## THE PALACE TRUST 

(A Charitable Company Limited by Guarantee) 

## **ANNUAL REPORT AND FINANCIAL STATEMENTS** 

**FOR THE YEAR ENDED 31 DECEMBER 2024** 

**COMPANY NUMBER: 09404519 CHARITY REGISTERED IN ENGLAND AND WALES NUMBER: 1160830** 



## THE PALACE TRUST 

|ed|CONTENTS<br>ed||
|---|---|---|
|**Reference and Administrative Details**||4|
|**Trustee Directors’ Report**||5|
|**Independent Auditors Report**||22|
|**Consolidated Statement of Financial Activities**<br>26|||
|**Balance Sheet and Consolidated Balance Sheet**<br>27|||
|**Statement of Cash Flows and Consolidated**|**Statement of Cash Flows and Consolidated**|29|
|**Statement of Cash Flows**|**Statement of Cash Flows**||
|**Notes to Financial Statements**||30|





**3** 

## Annual Report 2024 Foreword 

Welcome to the Report and Accounts for 2024. That sounds rather dry doesn't it?! However, these documents tell the story of a remarkable turnaround in that after two years of losses the Trust achieved a surplus of£120,000. This is all thanks to you, our visitors, our superb team of staff and volunteers, the support of a number of Trusts and private donations, and of the Church Commissioners. We thank you all sincerely. 

However, it was not all plain sailing as the unpredictable English weather tried its best to disrupt things and other operational struggles presented their own challenges. We very much enjoyed hosting the crew and cast of Wolf Hall: The Mirror and the Light which gave us excellent coverage and much needed revenue, and we were delighted to see how enormously popular our Christmas Illuminations were in 2024, but one of the most significant initiatives in 2024 was the launch of our joint entrance ticket with Wells Cathedral which proved to be a great success. We recognise that The Bishop’s Palace is one of the jewels in the crown of our unique city of Wells and we continue to seek ever closer ties with the Cathedral and other city attractions and stakeholders. 

We welcomed just under half a million people over our drawbridge during the year and hope that they took away some very treasured memories. And not just of the cygnets we are privileged to observe each year! We said goodbye to four Trustees who retired in 2024 who were instrumental in making the Palace and grounds what they are today and welcomed four new ones thereby maintaining a strong team of Trustees with a wide range of skills. 

Last year was the penultimate year of our five year strategy and it’s pleasing to see so many of those aims and ambitions having been achieved. However, we strive continually to conserve and improve the Palace and its superb RHS partner gardens, and a number of projects were developed both during the year and which are on track for deliveryin 2025. These include delivery of a new multimedia device which deepens the experience of visiting the Palace building, but also changes to the visitor entrance, improvements to the Dragons Lair, our cafe, our community garden facilities and our Christmas offering. 

As a charity, community engagement has always been at the heart of what we do and page [9] of the report summarises just some of our activities here. But there is so much more we would like to do, and will do, in the coming years. 

We know that we live in increasingly uncertain times but we also know that our visitors are able to find tranquillity and peace here, and can return to their lives feeling refreshed. 

**Roger Hawes Merryn Kidd Chair Chief Executive** 



**4** 

## THE PALACE TRUST 

## Reference and Administrative Details 



>>> THE PALACE TRUST <<<
Trustee Directors
Report
The Trustees, who are also directors for the purposes of the Companies Act, present their report and the
financial statements of the charity for the year ended 31 December 2024, which are also wepared to meet
the requirements for a directors, report and accounts for Companies Act purposes.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to
the financial statements and comply V￿th the Charities Act 2011, the Companies Act 2006, the
Memorandum and Articles of Associalion. and Accounting and Reporting by Charities" Statement of
Recommended Practice applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)
The full name of the Chanty is The Pala￿ Trust. It was incorporated on 26 January 2015 as a company
limited by guarantee. Its company registration number is 09404519. Its charity registration number is
1160830. The Charity is vanously referred to throughout this repcfft as either "the Charity., "the Company.
or "the Trust"
References and Administrative Details
Administrative informats'on is given in a separate sects'on at the front of these accounts.
Directors and Trustees
The directors of the Company ale the Chanty's Trustees for the purpose of charity law and throughout this
report are collectively referred to as the Trustees.
The Trustees serrfing during the year and Sin￿ the year-end are as foll0v￿.
Rt Revd Noel Michael Beasley
Gieg Beedle
Maureen Boylan
Caroline Brawley
Nick Denison
Paul Dickinson
Sam Forsey
Roger Hawes
Natasha Hopkins
Katharine NlacDonald
qichael Nlinta
Claire Revell
Peter Stickland
Rt Revd Trevor Willmott
Jul￿ Wills
(appointed 1 st June 2024)
(resigned 1 St December 2024)
(appointed 1 It September 2024)
(resigned 1* Decembet 2024)
(resigned 1" Nlarch 2025)
(Chair)
(appointed 1 St September 2024)
(appointed 21vJ May 2023)
(appointed 1" September 2024)
(resigned 1" December 2024>
(resigned 31st May 2024)
None of the Trustees have any beneficial interest in the Company All of the Ttustees are members of the
Company and guarantee lo contribute £1 in the event of a winding up.

## THE PALACE TRUST 

## **ANNUAL REPORT 2024** 

The Palace Trust’s Articles contain two charitable aims: a) to preserve for the benefit of the public the fabric of The Bishop’s Palace (as a place of historic and architectural interest) in order to facilitate access to The Bishop’s Palace by the public for their education and interest, and b) to promote such charitable purposes as will advance the religious and other charitable work of the Church of England in such manner as the Trustees shall from time to time decide and are approved by the Church Commissioners. 

Today, The Palace Trust continues to work towards these charitable aims, by opening The Bishop’s Palace and its fourteen acres of gardens up to the public and running it as a heritage site, visitor attraction and community asset, and via its community engagement programmes. 



**7** 

## ORGANISATIONAL STRUCTURE 

The Board of Trustees is responsible for strategy and supervision of the executive to whom they delegate responsibility for operations. The Chief Executive Officer is responsible for delivering the strategy with the senior management team comprising the following department heads: Catering, Visitor Experience, Community Engagement and Volunteers, Horticulture, Property Management, Marketing & Communications, and Finance & HR. Department heads are responsible for the day to day running of the operations and report directly to the CEO. 

An average of 51 staff were employed by the Trust and its subsidiary during the 12-month period ended 31 December 2024 with 51 in post at 31 December 2023 (22 full time and 29 part time). We had an average of 174 volunteers during the year. 

## KEY MANAGEMENT PERSONNEL REMUNERATION 

The trustees consider the Board of Trustees and the Chief Executive Officer as comprising the Key Management Personnel (KMP) in charge of directing and controlling the Trust and running and operating the Trust on a day-to-day basis. All trustees give of their time freely and no trustee remuneration was paid in the year. The pay of Chief Executive Officer is reviewed annually and normally increased in accordance with average earnings. The remuneration is also benchmarked with heritage organisations of a similar size to ensure that the remuneration set is fair and not out of line with that generally paid for comparable roles. Details of trustee expenses and related party transactions are disclosed in note 8 to the accounts, and details of other KMP remuneration are disclosed in note 9 to the accounts. 



AN AVERAGE OF 51 STAFF 

174 VOLUNTEERS 

10 TRUSTEES 

**8** 

# THIS PLACE WAS A TRUE SURPRISE WHEN WE VISITED ... THE SETTING IS BEAUTIFUL AND WITH EASY STROLLS ALL AROUND IT MADE FOR A LOVELY DAY OUT 

## SELECTION AND TRAINING OF TRUSTEES 

Trustees are appointed according to the skills and experience required to deliver a successful strategic Board which meets both as a board and in smaller sub-committees. The Church Commissioners have the right to appoint one Trustee and the Bishop of Bath and Wells also has the right to be a Trustee. A skills audit was conducted prior to the 2024 recruitment round in order to identify gaps in the skills and experience in the board of Trustees. 

Interviews for new Trustees are carried out by a Trustee panel before a decision on whether to appoint is made. New Trustees are provided with an induction pack of relevant information which is supplemented by a detailed induction programme involving the Chair and key members of staff. Trustees are encouraged to participate in ongoing training and an annual away day. 

## RELATIONSHIP WITH OTHER ENTITIES 

The management of catering, events (both corporate and private) and filming is undertaken by Palace Enterprises (Wells) Ltd (‘PEL’), which is a wholly owned subsidiary of The Palace Trust. Income generated by this subsidiary may be donated to the charity by way of an annual Gift Aid donation if available from distributable profits. 



