrials and audiences, parlicularly digitally, has increased undersLqnding of new audience potential and visitor interest. The team expanded digital advertising, national media and local partnership marketing and lookd toward improvtng systems in prepaTation for future focus on email, digital and search engine marketing in 2024-25. Standard78ed Arts Council England surveys were rolled out to all three open mus¢um$ in November 2023. Capltal projects, bulldlngs, and estatei Abbot H911 Tn May 2023, Abbot FIall reopened following a significant closure period for es¥ential repair5 and upgrades. The work, managed by South Lakeland Dis¢ricl Council (now Westmorland & Furness Council) 2$ the building's 0￿Cr, included.. . Electrical sysiem upgrades Instsllation of a ncw heating system Replacement of ihe fire alami system • Trlood defence measures Inicrnal and external redecuration These improvements have modernised the 8allery while ensuring its re#diness for futurc programming. Lakeland Museum L&ikcland Muscum rcmains closed as ￿rther planning and consultation Continue for subsequent phases of the wider Kendal site masterplan, which includ¢8 Abbot Hall. Blaekwell Essential roofing repaiTY were completed on the east gable wall at Blackwell following Listed Building Consent approval. These ThDrks included: Replacing lead flashing and a decayed timber rafter Re flaunching and re rendering the n¢are$t ¢himney stsck Adding a lead capping lo the parapet wall • Installing Icad trays Abovc first and second flo(Ir windows and tap¢ring sills to prevent water ingress • Restoring the second floor window, whlch was found to be in poor condition. Thes'e repairs have si¥nificantly mitigated water ingress in this Part of the building, infonned the rate of deterioration for remaining gables, and provided evidence to support funding applications for further conseTvation efforts. Wlnderniere Jetty Museum Winter 2023-24 posed challenges at Windern]ere Jetty Museum due to issues with the lake source heat pwiip system. Repair.8 in November 2023 were unsuccessfid, leaving the system operational with only (me of th¢ iwo heat exchimgers. Further issues over December and January resulted in thc 5y5tcm bcing tUTncd off entirely as neither heat exchanger could maintain pressure. Discu&8iOllS With our insurers continue. Page 17

Lakeland Arts Trusteesl Report Property updgtes . The Ferry Nab property was vacated and thc lease surrendered ￿ the owner in September 2023 9 aDd I I ChuTGh Walk (collectively known as the Old Grammar School) were sold at auction in November 2023. wilh th¢ sale cornplctcd in Dcrcmbcr 2023. These property adjustments have helped streamline operations and align estate management with stralegic goals. Fundr￿SIng disclosmres As Rn accredited museum Lakeland Arts adher¢s to the Museums Association Code of lithics for Mus¢un￿. The Code defines the eihical prin¢iple¥ which guide museum praLli6¢ and undLYpin policy and pra¢ticc rcgurding the dcvclopmcnt of museum ¢olle¢tions. An ethical approach to museums also underpins the Accreditation Standard. This Code Supports museums, those who work in and with them, and their governing bodies in re¢o8Dising and resolving ethical issues and conflicts. It scl?• Out kcy cthical principlcs and ihc sUPPX)rtin8 actions that museums should tuke to ensure an ethic￿ approach to their work in relation to their Audiences. local communities. donors. source comtnunities, panner orgaDisalion5, sponsors and funders. Lakeland Arts is an organisational member of the Museum5 Association. Lakeland Arts has a s¢1 of policie5 thal ensure we implernent and adhere to the Museums Associalion Cod¢ uf Ethics, including in relation to donor¥ and fund¢rJ. The￿ inrludc uur Privacy Policy lind ￿r¢gu￿rd1n¥ Childrcn and Vulncrable Adults Policy, which applies to all staff, tn￿tee8, v(Jlunteerg, and contractors, and out how we would r¢¢ognise and deal with incidents of suspected financial abuse. During the year Lakeland Art8 did not contract professional fundraisers from a third-paty business to carry out fundraising on its behalf, In the current year Lakeland Arts did not receive any complaints al)out aetivities by the charity or by a person on behalf of the charily for the purpuse or rund-rai¥in¥. Benefaetors and Patroni Benefaetor$ (as at 31 M￿h 2024): Mrs J Ambler Mr T J R Harding and Mrs P Harding Mr J Hudson and Mr$ N Hudson Dr A C l Naylor and Mrq M Nayl()r Mr J S Rfftnk and Mrs E Rink Mr M Southem ond Mrs L Svuthmi DrJPLWelch Mr8 J Wood Page 18

Lakeland Arts Tru$tee$' Report Patrons (as at 31 March 2024): Mr C H Bagot ind Mrs S Bagot MBE Mr J Barradell and MT5 M Barradell MT J Campbell and Mrs S J Campbell Mr D Cas¢ and Mrs A Case Mr C W Crewdson OBE and Mrs V Crewdson SIT James Cropper KCVO Mr W Dufton and Mrs R Dufton M8 W Ellis Mr N J Flcming and Mrs S C Fleming Mr J Forsyth and Mrs B Forsyth Mr M Gibbon and Mrs L Gibbons Mr R Hasell-mccosh and Mrs J Hasell-McCA18h Miss S Keegon Susan. Lady Kimb¢r Mr J Lcc and Mrs H Lee Mrs C Lomas Whittle Mrs D Matthew5 Mr J Nicoll and MS L Colchester Mrs J Rayner Mr F A Scott DL and Mrs S Scott Sir Christopher and Lady Scott Mr J H TO￿￿n Mr J Velnowelh and Ms D Reid Mrs M Warburton Mr J N C Woodhouse Mr C. Woodhouse CVO Mr P M White and Mrs V Whitc And all those who wish to remain anonyThous PHbli¢ benefit Lakelllr￿ Arts is dedicated to rnakin8 a meaningful 8nd lasting impact on the communities it serve8 by providing ac¢ess to culture, creativity and heritage. The organisation ensures that 115 vcnucs, collections and programmes enrich lives, inspire learning and fost¢r wcllbcing. Abbot Hall opened as an art gallery in S¢ptemb¢r 1962, as home io an outstanding art LulleLlion and a dymamic exhibilion programme. In 1971, the Lakcland Museum (fornierly the Museum of Lakeland Life & Industy) was established within the coach house and Stable block at Abbot l.l&ll. The museum holds an extensive collcction that cclcbrates the social and industrial history of the Lake District and Kcndal. Blackwell _ The Arts & Crafts EIouse, a Grade I listed building with Sweeping views over Luke Windern]ere, opened in July 2001. Designed by MH Baillie Scott and completed in 1900, Blackwell is one of the UK'S most signifi¢ant Arts and Crafts houses, renowrled for its historic and contemporary craft exhibitions. In MarcF, 2019. the Windcrn]ere Jelly Museum was inauguratcd. offcring a world clas% m￿seuM experience #nd attracting visitors frorn across the globe. Throughout its a¢tivilie5, Lakeland Arts prioritises a¢cessibility. l¢arning and inclusivity. ensuring its prO￿￿amnWS and venues benefit & wide range of audiences, from local ¢onYnunities to nitional and international visitors. Page 19

Lakeland Arts Trustees, Report The tru5tee5 confirni that they have complied with the requirements of Section 17 of Ihe Charities Act 2011 to have due regard to the public ben¢fit guid￿¢¢ published by the Charity Con]mission for England and Wal¢8. Structurei govern4n¢e and management N4thre ofgoverhinx document Lakeland Arts operates as a ¢harilable company limitL'(I by guarantcc and is registered as a charity. The organisation was established to rnodernise the 8ov¢rnan¢e of the Lakcland Arts Trust, an unin¢orporat¢d trust founded in 1957 to save Abbot Hall and transfomi it into an art gallery. The ch&ritable company, govemed by its Memorandum and Articles of Association, assumed respon8ibility for the operations of the Trust on l Augu$l 2013. Th¢ Trust's fimd4 assets, and liabilities were transferred to the Charilable company, whiLh cuntinucs to operate the venuex and manage redevelopment projects, such a8 Windcmicrc Jetty Museum. The TnL8t itself retains the Blackwell Endowment (a pernwnenl cndowmcnt) and the collections, which ar¢ loaned to the charitable company. Thc Board r¢8ularly reviews 118 performance against th¢ Charity Gov¢rnance Code ro entsurc strong and effective governa￿¢, Reernltmeni ahd appolntment of trumlees The Trustee Succession Planning Committ¢¢ ov¢rs¢¢s th¢ recruitment 4nd ¥ucLestiion of trustccs to cnsure the board maintains the skills, div¢rsity¥ and expertis¢ r¢quircd to ¥upport Lakcland Arts. This committee identifies upcoming vucancies, defines the ykills nccdcd and recruits through method5 such as advcrtising. recommendatio￿ or Tccruitmcnt platforn￿. K¢y $￿p3 in the trustee recNitment process include.. Reviewing trustee retirement schedule8 Idenlifyin¥ skill¥ nccL55ary for the organi$ation's gromrth and success . Con8id¢ring candidates who align with Lakeland Arts, commitment ¢0 diversity and inLlusion Interviewing candidat¢8 with the Lhief Ex¢¢ulivc Officcr, Chair of Trustees, and a committee memb¢r. Rccommendations are Approved by the su￿¢S810n Planning Committee and forn￿llY endorsed by the Board of Trustees. OryanLf411oA41 slpmctsre The trustees of the charitable company also serve as its dir¢¢tor¥ undcr charity law. The Board of Trustees, comprising six to 15 members, meets regularly tu ovcrscc strntC8y, policy. and operation8. At ihese n￿etings, the tn￿te¢s. • Dcfinc the charitable company's strategic direction and policy framework Monitor financial policies, reserves, risk managemtht and perforn￿nce * Set remun¢ration for key managcment personnel using industy benchmarks. Tn￿tee8 appoint aTJd oversee investment managers, Currently Sarasin & Parkncrs LLP, to implcmcnt IAkeland Arts. Investment strategy. D¢lails of key rnanagemeDt personnel remuneration and exp¢nse$ are dis¢losed in ihe noles lo the accounts. Trustees are elected during the Anllual Gen¢ral Meeting, as stipulated in the Articles of Association. Those who served during the y¢ar and since year end are li5¢ed in the Charity inforn]ation section. Page 20

Lakeland Arts Trustees, Report Relationships wlth relAted p#rtie8 Lakeland Arts Trust Lakeland Arts acts as the sole Iruslee of Lakeland Arts T￿￿t. which holds the organisation's ¢olle¢lions and manages th¢ Bla¢kw¢ll EndO￿nent. For accounting purposes, Lakeland Arts Tn￿t is treated as a 8ubstdiary of Lakeland Arts. L2kelgnd Arts Entcrprlses Llmlted Lakcland Arts Entetprises Limitrd is the wholly owned trading subsidiary of Lakeland Atts. Together, Lakcland Arts, Lak¢land Art5 Trust, and Lakeland Arts Enterpri8e8 Limited comprise the Lakeland Arts Group. working collaboratively to support th¢ charitable mission. Lake12nd Arts Support Trust Fornied in 1998, IAkelllnd Arts Support Trust is an independent charity established to generate income in support of Lakeland Arts. with a particular focu.8 on th¢ Abbot Hall site in Kendal. As it operates under cparatc board of trustees, it is not part of th¢ L¥k¢land Arts Group. Westmorland & Furness Coun¢ll Since its forniation on l April 2023, Westmorland & Furnes5 Council has been a key partner of L8keland Arts. The Council owns Ihe Abbot Hall buildin8 and provides an arniual grant to support the charity's operational costs and pro8rarnm¢ delivery. Flnanclal Instrnments 0bJeerfVe￿ dndp&ll¢lés The activities of Ihe L4kel&nd Art?* Group expos¢ it to a range of finan¢ial risks, in¢luding thosc related to fluctuating visitor S￿ndin& cosl prcssurcs, investment perforn￿nee, 8nd broader cconornic challen8es such as inflation and post pandemtc recovery. Oversight and managem¢nl of these Tisks are the responsibility of the Finance Committee, with trustees receiving regular updates on the organisation's financial position, Credit rtsk Thc ¥roup's principal financial assets include bank balance5, catyh, tradc rcceivables. and investments. Credil risk is minimal, as receivables are largely compriscd of secured grants. Liquid funds are held with hi¥h crcdit rated banks, ensuring security and stability. Page21

