# **STANDING UP FOR SCIENCE** **Trusteesʼ report and financial statements for the year ended 31 March 2025** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Contents** **----- Start of picture text -----**
STRATEGIC FINANCIAL
REPORT GOVERNANCE STATEMENTS
About the Royal Society 3 People 43 Consolidated statement 68
of financial activities
The Societyʼs heritage 4 Financial review 50
Consolidated and charity 69
2024/25 highlights 6 Principal risks 56
balance sheets
and uncertainties
Supporting international 7 Consolidated statement 70
scientific collaboration Governance 60
of cash flows
Standing up for science 8 Statement of Trustees’ 64 Accounting policies 72
in a changing world responsibilities
Notes to the 77
Presidentʼs foreword 10 Independent auditor’s report 65 financial statements
Executive Directorʼs foreword 11
Reference and 108
administrative details
Supporting science 12
for the benefit of society
The Societyʼs stakeholders 14
Where the Societyʼs 16
income comes from
and how it is spent
The Society’s 17
grant-giving activities
Career pathway tracker 19
The Societyʼs 21
strategy at a glance
Strategy in action 22
Sustainability 41
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Cover image: The widest, high-resolution view of the Sun as pictured by the European Space Agency’s Solar Orbiter mission. Former Royal Society University Research Fellow and Dorothy Hodgkin Fellow, Professor Lucie Green, is a co-investigator on the Extreme Ultraviolet Imaging Telescope on board the Solar Orbiter. **2** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **About the Royal Society** ## **Our purpose** The Royal Society’s fundamental purpose, reflected in its founding Charters of the 1660s, is to recognise, promote and support excellence in science and to encourage the development and use of science for the benefit of humanity. Scientific research and innovation advance our economic, social and cultural wellbeing, provide health benefits and are key to a sustainable long-term future. The Society has played a part in some of the most fundamental, significant and life-changing discoveries in history. Our Fellows and the people we fund continue to make outstanding contributions to science and help to shape the world we live in. Read more about **how the Society supports science for the benefit of society** on pages 12 – 13 ## **What we do** Give grants to fund scientific research Promote science Recognise scientific Provide scientific Support scientific education and excellence advice for policy collaboration, engagement nationally and internationally **The Society has three roles that are key to fulfilling its purpose:** ## **How we are governed** The governing body of the Society is its Council, whose members are elected by and from the Fellowship. Council is responsible for determining the strategic direction of the Society. Read more about **Governance** on pages 60 – 63 Read more about the Royal Society online at **royalsociety.org** **3** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **The Society’s heritage** **The Royal Society's motto 'Nullius in verba' was chosen soon after the founding of the Society in 1660. Translated as ‘take nobody’s word for it’, the motto is an expression of the determination of Fellows to verify all statements through scientific methods and experimentation.** Image: _Flying fish_ , from _De historia piscium libri quatuor_ , by Francis Willughby and John Ray, 1686. ## **1660** The Royal Society is founded, following a lecture by Christopher Wren. **1665** The world’s first science journal is launched – _Philosophical Transactions_ . It is still published today and celebrated its 360[th] anniversary in 2025. ## **1851** ## **1710** The UK Government awards the Society its first annual Government grant of £1,000 to be distributed for ‘private individual scientific research’. The Society establishes its first headquarters in Crane Court, off Fleet Street. **1731** The Copley Medal is established from an endowment of £100 received from the estate of Sir Godfrey Copley in 1709. It is the world’s oldest scientific honour, a prestigious forerunner of the Nobel Prize. ## **1919** Astronomers confirm general relativity theory to the Royal Society using observations made during the total eclipse of this year. ## **1945** Kathleen Lonsdale and Marjory Stephenson become the first women to be elected Fellows of the Royal Society. **4** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **continued The Society’s heritage** ## **1964** Royal Society Wolfson Research Professor Dorothy Hodgkin FRS becomes the UK’s only female Nobel Prize-winning scientist. She used X-ray crystallography to solve the structure of penicillin. ## **1956** **2010** Royal Society University Research Fellow, Kostya Novoselov, shares the Nobel Prize in Physics with Andre Geim for their work on graphene, a new form of carbon that could lead to the manufacture of innovative electronics. The Society establishes a research base at Halley Bay, Antarctica. Here in 1985, dramatic losses in the ozone layer are observed and the base remains an important location for climate research. ## **2011** The Society publishes Open Biology, its first fully open access journal. ## **2024** The 300[th] anniversary of the establishment of the Society’s position of Foreign Secretary. ## **2020** Expert groups are convened by the Society in response to the COVID-19 pandemic. ## **Looking forward** The Royal Society will continue to promote science and its benefits through its roles as a charity, Fellowship and National Academy. Read more about upcoming activity on page 21. Read more about our history online at **- royalsociety.org/about us/history** **5** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **2024/25 highlights** **94 new Fellows and Foreign Members elected, including 28 women** 2023/24: 80 new Fellows and Foreign Members elected, including 24 women Read more about **the Fellowship and Foreign Membership** on pages 22 – 23 **10,500 visitors attended the Summer Science Exhibition, a six-day event open to the general public** 2023/24: 10,000 Read more about **the Society’s public engagement events** on pages 33 – 36 **----- Start of picture text -----**
£152m
total expenditure
2023/24: £146 million
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Read more about **the Society’s expenditure** on pages 50 – 52 **66%** **increase in the average time spent on the website** **71%** **of published research papers were open access in the 2024 calendar year** 2023 calendar year: 66% Read more about **the Society’s open access journals** on page 30 **Over 219,000** **subscribers to the Royal Society’s YouTube channel, an increase of 12% on the previous year** 2023/24: 196,000 **3,370 downloads of the** _**Science in the age of AI**_ **report** Read more about **the Society's science policy reports** on pages 25 – 27 **726 researchers currently supported by the Royal Society through its research fellowships** 2023/24: 804 Read more about **the Society’s grant-giving activities** on pages 17 – 18 Read more about **the Society’s new website** on page 39 Read more about **the Society’s public engagement activities** on pages 33 – 36 **6** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION **----- Start of picture text -----**
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## **Supporting international scientific collaboration** **Curiosity crosses borders. The Royal Society works with a range of partners across the globe to fund world-class research, recognise outstanding talent and promote cutting-edge scientific discourse.** ## **Key** Collaborative grants with overseas partner countries: 2024/25 Fellows of the Royal Society, based on primary location Scientific conferences and meetings outside the UK hosted or attended by representatives of the Royal Society **7** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Standing up for science in a changing world** ## **Geopolitical uncertainty** ## **Funding landscape** ## **Academic freedom** **Recent years have seen the emergence of a number of challenges to the global scientific enterprise, including pressures on research funding, the ascent of ideologies founded on antiscientific positions, and a rising tide of online misinformation. The Royal Society is committed to championing science in the face of these tensions, working bilaterally and multilaterally with a network of international partners to protect academic freedom, research integrity and the scientific endeavour.** **We are in a period of significant disruption, marked by adversarial geopolitical contexts and competitive relationships among leading powers.** Growing volatility in the global political landscape presents a unique threat to the principles that underpin scientific discourse and endeavour. In an increasingly fragmented global landscape, it is all the more important that the Royal Society continues to work with partner academies overseas and other international partners to forge strong relationships and create opportunities for UKbased researchers to access new international collaborations. **A stable funding system is essential for science to develop effective solutions to global challenges.** **Science can only thrive when researchers are able to operate freely and openly, safe from political influence and pressure.** All too often, financial constraints limit the scope and scale of scientific projects, forcing scientists to prioritise short-term goals over long-term, high-risk, high-reward research. Addressing this challenge will require innovative funding models, renewed investment and policies that support the conditions required to conduct ambitious, exploratory research. The Society continues to advocate for a science, research and innovation strategy that transcends political cycles, including investment in education and skills to develop a sustainable pipeline of future talent. This freedom is essential for creative, critical thinking, enabling scientists to challenge established norms, propose novel theories, and conduct groundbreaking research. Global political tensions threaten to endanger academic freedom by undermining the autonomy of researchers and institutions and stifling scientific discourse. Scientists who work on issues such as climate change or public health may face harassment and abuse, which can deter them from sharing their findings openly. The Royal Society is committed to standing up for researchers and collaborating with overseas partners to protect academic freedom. **8** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **continued Standing up for science in a changing world** ## **Global societal challenges** **Science empowers us to tackle pressing global problems and improve the quality of life for people worldwide.** Science plays a pivotal role in addressing global challenges, providing evidence-based solutions and innovative technologies to tackle complex issues such as climate change, pandemics, biodiversity loss and food insecurity. Unlocking its transformational power relies on creating the conditions where objective enquiry, knowledge sharing and collaboration can thrive. At a time of global disruption and uncertainty, the Royal Society’s purpose of promoting science for the benefit of humanity remains more relevant than ever. ## **Mistrust and misinformation** **Scientific integrity is crucial for building public trust in science, which is necessary for informed policy-making and societal progress.** When integrity is compromised, it can lead to misinformation, wasted resources, and harm to public health and safety. The rise of misinformation and the politicisation of scientific issues has eroded public trust in science and scientific institutions. The Royal Society works independently and impartially to promote scientific integrity and research excellence. By protecting the autonomy of researchers, ensuring transparent and ethical research practices, and fostering a culture of open and respectful scientific discourse, we can ensure that science continues to serve as a reliable foundation for addressing global challenges and advancing human knowledge. ## **Technological change** **It is only possible to harness the full potential of new technologies if their use and application are grounded in understanding.** The pace at which cutting-edge science progresses can often be overwhelming, presenting challenges for the safe, sustainable and equitable adoption of new technologies. As sophisticated artificial intelligence systems intersect with our daily lives in increasingly complex ways, individuals, organisations and policymakers find themselves having to navigate unfamiliar terrain with limited information and few precedents to guide them. The Royal Society has long been at the forefront of communicating with the public about emerging technologies and its implications for society, communities and the economy. Read more about **how the Society continues to champion science in the face of these global challenges** on page 21 **9** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Presidentʼs foreword** **Sir Adrian Smith** President of the Royal Society Scientific research advances our economic, social and cultural wellbeing, improves health and helps secure a sustainable future. Yet over the past year, science has faced many threats. Public funding, at home and abroad, has come under severe pressure, there are ideological threats to science and the way it is done and the spread of misinformation risks undermining informed debate. We thrive when scientists have the freedom to pursue their ideas, when we value scientific, evidence-based decision making, when the brightest minds from all over the world share their ideas and work together and when we invest in the pursuit of knowledge and improvement. At its heart, the role of the Royal Society is to stand up for science and to celebrate its contribution to Society. Our fellowship is central to that and provides the authority for our policy and communications work that supports scientific evidence in the face of misinformation. This year we elected 94 exceptional people from the UK and beyond. They have developed treatments for Huntingdon’s Disease and the first algorithm for video streaming, generated new insights into memory formation and studied the origins and evolution of our universe. Two Fellows were awarded Nobel Prizes this year – Sir Demis Hassabis and Professor Geoffrey Hinton and the Science Minister in the new Government, Sir Patrick Vallance, is also a Fellow. That new Government came into power on the back of a manifesto commitment to scrap short funding cycles in favour of ten-year budgets for key R&D institutions, a key element of the Society’s own manifesto for science. In her first budget, Chancellor Rachel Reeves committed to protecting record funding for research and development to harness the full potential of the UK’s science base, including protection for core research. These have been very positive signs and the Society continues to make the case for investment in science. Investing in people is core to the mission of the Royal Society and this year we have backed over 2,000 researchers with £112.6 million. We also launched the first round of our new Faraday Discovery Fellowships to provide long-term support for emerging research leaders and we will announce the first recipients in the next financial year. The value of our long-term investment in people has been highlighted this year with the publication of our Career Tracker report that looks back at 40 years of funding early career researchers. You can read more about that on page 19. In order to have people reach the early career stage in science and to