Report and Financial Statements Blenheim Palace Heritage Foundation IA company limited by guarantee) Year ended 31 March 2024 Charity number: 1166164 Company number.. 09430048 Blenheim Palace Heritage Foundation Contents Legal and administration details for the year ended 31 March 2024.................................................. Report of the Trustees for the year ended 31 March 2024................................................................... Independent audltorfs reportto the members of Blenhelm Palace Herltage Foundatlon............23 Consolidated Statement of Financial Aetivities................................................................................... Consolidated and Parent Charitable Company Balance Sheets.......................................................29 statement of Cash Flov￿ and Consolidated Statement of Cash Flows..........................................30 Notes to the Financial Statements for year ended 31 March 2024...................................................31 Blenheim Palace Heritage Foundation Legal and administration details for the year ended 31 March 2024 Charity number 1166164 Company number 09430048 Trustee$lDirectors Richard Ellwood Christopher Groves Dominic Hare Alexander Muir Iresigned 9 January 20241 Lord Edward Spencer Churchill Sarah Slaniforth Secretary Stephen Spare Key Management Personnel (Blenheim Palace Heritage Foundation) Senior Management Team.. Chief Executive Officer Chief Financial Officer Managing Director Ivisitor Attraction) Managing Director (Land Managemenll Marketing and Communications Director FinanTr Director People Director Dominic Hare Ingrid Fernandes Heather Carter Roy Cox Stephanie Duncan Stephen Spare Megan Carter Key Management Personnel (Blenheim Visitors Limited) The Key Management Personnel for Blenheim Visitors Limited is aligned to the Key Management Personnel of the Charity. Key Management Personnel (Love Water Limited) Blenheim Visitors Limited's wholly owned subsidiary, Love Water Limrted, has the following Key Management Personnel". Director- Nick Swan Director- Dominic Hare Director- Ingrid Fernandes (appointed 6 July 20231 Registered office The Estate Office Blenheim Palace Woodstock Oxford OX20 1PP Independent Auditor BDO LLP Two Snowhill Birmingham 84 6GA Bankers Barclays Bank PLC 6th Floor, One Snowhill Snowhill Queensway Birmingham B4 6GN Solicitor v￿ther$ LLP 20 Old Bailey London EC4M 7AN Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 The Trustees are pleased to present their annual reF)Ort of the Trustees together with the consolidated financial statements of the Charity and its subsidiaries for the year ended 31 March 2024 which are prepared in accordance with the requirements of the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and Accounting and Reporting by Charities". Statement of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial ReF)Orting Standard applicable in the UK and Republic of Ireland IFRS 1021. The information with respect lo the Trustees, Directors, officers and advisors sel out on page 3 forms part of this report. Structure Governance and Mana ement Governlng Document Blenheim Palace Heritage Foundation is a company limited by guarantee governed by its Memorandum and Articles of Association dated 9 February 2015. It is registered as a charity with the Charity Commission. There are currently four members 12023.. three), who are the Trustees of the Marlborough 2003 Settlement and each of whom agrees lo contribute £1 in the event of the charity winding up. Members are.. Richard Jessel Alexander Muir Lord Edward Spencer Churchill Christopher Groves Appointment of trust995 As sel out in the Articles of Association those persons notified to Companies House as the first directors are the first trustees. Subsequent trustees shall be appointed by the members in SLJch a manner as they shall from time lo time determine. The trustees when complete shall consist of a minimum of three persons being individuals who are over the age of 18, all of whom support the Objects and have signed a written declaration of willingness to act as 8 charity trustee of the Charity. The Chairman shall be elected from among the Iruslees for a term not exceeding three years and a retiring chairman may be re-elected by the Iruslees for a further term of office. There shall be no limit to the number of times a chairman may be re-elected. Every trustee has one vote on each issue. Trustee induction and training The trustees of the Charity include long standing Iruslees of the Blenheim Estate. Trustees of the Charity have been selected to ensure the appropriate mix of skills, knowledge and experienTr exists to make sure the charity is well governed and is run effectively and efficiently. Trustees Sarah Slaniforth and Richard Ellwood were appointed for their specific experience relevant to the Charity and Visitor Allraclions and act as independent Trustees. Trustees are briefed on their legal obligations under charity and company law, the Charity Commission on public benefit, content of the Memorandum and Articles of Association, the committee and decision- making process, the business plan and financial performance. Trustees are made aware of the indemnity provision and Insurance in place for them as directors. Training for trustees is organised on a need basis. Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Our ur oses and activities The primary objectives and aims of the Charity, as slated in the governing document, are to". restore and preserve Blenheim for the public benefit", promote for the public benefit the study and the appreciation of Blenheim as a place of historic and architectural interest and natuml beauty," and develop and improve the knowledge, understanding and practice of the arts, principally through the exhibition and performance of artistic works. Strategles and actlvltles for achlevlng oblectlves and provldlng a publlc beneflt In shaping the objectives for the year and planning our activities, the Trustees had due regard lo the Charity Commission's guidance on public benefit. Presetvation and Restoration of the Palace andpark The vision that shapes our annual activities remains the restoration and preservation of Blenheim. Our magnificent pala￿ (now over 300 years old) is in constant need of attention, as is the extensive collection within its walls. The Palace and ils collection are held outside of the charity, the charity's primary purpose is lo restore and preserve through funding from the visitor business and funding raised through the wider Eslale's land development. To this end we have estsblished a designated fund of £12.9m12023'. £12.Oml for the purpose of funding restoration of the Palace. The Palace, park and gardens are open all year round. All funds that we raise through admission charges, after operating and administration costs, are invested back into vital and ongoing restoration and conservation projects that keep the Palace, ils contents and surroundings as glorious today as they have always been. Trustees and the management team have committed to spend £40m on vital resloralion as part of the 10-year goals launched in 2017. This will be funded through profits of the visitor business and commercial operations, along with relevant grants and donations from related entities. The aim of the restoration projects is lo secure Blenheim Palace for future generations to explore and discover. Historic and architectural interest and natural beauty The Palace, a masterpiece of Baroque architecture, provides an awe-inspiring experience for visitors. Home lo the 12th Duke of Marlborough and his family and the birthplace of Sir Winston Churchill, Blenheim Palace is a UNESCO World Heritage Site boasting a long and diverse history. Palace visitors can explore the gilded Stale Rooms and priceless collections sel against striking stonework and experien￿ the beauty and magnificence of the Grade I listed building. Blenheim Palace was built as a gift lo John Churchill, 1 st Duke of Marlborough, from Queen Anne and a grateful nation in thanks for his victory at the Batue of Blenheim on 13th August 1704. Today, the Palace is home lo one of the most important and extensive collections in Europe, which includes portraits, furniture, sculpture and tapestries. This collection, and the Palace itself, are held outside of the Charity but within the Blenheim Estate wider Group hereafter referred lo as "the Estate. Isee note 12 for all related enlilies within the Eslatel. For the use of the Pala￿, the Charity pays a small annual rent to a related entity plus a significant mainlenanTr obligation which It fulfils through its resloralion pr￿ramme. Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Our ur oses and activities continued Historic and arehitectur81 interest and n8tural beauty (continued) Amongst the many treasures to be found in the Slate Rooms are the famous Marlborough Tapestries (the 'Victories Series'l in the Green Writing Room and the First, Second and Third Slate Rooms. The Long Library has its walls lined by more than 10,000 books, many of them hund￿dS of years old and of great historic significance. Visitors are invited lo discover the Palace's rich history in a variety of ways,. free guided tours of the Slate Rooms along with the Churchill Exhibition to learn at)oul the life of our 'Greatest Briton, Winston Churchill. The picture-perfect British stately home of Blenheim Palace sils among more than 2000 acres of extraordinary, landscaped Parkland and Formal Gardens. The inspired work of Lancelot 'Capability' Brown has created a legacy in the park at Blenheim Palace. The visionary master landscaper constructed the Great Lake and planted thousands of trees in his len- year tenure here, engineering a landscape that appears natural but is actually 'conlrived to pleasing effect,. The park Is home lo hidden treasures of all kinds,. Vanbrugh's Grand Bridge spans the Great Lake, the historic sile of Woodstock Manor is marked by a small plinth, the Column of Victory is lopped by a statue of the first Duke of Marlborough, Rosamund's Well Is lucked away next to a quiet part of the Great Lake and the Grand Cascade at the western end of the Great Lake Is one of England's most picturesque waterfalls. The park is now home to several Siles of Special Scientific Interest including the Great Lake and the ancient oaks in High Park. The Formal Gardens which surround the Palace have been created over the centuries by esteemed garden designers such as Henry Wise and Achille Duchene. They include the majestic Water Terraces, the Duke's Private Italian Garden, the tranquil Secret Garden with all its hidden treasures, the Churchill Memorial Garden and the beautifully delicate Rose Garden. There are a variety of routes for visitors to explore throughout the park and gardens. Buggy tours are available and free walking tours of the formal gardens run in the summer. Arts, eufture and charity Blenheim Palace continues to develop new experiences and attractions each season.. special exhibitions, displays of contemporary art and seasonal specialist talks and tours to name but a few. In order lo reach a wider demographic, a new family attraction has been opened, The Adventure Play, which aims lo attract the family market. It was successfully launched in April 2023 and has attracted around 100,000 additional new visitors. Blenheim Pala￿ Heritage Foundation also continues offers a wealth of artistic, sporting and cultural events throughout the year. These include Christmas al Blenheim, Blenheim Palace International Horse Trials, Nocturne Live Concerts, Ballle Proms Picnic Concerts, Blenheim Palace Flower Show, Blenheim Palace Food Festival, Salon Privè, and the Blenheim Triathlon. Many of these events allracl a wide diverse market that can experience the Palace and Grounds during their visit. Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Our ur oses and activities continued Org8nisation Trustees of the Blenheim Estate meet every quarter, and they receive monthly management accounts. The Trustees take an active interest in their role and a lively dialogue exists outside of the fomal meetings lo explore their specialist areas. The Trustees have delegated day to day decision making with key operational matters including finance, estate management, employment, HR and t￿ining to the senior management team. Trustees Chiel Execthiw Omcer Ctrief Finanr4al Offlcey HEFA GI IT Dlrectc*lVi$ltc Att￿tIOn DI￿t(￿(La an ement c(￿￿m￿nicatIon> thrector Pe4le Di￿¢ He￿( I￿nD￿tIO FinaD¢ Guest SeNces Marketing HR Ewn15 Team Rural se and coll￿tIonS HEÈlth & Stsy ¢onsepAion G*den$ Key SEThor 18nag8m Se¢ufjty War8hou¥ Retail Water H¢Jsehold Gmup Structure and related entities Blenheim Palace Heritage Foundation owns 100D/o of Blenheim Visitors Limited. Blenheim Visitors Limited owns 1000/0 of Love Water Limited. Blenheim Palace Heritage Foundation Group is part of the wider Blenheim Estate I'Eslale"l. The Eslale's strategy is discussed on page 9. Related party transactions and balances are disclosed in note 12. Paypolicy for senior staff The Directors, who are the Charity's Trustees, and the senior management team comprise the key management personnel of the Charity in charge of directing and controlling, running and operating the Charity on a day to day basis. The Chief Executive Officer, Dominic Hare, is the only Director and Trustee who is employed by the Charity, in his capacity of CEO, not Trustee. All other Trustees give their time freely and no Trustee received material remuneration in the year. Details of this along with Directors, and Trustees, expenses and senior management team remuneration are disclosed in note 10. The pay reviews for the statutory directors of the Blenheim entities across the Estate (Dominic Hare, Ingrid Fernandes, Roger File and Heather Carterl are approved by a remuneration committee on behalf of the Trustees. The CEO, Dominic Hare, approves the pay reviews for the remainder of the senior management team. Rlsk management Trustees and key management have reviewed major risks to which the charity is exposed, in particular those related to the operations and finances of the Charity and the protection of Blenheim Palace against major damage or loss lo ils structure or fabric. Key management maintain a risk register which is periodically reviewed with the Trustees. Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Our ur oses and activities continued Risk management (continued) The Charity has limited exposu￿ to financial risk. During the year the Charity purchased 1812023." nil) investment properties for a value of £9.5m12023". £nill (note 171. The Directors and senior management team have significant experienee in managing risks associated with this asset class. No other investments or fi'nancial securities are held other than the internal loan to Blenheim Finance Limited (note 121. Appropriate corporate governance is considered of utmost importance and the senior management team have been appointed lo miligale the Charity's exposure lo business, strategic and operational risks. The Charity ultimately has the protection of extensive insurance and the support of other Blenheim-related entities if needed. The major risks are considered below. Visitor numbers have seen a recovery during the year and are aligning lo pre-pandemic levels, as groups and international visitors return to visit the Palace and Garden, alongside a full programme of events. We are well placed lo continue our visitor number growth into 2024 and 2025. UK economic downturn and cost ofliving The Charity is reliant on visitors, yel it carries very little business from one year lo another. Vvhile we have vast experience in allracling visitors lo the Palace, there Is always a risk that, in an economic downturn or period of high inflation, a discretionary spend like Blenheim PalaTr will be the first to go. Key performance indicators, including visitor numbers and revenue, are regularly reviewed to ensure the Charity is performing in line with expectations. A wide range of events are held across the year to allracl a variety of visitors including family events that appeal to the wider demographic, alongside returning international visitors. The rapidly increasing cost of living is providing a unique challenge to our visitors and to our staff. Despite this, unemployment levels in Oxfordshire are extremely low so if there are imposed changes to working regulations this may limit the Charity's ability to recruit. The Trustee's reserves policy is also designed to protect the Charity from the impact of an economi downturn and we continue to actively monitor and respond lo inflationary pressure lo protect the Charity and all ils stakeholders. Damage to Palace by fire or other disaster We accept that the Palace was not built in an era with fire regulations. We have however, extensive control systems in place to warn, supress and limit damage. Our programme of fire compartmentalisation was completed during the year ended 31 March 2023. Relatedparties and co-operation with other organisations The Charity and its subsidiaries form one part of the Blenheim Estate. Interaction with other companies across the Blenheim Eslale is vital for the long-lerm strategic goals of the Palace, see note 12. Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Blenheim Estate ten- ear develo ment ramme For Blenheim Palace lo meet its charitable objectives, the Chief Executive Officer (Director and Trusteel, Dominic Hare, along with the wider Estate team has adopted a 10-year development progmmme which will revolutionise the Oxfordshire World Heritage Sile, with the aim for Blenheim Palace to be the lifeblood of the local economy, to enhance the lives of the people of Oxfordshire, to share this magnificent Palace and lo conserve and protect il for future generations. The development programme, which aligns with the charity's aims, consist of the following areas Achieve annual paying visitor numbers in exeess of 750,000 Triple the economic contribution to the local area Train over 100 new apprentices and set equivalent training goals for current staff development Become a nel generator of green energy Become one ofthe UK'S top 100 employers Complete £40 million of vital resloralion work Reacquire key works from the Palace's lost collections and establish new ones Secure funds of £45 million to conserve our World Heritage Site The 10-year development plan is a joint initiative devised in consultation with the management team, trustees and the Duke which commenced in 2017. 11 involves every area of the Estate, including the visitor allraclion, retail and water business as reported in the charity financial slalements. During the year ended 31 March 2024, our work towards the 10-year development plan has progressed as follows.. Achieve annual paying visitor numbgrs in excgss of 750.000 Our paying visitor number al the end of March 2024 were 698,000 12023.. 645,0001. Numbers have significantly recovered from the impacted pandemic-related closures and are expected lo increase further in 202412025 as we see more Groups and International Tour and Travel visitors re-enler into the market. The number of visitors is linked to the local economic contribution of the area. Triple the economic contribution to the local area Blenheim's economic impact was captured by Oxford Brookes Business School al March 2024. Blenheim's total gross value added IGVA, being the total contribution to gross domestic product IGDPII is £152m12023." £161 m115 monlhsl, 2022. £137m, 2021." £84ml. This has grown by +880/0 against the base year12017". £81 Ml, ensure the charity stays on track to achieve this goal Within the £152m, visitors to Blenheim have contributed £61 m GVA12023'. £67ml, £65m GVA12023'. £65ml is made by expenditure of goods and services by Blenheim and £26m12023'. £29ml Is the direct contribution of Blenheim. Train over 100 new apprentices and set equivalent training goals for current staff development In the year to 31 March 2024, 50 apprentices were employed across the Eslale in a diverse range of positions12023.' 281. We will continue with our efforts lo employee apprentices as this is the cornerstone to our future people strategy of grow your own" talent. Become a net generator of green eneryy We continue to seek innovative ways lo have a significantly positive impact on our energy consumption and conservation throughout the Worfd Heritage Site. 10 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Blenheim Estate ten- ear develo ment ramme Continued Become a net generator of green energy leontinued) By promoting green travel diseounls for our visitors, we have seen a move to 1 in 5 visitors traveling via green methods. We also offer visitors that travel by car an offsetting option, which has delivered over 10,000 addib'onal trees being planted lo offset their journeys. Alongside this we have actively established energy management systems that aid in managing energy consumption across the Palace and Estate. We have two biomass boilers within the Blenheim grounds and generate hydro electricity from our dam. We also generate solar energy onsite with 2 areas delivering 90KW. We continue to work with energy consullanls to help us exceed our current onsite renewable energy generation lo bring us up above 100010. Become one of the UK'S top 100 employers Our employees are core to the sUc￿$S of the charity. We use an external independent measure of our employee satisfaction, Best Companies. in order to benchmark ourselves as employer. We are pleased to have achieved 2 stars in our 2024 survey, 3 stars being the top category. We want every one of our employees lo be proud of where they work and want to remain a part of our team, with a sense of belonging. We engage with employees through various forums and a newly creating forum on Equality, Diversity, Inclusion and Belonging has been created during the year, to nurture our sense of belonging and inclusion. We feel if we don't become an employer who can persuade great people to join us and stay with us, then we will not be able to successfully achieve the other goals. Complete £40 million of vital restoration work During the year to 31 March 2024, we have spent £3.2m12023". £4.gml on preservation and ￿SlOration work Inole 61. We sim to spend an average of £4m each year on conservation and restoration. Our largest resloralion project lo dale, the dredge of Queen Pool, began in early 2022, having been on hold during the pandemic, and was fi'nally completed in 2023. Other notable projects during the year were the replacement of the Orangery roof, returning it to a slate roof in keeping with its original construction and improving the energy efficiency of the building, and the resloralion of the Chapel. Reacquire key works from the Palace's lost collections and establish new ones Public awareness of this goal continues lo be strong, and we receive generous offers lo borrow or purchase items. Some of these are for Winston Churchill's paintings, several which have been on display and we anticipate further progress on this goal in the continuing years. Secure funds of £45 million to conserve our World Heritage Site We recognise that sustaining Blenheim in perpetuity is just as important for the long-term economic well-being of the area as it is for our goal., sharing and protecting Blenheim. The Blenheim Estate is commilled to ensure that a designated fund is built 12024.. £12.9m', 2023.. £12.Oml, to safeguard the future of the sile and continue with the restoration work required. This fund will be built through Investments, securities and property as the Charity thinks fil. At 31 March 2024 designated funds comprise investment property amounting lo £10m 12023.. £nill and the internal loan to Blenheim Finance Limited amounting lo £2.gm12023". £ 12ml (note 241. 11 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Achievements and erformance The Trustees and management consider that the Charity's principal objectives of preserving and maintaining the Palace, Park and Gardens and opening this to the public are being achieved. The key performance indicators that management use lo monitor the achievement against these objectives include completion of essential restoration and preservab'on work lo the Palace, Park and Gardens, monitoring visitor numbers and trends and reviewing financial performance against budget. Restoratlon and preservatlon work During the year, just over £3.2m12023'. £4.9ml was spent on preservation and maintenance. Projects most notably included repairs to the Stables Tower, Flagstsff Tower, Chapel Decorations and Seven Arches Bridge. Planning work also commenced for the next very large restoration project to repair and restore the main Palace roof. In addition lo the £40m spend of resloralion we have created a designated fund and are in the process of building it to £45m dedicated lo the conservation and enhan￿ment of our World Heritage Sile by 2026. At 31 March 2024 the designated fund is £12.9m12023.' £12.Oml. The designated fund seeks to conserve and protect the Palace and Park for future generations. Visitor numbers Paying visitor numbers for the financial year ended March 2024 have been compared with the previous five years. These numbers include all paying visitors to the Palace, Park and Gardens. 700 500 > 400 300 200 2016 2017 2018 2019 2020 2021 2022 2023 2024 Year ended 31 March Visitor numbers continue to recover into 2024. Our goal is to reach paying visitors of over 750,000, which we expect to reach during 2024125. Recruitment Advertisin and Selectlon We value our employees and the vital part they play in the prosperity and conservation of this special World Heritage Sile for future generations. With such diverse roles across the charity, selecting the best talent is critical lo the future Suc￿ss. 12 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Recruitment Advertisin and Selection ontinued The recruitment process is conducted in such a way as to result in the selection of the most suitable person for the job in tems of experience, abilities and qualifications. Blenheim Visitors Limited, the wholly owned subsidiary of the Charity, acts as a payroll bureau for the whole of Blenheim Estates. The Estate is committed to applying its equal opportunities policy statement at all stages of recruitment and selection. Advertisements encourage applications from all suitably qualified and experienced people. Vvhen advertising job vacancies, in order to attract applications from all sections of the community, the Estate will, as far as reasonably practicable.. ensure advertisements are not Confined lo those publications which would exclude or disproportionately reduce the number of applicants of a particular gender, sexual orientation, religion or racial Group., avoid prescribing any unnecessary requirements which would exclude a higher proFlOrtion of a particular gender, sexual orienlalion, religion or racial Group or which would exclude disabled job applicants., avoid prescribing any requirements as lo marital status., where vacancies may be filled by promotion or transfer, they will be published lo all eligible employees in such a way that they do not restrict applications from employees of any particular gender, sexual orientation, religion or racial Group or from employees with a protected status., ensure that the setting of age limits, as a criterion of any specific job, is justifiable. The selection process is carried OLJt consistently for all jobs at all levels. All applications are prO￿SSed in the same way. The staff responsible for short-lisling, interviewing and selecting candidates are informed of the selection erileria and of the need for their consistent application. IM)erever possible, all applicants are interviewed by at least two interviewers and all questions asked of the applicants relate to the requirements of the job. The selection of new staff is based on the job requirements and the individual's suitability and ability to do, or lo train for, the job in question. For job applicants with disabilities, the Estste has regard to ils duty to make reasonable adjustments to work arrangements or lo work premises in order to ensure that the person with a disability is not pla￿d al a subslanlial disadvantage in comparison with persons without disabilities. Training and Promotion The Estate informs all line managers about the Estate's policy on equal opportunities and help them identify discriminatory acts or practi￿$ or acts of harassment or bullying. Line managers are responsible for ensuring they actively promote equal opportunity within the departments for which they are responsible. We are committed to training and have expanded our apprenticeship scheme. The Eslale supports all employees lo help them understand their rights and responsibilities in relation to dignity at work and what they can do to create a work environment free of bullying and harassment. Vlthere a promotional system is in operation, il is not discriminatory and is checked from lime to time to assess how it Is working in practice. Vlhen a Group of workers predominantly of one race, religion, sex or sexual orientslion or a worker with a disability appears lo be excluded from access to promotion and training and lo other benefits, the promotional system will be reviewed to ensure there is no unlawful discrimination. Retaining talent is also vital and therefore we have undertaken an independent employee engagement survey and are delighted that we have shot up the Best Companies rankings in 2024 to a "2 Star- Outstanding Employer" almost the top category in the survey. 