Lakeland Arts Trusteesl Report Statsment of trustees, re$ponslbllltl¢s The trustees (who are also the directors of Lakeland Arts for the purposes of company law) are responsible tor preparing the trustees, r¢port and the financial stat¢nKnts in accordance with applicable law and United Kingdom A¢¢ounling Slandards (United Kingdom G¢nerally A¢¢epted Accounling Practice), including FRS 102 'The Financial Reporting Standard appli¢abl¢ in the UK and Republic of Ireland" Company law requires the tn￿teeS to prepare financial statements for each financial year. Under company law th¢ tnLStees must not approve the fin&n¢i&l statements unl¢ss they are satisfied that they give a true and fair view of the state of affairs of the parent Charitable company and the group and of the incoming resources and application of resources, including its incomc and cxpcnditure, of the charitable group for that period. In preparing these finan¢ial ststements, the tr￿teeS are required to.. select suitable accounting policies and apply them consistently, observe the methods and principles in the Charities SORP; make judgem¢nts and estimate8 that are reasonable and pnmknt. stsl¢ whether applicable accounting standards. comprising FRS 102 have bcen followc4 subjccl to any material depArtures disclosed and explained in the financial statements. and prepare the fll]anci&l $tat¢m¢nts on the 80ing concern basis unless it is inappropriate to pre8iinie that the parenl chaTitable company will continue in business. Th¢ trusiees are responsible for keeping proper accounting records that can disclosc with reasonable accuracy at any time the fmancial position of Ihc parcnl charilablc company und the group and enable them lo ensure that the financial statements comply with the Companies Act 200C). They are a150 responsible for safcguarding the as¥ct¥ of Ihc parL'nt Lharilable cvmpuny and the group Jnd hence for taking reasonable steps for the prevention and detection of fraud and other irregularilie8. The trustees are responsible tor the maintenance and in*grity of the corporat¢ and fmaneial Inforn￿tIOn included on the charitable companys website. Le8islation 8overnin8 the preparation and dissemination of finan¢ial statements may differ from 1¢8islation in other jurisdictions. Dl8elosure of Infomatlon to audltor Each truslee hail tsk¢n $t¢ps that they oughi to have taken as a I￿stee in order to rnake themselves aware of any relevani audit inforn)ation and to e.qtabligh that the charity's auditor is awarc of that infurnution. The trustcc confm that thcre 15 no relevant infornwtion that they know of and of which th¢y know the audicor is unaware. The annual report was approved by the tntstees of the chariry on 23 January 2025 and signed on its behalf by: D Reid MCIOF Chair and trustee Page 22

Lakeland Arts Independent Auditorls Report to the Members of Lakeland Arts Opfrnlon We have audited the fjnancial ststements of Lakeland Arts (the '¢lwitable parent company.) and its subsidiaTies (the 'group') for the year ended 31 March 2024, which comprise the Cornsolidated Statement of Financial Activities. Consolidated Balance Sheet, Balance Sheet. Consolidated Sta*ment of Cash Flows and Notes to lh¢ Financial Statements, including a summary of si8nifi¢ant accounting policies. The fmancial reporting framework that has been applied in their pr¢para¢ion is Unitcd Kingdom Accounting Standards, comprising Charities SOR￿ - FRS 102 'The Financial Reporting Stsndard applicable in the UK and Republic of Ireland, and applicablc l¢lW (Unitcd Kingdom Clenerally Accepted Accounting Practice). In our opinion thc financial statements: give a true and fair vicw of the state of the group's and parent charity's affairs as at 31 March 2024 and of its incoming re8our¢e8 and application of resources, including its income and cxpcnditure. for the ycar then ended; have been properly pr¢pared in accordancc with Unitcd Kingdom Generally Ae¢¢pted A¢¢ounting Pwtice. and have been prepared in accordance with the requircments of the Companies Act 2006. B9$18 for oplnlon We conducted f)ur audit in accordance with International Siandards on Auditing (UK} (ISAS (UK)) and applicable law. Our responsibililie¥ undcr Ihosc standard8 are further described in the auditor responsibilities for the audit of thc financi81 statcments section of our report. We are independent of the group in ac¢ordancc with th¢ ethic81 requiremenls that are relevant to our audil of the financial statements in the UK, including the FRC'5 Ethical Standard, and wc havc ￿lfilled our other ethical responsibilities in a¢¢ordance with the￿ requir¢ments. Wc bclicvc that the audit evidence we have obtain¢d 1$ sufficient and appropriate to providc a basis for our opinion. Materlal uncertalnty related to golng ¢on¢¢rn We draw attention to Note 2 in Ihc financial statements re8arding going ¢on¢em. Thc charitable group incurred a n¢1 d¢fi¢it of£535.791 during the year ended 31 March 2024 of which £484.448 relatcd to unrcstricted fjjnds resulting in 4 deficit on unrestricted funds 01 £433.534 and, a8 of that date, the group's current Ilabilities exceeded ils lutsl asscts by £51.728. As explained in Note 2, th￿C results have been oused by particular cvcnts in thc ycar but this does indicate that a material un¢ertainty cxists that may cast SI￿lficant doubt on the group"& ability to continue as a going concern. The group does hcTilagc assets worth approximately £63m which are not on the balance sheet (notc 17). Our opinion is not modified in respect of this matter. Page 23

Lakeland Arts Independent Auditor's Report to the Members of Lakeland Arts Concluslons relatlRg to golng concern In auditing thc financial statements, we have conclud¢d that the trustees use of ihe going concern basis of accounting in th¢ pr¢paration of the fJllanGial statements is appropriate. Based on the work we have p¢rfornJed. we have not identified any material uncertainties relating to events or conditions that, individually or ¢olle¢tively, may cast significant doubt on the group's ability to conlinue as a going concern for a period of at least twelve ￿KInthS from when the original finan¢iaL statements wer¢ authorised for issue. Our responsibilitiey and ihe responsibilities of th¢ Iruste¢5 Wlth Te8pect to going concern are described in the relevant sections of this report. Other Information The trustees urc rcsponsiblc for thc oihcr inforniation. The other inforniation comprises the inforniation included in the annual report. other than the financial siatements and our auditor's report thereon. Our opinion on the fllwicial staiements does not cover the other inforn￿tIon and, except to th¢ ¢xl¢nt otherwise explicilly sla*d in our report, we do not express any forni of assurance conclusion thcreon. In connection with our audil of Ihc fIn&￿'la1 statcmcnts, our rcsponsibility is lo read the other inforniation and, in doing 80, consider whether the otheT infoTmaiion is materially inconsistent with the financial ststem¢nt$ or our knowledge oblain¢d in the audit or othenvise appears to be materially misstst¢d. If we identify such material in¢onsistencie5 or apparent tnaterial misstatements, we arc required to dctcrniinc whcthcr thcrc is a material mi¥¥l&temcnt in thc fJnAncial statcmcnts or a material misstaternent of the other infornlalion. If, based on the work we have perfornied, we ¢oll¢lud¢ that thcre is a material misstatcmenl of this other inforniation. we are required to report that fact. We have nothing to report in this regard, Oplnlon on other matter pre$erlbed by the Companles Aet 2006 In our opinion, based on the work undertaken in the course of the audit., the intornmtion given in the Strategic Report and Tr￿t¢￿' Report for the financial year for which the financial statements Are prepared is consistent with th¢ fJnan¢ial statements. and the Strategic Report and Tn￿tee8, Report have been prepared in accordance wilh applicabl¢ legal requircmenls. Matters on which we aro r¢qulred to report by exeep¢ioR In thc light of our knowlcd8c and understanding of the 8roup and the parent ¢haritable company and its environment obtained in the course of the audit, we have not identified n￿terial misstatements in Ihe Strategic Report and the Trustees, Report. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to Teport lo you if, in our opinion.. dequate and proper accounting records have not bcen kcpt by the parent charitable company. or returns adequate for our audit have not been received from branches not visited by us. or the parent cbariLqbl¢ company fmancial statements are not in agr¢ell￿nI with the accounting records and certain disclosures of trustees remuneration specified by law are not made" or we have not received all the inforn￿tion and explanations we require for our audit. Responsibilities of trustees Page 24

Lakeland Arts Independent Auditor's Report to the Members of Lakeland Arts As explained nlore fully in the Stalement of trustees, responsibilities (set out on page 22), Ihe trustees are r¢sponsible lor the prepardtion of the financial statements and for being satisfied that they givc a true and fair view, and for such internal control a5 Ihe trustees deterniinc is nccc5Sary to enable the preparation of financial Statwnents that are free from material misstatement, whether due to fraud or error. In preparing the finan¢ial stsfrments. the tTUStees are responsible for assessing the ¢h8rity's ability to continue as & going Con¢¢￿ disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend io liquidate thc churity or to cC￿e operations, OT have no realislic alternative but to do so. Audfttor respon51bllities for the wudlt of the flnaDclal statements Our objc¢tive5 arc to obtain reasonable assurance aboui whether the financial statements as a whole are free from material missiatement. whether due to fraud OT crror, and to issue an auditor's report that Includes our opinion. Reasonable a55urancc is a high level of &qsurance. but is not a guarantee that an audil ¢onductcd in ac¢vrdancc with ISAS (UK) will always de￿t a material misstatemenl whcn it cxisls. Mis8talement8 Can arise from fraud or error and are considerLd matcrial if, individually Dr in the aggregate. they could reasonably be expected to influ¢n¢¢ the e¢onomic decisions of users tsken on the basis of tbe8¢ financial stalernents. The extent to which our procedures are Capable of detecting irregularities, in¢luding fraud is det&iled below: We identified areas of laws and r¢gulutions that could rea8onably be expected io have a material elTccl on the financial 5lalemLnls from our experience and from discussions with managemenl. W¢ r¢vi¢wcd any related Vrycspondence 8nd records of trnstee meetings lo assess compliancc with laws and re8ulation8 and discussed the turrent position with management. Wc cnsurcd the audit tcam were alert for any indiGations of non-compliance throughout thc audit work. We revie,wcd n]atcrial journaIs proce¥¥ed in thc charitablc companYs accounting sofhvAre. We assessed the charity's policies and procedures on fraud risks. No in¥t8nces of a¢￿al. suspected or alleged fraud were identified by us or the ¢h8rily in the year. Bccausc of the inherent limitations of an audii. Ihere is a risk that w¢ will not detect all irregularities, in¢luding thosc leading to a material mis8tat¢ment in lh¢ fjnancial stalcmcnts or non-cornpliance with regulation. This risk in¢r¢as¢s Ihe more thal cornplianGc with a law or regulation is removed from th¢ ¢v¢nts and tran￿ctiOnS reflected in tbc financial statements, as we will be less likely to become aware vf instanccs of non-compliance. The risk is also greater rcgarding irrc¥ularitics occurring due to fraud raihcr IhaD crror. as fraud involv intentional ¢on¢ealm¢Dt, forgcry, collusion, omission or misrepresentstion. Helen Holmes Bsc FCA (Scnior sta￿tOry Auditor) For 8nd on behalf of Stables Thomp80n & Brisco< Statutory Audilor Chartered Accounlants & Statutory Auditor Lowther House Lowther Street Kendal LA9 4DX 30 January 2025 Page 25