have all young people get the maths and science skills they need for the increasingly data focussed jobs of the future, we need to get all parts of the education system right. This year the Royal Society published its recommendations for a radical reform of maths education, from early years through all compulsory education. Providing all young people with access to mathematical and data skills is crucial if the Government is to drive growth and break down the barriers to opportunity. Science, like so many areas of life, delivers better results when it is as diverse and inclusive as possible and education is key to that. At its heart, the role of the Royal Society is to stand up for science and to celebrate its contribution to society.” The threats that science has faced over the last year are not diminishing. The US, historically the world’s leading science superpower, is threatening its own science base and that will impact global science. Misinformation in areas of science such as climate change and vaccines risks jeopardising rational, evidence-based decision making. Progress in ensuring opportunity is available to all people is under attack. The Royal Society has faced its own internal challenges this year but as a Fellowship, a national academy and a charity we are best placed to deliver for the benefit of humanity when we are united. We have achieved much this year but, in my last year as President, with the challenges getting greater, we will build on our work to stand up for science. **Sir Adrian Smith** President of the Royal Society **10** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Executive Director’s foreword** Almost all the Society’s work has global dimensions; in an uncertain international climate the Society intensified its work with its partners abroad. In February, the Society and the American Association for the Advancement of Science jointly published _Science diplomacy in an era of disruption_ , updating the concept for a vastly altered global landscape. The Society represented the UK at the S7 and S20, National Academy meetings that **Dame** accompany and inform the G7 and G20 **Julie Maxton** meetings. Joint statements were released Executive after both events on key global issues. Director of the The Science and the Law programme Royal Society provides the judiciary with relevant and timely scientific information. It ran three seminars this year, including one on The past year has, again, seen the _Cognitive enhancement_ . In February, Royal Society deliver on a wide range of _Drugs: a primer for courts_ was published programmes and projects to promote and online as the latest edition in a series support excellence in science. of publications setting out key scientific information. The past year has, again, seen the Royal Society deliver on a wide range of programmes and projects to promote and support excellence in science. The Society has always been a leader in supporting informed decision making. Key recommendations from our reports on land use decisions and long-term large scale energy storage are now government policy, as is the Society’s call for a longerterm view of science funding. The Society published its report on the revolutionary implications of AI for research, _Science in the age of AI_ . The Society launched its _Maths futures_ report, proposing a new approach to maths and data education to prepare our young people for a rapidly changing world. The Society runs multiple grant schemes supporting outstanding researchers, including expenditure in the year of £112.6 million. The Society funds the most ground-breaking research, meaning that the timescale for a return on the investment is long, and the Society published its updated _Career tracker_ tracing recipients’ later career over decades. The first round of the _Faraday Discovery Fellowships_ , providing support for outstanding mid-career scientists, opened for applications. The Society expects to make seven awards of up to £8 million each by July 2025. The first cohort of _Career Development Fellowships_ were also awarded, supporting eight outstanding young researchers of Black and Mixed Black Heritage. The Society also recognises excellence through its awards. The winner of this year’s Copley Medal was Nobel Prize winner Sir Gregory Winter CBE FRS for his remarkable work on protein engineering. The Society launched its new annual Environment Medal and Lecture which will be awarded later in 2025. The Society continued to run comprehensive scientific outreach activities. The Summer Science Exhibition had 10,500 visitors and, this year, moved beyond London with exhibits at the Manchester Science Festival. A new portrait of Sir David Attenborough FRS, unveiled to a national audience on the One Show in June, is now on permanent display at Carlton House Terrace. The Society is reviewing its publishing activities in a time of intense sectoral change. The project will report in late 2025. In 2024, 71% of all articles in our journals were published open access, up from 66% in 2023. The Society’s Environmental Sustainability Strategy, looking to reduce our own footprint, was approved by Council in March. Almost all the Society’s work has global dimensions; in an uncertain international climate the Society intensified its work with its partners abroad.” A series of reforms to the way in which scientists are elected to the Fellowship is now fully in place. These reflect the Society’s strategic objective of ensuring that the Fellowship is representative of scientific excellence in all its forms. The new Fellows for 2024/25 are testimony to progress in meeting that ambition. Looking ahead to next year, the Society will continue to work to improve the systems and cultures supporting science. The Women in STEM programme – marking the anniversary of the arrival of the first women scientists to the Fellowship in 1945 – continues. The 40[th] anniversary of the Society’s Public Understanding of Science report will be marked with an update of this seminal report to reflect the dramatic subsequent changes in the way we communicate. In all these areas, the Royal Society’s achievements and impact would be impossible without the commitment and expertise of the Fellowship, staff and stakeholders. I thank them for their support. **Dame Julie Maxton** Executive Director of the Royal Society **11** **Providing scientific advice for policy** **Grants to fund scientific research** ## **Activities include:** ## **Activities include:** - Providing expert scientific advice to policymakers. - Funding research that advances understanding of our world. - Ongoing emphasis on the importance of evidence-based policy. - Providing financial support for excellent scientists at various stages of their careers in the UK and internationally. - Engaging international and multilateral partners in science policy. - Working for greater equality, diversity and inclusion in the scientific workforce. ## Value created for researchers: - Opportunity to build and develop an independent research career. - Training and mentorship. - Support to collaborate across different disciplines. Value created for policymakers: - Ability to make more informed decisions in key areas of science. - Policymakers have access to independent, impartial and expert advice. Value created for wider society: - Novel scientific research. - Insight into solving global challenges. Value created for wider society: - Better policy decisions will lead to better outcomes. - Developing scientific leaders. - Developing greater diversity in the scientific workforce. **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **continued Supporting science for the benefit of society** **Promoting science education and engagement** **Supporting scientific collaboration, nationally and internationally** **Recognising scientific excellence** ## **Activities include:** - Publishing high-quality, cutting-edge research and supporting open science. - Supporting excellence in the teaching of STEM subjects. - Staging programmes to engage the public with science. ## **Activities include:** - Organising discussion meetings to advance scientific collaboration and discovery. - Promoting the importance of science internationally. - Funding grants for international collaborations. ## **Activities include:** - Electing exceptional scientists to the Fellowship. - Promoting scientific achievements. - Demonstrating the economic impact of science investment. Value created for researchers: - Collaboration and knowledge sharing accelerates scientific innovation. Value created for researchers: - Opportunity to work with other scientists to expand knowledge and insights. Value created for researchers: - Rewarding outstanding contributions to the public good. - Increasing the reliability of research for others to build on. Value created for wider society: - Increasing trust in science. - Expanded engagement with cuttingedge research. - Improved scientific literacy in the general public. Value created for wider society: - Knowledge sharing between institutions and countries ensures continued scientific advancement. Value created for wider society: - Increased public and private investment in research. - Inspiring the next generation of researchers. - Inspiring the next generation of researchers. **13** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **The Societyʼs stakeholders** **Great science thrives on active collaboration, strong partnerships and the free exchange of ideas; the work of the Royal Society is no different. The relationships that the Royal Society builds with its diverse stakeholder groups are critical to the successful delivery of its strategy.** ## **Research scientists** Scientific advancement relies on a research culture that values and nurtures a diverse range of talents and perspectives. However, too many researchers still face unnecessary obstacles in pursuing their vocations and some communities continue to be underrepresented in the scientific community. The Royal Society is dedicated to creating equitable opportunities for all. Our grants programmes offer mentoring and financial support to exceptional scientists, enabling them to conduct innovative research and pursue curiosity-led innovation. In addition, we work with academic institutions, funding bodies and policymakers to create conditions in which talented researchers from all backgrounds can fulfil their potential. ## **Our Fellows** The Fellowship is, and has always been, at the heart of the Royal Society. Elected for life based on their outstanding contribution to science, the Fellowship is made up of the most eminent scientists, engineers and technologists from the UK and beyond. Fostering collaboration and knowledge sharing within the Fellowship is central to the Royal Society’s work. The Society’s prestige and convening power provides a strong platform for Fellows to partner with external stakeholders in related and divergent disciplines, in industry, academia and beyond. Strengthening our relationship with Fellows and Foreign Members through regular consultation and an engaging programme of events helps us to improve how we support their invaluable work. ## **Governments and policymakers** Sound scientific advice is a crucial element for evidence-based policy-making. That is why we invest in creating long-term relationships with government and policymakers, providing access to leading authorities across a range of different disciplines and applying cutting-edge scientific insights to some of the most pressing social and political issues of the day. The Royal Society’s independence from outside influence and the rigour of its approach positions it as a trusted source of impartial advice on policy matters of national and international importance. In addition, we actively engage with stakeholders to understand their priorities so that we can effectively highlight the value of evidence-based decision making in all forms of public debate and discourse. **14** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **continued The Societyʼs stakeholders** ## **Our supporters** Since our founding in 1660, philanthropy has played a vital part in establishing the Society as an independent voice for science. Today’s supporters continue that tradition, ensuring that the Society maintains its independence, enables curiosity-led research, and promotes the importance of science, technology, and innovation for the long term. Gifts from philanthropic individuals, corporations, trusts and foundations, and legacies are crucial in enabling us to have a direct impact on science. The wide range of activities funded by philanthropy reflects the diversity, breadth of interests, and high level of engagement of our supporters. From educational materials for young people, to research fellowships and awards, our generous supporters understand the pivotal role science has in the world today. ## **International partners** International scientific collaboration aids the exchange of ideas and promotes a culture of shared understanding, conditions which will be essential for addressing issues which impact humanity as a whole, such as climate change, global pandemics and biodiversity loss. The Royal Society is actively involved in bilateral and multilateral conferences and scientific meetings, standing up for science on the global stage and acting as an ambassador for scientific excellence. Meanwhile, the Royal Society’s range of high-profile international partnership schemes creates opportunities for world-class researchers to share data and engage in constructive dialogue, ensuring that scientific advancements benefit from the collective expertise of the global scientific community. ## **Wider society** Science serves as a gateway to the future, with today’s research laying the groundwork for tomorrow’s breakthroughs. While we cannot predict what new opportunities and challenges may lie ahead, science will undoubtedly play a pivotal role in helping individuals and communities navigate these uncertainties, ensuring that future generations can thrive. Many scientists supported by the Royal Society early in their careers have gone on to make discoveries and create innovations that significantly benefit society. By investing in these promising researchers, the Royal Society ensures there is a robust pipeline of scientific talent in the future. At the same time, the Society’s engagement with schools, universities, and the broader public helps to inspire young people to embrace science and equips them to harness the advantages of emerging technologies. ## **Our staff** The Royal Society’s varied portfolio of activity could not be delivered without the expertise, commitment and creativity of its staff. Successful delivery of its strategic objectives depends on ensuring that the Royal Society can attract and develop talented individuals from a diverse range of backgrounds. We regularly engage with our staff through surveys and feedback sessions to ensure they are supported to excel in their roles. The Royal Society is committed to investing in its staff by recognising excellence, creating opportunities for career progression and offering a comprehensive wellbeing programme. **15** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Where the Society’s income comes from and how it is spent** **The Society receives income from a number of sources and its income enables the Society to deliver a wide range of programmes in support of its strategic priorities.** **----- Start of picture text -----**
All sources of income How income funds expenditure by strategic priority All expenditure
Income and endowments
1 2 3 5
1 from donations and legacies 0.3% 88.1% 4.8% 6.8% Research system
and culture
£0.6m
£135.6m