13 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Fundraisin statement Section 162a of the Charities Act 2011 requires eharities to make a statement regarding fundraising aclivilies. Although we do not undertake widespread fundraising from the general public, the legislation defines fund mising as 'soliciling or otherwise procuring money or other property for charitable purposes., Such amounts receivable are presented in our accounts as voluntary income and includes legacies and grants. In relation to the above we confirm that all solicitations are managed internally, without involvement of commercial participators or professional fund-raisers, or third parties. The day-lo-day management of all income generation is delegated to the executive team, who are accountsble to the Trustees. The Charity is not bound by any undertaking lo be bound by any regulatory scheme. We have received no complaints in relation lo fundraising activities. Our terms of employment require staff lo behave reasonably al all times,. as we do not approach individuals for funds, we do not have an employee policy for fundraising aclivilies, nor do we consider it necessary to design specific procedures to monitor such activities. Financial review As part of the strategic goals, Blenheim PalaTr Heritage Foundation was founded in late 2015 under the auspices of the 12th Duke of Marlborough, lo safeguard the future of our World Heritage Sile for centuries to come. By taking on the visitor business, the Charity can clearly demonstrate all proceeds raised from admissions and visitor activity go towards operating the visitor attraction and enhancing the World Heritage Site through restoration, conservation and maintenance. The Charity allows us lo visibly communicate our designated restoration funding and our preservation portfolio that we intend to build over the next 10 years. The charity can claim Gift Aid on eligible donated annual passes, which drives value by making admissions go even further without impacting visitor admission cost, which contributes lo improving visitor experience. Blenheim Visitors Limited includes catering, retail and water businesses which enhance the visitor experience and Blenheim Palace brand. During 2022, we took a management decision to terminate the contract with our third paty catering supplier and move the catering 'in-house with the aim to improve the visitor experience by providing further locally sourced catering that can be agile to our visitor demographic. The financial results of Blenheim Visitors Limited are shown in note 5. Blenheim Visitors Limiled's retained reserves at 31 March 2024 were £11.7lm which, whilst in deficit, are expected to be recovered through trading and continued recovery from the pandemic, particularly with the recently added catering income stream and increased revenues expected from the refurbished Orangery. Love Water Limited was impacted by the coronavirus pandemic during the year ended 31 March 2021 and income began lo recover in 2023. The financial results of Love Water Limited are shown in note 5. Love Water Limited's retained reserves al 31 March 2024 were £11.9lm which, whilst in deficit, is expected lo be recovered through trading and continued recovery from the pandemic. Recovery of the deficit is forecast to lake several years as Love Water Limited recovers from the pandemic. 14 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Financial review ontinued Income The Group has three main sources of income". Income generated from charitable activities," predominately admission income. This is 340/0 1£9.8ml of all income including donalions12023." 330/0 and £7.4ml. Visitors have the option lo purchase Palace, Park and Gardens entry IPPGI or Park and Gardens IPGI. If visitors choose lo donate their PPG entry fee they will receive a free annual pass. If visitors are eligible, we ask for them to kindly agree to Gift Aid their donation. Concessions to students, elderly, children and Groups are available to ensure pricing is accessible to all. Other income generated includes the catering, retail and water business and other activities within the Palace and Park including events. This amounted to 470/0 1£13.6ml of total income 12023.. 41 Q/0 and £9.3ml. Restoration and long-lerm funding are re￿iVed from land development within the Blenheim Estate, and Blenheim Supporting Limited. Blenheim Supporting Limited is a related entity which donates ils profits to the Charity. Within resloralion funding is grant funding received for the park and funding lo contribute to the costs of being a World Heritage Sile. Total donations and grants received accounts for 19,10 1£5.5ml12023'. 26°/o and £5.8ml of total income. Expenditure Income is applied in pursuance of the objectives. The largest proportion of expenditure is the cost of our people who make our objectives achievable, from operations ensuring a posib've visitor experien to supporting functions Inole 81. Another SLJbslantial cost is the restoration, preservation, maintenance and repair work which lotalled £4.3m for the year12023.. £4.9ml. Investmentpowers and policy Under ils Memorandum of Association the charity has power to invest ils funds in or upon such investments, securities or property as the charity thinks fit. During the year the Charity invested in a portfolio of 1812023". nil) residential properties for a value of £9.5m12023." £nill. At 31 March 2024, the Charity recognised a gain on revaluation of the portfolio of £0.4m12023'. £nill Inole 171. Before investing in this type of asset, the Charity sought and received consent from the Charity Commission as required by s102 of the Charities Act 2011. In addition, the Charity invests its cash held for resloralion projects in a related entity, Blenheim Finance Limited. In return, the Charity receives interest income of c.50 (note 12}. The Charity will see additional investments in future years as part of the £45m designated fund. Reseryes policy and going concern We are confident of our cash flows and that the charity is a going concern. Sufficient reserves are required to cover unplanned emergency repairs and other emergency events, alongside ongoing cash needs for the visitor business. Given the regularity of income streams and the availability of funding from related entities within the Blenheim Estate we do not think Il is ne￿$sary lo hold more than £1m of free reserves for visitor business activities and other emergencies, however we do hold significant further funds to spend on future restoration projects. The level and expectation of restoration and repair requires the Charity to build up funds to cover these costs which are bulky in nature. 15 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Financial review ontinued Reserves policy and going concern (continued) Free reserves al 31 March 2024 were.. Group 2024 £000 Group 2023 £000 Unrestricted income funds 24,409 21,819 Less.. Intsngible assets Tangible assets Chattels Designated funds 1331 17,2341 {9101 {11,9541 17,7631 {9521 {12,8671 Freo reserves 2,827 1,688 Vthilsl free reserves are in excess of our policy, these include £5.1 m of income accrued in relation to the Phase 5 drawdown of land for the Park View development, which is to be allocated lo the designated fund when received. The funds were received in full by 30 Septèmber 2024. The designated fund was created lo fomally ring fence funds towards restoration. The designated fund at 31 March 2024 was £12.9m12023." £12.Oml. Given the nature of the planned restomtion and maintenance programme the Trustees consider that the level of reserves is justifiable for plans that are in place. Plans for future erlods The Trustees and management team are committed to an ambitious 10-year programme to protect and share Blenheim's prosperity for generations to come. This strategy is adopted across the whole Blenheim Estate, of which the Charity plays a vital part. Of the strategic goals, the Charity will primarily lake on the £40m restoration programme, £45m preservation portfolio, training 100 apprentices and current staff, being rated as lop 100 employer, receiving 750k paying visitors, and reacquiring key works from the old collections and estsblishing new ones. It will also significantly contribute towards the tripling local economic contribution. We continued to expand our visitor attractions throughout the year ending 31 March 2024 returning to a full range of events. Another exciting new venture is an Adventure playground in the Walled Garden which opened in April 2023. This will enhance the family visitor experience and drive a longer dwell time in the Walled Garden area. We brought catering in house from the 1 January 2023 to enable the visitor business lo meet the various needs of our diverse customer base. through providing a range of catering facilities leal-in restaurants, quick service facilities and food and drink kiosks) across the estate. 16 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Carbon re ortin and ener usa As a large unquoted charitable company incorporated in the UK, Blenheim Palace Heritage Foundation has a mandatory obligation under The Companies (Directors, Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018 to disclose ils UK energy and greenhouse gas emissions. As a minimum, the Palace is required to report its UK energy use relating to gas, electricity and transport and associated greenhouse gas emissions. Al energy consumed by the Palace is in the United Kingdom. The Palace has chosen lo use tonnes of C02e per visitor as its intensity ratio lenergy performance indicator) lo normalise the energy and carbon figures. This is considered lo be the most appropriate ratio as the visitors, number drives the performance of the Palace and will have a direct impact on energy produced. The number of visitors for the year to 31 March 2024 was calculated at 846,803 12023. 899,1831. Emission sco Total emission sco e summa 2024 2023 Calculated emissions Tonnes of C02e 592 Calculated emissions Tonnes of C02e 620 Total Volume kwh 3,237,833 Total Volume kwh 3,546,019 Emission T Scope 1 direct Scope 2 indirect Scope 3 indirect Total 1,697,245 351 1,681,037 333 nl8 21,756 nla 19,486 4,935,078 22,699 5,227,056 20,439 Sco Direct Emissions from activities owned or controlled by the Palace that release emissions direct into the atmosphere, for example the combustion of natural gas and emissions from combustion of other fuels, both stationary and mobile. 2024 2023 Calculated Emissions Type Definition Volume IklNhl Calculated Emissions Volume Ikwhl Gas Emissions from combustion of natural gas 1,950,255 359 2,241,709 412 Fuels Emissions from combustion of other fuels 1,287,578 233 1,304,310 208 Total 3,237,833 592 3,546,019 620 17 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Carbon re ortin and ener usa continued Sco Indirect Emissions from activities owned or controlled by the Palace that indirectly release emissions into the atmosphere, for example the emissions from purchased electricity, heal, stream or cooling. These are indirect emissions that are a consequence of the Palace's activities, but which occur at sources not owned or controlled by the Palace. 2024 2023 Calculated Emissions 333 Type Definition Volume Ikvvhl Calculated Emissions 351 Volume kvvh 1,681,037 Electricity Emissions from purchased electricity 1,697,245 Total 1,697,245 351 1,681,037 333 Sco Indirect Emissions from activities owned or controlled by the Palace that indirectly release emissions into the atmosphere, bul which occur al sources not owned or controlled by the Palace that do not fall under the definitions of Scope 2. Examples include business travel, purchasing of goods and ServI￿S and waste generated in operations. 2024 Calculated Emissions 2023 Calculated Emissions Type Purchased goods and setvices Capital goods 5,681 6,481 44 909 Fuel and energy related activities 208 213 Waste generated in operations Employee-owned cars 796 796 Other business travel Home working 25 25 Downstream transportation and distribution 14,997 11,064 Total 21,756 19,486 Intensi Ratio 2024 2023 Measurement Total gross emissions Total nel emissions Total gross emissions Total net emissions kg C02e per visitor to the Palace 26.8 19.6 22.7 15.3 18 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Carbon re ortin and ener usa continued roach and methodolo The Palace has taken guidance from the UK Government Environmental Reporting Guidelines Imarch 20191, the GHG Reporting Protocol - Corporate Standard, and from the UK Government GHG Conversion Factors for Company Reporting document for calculating carbon emissions. This guidan has also been applied for Purchased goods and services and Downstream transportation and distribution Scope 3 emissions. Energy usage information (gas and electricilyl has been obtained directly from the Palace's energy suppliers and half-hourly IHHI, where available, for those supplies with HH meters. Transport mileage data was obtained from expense claims submilled for our company cars and grey fleet. For travel by staff for business purposes in their own vehicles we only hold mileage data, which is split into Car and motorcycle. Therefore, we have applied the conversion factor for an average car with an unknown fuel type lo calculate the emissions from employee-owned vehicles. Supply Chain emissions are ¢al¢ulaled based on spend procurement expenditure and then estimated using to-dale adjusted figures from DEFRA 2013 Annex E Supply Chain emissions. For Purchased goods and services and Capital goods IS¢ope 31 emissions were calculated using a spend-based approach multiplying spend by lo-date-spend-based emissions factors for the UK industry activities from Leeds University120201. For Downstream transportation and distribution (Scope 31 travel data for standard visits was supplied from the Green Joumey Funnel. This platfom providèd a breakdown of the number of visitors by travel mode". car, green travel Ilocal bus, rail, walklcyclel, and coach in the reporting year. Ene efficient action In order lo continue lo drive progress Blenheim have a sustainability employee forum and actively promote employee learning and development in this area in order to drive the following initiatives.. Energy-related actions.. Implemented an energy management strategy. Purchased electricity is from zero carbon sources via a green tariff leffective October 20231 Investing in electrification and renewable energy, heat pumps and a solar park. Other actions.. Launched in 2022 a carbon reduction travel fund enabling visitors to pay for carbon sequestration projects within the boundary of Blenheim's estate in the first-year visitors could make a donation lo plant woodland trees. Give a 30Qkn discount lo visitors who arrive either on foot, by public transport or via an electric vehicle. Approximately 1 in 5 visitors lake advantage of this offer. As part of the report Pilio measure our energy use, our Energy-relaled results are as follows.. 