**9** 

## STRATEGIC AIMS 

## **OBJECTIVES, STRATEGY AND ACTIVITIES OF THE TRUST** 

The charitable purposes of The Palace Trust are to preserve for the benefit of the public the fabric of The Bishop’s Palace and to promote such charitable purposes as will advance the religious and other charitable work of the Church of England. 

Today, The Palace Trust seeks to conserve and share the Palace and its story as a place of enjoyment and reflection for the benefit of all. The charity fulfils its purpose by taking forward detailed actions that meet five strategic objectives. 

Our Strategic Objectives, following the 3-year Strategy are to: 

1. Establish the Trust's identity and purpose to a diverse, inclusive & expanding audience. 

2. Deliver the benefits of wellbeing and a sense of community to more people. 

3. Develop the site to deliver the best visitor experience & welcome. 

4. Improve our environmental and financial sustainability. 

5. Develop the Trust’s reputation for excellence in Horticulture. 

## **1. ESTABLISH THE TRUST’S IDENTITY AND PURPOSE TO A DIVERSE, INCLUSIVE AND EXPANDING AUDIENCE** 

Our ambition is to welcome 160,000 paying visitors annually to the Palace by 2025. The ambition is based on three approaches. First, the development of the visitor offer, with significantly improved interpretation around the built heritage of the site. Second, a broader, more dynamic public events programme. Third, by making our heritage accessible to those who will benefit from it the most, who do not currently have the means to engage. 

## **2. DELIVER THE BENEFITS OF WELLBEING AND A SENSE OF COMMUNITY TO MORE PEOPLE** 

We want the Palace to be a best practice model of community engagement, and for our organisation to become a focal point for the community in which we operate, working in partnership to achieve better outcomes for the people who will benefit from our site, facilities, and expertise the most. 



**1 0** 

## **3. DEVELOP THE SITE TO DELIVER THE BEST VISITOR EXPERIENCE & WELCOME** 

By 2025 The Palace Trust aims to have embarked on a transformation of the visitor experience of the Palace buildings. New interpretation will be engaging, immersive, and will transform people’s understanding and enjoyment of The Bishop’s Palace. 

## **4. IMPROVE OUR ENVIRONMENTAL AND FINANCIAL SUSTAINABILITY** 

A sustainable future is dependent on three key areas; sustainability in terms of environmental impact – an essential area of focus which will assist both our financial performance and also our desire to care for and conserve the natural world and our heritage assets for future generations to enjoy; financial, and social sustainability. The Palace Trust will have made substantial progress towards a net zero carbon footprint by 2025 and will have rebuilt the ability to generate a surplus, depleted in recent times since the coronavirus pandemic. 

## **5. DEVELOP THE TRUST’S REPUTATION FOR EXCELLENCE IN HORTICULTURE** 

The Gardens are the Palace’s most high-profile primary asset as 2024 saw the 9th consecutive year as an RHS Partner Garden. We want to inspire and train the next generation of gardeners and enhance and protect the natural and semicultivated environment in the gardens to support nature and wildlife, and adapt to the ever-changing climate in an holistic manner. 

## PUBLIC BENEFIT 

In setting The Palace Trust’s preceding aims and following activities, the Trustees have given careful consideration to the Charity Commission’s guidance on public benefit and continue to preserve and make accessible The Bishop’s Palace and its fourteen acres of gardens to the public, as a place of historic, architectural and landscape interest. 

The Palace Trust achieves its purpose by opening the site to the public throughout the year, aiming to engage a diverse audience through a programme of public events, activities, exhibitions, its commercial activities and its community engagement programme. The Bishop’s Palace is central to the experience and enjoyment of Wells and will remain so as The Palace Trust continues to grow and expand its public offer, in particular with the introduction of community engagement measures designed to reach out to those most in need for little or no cost to them. The Palace Trust undertakes an annual plan of conservation and repair works ensuring The Bishop’s Palace remains in the public domain for future generations. 



**1 1** 

## STAFF ALL LOVELY, GARDENS IMMACULATE. GARDENERS ALSO VERY FRIENDLY AND AFTERNOON TEA WAS ABSOLUTELY DELICIOUS. CAME AWAY HAVING JOINED FOR THE YEAR (TRIPADVISOR) 

## ACTIVITIES 

2024 was a year of consolidation and growth for the organisation. Several successful key staff appointments were made throughout the year including a new Visitor Experience Manager in January, a new Head of Finance and HR in May, a new Weddings Manager in August, and a new Chef, Kitchen Assistant and Cafe Supervisor in November. As four Trustees retired in 2024, four new ones were recruited. 

A new ticketing platform was launched online in January 2024, allowing a much easier online booking system, and subsequently the platform was rolled out to all sales, in person and online, facilitating quicker entry, enhancing event pre-sales, and allowing easy booking for the cafe offerings. A new joint ticket, allowing entry to both the Palace and the adjacent Wells Cathedral was launched in April following Wells Cathedral’s introduction of charging for entry, and it has proved to be very successful with tourists to Wells, and a wonderful opportunity to work with our close neighbours. 

Changes inside the Palace buildings were made throughout the year, following our ongoing Interpretation project to develop the site into an allweather destination. The East Gallery was opened in February, displaying our own small but significant permanent collection, and new items formerly kept hidden in the Bishop’s safe which are of great interest to the visiting public. The Wynne Willson Study was launched; recreating the Drawing Room as it might have been during Bishop Wynne Willson’s time (1921-1937) with music, furniture, newspapers, pastime objects and decoration from that period, and the Long Gallery was updated with a new table display and interpretation. Interpretation panels detailing our stories around the Transatlantic Slavery connections were displayed in the Wynne Willson Study. Work continued throughout the year on research and development for the launch of digital multimedia guides, and a welcome video for the Entrance Hall and these will be launched in January 2025. 

In July, we were delighted to install a new, interactive stained-glass sculpture of the Moon in recycled materials by local artist Edgar Phillips in the outer gardens. The same artist has been commissioned to create a bespoke interpretive tabletop to showcase the legs of Bishop Ken’s table in our Entrance Hall for early 2025. 



**1 2** 

# WE HAD THE GUIDED TOUR WITH DAVID WHO WAS SO KNOWLEDGEABLE AND FRIENDLY, AND MADE OUR VISIT SPECIAL 👍 (TRIPADVISOR) 

## ACTIVITIES (CONT) 

A new ‘Book Nook’ to sell second-hand books was created in an unused bastion by our maintenance volunteers and opened in July. It is being run by volunteers and has proved to be very popular with visitors, raising a few hundred pounds per month. 

Our very busy Café was given a full refurbishment and redecoration, bringing the garden indoors with a plant effect wall, copper tables, plant-draped statement ceiling lights, neon signs, and new colour scheme, and a range of new seating. Not only has this changed the ambiance inside, but it has also allowed more covers within the same space and better access for those with mobility aids. 

creating a Splash Play area in The Dragon’s Lair, using spring water; widening and potentially moving our Willow Bridge in order to create better access for those with mobility issues to our outer gardens; and finally assessing the potential to install solar panels on the rooves of the Palace and Chapel buildings that are hidden from view. We hope to carry out all of these projects in 2025, subject to permissions. 

Finally, a much-needed refresh of the ladies and accessible facilities in the Stable Yard Area took place, with new flooring, tiling, painting and mirrors, alongside newly sprayed magenta pink cubicles! 

Development plans for the site were accelerated during 2024 and planning permission was granted in late autumn for works in the Community Garden to provide shelter and more accessible inside space with suitable facilities for our groups using the area. Much work was carried out on developing ideas and drawings and taking advice for several projects including: moving our Visitor Reception to a larger space in the Stable Yard area and creating a new entrance to the grounds (planning application and LBC submitted in December 2024); 



## **PERFORMANCE** 

2024 was a very different year from the two previous years in terms of performance, and the team was delighted to return a surplus of £119,000 – double the budgeted surplus, representing an improvement of £180,000 on 2023. 

We welcomed 490,500 over the Drawbridge and of those, 140,170 paid to enter the site, which represented an 11.8% increase on 2023. 