Lakeland Arts Consolidated Statement of Financial Activities for the Year Ended 31 Mareh 2024 {Including Consolldated Income and Expenditure Account and Statement of Total Recognised Cains and I￿SSeS) Unre$trlcted funds Restricted funds Endowment funds Total 2024 Note Income ind Endowments from: Donations and legacies Charitable activities Other trading activities Investment income Other tn¢ome 643,717 727,894 1,049236 1,438 124,769 240,922 884,639 727,894 1,049,236 21,265 124,761) 19,827 'rolal income 2,547,054 260,749 2,807,803 Expendlture on., Raising funds Charitable activities (1,420,699) 1,696,802 (1,420,699) 1,995,685 279,232 19,651 Total expenditure GaAn8llosses on investment assels (3.117,501) (279.232) (19,651) {3,416,384} 22,500 28,290 50,790 Net (expendilure)lincome Transfers between fimds (547.947) 41,499 {18.483) 8.639 (41,499) (557,791) Otb¢r r¢¢ognls¢d g*Ang And losyei Actuurial gains on d¢fu￿d benefil pension schemes 22,000 22,000 Net movement in funds (484,448) (18,483) (32,860) (535,791) Re¢ondMAtlon of fundi Total fimds brought forward 50,914 15,849,929 547,860 16,448,703 Total funds carried forward 27 433,534 15,831,446 515,000 15,912,912 The notes on pages 32 to 70 forni an integral part of these fina￿la1 ststements. Page 26

Lakeland Arts Consolidated Statement of Financial Activities for the Year Ended 31 March 2024 ntluding Consolidated Income and Expenditure Account and Statement of Total Recognised Gains and L05ses) Unrestrkted fund8 Restricted fund$ Endowment funds Total 2023 £ (As restated) Note Ineome and Endowments from: Donation8 and lega¢ies Charitable a¢tivities Other trading activities Inve8im¢nt income Other income 717.986 601,517 763,919 1,133 490,554 209.142 927,128 60J.517 763,919 20,536 19,403 Total income 2,575,109 228,545 2,803,654 ExpeDdfjtur¢ on: Raising funds Charitable activities (1,158,876} 1,546,573 (1.158,876) 2.110.106 563,533 Total expenditrjre Gains/J08se8 on investment Assets (2,705,449) (563,533) (3,268,982) 332,622 37,140 295.482 Net in¢ome/(expenditure) Transfers between funds 202,282 (40,987) (334.988) 40,987 (37,140) (169,846) Other reeo8nl$td gilns And losses aainslto8$es on revaluation of fixed assets Actharial gains on defined benefit pension Schemes (64.000) (64,000) 315.000 315,OIKI Nel movement in fimds 412,295 (294,IN)I) (37,140) 81.154 Reeon¢iliatloD of funds Total funds brought fonvard 339,381 16,143,930 585,OC 16,389,549 Totsl funds ¢arricd forward 27 72,914 15.849.929 547.860 16,470,703 All of the group'5 activilies derive from rontinuing operations during the above two period8. The funds breakdown for 2023 is shown in note 27. The notes on pages 32 to 70 forni an integral part of these fmancial stat¢nK'nts. Page 27

Lakeland Arts (Registration number: 8162578) Consolfjdated Balance Sheet as at 31 March 2024 2024 2023 £ (As restated) Note Flxed assets Tan8ibl¢ assets Investments 16 16.787,889 426.805 17,115.255 726,233 17.214,694 17,841,488 Current amets Stocks Debtors Cash at bank and in h&nd 19 20 21 24,986 365,098 233,325 623,409 30.482 136,793 165,786 333,061 Credltors: Amounts falllng due wlthln one year 22 675,137 272,303) Net current (Ilabllltles)la$$￿s (51,728) 60,758 Total a8sets le58 current Il&bAlltles 17,162.966 17,902,246 Credltora: Amounts falllng due ￿fter more than one year 23 1,250,054 (1,409,543 Net aBset8 excludln¥ penalon llablllty 15,912,912 16,492,703 Penslon icheme IIAblllty 24 Net a81et$ Includlng penslon llabltity 15,912,912 16,470,703 Funds of the group: Endowment funds 515.000 547.860 Restrlcted Income fundi Restricted funds 27 15,831,446 15,849,929 Unrestrlcted Income fundi Unrestricted funds (433,534} 94,914 Pension reserye 22.000 Total unrcstrirted funds 433,534 72.914 Total funds 27 15,912,912 16 a70,703 Thc financial statcmcnts on pa8cs 26 10 70 were approv￿ by the trust¢¢s, and authorised for issue on 23 January 2025 and sign¢d on their behalf by.. D Reid MCIOF Chair and trustee The notes on pages 32 to 70 forni an integral part of these financial ststements. Page 28

Lakeland Arts IRegistration number: 8162578) Balance Sheet as 2t 31 March 2024 2024 2023 £ {A$ restlted) Note Flxed 4s8eti Tangiblc as8cIs Investments 16 16.787.889 17.115.255 150.002 16,787,891 17,265.257 Current assets Debtors Cash at bank 8nd in hand 20 21 352.792 230.751 299.047 148,411 583,543 447,458 Credltors: Amounts falllng due wlthln one year 22 602,125 234,021 Net current (llabJlltlesVAsset8 18,582 213,437 Total asJets leu current IIAbilitiei 16,769.309 17,478,694 Credltors: Amounts fAllln% due After more th4n one year Net asiets Includlng penjlon 118blllty 23 1,375,532 1409,543 15,393.777 16,069.151 Funds of the charity; Restrl¢ted tneomt fund8 Reslri¢led ￿ndS 27 15,831,446 15,849,929 Unrestrlcted Income funds Unrestricted funds 437,669 219,222 Total fundi 27 15,393,777 16,069,151 The financial statements on pages 26 to 70 were approved by the trustees, and authorised for issue on 23 January 2025 and signed on their behalf by: D Reid MCIOF Chair and trustce The notes on pages 32 to 70 form an integral part of thes¢ financial ststcm¢nts. Page 29

Lakeland Arts Consolidated Statement of Casb F]ow8 for the Year Ended 31 March 2024 2024 2023 £ (A5 restated) Note Ca8h flowi from operatlng a¢ilvltle8 Net cash expenditur¢ Adjustments to cash flows from non-ca$h Ilen D¢pr¢¢iation Investment income Revaluation ot"investments (557,791) (236,846) 16 177,306 (21,265> 28.790 196.729 {20,536) 86,518 (430,480) 25.865 Worklng ¢apl¢al adju5tment8 Decrease in stociLg In¢rease in debtors Encrease in creditors Decrease (increase) in TetirenMt bcncfit obli8ation net of actuarial chonges De¢r¢ase ID provisions - prior year adjustment Incrcasc/(dccrca5e) in deferred incorn¢ 19 20 22 5,496 (228,305) 175,847 5,291 (8,110) 188,546 24 (22,000) (318,000) (168,658) 13.194 23 39,000 Nct cash flow8 from operating activitie5 460,442 288,260 Caib tlows from Inv¢$dng A¢￿￿tI¢l Interest receivablc and similar income Sal¢ of t8n8ible r￿ed a58ets Purchas¢ of inv¢stment¥ Sale of inve$ttnents Income from dividcnds .438 150,0(10 (12,632) 340,850 19.827 1,133 (17,997) 31,973 19,403 Nel ￿5h flows from inve¥ting activitic 499,483 34,512 CAsh flowi from flnancjng a¢tlvldes Repayment of loans and borrowings Repayment of capital element of finance lebse6 and HP contracts 22 (6,365) 34,863 (1,356) Net cash flow5 from financing activities 28,498 1,356) Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at l April Cash and cash equivalents at 31 M8r¢h 67,539 (255,104) 420,890 165,786 233,325 165,786 The notes on pages 32 to 70 forni an integral part of these fmancial statements. Page 30

Consolidated Statement of Ca8h Flows for the Year Ended 31 March 2024 R¢eondllatlon of n¢t tlow to o￿Ven￿lI Ill net fundj 67.539 6J65 (255,104) 1,356 Ca8b outtlow from rep4￿llellt of loans Cash outtlow from repaymettt of capAtsI elenwtt of leases and 34,863 Change in net f4uNknI(d¢bt) Thdting from cash tlows N¢¢ d¢bt at l April 2023 253 748 1082 509 Net (debtyfimds at 31 Match 2tr (£1,043,468) (£1.081509) All of thts ¢48b flow8 are deriveAI from continuing operations durin8 the above two ptrAod& The notes on page8 32 to 70 forni an inte￿1 part of th￿C fiDallc￿ stalements. Page3l

Lakeland Arts Notes to the Financl21 Statements for the Year Ended 31 March 2024 I Charlty stAtUS The charity is a charity limited by guarantee and consequently does not have share capital. Each of the members 18 liable to contribute an amount not exceeding £1 iowards the assets of the charity in the event of liquidation. The address of the regislered otTice is given on the charity inf0m￿tIOn page of these financial statemenls.Thc natur¢ of thc charity'5 operations and principal aclivilies are as an arts and heritage organisation caring for and nllming Abbot Hall Art Gallery and Th¢ Lakcliind Muscum in Kendal, Blackwell, The Arts & C.rdfts House. and the Wind¢nnere Jety, Muscum of Boat8. Steam and Stori¢s in Bowness-on-winderniere. The prin¢ipai place of business is.. Abbot Hall Kendal LA9 SAL Th¢se financial statements were auihoris¢d for issue by the trustees on 23 January 2025. 2 Ac¢ountlng pollele8 Summary of$lgnfficAnt fdceovntlng pollcles and key accountlng estlmAtti Th¢ principal a¢¢vunlin¥ policics applied in the preparation of these r]nancial statement¥ are sct out below. Thes'e policics have been Consistently applied to all the years presented, unlcss othcrwisc stated. St#tement of compllA Thce Th¢ financial Statements have been prepared in a¢¢ordan¢e with Accounting and Reporting by Charitie8: Statement of Recommended Practice applicable to ¢harities preparing their account8 in accordance with the Financial Reporting S1andard applicable in the UK and Republxc of Ireland (FRS 102) {effectiv¢ l January 2019) - (Charities SORP (FRS 102)), th¢ Financial Reporting SIAndard applicabl¢ in th¢ UK and Republic of Ireland (FRS 102). They also comply with the Companies Act 2006 and Chariti¢s Acl 2011. Ba$ls of preparatlon Lakeland Arts meets the definition of a public benefit cntity under FRS 102. Assets and liabilities initially recognised at historical c05t OT transaction value unless otheThvise stated in the relevant &ccounting policy notC8. The financial statements are prepared on & going concern basis under the historical cost Convention, modificd lo include ccrtain items at fair value. The financial Statements are prepared in sterling which is the functional currency of the charity and rounded to the nearest £. Basls of consolldadon The consolidated financial statements consolidate the financial statements of the charity and its subsidiary undertakings drawn up to 31 March 2024. The subsidiaries consolidatcd for this purpose were Lakcland Arts Enterprises Ltd and Lakeland Arts Tnm. No slatem¢nt of fm4n¢ial #ctivities is presented for the charity as p¢rniitt¢d by 5eGtion 408 of the Companies Act 2006. The charity as an individual entity made a deficit aft¢r all gains and 105se5 for the financial year of £675,374 (2023 - surplus of £81,154), Page 32