4.9 million kvvh (Scope 1 and Scope 21 from all energy sources12023.' 5.3 million kvvhl, this is 5.60/0 lower than in 2022123 Total net emissions increased from 13,796 Itonnes of C02el in 2022123 to 15,696 in 2023124. The main driver was a partial return of overseas visitors post Covid. We are looking al schemes to minimalize the Carbon Footprint impact of returning overseas visitors. Both Carbon Reduction and reducing energy consumption are important to us and a real focus of the Senior Management Team. 19 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Workin with our stakeholders: Section 172 Statement Companies are required to include a statement in their strategic report of how directors have complied with their duty to have regard lo the matters in section 172111 laFIfj of the Companies Act 20061'the Act'l. As per the Charities SORP Information Sheet 3." The Companies Imiscellaneous Reporting) Regulations 2018 and UK Company Charities, the duly of the Trustee of a charitable company under this subsection of the Act is to act in the way he or she considers, in good faith, would be most likely to achieve ils charitable purpose and in doing so have regard lamong other mattersl to". al the consequen￿$ of any decision in the long term b} the interests of the charity's employees cl the need lo foster the charity's business relationships with suppliers, customers and others dl the impact of the charity's operations on the community and the environment e} the desirability of the charity maintaining a reputation for high standards of business conduct n the need to act fairly as between members of the charity We listen to and engage effectively with our wide variety of stakeholders on whom the future suecess of Blenheim Palace depends, including visitors, future generations, employees, suppliers, and the environment, to make sure responsible decisions are made. This helps us ensure that decisions are sustainable in the long term and do not disproportionately affect any single stakeholder group. The charity exists to operate a World Class Visitor Attoction (within a World Heritage Site), which generates funds for the restoration and preservation of the Palace and Park's extensive history and beauty. The Board considers the following lo be the key decisions and considerations it ha5 made during the year lo 31 March 2024.. Significant board decision To bring catering in house from 1 January 2023 Stskeholders affected Action and Impact Local suppliers, employees, environment and visitors Bringing catering in house has allowed us to prioritise suppliers within 20 miles both supporting the local economy and reducing our carbon foolprinl. Greater control of catering has enabled us lo improve the quality of the food offer for visitors, control the margins and create local employment opportunities. By bringing catering in-house, we have bene able to enhance the visitor experien￿ by catering for the needs to the diverse demographic at different lime of the day. We have spent £3.8m on a new Adventure Playground vastly improving our offer to the family market. The new attraction brings additional jobs, and has been a source of pride to employees, that we can create and operate a top-class product To build a market leading Adventure Playground Visitors and employees 20 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Workin with our stakeholders: Section 172 Statement continued Engaging with our stakeholders In this tsble, we sel out in more detsil how we've engaged with our key stakeholders and the impact of that engagement.. Stakeholder group and their importance to Palace $u¢ce$s Issues that they may faco How wo engage Key highlights demonstrating impact of engagement Visitois Value for money as an allraclion Variety of activities Customer surveys following visits Regular review of feedback on social media Review of visitor flow and dwell time Customers requested more provision for families which we have addressed through the new Adventure Playground Improve the quality of catering - brought in house to bring greater control Ensuring a variety of events to meet customer demand Employees Opportunities for development and progression Fair and transparent pay Collabootive and supporting work Ènvironment - Anonymousty survey all employees for continuous feedback. The survey results were a major focus of both the SMT and Management Team Annual employee appraisals and transparent pay increases process on annual basis Employee, Wellbeing & Equality, Diversity & Inclusion Forums sel up and meet regularty -Employee Survey results are published al organisalion and department level with management actions plans formulated Regular CEO In person Roadshows lo ensure all areas of the organisation are kept infomied on key issues Monthly management team meeting to ensure all managers gel time to understand other areas of the business and collaborate across relevant projects 21 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Workin with our stakeholders: Section 172 Statement continued Engaging with our stakeholders Icontinuedl Stakeholder group and their importance to Palace success Issues that they may face How we engage Key highlights demonstrating impact of engagement Future Generations (people) Availability of employment - Apprenti￿ schemes and employment opportunities Learning and Development focus Blenheim remain committed to training apprentices and every year spend more than the apprentice levy. In addition, many local young people are employed in seasonal roles giving them their first lasle of employment - The People Team have employed a dedicated Learning and Development Manager to promote core skills alongside professional development - On average, £4m is spent annually on crucial repairs and maintenance A multiyear plan is held and agreed with our Trustees Suppliers within 20 miles are priorilised where possible Annually we run a competition for start-up businesses. Business support is offered to the winner for a minimum of one year A 300/0 discount is offered on the admission price lo those who arrive either by public transport or electric Future Generations Ibuildingsl Longevity of buildings Annually we listen lo building surveyors, architects and our inhouse team to priorilise reslorab'on projects Blenheim is committed to being the lifeblood of the local economy Suppliers Engagement with and work for local suppliers Environment We are aiming to be Carbon Neutral by 2027 Blenheim are part of national forums and engage with exemplar organisalions A carbon offset scheme is available to visitors One in five visitors have taken advantage of these schemes 22 Blenheim Palace Heritage Foundation Report of the Trustees for the year ended 31 March 2024 (continued) Trustees, responsibilities The Trustees (who are also the directors of the charity for the purposes of company lawl are responsible for preparing the Report of the Trustees lincluding the Strategic Report) and the financial statements in accordance with applicable law and regulations. Company law requires the Trustees lo prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Aecounling Standards and applicable lawl. Under company law the Trustees musl not approve the financial ststements unless they are satisfi'ed that they give a true and fair view of the slate of affairs of the group and charity and of the incoming resources and application of resources, including the income and expenditure, of the group and charity for that period. In preparing these financial stalemenls, the Trustees are required lo.. select suitsble accounting policies and then apply them consistently., observe the methods and principles in the applicable Charities SORP make judgements and accounting estimates that are reasonable and prudent., stale whether applicable UK Accounting Standards have been ft)Ilowed, subject to any material departures disclosed and explained in the financial statements, prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business. The Trustees are ￿sponSible for keeping adequate accounting records that are sufficient lo show and explain the charity's transactions and disclose with reasonable accuracy al any lime the financial position of the charity and enable them lo ensure that the financial statements comply with the Companies Act 2006, the Charities (Accounts and Reports) Regulations 2008, and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Financial ststemenls are published on the charity's website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements, which may vary from legislation in other jurisdictions. The maintenance and integrity of the charity's website is the responsibility of the trustees. The Iruslees, responsibility also extends to the ongoing integrity of the financial statements contained therein. Dlsclosure of Informatlon to audltor The Trustees confimi that.. so far as each Trustee is aware, there is no relevant audit information of which the Charitable Company's auditor is unaware., and the Trustees have taken all the steps that they ought lo have taken as Trustees in order to make themselves aware of any relevant audit information and to establish that the Charitable Company's auditor is aware of that information. The Report of the Trustees, incorporating the Strategic Report, was approved by the Trustees on 9 October 2024 and signed on their behalf by Dominic Hare.. rustee and Director) Date.. 1 November 2024 23 Blenheim Palace Heritage Foundation Independent auditorfs report to the members of Blenheim Palace Heritage Foundation Opinion on the financial statements In our opinion, the financial stalemenls". give a true and fair view of the slate of the Group's and of the Parent Charitable Company's affairs as at 31 March 2024 and of the Group's incoming resources and application of resources for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance with the requirements of the Companies Act 2006. We have audited the financial statements of Blenheim Palace Heritage Foundation I'the Parent Charitable Company'l and its subsidiaries I the Group'l for the year ended 31 March 2024 which comprise the Consolidated Statement of Financial Aclivilies, the Consolidated and Parent Charitable Company Balance Sheets, the Statement of Cash Flows and Consolidated Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, ineluding Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting PraCts.￿l. Basis for opinion We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those stsndards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Indgp&nd8nc8 We remain independent ofthe Group and the Parent Charitable Company in accordance with the ethical requirements that are relevant lo our audit of the financial statements in the UK, including the FRC'S Ethical Stsndard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. Conclusions related to going concern In auditing the financial statements, we have concluded that the Trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or eolleclively, may cast significant doubt on the Group and the Parent Charitable Company's ability to continue as a going concern for a period of at least twelve months from when the financial ststemenls are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report. 24 Blenheim Palace Heritage Foundation Independent auditorfs report to the members of Blenheim Palace Heritage Foundation {continued) Other infomiation The Trustees are responsible for the other information. The other information comprises the information included in the Report of the Trustees, other than the financial statements and our auditorfs report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly ststed in our report, we do not express any form of assurance conclusion thereon. Our responsibility is lo read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial stslements or our knowledge obtained in the course of the audit, or othetwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstalemenls, we are required to determine whether this gives rise lo a material misststemenl in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misslalemenl of this other information, we are required to report that fact. We have nothing to report in this regard. Other Companies Act 2006 roporting In our opinion, based on the work undertaken in the course of the audit.. the information given in the Report of the Trustees, which includes the Directors, Report and the Strategic report prepared for the purposes of Company Law, for the financial year for which the financial slalements are prepared is consistent with the financial slatemenls., and the Strategic report and the Directors, Report, which are included in the Report of the Trustees, have been prepared in accordan￿ with applicable legal requirements. In the light of the knowledge and understanding of the Group and the Parent Charitable Company and its environment obtained in the course of the audit, we have not identified material misslatemenl in the Strategic report or the Report of the Trustees. We have nothing lo report in respect of the following matters in relation lo which the Companies Act 2006 requires us to report lo you if, in our opinion. adequate accounting records have not been kept by the Parent Charitable Company, or returns adequate for our audit have not been reTrived from branches not visited by us., or the Parent Charitable Company financial statements are not in agreement with the accounting records and returns., or rtain disclosures of Directors, remuneration specified by law are not made., or we have not received all the information and explanations we require for our audit. 