Key factors leading to the success included: 

- Welcoming the crew and cast of BBC’s Wolf Hall: The Mirror and The Light to film at the Palace for two weeks in March - a wonderful opportunity to showcase our stunning medieval rooms and gardens on screen, and to generate additional income; 

- The success of the discounted joint ticket with Wells Cathedral which allows tourists to enjoy both sites; 

- Strong performance in the summer from the cafe and its associated new outlets around the site; 

- A new pop event (a Queen tribute act) which saw 600 people enjoying the music on our Croquet Lawn for the first time; 

- The Christmas Artisan Market, which was more successful than ever with record numbers of visitors, A very busy Christmas at the Palace, including large numbers of visitors buying a new ‘evening only’ Christmas Illuminations ticket, along with our decision to open the site between Christmas and New Year for the first time which likely added around £25k to our income. 

The Trust was exceptionally grateful to several trusts and foundations for their support in 2025, including the Boshier Hinton Foundation, the David Medlock Foundation, and The Clarks Foundation, and to the Church Commissioners for their support. 

**1 3** 



**1 4** 

## COMMUNITY ENGAGEMENT 

In 2024 we gave 200 free annual passes to those who would benefit most from access to our place of peace, beauty and tranquillity (this included people using the local food bank). In addition to this we gave 82 annual passes to children and their families on pupil premium at a local school. We donated raffle prizes to a 40 local groups. We also gave out 60 community membership passes to local groups that would benefit from accessing The Bishop’s Palace and Gardens who might not otherwise have been able to visit. In addition to this we gave some free venue hire so that some local groups could celebrate here or hold regular meetings eg bereavement group, carers group, Refugee Week Exhibition. 

This year we broadened the range of learning opportunities. We continued to offer some free visits to local schools which totalled 1171 pupils visiting this year. We ran some free nature courses for learning disabled adults and a yoga course for neurodiverse people. We worked in partnership with Museum To You to deliver outreach sessions to over 100 people living in local nursing homes and over 100 learning disabled adults, so they could enjoy learning about The Bishop’s Palace. With Historic Houses Association we developed a new learning module for educators on sustainability and reducing our carbon footprint, and shared this with other members of Historic Houses in the South of England. We worked in partnership with three local groups to deliver sessions in our community garden for young people and adults needing extra support. We also worked with Wells Transatlantic Slavery Group to pilot a learning module on the subject for primary schools. We more than doubled the number of students coming on work experience from previous years to fifteen. One member of our team completed their apprenticeship. Our Young Photographers’ Competition attracted more than 150 entries and we offered some free workshops to encourage participation. 

THIS WAS AN AMAZING DISCOVERY AND WELL WORTH THE JOINT TICKET PRICE WITH A VISIT TO THE CATHEDRAL. THE GARDENS WERE BRILLIANT WITH LOTS OF DIFFERENT AREAS TO EXPLORE. THE PALACE WAS VERY INTERESTING WITH PLENTY TO LEARN ABOUT IN THE VARIOUS ROOMS AND EXHIBITIONS. 



## **2024 AT A GLANCE** 

490,500 

Crossed the drawbridge 

140,170 Visitors paid to enjoy the Palace & Gardens 

2,513 

Memberships were bought or renewed 

over 100 days Of public events and activities 200 Free annual passes to those who would benefit most ee \ 82 Annual passes to children and their families on pupil premium 1,171 Pupil free visits from local schools 

Welcomed new Visitor Experience Manager; Head of Finance and HR; Weddings Manager, Chef, Kitchen Assistant and Cafe Supervisor 

3 

Groups per week in Community Garden 

5 Cygnets born 

69,000 cups of coffee and 34,000 pieces of cake sold in the newly refurbished café 



**1 6** 

## VOLUNTEERING OPPORTUNITIES 

This year 177 volunteers contributed just over 17000 volunteering hours to our organisation. There are 14 different volunteer roles requiring a time commitment of between 2 hours per fortnight to a day per week, which means there is a range of opportunities to suit everyone. We organised two new family volunteering days which went well. The number of volunteers who need extra support to take part, doubled from seven to fourteen which was a great achievement. We continue to offer a comprehensive training programme, out of pocket expenses, a volunteer website, and regular social events, to make the volunteering experience at The Bishop’s Palace as rewarding as possible. The Palace Trust is extremely grateful for the loyalty and contribution of its volunteers who not only make the effective running of the site viable through their gift of time, knowledge and skills but who benefit from their engagement with our work, to deliver our charitable objects. 

## **FUTURE PLANS** 

2025 will be the final year of our current Strategic Plan, and the management team and trustees will meet in March 2025 to begin the path to creating a new strategy for 2026 and beyond. 

A bite-sized version of our 2025 Business Plan can be found on - our website, or via this link https://bishopspalace.org.uk/wp content/uploads/2024/12/Bitesize-Business-Plan-2025compressed.pdf 

The final year of our plan includes the aims that, by the end of 2025, we will: 

- Be an example in the South-West for inclusivity and diversity in our operations, events, interpretation and welcome. 

- Have transformed the interpretation of the historic interiors and be sharing the captivating stories they hold. Put learning and education at the heart of all we do with programmes of structured and informal learning activities for a broad range of audiences. 

- Optimise our continued status of RHS Partner garden by offering a range of horticultural courses and workshops. 

Have maximised all revenue streams and significantly increased surplus. 

- Have implemented improvements to The Dragon’s Lair area. 

- Have proceeded with or rejected a new Visitor Reception. 

- Have installed an accessible loo, and completed works to the Community Garden area to create adequate facilities for user groups. 

- Be fully engaged with the local community, offering high quality employment, volunteering opportunities, and pathways to employment across all our work. 

Have improved our environmental performance in energy consumption, on-site production and storage. 

- Have reduced by 50% our carbon footprint (from 2022 baseline) through investments in renewable energy production & storage proposals, in partnership and with external funding. 




**1 7** 

## **2025 PROJECTS** 

## Visitor Reception 

Move Visitor Reception to the Stableyard Room, creating a new entrance into the south gardens, allowing level, wide access for all, along with more space suitable for our growing numbers, and a retail and membership area 

## Community Gardens Access for all 

Capacity building of Community Gardens facilities to enable groups to engage all year round and in all weathers. Create more shelter, space for growing, outdoor tap, accessible toilet, bifold doors to maximise indoor/outdoor space. 

## Environmental Sustainability 

Install solar panels on the hidden rooves of the Palace and the Chapel, and carry out research into possibilities of increasing footprint and capacity of our water source heat pump. 

## Interpretation 

Work with Bloomberg Connects to create content for app to use in the Gardens and exteriors of the Palace. Create new interactive interpretation in the Wynne Willson Room, and explore potential for an immersive experience in the Conference Room. 

## The Dragon’s Lair Water Play and Sensory Trail 

Install a new, water play area with raining trees, squirting fountains, splash pool etc, and investigate potential for sensory trail (for barefoot play etc) 

## Willow Bridge 

Double the width of the bridge and move it to line up with the small door to the outer gardens to allow unimpeded access to those using mobility scooters or wheelchairs, and children’s prams and buggies. 



**1 8** 

## **FINANCIAL REVIEW AND RESERVES POLICY** 

The Palace Trust’s financial position improved over the year by £34,345 at year end, the Trust had unrestricted net assets (excluding the trading subsidiary), of £1,260,850, £569,102 of which is designated and £207,307 is Tangible fixed assets. It is the charity’s policy not to commit The Palace Trust to any new major programme of work until sufficient funds are accumulated in reserves to satisfy existing obligations. 

## RISK POLICY 

The Trustees undertook a comprehensive review of risks during the past year and maintain a register of those risks which would affect the reputation and financial status of The Palace Trust. This register is maintained by the Trustees and includes a ranking of risk that takes account of likelihood and severity of impact. Risks that could have a material impact on The Palace Trust are singled out for particular attention. 

- A prolonged period of inclement weather. Wet weather can lead to a drop in footfall and thus visitor income. This is mitigated by steps taken to increase footfall in the shoulder months thereby reducing the reliance on summer months, and in the long term to develop the site as an all-weather attraction. 

- Long term conservation and use of the site. The Bishop’s Palace and gardens is owned by the Church Commissioners and the long-term conservation and use of the site is governed by a Management Agreement between The Palace Trust and Church Commissioners. We are in active communication with them regarding longer term arrangements for the Trust to continue to manage the site for the benefit of the community. 


## RESERVES 

Each year the Trustees review the level of free reserves. The Board considers the exposure to major risks in terms of their likely impact on its income sources and planned expenditure in the medium term. 

Free reserves are defined as those available for the use by the Charity that are deemed to be readily realisable, less funds that are restricted or else designated for particular purposes. 

This therefore excludes £207,307 tangible fixed assets that will continue to be used in the day-to-day running, and restricted funds of £nil. 