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 A subsidiary is an entity Gontrolled by the charity. Control ib 8thiciied wherc the charity has the power to govem the financial and operating policies of an entity so as to obtain benefits from its activities. Th¢ results of subsidiaries acquired or disposed of during th¢ year included in the statement of finan¢ial activities from the effective date of acquisition or up to the effective date of disposal, as appropriaic. Whcrc neccssary, ddjustmenLs are made to the financial statements of subsidiaries to bring their accounting poltcies into line wiih those used by the 8roup. Thc purciiase method of accounting is used to account for business combinations that result in the acquisition of subsidiaries by the group. The cost of a busincss combination is measured as the fair value of the assets given, equity instruments issued and h'abilitics incurred or assumed at the date of exchange, plus costs directly attributable to the business combination. Identifiable assets acquired and liabilities and contingent liabilities &gwmed in a business combination are measured initially at their fair values al the acquisition date. Any excess of the cosl of the busine$s ¢ombinalion over the acquirer'8 interest in the net fair value of th¢ identifiable assets, liabilitics and contingent liabilitie8 recognised is recorded as goodwill. Inter-company Iransactions, balances and unrcalised gains on transactions between the charity and its subsidiaries, which or¢ rclatcd parties. are eliminated in full. Intra-group losses are also eliminaied but may indicate an 1mpairn￿nI that requires recognition in th¢ onsolidal¢d financial slatcmcnts. Accounting polici¢s of subsidiaries have been changed whcrc ncccssary to en$ur¢ ¢on8i8tency with the policies adopted by the group. Non-rontrolling interests in the net assets of Consolidated subsidiaries are identified separately from the group's equity therein. Non-¢onlrolling inlerc5ts consist of the an￿U￿t of those interests at the date of the original business combination and the non4ontrolling $harehold¢r'5 share of changes in equity since the dale of the combination. Total comprehensive income 1$ atiribuled to non￿OntrollIn¥ interests even if this rc5ults in the non-controlling interests having a defictt balance. Page 33

LAkeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Golng Concern The financial statements for the group have been prepared on a going ¢oncern basis. The trustees have assessed the appropriateness of this basis. considerin8 wheiher there are material uncertainties related to events or Conditions that may Cast significant doubt on the charity's and the gToup'5 ability to continue as a going concern. Thi5 assessment covcrs a pcriod of al Icasl onc ycar frorn the datc of approval of these financial statements. During the year ending 31 March 2024, Lakeland Arts continued to face ¢hallenge$ Telated ¢0 the economi climate, including the ongoing Cobtaof-living crisis. which impactcd visitor numbers #nd discretionary spending. Inflationary pre&8ures si8nifi¢antly in¢r¢as¢d op¢r8tional ￿$ts. n￿¢s81￿ting robust financial management and strategic co$t-saving m¢asw¢$. Despite these challenges, the group su¢¢¢s8tiilly reopen￿ Abbot Hall following a Significant closure, generating increased visitor engagement. Other sites, including the Windemiere Jetty Museum and Blackwell, conlinued lo perfomi well, supported by popular progTamming and new income-generaling initiatives. However, the Lakeland Museum remains closed. with no immediate plans for reopening. The group's fmancial perfornwice reflecls an operalional deficil. partially offscl by gains on invc51mcnts and nlinucd strong support from Arts Council England and other fiinder8. The trnstees have implemented measur¢s to ¢nhanc¢ financial slabiliiy* including the sale of non<ore assets and further diversification of income streams, The ttIL8tee8 have reviewed the group's financial forecasis, ¢asb flows, and available resources, including its reliance on restricted funds. These projections indicate that, with continued cost managenjent income div¢rsifi¢atson, the group is expected to mainlain operational viability. Accordingly, the trustees huve concluded that there are no material uncertainties regarding the group's ability to continue #$ a going Concern. Page 34

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Prior period error5 The charity received an invoice in the y¢ar from the contractors of Winderniere Jety (which wa$ completed in 2019 and written down lo valuation in 2021) in ihe sum of £168,658 for the release of th¢ retention. This amount should have been provided for in previous years and would hav¢ fonn¢d part of Ihc WTite off in 2021 so has been brought in as a prior yeor adjustment. Relatlng to Reladng io Relating to prior periods the current the prlor before the perlod perlod prlor perlod dlselosed In dlsclosed In disclosed In these flnancl4lthese flnanelalthe$e flnanclal statements statements statements Restricted r¢s¢rv¢s (168,658) 168,658 (168,658) 168,658 Long t¢nn liabilities Judgementj The directors have reviewed wheihLr thcrc wcre Any indicators of impainnent of the company's tangible ￿¥¢t8. Factors taken into considcration included economic viability and expecied future pcrforn]ancc. Thc directors havc judged that there is no impainn¢nl on the currenl carrying valuc of thc a8￿ts. Key sour¢e8 ofestlmatlon une¢rtalnty Tangibl¢ fixed assets, which are principally the Winderniere Jetty Museum and various plant, fixtures and fittings, ore depreciated over their usefvl lives iaking into a¢¢ount residual value8 where appropriate. The actual Iivc5 Of the aksets and residual values ar¢ assessed and may vary dependin8 on a number of factors. In assessing set lives factors such as technologi¢81 innovation. product life cycles and maintenance prograrnrnes are lakcn info account. Rcsidual values have to reflect P088ible future market conditions. thc remaining lifc of the a8set and potcntial disposal values. The carrying amounl is £16,787,889 (2023 -£17.115.255). Income 2nd endowmtnts All income is recogmiscd once the charity has entitlement to the incomc, it is probablc th#t the income will be rec¢ived and thc amount of the in¢orne receivable can be measured reliably. Page35

Lakeland Arts Note$ to the Financial Statements for the Year Ended 31 March 2024 Don41ioMs and legacies Income from donations ?nd grants. including capital grants. is iu¢lud¢d in incoming r¢JouTces when th¢se ar¢ receivable. except as follows.. i. when donors sp¢Gify that donations and grants given to the ¢haritabl¢ Gompany must be used tn fiiture accounting periods the income is deferred until these p¢riods' or ii. when donors impose conditions which have to be fulfilled bcforc thc chAritablc company bcrvmcs cntillcd to use such income, the incon]e is deferred aud not included in incoming resources until the pre40nditions for use have been met. When donors specify that donations and grants, including capital grants, are for partx¢ular restricted purpose which do not amount to pre￿OnditiOnS regarding entiilem¢nt, this income is included in incoming resources of rcstrictcd fi￿d5 when rcccivablc. Legacy gifts are recognised on a case by c&8e basis following the grant of probate when the dminislralorlcxccutur for Ihc cslatc has cvmmunicaled in WTilin¥ boih th¢ amounl and settlement date. In the event that the gift 18 in the fom of an aqset other IhAn c&8h or a finAncial Asset tradcd on a rccogniscd stoLk ex¢h4nge, recognxtion is subject to the value of the gift being reliably rn¢88ur&bl¢ with 8 de￿¢¢ of reasonable arxuracy ond the title to Ihe asset having been transfeTred to the charity. DeferrediA¢ome Deferred income represents amounts received for future periods and is Teleascd to incoming resources in the period for which, it h8s been rec¢iv¢d. Such income is only deferred when: - The donor specifies that the grant or donalion must only be used in fvtur¢ accounting periods. or - Thc douor has imposcd collditiolls whiLh mutst be mel before the ¢h8rity has un¢onditional entitl¢nKnt. Gijb in kind Gifts in kind donated for resale [￿e included at fair value, being the expected proceeds from sale less the cxpcctcd costs of $&lc, Wh¥r¢ ¢slim8ting the fair value is praLliL'able upon receipl IL is recogmised in stock and 'In¢ome from other trading activities.. Upon sal¢, the value of th¢ stock is chargcd against 'Incomc from othcr trading activities. and the proceeds are recognised as 'ln¢ome from other trading &¢tivitL¢S'. Whcrc it is impracticable lo fair valu¢ tbe iterns du¢ to the volume of. low value items they are not re¢ogniscd in the financial statements until they are 801d. This I￿orne is reco8nised within 'tncome from other trading hctivities,. Fixed a￿¢t gifts in kind are re¢ogni%d when r¢cKivable and are included at fair value. They not deferred over the life of the asset. Donated heritage assets are recognised in the Heritage Asset note but are not 01henvise reco8nised in the Sialemenl ofFinancial Activilies (SOFA) in line wilh ihe policy on Heritage A8S¢t$. oiher iradinx 4¢tiviti¢$ Income from commercial Irading activities. including retail and cat¢rin8 and ¢ommission on sale or return items ihrough retail outlets. This income is primarily the income ol the trading Subsidiary Lakeland Arts Enl¢ry)rises Ltd and is recorded on a re¢eivablc basi8. Invtstment Income Interest on fi￿d5 hcld on deposit 15 Included when receivablc and the amount be measured reliably by thc charity.. this is nornlally upon notification of the interest paid or payable by the bank. Dividend5 are recognised on¢¢ the dividend Iw been declared and notification has been received of the dividend due. Page 36

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Chqri14blt qc¢ivilles Iwome from Charitable trading activities through Abbot Hall Art Gallery, Blackwell the Arts & Crnfls House, Lakeland Museum and the Winderniere Jetty (]￿lUdIng admtssion, learning and Trriends of Lakeland ATts memberships), is included in incoming resources in ih¢ period for whiih il iy rcreivabl¢. Exp¢ndltsre All cxpcnditurc is rccognised once there is a legal or ¢on$tru¢tiv¢ obligation to that expenditure, il is probable settlement IS Tequired and the amount can be measured reliably. Expenditure is included in the Consolidated Ststement of Financial Activities on an accruals basis, inclusive of any VAT'which cannot be ￿0Vered. All costs are defined in 4 specific categories.. Raising funds Fundrai.sing trading Charitable a¢tiviLies Othcr R41slNgfunds These are costs incurred in altracling volunl8ry income, Ihe management of investment8 and those incurred in trading aclivitics that raise funds. Fund-raising costs are those incurred in seeking voluntary wntributions an(1 do not inrludc the costs of dit>scminating Inforn￿tIon in support of the ¢haritsble adivitie5. Charilable aaivitiej Charitable cxpcndilurc compriscs those costs incurred by the ¢h&rity in the delivery of its activities and services fvr its bcneficiarie5. It includet4 bnth cn8Ls that ¢an be &llocated directly to such activities and those cosls of an indirect nature necessary to 8UPPOrt them. Support colts Support costs arc those that assist the work of the cbarity but do not directly represent charitsble activities and include office ¢osts. governance costs and administrative payroll Costs. They are incuN¢d directly in support of expenditure on the objects of the charity tmij include project management and pmfe$sional fees. Where support costs ¢annot be directly attribuled to particular headings they have been &llocated to cost of raising funds and expenditure on Charitable &¢tivities on a basis consistent with use of the resources. Govern4nce costs These include the ¢08ts attributable to the charily's cumpliancc with constitutional and statutory requirements. including audil, strategic managcmcnt and tn]stee8 meetings and reimbur8ed expenses. T*xallon The charity is ¢on5idered to pass the tests set out in Paragraph I Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK co￿oration tax purposes. Accordingly. the hality li+ Potentially exempt from taxation in respect of income or capital gains re¢¢ived within categories covered by c.hapter 3 Part I l of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to ihe extent that such in¢ome or gains are applied exclusively to charitable pU￿OSe8. Page 37