Grants for charitable
2 activities
1 2 3 4 5
£124.0m 0.8% 24.4% 30.7% 0.4% 43.7% Influencing UK
and international
Trading in furtherance of £9.3m
3 charitable activities
Total income
£11.1m
in 2024/25 1 2 3 5 6 in 2024/25
0.4% 36.1% 25.8% 36.6% 1.1% Science and
£157.6m society £151.5m
Other trading activities
4 £6.2m
<£0.1m
1 3 5
0.3% 41.2% 58.5% Corporate and
Income from investments
5 governance
£21.9m £0.3m
Other income 3 5
6 41.3% 58.7% Fellowship and
<£0.1m
Foreign Membership
£0.1m
**----- End of picture text -----**
Total expenditure in 2024/25 **£151.5m** **16** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **The Society’s grant-giving activities** **Grant giving is the largest area of the Society’s expenditure and is a means by which it supports outstanding science and scientists by providing Fellowships and grants to researchers in the UK and internationally.** ## **About our grant programmes** Royal Society funding programmes provide freedom, flexibility and support to scientists pursuing both discovery-led and applied research, from early career researchers through to senior professors. Through our schemes, we facilitate international collaborations, attract and retain scientific talent, invest in industry and innovation and develop future research leaders. The value of grant awards made by the Society increased by £2.4 million from the prior year largely due to an increase in international collaborations. The Society received an increase of £3.8 million in grant income from DSIT from the International Science Partnership Fund (ISPF). The ISPF International Collaboration Awards provide funding to enable outstanding emerging leaders in the UK to develop research collaborations with international partners. Within other grant expenditure funding categories, grant expenditure to fund early career researchers has decreased due to a smaller number of research grants, where funding has been directed to other types of grant programmes. ## **Grant expenditure (£m) over the last four years** |||||||**Change over**
**three-year**|**Change over**
**three-year**| |---|---|---|---|---|---|---|---| ||**£m**|**2021/22**|**2022/23**|**2023/24**|**2024/25**|**period**|| ||Early career researchers|72.7|83.5|86.1|82.5|13%|| ||Established researchers|11.4|13.4|9.8|9.3|-18%|| ||International collaborations|7.3|7.2|9.1|14.2|95%|| ||Capacity strengthening*|5.7|1.5|0.9|2.1|-63%|| ||Industry, innovation and translation|2.7|2.5|2.6|3.0|11%|| ||Other|1.8|0.7|1.7|1.5|-17%|| ||**Total**|**101.6**|**108.8**|**110.2**|**112.6**|**11%**|| *The reduction in capacity strengthening grant awards since 2021/22 is due to a decrease in grant funding made available by the UK Government for the Society’s Official Development Assistance (ODA) funded programmes. ## **Dr Katrina Skerratt-Love Career Development Fellow, University of Liverpool** The Career Development Fellowship (CDF) scheme aims to provide the most talented early career scientists from underrepresented groups in STEM with research funding and a programme of training and networking opportunities to support award holders in establishing a successful research career. Her project aims to develop glass and glass-ceramic materials for use as radiation shielding materials in space infrastructure, protecting astronauts from the harsh space environment, which can seriously damage their health. This interdisciplinary research could also have future medical and nuclear industry applications, shielding patients, medical and nuclear industry employees from radiation. Dr Katrina Skerratt-Love is a materials engineer specialising in glass science. Joining the University of Liverpool in 2024 from industry, she is one of the Royal Society’s first Career Development Fellows. **17** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **continued The Society’s grant-giving activities** ## **Grant-making process** Grants made by the Society fall into two broad classes: - Research Fellowships and Professorships, which currently include awards for researchers at early, mid and senior career stages, as well as industry and international Fellowships. - Small grants, which include collaboration grants, travel grants, research grants and education-related grants. The Royal Society uses Selection Committees to assess applications and to make recommendations on funding. Panels are normally chaired by a Fellow of the Royal Society and membership is comprised of scientists with expertise and experience appropriate to each scheme. Above: Professor Heather Graven, Royal Society Wolfson Visiting Fellow, researches the global carbon cycle and its response to human activities and climate change. **1.** After applicants submit their proposal, eligible applications are assessed by a Selection Committee. - a. All schemes undergo Committee assessment, from which a shortlist is created with oversight from the Committee Chair. - b. Depending on the scheme, shortlisted applications can be recommended for funding, sent out for independent peer review and/or invited to interview. **6.** The grant programmes are evaluated on a routine basis (approximately every five years), which helps to inform us whether the programmes are delivering their intended objectives and what steps can be made to improve them. **2.** Applications reaching the final stage of a scheme’s selection process will be scored by the panel and ranked using all available information. ## **Grant-making process** **3.** The selection panel will make their final recommendations for funding, which are approved by the Grants Committee before decisions are announced. **5.** Once an award has been initiated, we monitor the progress of the award holder by requesting an annual progress report (or in the case of short awards, final report) each year. **4.** Offer letters are sent to the candidates and host organisations. An offer will only become an award once both the applicant and host organisation have accepted the offer online. Further information is available online at **royalsociety.org/grants/applications** Please note that this process diagram is indicative and not prescriptive. The exact assessment process will vary by scheme. **18** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Career pathway tracker: 40 years of supporting early career researchers** **Forty years ago, the Royal Society made a commitment to support scientists at the very beginnings of their careers. Grants like our University Research Fellowship (URF), Dorothy Hodgkin Fellowship (DHF) and Sir Henry Dale Fellowship (SHDF) provide flexible support to scientists so they can pursue the high-risk, high-reward research that will build a foundation for their future career, advance our understanding of the world, and benefit humanity.** To understand the impact this targeted support has had on individual researchers, the Royal Society launched the C _areer pathway tracker_ in 2018. This survey takes place every five years, and from the responses of more than 1,000 alumni, we can understand how this early support has set them up for scientific success. **97%** **found the time the award gave them to focus on research valuable.** ## **Professor Kostya Novoselov FRS** University Research Fellow 2006 – 2014 **Nobel Prize winner** These researchers have been at the forefront of science, contributing to areas like the DNA sequencing revolution, control and eradication of diseases, innovations in artificial intelligence and much more. Our alumni include a Nobel Prize winner, a Fields Medallist, and many researchers who are now Fellows of the Royal Society. ## **Beyond the lab** The _Career pathway tracker_ also explores the impressive contributions our alumni have made to sectors beyond academic research. Many are involved in scientific industry, running successful startups and spinouts. Many are also involved in science communication and public engagement. **91%** **of alumni* are involved in public engagement/science communication activities at least once a year.** * University Research Fellows, Dorothy Hodgkin Fellows and Sir Henry Dale Fellows. ## **Where are they now?** The _Career pathway tracker_ shows that a high proportion of our alumni remain in the UK, though they also keep an international outlook with 82% reporting at least one international collaboration. ## **Training the next generation** Science hardly ever happens in isolation, with teams and networks of researchers collaborating to make discoveries. Collectively, our alumni have trained almost 10,000 PhD students and supervised more than 7,000 postdoctoral researchers and technical support staff. This shows that even though our early career grants support one individual, they have a huge impact on the training and mentorship of the next generation of researchers. On the next two pages you can see a snapshot of some of the researchers we feature in the _Career pathway tracker_ . To find out more about how our early career grants have supported alumni over the past 40 years, and to read more about some of the talented scientists we have funded, visit royalsociety.org/careerpathway-tracker. To find out more visit **royalsociety.org/career-pathway-tracker** **Professor Deborah Greaves OBE FREng** University Research Fellow 2000 – 2008 Professor Deborah Greaves leads the Coastal, Ocean, and Sediment Transport laboratory (COAST) and the Centre for Decarbonisation and Offshore Renewable Energy (ORE) at the University of Plymouth. An expert in wave and tidal energy generation, she is also the Director of the Supergreen ORE Hub: a £16.5 million project funded by the UK Government, bringing together academic and private researchers, policymakers, and the public to design the next generation of sustainable energy technologies. Above: Science communicator, Professor Brian Cox FRS, University Research Fellow 2005 – 2012. **19** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Career pathway tracker: 40 years of continued supporting early career researchers** **Professor Eddie Holmes FRS** University Research Fellow 1994 – 1999 Professor Eddie Holmes studies the evolution of viruses and is particularly interested in how they jump between hosts. His research during the COVID-19 pandemic was central to understanding the virus. Eddie and his colleagues were involved in publishing the first publicly available genome sequence for the SARS-CoV-2 virus, a crucial step in tackling the pandemic and developing vaccines. Working at the University of Sydney, he is currently investigating sources of possible future pandemics, by studying viruses in high-risk areas. Eddie was awarded the Royal Society Croonian Medal in 2024 for being a global authority on viral evolution and emergence. **Dr Anna Kuppuswamy** Sir Henry Dale Fellow 2016 – 2022 Chronic fatigue is a debilitating but lesser-known symptom for patients with neurological conditions. Dr Anna Kuppuswamy works with patients, particularly those with Parkinson’s or stroke survivors, to understand how fatigue arises in the brain. This was something that she first became interested in when training as a physiotherapist, prompting her to change career to pursue a PhD in neuroscience. Anna says that her Sir Henry Dale Fellowship (SHDF) allowed her to conduct higher-risk research and establish herself early on in her career. Now at the University of Leeds, she is also Vice Chair of the Young Academy of Europe. ## **Professor Lucie Green** Dorothy Hodgkin Fellow 2005 – 2010, University Research Fellow 2012 – 2021 Professor Lucie Green has balanced her research career in solar physics alongside her science communication, becoming the first female presenter of _The Sky at Night_ in 2013. Lucie received both a DHF and a URF, with the flexibility of the awards allowing her to pursue her research on coronal mass ejections. radio programmes, bringing the solar system to life. She is currently Professor of Physics at University College London, a co-investigator on the Extreme Ultraviolet Imaging Telescope on board the Solar Orbiter and a co-lead on MESOM (Moon-Enabled Sun Occultation Mission), a spacecraft that will help scientists study solar storms. Lucie has inspired and informed audiences through numerous TV and **Professor Duncan Lorimer FRS** University Research Fellow 2001 – 2006 Duncan shared the Shaw Prize in Astronomy with Maura McLaughlin and Matthew Bailes for this discovery in 2023. He is currently Professor for Physics and Astronomy at West Virginia University and was elected to the Fellowship of the Royal Society in 2024. Professor Duncan Lorimer has spent his career studying pulsars, collapsed stars which give off distinctive bursts of radiation. In 2007, his team made a discovery which launched an entirely new field of research. The signal they detected, far stronger than anything recorded by a pulsar, was dubbed a Fast Radio Burst (FRB) and their source is still an active area of inquiry. **20** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **The Societyʼs strategy at a glance** ||**Progress in 2024/25**
**Goals for 2025/26**
•94 new Fellows, including 28 women, elected in recognition of their
contributions to science.
•Royal Society Fellows represented the Royal Society in a range of
national and international fora.
•Preparations for a survey of the Fellowship to gauge perceptions and
experiences of the Royal Society.
•Convene new Fellowship forum events to create more
opportunities to engage the Fellowship.
•Repeat the Fellowship survey on an annual basis to inform long-
term engagement activities.
•Update of guidance and processes around Fellowship
elections.
•Actively advocated on behalf of science throughout the 2024 election
and beyond.
•A series of reports and policy briefings published, including:_Science_
_and the economy, Science in the age of AI_and_Science diplomacy in_
_an era of disruption_.
•Represented the UK science sector at bilateral and multilateral fora
including S7 and S20.
•Escalate efforts to tackle misinformation and foster public trust
in science.
•Participation in the UK Government’s Curriculum and
assessment reforms, to underline the need for an education
system that inspires and supports young people.
•Further activity on Science 2040, making the case for long-term
investment in science.
•Over £112.6m grants awarded, including £82.5m to early-career
scientists.
•First round of the new Faraday Discovery Fellowship grants launched,
attracting huge interest from mid-career researchers.
•The 360thanniversary of_Philosophical Transactions_in 2024/25; the
oldest scientific journal in the world.
•Successful applicants of the first round of the Faraday Discovery
Fellowships announced during 2025.
•A review of the current state of scientific publishing, exploring
likely developments in the coming decade.
•Launch of the new Faraday Fast Track programme for
international researchers.
•Launch of a year-long programme of events to mark the 80th
anniversary of the first women elected to the Fellowship.
•The Society participated in London Pride for the first time in
June 2024.
•10,500 people attended the 2024 Summer Science Exhibition.
•The Society will continue to celebrate the achievements of
women in STEM and to promote equality and inclusion in STEM.
•Commemorate 40thanniversary of the publication of the
Bodmer Report.
•Continue training and funding of scientists to take action against
climate change and biodiversity loss.
•Launch of the Societyʼs strategy to reduce its environmental impact.
•Staff survey highlighting increased levels of staff engagement.
•Successful adoption and rollout of new risk register, aiding
management of emerging risks.
•Develop operational plans to reduce the environmental impact
of the Society’s activities.
•Rollout of an enhanced learning and development programme.