The policy is to have a Trust Reserve for unrestricted funds at the year-end of sufficient size to cover the period from January to March when The Palace Trust runs at a deficit. The Trust Reserve therefore equates to 3 months of forecast expenditure. As at 31st December 2024 this was £450,000. 

Other free reserves of £635,172 include £199,102 which has been allocated to the following projects as designated funds: 

- Conservation: improving the fabric of the property. Environmental: introducing renewable energy sources. Interpretation: enhancing the Palace visitor experience. 

- Community: expanding engagement across the Palace and gardens 



**1 9** 

## STATEMENT OF TRUSTEES’ RESPONSIBILITIES 

The Trustees (who are directors of The Palace Trust for the purposes of company law) are responsible for preparing the Trustee Directors’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and the group and of the income and expenditure, of the charitable group for that period. In preparing these financial statements, the Trustees are required to: 

- Select suitable accounting policies and then apply them consistently; 

- Observe the methods and principles in the Charities SORP; 

- Make judgements and accounting estimates that are reasonable and prudent; 

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

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

The Trustees are responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

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



**2 0** 

## STATEMENT AS TO DISCLOSURE TO OUR AUDITORS 

In so far as the Trustees are aware: 

- There is no relevant audit information of which the charitable company’s auditors are unaware; and 

- The Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. 

## AUDITORS 

The auditors, Albert Goodman LLP, are deemed to be re-appointed under Section 487(2) of the Companies Act 2006. 

## SMALL COMPANY PROVISIONS 

This report has been prepared in accordance with the small companies regime under the Companies Act 2006. 

By order of the Trustees. 

…………………………….. 

## R Hawes 

## Trustee 

The Palace Trust 

Date: ……………………… 



**2 1** 

Finally, we asked ChatGPT to summarise key themes from the feedback we’ve had from our visitors: 



The Palace Trust
Independent Auditors, Report to the Trustees and Members
For the Year Ended 31 December 2024
Oplnlon
We have audited the financial statements of The Palace Trust (Ihe 'parent charitable company,) and its
subsidiary (the 'group') for the year ended 31 December 2024, wfiich comprise the consolidated Statement of
Financial Activities, the consolidated and parent charitable company Balance Sheets, the consolidated and
parent charitable company Statement of Cash Flows, and Notes to the Financial Statements, including
summary of significant accounting poliaes. The financial reporting fraMeV￿￿[ that has been applied in th6ir
preparation is applicable law and United Kingdom Generally Accepted Accounting Practice, including
Financial Reporting Standard 102.. The Financial Reporting Standard applicable in the UK and Republic of
Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinlon the financial statements:
glve a true and falr view of the state of the group's and of the parent charitable companls affairs as
at 31 December 2024 and of the group's Incomlng resources and application of r8sources for the year
then ended.
have been properly prepared In accordance with United Klngdom Generally Accepted Accounting
Practice,. and
have been prepared in accordance with the requirements of the Companles Act 2006.
Basls for oplnlon
W8 conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and
applicable law. Our responsibilities under those standards are further described in the Auditorfs
responsibilities for the audit of the financial statements section of our report. We are independent of the
group and parent charitable company in accordance with the ethical requirements that are relevant to our
audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our
other ethical responsibilities in accordance wth these requirements. We believe that Ihe audit evidence we
have obtained is sufficient and appropriate to provide a basis for our opinion.
Concluslons rnlatlng to going concern
In auditing the financial statements, we have concluded that the trustee's use of the going concem basis of
accounting in the preparation of the financial statements IS 8ppropriate.
Based on the work we have performed, we have not identified any material uncertaints'es relating to events or
conditions that, individually or collectively, may cast significant doubt on the entity's ability to continue as
going concem for a period of at least 12 months from when the financial statements are authorised for issue.
Our responsibilitles and the responsibilities of the directors wlth respect to going concern Ar8 described in the
relevant sections of this report.
Other Inlormatlon
The trustees are responsible for the other information, The other information comprises the information
included in the Trustees, Report, other than the financial statements and our auditorfs report thereon. Our
opinion on the finanaal statements does not cover the other information and, except to the extent otherv•ise
explicitly stated in our report, we do not express any form of assurance condusion thereon.
In connection wth our audit of the financial slatements. our responsibility is to read the other infonnation and,
in doing so, consider whether the other information is materially inconsistent with the finanaal statements or
our knowledge obtained in the audit or olherwse appears to be materially misstated. If V￿ identify such
material inconsistencies or apparent material misstatements, we are required to detemiine whether there is
material misstatement in the financial statements or a material misstatement of the other infonnation. If,
based on the work we have performed, vle conclude that there is a material misstatement of this other
Information, we are required to report that fact,
We have nothing to report in this regard.
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Page 22

The Palace Trust
Independent Auditors, Report to the Trustees and Members
For the Year Ended 31 December 2024
Opinion on other matter prescribed by the Companles Act 2006
In our opinion, based on the work undertaken in the course of the audit..
the information given in the Trustees, Report, which incjudes the Directors, Report prepared for the
purposes of company law for the financial year for which Ihe financial statements are prepared is
consistent with the financial statements. and
the Directors, Report induded within the Trustees, Report have been prepared in accordance with
applicable legal requirements.
Matters on whlch we are required to report by exceptlon
In the light of the knowledge and understanding of the group and parent charitable company and their
environment obtained in the course of the audit, we have not identified material misstatements in the
Directors, Report induded within the Trustees, Report.
We have nothing to report in respect of the following matters ￿ere Ihe Companies Act 2006 requires us to
report to you if, in our opinion..
adequatè and proper accounting records have not been kept by the parent charitable company, or
retums adequate for our audit have not been recAived from branches not visited by us,. or
the parent charitable company financial statements aré not in agreement with the a￿UntIng records
and returns., or
certain disdosures of trustees, remuneration specified by law are not made., or
we have not received all the information and explanations we require for our audit.; or
the trustees were not entitled to prepare the financial statements in accordance with the small
companies, regime and take advantage of the small companies, exemptions in preparing the
Trustees, Report and from the requirement to prepare a strategic Report.
Respon•ibllltlos of trustees
As explained more fully in the Statement of Trustees, Responsibilities set out on pages 19-20, the trustees
(who are also the directors of the parent charitable company for the purposes of company law) are
responsible for thé preparation of the financlal statements and for being satisfied that they give a true and fair
view, and for such internal control as the trustees detemine is necessary to enable the preparation of
financial statements that are frea from materlal mlsstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the group and parent
charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to
going concern and using the going concem basis of accounting un5ess the trustees either intend to liquidate
thè parent charitable company or to cease operations, or have no realistic alternative but to do so.
Audltorfs re8ponsibllitie8 forthe audit of the flnanclal statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a Mthole are
free from material misstatement, whether due to fraud or error, and to issue an auditorfs report that includes
our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit
conducted in accordance with ISAS (UK) will always detect a material missiatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate,
they could reasonably be expected to influence the economic decisions of users taken on the basis of these
finanaal statements.
A further description of our responsibilities for the audit of the financial statements is located on the Financial
Reporting Counal's website al vwm.frc.org.uklauditorsresponsibilities. This description fomis part of our
auditor's report.
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Page 23

The Palace Trust
Independent Auditors, Report to the Trustees and Members
For the Year Ended 31 December 2024
Irregularities, including fraud. are instances of non-compliance wÉth laws and regulations. We design
procedures in line wtth our responsibilities, outlined above, to detect material misstatemenls in respect of
irregularities, induding fraud. The extent lo vthich our procedures are capable of detecting irregularities,
induding fraud is detailed below..
The extent to whlch the audit was considered capable of detecting Irregularlties including fraud
Our approach to identifying and assessing the risks of material misstatement in resped of irregularities,
including fraud and non-compliance with laws and regulations, was as follows:
the eno8gem6nt P8rtn6r ansured that the engagement team collectively had the appropriate
competence, capabilities and skills to identify or recognise non-compliance with applicable laws and
regulations.
we identified the laws and regulations applicable to the company through discussions with
management, and from our commercial knowledge and experience of Ihe charity sector,.
we focused on specific laws and regulations which we considered may have a direct material effect
on the financial statements or the operations of the company, induding the Companies Act 2006,
Charity Act 2011, employment, data protection and hèalth and safety legislation;
we assessed the extent of compliance with the laws and regulations identified above through making
enquiries of management and insp8Cting legal correspondence., and
identified laws and regulations were communicated wthin the audit team regularly and the team
remained alert to instances of non-compliance Ihroughout the audit.
We assessed the susceptibility of the group's finandal statements lo material misstatement, induding
obtaining an understanding of how fraud might occur, by:
making enquirles of management as to wh8re they consldered there was susceptibilty to fraud, their
knowledge of actual, suspected and alleged fraud., and
considering the internal controls in place to mitigate risks of fraud and non-compliance viith laws and
regulations.
To address the risk of fraud through management blas and overrlde of controls, we..
performed analytical procedures to identify any unusual or unexpected relationships.
tested journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining the accounting estimates were
indicative of potential bias; and
investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-complianc6 with laws and regulations, design8d
procaduras wtbich induded, but were not limited to..
agreeing financial statement disclosures to underlying supporting documentation.
reading the minutes of meetings of those charged governance;
enquiring of management as to actual and potential litigation, daims and breaches of relevant
legislation; and
reviewing correspondence with the Charity Commission and other relevant regulators including the
group's legal advisors and insurers.
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Page 24