Lakeland Arts Notes to the Flnanclal Statements for the Year Ended 31 March 2024 Tanglble r￿ed assets Individual fixed assets costing £5.000.00 or more are initially recorded at ¢o$t including any in¢identsl expeDscs of acquisition {with the ex¢eption of heritage a&8¢ts). le5S any 5ubs¢quent acrumuiated depreciation and subsequent accumulated impairnient los$e$. Heritage 58ets Lakeland Arts. principal objects include establishment and mainnance of public art gallerie5 and museunLS for the b¢nefi¢ of ihe public. In this connection the charitable company has a long leasehold interest, al a peppercorn rent, in listed buildings a¢ Abbul Hall, of which Abboi Hall itbclf is Gradc l Listcd. The charitable company also has a freehold interest in the Grade l Listed Arts & Crafts house Blackwell - a propety of unique historic importance near Bowness-on-windenncre. Thcsc historic properties are inalienable heritage asseis in the sense that it is a fundarnental part of the charitabl¢ company's pU￿oSe to hold and preserve ihem pern)anenily, and Lakeland Arts it> eftectively prohibited from disposing of them for any other putpose, noi only by the ienns of its ¥overnin¥ documents, but also by exlernal considerations including the rernis of leases. eondiiions applied by fvttding bodies and planning consents. These properties are not assets in the norn￿1 sense of the word because under the I￿eV0¢able temts of their present use they hav¢ no market valu¢. To provide a markel value bY45ed on an irnpcnnissible changc ol. use would bc misleadTrn¥. Th¢ Trustccs con¥id¢r that thc buildings arc hcrita¥e assets and the charitable company does nol thcrcforc, rcpresent them on the Balance Sheet. Furthcr infom￿110ll on the Lakeland Ans, h¢ritage assets is given in the notes, in a¢¢ordan¢e with the '&ern￿ of Accounting and Reporting by Charities: Ststement of Reconjmended PTllCti¢e applicable to chati¢ie5 preparing their accounts in &ccordunce with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) '18. Accountin8 for heritage assets,. Depreclatlon and amortlsatlon Depre¢iaiion is provided on tangible fixed assets so as to write otT th¢ ¢osl or valualion, less any ¢slimaled rcsidual value. vver thLif LXPCLtcd uscful cconomiL lifc as fullows.. A$￿t ¢la$s Deprecl*llon method Ind rale Held at valuation, revalued every five y¢aTS - sold in the year straight line over the tenn of the le Straight line over 4 years Freehold land and buildings Leasehold land and buildings PlanL equipment and fittings Research and development Research and development expenditure is ￿]tten off as incurred. Investment propertle8 Investment propeity is carried at fair value, derived from the ¢urr¢nt mark¢t pric¢s for ¢omparabl¢ r¢al ¢stat¢ dcterniined annually by external valuers. The valuers use observable market prices. adjusted if necessary for any difference in the nalure, locatton or condilion of the specific asset. Changes in fair value are recognised in profit or loss. Puge 38

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Fixed a8￿t Investments Fixed asset investments, other than programme related investments, are included at market value at the balance sheet date. Realised gains and losses on investments are calculated as the difference between sales proceeds and their market value at the start of the year, or their subsequent cost, and are charged or credited to the Siatement of Financial A¢tivilics In thc pcri(yd ofdisposal. Unrealised gains and losses represent the mov¢m¢nl An market values thiring the year and are ¢redited or charg¢d io the Siatemenl ofFIna￿la1 Activilies based on ihe markel value at Ihe year end. Sto¢k Stock ¢onsist8 of purchased goods for resale and is included at the lower of cost or net realisable value. Trade debtors Trade debtors are arnount$ due from custom¢rs for m¢rchandise sold or services perforn]ed in the ordinary course of business. Trade debiors are recognised initially at the transaction price. They are subsequently measured at amortised cost using tp1￿ cffcclivc intcrcsl mclhod, Ics5 provisiun tor impairnicnt. A PTovision for the impainnenl o( trade debtors is established when there 1.8 objective evidence that Ihe charity will not be able to collect all amounts due according lo the original tern18 of the receivables. CAsh cA$h equlval¢nti Cash and chsh equivalents comprise cagh on hand and call dcposits, 8nd othcr short-tcnn highly liquid investments that are readily convertible to a known amount of c&8h and are subject to an insi8nificant risk of change in value. Trlde credltors Trnde CTeditor8 are obligations to pay for goods r)r 8erYice8 that have been acquired in the ordinary cour.8e of business from suppliers. Accounts payable are classified as current liabilities if the charity not have an uncondilional righl, at the L'nd of thc rcporting pcriod, lo dclcr sLltlemenl ol Ihe crcdilor for al leasl Iwelvc months after the Teporting dale. If there is an unconditional right to defer settlement for at least twelve months after th¢ reporting dat¢, they are presented as non-current liabilities. Trade creditors are rerognised initially at the transaction price and subsequently measured at amortised rost using the effective interest method. Fund structure UnreslTiCted income funds are general funds that are available for use at Ihe irustees discretion in furtheraD¢e of the objectives of the group. Designated funds are unrestricted funds Set aside for specific purposes at the discretion of the trustee8. Restricted incorne funds are those donated for use in a particular area or for specific pu￿08e4 the use of which is restricted to that area or PUTPOSe. Restricted endowment funds - these are nOn-pem￿nenI endowment funds, the income from which contributes to the operating exp¢nses of Lakeland Arts. The assets of the fimds are represented by investments. Page 39

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Penslons and other post retlrement obllgatlons The charity operates a defined contribution plan for the benefjt of its employees, Conlributions are expensed as they become payable. The group also operates a defined benefit pension scheme for one employee.Typically defmed benefil plans define an amount of pcnsion bcncfii that an employee will receive on rctircment, usually dcpcndcnl on onc or more f￿tOrs t4uch as &ge, yearB of service and compensation. Th¢ liability r¢cogmi5¢d in the Balance Sheet in respect of defined benefil pension plans 15 the pres¢nt value of the defined bcncfit obligation at thc rcporting datc minus thc fair valuc of plan asscts. Thc dcfincd b¢ncfit obligation is measured using the projected unit credii method. The present value of the defined benefit obligaiion is determined by discounting the estimated future payinents by Teference to market yields at the reporting dale on high-quality corpora* bonds that are denominmted in the ¢urren¢y in which the benefits will be paid, and that have tern￿ to maturity approximAting to the tmns of the related pension liability. Actuarial gains And losses are chAr8ed or credited to other conwrehensive income ill the period in which they arise. Flnanclal Instruments Classlficarfon Financial assets and fllthncial liabilities are rccognised when the group becomes a party to the contractual provisions of the instrument. Financial liabilities and equity instruments are classified according to the $ubgtance of the contractual arrangements entered into. An equity instnuncnt is any contract that evidences a residual interest iti the assets of thc group after deducting all of its liabililies. RecognldoN and med.iuremeA¢ All fin￿¢1￿1 assets and liabilities are initially measured at transaction price (including transaction costs). except for those fm8ncial assets classified a5 at fair value through profit or1055. which are initially measured at fair value (which is nomwlly the trama¢tion pri¢¢ ¢x¢luding traN8a¢tion ¢osts), unless the arrangement ¢onstitut¢s a financin8 transaction. If an arrangement constitutes a finan¢ing transaction. the financial asset or financial liability is measured at the present value of the future payments d￿COUnt￿ at a market rate of int¢r¢st for a yimilar debt instrLun¢nt. Financial a8s¢ts and liabilities are only off8¢t in the staiement of financial position when, and only when there exists a legally enfoff eable right to s¢1 off the recognised amounts and the group intends eiiher io settle on a net basis, or to reoli8e the assct and settle the liability 8imultsncously. Financial assets are der¢cogni$ed when and only when a) the Contr￿tual rights to the cash flows from the financial ttssct cxpirc or are $cttl¢l b) thc group transfcrs to anothcr paty substantially all of the risks and r¢wards of own¢rship of the financial asset, or ¢) th¢ group. d¢spite having r¢t&ined $onw. but not all, significant risks and r¢wards of ownership. has transferred control of th¢ ass¢t to another paty. Financial liabilities are dereco8nised only when the obligation specified in the contract is discharged, cancelled or expires. Page 40

Lakeland Arts Notes to the FAnancial Statements for the Year Ended 31 March 2024 Inveslments Investments in non-converttble preference shares and non-puttablc ordinary or prcfcrcncc 3harc5 (whcrc shares are publicly traded or thcir fair value is reliably measurable) are me&8ured at fair value through profit or loss. Where fair value cannot be measured reliably, investments xre measured at eost less impairrnent. Invcstrncnts in subsidiarics and associates are m￿su[Cd at cost le&s impainnent. For investments in subsidiaries acquired for consideration including the issue of shares qualifying for merger relief, cost is measured by reference to the nominal value of the shares issued plus fair value of other consideratLOlI. Any premium is ignored. 3 Income from donatton8 And legacles Unrestrlcted funds General Restrficted funds Total 2024 Tnt21 2023 Donations and legacies. Donaiions from companies, truqts and similar proceeds Lcgacics Gift aid reclaimed Mcmbcrship Incon￿ (includin¥ Friends, patron.q and ben¢f8¢tor8} 555,844 2,416 10,776 190.922 50,000 746,766 52,416 10,776 851,194 13.860 74,681 74.681 62,074 643,717 240,922 884 639 927,128 Page41

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Unrestritted Restricted ndi nds Other grants And donarfon$ Core GraDts 2024 2023 Art$ Council England NPO Lakeland Arts Support Trust Wesknorland & Furness Council 451.848 60.000 37,500 451,848 60.000 37.500 451,848 51.IXIO 27,500 5.000 10,000 Kendal Town Council NPO Grant funding Covld-19 and Buslness Continulty Grants DCMS Culturnl Recovery Fund Round 3 {] & 2) Bid grant ProgrimmeTrroJect Grxnti NLHF Resilience 104,635 17,101 22,950 DCMSIWolfson Climate Gallery Project Abbot H811 R¢d¢velopm¢nt donation Lucy Group - boat conservation Sir John Fish¢r Foundation 40,485 40,485 20,0 5,000 37,500 30,OCrfI 15,000 5,000 3,000 4,998 John R. Mutray Charitable Trust Architectural Heritsge Fund The Granada Foundation 30,000 30,000 The Hadfield Trust Art Fund Esm¢¢ Fairbairn Foundation 40,000 40,000 Sir Nicholas Goodison Contrmporary Craft Westmorland & Fumes8 Coun¢il AH Nature & Partnership Grnnt RR & A James Salter for Glbert Spencer Exhibition Award for 21,000 21,OlX) 20,000 20,000 5,000 5,000 Community Grant towards particpation and leaming at Abbot Hall The John Ellernwi Foundation 5,000 5,0(K) 13,055 13,000 500 13,055 13,0(X) 500 13,194 Julia Abrey re Swallow Going Places Grant Westmorland Arts Trust for Amy Williams Workshops GF Annitage Charitable Tn]st- Raven Project Andrew Wade donation - Raven Project 1,982 1,982 20,0(KI 250 250 500 500 Page 42

LakelaThd Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Th¢ Mus¢ums Associauon r¢ Helen Stalker Other donations and small grants 150 150 6,496 555,844 6,496 746,766 7,468 851.194 190,922 4 Ineomo from ehArltAblt aetlvltles Unrestrleted fund8 Gen¢ral Tot*1 2024 Visitor income Learning income Muscums and Galleri¢$ tax r¢lief 589,369 935 137,590 589,369 935 137,590 727.894 727,894 Unre$trlcted funds General TotAI 2023 Vit>itor incomc Leariiiii.g income Muscums and Gallcries tax relief 458,900 732 141,885 458,900 732 141,885 601,517 601,517 5 Income from other trgdlng actlvldes Unrestrlcted funds General TotAI fund5 Trnding income; S&les of goods and services Events income. Other events income Loltcries &nd competitions income 1,046,235 1.046,235 2,958 43 2,958 43 Total for 2024 1.049,236 1,049,236 Tolal for 2023 763,919 763,919 Page 43

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 6 Investment income Unrestricted fuDd8 General Restricted funds Total 2024 Incon￿ from dividends. Dividends receivable from other Ixsted investnKnts Interest receivable and similar income. Interest re¢¢ivable on bank deposits 19,827 19,827 1.438 1,438 1,438 19.1527 21,265 Unrestrlcted nds General Restrkted fund¥ Total 2023 Income from dividends. Divid¢n(ts receivable from other lisled investmenls Interest re￿ivable and similar tncome. Inl¢r¢¥t r¢Lcivable on bank dcprf)¥its 19,403 19,403 1,133 1,133 19,403 20,536 7 Other Income Unrestrlcted Tot*l 2024 Tolal 2023 GenerAI Oth¢r in¢ome CGS VAT Adjustment Offgem Renewal Heat Incentive Insurance Licence to occupy 1.747 80,411 1,747 80.411 52,701 73,731 42,611 42,611 357,120 7,000 124 769 124.769 490.554 Page 44