25 Blenheim Palace Heritage Foundation Independent auditorfs report to the members of Blenheim Palace Heritage Foundation {continued) Responsibilities of Trustees As explained more fully in the Trustees, responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company lawl are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary lo enable the preparation of financial statements that are free from material misstatement, whether due lo fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the Group's and the Parent Charitable Company's ability to continue as a going concern, disclosing, as applicable, mallers related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the Parent Charitable Company or to cease operations, or have no realistic alternative but lo do so. Auditor's responsibilities for the audit of the financial statements We have been appointed as auditor under the Companies Act 2006 and report in accordance with the Act and relevant regulations made or having effect Ihereunder. Our objectives are lo obtain reasonable assurance about whether the financial statements as a whole are free from material misslalemenl, whether due lo fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assuran￿ is a high level of assurance, bul is not a guarantee that an audit condu¢led in accordance with ISAS IUKI will always detect a material misstatement when It exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonabty be expected lo influence the economic decisions of users taken on the basis of these financial statements. Extent to which the 8udit W8S C8P8ble of detecting irregu18rities, including fraud Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, lo detect material misstatements in respect of irregularities, including fraud. The extent lo which our procedures are capable of detecting Irr￿ularl11eS, including fraud is detailed below.. Non-compliance with laws and regulations Based on.. Our understanding of the Group and Parent Charitable Company and the sector in which il operates", Discussion with management and those charged with governance., and Obtaining and understsnding of the Group and Parent Charitsble Company policies and procedures regarding compliance with laws and regulations. We considered the significant laws and regulations to be the Companies Act 2006, Charities Act 2011, UK Generally Accepted Accounting Pthctl￿, Charities SORP and lax legislation. The Group and Parent Charitable Company are also subject lo laws and regulations where the consequence of non4ompliance could have a material effect on the amount or disclosures in the financial statements, for example through the imposition of fines or litigations. We identified such laws and regulations lo be employment law, health and safely, food hygiene, and dats protection. 26 Blenheim Palace Heritage Foundation Independent auditorfs report to the members of Blenheim Palace Heritage Foundation {continued) Our procedures in respect of the above included.. Review of minutes of meeting of those charged with govemance for any InStan￿S of non- compliance with laws and regulations", Review of correspondence with regulatory and lax authorities frir any instances of non- compliance with laws and regulations., Review of financial statement disclosures and agreeing to supporting documentation., and Review of legal expenditure accounts lo understand the nature of expenditure incurred. Fraud We assessed the susceptibility of the financial statements lo material misstatement, including fraud. Our risk assessment procedures included.. Enquiry with management and those charged with governance regarding any known or suspected instances of fraud., Obtaining an understanding of the Group and Parent Charitable Company policies and procedures relating lo.. Detecting and responding lo the risks of fraud,. and Internal controls established to miligale risks related to fraud. Review of minutes of meeting of those charged with governance for any known or suspected instances of fraud., and Discussion amongst the engagement team as to how and where fraud might occur in the financial statements. Based on our risk assessment, we considered the areas most susceptible to fraud to be posting inappropriate journal entries to manipulate financial results and management bias in accounting estimates. In addition, we considered revenue recognition an area lo be susceptible lo fraud, particularly in relation to the cul off of transactions and the posting of journals lo material revenue streams. Our procedures in respect of the above included. Testing a sample of journal entries throughout the year, which met a defined risk criteria, by agreeing to supporting documentation., A review of estimates and judgements applied by Management in the financial statements to assess their appropriateness and the existence of any systematic bias., and In addressing the risk of fraud through improper revenue recognition, we tested the appropriateness ofcertain journals lo material revenue streams and tested a sample of revenue transactions surrounding the year end lo ensure appropriate revenue recognition in the correct period. We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit. Our audit procedures were designed to respond lo risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not delecling one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of 27 Blenheim Palace Heritage Foundation Independent auditor's report to the members of Blenheim Palace Heritage Foundation {continued) A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council's I'FRC'S'I website at". https.'Ilwww.frc.org.uklaudilorsresponsibilities. This description forms part of our auditor's report. Use of our report This report is made solely to the Charitable Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might slate to the Charitable Company's members those matters we are required to slate to them in an auditor's report and for no other purpose. To the fullest exlenl permilled by law, we do not ac￿pt or assume responsibility lo anyone other than the Charitable Company and the Charitable Company's members as a body, for our audit work, for this report, or for the opinions we have formed. DoCu8￿n￿by'. 41141fj013DD84AC Kyla Bellingall (Senior Statutory Audilorl For and on behalf of BDO LLP, statutory auditor Birmingham, UK Date 01 November 2024 BDO LLP is a limited liability partnership registered in England and Wales Iwith registered number OC3051271. 28 Blenheim Palace Heritage Foundation Consolidated Statement of Financial Activities for year ended 31 March 2024 (including consolidated income and expenditure account) UnrestriGted Fund8 Restrirted Funds Total Fund8 Unrestrirted Funds RestriGted Funds Total Funds Note 2024 2024 2024 2023 2023 2023 £000 £000 £000 £000 £000 £000 IncC￿e- Donation$ and grant$ 5.159 343 5.502 4.732 1.030 5,762 Income from ch817table activities.. Operation of the Palace and park 9,803 9,803 7,413 7,413 froffl othertrading 8Gtivitips Commercial trading operations 13.580 13.580 9.265 9,265 Total incomo 343 EX￿ndItUre Costs off raisiny funds." Commercial trading operations 10.592 10.592 5.785 5,785 Exp@ndiÈur6 on ch8fr718bl8 activiti&s.' Operation of the Palace and park Preservation and maintenance 11,724 67 11,791 10,836 10,836 4,098 276 4,374 3,902 1.030 4,932 Totsl expendlture 343 Net gains on investm&nls 420 420 Net in¢ome 887 887 Other r8cogni58d galn8'. Gains on revaluation of fixed assets 16 42 42 Net mov8m8nt in funds for th8 y8ar 687 887 Reconciliation of fund5 Total funds brought forward Totsl fund5 Garried forbyard 23 21.819 24,409 21.819 The slalement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. 29 Blenheim Palace Heritage Foundation Consolidated and Parent Charitable Company Balance Sheets for year ended 31 March 2024 Company nLJmber 09430048 Group 2024 £000 Group 2023 £000 Charity 2024 £000 Charity 2023 £000 Note Fixed assets Intsngible assets Tangible assets Chattels Investments Total Fixed Assets 14 15 16 17 33 7,234 910 7,763 952 9,958 5,990 952 9,958 5,852 910 Current assets Stock Debtors Cash at bank and in hand Total Current Assets 18 19 812 16,148 368 783 24,157 486 15,246 105 23,412 159 Liabilities Creditors falling due within one year Net Current assets 20 11,489 11,717 4,197 4,941 Total assetslgss current liabilitiOS Creditors falling due after more than one year 24.512 21.886 28,054 25.392 21 103 67 Net assets 21,819 28,054 25,392 The funds ofthe charity: Unrestricted income funds". general fund Unrestricted income funds". designated fund Reslricled income fund General fund.. revaluation reserve Designated fund.. revaluation reserve 23 11,500 9,865 15,145 13,438 23 23 23 12,447 11,954 12,447 11,954 42 42 23 420 24.409 420 28,054 Total charity funds 21.819 25.392 Parent charity income for the year ended 31 March 2024 was £19,087k12023". £17,835kl. Parent charity net income for the year ended 31 March 2024 was £2,620k12023". £1,407kl. The trustees have prepared Group accounts in accordance with section 399 ofthe Companies Act 2006 and sects'on 138 of the Charities Act 2011. The notes on pages 3110 61 form part of these accounts. The financial statements were approved by the Board on 9 October 2024 and were signed on its behalf by Dominic Hare.. November 2024 30 Blenheim Palace Heritage Foundation Statement of Cash Flows and Consolidated Statement of Cash Flows for year ended 31 March 2024 Group 2024 £000 Group 2023 £000 Charty 2024 £000 Charity 2023 £000 Note Cash provided byllused in) operating activities 25 1,027 14,2151 593 14,1891 Cash Ilows from investing activities Interest income Purchase of challels Purchase of tangible fixed assets Purchase of investment property Loan to Blenheim Finance Limited 836 866 171 13,5811 836 666 171 12,8201 16 15 17 11,6691 19,5381 19901 19,5381 12 9,045 5,547 9,045 5,547 Cash (used inllprovided by investing activities 11,3261 2,825 16471 3,386 Cash flows from financing activities Drawdown of borrowing Repayment of borrowing 12 12 14,790 114,6091 12,092 111,6621 Cash provided by financing activities 430 Decrease in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year 11181 19601 1541 {8031 486 1,446 159 962 Total cash and cash equivalents at the end of the year 368 486 105 159 31 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 1 Accounting Policies The principal accounting policies adopted, judgements and key sources of estimation Un￿rtaInty in the preparation of the financial statements are as follows.. 1.11 Basis of preparation The financial ststements 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 IFRS 1021- (Charities SORP IFRS 10211, the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 2006. 1.21 Preparation of the accounts on a going con￿rn basis The financial statements have been prepared on the going concern basis. The Trustees and Senior Management Team have assessed the Group's forecast and stress tested to assess the Group's ability lo continue as a going concern. The Group's financial position has improved and Is expected to continue lo do so and so the Trustees and Senior Management Team are confident that Group will have sufficient working capital and cashflows to meet its liabilities as they fall due for al least one year from the dale of approval of these financial stslements. The Trustees are satisfied that the Group has strong cash reserves and therefore there is no material uncertainty which may cast doubl of the Group's ability to continue as a going concern. 1.31 Group financial statements The financial statements consolidate the results of the charity and its wholly owned subsidiary Blenheim Visitors Limited (company number 059572911, and its wholly owned subsidiary. Love Water Limited (company number 051317621, on a line-by-line basis. A separate Statement of Financial Activities and Income and Expenditure Account for the charity has not been presented because the charity has taken advantage of the exemption afforded by section 408 of the Companies Act 2006. The registered address of the Charity and its subsidiaries is The Estate Office, Blenheim Palace, Woodstock, Oxfordshire, OX20 1 PP. 32 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 1 Accounting Policies (continued) 1.41 Income Income is recognised when the charity has enlillemenl lo the funds, any performance conditions allached lo the Ilemlsl of income have been met, il is probable that the income will be received, and the amount can be measured reliably. Admissions income Visitors Can purchase entrance tickets in advance for entrance on a selected date. Income is recognised in full on the date of admission. Entrance tickets, including non-refundable annual pass upgrades, are recognised as income in full on the day of purchase. Event income During each year Blenheim Palace runs a number of events for visitors. Income is recognised in full on the day, or days, of the event. Income received in advance of an event or advanced ticket sales is deferred until the criteria for income recognition are mel (see note 221. Retail caterin and water income Retail and catering income is recognised at point of sale. Water income is recognised on dispatch. Restoration fundin The charity receives funding from a supporting charity and Maintenance Fund. The funding is against agreed resloralion expenditure and is Irealed as receivable, and recognised as income, in the month that il is received. Grant Income Grant income, whether 'capilal' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any perfomianTr conditions attached to the grants have been met, Il is probable that the income will be reTrived, and the amount can be measured reliably. Le ac Income Legacy income is recognised when there has been grant of probate, the executors have established that there are sufficient assets in the estate, after settling any liabilities, lo pay the legacy and any conditions attached to the legacy are either within the control of the charity or have been met. 1.51 Fund accounting Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds that the Trustees have set aside to fund the Charity's restoration and conservation initiatives. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity. 33 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 1 Accounting Policies (continued) 1.61 Expenditure and irrecoverable VAT Expenditure is recognised On￿ there is a legal or constructive obligation to make a payment lo a third paty, it is probable that selllement will be required, and the amount of the obligation can be measured reliably. Expenditure 15 classified under the following activity headings.. Costs of raising fvnds comprise the costs of commercial trading including the retail and water business and their associated support costs. Expenditure on charitable activities includes the costs of day-l¢>day maintenance and running of the Palace, exhibitions and other educational activities undertaken lo further the purposes of the charity and their associated support costs. Irrecoverable VAT Is charged as a cost against the activity for which the expenditure was incurred. 