The Palace Trust
Independent Auditors, Report to the Trustees and Members
For the Year Ended 31 December 2024
There are inherent limitations in our audit procedures described above. The more removed that laws and
regulations are from financial transactions, the less likely it is that we would become aware of non-
compliance. Auditing standards also limit the audit procedures required to identrfy non-compliance with laws
and regulations to enquiry of the directors and other management and the inspection of regulatory and legal
correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect than those thal arise from error as
they may involve deliberate concealment or collusion.
Use of our report
This report is made solely to the group and parent charitable company's members, a8 a body, in accordance
with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might
state to the group and parent charitable company's members and trustees those matters we are required to
state to them in an auditorfs report and for no other purpose. To the fullest extent permitted by law, we do not
accept or assume responsibility to anyone other than the group and parent charitable company and the
group and parent charitable company'8 members as a body and the parent charitable company's trustee8 as
body, for our audit work, for this report, or for the opinions we have formed.
nCL(-O)
Michelle Ferns BSC (Hons) FCA DChA (Senior Statutory Auditor)
For and on behalf of Albert Goodman LLP, Statutory Auditor
Goodwood House
Blackbrook Park Avenue
Taunton
Somerset
TA12PX
Date: Q7.August 2Q25...
Produced by Albert Goodman LLP
Page 25

The Palace Trust
Consolidated Statement of Financial Activities (including an Income & Expenditu￿ account)
For the Year Ended 31 December 2024
2024
Total
2023
Total
Unr¢s-
tricted
Res-
tricted
Unre$.
trict•d
Ros-
tricted
Notes
Income from:
Donations and legacies
Charitable activrties
Other trading activrties
Investment
180,221
736,726
997,052
41,523
1,549
181,770
736,726
997,052
41.523
190,439
626,200
752,178
40,520
13,850
204,289
826,200
752,176
40,520
Total incom•
1,955,522
1,549
1,957,071 1,809,335
13,850 1,823,185
Exponditur• on:
Raising funds
Charitable activities
818,923
1,022,317
818,923
1,022,317
728,079
965,115
728,079
965,115
Total •xpendltur•
1,839,240
1,839,240 1,693,194
1,693,194
N•t (•xp•ndltur•) I Incom•
Transfer between funds
116,282
1,549
117,831
(83,859) 13,850
13,850 (13,850)
{70,009)
15
1,549
(1,549)
Oth•r recoqnlsod oalns
Unrealised (loss) I gain on
investment
1,241
1,241
4,703
4,703
Not mov•mont In
funds for Iho yoar
R•conciliation ol lunds
Total funds brought forward
119,072
119,072
(85,308)
(65,308)
1.229,739
1,229,739 1,295,045
1,295,045
Total funds carrlod forward
1,348.811
1,348,811 1,229,739
1,229.739
The statement of financial activities indudes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
Produced by Albert Goodman LLP
Page 26

The Palace Trust- Company Reglstratlon Number: 09404519
Balance Sheet and Consolidated Balance Sheet
As at 31 December 2024
2024
2024
2023
2023
Notes
Group
Charity
Fix•d ass•ts
Tangible fwed assets
Investrnents
Group
Charity
10
263,639
55,494
207,307
55,495
284,108
54,253
224,212
54,254
319,133
262,802
338,361
278,486
Current ass•ts
Stock
Debtors
Cash at bank and in hand
12
13
25,636
128,420
1,113,706
29,075
80,797
927,177
122,473
996,612
219,743
811,790
1,267,762
1,119,085
1,037,049
1,031,533
Llablliti•s'.
Creditors.. amounts falllng due w￿h1n
one year
14
1238,0841
1121,0371
(145,6711
(83,4941
Net ¢urr•nt as$•t8
1,029,678
998,048
891,378
948.039
To*al n•t assot$
1,348,811
1,280,860
1,229,789
1,226,506
Th• funds ol the charity:
Unrestricted funds.,
General funds
Designated funds
436,070
912,741
404,441
856,409
266,036
963,703
322,698
903,807
Total unrestricted funds
15
1,348,811
1,260,850
1,229,739
1,228,505
Restricted funds
15
Total cttarity funds
1,348,811
1,260,860
1,229,739
1,226,506
Produced by Albert Goodman LLP
Page 27

The Palace Trust - Company Reglstiatlon Number: 09404519
Balance Sheet and Consolidated Balance Sheet (continued)
As at 31 December 2024
The trustees have prepared group accounts in accordance with section 398 of the Companies Act 2006 and
section 138 of the Charities Act 2011. These accounts are prepared in accordance wilh the special
provisions of Part 15 of the Companies Act relating to small companies and constitute the annual accounts
required by the Companies Act 2006 and are for circulation to members of the company.
The notes on pages 30 - 50 form part of these accounts.
Approved by the Board for issue on
and signed on their behalf by..
R Hawes
Trustee
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Page 28

The Palace Trust
Statement of Cash Flows and Consolidated Statement of Cash Flows
For the Year Ended 31 December 2024
2024
2024
2023
2023
Notes
Group
Charity
Group
Charity
Cash flows from oporatlng activities
Net expendrture for the year
Adjustmenislo cash flows from non-cash items:
Depreciation and amortiS8tion
Investment income
Unrealised net (gain) I loss on investments
(Profit) I loss on disposal of fixed assets
119,072
34.345
(85,306)
{14,123)
10
74,859
(41,523)
(1,241)
4,234
50,820
(36,522)
(1,241)
80,509
{40,520)
(4,703)
1,245
38,902
(38,742)
<4,703)
783
11
155,401
47,202
(48,775)
(17,883)
Working capital adjustments
Decrease l (Increase) in stocks
(Increase) I decrease in debtors
Increase l (decrease) in credrtors
12
13
14
3,439
(47,623)
92.413
(20,866)
248
(23,990) (109,483)
18,174
14,831
97,270
37,543
Net cash flow from operations
Cash flows from Inv•sting activitl•s
Purchase of tangible fixed assets
Proceeds on disposal of fixed assets
Investment income
203,630
182.015
(75,457) (112,289)
10
(58,624)
(33,715) (150,231) {129,401}
250
40,520
41,523
38,522
38,742
(17,101)
2,807
(109,461)
(90,659)
Net increase in cash and
cash equivalents
188,529
184,822
(184,918) (202,948)
Cash and cash 8quivalents at the
beginning of the reporting period
Cash and cash equivalents at the
end of the reporting period
Cash & Cash equivalents reconciliation:
Cash at bank
927,177
811,790
1,112,095
1,014,738
1,113,706
996,612
927,177
811,790
1,113,708
998,812
927,177
811,790
Total cash & cash equivalents at the
end of the reporting period
1,113,708
996,612
927.177
811,790
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Page 29