•Implement a new finance planning system and process.| |---|---| |**Influencing –**
**UK**
**and global**
**Science**
**and society**
**Fellowship**
**and Foreign**
**Membership**
**Research**
**system**
**and culture**
**Corporate and**
**governance**

Pa
ges
2
2 –
23

Pa
ge
s2
5 –
27

Pag
es
29
– 3
1

Pa
ges
33
–
36
Pa
ges
39
–
40
**Our**
**strategic**
**priorities**|| **21** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action** ## **Fellowship and Foreign Membership** **Fundamentally, the Society is its Fellowship. None of our work can be delivered without an excellent, diverse and engaged Fellowship and Foreign Membership. They sit at the centre of wider networks of excellence, which are also critical to the Society’s work.** They have been elected from countries including Brazil, China, Japan, Mexico and Singapore. ## **Recognising scientific talent** ## **Strategic outcomes:** Over 90 exceptional researchers from across the world were elected to the Fellowship of the Royal Society in May 2024. Drawn from across academia, industry and wider society, the new intake spans a wide variety of scientific disciplines. Fellows have been recognised for achievements as varied as pioneering treatments for Huntington’s Disease; developing the first algorithm for video streaming; generating new insights into memory formation; and studying the origins and evolution of our universe. - 1 A Fellowship and Foreign Membership that is representative of scientific excellence in all its forms (including in industry, innovation, engineering, technology and medicine) The new Fellows were officially welcomed to the Society at the 2024 New Fellows seminar and admission day. Taking place in July, the three-day programme of activities and celebrations provides an opportunity for Fellows to share their research and meet peers from their cohort. They also have the opportunity to sign the Charter Book, arguably the Society’s most important artefact. Since the first signature was entered on its pages on 9 January 1665, it has recorded the signatures of new Fellows and Foreign Members as they were elected, as well as those of Royal Patrons. In an announcement timed to celebrate the first anniversary of the coronation, in May 2024 Buckingham Palace confirmed that King Charles will continue to be patron of the Royal Society, following a review of over 1,000 royal patronages. - 2 A Fellowship and Foreign Membership that is closely engaged in the work and decisions of the Royal Society - 3 A Royal Society that understands in depth (and makes best use of) the remarkable resource that the Fellowship, Foreign Membership, and its many grant holders represent New Fellows have been elected from 23 UK institutions, including the University of Nottingham, British Antarctic Survey, University of Strathclyde and the Natural History Museum. - 4 A Fellowship and Foreign Membership engaged in strong collaborative networks beyond the Society, with leaders in research, industry, innovation, and administration ## **Fellows spotlight** Left to right: Nobel Prize winner, Geoffrey Hinton FRS; Nobel Prize winner, Demis Hassabis FRS; and Lord Vallance of Balham KCB FRS, Minister of State for Science, Research and Innovation UK. **Gender diversity of new Fellows and of new grant awards in 2024/25** **----- Start of picture text -----**
30%
of new Fellows,
Foreign Members
and Honorary Fellows
were women
(2023/24: 30%)
**----- End of picture text -----**
**----- Start of picture text -----**
34%
of grants were
awarded to women
(2023/24: 33%)
41%
of grants in
our early career
schemes were
awarded to women
(2023/24: 38%)
**----- End of picture text -----**
**22** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Fellowship and Foreign Membership** ## **Representing a broader range of scientific excellence** ## **Professor Polina Bayvel CBE FREng FRS Royal Society Research Professor, University College London** The Royal Society has established a Geographical Diversity Search Panel as part of its ongoing work to ensure a diverse range of outstanding nominations for the Fellowship. Historically, the majority of the Foreign Membership has been drawn from a relatively small number of countries. However, science is a global endeavour, with many excellent researchers engaged in groundbreaking work in countries which are not currently well represented within the Fellowship. Professor Polina Bayvel is an engineer specialising in optical communications. She first received Royal Society funding as a postdoctoral researcher in 1990 and was awarded a University Research Fellowship (URF) four years later. The URF helps outstanding early career scientists launch their independent research careers. Over this ten-year period, Polina established the Optical Networks Group at University College London which she still leads. Research Merit Award in 2007 and was elected a Fellow of the Royal Society in 2016, for her contributions to optical communication networks. Today Polina is Professor of Optical Communications and Co-Director of the Institution of Communications and Connected Systems at UCL. She was awarded a Royal Society Research Professorship in 2024 which she is using to investigate how to build smart and adaptable optical networks to cope with our increasing data demands. The Society has also explored ways of encouraging more nominations of candidates from industry and applied science backgrounds, as so much cuttingedge research takes place in commercial, non-academic settings. A pioneer in her field, Polina’s work brings innovations to the efficiency of optical fibres, which transmit more than 95% of the world’s digital data. She was awarded a Royal Society Wolfson ## **Looking forward 2025/26** Right: Professor Polina Bayvel CBE FREng FRS visits the Royal Society with members of her research team to celebrate the 30[th] anniversary of her award. There are plans to expand the Fellowship Forum programme, with new events planned to take place online, in Bristol, Oxford and elsewhere. ## **An active and engaged Fellowship** As ever, Fellows have been active throughout the year in representing the Society at a variety of high-profile international events and meetings, including representing the UK science community at the S7 and S20 conferences. Fellows and Newton International Fellows to the Manchester Museum. The annual Fellowship induction days and Anniversary Day are perhaps the most high-profile occasions for the Fellowship to gather and share their views. Important as they are, these flagship events are just one of the ways that the Royal Society engages with the Fellowship. The Royal Society will commission a survey of the Fellowship, to better understand their perceptions of the Society, to inform its offer to its Fellows and to support more Fellows to get involved with its work. A planned survey of the Fellowship has been rescheduled for next year while the Society focuses on unlocking insights from data it already holds. This analysis will help to shape the survey design and build a richer picture of Fellows’ perceptions and experiences of the Society and its work. The Society hosted the latest in its ongoing series of Fellowship Forum events in November 2024, when it welcomed Fellows, University Research The Royal Society will review and update guidance and processes around Fellowship elections. **23** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Spotlight: Women in STEM** **In 2025, the Royal Society marks the 80[th] anniversary of the first women elected to the Fellowship, Kathleen Lonsdale FRS and Marjory Stephenson FRS. To commemorate this anniversary, the Society commissioned two short documentaries to showcase the achievements of these trailblazing scientists.** In the documentaries, Dame Maggie Aderin-Pocock, space scientist and presenter of the BBC’s _The Sky at Night_ , joined astrophysicist Dame Jocelyn Bell Burnell FRS and biochemist Professor Judy Armitage FRS to uncover the remarkable legacies of these two innovative scientists. The release of the documentaries in March 2025 kick off a year-long programme of activities at the Royal Society to celebrate the historical and contemporary achievements of women in STEM. This programme aims to inspire girls and women to engage with STEM throughout their lives, particularly in disciplines where girls and women are underrepresented, and to promote greater gender equality and inclusion in STEM careers. **Dame Kathleen Lonsdale FRS Dr Marjory Stephenson FRS** Dame Kathleen Lonsdale Dr Marjory Stephenson was a was an early pioneer of X-ray pioneer of chemical microbiology. crystallography. Born in Newbridge, Born in Burwell, near Cambridge, Ireland, in 1903, she is best known in 1885, she wrote _Bacterial_ for solving the structure of the _Metabolism_ in 1930, which became a benzene ring. She was the first standard textbook for generations of female Professor at University microbiologists. She later co-founded College London, the first woman the Society for General Microbiology named President of the International and was elected as its second Union of Crystallography, and the first President in 1947. She was awarded woman to hold the post of President an MBE for her work with the Red of the British Association for the Cross in France and Salonika during Advancement of Science. She was the First World War. also a committed pacifist. Women have always played an active role in scientific research, and as we continue to celebrate women past and present, we hope this will encourage and inspire scientists of the future.” Above: Dame Jocelyn Bell Burnell FRS and Dame Maggie Aderin-Pocock during filming of the Women in STEM documentaries. **Professor Alison Noble FRS, Foreign Secretary and Vice President of the Royal Society and Chair of its Women in STEM committee.** **24** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Influencing – UK and global** **Since its inception, the Society has been a leader in supporting informed and evidence-based decision making, in government and beyond.** ## **Strategic outcomes:** - 1 Decision making by those who frame policy for science is informed by a rich evidence base and sets a strong framework for excellence in research and innovation. - 2 The case for investment in science and innovation is widely understood in all relevant sectors. - 3 The Royal Society is an active contributor to debates relating to matters where science has an important perspective to offer, improving decisions at all levels of government and beyond. - 4 Royal Society advice on policy relating to global challenges is recognised and effectively used in bilateral and multilateral fora. ## **Academic freedom** The Society has continued its policy work around academic freedom, playing an active role in both the UK and Ireland human rights committee (UKIHRC) and the International Human Rights Network of Academies and Scholarly Societies (IHRN), and jointly hosting, with the Council for At-Risk Academics (CARA), a high-profile lecture from Philippe Sands KC on the links between science and international law. The Society also took forward planning with the NAS Committee on Human Rights (CHR) to hold a webinar on the online environment for researchers in the UK and US, with a focus on strategies to mitigate harassment and abuse. ## **Science academies of the G7 and G20 countries** The Society represented the UK science sector in both the S7 and S20, the science academies of the G7 and G20 countries. In April 2024, the S7 agreed six joint statements on global issues ranging from AI to nuclear arms control, agriculture to threats to public health. In November 2024, the S20 agreed one joint statement, _Science for Global Transformation_ . **----- Start of picture text -----**
CHAPTER ONE
in an era of disruptionScience diplomacy This two-dimensional framework does not suggest that there are only two ways for science and diplomacy to engage, but rather provides the flexibility to describe the multiple ways they interact. Further, this revised framework provides greater adaptability to encompass current and future scientific and technological changes, as well as the evolving geopolitical landscape they operate in. FIGURE 1 In reviewing the framework, we recognise that this report may seem darker, more realistic, and hard-edged, than its predecessor. This reflects the realities of the past 15 years. At the same time, it also makes an argument that the value of science and diplomacy working together is now more important than ever. Both the 2010 report and this one include case studies from around the world that show the many productive ways science diplomacy is being practised. A key theme is the role that science diplomacy can play in building trust, at a time where global trust in institutions and between nations is in many cases declining. Arcs From the eighteenth century onwards, survey expeditions were sent out by both academies to measure meridian arcs at different latitudes around the globe, to determine more precisely the figure of the Earth. Meridians were measured between Greenwich and Paris, in South Africa and in India.
SCIENCE IMPACTING DIPLOMACY
SCIENCE DIPLOMACY
DIPLOMACY IMPACTING SCIENCE
Image 4 meter-tall zenith sector made by instrument maker George Graham and used to verify the arc of meridian at the Cape of Good Hope in 1837. The Royal Society.
12
12 SCIENCE DIPLOMACY IN AN ERA OF DISRUPTION
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## **Royal Society and the Académie des Sciences exhibition** ## **Science diplomacy in an era of disruption** In February 2025, the Society and the American Association for the Advancement of Science (AAAS) published a landmark joint report, _Science diplomacy in an era of disruption_ . The report updated the concept of science diplomacy which the two organisations had outlined in 2010. The report followed a year of evidence gathering from a range of international scientific meetings, including the International Network for Government Science Advisors (INGSA) conference. The joint exhibition was the first of its kind between the Royal Society and the Académie des Sciences. It celebrated the historic and current relationship between UK and French science. **25** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Influencing – UK and global** The Society also hosted a delegation from India including the President of the Indian National Science Academy (INSA). ## **International engagement** Throughout 2024/25, the Society has co-organised a range of international scientific meetings, creating opportunities for UK researchers to collaborate with their counterparts from countries across the globe, from Canada to Germany, China to South Africa. The meetings covered a wide range of topics including AI, biodiversity, health and pure mathematics. 