1.71 Allocation of support costs Support costs are those functions that assist the work of the charity bul do not directly undertake charitable aclivilies. Support costs include back-office costs, finance, personnel, payroll and govemance costs which SUPF)Ort the charity's programmes and aclivilies. These costs have been allocated between cost of raising funds and expenditure on charitable activities. The basis on which support costs have been allocated are sel out in note 8. 1.81 Operating leases The charity classifies the lease of printing as operating leases,. the title lo the equipment remains with the lessor and the equipment is replaced every 5 years whilst the economic life of such equipment is normally 10 years. Rentals paid under operating leases are charged lo the Statement of Financial Activities on a straight- line basis over the lease term. Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight- line basis over the lease term, unless another systematic basis is representative of the lime pattern of the lessee's benefit from the use of the leased asset. 1.91 Intangible fixed assets Goodwill represents the difference belween amounts paid on the cost of a business combination and the acquirer's interest in the fair value of Its Identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent lo initial recognition, Goodwill is measured at cost less accumulated amortisalion and accumulated impairment losses. Goodwill is amortised on a slraight-line basis lo the Statement of Financial Acb'vities over its useful economic life of between five and ten years. Goodwill has been recognised within Blenheim Visitors Limited, the charity's wholly owned subsidiary, on acquisition of Blenheim Visitors Partnership. Goodwill relating to the visitor part of the business was transferred lo the charity on 1 January 2017. 34 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 1 Accounting Policies (continued) 1.10} Tangible fixed assets Tangible fixed assets under the cost model are slated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner Intended by management. The Group adds lo the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, ifthe replacement part is expected to provide incremental future benefits to the Group. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged lo the Statement of Financial Activities during the period in which they are incurred. Individual fixed assets eosting £1,000 or more are capilalised at Cost and are depreciated over their estimated useful economic lives on a straighl-line basis as follows. Asset Category Plant and machinery Motor vehicles Fixtures and fittings Leasehold Annual rate 100/0 330/0 25Yo 1 Oyo - 200/0 50 The assets, residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting dale. Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Financial Aclivilies. 1.11} Investments Investments are measured at cost less accumulated impairment. 1.121 Investment property Investment property is carried at fair value determined annually by external valuers and derived from the current market rents and investment property yields for compaoble real estate adjusted, if necessary, for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in the Statement of Financial Activities. 1.131 Chattels The Charity owns challels with artistic or historical significance related lo Bknheim Palace. These are tangible fixed assets that are held and maintsined principally for their contribution lo knowledge and culture and are accounted for as heritage assets. Purchased chattels are inilialty measured at cost. Donated challels are initially valued at the date of donation and this is treated as its deemed cost thereafter. 35 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 1 Accounting Policies (continued) 1.131 Chattels Iconlinuedl From 1 April 2023, subsequent to initial recognition, challels are measured al fair value determined annually by an independent valuer. Changes in fair value are recognised in the Stslemenl of Financial Activities. In previous reporting periods, chattels were measured at cost less accumulated impairment. 1.141 Stock Stock is staled al the lower of cost or net realisable value. being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Al each reporting dale, stock is assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less eosts to complete and sell. The impairment loss is recognised immediately in the Statement of Financial Aclivilies. 1.151 Debtors Short term debtors are measured at transaction price, less any impaimient. Loans receivable are measured initially al fair value, nel of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment. 1.161 Cash at bank and in hand Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. 1.171 Financial Instruments The Charity only enters basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties and loans to related parties. Financial assets that are measured at cost and amortised cost are assessed al the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Financial Activities. For financial assets measured al cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold al the reporting dale. Financial assets and liabilities are offset, and the nel amount reported in the Charitable Company Balance Sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. 36 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 1 Accounting Policies (continued) 1.181 Creditors and provisions Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of ftjnds lo a third party and the amount due lo settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised al their settlement amount after allowing for any trade discounts due. 1.191 Pensions Defined contribution ension lan The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays contributions into a separate entity. Once the contributions have been paid the Group has no further payments obligations. The contributions are recognised as an expense in the Statement of Financial Activities when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Group in independently administered funds. Defined benefit nsion lan The Group supports an obligation for the defined benefit plan which was closed lo future accrual in 2000. A defined benefit plan defines the pension benefit that the employee will receive on retirement, usually dependent upon several factors including bul not limited lo age, length of Servi￿ and remuneration. A defined benefit plan is a pension plan that is not a defined contribution plan. The defined benefit obligation is calculated using the projected unil credit method. Annually the Group engages independent actuaries to calculate the obligation. The present value is determined by discounting the estimated future payments using market yields on high quality corporate bonds that are denominated in sterling and that have terms approximating to the estimated period of the future payments I'discount rate'l- The fair value of plan assets is measured in accordance with the FRS 102 fair value hierarchy and in accordance with the Group's policy for similarly held assets. This includes the use of appropriate valuation techniques. Actuarial gains and losses arising from experience adjustments and changes in actuarial assumptions are charged or credited to other comprehensive income. These amounts together with the return on plan assets, less amounts included in net interest, are disclosed as 'Remeasuremenl of net defined benefit liability,. The cost of the defined benefit plan, recognised in the Statement of Financial Activities as employee costs, except where included in the cost of an asset, comprises.. a} the increase in net pension benefit liability arising from employee service during the period., and b} the cost of plan inlroduclions, benefit changes, curtailments and selllemenls. 37 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 1 Accounting Policies (continued) 1.191 Pensions Icontinuedl The nel interest cost is calculated by applying the discount rale lo the net balan￿ of the defined benefit obligation and the fair value of plan assets. This cost is recognised in the Statement of Financial Activities as a 'finance expense,. 1.201 Current and deferred taxation The Group contains limited companies which are subject to corporation lax. The subsidiary companies make qualifying donations of all taxable profil, where applicable, to the charity. No corporation lax liability on the subsidiaries arises in the accounts. 1.21} Judgements in applying accounting policies and key sources of estimation uncertainty The preparation of the financial statements requires management lo make judgements, eslimales and assumptions that affect the application of accounting policies and reported amounts of assets, liabilities, income and expenses. Actual results may differ from these eslimales. Estimates and underlying assumptions are reviewed on an ongoing basis. Estimates are based on historical experience and other assumptions that are considered reasonable in the circumStan￿s. The actual amount or values may vary in certain instan￿$ from the assumptions and estimates made. Changes will be recorded, with corresponding effect in the Slalement of Financial Activities, when, and if, better information Is obtained. Information about assumptions and estimation uncertainties that have a significant risk of resulting in material adiustmenl within the next financial year are included below. Critical Judgements that management has made in the process of applying accounting policies disclosed herein and that have a significant effect on the amounts recognised in the financial statements relates to the following.. Tan ible fixed assets The trustees reeognise that the annual depreciation charge for fixed assets is sensitive to changes in the estimated useful economic lives of the assets so these are re-assessed annually and amended when necessary to reflect current estimates. Valuation of Investment Pro erties Management instructs an independent valuation expert to assess the open market value of the investment properties at each reporting dale. The future realisation of these amounts may be affected by future changes in the market condition. Valuation of Chattels From 1 April 2023 chattels are measured al fair value. Management instructs an independent valuation expert to assess the open market value of the chattels annually. The future realisalion of these amounts may be affected by future changes in the market condition. Stocks Management review the stock levels held in the group for Indications of obsolescence, damage or perished goods. If there is any evidence of impairment the carrying amount of stock is reduTrd to its realisable value. 38 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 1 Accounting Policies (continued) Recoverabili of trade debtors Trade and other re￿1Vable$ are recognised lo the extent that they are judged recoverable. Management reviews are performed lo estimate the level of reserves required for irrecoverable debt. Provisions are made specifically against Invol￿S where recoverability is uncertain. Defined benefit ension The cost of defined benefit pension plans and other post-employment medical benefits are determined using actuarial valuations. The actuarial valuation involves making assumptions about discount rates, future salary increases, mortality rates and future pension increases. DLJe to the complexity of the valuation, the underlying assumptions and the long-term nature of these plans, such estimates are subject to significant uncertainty. In determining the appropriate discount rate, management considers the interest rates of corpomte bonds in the respective currency with al least AA rating, with extrapolated maturities corresponding to the expected duration of the defined benefi't obligation. The underlying bonds are further reviewed for quality, and those having excessive credit spreads are removed from the population of bonds on which the discount rate is based, on the basis that they do not represent high quality bonds. The mortality rate is based on publicly available mortality tables for the specific country. Future salary increases and pension increases are based on expected future inflation rates. 2 Legal status of the charity The charity is a company limited by guarantee registered in England and Wales 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. The charity is a public benefit enb"ty. 39 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 3 Income from donations and grants 2024 2024 Unrestricted Restricted funds funds £000 £000 194 149 343 2024 2023 2023 Total Unrestricted Restricted funds funds funds £000 £000 £000 194 459 5,308 571 5,502 1,030 2023 Total funds £000 459 Donations Grants Other donations 5,159 5,159 4,732 4,732 5,762 In the Charity, the income from donations and grants was £5,502k12023.' £5,762kl of which £5,159k was unreslri¢led12023.' £4,732kl and £343k restricted12023.' £1,030kl. The restricted fund includes grants and donations from.. Maintenance Fund distribution of £140k for resloralion and conservation of the Palace. Higher Level Stewardship of £55k for conservation of the land and Palace grounds. Rowse Honey of £70k for bee conservation on the estate. European Research Executive Agency of £67k for building an inclusive cultural-educational ecosystem. Natural England of £2k for habitat management. Pala￿ Visitors of £9k carbon offsetting of the carbon impact of visitors, journey to the Palace. 