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Accounting Policies
The principal accounting policies adopted in the preparation of the financial statements are:
Basis of accounting
The financial statements have been prepared in accordance with Accounting and Reporting by
Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in
accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS
102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard
applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Palace Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities
are initially recognised at histOriC81 cosl or transaction value unless otherwise stated in the relevant
accounting policy note(s) and all amounts are presented in £ sterling.
These finanaal statements consolidate the results of the Charity and its wholly owned subsidiary,
Palace Enterprises (Wells) Limited, on a line by lin6 basis. The "Group" heading within the balance
sheet refers to the consolidated accounts of The Palace Trust and Palace Enterprises (Wells)
Llmited.
In the parent company financial statements the investment in the trading subsidiary is accounted for
at cost less impaiment.
A separate Statement of Financial Activities or income and expenditure account, for the Charity itself
has not been presented because the Charity has taken advantage of the exemptions afforded by
Section 408 of the Companies Act 2006.
Legal status of the Trust
The Trust is a company limited by guarantee and has no share capital. In the event of the charity
being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.
Tha Company is incorporated in England and Wales and the company registered office is detailed on
page 4, reference and administration details.
Golng Concèrn
The trustees assess whether the usa of going concem is appropriate i.e. whether there are any
material uncertainties related to events or conditions that may cast significant doubt on the ability of
the Trust to continue as a going concern. The trustees make this assessment in respect of a period of
at least one year from the date of authorisation for issue of the financial statements and have
concluded that the Trust has adequate resources to continue in operational existence for the
foreseeable future and Ihere are no material uncertainties about the Trust's ability to continue as a
going concern, thus they continue to adopt the going concem basis of accounting when preparing the
financial statements.
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Page 30

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Income
Income from grants and donations is recognised in the year in which they are receivable when there
is evidence of entitlement, receipi is probable and the amount can be reliably measured. Where
income has not been re￿iVed for gift aid claims relating to donations received in the year, income is
accrued.
Income from government grants, is recognised when the charity has entitlement to the funds, any
performance conditions attached to the grants have been met, it is probable that the income will be
received and the amount can be measured reliably and is not deferred. Where no conditions are
attached to the grant income they are recognised within donations and legacies and where conditions
relating to performance of services are attached, grant income is recognised in income from
charitable activities within the Statement of Financial Activities.
Income from charitable activities includes membership and admissions income, Membership income
is accounted for in full in the year that the membership commences. Admission income is recognised
on a cash basis, in the year the income is physically received.
Income from other trading activitlas, including restaurant income, event income and rental income, is
included in the period in which the group is entitled to receipt, it is probable that economic benefits will
flow to the entity and the amount can be reliably measured.
The charity receives income from its subsidiary under gift aid and this is recognised upon physical
receipt.
The charity notes th6 requirement of the SORP that large charities must report their results on an
activities basis. The charity considers that they produce one activity - the operation of a heritage site-
and therefore reports on that basis.
Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured
reliab￿ by the charity,. this is normally upon notification of the interest paid or payable by the Bank,
Expenditure
Resources expended are recognised on the accruals basis to match the period in which the
expenditure was incurred.
Raising funds is expenditure incurred in generating the trading subsidiary funds and from other
trading activities carried out by the trust.
Charitable 8Ctivity expenditure comprises costs incurred by the charity in the delivery of its activities
and seNices for its beneficiaries. It includes both costs that can be allocated directly to such activities
and costs of an indirect nature necessary to support them. Grants payable are at the discretion of the
Trustees. Governance cnsts are those costs associated with the govemance arrangements of the
charity and relate to general running of the charity as opposed to those costs associated with
charitable activities.
Operating leases
The trust classifies the lease of properties as operating leases as title remains with the lessor. Rental
charges are charged on a straight line basis over the tem of the lease.
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Page 31

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Fund accounting
Unrestricted funds are available to spend on activities that further any of the purposes of Trust.
Restricted funds are from donations and grants in which the donor or funder has specified are to be
solely used for particular areas of the Trust's work or for specific projects being undertaken by the
Trust.
Tangible fixed assets and depreciation
Tangible fixed assets are stated at cost less depreciation. Fixed assets under £1,000 are not
capitalised. Depreciation is provided at rates calculated to write off the cost or valuation less
estimated residual value of each asset over its expected useful life as follows.,
Computer equipment
Furniture, fittings & equlpment
Outdoor equipment
Catering equipment
3 - 5 years straight line
2 - 10 years straight line
2 - 15 years straight line
5- 10 years straight line
1.10 Debtors
Trade debtors are amounts due from customers for senrfices performed in the ordinary course of
business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at
amortised cost using the effective interest method, less provision for impairment. A provision for the
impairment of trade debtors is established when there is objective evidence that the Trust will not be
able to collect all amounts due to according to the original terms of the receivables.
Other debtors comprise prepayments and accrued income. Prep8yments arise from the payments for
services prior to benefit from those seNic8s, and accrued income is amounts due for services
provided, recognised at the point of provision of the services.
1,11 Stock
Stock consists of shop stock for resale and publication stocks, Stock is valued at the lovrnr of cost
and net realisable value, after making allowances for obsolete and slow moving stock.
1,12 Cash at bank and in hand
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short
maturity of three months or less from the date of acquisition or opening of the deposit or similar
account.
1.13 Creditors
Creditors are recognised where the charity has a present obligation resulting from a past event that
will probably result in the transfer of funds to a third party and the amount due to settle the obligation
can be measured or estimated reliably. Creditors are normally recognised at Iheir settlement amount
after allowing for any trade discounts due.
1.14 Defined contribution penslon
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension
fund and the Company has no legal or constructive obligation to pay further contributions even if the
fund does not hold sufficient assets to pay all employees the benefits relating to employee service in
the current and prior periods. Contributions to defined contribution plans are recognised as staff
pension expense through the profit and loss when they are due.
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Page 32

The Palace Trust
Notes to the Fin8nci81 Statements
For the Year Ended 31 December 2024
1.15 Taxation
As a regislered charity, the company is not liable to corporation tax or capital gains tax to the extent
that its income and gains are applicable to charitable purposes only. Value Added Tax (VAT) is
partially recoverable by the company. Any irrecoverable VAT is added to the relevant cost and
charged as an expense in the Statement of Financial Activities.
1.16 Financlal Instruments
The charity only holds basic finanaal instruments as defined in FRS 102. The financial assets and
liabilities of the charity and their measurements are as follows:
Financial assets - trade and other debtors are basic financial instwments and are debt instruments
measured at amortised cost. Prepayments are not financial instruments.
Cash at bank and deposit accounts- is classified as a basic financial instrument and is measured at
fac8 value.
Financial liabilities
trade creditors, accruals and other creditors are financial instruments, and are
measured at amortised cost. Taxation and social security are not included in the financial instruments
disclosure definition. Deferred income is not deemed to be a financial liability, as the cash settlement
has already taken pla￿ and there is an obligation to deliver services rather than cash or another
financial instrument.
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Page 33

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Donatlons and legacies
Unres-
trlcted
funds
Res-
tricted
funds
Unres-
tricted
funds
Res-
tricted
funds
2024
Total
2023
Total
Donations
Gift aid
13,001
62,220
1,549
14,550
62,220
17,525
82,704
17,525
82,704
Grants
Church Commissioners
Other small grants
105,000
105,000
89,500
710
89,500
14,560
13,850
180,221
1,549
181,770
190,439
13,850
204,289
In¢omo from charitable activlties
Unres-
trieted
funds
Ros-
trl¢ted
funds
Unres-
trictod
funds
Res-
trlctad
funds
2024
Total
2023
Total
Entrance fees
Membership income
660,192
76,534
660,192
76,534
532,314
93,886
532,314
93,886
736,728
738,728
628,200
626,200
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Pa9e 34

The Pala¢e Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
other trading activitles
UnroS-
tricted
funds
Res-
trict•d
funds
Unres-
tricted
funds
Res-
tricted
funds
2024
Total
2023
Total
Restaurant income
Event income
Event site hire
Shop income
Event catering
Solar panel income
Film income
Rental income
719,546
86,126
43,120
30,475
12,722
719,546
86,126
43.120
30,475
12,722
595,404
66,550
48,572
18,040
15,958
385
200
7,067
595,404
66,550
48,572
18,040
15,958
385
200
7,067
82,867
22,396
82,887
22,396
997,052
997,052
752,178
752,178
Investment Income
Unres-
trict•d
funds
Res-
tri¢ted
funds
Unres-
tricted
funds
Res-
tricted
funds
2024
Total
2023
Total
Bank interest
41,523
41,523
40,520
40,520
Expendlture on ralslng funds
Unres-
tricted
Res-
tricted
2024
Total
UnroS-
tricted
Res-
trlcted
2023
Total
Costs of goods sold
Wages, salaries & agency
Other direct costs
Event costs
Commission sales expense
250,590
394.386
118,926
47,006
6,015
250,590
394,386
118,926
47,006
6,015
199,680
369,715
105,482
47,185
6,017
199,680
369,715
105,482
47,185
6,017
816,923
816,923
728,079
728,079
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Page 35