2024 also marked the 300[th] anniversary of the establishment of the Society’s position of Foreign Secretary and the Society held a conference to commemorate the event. ## **General election** This year, the Society delivered a programme of influencing work ahead of, during and after the General Election. This included launching our Manifesto for Science which influenced the three main parties’ manifestos, including a commitment from the Labour Party to ten-year funding for key R&D activities which has now become a Government commitment. Foreign Secretary Mark Walport visited China in September 2024 to speak at the Puijang Innovation Forum. The Society hosted a scientific meeting for early career researchers in China focused on climate change and atmospheric pollution. In November 2024, Foreign Secretary Alison Noble visited India, meeting Fellows, senior scientists and government figures in both Delhi and Bengaluru. ## **Science policy influencing** In September 2024, the Society hosted events at the Labour and Conservative party conferences to promote our _Science and the Economy_ report. In November 2024, the President gave evidence to the House of Commons Science, Innovation and Technology Select Committee on the impact of the Government’s Autumn budget for science. In February 2025, the Society submitted its policy submission to the Government’s Comprehensive Spending Review which will set R&D budgets up to 2029/30 and will conclude in June 2025. ## **Pairing scheme** The 2025 Royal Society Pairing scheme brought together 30 scientists, 15 civil servants and 14 parliamentarians to explore the links between policy and science. Left: _Celebrating 300 years of international collaboration_ event to mark the anniversary of the Society’s Foreign Secretary role. Above: (left) Baroness Neville-Jones and (right) Dr Keri Wong at the Pairing Scheme reception. ## **Science in public life** The _Science in public life_ programme ran two successful residential Science Policy Primer courses with Kingʼs Policy Institute training 50 Research Fellows to better understand the UK policy landscape and increase their impact and reach within it. The Society hosted events on the oceans and on space with the Governmentʼs Chief Scientific Advisers. **26** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Influencing – UK and global** ## **Artificial intelligence** ## **Nature** In April 2024, the Society launched the _Legacy plastics: interventions to remove existing plastics from aquatic environments_ report. In May 2024, the Society published a major report on _Science in the Age of AI_ which explores how AI is transforming the methods and nature of scientific research. Other areas of policy work included _Conserving the high seas_ and environmental DNA technologies. In June 2024, the Society hosted the USUK Scientific Forum, an annual bilateral meeting organised in partnership with the National Academy of Sciences. The theme was Science in the age of AI. ## **Climate change** In May 2024, the policy briefing _Defossilising the chemical industry_ discussed the potential to replace fossil feedstocks used in making chemicals with alternative carbon sources. We also published a report in September 2024 _Towards a green hydrogen roadmap for the UK_ , which built on earlier work in collaboration with the Royal Academy of Engineering. The Royal Society co-hosted the AI for Science Forum with Google DeepMind in November 2024. ## **Education** The Society published two major reports on education: the _Science Education Tracker_ in April 2024 and _A new approach to mathematical and data education_ in September 2024. Read more about our education work on page 28. ## **Over** **31,000 policy-related publications were downloaded from the website** ## **Human health** In May 2024, we hosted a major international policy conference on antimicrobial resistance in collaboration with the UK Government. Representatives of over 40 countries were in attendance. ## **Science 2040** The first output of the Royal Society’s Science 2040 programme titled _Science and the economy_ was published in July 2024, receiving positive feedback from HM Treasury and other target audiences. The interim report of Science 2040 will be published in May 2025. ## **Looking forward 2025/26** - Ongoing work to foster public understanding and trust in science in response to the rise in misinformation. - Continued engagement with the UK Government’s Curriculum and assessment reforms, to create an education system that supports and inspires all young people. - Further activity on Science 2040 making the case for long-term investment in science, plus a new report looking at the implications of space-based technologies for policy. **----- Start of picture text -----**
INTRODUCTION CHAPTER ONE CHAPTER TWO INTRODUCTION
FIGURE 2 Science in FIGURE 1
Examples uses of chemicals in everyday life.Coatings BatteriesmattressesElectronicsScreensClothesFoamPaintTyres / rubber Solar panelsCablingCarpets / textiles / flooring LIVING ROOMBEDROOM InsulationFood / packaging KITCHENBATHROOM washing productsCleaning and MedicinesShampooToiletriesMakeupFertilisersPipes the age of A How artificial intelligence is changing the nature and method of scientific research I Reproduction of a visualisation of the three general roles of AI for scientific research as either a computational microscope, resource of human inspiration, or an agent of understanding FIGURE 1 Identifying surprises in data and models Resource of inspirationAdvanced simulations and data representationComputational microscopeunderstandingAgent of Acquiring new scientific understanding [124] . A new approachmathematical and data education to KEY The evolution of gender gaps in literacy and numeracyA gender gap is a measure of the effect of being female on the standardised test scores, given as a proportion of 1 standard deviation for the respective test population, where a + value shows females having higher scores. The gender gap measure is estimated by a regression analysis for each of the six tests (literacy and numeracy at each of the three ages). Literacy Numeracy 95% FIGURE 5 confidence interval -0.2-0.5-0.3-0.4-0.10.50.20.30.40.10 Girls outperform boysBoys outperform girls Age 9 / 10 [86] Age 15 / 16 Age Age 26 / 27 Rival and non-rival inputs and outputs in knowledge production and use R&D sector Upstream production of new knowledge Goods and services sector Downstream production using knowledge INPUTSINPUTS Capital, labourCapital, labour Output of new knowledge(“R” and “R&D”)Internallyexisting knowledge comme knowledgegenerated Internally-valuable -generated r cially- [4] . knowledgegenerated Externally-
Catalysing change: Defossilising the chemical industry POLICY BRIEFING 124 The diagram describes three possible ways in which AI can contribute to scientific understanding. The ‘computational microscope’ refers to the role of AI in providing information through advanced simulation and data representation that cannot be obtained through experimentation. ‘Resource of inspiration’ refers to scenarios in which AI provides information that expands the scope of human imagination or creativity. The ‘agent of understanding’ illustrates a scenario in which autonomous AI systems can share insights with human experts by translating observations into new knowledge. As of yet, there is no evidence to suggest that computers can act as true agents of scientific understanding. See: Krenn M. On Scientific Understanding with Artificial Intelligence. interest from literatureIdentifying areas of Transferring scientific insights to a human expert et al . 2022. 86 The Evolution of Gender Gaps in Literacy and Numeracy. TIMSS (1995), PIRLS (2001), PISA (2000), PIAAC (2011 / 12). Science and the economy POLICY BRIEFING PART OF SCIENCE 2040 Measured UnmeasuredOutput of goods / services commercially-knowledgeExternally-generated valuable
CATALYSING CHANGE: DEFOSSILISING THE CHEMICAL INDUSTRY – POLICY BRIEFING 7 SCIENCE IN THE AGE OF AI 31 A NEW APPROACH TO MATHEMATICAL AND DATA EDUCATION 45 10 SCIENCE AND THE ECONOMY: POLICY BRIEFING
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**27** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Spotlight: Education** **The Society advocates for education system reform so all young people leave formal education with a strong foundation in scientific knowledge and skills. This will equip every learner to thrive and to understand a rapidly changing world while preparing many for a career in STEM.** ## **Supporting teachers** The Society offers teachers a range of initiatives and educational resources to enhance the teaching and learning of science. These include the _Brian Cox school experiments_ (see page 34) series, which offer scientifically robust resources and videos on topics such as climate change and biodiversity. **The Society works both to inspire young people and their teachers through direct engagement with schools and colleges and to contribute to shaping the educational system and landscape through its research and policy work.** The Society also runs the _Partnership Grants_ scheme (see page 33), which supports schools to engage with STEM professionals from academia or industry to run investigative projects in schools. ## **A new approach to mathematical and data education** Mathematics, data and statistics support decision-making by governments, guide industry and business, and feature prominently in research and innovation in all sectors. The Society’s _Mathematical Futures Programme_ has explored system reform designed to provide a better mathematical education for everyone, from the everyday needs of citizens to the brilliant academic mathematicians of the future. Published in September 2024, _A new approach to mathematical and data education_ proposes that the scope of mathematical education should change from ‘mathematics’ to a combination of mathematics, statistics and data science, underpinned by computational tools and technologies. Our recommendations for a shift to mathematical and data education formed a key component of the Society’s response to the call for evidence issued as part of the Government’s independent Curriculum and assessment review in autumn 2024. ## **Science education tracker** The _Science education tracker_ is a major national survey of young people’s experiences of science education in England and their attitudes towards a STEM career. In 2023, the Society commissioned a third iteration of the survey, in partnership with EngineeringUK, publishing the main findings in April 2024. The Tracker is a reliable source of insights into strengths and weaknesses in the education system. These include declining interest in science at school, particularly among girls as they progress through their secondary education, fewer opportunities for students to undertake hands-on practical work in science and a continuing perception that science is important in society, but not for students in their everyday lives and future careers. In addition to gaining coverage in the national press, findings from the Tracker are informing the Societyʼs and the wider science education community’s efforts to influence the Curriculum and assessment review. **28** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Research system and culture** **Since its early focus on the application of the experimental method, the Society has been a leader in shaping the character of the scientific enterprise.** ## **Strategic outcomes:** - 1 Maintaining a healthy environment for continued scientific discovery and application in the UK and beyond. - 2 The Society is recognised internationally as a visible leader on open science, academic freedom and integrity in science. - 3 People from diverse, nontraditional backgrounds are encouraged and supported to take up scientific and technical careers and enabled to progress to leadership positions. - 4 The research system treats people fairly and rewards the full range of scientific activity that benefits society. - 5 The UK develops an enduring reputation for being a magnet destination for partners and for talented researchers from all over the world, who are attracted by the strength and benefits of the UK research system and the career opportunities it offers. ## **Investing in outstanding researchers** The Society offers an extensive range of grants programmes, open to outstanding scientists at all stages of their career. In 2024/25, the Society awarded £112.6 million of grants funding. Funding for these schemes comes from the Government, in partnership with other funding organisations, via philanthropic gifts and through the Society’s own funds. The Society is also active in a range of initiatives to foster international collaboration, as well as working to strengthen relationships between researchers working in industry and commercial innovation. In 2024/25, 82 exceptional researchers were awarded funding through the Society’s early career schemes. The University Research Fellowships, Dorothy Hodgkin Fellowships, Newton International Fellowships and Career Development Fellowships accounted for over £82 million expenditure in 2024/25, aimed at tackling major scientific questions and establishing the next generation of leading researchers in the UK. **Dr Auro Perego (Aston University, UK) and Dr Eiji Hase (Tokushima University, Japan), International Collaboration Award** International Collaboration Awards are funded through the International Scientific Partnerships Fund. They enable outstanding emerging research leaders in the UK to develop research collaborations with international partners. Dual-comb microscopy hopes to uncover a variety of exciting biological applications, enabling imaging of living cells without the need of injecting any toxic chemicals to enable fluorescence and could find use in the quality assessment of semiconductor materials too. Auro and Eiji are leveraging their teams’ expertise in photonics, with the UK team focusing on the development of a specific laser light source, while the Japanese team focus on the application of the developed source for imaging of different samples, especially biological ones. Dr Auro Perego and Dr Eiji Hase are part of the Royal Society’s International Collaboration Award 2023 cohort. Their research seeks to develop a novel microscopy technique called dual-comb microscopy which can provide images of objects at the nanometre scale. ## **Career Development Fellowships** Eight outstanding researchers were awarded the first Career Development Fellowships (CDFs) in September 2024. The first recipients are undertaking groundbreaking research such as the origins of blood stem cells in the brain and the birth of planets beyond our solar system. They will take up their Fellowships at seven different institutions across the UK. The CDFs aim to support the retention in STEM of researchers from underrepresented backgrounds. **29** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Research system and culture** ## **Faraday Discovery Fellowships** ## **Publishing** The Royal Society has begun a review of the current state of scientific publishing, exploring the likely developments and major disruptions that are possible over the coming decade. The findings are due to be reported in late 2025. The first round of the Faraday Discovery Fellowships, supported through a £250 million fund from the Department for Science, Innovation and Technology (DSIT), opened for applications in August 2024. The first awards of up to £8 million each will be made in 2025. ## **Promoting open access** ## **Meeting of minds** Two of the Society’s journals, _Royal Society Open Science_ and _Open Biology_ are fully open access. Our four research journals, _Proceedings A_ , _Proceedings B_ , _Biology Letters_ and _Interface_ , are increasingly open access. In 2024, 71% of research papers were published open access, up from 66% in 2023. The annual _Meeting of minds_ conference took place at the Royal Society in February 2025. Supported by the Tata group, this conference for Royal Society Research Fellows showcased the breadth of their research across a variety of scientific disciplines. The event brought together 149 Research Fellows from across our early career research fellowships and a wide variety of institutions. Above left: Speakers at the annual _Meeting of minds_ conference, 2025. **In 2024/25 over 31.4 million articles were downloaded from the Society's journals** **STEM Research career road map** In October 2024, the Society launched the STEM Research career roadmap which is a comprehensive guide to exploring research career pathways in STEM. Designed for current and prospective researchers, the project demystifies the routes into, between and through academic research careers for those who may be less familiar with STEM. The increase in open access output can be attributed in part to the increase in transformative agreements that provide free access to journal content and free open access publishing to authors at signed up institutions. We had over 400 institutions signed up to Read & Publish in 2024, as well as having over 100 low- and middle-income countries covered by our _Royal Society Open access