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 8 Expendlture on ratsing funds a) Coiti of generating donxtlons And le¥xcles Unrestrlcted fundi General Totsl 2024 Note Oiher direLI ¢v¥ts of ¥¢nvraling volunlary in¢omc AIIoc2ted support costs 133.591 157,836 133,591 157,836 10 291.427 291.427 Unres¢rl¢ted fullds General Totsl 2023 Note Other direct costs of generating voluntary income Allocated support costs 162,417 138,187 162,417 138,187 10 300,604 b) Costs of trAdlng A¢tlvltl¢i Unre$tri¢ted funds General Total 2024 Note Trnding subsidiary costs Marketing and publicity Wages and salari¢s AIIuLlltcd support costs 452.215 64,607 485,185 12R,393 452,215 64,607 485,185 128,.19.3 io 1,130,400 1,130.400 Unrestricted funds General Total 2023 Note Trading subsidiary costs Marketing and publicity Wages and 5alartes AlloGatcd support Costs 324.803 56.311 379.098 98,048 324,803 56.311 379,098 98,048 io 858260 858260 Page 45

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 c) Investment n￿nagement costs Unrestrleted Tot21 2024 Total 2023 GenerAI Note oth￿ invcstm¢nl mana¥cmcnt costs; Costs of obtaining investment advice Administrativn of thc inveslrn¢nts 22 1.150 22 1.150 12 1.128 1.128 12 d) Totsl expendlture on ralslng funds Allocated support Costs Tot*1 2024 Dlrttt cost• Costs of generating donations and legacies Costs of trading activitics Investment management Costs 133,591 1,002.007 (1,128 ,134,470 157,836 128,393 291,427 1,130,4 (1,128 1,420.699 Total 2023 286,229 Allocated support costs Dlrect costs Costs of generating donations and legactes Co¥1¥ vl'tradin8 ac41￿11]¢5 Investment management costs 162.417 760.212 12 138,187 98,048 300,604 858,260 12 922,641 236.235 ,158,876 Page 46

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 9 Expendlture on charltable activitles Actlvlty undertaken dlrectly Acllvlty support costs 2024 Exhibition progrdmrtt8 Collections and conservation of exhibits Learning Historic buildings and premises Costs Viiitor operations 186.166 436,076 64,976 605.819 322,477 68,144 78,520 71,491 71.431 90,585 254,310 514.596 136,467 677.250 413,062 1,615,514 Actfivlty undertAken dlr¢ctly 380,171 1,995,685 Acdvlty support costl 2023 F.xhibAtAon programmes Collcctions and conscrvation of cxhibits Learning Hisloric buildings and premi8es costs Visitor op¢rations Abbot Hall Project NLHF Resilience Project Art Fund (iarficld Weston Foundation Clore Duffield Social Enterprise 194,174 475.798 75,405 537,952 213,405 E03,132 55,146 60,365 57.084 58,641 67,415 9,838 22,950 16,692 249,320 536.163 132.489 596,593 350,820 112,970 22,950 17,750 37,592 19,804 2,694 1,058 37,592 19,804 2,694 .731.014 348,131 2,079,145 Page 47

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Unrestriettd funds D¢signat¢d Re8trieted funds Total 2024 Exhibition Programmes Colle¢¢ions and conservation of exhibiis Learning Historic buildings and premises costs Visitor operations 198,034 466,845 136,467 502.045 413,062 56,276 47,751 254.310 514,596 136,467 677.250 413,062 175,205 1.716.453 279.232 .995.685 Unrestricted funds Deslgnated Restricted funds Total 2023 Exhibitlon programmes Collcction5 and conservation of exhibits Learning Hisloric buildings and prcmiscs costs Visitor operauons Abbot Hall Proje NLHF Resilience ProjeL't Art Fund Garfield Weston Foundation Clore Duffield Social InteTprise 203,626 408.632 132,489 410.207 350,820 9,838 45,694 127,531 249,320 536,163 E32,489 596,593 350,820 112,970 22,950 17,750 37.592 19,804 2,694 2,079,145 186,386 103,132 22.950 17,750 37.592 19,804 2,694 563.533 ,515,612 In¢lud¢d Ati th¢ ¢xp¢nditur¢ analysed above, Ih¢r¢ ar¢ 4180 gov¢rnan¢¢ ¢05ts of £25,944 (2023 - £30,961) which relate directly to charitable activities. See note 10 for further details. Page 48

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 10 Analysls of governanee and supporl costs Govern&n¢e tost$ Unr¢strl¢ted Total 2024 Total 2023 General St&lT cosls Pension costs Audit fees Audit and other fees paid lo auditors TnLslees remuneration and expenses Legal fees Loan in¢ere8t 2,318 2,318 10,900 17,095 1,378 539 4,614 25,944 17.095 1,378 539 4,614 25,944 16,865 1,773 423 30,961 11 Net Incomln8loutgolng resources Net outgoing resources for the year in¢lude'. 2024 2023 Audit fees Depreciation of fixed llssets 15,845 172,310 15,9 196,729 12 Trujtees remuneratlnn and e%pen$e• Durin8 the year the group made the following trallsoctions with trustCC5: A Kanyyd £81 (2023.. £729) of expenses were reimbursed to A Karwa during the year. A M Lyles £454 (2021.. £941) of expenses were reimbursed to A M Lyles during the year. No trustees, nor any persons connected with have receiv￿ any remuneration from the 8roup during the Page 49

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 13 Staff ¢osts The aggregate payroll costs were as follows: 2024 2023 Slaff costs durlng the year were: Wages and $alari¢s Social security ¢osts Pension costs ,325,543 101,856 25,624 1,350,918 112,980 38,211 1,453 023 1.502,109 Thc monthly average number of persons (including senior managem¢nt / 1¢8dership team) employed by the group during the year express¢d as full time equivalents was as follows.. 2024 Iyo 2023 No Management, curatorial, marketing and learning Administration Dcsk18hop staff Coffee House & Tea Room Other H¢rits8e boat team Boat conservation team 21 23 49 51 The averttg¢ number of employees in the year as defined by s3821383 of the Companics Act 2006 was 81 (2023 79). The number of employees whose emoluments fell within the following bands was: 2024 2023 £70,001- £80,000 £80,001- £90,000 The totsl employee benefits of the key management personnel of th¢ woup were £324,348 (2023 - £350,836). Page 50

Lakeland Arts Nots8 to the Financlal Statements for the Year Ended 31 Mareh 2024 14 Alldit•rs' remllAerAth)n 2024 2023 Audit of the group financi￿ 8tatements 15,900 Other re￿ to audltors 965 Thc audit ftts includc provision of accountancy 8crviceB for thc preparalioll of group accounts. 15 Taxatlon The w is 4 rp8i8t¢red charity ard is th¢r¢for¢ ¢xempt from taxation. 16 Tan8lble Ilxed a•Jets Group aDd bulldkny rnltsre and equlpnwnt Motor vehlcl Totsl Co•tlValuatlo At l April 2023 Di8P08A18 At 31 Marcb 2024 17,384.0(Kl 150,(X)O 482,237 34,483 17900.720 150,000 17,234,000 482,237 34,483 17,750,720 Deprecladon At l April 2023 Char8e for year At 31 March 2024 310,756 153,378 450,337 16,932 24,372 5,056 785.465 177 366 466.134 467269 961831 Net book value At 31 March 2024 16 767 866 14,968 5.055 16.787.889 At 31 Ma￿h 2023 17,073244 31,900 10 111 17 115255 luded within the net book value of land and buil(ting8 above 18 £Nil (2023 - £150,000) in resp￿t of frethokl laThl and buii(tings and £16,767,866 (2023- £16.923.244) in re8P¢¢t of leas¢hold8. Page51

Lakeland Arts Nots8 to the Financlal Statements for the Year Ended 31 March 2024 Revaluatlon The fair value of the 8roup'8 L¢a8ehold Improv¢mpnts was r¢valued on 24 November 2021 by Hydc Harrin charter￿ Surv¢yors. an independent valu¢r. Tr pryety was valued on an A88¢t Valuation for the Existsng Usc. As properties of thi8 Datw¢ are not generally traded in the market Depre¢iatcd Replacement Cost ha8 been used to detenrine the ABset Value. Had this cla$8 of asset Ix¢n measured on a historical cost basis, their carying amount would have b¢¢n £18,928,363 (2023 - £18,759.705). Chartty LAnd and ThwDltur• And bulldlD£B eqolpnwit Motor vthlel Total CottlValuAtlon At l April 2023 Di8posAI8 17,384,000 Iso,0 482237 34,483 17.900,720 At 31 March 2024 17 234 IXIO 482 237 34 483 17 750 720 Depr¢dAtlon At l April 2023 Charge for the year At 31 M￿h 2024 310,756 155,378 450,337 24,372 5,056 785.465 177,366 466.134 book v￿ll• At 31 March 2024 16 767 866 5,055 16,787,889 At 31 MAr¢h 2023 J 7 073,244 31,91N) 10,111 17,115,255 Included withln the net book value of land and bullding8 aix)ve is £NII (2023 - £150.0(Kl) in reSP￿t of free1￿ld JaLNI and buildioR8 £16,767,866 (2023- £16,923244) in re8pect of leo8¢hold& 17 H¢rltag¢ Gromp Herlta8e auets not ree0gn1￿l In Ihe balanee •beet From l August 2013 th¢ ¢lwitabl¢ ¢onwany ¢ntff¢d into a Loan and Ma• Ay¢em¢nt with th¢ owner of the collections, Lakclalld Arts Trust under which all responsi￿ljitieS in relation to the collectiOD8 including Lake]aThJ ATts mainlaing & full iuventory of all the collections held. This includes lO￿li0n and Movem￿ in and out of work8 of art and rnusth￿ objccts Whic￿ frotti tinK to time. may be loaned tolftom other mu8th Pw52

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Summary of tran8Actions 2024 2023 2022 2021 2020 Purchases and addltlons Furniture Paintings Drawings Maritime 25,000 9(Ml 650 17.344 10,000 io 100 Don4tloni Ceramics Costume Drawings Engravings Ephemcra Industrial history Paintings Photographs Sculpture Social history T¢xlil¢s Maritime Furniture Horolo 1,240 30 5,430 .260 500 155 240 150 14.000 300 214,000 750,000 loo 4,571 200 7,310 1,000 35,015 105,080 16,000 loo 500 T()tal additionA 7,615 1()3,160 30,765 Charlty Herltage asseti not retogtt15ed In the balanee sheet The pern]anenl collections are held by Lakeland Arts Trust. Pag¢ 53