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Charitable activities expenditure
Unres-
tricted
Res-
trictèd
2024
Total
Unres-
trictsd
Res-
tricted
2023
Total
Direct charitable activities
Maintenance costs
Garden maintenance
Public access & education
102,370
31,668
7,658
102,370
31,668
7,656
52,268
22.152
7,922
52,268
22,152
7,922
Support costs
Wages & salaries
Staff training & recruitment
Travel & entertainment
Rent, rates, light & heat
Cleanlng costs
Advertising
Office costs
Subscriptions
Legal fees
Professional fees
Accountancy
Bank charges
Depreciation
Loss on disposal of fixed asset
556,130
24,318
8,457
83,978
50,229
36,777
69,464
2,598
556,130
24,318
8,457
63,978
50,229
36,777
69,464
2,598
547,625
19,935
5,716
114,495
47,590
30,614
59,608
3,436
600
1,332
150
3,885
39,683
547,825
19,935
5,716
114,495
47,590
30,614
59,608
3,438
800
1,332
150
3,685
39,683
3,280
3,280
3,185
50,620
3,288
3,185
50,620
3,288
Governanc•
Auditors fees - audit
Auditors fees- accountancy
6,719
1,600
6,719
1,800
6,700
1,600
6,700
1,600
1,022,317
1,022,317
965,115
965,115
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Page 36

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Expenditure (continued)
Charlty
2023
Subsidiary
2023
Total
2024
Total
2023
2024
2024
Depreciation of
owned assets
Auditors, remuneration for:
Current auditors
Audit services
Other s8Nice8
50,620
38,902
24,239
21,607
74,859
60,509
6,700
1,600
6,340
1,600
5,100
1,040
4,800
1,300
11,800
2,640
11,140
2,900
Trustee dlreetors
The charity trustees were not paid or received any other benefits from employment with the Trust or
its subsidiary in the year (2023: £nil).
One charity trustee was reimbursed for Irav61 expenses during the year totalling £434 (2023.. three
trustees - £1,069).
No charity trustee received payment for professional or other services supplied to the charity (2023..
£nil).
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Page 37

The Palace Trust
Notes to the Financial Statemenls
For the Year Ended 31 December 2024
Employees
2024
Group
2024
Charity
2023
Group
2023
Charity
Wages and salaries
Social security costs
Employer pension
Termination payments
856,433
48,017
41,498
4,568
487,120
33,183
31,279
4,568
790,854
45,819
41,478
39,189
452,421
32,671
29,319
33,214
950,516
556,130
917,340
547,625
Numbèr of èmployoes
The average monthly number of employees during the year, calculated on the basis of average
headcount, was as follows,,
2024
Group
No.
2024
Charity
2023
Group
2023
Charlty
No.
Average employee head count
47
23
43
22
During the year, one employee was paid £1,522 in respect of PILON and £3,045 in respect of
redundancy. All payments are full and final settlement, and no amounts are accrued at the year-end
(2023.. four employees were paid a total of £17,174 in respect of settlement, £19,830 in respect of
PILON and £2,185 in respect of a redundancy).
The number of employees whose annual emoluments were £60,000 (excluding employer pension
costs) or more wer8:
2024
number
2023
number
£70,000 - £80,000
This employee is not a member of the defined contribution pension scheme.
Produced by Albert Goodman LLP
Page 38

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Employees (continued)
The key management personnel for the year, comprises the Chief Executive (2023: the Chief
Executive and Chief Operating Officer). The total employee benefits (includes gross pay, employer
pension and employer national insurance) of the key management personnel of the Trust were
£87,489 (2023.. £117,201).
Pension costs
The company operates a defined contribution pension scheme. The charge to the Statement of
Financial Activities for the year is shown above.
Contributions totalling £nil (2023 - £nil) were payable to the schemes at the end of the year and are
included in creditors.
10
Tanglble flxed assets
Group
Furnitur8,
Computer fittlngs &
Outdoor
Catering
equipmont •quipmont equipmont •quipment
Total
Cost
At 1 January 2024
Additions
Disposals
37,079
12,242
130,768
16,859
198,570
4,614
1 $4,453
24,909
(12,219)
520,870
58,624
(12,219)
At 31 December 2024
49,321
147,627
203,184
167,143
567,275
D8pre¢iatlon
At 1 January 2024
Charge for the year
Eliminated on disposals
32,367
6,078
35,394
25,098
75,973
18,576
93,028
25,107
(7,985)
236,762
74,859
(7,985)
At 31 December 2024
38,445
60,492
94,549
110,150
303,636
Not book value
At 31 December 2024
10,876
87,135
108,635
56,993
263,639
At 31 December 2023
4,712
95,374
122,597
61,425
284,108
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Page 39

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
10
Tangible fixed assets (continued)
Charily
Furniture,
Computer fittings &
Outdoor
Catering
equlpment equlpment •qulpment equipment
Total
Cost
At 1 January 2024
Additions
Oisposals
37,079
12,242
130,768
18,859
198,570
4,614
23,991
390,408
33,715
At 31 December 2024
49,321
147,627
203,184
23,991
424,123
Dépreciatlon
At 1 January 2024
Charge for the year
Eliminated on disposals
32,387
8,078
35,394
25,098
75,973
18,578
22,462
868
188,196
50,620
At 31 December 2024
38,445
80,492
94,549
23,330
216,816
Not book value
At 31 December 2024
10,878
87,135
108,635
661
207,307
At 31 December 2023
4,712
95,374
122,597
1,529
224,212
11
Investments
Group
2024
2023
Unllsted Investments
Opening balance
Unrealised (loss) I gain
54,253
1,241
49,550
4,703
Closing balance
55,494
54,253
Historical cost of investments
33,593
33,593
The unlisted investments comprise 2,400 shares in the Central Board of Finan￿ of the Church of England
Investment Fund.
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Page 40

The Palace Trust
Notes to the Financial Statem6nts
For the Year Ended 31 December 2024
11
Investments (continued)
Charity
2024
2023
Unlistsd Invastments
Opening balance
Unrealised (loss) I gain
54,253
1,241
49,550
4,703
Closing balance
55,494
54,253
Historical cost of investments
33,593
33,593
Charity invostmonts at market valuo ¢ompris•'.
Total
2024
Total
2023
Shares in unlisted investments
Shareholding in Palace Enterprises (Wells) Limited
Ordinary shares of £1 each
55,494
54,253
55,495
54,254
Palace Enterprises (Wells) Limited (company no 03013064) was incorporated 23 January 1995 and is
wholly owned trading subsidiary of The Palace Trust. The parent charity holds 1000/9 of the issued share
capital and 1000/0 of the voting rights of the subsidiary trading company,
The principal activities of the company is to provide a fully catered venue for wedding receptions and other
events, together wth a catering service in the Bishop's Table Restaurant. The registered office is the same
as that of the Trust, detailed on pag6 1. The subsidiary gift aids some of its taxable profits to The Palace
Trust, paying corporation tax on any profits retained, and files audited accounts with the Registrar of
Companies,
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Page 41

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
11
Investments (continued)
A summary of the trading results is shown below..
2024
2023
Turnover
Cost of sales
951,786
(646,859)
717,055
(572,151)
Gross profrt
Administrative expenses
304,927
(220,201)
144,904
(196,086)
Operating profit
Investment income
84,726
(51,182)
Profit before tax & profit for the financial year
Retained earnings brought lo￿ard in subsidiary
Gift aid to The Palace Trust
84,726
3,235
(51,182)
54,417
Retained earnings carried forward in subsidiary
The assets and liabilities were:
Fixed assets
Current assets
Current liabilities
87,961
3,235
56,332
185,632
(154,002)
59,896
188,273
(224,933)
Total net assets
87,962
3,236
Called up share capital
Profit and loss reserve
87,961
3,235
87,962
3,238
Produced by Albert Goodman LLP
Page 42

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
12
Stocks
2024
Group
2024
Charity
2023
Group
2023
Charity
Goods for resale
25,636
29,075
13
Debtors
2024
Group
2024
Charity
2023
Group
2023
Charity
Trade debtors
Prepayments and accrued income
Amounts owed by group undertakings
59,789
88,631
22,991
62,527
36,955
24,380
56,417
1,621
55,365
162,757
128,420
122,473
80,797
219,743
Produced by Albert Goodman LLP
Page 43