4 Income from charitable activities Unrestrlcted Funds 2024 £000 Unrestrlcted Funds 2023 £000 Operation of the Palace and Park Income from admission and tour charges Gift aid recovered on donated admissions for annual passes Total income from charitable activities 8,769 6,461 1,034 9.803 952 7.413 40 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 5 Income from other trading activities Unrestricted Unrestricted Funds Funds 2024 2023 £000 £000 22 19 2,618 2,576 211 1,326 96 73 9,797 4,405 836 866 13,580 9,265 Income from the sale of Christmas trees Income from Palace functions and park events Income from filming Other income Income from subsidiary Interest receivable Within interest receivable is £836k12023'. £666kl of interest income earned from the charity's loan made to Blenheim Finance Limited (note 121 lo uts'lise surplus cash in a secure and liquid investment. Within income from subsidiary of £9,797k 12023.. £4,405kl is £8,566k 12023.. £3,357kl from Blenheim Visitors Limited £1,231 k12023'. £1,048kl from Love Water Limited. Commercial trading operations The wholly owned trading subsidiary Blenheim Visitors Limited I'BVL l is incorporated in the United Kingdom (company number 059572911. Love Water Limited I'LWL l is a wholly owned subsidiary of Blenheim Visitors Limited (company number 051317621. The summary financial performance of the subsidiaries alone (before consolidation adjuslmentsl are.. BVL 2024 £000 8,631 18,2961 86 13191 86 16 BVL 2023 £000 3,442 13,7411 277 12571 44 323 LWL 2024 £000 1,234 11,2391 LWL 2023 £000 1,048 11,1291 Turnover Cost of sales and administration costs Interest receivable Interest payable Taxation Net profitlllossl 1861 1771 24 182 91 Retained in subsidiary 16 323 91 182 The assets and liabilities of the subsidiaries are.. BVL 2024 £000 1,443 4,484 7,642 1.715 BVL 2024 £000 1,134 4,122 6,987 1.731 LWL 2024 £000 330 249 2,512 1,933 LWL 2024 £000 281 215 2,338 1,842 Fixed assets Current assets Current liabilities Total nel Iliabililiesl Aggregate share capital and reserves 41 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 6 Analysis of expenditure on charitable activities Operation of PreseDiation the Palace and and park maintgnancg £000 £000 327 2024 Total 2023 Total £000 £000 327 199 Admissions expenses Maintenance of the garden and park Central premises costs Bank charges Depreciation Repair expenditure Restoration Rural Park maintenance Higher Level Stewardship Governance costs Isee note 81 Support costs (see note 81 Total 692 692 1,777 30 852 434 3,185 90 55 319 8,404 567 1,480 90 586 424 3,929 120 60 344 7,969 1,777 30 852 82 352 3,185 90 55 319 8,404 Expenditure on charitable activities was £16,165k 12023.. £15,768kl of which £15,822k was unreslricled12023'. £14,738kl and £343k was restricled12023. £1,030kl. 7 Summary analysis of expenditure and related income for charitable activities This table shows the cost of the two main charitable activities and the sources of income directly to support those aclivilies. Operatlon of the Palace and Park £000 {11,7911 8,769 PreseNatlon and Malntenance £000 {4,374) 2023 2024 Total Total £000 £000 116,1651 115,7681 8,769 6,461 Costs Admission charges Gift aid recovered on donated admissions 1,034 952 Donations Direct grant support Net cost funded from other income 5,308 127 5,308 194 5,303 459 67 860 42 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 8 Analysis of governance and support costs The Charity initially identifies the costs of ils support functions. 11 then identifies those costs which relate to the governance function. Having identified its governance costs, the remaining support costs together with the governance costs are apportioned be￿een the key charitsble activities undertaken Isee note 61 in the year. Refer to the tsble below for the basis for apportionment and the analysis of support and governan￿ costs. General support Governance 2024 2024 £000 £000 General support Governanee 2023 2023 £000 £000 Total 2024 £000 Total 2023 £000 Salaries, wages and related costs Production and marketing Audit fees Other non-audil services Health and Safety Legal & Professional Other Administrative Total 6,256 890 6,256 890 93 10 5,751 699 5,751 699 94 10 93 10 94 10 20 216 236 1,237 8.723 240 240 8.404 319 7.969 344 8.313 Salaries and related costs are apportioned based on ts"me. The remainder of costs are apportioned based on type. Net Income for the year 2024 £000 2023 £000 Thls Is stated after charglng: Operating leases- equipment Amortisation Depreciation 20 33 1,110 18 75 735 Auditor's remuneotion". Audit fees Icharilyl Audit fees Isubsidiaryl Non-audil Fees Isubsidiaryl 52 41 10 54 40 10 43 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 20243 (continued) 10 Analysis of staff costs, trustee remuneration and expenses. and the cost of key management personnel Group 2024 £000 9,676 826 728 11.230 Group 2023 £000 7,335 635 597 Charity 2024 £000 6,728 608 545 7.881 Charity 2023 £000 5,919 532 508 6.959 Salaries and wages Social security costs Pension costs Ex gralia payments made in the Group and Charity in the year lo 31 March 2024 tolalled £nil 12023 £nill. Some employees benefit from accommodation. Total staff accommodation cost for the Charity in the year to 31 March 2024 was £249k12023'. £239kl. Employment costs to the charity above are not the full cost of all employees of the Estate. A number of employees, including SMT, are recharged to other entities within the Estate depending on their roles and department. The number of employees receiving paid employment or benefits from the Group (excluding employer pension and national insurance costs and after charges lo related entiliesl over £60k for the year is as follows. 2024 2023 £60,000-£70,000 £70,001-£80,000 £80,001-£90,000 £90,001-£100,000 £100,001-£110,000 £110,001-£120,000 £120,0014130,000 £220,0014230,000 £240,0014250,000 The number of employees receiving paid employment or benefits from the whole Estate, not just the charity Group, (excluding employer pension and national insurance costs) over £60k for the year is as follows.. 2024 20 2023 15 £60,000-£70,000 £70,001-£80,000 £80,001-£90,000 £90,001-£100,000 £100,001-£110,000 £110,001-£120,000 £120,001-£130,000 £130,001-£140,000 £1 $0,001-£170,000 £170,001-£180,000 £210,001-£220,000 £220,001-£230,000 £240,001-£250,000 44 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 10 Analysis of staff costs. trustee remuneration and expenses. and the cost of key management personnel Icontinuedl The SMT receive performance related pay depending on their role and the Estate's performance. Therefore, remuneration flucluales year on year. The charity trustees were not paid from employment or receive material benefits with the eharity or its subsidiary in the year except for the Chief Executive Officer ICEOI, Dominic Hare, in his capacity as director and for his role as CEO. The charity's governing document gives authority lo pay the CEO. Dominic Hare received remuneration from the charity of £66,905 12023.. £92,401), of which £5,969 12023.. £22,789) was pension contributions and £3,540 12023. £17,292) was in relation to private healthcare. The charity trustees receive the benefit of free water from the water business which operates in the charity's subsidiary however this is not considered a material benefit as declared in the Articles of Association. One Iruslee12023.. two) was reimbursed for expenses for travel and business expenses. Tot81 reimbursement was £6.347 12023.. £1,128). No charity Iruslee received payment for professional or other services supplied lo the charity in their Capacity as Iruslee12023'. none). The key management of the Group and the charity lexcepl for Love Water Limiled's Director) are paid by the wholly owned subsidiary Blenheim Visitors Limited which acts as a payroll bureau and recharges salaries across the Estate. Love Water Limiled's Director is paid directly by Love Water and costs are included within the consolidated Group. The key management personnel of the parent charity and the Group are the Senior Management Team including the Chief Executive Officer, Chief Financial Officer, Managing Director (Visitor Attraction), Managing Director (Land Management), Marketing and Communications Director, Finance Director and People Director. Key management of Blenheim Visitors Limited's wholly owned subsidiary, Love Water Limited, are the Directors. The salary cost to 31 March 2024 (including employer pension costs and social security, after charges to related entities) of the key management personnel to the wholly owned subsidiary and the charity was £538k12023. £535kl. The salary cost for the whole Estate to 31 March 2024 lincluding employer pension costs and social security, after charges to related entiliesl of the key management personnel was £1,360k12023. £1,239kl. 45 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 11 Staff Numbers The wholly owned trading subsidiary Blenheim Visitors Limited acts as a payroll bureau across the Estate. The seasonality of the business means that the only appropriate way lo measure headcounl is based on average monthly heads (including casual and part-time staffj. The average monthly head count across the estate was 524 {2023.' 404} and is broken down by department as follows.. 2024 Number 206 31 80 17 2023 Number 192 29 74 Operats'ons Retail, warehouse and water Admin and support Game Construction Hospitality Sales Catering Propety Other 102 12 12 524 404 Retail, warehouse and water staff are not a cost of the charity, but its wholly owned subsidiary, Blenheim Visitors Limited. Construction employees are recharged lo Pye Homes Limited and Blenheim Estate Contractors Limited. Hospitality sales employees are recharged lo Barrough Hospitality Limited. Property employees are recharged across our property entities. Game employees are recharged to Blenheim Palace Game LLP. Other employees are recharged lo other entities within the Estate. 12 Related party transactions Mernbers, trustees, direetots and key management The current four members of Blenheim Palace Heritage Foundation are trustees of the controlling company The Marlborough 2003 Settlement. Blenheim Palace Heritage Foundation trustees Christopher Groves, Alexander Muir Iresigned 9 January 20241 and Lord Edward Spencer Churchill are Iruslees of the wider Blenheim Estate it being the whole of Blenheim and all its related entities. Dominic Hare, CEO, trustee and director of the charity and subsidiary is a director of other Blenheim related entities Isee listing of related party transactions below) and is a Iruslee of Experience Oxfordshire. Sales made to Experience Oxfordshire from the Group in the year lotalled £nil12023". £nill. Blenheim Palace Heritsge Foundation paid Experience Oxfordshire in the year to 31 March 2024 £1 k12023." £29kl for marketing and advertising spend it shares. Christopher Groves is a Partner al Withers LLP. Withers LLP are the Estate's primary legal advisors. Any legal advice provided directly lo the charity or subsidiaries are through a separate team and conflicts of interest are reviewed for each engagement. Fees paid to Withers LLP by the Group in the year to 31 March 2024 were £57k12023'. £61 kl. Dominic Hare is a trustee of The Emotional Help Hub UK Ltd. Fees paid by the group to The Emotional Help Hub UK Limited for counselling sessions in the year to 31 March 2024 were £6k12023'. £2kl. 46 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 12 Related party transactions {continued) Related entities The charity and the wholly owned subsidiary, Blenheim Visitors Limited, have transactions with several related entities within the Blenheim Estate. Not infrequently invoices are received into the charity or the subsidiary which relate in part or total to related parties, once sellled the relevant costs recharged to the related paty. Less frequently related parties pay invoices on behalf of the charity or subsidiary and recharged. These transactions are not disclosed in detail within this related party note, though they are included within the year end balances. Blenheim Visitors Limited also acts as the payroll bureau for the "Group" and incurs central costs. Love Walerfs Director, Nick Swan, owed Love Water Limited £nil al 31 March 202412023.. £2kl. Blenheim Finance Limited is the wider Estate's funding facility. During the year ended 31 March 2024, Blenheim Visitors Limited borrowed £14,790k 12023." £12,092kl from Blenheim Finance Limited and repaid £14,609k12023'. £11,662kl. Interest of £319k12023. £257kl was charged at a rale of 50/0. The balance outstanding al 31 March 2024 was £5,859k12023.' £5,363kl. Al the year end, the charity was owed £2,909k by Blenheim Finance LiMited12023.' £11,954kl. An interest rale of 50/0 is charged on this balance and interest of £836k was earned during the year 12023.. 666kl. During the year Charity acquired a portfolio of 1812023.. nill residential properties for a value of £9,538k 12023.. £nill from related entities Vanbrugh Unit Trust (ten properties for £4,936kl and Blenheim Estate Properties Limited leighl properties for £4,602kl. 47 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 12 Related party transactlons Icontlnuedl The charity provides management services to several related entities. The following management charges were levied based on the time spent on services for each related entity. Charity 2024 £000 Charity 2023 £000 Barrough Hospitality Limited Management fee Blenheim Parliamentary 1994 (via Agency) Management fee Vanbrugh Unit Trust Management fee 43 J. A. Pye (Oxford) Limited Management fee Blenheim Strategic Partners LLP Management fee Blenheim Estate Contractors Limited Management fee Blenheim Palace Game LLP Management fee Blenheim VisitQf5 Limited Management fee Blenheim Finance Limited Management fee 48 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 12 Related party transactlons {contlnued} Both the parent charity and the wholly owned subsidiary have outstanding balances with other Blenheim entities. Amounts owed lo the Charity and the Group at 31 March 2024.. Group 2024 Debtor £000 Group 2023 Debtor £000 Charity 2024 Debtor £000 Charity 2023 Debtor £000 Blenheim Strategic Partners LLP Vanbrugh Unil Trust Blenhèim Industrial Property Limited Blenheim Estates Contractors Limited Blenheim Agency Limited Blenheim Finance Limited Blenheim Art Foundation Barrough Hospitality Limited Blenheim Parliamentary 1994 Settlement Blenheim Palace Game LLP Blenheim Palace 1984 Maintenance Fund Blenheim Supporting Limited J. A. Pye (Oxford) Limited Love Water Limited Settled Estates A Fund The Emotional Help Hub UK Limited The 10th Duke of Marlborough Chattels Settlement The 1 Oth Duke of Marlborough Will Trust 59 56 54 13 41 2,909 14 11,954 2,909 11,954 44 37 61 14 61 164 285 35 35 3,347 12,383 3.072 12,073 Amounts owed by the Charity and the Group at 31 March 2024 Group 2024 Creditor £000 Group 2023 Creditor £000 Charity 2024 Creditor £000 Charty 2023 Creditor £000 Blenheim Agency Limited Blenheim Finance Limited Blenhèim Visitors Limited Blenhèim Supporting Limited Blenhèim Palace Game LLP The Blenhèim Foundation thers LLP Vanbrugh Unil Trust Vanbrugh Management Limited Blenheim 1994 Selllemenl SPV Limited 1121 15,3631 191 15,8591 18671 17091 1171 1231 191 191 1171 1231 191 191 1101 1341 181 1281 1101 1341 181 1281 5,943 5,433 951 776 49 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 13 Corporation Taxation The charity is exempl from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to ils charitable objects. 