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Lakeland Arts Tru$t'$ Colle¢tloD of Works of Art and Museum Exhibits Th¢ prinripal ar¢as of th¢ roll¢rtion arc: • Eighteenth century fumiture. British landscape and portrait painting8, with a particularly strong wup of works by George RO￿￿ey' Eightccnth and ninetecnth ccntury watcrcolours, including an cxccptional group by Jvhn Rwkin, £vur major works by JMW Tumer gnd & llumbeT of other key works, many of whi¢h relat¢ to the Lake District,. • Twentieth century and contemporary BTitish art. with s¢ulptUTe by figures S￿￿ as Jean Arp, Barbara Hepworth and Elizabeth Frink, as well As work by many of the leading painters including Samuel Peploe, Ben and Winifred Nicholson. a strong group of St Ives work. Kurt Schwitters. Stanley Spencer, Graham Sutherland, John Pip¢r, Ivon Hitrhens, Frank Auerbach, Paula Rego, Bridget Riley and Sean Scully,. . Strong holding of prints by such names as Henry Moore, David Hockney and Lucian Freud. • Material relating to the social and industrial history of thc Lakc District and Kendal. This include5 nineteenth and twentieth century photographs, Lake District crafts, rnral trades and indu8lries and domcslic and shop interiors. There is important material relating to the author Arthur Ransome, Annie Garnett's early twentieth century textiles madc at thc Spinncry in Bownc&g and art8 and crnfts furniture by Arthur Simpson of Kendal and other regional makers: M8terial relating to M,H. Baillie Scott in¢luding furniture, book8 and published designs, archive material rclating lu the history of Blackwell, Arts & Crnfts furnitur¢ and a small number of objects by Arts & Crafts designers andlor mak¢r$ Shown prin¢ipally at Blackwell The Art8 and Crafts Housc; Small colle¢tion of studio cernmics,. . Over 401)oats and & large ¢olle¢lion of smaller objects relating to boats al￿ boating on Lakc Winderniere. The collection 18 acknowledged to be one of the most important collections of vessels generic lo one l(Kalion worldwide and to reflect important themes in technical, social and economic history. The Pattin50n Collection, namcd aftcr thc founder of thc Muscum Mr G.H. Patiinsoffj w88 augmented and added to by the collection of the Windemiere Nautical Trust and covers many Aspccls of boating on Windcrmcrc inLluding wooden steam launches, motor boats, yachts and canoes. Eleven boats were transferred to the Lakeland Arts Trust through H.M. Governmenl'¥ Acceptance in Lieu S¢hern¢ in 2007. Acqulsltlons Po*ntial acquisitions, which May be purchased or giw must meet the requirements laid out in the ehariiable company's Collcltions D¢velopm¢nt Policy (2017). D1$pO￿lI By definition. the Lakeland Arts Trust has a long-ternl purpose and holds collections in trust for society in relation to its stated obj¢¢tive8. The Twstees therefore accept the principlc that sound curatorial rcasons for disposal mw8t be eslablished before Consideration is given to the disposal of any item8 in Lakeland Art5 ollections. The disposal policy is detailed in Lakeland Arts, Collection5 Development Policy (2017). Pre$ervadon And Man4gemeDt Lakeland Arts Tn￿t was f￿st awarded MLA Accreditation status in 2009 and following the award Abbot Hall. Blackwell and the Lakeland Museum enlered into a planned timetable of collections preservallon, care and management. Accreditation is now operated by Arts Council England. Winderniere Jetty Museum applied for 'Working Towards Accreditation. status (WTA) when it opened kn the public in 2019. In 2010 some of the principal objects in the collection were valued by Sotheby's. The valuation was carried out specifically to inforni a risk management exercise which resulted in a review of the insured values and risks for the collection. For the putpose of reinstatement the value of all of the charit&ble company's H￿lIage assct including buildings and land is estimated as £62.7m. Page 54

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 Mareh 2024 18 Fixed asset investments Group 2024 2023 Investment propertie5 Other investments 150.000 576.233 426.805 426 805 726,233 Investment propertles Inve$trnent properties Cost or ValuatloD At l April 2023 Disposals 150,000 150,000 Al 31 March 2024 Provl8lon At 31 March 2024 Net book value At 31 March 2024 At 31 March 2023 150,000 Other Investments Llsted Investrnents Total Cost or Valu4t5on At l April 2023 Revaluation Additions Disposals At 31 Mawh 2024 576,233 28,790 12,632 190,850 576,233 28,790 12,632 190,850 426,805 426,805 Net book value At 31 Mdrrh 2024 426.805 426.805 At 31 March 2023 576,233 576,233 Page 55

Lakeland Arts Notes to the Financlal Statements for the Year Ended 31 March 2024 Charlly 2024 2023 Investment properties Shares in group undertakin8s and parti¢ipatin8 interests 150.0(N) 150002 Investmenl properdes Investment propertle8 Cost or Valuatlon Ai l April 2023 Di8posals 150,000 150.000 At 31 March 2024 Provl$lon At 31 March 2024 N¢t book value At 31 March 2024 Ai 31 March 2023 150,000 Shares ID group underlakiDgs and parlicipating inlereslj Subsldhary undertxklngs Total Cost At l April 2023 At 31 March 2024 Net book v*lue At 31 March 2024 At 31 March 2023 Detalls of undertikings Iktails of the investments in which the charity holds 20/0 or more of the nominal value of any class of share capital are as follows.. Page 56

Lakeland Arts Notes to the FinanciAI Statements for the Year Ended 31 March 2024 Country of incorporation Proportion of voting right8 Principal Ydnd share$ held A¢tivity Undertaklng Holdlng 2024 2023 Subsfidlary undert4klngg Lakeland Arts Entetprises Ltd Operating tea rooms gift shops England Ordinary IOO•/o 19 Stock Group Charlty 2024 2023 2024 2023 Finished goods 20 Debtors Group Charlty 2024 2023 2024 2023 Trdde debtors Due from group undertakxng¥ Prepayments A¢¢ru¢d incom¢ VAT recoverable Other debtors 33,552 715 2.338 20,618 128,126 193,375 5.524 2,811 715 161,864 108,509 12,608 13,527 1,824 128,127 193,375 7,233 2.811 108,566 12,608 13,080 1.824 365,098 136,793 352,792 299,047 21 CA*b and ¢A$h ¢qulval¢nts Croup Charity 2024 2023 2024 2023 Cash on hand Cash at bank Short-terni deposits 32,267 196,765 4,293 9,422 155,844 520 32,267 194.391 4,093 9,422 138.971 18 233.325 165.786 230.751 148,411 Page 57

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 22 Creditors: onK•unts falling due within one year Group Charlty 2024 2023 2024 2023 Bank loans Trade creditors Hire purchase and fmance le&8es Other tsxation and social security Othcr crcditors A¢¢ruals Deletred inLome 6.256 S36,￿2 20,483 30,381 12.034 30,981 39.000 7,410 194,299 6,256 478,125 20,483 30,381 12,034 15,846 39,000 7,410 168,094 23,717 20,784 26.093 23.717 20,784 14.016 675,137 272,303 602,125 234,021 Deferred Income 2024 2023 Deferred ineome at l April 2023 Resources dLfC￿e￿ in IhL' peri¢Jd Amounts released from previous periods 13,194 39,000 Deferred income at year end 2024 2023 Defeffed income at l April 2023 ResourL'vs dcfLrrcd in thL pcriud Amount$ r¢l¢as¢d from pr¢vious ￿riodS Deferred income at year end 13,194 39,000 39,000 23 Credltori: amount8 falllng due after one year Group Charlty 2024 2023 £ (As rest4ted) 40,885 168,658 1,200,0(M) 2024 2023 £ (As restated) 40.885 168,658 I,200,￿0 Bank loan8 Trade ¢r¢ditors Other loan5 Hir¢ purchase and finance leases Other rreditors 35,674 35,674 1200,(M)O 14,380 1,200,000 14,380 125.478 1,250,054 1,409,543 1,375,532 1.409,543 Page 58

LakelaDd Arts Notes to the FlnandAI Statements for the Year Ended 31 March 2024 Group lllclud¢d in th¢ ¢￿dItOrS are the following amounts due after more than five years: 2024 2023 4.379 11245 1200 IXIO After more than five years not by it&tthts 79 1211 Ch#rtty kncluded in the creditors are the followin8 anM)unts thie after more than five ye￿$. 2024 2023 After mor¢ than five y¢at8 by ithlments After ll￿re thall fivc years llot by instalments 4,379 1,325,478 11245 1.200.IKIO lJ29 857 1211245 BorrovAnp due th five years Th¢ NHLF loan 1$ 8xured on the Windernwe Jety MuseunL UDd•r the Facility Ay¢¢m¢nl with the Nationd Heritsge Memorial Fulld (d&t¢d 24 April 2019), the first r¢paym¢nt date falls on thc fifth anDiversary (24 April 2024). Repayments will ODIY GOD]m￿￿e once L4keland Arts a¢hieve8 in.y¢ar op¢rdting profits in exce88 of £IOOK Ivith re￿yrnents Cal￿￿&t¢d at of tho ex￿8 c&shflow8 abov¢ this thre8hold. BAnk loam and overdrafts after five yea The baDk loaD i8 8 bounce back loan extended to 10 y¢ar8. Th0 int¢re8t rnte 18 2.51/10 With capital repa￿Dents over 9 years from 6 July 2022 of U55.25pn Otber loans after ilve ye2 LAkeland Arts (the parent compaay) ha8 bormwed £125,478 frorn the endowment fund inv¢stm¢nts held by IAkeland Arts Th￿t {25% a8 allovled by the CkHTity Comnlls8ion) ond will repay this over 20 years paying interest at 525%. 24 ren￿0￿ and other 8cheme• Defffled eoAtrlbuthin penthn •cb¢me The group operate8 a definal cfjntribution pension scheme. The pension cost charge for the year rry)re8ents ¢ODtribution8 payable by the ￿￿p to the gcbeme and amount¢d to £22.778 (2023 - £21,744). Page 59

Lakeland Arts Notes to the Flnanclal Statements for the Year Ended 31 March 2024 Deflned benefit peDJlon Khemei Cumbrla Lo￿1 Government Pen•lon Sehem• Lakeland ATts Tn￿t 15 a memkn of the Cumbria L4)cal Governnxnt P¢n5ion Scheme. This 18 a multi-¢r¥loyer scheme and the fiwes in these a¢couDts are from the late8t rq)ort on LakelAnd Arts 8bare of tho Scheme. The dat¢ of th¢ mo81 r¢¢ent ¢omprehensiv¢ valuation wa8 31 March 2022. The total L¥>5t rciatin8 to dcfineAI benefit Bchern￿ for the year Teco8uised in profit or 1088 a8 an CXPCD5C wa8 2J18 (2023 - £10,900). The totsl ¢08t r¢lating to defined b¢nefit 8¢h¢m¢8 for the year included in the cost of aD a88et was - {2023 - b). Reconcllldllon ofscheme and IIAblllth lo aHd IIAbllllles recoxmlsed The amounts reco8ni8ed in the statement of fllwKial position orn 88 follows: 2024 2023 Fair value of scheme 488ets Pregent of defined benefit obJi8ation Defined b¢nefii p¢ngioD th sU￿lU￿(d¢fiol¢) 1374,iJ)O 1.352.000 1,347,C 1369,IXJO 22,0 Cban8¢8 in th¢ d¢fjn¢d b¢n¢fit Ob￿s8￿0n w¢ u follo•w8; 21)24 Pres¢nt value at start ofyear Currats $￿VICe cost Interest C08t Actuarial Bains and1086eB B¢t)efits p￿d Pre8¢nt value at ¢nd of y (1,369,(100) (2,000) (64.￿J) 77.IXK) 1,351000 F4ir ofxheme Chan8e8 in the fair value of scheme assets arc u followy: 2024 Fair value at start ofy Interest income Return on plan assets. exclu(ting wnounts inclth in intere8t incomel(exp¢n8e) Employw ￿￿trIbutions Benefits paid lJ47.0(Ki 38,(X)O 2.000 77.0(KJ Fair valu¢ at ¢nd of year 1.374,(KX) Pa8¢ 60

l.akeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Analysis ofa&vets The major Categori￿ of scheme assets are 88 follows: 2024 2023 Cash and cash equivalents Equity instruments Gov¢rnm¢nt bonds Propety Other 21,0(Ki 509,0(KI 183,000 i 10.000 55J,000 1,374,000 35,000 492,000 189,000 104,000 527,000 1,347,(KiO Return on.Icheme a.v.fets 2024 2023 Return on scheme assets 102,0(K) 58,000 Thc pcnsion schcrnc has nol invcstcd in any of the group's own financial instNmcnts or in propcrtics or olh¢r &98els used by the group. Principal acth4iTAI assumphon The priiiknipal actuarial assumptions at the statement of financial position date are as follows: 2024 2023 Mortality rat¢ Discount rate Future salary increases Future pension inLrc&scs Infiation 1.50 4.90 4.20 2.80 2.70 1.75 4.90 4.20 2.80 2.70 Post r¢dreMent morthlity 4SSUmPllons 2024 Yeari 22.00 24.00 23.00 26.00 2023 Years 22.00 24.00 23.00 26.LKI Current UK pensione15 at retirement age - male Current UK pensioners at retirement age - female Futhre UK pensioners at retirement age - mal¢ Futurc UK pcnsiuncrs at rclircmcnt a¥c - fcmalc Multi-employer plans This is a defined benefit plan. Page 61