equity scheme_ . To coincide with the launch of the career roadmap, 60 young people from backgrounds underrepresented in STEM were welcomed to the _Young researchers_ conference, a meeting to open doors to postgraduate research careers. ## **360[th] anniversary of** ## **Philosophical Transactions** The Society celebrated the 360[th] anniversary of _Philosophical Transactions_ in 2024/25 which is the oldest scientific journal in the world. In 1665, Henry Oldenburg, Secretary of the Royal Society, published a periodical to circulate the latest information sent by correspondents from around the world on a variety of topics. This was the first issue of the _Philosophical Transactions_ . **30** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Research system and culture** ## **UK Young Academy** The UK Young Academy (UKYA) connects and develops talented individuals from a range of sectors in the early years of their career, so they can collaborate and make a positive difference in the UK and globally. Over the past 12 months, it launched its programme of memberled projects and initiatives. The projects currently funded cover topics including improving access to career information for young adults from disadvantaged backgrounds, upskilling early-career professionals to influence global science and technology policy, and improving awareness and support for employers and employees around the challenges and systemic barriers faced by neurodivergent individuals entering the workplace. The newest cohort of 42 members, announced on 19 March 2025, brought the total current membership to 141 individuals. ## **Medals and awards** The Medals and awards programme recognises and celebrates outstanding contributions to science from individuals and teams. Nobel Prize winner and molecular biologist, Sir Gregory Winter CBE FRS FMedSci was named as the recipient of the Copley Medal in 2024, the world’s oldest and most prestigious scientific award. He was one of 25 Royal Society medal and award winners in the same year. Other winners included Sir Ravinder Maini FMedSci FRS and Professor Sir Marc Feldmann AC FMedSci FRS who jointly received the Royal Medal (Applied) for inventing anti-TNF therapy to treat rheumatoid arthritis. Above: The annual UK Young Academy induction day held to welcome new members. Above: Sir Gregory Winter CBE FMedSci FRS (right) receiving the 2024 Copley Medal. **Looking forward 2025/26** - The successful applicants of the first round of the Faraday Discovery Fellowships will be announced in July 2025. - A comprehensive review of the current state of scientific publishing in summer 2025, exploring the likely developments and potential disruptions over the coming decade. - Launch of the new Faraday Fast Track programme for international researchers. **31** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Spotlight: 360[th] anniversary of** _**Philosophical Transactions**_ **2025 marked the 360[th] anniversary of the publication of the first edition of the** _**Philosophical Transactions**_ **, the world’s longest-running scientific journal.** The periodical was originally established by Henry Oldenburg, the Secretary of the Royal Society, to circulate the latest scientific information sent by correspondents from around the world and on a variety of topics. The Royal Society’s commitment to knowledge sharing and the promotion of robust scientific discourse continues to this day. The periodical transformed itself as scientific disciplines evolved. From an editor-driven periodical circulating news about all branches of natural philosophy, it became a journal publishing original scientific research. In 1832, it introduced systematic peer-review of papers. It became one of the most prestigious scientific journals in the English-speaking world. Copies were circulated to universities and research institutions around the globe. Today there are over 30,000 journals in existence, and science publishing is a major global business. Whilst the original authors in the _Philosophical Transactions_ were mostly Western European male scientists, today our journals publish research from scientists from around the world from all backgrounds and career stages. The publishing landscape has changed Above: An early edition of _Philosophical Transactions_ , immensely over time, particularly since as featured in the video created to mark the 360th anniversary of the publication; and modern editions of the digital revolution and the rise of open the journal. access, but authors still rely on publishers Left: Henry Oldemburg, 1668. to curate and disseminate their work just as they did back in 1665. Below: _Philosophical Transactions_ is now published Below: _Philosophical Transactions_ is now published as two journals split between physical sciences and biological sciences. Using our ability to convene groups of individuals in key roles and with relevant expertise, the Royal Society is currently conducting a review of the future of STEM publishing, which will culminate in an event in the summer of 2025, and a policy document with the key findings and recommendations. The findings will inform our work and discussions with the wider sector on the future of STEM publishing in the UK and globally. **32** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Science and society** **The Society has a long tradition of engagement in scientific matters with communities beyond the world of research.** ## **Strategic outcomes:** - 1 Debate on important societal and global issues is well informed by relevant science, including the recognition of uncertainties. - 2 Decision makers are better informed by science and benefit from stronger public understanding of science, founded on constructive public discourse regarding aspects of science that will impact the lives of current and future generations. 3 Citizens of all ages are inspired by scientific possibilities and achievements, enhancing participation in science, and demand for its benefits in shaping our lives and our future. ## **Science and the law** The _Science and the law_ programme brings together scientists and members of the judiciary to discuss and debate key areas of common interest and to ensure that the best scientific guidance is available to the courts. Topics this year included _Noise and Bias in Decision Making_ , _Achieving Responsibility_ , examining topics such as the age of criminal responsibility, and _Cognitive Enhancement_ , discussing how drugs, such as Modafinil and Ritalin, affected human behaviour and the brain. In February 2025, a primer for the courts on drugs was published online. Each judicial primer presents an easily understood and accurate position on a scientific topic relevant to the courts and is distributed to them. ## **Disability data and assistive technologies** As part of the _Disability data and assistive technologies_ project undertaken by the Society, a workshop was held on the technical, ethical and user experience considerations of smart home devices as an assistive technology for disabled people. The insights from this workshop will inform the projectʼs report, which is due to be published in 2025. ## **Supporting science in schools** Twelve larger seed grants were also awarded to universities and not-for-profit organisations to engage over 140 schools in disadvantaged areas in small-scale STEM projects. Partnership grant projects were showcased at events such as the Young Researcher Zone at the Society’s Summer Science Exhibition, the Young People’s Book Prize award ceremony at Glasgow Science Centre and at an event in parliament celebrating 25 years of the scheme. Every year, the Society’s _Partnership grants scheme_ awards schools across the UK up to £3,000 each to run an investigative STEM project alongside a STEM professional from academia or industry. In 2024/25, the Society gave funding to 95 schools working on a variety of studentled research projects from investigating whether they can increase the biodiversity in their school grounds to projects on AI and 3D printing. Above: Sir Adrian Smith and Dame Maggie Aderin-Pocock, with students at the _Bringing research alive_ event held in Parliament, 2025. **33** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Science and society** ## **Brian Cox school experiments** The Brian Cox school experiments are a series of videos and resources to support teachers and students. Following the success of the primary school series in 2017, the Society commissioned a further set of resources this time aimed at a slightly older audience of 11 – 14 year-olds and their teachers. Featuring Dame Maggie Aderin-Pocock as the guest presenter, the classroom videos show her with a science teacher leading a practical experiment with a group of students. These support teachers in doing more practical science with students in science lessons and are designed to be easy to recreate. **Over** **13,500 views of the Brian Cox school experiments videos on YouTube** **Over** **3,300 downloads of the secondary school resources** ## **Summer Science Exhibition 2024** The Society’s flagship event, Summer Science Exhibition (SSE), took place in July 2024. There were 14 main exhibits alongside a daily programme of talks, handon activities, and installations and a special Young Researcher Zone featuring some of the Partnership Grants schools funded by the Society. Around 10,500 people attended. The digital programme included live-streamed talks and a social media campaign. Above: Summer Science Exhibition 2024. Left: Dame Maggie Aderin-Pocock with students conducting an experiment as part of the Brian Cox school experiments video. **Over** **185,000 Summer Science Exhibition video views on YouTube** **Over** **2.8 million views of Big Manny Summer Science Exhibition video content on TikTok** ## **Over** **109,000 tagged Summer Science Exhibition content on Instagram** **34** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Science and society** **The Society has a long tradition of engagement in scientific matters with communities beyond the world of research.** ## **Pride Parade** ## **British Sign Language** In May 2024, the Society and the Scottish Sensory Centre released a new set of 400 new British Sign Language (BSL) signs to equip BSL interpreters with the essential signs to engage with climate change and environmental science. The new signs, which include global warming, deforestation and type 2 diabetes, join 200 signs previously released in 2023. The Society participated in the annual London Pride event for the first time in June 2024. Around 50 Fellows, Research Fellows and staff took part in the march to celebrate the contribution of LGBTQ+ people to the Royal Society and the science community. Above left: The Royal Society Pride Network attending the Pride in London parade, 2024. Above middle: Still from the short film of artist Jonathan Yeo sharing his experience of painting Sir David Attenborough for the Royal Society. Above right: _The hunt from above_ , by Dr Angela Albi, winner of the Royal Society Publishing photography competition, 2024. ## **Sir David Attenborough FRS portrait** The Royal Society commissioned a new portrait of Sir David Attenborough by world renowned artist Jonathan Yeo. The portrait was unveiled to the nation live on BBC’s _The One Show_ in June 2024. The painting is now on display in the ground floor reception area of Carlton House Terrace. ## **Royal Society Publishing Photography Prize** The winner of the 2024 Royal Society Publishing Photography Prize was _The hunt from above_ by Dr Angela Albi which shows a bird’s-eye view of four sharks and their schooling prey. The competition celebrates incredible images that shed new light on hidden scientific phenomena. ## **History of science** Over 10,000 letters from Sir John Herschel FRS have been digitised and are now available on the Society’s _Science in the making_ archives portal. These letters offer insights into Herschel’s work in astronomy, photography, and mathematics, as well as his correspondence with prominent figures like Charles Darwin and Charles Dickens. The Society teamed up with BBC Radio 4’s _Infinite Monkey Cage_ to explore some of the treasures of the archives. Two episodes were recorded at the Society. The first, _An unexpected history of science_ was broadcast during the summer and the second, _An unexpected history of the human body_ was broadcast in November 2024. **35** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Science and society** ## **Royal Society Trivedi Science Book Prize** ## **Young People’s Book Prize 2024** _A City on Mars: Can We Settle Space, Should We Settle Space, and Have We Really Thought This Through?_ by Kelly and Zach Weinersmith was announced as the winner of the Science Book Prize in November 2024. The book examines the complexities, challenges and opportunities of humanity’s quest to settle in space. The Young Peopleʼs Book Prize aims to promote literacy in young people and inspire them to read about science. _Can You Get Rainbows in Space?_ by Dr Sheila Kanani MBE was revealed as the winner in March 2025. ## **Social media** **BlueSky Facebook YouTube Over Over Over 10,000 300,000 219,000 followers* followers subscribers** *Comparison not yet available **(+7.5% in the year) (+12% in the year)** ## **80[th] anniversary of Women in STEM** ## **Looking forward 2025/26** The Society marked the 80[th] anniversary of the first women elected to the Fellowship, Kathleen Lonsdale FRS and Marjory Stephenson FRS. - The Royal Society will continue to celebrate the historical and contemporary achievements of women in STEM, to inspire girls and women and promote greater gender equality and inclusion in STEM careers. As part of the celebrations, the Society commissioned two films on Kathleen Lonsdale and Marjory Stephenson. Read more about the Women in STEM programme on page 24. - 40[th] anniversary of the Bodmer Report publication in December 2025. - The _Climate and biodiversity loss engagement programme_ will train and fund 18 scientists to work with communities to take meaningful action against climate change and biodiversity loss. Left: Bill Bryson and Kelly Weinersmith. Middle: Young Peopleʼs Book Prize winning book, _Can you get rainbow in space?