14 Intanglble assets Group Goodwill £000 Charlty Goodwill £000 Cost Balan￿ as at 0110412023 Balance as at 3110312024 2,297 2.297 763 763 Accumulated amortisation BalanTr as at 0110412023 Amortisalion charge Balance as at 3110312024 2,264 33 763 763 Net book value Balance as at 3110312024 Balance as at 0110412023 33 50 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 15 Tangible Fixed Assets Group Freehold Land and Leasehold £000 Plant and Machinery £000 Motor Vehicles Fixtures and Fittings £000 Total £000 £000 Cost Balance as at 0110412023 Addition Disposals Balance as at 3110312024 608 3,012 83 22 3.073 1,253 125 8,793 1,461 95 13,666 1,669 117 608 Accumulated Depreciation Balance as at 0110412023 Charge Disposals Balance as at 3110312024 120 30 2,481 67 1,068 64 2,763 6,432 1,110 87 7,455 86 3,626 150 2.547 1,132 Net Book Value Balance as at 3110312024 Balance as at 0110412023 458 488 526 531 246 185 6.533 7,763 Included within motor vehicles are assets held under finance lease with a net book value of £108,00012023." £88,000). Depreciation charged during the year on these assets was £23,000 12023. £12,000). Charlty Plant and Motor Machinery Vehicles £000 £000 Fixtures and Fittings £000 Total £000 Cost Balance as at 0110412023 Addition Balance as at 3110312024 1,774 8,128 935 11,023 990 55 Accumulated Depreciation Balance as at 0110412023 Charge Balance as at 3110312024 1,712 15 1.727 1,026 37 1.063 2,433 800 3,233 5,171 852 6.023 Net Book Value Balance as at 3110312024 Balance as at 0110412023 47 62 113 95 5,695 5,852 51 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 16 Chattels Group 2024 £000 Group 2023 £000 Charity 2024 £000 Charity 2023 £000 Valuation At beginning of the year Additions Revaluation At end of the year 910 903 910 903 42 952 42 952 910 910 From the 1 April 2023 chattels are valued under the fair value model which provides an up lo date value forthese long-term assets. For previous reporting periods, chattels were valued under the historical cost model. Management instructed an independent valuation expert, Sotheby's, to assess the open market value of the chattels at 31 March 2024. If the chattels had been accounted for under the historical cost model, the carrying amount of the challels at 31 March 2024 would have been £910k. 17 Investments Investment in subsidiary The charity holds 1 share of £1 in its wholly owned trading subsidiary company, Blenheim Visitors Limited, which is incorporated in the United Kingdom. These are the only shares allotted, called up and fully paid. The activities and results of the wholly owned subsidiary are summarised in note 5. Other investments In the year ended 31 March 2023, Blenheim Visitors Limited entered an arrangement with a related entity, Blenheim Finance Limited, whereby it acquired a receivable from Blenheim Finance Limited for £3.3m and subsequently sold il back to Blenheim Finan￿ Limited for £3.5m. Thereby Blenheim Visitors Limited earnt a profil of £0.2m which was recognised as profit on disposal. Investment Property Group 2024 £000 Group 2023 £000 Charity 2024 £000 Charity 2023 £000 Valuation At beginning of the year Additions Revaluation 9,538 420 9,538 420 At end of the year Valuations of the properties were performed on 31 March 2024 by Carter Jonas LLP. The basis of the valuations used was open market value in accordance with the Appraisal and Valuation standards published by the Royal Institute of Chartered Surveyors IRICSI. 52 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 18 Stock Group 2024 £000 Group 2023 £000 Charity 2024 £000 Charity 2023 £000 Retail stock Bottled water Catering stock 456 214 113 783 249 77 812 19 Debtors Group 2024 £000 Group 2023 £000 Charity 2024 £000 Charlty 2023 £000 Trade debtors Amounts owed from related entities Inole 121 Other debtors Prepayments and accrued income 560 1,169 233 904 3,347 12,383 3,072 12,073 11,585 656 16.148 10,064 11,417 524 15.246 10,030 405 23,412 24,157 20 Creditors: amounts falling due within ono yoar Group 2024 £000 Group 2023 £000 Charity 2024 £000 Charity 2023 £000 Trade creditors Amounts owed to related entities (note 2,057 2,084 5,433 2,963 312 531 328 66 11,717 1,414 951 1,511 776 121 5,943 other creditors and accruals Deferred income Inole 221 VAT Taxation and social security costs Deferred tax 1,979 421 530 344 215 11,489 1,407 425 2,342 312 4,197 4,941 21 Creditors: amounts falling due in more than one year Group 2024 £000 Group 2023 £000 Charity 2024 £000 Charity 2023 £000 Net obligation under finan￿ leases 103 103 67 67 The finance leases relate to three motor vehicles which are leased from a specialist leasing company by Love Water Limited. The remaining lease terms are four years. 53 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 22 Deferred income Deferred income comprises advanTrd ticket sales, corporate event fees and grant income. Group Charity £000 £000 312 312 {3121 {3121 288 292 133 133 421 425 Balance as at 1 April 2023 Amount released to income earned from charitable activities Amount deferred in year for advanced ticket sales Amount deferred in year in relation to events Balance as at 31 March 2024 23 Analysis of charitable funds Analysis of movements in Group unrestricted funds Other recognised gains £000 31 March 2024 £000 11,500 12,447 42 1 April 2023 £000 9,865 11,954 Ineome Expenditure £000 £000 27,706 126,0711 836 13431 Geneml fund Designated funds Geneml fund". revaluation reserve Designated fund.. revaluation reserve Total 42 420 420 21.819 28.542 126,4141 462 24,409 Analysis of movements in Group unrestricted funds - prior year Other recognise d gains £000 1 April 2022 £000 6,932 14,000 31 March 2023 £000 9,865 11954 21,819 Income Expenditure £000 £000 20,744 117,8111 2,712 General fund Designated funds Total Name of unrestricted fund Description, nature and purposes of the fund General fund Designated fund The 'free reserves, of the charity. Unreslricled fund held to fund the charity's restoration and conservation aclivilies. Unreslricled fvnd to hold gains recognised on the revaluation of chattels. General fund.. revaluation reserve Designated fund.. revaluation reserve Unreslricled fvnd to hold gains recognised on the revaluation of investment propety. 54 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 23 Analysis of charitable funds {continued) Analysis of movements in Charity unrestricted funds Other recognised gains £000 31 March 2024 £000 15,145 12,447 42 1 April 2023 £000 13.438 11,954 Income Expenditure £000 £000 17,908 116,2011 836 13431 General fund Designated funds Geneml fund. revaluation reserve Designated fund". revaluation reserve Total 42 420 420 462 Analysis of movgments in Charity unrestricted funds- prior year Othor recognised gains £000 31 March 2023 £000 13,438 11,954 1 April 2022 £000 9.985 14.000 Income Expenditure £000 £000 16,139 112,6861 666 2,712 General fLJnd Designated funds Total Analysis of movements in Group restricted funds 31 Ma￿h 2024 1 April 2023 £000 Income Expenditure £000 1551 11401 1701 £000 55 £000 Higher Level Stewardship Maintenance Fund distribution 140 Rowse Honey European Research Executive Agency Carbon Offset Natural England HMP Total 70 67 1671 191 343 343 55 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 23 Analysis of charitable funds {continued) Analysis of movements in Group restricted funds - prior year 31 March 2023 £000 1 April 2022 £000 Income £000 299 60 139 350 49 115 Expenditure £000 12991 1601 1139) 1350) 1491 11151 1141 Blenheim Foundation Restoration Higher Level Stewardship Maintenance Fund distribution Garfield Weston Rowse Honey Vanbrugh Unil Trust Carbon Offset Saddlers Copse Total 14 1,030 1,030 Analysis of movements in Charity restricted funds 31 March 2024 £000 1 April 2023 £000 Income £000 55 140 70 Expenditure £000 1551 1140) 1701 Higher Level Stewardship Maintenance Fund distribution Rowse Honey European Research Executive Agency Carbon Offset Natural England HMP Total 67 1671 343 343 56 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 23 Analysis of charitable funds {continued) Analysis of movements in Charity restricted funds - prior year 31 March 2023 £000 1 April 2022 £000 Income £000 Expenditure £000 Blenheim Foundation Restoration Higher Level Stewardship Maintenance Fund distribution Garfield Weston Rowse Honey Vanbrugh Unil Trust Carbon Offset Saddlers Copse Total 299 60 139 350 49 115 14 12991 1601 11391 13501 1491 11151 1141 1,030 1,030 Name of restricted fund Description, nature and purposes of the fund Blenheim Foundation Resloralion Blenheim Foundation Resloralion Projects Higher Level Stewardship Conservation of the land and Palace grounds Maintenance Fund distribution Resloralion and conservation of the Palace Garfield Weston Resloralion of the external landscape Bee conservation in the Palace grounds Rowse Honey European Research Executive Agency Vanbrugh Unit Trust Building an inclusive cultural-educational ec05yStem Resloralion of Water Meadows bridge Carbon offsetting of the carbon impact of visitors, journey to the Palace Forestry conservats'on Habilal Management Carbon Offset Saddlers Copse Natural England HMP 57 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 24 Analysis of Group net assets between funds General Fund £000 7,763 Designated Funds £000 Total £000 7,763 Tangible fixed assets Intangible fixed assets Investments Challels Cash al bank and in hand Other net current assets Total 9,958 9,958 952 368 5,368 952 368 2,459 2,909 Anatysis of Gn)up net a$$et$ between funds - prior year General Fund £000 Designated Funds £000 Total £000 Tangible fixed assets Intangible fixed assets Investments Challels Cash al bank and in hand Other net current assets Total 7,234 33 7,234 33 910 486 1,202 910 486 13,156 11,954 The restricted fund had a value of £nil at year end 12023." £nill and does not represent any of the Group's net assets. 58 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 25 Reconciliation of net movement in funds to net cash flow from operating activities Group 2024 £000 2,590 1421 Group 2023 £000 887 Charity 2024 £000 2,662 1421 Charity 2023 £000 1,408 Nel movement in funds for the year Deduct fair value gain on chattels Deduct fair value gain on investment property Add back amortisation Add back depreciation charge Deduct interest income shown in investing activities Increase In stock Increase in debtors (Decreasellincrease in creditors Loss on disposal of tangible assets Net cash provided byllused Inl operating activities 14201 33 1,110 14201 75 735 852 586 18361 1291 11,0361 13731 30 18661 12121 14,9621 121 18361 16661 18791 17441 14,8011 {7161 593 Analysis of changes in nel debt for the Group.. 1 April 2023 Cash flows Other movement 31 March 2024 £000 £000 £000 £000 Cash at bank and in hand Cash and cash equlvalents 486 486 118 118 368 368 Borrowings due within one year Total Borrowings 5,363 5.363 181 181 315 315 5,859 5.859 Net Debt 4,877 299 315 Analysis of changes in net debt for the Charity.. 1 April 2024 £000 Cash flows £000 31 March 2024 £000 Cash at bank and in hand Cash and cash equivalents 159 159 1541 1541 105 105 Net Debt 159 1541 105 59 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 26 Pension commitments The wholly owned subsidiary operates a defined contributions pension scheme and a defined benefits pension scheme. The assets of the defined contributions scheme are held separately from those of the subsidiary in an independently administered fund. The pension cost charge represents contributions payable by the Group lo the fund and amounted to £671 k12023." £489kl. Contributions lotalling £82k12023.' £69kl were payable to the fund al 31 March 2024. The wholly owned subsidiary operates a Defined Benefit Pension Scheme. A full actuarial valuation was carried out as al 1 April 2018. The FRS102 results as al 31 March 2024 are based on the last full actuarial valuation with updated figures lo reflect market conditions as at 1 April 2024. Reconciliation of present value of plan liabilities". 2024 £000 15,5881 {2601 278 250 2023 £000 17,2571 11921 1,552 309 5.588 At the beginning of the year Interest cost Actuarial gains Benefits paid At the end of the year Reconciliation of present value of plan assets". 2024 £000 5,588 1771 394 2023 £000 7,257 551 192 60 13091 At the beginning of the year Return on assets excluding interest income Interest income Contributions Benefits paid Adminislralion expenses Limit on recognition of assets less interest At the end of the year {2501 {1351 205 1,249 Composition of plan assets.. 2024 £000 2023 £000 Equities Bonds Index -linked gilts Property Cash Annuities Totsl plan assets 7,162 680 7,044 725 10 558 8.410 24 680 60 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 26 Pension commitments {continuedl Propety and cash above include annuities held in the name of the pension scheme trustees. The above represents the total plan assets held including any pension surplus that has not been recognised. 2024 £000 5,320 5,320 2023 £000 5,588 5,588 Present value of plan assets Present value of plan liabilities Net pension scheme asset The difference between the fair value and present value of the plan assets represents the unrecognised pension surplus. Fair value of plan assets was as follows". 2024 £000 8,473 1771 394 2023 £000 9,387 18571 192 60 13091 Opening fair value of scheme assets Return on assets excluding interest income Interest income Contributions by employer Benefits paid Administration expenses 12501 135 8.410 8.473 The cumulative amount of actuarial gains and losses recognised in the Statement of Financial Activities was £nil12023.' £nill. Principal actuarial assumptions al the Balance Sheet data lexpressed as weighted averages).. 2024 2023 Discount rate Future pension increases Mortality rates RPI assumption CPI assumption 4.85 3.00 1.00 3.60 3.00 4.75 3.00 1.00 3.55 2.85 Amounts for the current and previous period are as follows.. 2024 £000 15,3201 8,410 3.090 2023 £000 15,5881 8,473 2.885 Defined benefit obligation Fair value of plan assets Unrecognised surplus 61 Blenheim Palace Heritage Foundation Notes to the Financial Statements for year ended 31 March 2024 (continued) 27 Operating leases The Group and Charity had the following future minimum lease payments under non-cancellable operating leases for each of the following periods.. Group 2024 £000 Group 2023 £000 Charity Charity 2024 2023 £000 £000 Vehicles and equipment Due within one year Be￿een one and five years Total 28 Capital Commitments The Group and Charity did not identify any capital commitments at 31 March 2024. In the year ending 31 March 2023 Blenheim Palace Heritage Foundation's commitment lo the Lake Dredge was £1,683k. 29 Ultimate parent undertaking The subscribers to the Memorandum, being the Trustees ofthe Madborough 2003 Settlement, are the first members.