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 25 Reservej Group Penslon reserve TotAI At l April 2023 Other r¢s¢rv¢ movements 22.(KlO 22,000 22,000 22,000 Ai 31 March 2024 Group Pen$lon reJ¢rve Total At l April 2023 Other reservc movcmcllts 340,000 318,000 340,(KIO 318.000 At 31 March 2024 22.000 22,000 The tn￿tccs havc considcred Accounting for an LGPS p¢n$ion surplus and the asset ceiling. The ￿￿tee8 do not consider there is a qurplus to recognise. as they do not belicvc th¢r¢ is an economic b¢nefit. The charity is not abl¢ to ¢laim 8 r¢fund from the LGPS. The trustees have r¢vi¢w¢d the report providcd by McrLcr. which providc8 addilionul infonnalion relating lo accouDtln8 surplus as of 31 March 2024. The present value of full￿¢ accounting service cost is Ii)wer than the pre5cnl valuc of primary conlribulions, Iherefore a surplus should not be re¢o8nised, 26 Commltmentj Group Capllxl commltmenl$ Th¢ charity committed to payments for particular exhibitions which had not been paid for at 31 March 2024 The total amount contracted for but not provided in the financial statements was £23,750 (2023 - £Nil). Charlty CapltAI commltments The charity was committed to payments for particular exhibitions which had not been p&id for at 31 Ma￿h 2024 The total amount rontra¢t¢d for but not Provided in the financial statements was £23,750 (2023 - £Nil). Page 62

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 27 Funds Group Ba12nce Balanee Other 2tJl at l April Incoming Resoure recognl$ed March 2023 reyources expended Transfers g*lnsl(Iosses) 2024 UThrestrlcted fund$ Gen¢rnl General thnds 94.914 2.547.054 (3,117,501) 41,499 500 (433,534) D&Yignated Pension scheme deficit (22,000) 22,000 Tot81 unrextrleted fundi 72,914 2,547,054 (3,117,5nl 41,499 22,500 (433,534) Restrleted funds Windern]ere Jetty Construction Windernier¢ J¢Cty Capithl NLHF loan Collcction5 Fund Blackwell EndoMTnent Aurelius Trust (Blackwell Lihrary) Exhibitions and Lolle¢tions Soci81 Enterprise Funding Sir Nicholas Goodison Award AH Nature & Partnership Grant AH Participation & learning Boat conservation grant5 Going Places Grant DCMS/Wolfson Climate Gallery The John Ellernian Foundation Esme¢ Fairbairn Foundaiion Amy WillianKs Workshop8 MuseUrn5 Association Restricted legacy income 16,923,244 113,216 (1,200,000) 5,000 (155,378) 16,767,866 113,216 (1.200,000) 149 (4,851) (19,827) 19,827 1,163 .163 5.000 (5.000) 7,306 7,306 21,000 {563} 20,437 20,11)0 5,000 43.750 500 20.000 3.609 .000 500 (1,391) (42.750) 40,485 (39,056) 1,429 13,055 40,000 1,982 150 50.000 (2,034) (6,250) (1,982} (150) 11,021 33,750 50.000 Total restricted funds 15,849,929 260,749 (279,232) 15,831,446 Page 63

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Balance BAlrdnce Other t31

t l Aprll In¢omln8 R¢sour¢¢$

recogniscd Morch 2023 resources expended Transfers gAlnsl(105ses) 2024 Blackwell Endomrynent 547.860 19.651 28.290 Tolal funds 16,470,703 2,807,803 (3,416,384 50,790 15.912,912 Balanee Balance Olber at31 at l April Incornlng Resources recogDl$ed Mareh 2022 resources expended Trxnsfers gainsl{lo$$es) 2023 Unreytrlcted fundi GeneMI General funds 318,619 2,575,109 (2,708,449) (40,987) (49,378) 94,914 Designaled Pen¥ion s¢hem¢ deficit 340,000 3,000 315.0￿ 22.000 Total unrejtrlcted fundi 21,381 2,575,109 {2,705,449) (40.987 265,622 72,914 Re8trlcted lundg Winderniere Jetty Construclfton W1ndem￿re Boat Collection Wind¢rniere Jetty Capitsl Prior year adjustment for WJ retention 17.078,622 19,040 276,874 (155,378) (19,040) 16,923,244 (168,658) 113,216 (168,658) (1,200.000) 5,000 168,658 NLHF lo&n Collection5 Pund Archite¢tural Herita8¢ Fund South L8kelat)d District Council Blackwell Endowment Kendal TO￿ Council Aurelius Trust (Blackwell Library) Social Enterprise Funding Abbot Hall Redevelopment Areti Charitsble Trust Natiot]al IA>tt¢ry Heritage Fund. Resilient Hcrita8C Boat conservation granls The John Ellernwi Foundation Art Fund (1,200.000) 5.000 15,000 (15,000) 27,51)0 19,403 5,000 (27,500} {26,008) (5,000) 6,605 .163 10,000 43,123 2,991 1,163 7.306 (2,694) (103,132) {2,991) 20,(X)O 40,009 22.950 90,51K> (22.950) (90,500) 13,194 4,998 Page 64 (13,194) {17.750) 12,752

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Bglance Other at31 t l Aprll Incomlng Resourc r¢￿Ell￿ed m￿Ch 2022 rewurcei expended Tranifen galns10os￿8) 2023 0*￿tId W¢8ton Foundation (3r8nada Foundation Clore Duffi¢id Foundation 37,592 (37,592) (5,000) S.OiJ) 978 Total re8trkted fundj 16.143.930 228,545 (563,533) 40,987 15.849,929 Pern14n¢nl Bla¢kw¢ll Endowment Totsl fundj 228 482 16 470 703 Page 65

Lakeland Arts Notes to the Flnaneial Ststements for the Year Ended 31 March 2024 Charky BAlamee at 31 March 2024 Balance at I Aprll 2023 IAeomlng r¢wllr¢ Ruour¢ expended UDr•Jtrlcted fpndo 219222 1,655207 (2,312,098) (437.669) Witiden￿ Jetty Construction windernK￿ Jcty Capital Fund8 NHLF loan Collection tlJnd8 Boat wn8rntlon fiu DCMSIWolfson C]inwt¢ (hllery SOCI￿ F￿t￿prI￿r Fundin E&mee Fairbairn Foundation Aureliu8 TruAt IB]ackwell Libr￿) Exbibitions & Collections fimd8 Sir Ni¢bol88 Goodi80n AwArd AH Nature & Partnership Grant AH Participation & learnin8 Th• John Ellern)an Poundation Going PlaceB (3rHDt Amy Williams works1￿p￿ MUS¢un￿ As80¢iation Reytrictcd legacy income 16,923,244 113.216 (12￿),000} 5,000 (155.378) 16,767,866 113216 (121)0,000) 149 (4,851) (42,750) (39,056) 43,7JO 40.485 1.429 7,306 33,750 1,163 7.306 40,000 (6,250) 1.163 (5.000) (563) 21,000 20,000 20,437 20,(K)O 3.609 11.021 500 (1.391) {2.034) 13,055 500 1,982 150 (1,982) (E50) Tot1 r4thted fundi 15,849.929 259,405 240.922 ￿ 15,831,446 Total fun 16069 I51 2,571503 I,896,129 15,393.777 Page 66

Lakeland Arts Notes to the Flnanclal Statements for the Year Ended 31 March 2024 Bal#n¢e BAl2nee Other a131 At l Aprll Ineomlng Resources recognised Mgrch 2022 resour¢¢s exp¢nd¢d Transf¢rs gainsl{Ios8es) 2023 Unre5trkted funds General ￿ndS 469.051 1.900,954 {2,069,796) (40,987) (40,000) 219,222 Restrkted fund8 Windermere Jetty Construction Windcrniere Jetty Capital Funds Prior ycar adjustmcnt WJ retention NHLF loan Collection fimds Windcrnicrc Boat Collection Boat Conservation funds Social Enterprise Funding Areti Charitable Trust Aurelius Trust (Blackwell Library) Blackwell endowTrcnl incomc Abbot Hall Redevelopment South Lak¢land Distrtct Council National Lottery Heritage Fund Resilience knhitcclwal H¢ritag¢ Foundation The John Ellerman Foundation Art Fund Garfi¢ld Wcston Foundation Granada Foundation Clorc Dufficld Foundation Kendal Town Council 17.078,622 (155,378) 16,923.244 276,874 5,000 {168,6S8) 113.216 (168,658) (1,200,000) 5,000 19.040 168,658 {1,200,000) 5,000 (19.040) (90,500) (2,694) (2,991) 90,500 10,000 2,991 7,306 1.163 1,163 26.008 20,000 {26,008) (103,132) 43,123 40,009 27,500 {27,500) 22.950 (22,950) 15,000 (15,000) 13,194 4.998 (13,194) (17,750) (37.592) (5,000) (19,804) 5.000 12,752 37.592 5,000 18,826 978 Total restrlcted funds 16,137,325 235,150 563,533 40,987 15.849.929 Tntal funds 16,606,376 2.136,104 {2,633,329 40,000 16,Q69,151 Page 67

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 Mar¢h 2024 28 Analysls of net assets between funds Group Unregtrficted funds General Endowment funds Permanent Total funds at 31 March 2024 Restrlcted funth Tangible fixed assets Flxed asset investments Current assets Current liabilities Cr¢ditors over l year 20,023 16,767,866 16,787,889 426,805 623.409 {675.137) (1250,054) 15,912,912 426,805 88,195 271.634 (675,137) 50.054 263,580 1,200,000 Total net assets 433,534 15,831,446 515,000 Endowment Tolal fund$ funds *t31 March Pernlanent 2023 Unre8trlcted fund8 CenerAI Designated Rejtrleted funds Tangible fixed Assets Fixed investments Current assets Currenl liabilities Creditors over l year Pcnsion schcme liability 192,011 178,373 37.718 (272,303) (40,885) 16,923,244 17,115.255 726,233 333,061 {272.303) (1.409.543) 22,000 547,860 295.343 (1,368,658) 22,000 Totsl net assets 22.01 94,914 ￿ 15.849.929 547,860 16,470,703 Page 68

Lakeland Arts Notes to the Financial Statements for the Year Ended 31 March 2024 Charlty Unr¢strl¢ted funds GenerAI TotAI funds at 31 March 2024 Restrlcted funds T2n8ible fixed assets Fixed asset investments Currcnt ass¢t$ Current liabilities Creditors over l year 20,023 16,767,866 16.787,889 319,963 {602,125) 175,532) 263,580 583,543 (602.125) 1,375.532 1,200,000) 15,831,446 Total net assets (437.669 15,393,777 Unre%trlcted (unds General Total funds #t 31 March 2023 Restrltted funds Tangible fixed asset4 Fixed asset investments Current ¥75scts CU￿en1 liabilities Creditors over l year 192,011 150.002 152.115 {234.021) 40,885) 219.222 16,923,244 17,115,255 150.002 447,458 (234.021) (1,409,453) 16,069,241 295,343 1,368,568) Total net assets 15,850,019 29 Allatysls of net fundi Group At l Aprll 2023 FlnAnclng taih At 31 March tlows 2024 Cash at bank and in hand Debt due within one year D¢bt due after more than one year Finance leases and hirc purcha5¢ ¢ontracts 165,786 (7,410) (1,409,543) 67,059 1.156 159,489 (34,863 232,845 (6.254) (1,250.054) (34,863) Net debt 1,251,167 192,841 1,058,326 At l Aprll 2022 Flnanclng c*sb At 31 Mareh flows 2023 Cash at bank and in hand Debt duc wiihin one year Debt due after rnore than one year 420,890 (5,463) (1,412,846 (255.104) (1.947) 3,303 165.786 (7,410) (1,409,543} Net debt (997,419) (253,748 1,251,16 Page 69

Lakeland Arts Notes to the Flnancial Statements for the Year Ended 31 March 2024 30 Related paty transactioni Group There were no related party tratxsactions in the year. Charlty There were no related party transactions in the year. Page 70