_ ; and guests at the award ceremony held at the Glasgow Science Centre. Above: Women in STEM celebratory event. (Left to right) Dame Julie Maxton, Executive Director; David Lonsdale; Dr Stephen Lonsdale; and Professor Alison Noble CBE FREng FRS, Foreign Secretary of the Royal Society. **36** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Spotlight: Supporting innovation through the application of cutting-edge science** The translation of scientific breakthroughs into commercial success can lead to economic and societal benefits. Equally, the flow of ideas from industry back into academia can inspire new directions in research. The programme promotes collaboration and translation by bringing together leading scientists from industry and academia. Finally, our annual Labs to riches event brings together senior leaders from industry, academia, science and government around a different theme each year. **Professor Zoe Kourtzi Royal Society Industry Fellow, University of Cambridge** Dementia is challenging to diagnose and develop treatments for, as the symptoms and rate of progression are highly variable between patients. As the brain is so adaptive, by the time someone presents with symptoms much of the damage may already have been done, making them less responsive to treatments. With her Royal Society Industry Fellowship Professor, Zoe Kourtzi has partnered with pharmaceutical company AstraZeneca to develop strategies for predicting which patients will develop dementia. Using data from AstraZenecaʼs clinical trials, including cognitive tasks and brain scans, Zoe’s team are developing AI and other algorithms that can accurately The goal of the Royal Society’s Science and Industry programme is to bring awareness, understanding and detailed knowledge of industrial science into the heart of the Society’s work and to generate impact on UK science, industry and innovation. Below: (left) Guest at the annual Labs to riches dinner to celebrate researchers and entrepreneurs whose contributions to science have translated into real world impact; and (right) Dame Kate Bingham speaking at the event. predict how an individual’s disease will progress, and which patients would benefit most from certain treatments. Recently they have had success using AI to identify subgroups of patients from a failed drug trial. They showed that a group of patients with slow-progressing symptoms may actually benefit from a drug that would otherwise have been considered ineffective. Zoe's work improves our chances of developing effective drugs and identifying which patients will benefit the most from them. **37** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Spotlight: Supporting innovation through continued the application of cutting-edge science** We run several _Transforming our future_ conferences each year, with talks and panel discussions featuring cutting-edge science on one topic or industry sector. This year, the Society convened four industry-focused _Transforming our future_ conferences looking at engineering biology, innovating agriculture, gene editing medicines and quantum information. The meetings brought industry and academic scientists together with policymakers, funding bodies, regulators and other key stakeholders to discuss what is needed to advance the field in question and how the UK may be able to contribute and benefit. We coordinate regional _Creating connections_ meetings, which aim to address the scientific and technical opportunities and challenges facing the UK. This year, the events took place in Yorkshire and the Humber in June 2024 and then the East Midlands in January 2025. We also support researcher mobility and cross-industry knowledge transfer through translation-focused grants: the Industry Fellowships and the Entrepreneur in Residence (EiR) schemes. This year, the EiR scheme enabled experienced entrepreneurs and industry scientists to be placed in 54 academic institutions across the UK, to facilitate the sharing of knowledge on cutting-edge technology and to encourage scientific entrepreneurship. ## **Professor Zhibin Yu Royal Society Industry Fellow, University of Liverpool** Professor Zhibin Yu is Chair of Energy Engineering at the University of Liverpool. His research focuses on developing new and more efficient technology that will help us sustainably power our homes. Zhibin has invented and developed the Flexible Heat Pump Technology which he hopes will be used in the next generation of heat pumps. He received a Royal Society Industry Fellowship to develop this technology from prototype to commercial reality in collaboration with refrigeration and heat pump manufacturer Isentra. **----- Start of picture text -----**
Part of the conference series Part of the conference series
Transforming our future Transforming our future
Engineering biology Quantum information
14 January 2025 19 – 20 February 2025
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Sponsored by
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Left: Dr Christopher Kaminker, BlackRock, chairing a panel discussion at the conference, Engineering biology, part of the _Transforming our future_ conference series, 2025. **38** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **Corporate and governance** **The Society’s ability to deliver its work rests on a wide range of coordination and support services. The systems and policies that underpin our work need to be fit for purpose and support clarity, transparency and accountability in our decision making.** ## **Strategic outcomes:** - 1 Be working towards the highest standards of charity governance. - 2 Continuing to invest in the Royal Society’s staff and strengthening its working culture. - 3 Continue to develop its digital capabilities, including enhanced support for hybrid events across its programming and an improved website and digital platforms. - 4 Develop a plan for attaining, over an achievable timescale, a reduced environmental footprint for the conduct of the Society’s own activities. ## **Governance review** The Society regularly reviews its systems and processes to ensure that its strategic decision making is transparent, accountable and informed by the best available insights. In August 2024, an external agency was commissioned to conduct interviews with Council members and other senior stakeholders to better understand the mix of skills and expertise within the Society’s governing bodies. Findings from this research are being used to identify ways to optimise the range of expertise and expand the breadth of perspectives represented within the Society’s governing bodies. The Society’s statutes and standing orders are the documents which govern how it operates, including the election of Fellows and the roles and responsibilities of its Officers and Council members. These documents have gradually evolved since they were first drawn up more than 350 years ago, adapting as the scale and scope of the Society’s work has developed. In 2024, the Society undertook a comprehensive review of these statutes and standing orders to bring a greater clarity and consistency to them. The amends were reviewed in detail and approved by Council when it met in March 2025. They will be put to a Special General Meeting of the Fellowship in the coming year. ## **Planning and resourcing** Members of the Societyʼs senior leadership team attended a strategy away day in January to reflect on recent activity and identify priorities for the coming year. Topics discussed included Fellowship engagement, knowledge sharing and high-level planning. ## **Risk monitoring and management** Based on recommendations from last year’s governance review, the Society has developed a more streamlined register of corporate risks. The revised register is reviewed by Council, Audit Committee and senior leadership team (SLT) on a regular basis to ensure that the Society is actively managing its exposure to risk. This process includes risk appetite horizonscanning to identify areas of emerging risk, and ongoing assessment of risk controls and mitigations to ensure that they are appropriate and proportionate. An overview of the current risk monitoring framework (as of March 2025) is included on pages 56 – 59. ## **The Royal Society website** The Royal Society’s new website launched in February 2024. The new site is designed to increase user engagement, maximise accessibility and to ensure that key information can be found quickly and intuitively. Comparing the first 12 months of the new website against the last 12 months of the previous website, total users had increased by 7.6% to 1.1 million, the number of sessions had increased by 11.8% to 1.8 million and the average session duration had increased by 66.2%. **1.1 million total website users (+7.6%)** **1.8 million website visitor sessions (+11.8%)** **66.2% increase in session duration** **39** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Strategy in action continued** ## **continued Corporate and governance** ## **Supporting our people** ## **Environmental sustainability programme** The latest round of the biennial Royal Society staff survey was launched in July 2024. The survey is conducted by an independent research agency and covers a range of aspects, such as employee engagement, development opportunities, management and employee benefits. Overall, the results were hugely positive, with significant increases in staff engagement and satisfaction across a number of key metrics. Results from the survey were discussed in a series of workshops and will be used to guide how the Society attracts, retains and supports its staff. Developed in consultation with staff groups and supported by independent external specialists, the Royal Society’s new _Environmental sustainability strategy_ was approved by Council in March 2025. The strategy sets out the Society’s ambitions to reduce the greenhouse gas emissions, and other environmental impacts, including on biodiversity, that arise from a broad scope of the Society’s operations. Read more about **how the Society supports its people** on pages 47 – 49 Below: Staff meeting focused on environmental sustainability. **----- Start of picture text -----**
FIGURE 1
Sources of greenhouse gas emissions across the value chain for the Royal Society [1]
Environmental
sustainability CO CH N O HFCs PFCs SF
strategy 2025 – 2030 Scope 2 indirect Scope 3 indirect Scope 1 direct Scope 3 indirect
Purchased goods and services electricity for Purchased own use commutingEmployee (natural gas and refrigerants)Company facilities Transport and distribution
Captial goods Business travel sold productsProcessing of Investments
energy-related Fuel and activities Transport and distribution Waste generated in operations Use of sold products sold productstreatment of End-of-life Grants
UPSTREAM ACTIVITIES REPORTING COMPANY DOWNSTREAM ACTIVITIES
1 Figure adapted from WRI/WBCSD GHG Protocol. Corporate Value Chain (Scope 3) Accounting and Reporting Standard, figure 1.1, September 2011, See https://ghgprotocol.org (Accessed 8 April 2025).
14 ENVIRONMENTAL SUSTAINABILITY STRATEGY 2025 – 2030
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## **Looking forward 2025/26** - Following the official launch of the new Environmental sustainability strategy, the Society will work with its staff, suppliers and partners to implement its plans to reduce the negative environmental impacts of its work. - Rollout of an enhanced learning and development programme for all staff, supporting them to pursue their career objectives. - Implement a new finance planning system and process. **40** **STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **Sustainability** **Human-induced climate change caused by the burning of fossil fuels and other activities has resulted in fundamental changes to our planet. It is increasing the risk of extreme weather, causing ice caps to melt resulting in sea level rise, and threatening ecosystems, lives and livelihoods across the world.** The Royal Society is committed to using its profile, reach and convening power to pursue an environmentally sustainable future, while also reducing the environmental footprint of its own activities and building resilience to the impacts of climate change. By funding cuttingedge research, informing and inspiring the public to act, and investing in and promoting change, we will play our part in safeguarding our planet for generations to come. The Society funds research, hosts events, and produces scientific reports, ensuring that the best scientific knowledge is available to national and international policymakers working to tackle climate change. In the last year, sustainability has been a central feature of many Royal Society initiatives, including: - Quantifying the risks associated with our ongoing carbon emissions. - Developing scientific and technological solutions to reach net zero by midcentury. - Finding ways to make global society as resilient as possible to climate change. - Identifying ways to reduce loss of biodiversity. ## **Climate and sustainability showcase** In November 2024, the Royal Society co-hosted an event in Parliament with the three other National Academies to elucidate necessary policy interventions on climate and sustainability. Released ahead of the 2024 General Election, the Royal Society’s _Manifesto for science_ highlighted the importance of securing a path to a net zero future for the future prosperity of the nation. It called on the next government to “make long-term decisions that ensure the UK has a science and technology ecosystem in which fundamental research discoveries can provide the foundations to a more resilient and prosperous future”. The strategy sets out the priorities of the Society to: ## **Climate and biodiversity loss engagement programme** - reduce the impact of its operations In 2024, the Royal Society launched a pilot scheme to engage with local communities on climate change and biodiversity loss. The programme, supported by the Natural Environment Research Council (NERC), will train and fund scientists to work with communities to combine technical expertise and tools with local knowledge to take meaningful action against climate change and biodiversity loss. - adapt to risks - champion scientific contributions for societal transformation. Each of these priorities will be addressed through the three cross-cutting lenses of climate, biodiversity, and resource use. The strategy sets out the current understanding of the environmental impacts associated with the Society’s operations and the ambitions to reduce these. It also outlines the governance and next steps for delivery over the period 2025 – 2030, across seven impact areas: ## **New Environment medal and lecture** In 2024, the Society launched the Environment medal and lecture which will be awarded annually to an individual or team for outstanding and sustained work in environmental science. The first ever winner of the award will be announced in summer 2025. - Energy and waste - Investments - Research funding - Purchasing and procurement - Digital and IT ## **Sustainability at the Royal Society** - Business travel The Royal Society monitors the environmental impact of its operations and has developed a strategy which sets out its ambition for an environmentally sustainable Royal Society. The Societyʼs 2024/25 Scope 1 and 2 emissions are provided in the table below. - Food and beverage |**2024/25 emissions**|**2023/24 emissions**|**Percentage**| |---|---|---| |**(tonnes of CO2)**|**(tonnes of CO2)**|**decrease**| |Scope 1
150.1|151.2|-0.7%| |Scope 2
183.8|190.0|-3.3%| |**Total Scope 1 and 2**