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
14
Credltors: Amounts falllng due within one year
2024
Group
2024
Charity
2023
Group
2023
Charity
Trade creditors
Other creditors
Accruals and deferred income
Taxation and social security
50,981
32,489
104,624
50,010
20,103
31,759
54,375
14,800
31,863
27,078
53,685
33,045
29,427
27,078
20,771
6,218
238,084
121,037
145,671
83,494
D•forr8d Incom•
2024
Group
2024
Charity
2023
Group
2023
Charlty
Deferred income at 1 January 2024
Released from prewous years
Resources deferred In the year
33,895
(33,895)
45,367
8,759
(8,759)
13,125
30,637
(30,837)
33,695
9,187
(9,187)
8,759
Deferred income at 31 December 2024
45,387
13,125
33,895
8,759
At the balance sheet date the trust was holdlng funds received in advance for events to be held in 2025.
Produced by Albert Goodman LLP
Page 44

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
15
Summary of movement in funds- Group
Opening
balance
Translers
& gains
Closlng
balance
Income Expenditure
Unrestrlcted funds - Group
General
266,036 1,955,522 (1,784,381) (21,107)
436,070
Designated funds - Group
Palace interpretation
Trust Reserv8
Fixed assets
229,595
450,000
284,108
963,703
(30,493)
199,102
450,000
263,639
912,741
(74,859)
(74,859)
54,390
23,897
Total do6ignat•d funds
Restricted funds
Mobility Scooter
1,549
(1 ,549)
Total funds
1,229,739 1,967,071
(1,839,240
1,241
1,348,811
Summary of movement in funds- Charity
Openlng
balance
Transfèrs
& galns
Closlng
balan¢8
Incom• Exp6ndlture
Unrestrlctèd funds - Charity
General
322,698 1,103,852 (1,021,877)
(432)
404,441
Dèsignated funds - Charity
Palace interpretation
Trust ReseFve
Fixed assets
229,595
450,000
224,212
(30,493)
199,102
450,000
207,307
(50,620)
33,715
Total deslgnatod funds
903,807
(50,620)
3,222
856,409
R6$tricted funds
Mobility Scooter
1,549
(1 ,549)
Total funds
1,226,505 1,105,401 11,072,297)
1,241
1,260,850
PFodu¢ed by Albert Goodman LLP
Page 45

The Palace Trust
Notes to the Financi81 Statements
For the Year Ended 31 December 2024
Summary of movement in funds - Group (2023)
Opening
balance
Transfers
& gains
Closing
balan¢e
Income Expenditure
Unrostricted funds - Group
General
296,969 1,609,335 (1,632,685)
{7,583)
266,036
Deslgnated funds - Group
Palace interpretation
Trust Reserve
Fixed assets
352,195
450,000
195,881
(122,600)
229,595
450,000
284,108
(60,509)
148,736
Total dosignated funds
963,703
(60,509) (62,091)
963,703
R•strict8d funds
Gate funds
13,850
(13,850)
Total fund8
1,260,672 1,609,335 11,893,194) (69,674) 1,229,739
Summary of movement In funds - Charlty (2023)
Openlng
balancé
Transfars
& gains
Closlng
balance
Income Expanditura
Unrestrlcted funds . Charity
General
303,937
983,484
(977,258)
12,535
322,898
Designated funds . Charity
Palace interpretation
Trust Reserve
Fixed assets
352,195
450,000
134,496
{122,600)
229,595
450,000
224,212
(38,902)
128,618
Total dosignated funds
936,691
(38,902)
6,018
903,807
Restricted funds
Gate funds
13,850
(13,850)
Totsl funds
1,240,628
983,484 11,016,160)
18,553
1,226,505
Produced by Albert Goodman LLP
Page 46

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Summary of movement in funds (continued)
Designated funds
The Palace interpretation fund relates to a large development project currently in the planning phase
and fresh interpretation in the Palace building.
Trust Reserve relates to an amount of unrestricted funds sufficient to cover 3 months of expenditure,
to cover the period from January to March when The Palace Trust runs at a seasonal deficit,
The fixed assets funds represent the net book value of the assets held.
Rostricted funds
The Mobility Scooter Funds were received as a contribution towards purchase of a mobility scooter.
£1,549 of th8 funds came from The Bosher-Hinton Foundation. The amount has been transferred to
unrestricted upon trte purchase of the fixed asset, as permitted by the Charity SORP.
The Gata Funds were received as a contribution towards the installation of the community gate.
£10,000 of the funds came from The M6dlock Charity, £350 from the Sir John and Lady Heathcoat
Amory Trust and £3,500 from an anonymous source. The amount has been transferred to
unrestricted upon the purchase of the fixed asset, as permitted by the Charity SORP.
16
Analysis of assets between funds - Group
other not
Tanglblo
Cash at
current Craditors
flxed bank and
assetsl moro than
assets
in hand (Ilabilities)
one year
Total
Unrestricted funds
55,494
484,804
(84,028)
436,070
Designated funds
263,639
649,102
912,741
Restricted funds
As at 31 DoG6mbor 2024
319,133 1,113,706
(84,028)
1,348,811
Analysis of assets between funds - Charity
Other net
Tanglble
Cash at
current Creditors
fixed bank and
assetsl more than
assets
In hand (liabilities)
one year
Total
Unrestricted funds
55,495
347,510
1,436
404,441
Designated funds
207,307
649,102
856,409
Restricted funds
As at 31 December 2024
262,802
996,612
1,436
1,260,860
Produced by Albert Goodman LLP
Page 47

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
Analysis of assets between funds- Group - 2023
Other net
Tangible
Cash at
current Creditors
fixed bank and
assetsl more than
assets
in hand (liabilities)
one year
Total
Unrestricted funds
54,253
284,108
247,582
679,595
(35,799)
266,038
Designated funds
Restricted funds
983,703
As at 31 Decembor 2023
338,361
927,177
{35,799)
1,229,739
Analysis of assets between funds - Charlty- 2023
Other not
Tanglble
Cash at
current Credltors
fixed bank and
assetsl more than
assets
In hand (Ilabilities)
ono year
Total
Unrestricted funds
54,254
224,212
132,195
136,249
322,698
Designated funds
Restricted funds
679,595
903,807
As at 31 Do¢ombor 2023
278,466
811,790
136,249
1,226,606
Produced by Albert Goodman LLP
Page 48

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
17
Income and expenditure account of the Trust
The company has taken advantage of Section 408 of the Companies Act 2006 and has not induded
its own Income and Expenditure Arxount or separate Statement of Financial Activities.
Prior to gift aid amounts received from the subsidiary, The Palace Trust has net income for the year
of £34,346 (2023 - £14,124) based on income of £1,104.213 (2023 - £906,130>. Gift aid distributions
from trading subsidiary of £nil (2023: £nil) were received in tha year.
18
Obllgatlons under leases
Operating leases-
The total future minimum rentals payable undar non-cancellable operating leases funded by
unrestricted funds are as follows..
2024
2023
Other
Expiry date:
Within one year
Within two and five years
1,926
6,240
1,785
3,193
8,188
4,978
In addition to the above, the Trust has a non-exclusive licence (by way of a management agreement)
to occupy the Palace and the gardens with the Church Commissioners to the end of 2033.
19
Related party transactlons
The charity has taken advantage of the exemption in FRS 102 "Related Paty Dlsclosures" from
disclosing transactions with other members of the group.
The chief executive (who was appointed 1 April 2023), M Kidd, was charged £5,500 (2023.. £3,850) in
rent for the use of The Gardeners Flat during the year. The rent collected, is in turn paid onto the
Church Commissioners. A balance of £nil (2023,. £nil) was outstanding to The Palace Trust at the
year end. This is considered to be a market rent.
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Page 49

The Palace Trust
Notes to the Financial Statements
For the Year Ended 31 December 2024
20
Financial instruments
2024
Group
2024
Charity
2023
Group
2023
Charity
Financial assets that are fair value
through income & expenditure account
Financial assets that are debt
instruments measured at amortised
cost
55,494
55,495
54,253
54,254
1,221,374
1,099,269
994,034
1,018,645
1,276,868
1,154,764
1,048,287
1,072,899
Financial liabilities measured at
amortised cost
142,707
64,987
78,931
65,263
142,707
64,987
78,931
65,263
ltsms of Income, expenditure, galn and10s8 (group and charity)
Income
Expense
Net gains
Net loss66
2024
Financial assets that are fair value
through income & expenditure account
Financial assets measured at
amortised cost
Financial liabilities measured at
amortised cost
1,241
1,241
2023
Financial assets that are fair valu8
through income & expenditure account
Financial assets measured at
amortised cost
Financial liabilities measured at
amortised cost
4,703
4,703
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Page SO