**333.9**|341.2|**-2.1%**| **----- Start of picture text -----**
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**STRATEGIC REPORT** GOVERNANCE FINANCIAL STATEMENTS OTHER INFORMATION ## **continued Sustainability** ## **Dr Laura Kelley and Dr Neeltje Boogert Dorothy Hodgkin Fellows, University of Exeter** Herring gulls will be familiar to anyone who has visited the UK seaside. This species, despite being on the UK red list for conservation concern, is well known for coming into conflict with humans. Two Dorothy Hodgkin Fellows based at the University of Exeter’s Centre for Ecology and Conservation share an interest in these birds. Dr Laura Kelley studies how animals perceive and interact with the world around them, and Dr Neeltje Boogert is interested in the evolution of cognition and social behaviour. Together, they founded Project C-Gull in 2017 to study the behaviour of herring gulls on the Cornish coast and their interactions with humans. Their research helps understand how urban environments are impacting this threatened species, and how we might mitigate human-gull conflict. Their work has been covered in major news outlets in the UK and worldwide. **Dr Alfio Alessandro Chiarenza Newton International Fellow, University College London** The Earth has experienced dramatic climate change over the course of its history. Dinosaurs, and early fossil relatives of animals alive today, had to evolve and adapt to warming temperatures. Palaeontologist Dr Alfino Alessandro Chiarenza, a Newton International Fellow at University College London, is studying how these ancient species survived or succumbed to extreme temperature shifts 100 to 50 million years ago. Using information from the fossil record, and models of the ancient climate, he studies how these species migrated and evolved different biological traits, as well as how communities might have changed in response to rapid temperature shifts. Understanding what happened to different species in the past can help us predict which animals might adapt and which might need more help in the face of today’s climate crisis. **Dr Richard Nair University Research Fellow, Trinity College Dublin, Ireland** Plants are an important carbon sink, taking in carbon dioxide from the atmosphere, converting it into biomass and transferring it to soils. Understanding plants as a link between the atmosphere and soils and how this is changing as our planet warms is essential information for building accurate climate models. We can use information from satellite imaging to monitor plant biomass visible above ground, but it is much harder to measure their root systems. Dr Richard Nair is using his Royal Society and Research Ireland University Research Fellowship to address this issue. His interdisciplinary team is developing a combination of image-based tools and robotic instruments to monitor seasonal changes in root growth. **42** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **People** ## **Fellows of the Society elected in 2024** ## **Professor Simon Aldridge FRS** Professor of Chemistry, Inorganic Chemistry Laboratory, University of Oxford ## **Professor Sir John Aston Kt FRS** Harding Professor of Statistics in Public Life at Statistical Laboratory, Department of Pure Mathematics and Mathematical Statistics, University of Cambridge ## **Professor Frances Balkwill OBE FMedSci FRS** Professor of Cancer Biology, Centre for Tumour Microenvironment, Barts Cancer Institute, Queen Mary University of London **Dr David Bentley OBE FMedSci FRS** Former Vice President and Chief Scientist, Illumina Inc ## **Dr David Bentley FRS** Professor, Department of Biochemistry and Molecular Genetics and Co-Director, RNA Bioscience Initiative, Anschutz Medical School, University of Colorado Denver, USA ## **Professor Donna Blackmond FRS** John C. Martin Endowed Chair in Chemistry, Department of Chemistry, Scripps Research, USA ## **Professor Sarah-Jayne Blakemore FBA FMedSci FRS** Professor of Psychology and Cognitive Neuroscience, Department of Psychology, University of Cambridge ## **Professor Helen Blau FRS** Donald E and Delia B Baxter Foundation Professor and Director, Baxter Laboratory for Stem Cell Biology, Stanford University School of Medicine, USA ## **Professor Martin Blunt FREng FRS** Professor of Flow in Porous Media, Department of Earth Science and Engineering, Imperial College London ## **Professor Daniel Bradley FRS** Professor of Population Genetics, Trinity College Dublin ## **Professor Emmanuel Breuillard FRS** Professor of Pure Mathematics, Mathematical Institute, University of Oxford ## **Sir Philip Campbell FRS** Editor Emeritus, Nature ## **Professor Brian Cantor CBE FREng FRS** Visiting Professor, Department of Materials, University of Oxford and Professor and Senior Advisor, Brunel Centre for Advanced Solidification Technology (BCAST), Brunel University London ## **Professor Kenneth Carslaw FRS** Professor of Atmospheric Science, School of Earth and Environment, University of Leeds ## **Dr Andrew Carter FRS** Programme Leader, Structural Studies Division, MRC Laboratory of Molecular Biology ## **Professor Patrick Chinnery FMedSci FRS** Professor of Neurology, Department of Clinical Neurosciences, University of Cambridge ## **Professor Yanick Crow FMedSci FRS** Professor and Programme Leader, MRC Human Genetics Unit, University of Edinburgh and Institute Imagine, Université Paris, France ## **Professor Barry Dickson FRS** Professorial Research Fellow, Queensland Brain Institute, Australia ## **Professor Jo Dunkley OBE FRS** Professor of Physics and Astrophysical Sciences, Departments of Physics and Astrophysical Sciences, Princeton University, USA ## **Professor Aled Edwards FRS** Temerty Nexus Chair in Health Innovation and Technology, Structural Genomics Consortium, University of Toronto, Canada ## **Professor Paul Elliott CBE FMedSci FRS** Professor of Epidemiology and Public Health Medicine, Imperial College London ## **Dr Alan Evans FRS** Distinguished James McGill Professor of Neurology, Departments of Neurology and Psychiatry, McGill University, Canada ## **Professor Rebecca Fitzgerald** ## **FMedSci FRS** Professor of Cancer Prevention and Director, Early Cancer Institute, University of Cambridge **Dr Andrew Fitzgibbon FREng FRS** Engineering Fellow, Graphcore Ltd ## **Professor Michael Garrett FRS** Sir Bernard Lovell Chair of Astrophysics and Director of Jodrell Bank Centre for Astrophysics (JBCA), Department of Physics and Astronomy, University of Manchester ## **Professor Toby Gee FRS** Professor, Department of Mathematics, Imperial College London ## **Professor Nigel Goldenfeld FRS** Chancellor’s Distinguished Professor of Physics, Department of Physics, University of California San Diego, USA ## **Professor Anjali Goswami FRS** Research Leader in Evolutionary Biology, Natural History Museum, London and President of the Linnean Society of London ## **Professor Maria Harrison FRS** William H. Crocker Professor, Boyce Thompson Institute for Plant Research and Adjunct Professor, Cornell University, USA ## **Professor Richard Hartley FRS** Emeritus Distinguished Professor, College of Engineering, Computing and Cybernetics, The Australian National University, Australia ## **Professor Laura Herz FRS** Professor of Physics, Department of Physics, University of Oxford ## **Professor David Hodell FRS** Woodwardian Professor of Geology and Director, Godwin Laboratory for Palaeoclimate Research, Department of Earth Sciences, University of Cambridge and fellow of Clare College **Professor Saskia Hogenhout FRS** Group Leader, John Innes Centre ## **Sir Peter Horby Kt FMedSci FRS** Moh Family Foundation Professor of Emerging Infections and Global Health, Nuffield Department of Medicine and Director, Pandemic Sciences Institute, University of Oxford ## **Professor Richard Jardine FREng FRS** Professor of Geomechanics, Department of Civil and Environmental Engineering, Imperial College London, Imperial College Proconsul and Visiting Professor, Zhejiang University, China **43** Note: affiliations are at the time of election in April 2024. STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued People** ## **Professor Heidi Johansen Berg FRS** Professor of Cognitive Neuroscience, Nuffield Department of Clinical Neurosciences, University of Oxford ## **Mr Simon Knowles FRS** CTO and EVP engineering, Graphcore ## **Professor David Komander FRS** Head, Ubiquitin Signalling Division, Walter and Eliza Hall Institute of Medical Research (WEHI) and Professor, Department of Medical Biology, University of Melbourne, Australia ## **Professor Daniela Kühn FRS** Mason Professor of Mathematics, School of Mathematics, University of Birmingham ## **Professor Eric Lauga FRS** Professor of Applied Mathematics, Department of Applied Mathematics and Theoretical Physics, University of Cambridge ## **Professor Chwee Lim FRS** NUS Society Chair Professor, Institute for Health Innovation & Technology, National University of Singapore, Singapore and NUS Society Chair Professor, Department of Biomedical Engineering, College of Design and Engineering, National University of Singapore ## **Professor Duncan Lorimer FRS** Professor of Physics and Astronomy, Department of Physics and Astronomy, West Virginia University, USA ## **Professor Douglas MacFarlane FRS** Sir John Monash Distinguished Professor, School of Chemistry, Monash University, Australia ## **Professor Barbara Maher FRS** Professor Emerita of Environmental Magnetism, Lancaster Environment Centre, Lancaster University ## **Professor George Malliaras FRS** Prince Philip Professor of Technology, Department of Engineering, University of Cambridge ## **Professor Ivan Marusic FRS** Pro Vice-Chancellor and Redmond Barry Distinguished Professor, University of Melbourne, Australia ## **Professor Tamsin Mather FRS** Professor of Earth Sciences, Department of Earth Sciences, University of Oxford ## **Professor Stephen McGrath FRS** Discovery Leader in Sustainable Soils and Crops, Rothamsted Research ## **Professor Patricia Monaghan FRS** Regius Professor of Zoology, School of Biodiversity, One Health and Veterinary Medicine, University of Glasgow ## **Professor Graham Moore FRS** Director, The John Innes Centre ## **Professor Francis Nimmo FRS** Professor of Planetary Sciences, Department of Earth and Planetary Sciences, University of California Santa Cruz, USA ## **Professor Sarah Otto FRS** Professor, Department of Zoology, University of British Columbia, Canada **Professor Adrian Owen OBE FRS** Professor in Cognitive Neuroscience and Imaging, University of Western Ontario, Canada ## **Professor Lloyd Peck FRS** Science Leader, British Antarctic Survey, Cambridge ## **Professor José Penadés FRS** Professor of Microbiology, Centre for Bacterial Resistance Biology, Department of Infectious Disease, Imperial College London ## **Professor Sir Andrew Pollard FMedSci FRS** Ashall Professor of Infection and Immunity, Director of the Oxford Vaccine Group and Consultant in Paediatric Infectious Disease, Department of Paediatrics, University of Oxford **Professor Oscar Randal-Williams FRS** Sadleirian Professor of Pure Mathematics, Department of Pure Mathematics and Mathematical Statistics, University of Cambridge **Professor Keith Ridgway CBE FREng FRS** Senior Executive – Manufacturing, University of Strathclyde ## **Professor Tom Rodden FRS** Pro-Vice-Chancellor and Professor of Interactive Computing, School of Computer Science, Nottingham University ## **Professor Stuart Rowan FRS** Barry L MacLean Professor of Molecular Engineering, Pritzker School of Molecular Engineering and Department of Chemistry, University of Chicago, USA and Chemical Sciences and Engineering Division, Argonne National Laboratory, USA ## **Mr Simon Segars FRS** Former CEO, Arm Holdings PLC. Board member Dolby Labs Inc, Vodafone Group PLC, Edge Impulse Inc, and Board Chair, Silicon Quantum Computing Pty ## **Professor Yang Shi FRS** Professor of Epigenetics and Member, Ludwig Institute for Cancer Research, University of Oxford **Professor Lorraine Symington FRS** Harold S Ginsberg Professor of Microbiology and Immunology, Columbia University, USA **Professor Sarah Tabrizi FMedSci FRS** Professor of Clinical Neurology and Neurogenetics, Department of Neurodegenerative Disease, UCL Queen Square Institute of Neurology, University College London **Professor Patrick Unwin FRS** Professor of Chemistry and Head, Department of Chemistry, University of Warwick **Professor Mihaela van der Schaar FRS** John Humphrey Plummer Professor of Machine Learning, Artificial Intelligence and Medicine, Departments of Applied Mathematics and Theoretical Physics, Engineering and Medicine, University of Cambridge **Professor Bart Vanhaesebroeck FRS** Professor of Cell Signalling, Research Department of Oncology, Cancer Institute, Faculty of Medical Sciences, University College London **Professor Glynn Winskel FRS** Professor of Computer and Information Science, University of Strathclyde **Professor William Wisden FMedSci FRS** Chair of Molecular Neuroscience, Department of Life Sciences, Imperial College London **Professor Xiaodong Zhang FRS** Professor, Faculty of Medicine, Imperial College London and The Francis Crick Institute **44** Note: affiliations are at the time of election in April 2024. STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued People** ## **Honorary Fellows elected in 2024** **Professor Kwame Anthony Appiah FRS** Silver Professor of Philosophy and Law, New York University, USA **Lord Anthony Hughes PC FRS** Former Judge, UK Supreme Court ## **Foreign Members elected in 2024** **Professor Yakir Aharonov ForMemRS** Distinguished Professor of Theoretical Physics, Institute for Quantum Studies and Faculty of Physics, Schmid College of Science, Chapman University, USA and Professor Emeritus, Tel Aviv University, Israel **Dr Adriaan Bax ForMemRS** NIH Distinguished Investigator and Chief of the Section of Biophysical NMR Spectroscopy, National Institutes of Health, USA **Professor Rene Bernards ForMemRS** Professor of Molecular Carcinogenesis, Division of Molecular Carcinogenesis, The Netherlands Cancer Institute, Netherlands **Professor Emily A. Carter ForMemRS** Associate Laboratory Director and Gerhard R Andlinger Professor in Energy and the Environment, Princeton Plasma Physics Laboratory and Princeton University, USA ## **Professor Emmanuelle Charpentier ForMemRS** Scientific and Managing Director, Max Planck Unit for the Science of Pathogens, Germany **Professor Patrick Cramer ForMemRS** President, Max Planck Society and Director, Department of Molecular Biology, Max Planck Institute for Multidisciplinary Sciences, Germany **Professor Ingrid Daubechies ForMemRS** James B Duke Professor, Department of Mathematics and Department of Electrical and Computer Engineering, Duke University, USA **Professor Anthony Fauci ForMemRS** Distinguished University Professor, Georgetown University School of Medicine, and the McCourt School of Public Policy, USA **Professor Thomas Henzinger ForMemRS** Professor, Institute of Science and Technology Austria **Professor Ruth Lehmann ForMemRS** Director and President, Whitehead Institute and Professor, Department of Biology, Massachusetts Institute of Technology, USA **Dr Susana Magallón ForMemRS** Senior Research Scientist and Director, Institute of Biology, Universidad Nacional Autónoma de México (UNAM), Mexico **Professor Michael Mann ForMemRS** Presidential Distinguished Professor, Department of Earth and Environmental Science, University of Pennsylvania, and Director, Penn Center for Science, Sustainability and the Media (PCSSM), University of Pennsylvania, USA **Professor Anthony Movshon ForMemRS** University Professor, and Silver Professor of Neural Science and Psychology, New York University and Professor of Ophthalmology and of Neuroscience and Physiology, and Investigator, Neuroscience Institute, NYU Grossman School of Medicine, USA ## **Professor William Nix ForMemRS** Professor Emeritus, Department of Materials Science and Engineering, Stanford University, USA **Professor Kyoko Nozaki ForMemRS** Professor, Department of Chemistry and Biotechnology, Graduate School of Engineering, University of Tokyo, Japan ## **Professor Jian-Wei Pan ForMemRS** Professor, Department of Modern Physics and Executive Vice President, University of Science and Technology of China (USTC), China ## **Dr Aviv Regev ForMemRS** Executive Vice President and Global Head, Genentech Research and Early Development, Genentech/Roche, USA ## **Professor Ares Rosakis ForMemRS** Theodore von Kármán Professor of Aeronautics and Professor of Mechanical Engineering, Division of Engineering and Applied Science, California Institute of Technology, USA ## **Professor Paul Schulze-Lefert ForMemRS** Director, Max Planck Institute for Plant Breeding Research, Germany **Professor Erin Schuman ForMemRS** Director, Max Planck Institute for Brain Research, Germany **Professor Mark H. Thiemens ForMemRS** Distinguished Professor of Chemistry and Biochemistry and John Dove Isaacs Endowed Chair in Natural Philosophy for Physical Sciences, University of California San Diego, USA **Professor Cesar Victora ForMemRS** Emeritus Professor and Director, International Center for Equity in Health, Federal University of Pelotas, Brazil **45** Note: affiliations are at the time of election in April 2024. STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued People** ## **Nominating and electing new Fellows** **The reputation and standing of the Royal Society derive overwhelmingly from the scientific excellence of its Fellowship.** **Each year, the Fellows of the Royal Society elect up to 85 new Fellows and up to 24 new Foreign Members. Candidates must have made ʻa substantial contribution to the improvement of natural knowledge, including mathematics, engineering science and medical science’.** While the distinction between Fellows and Foreign Members is an important part of the election process, all individuals who are elected are called ʻFellows of the Royal Societyʼ and may use the **ʻ** FRSʼ postnominal. ## **4. Admission** New Fellows are formally admitted to the Society at the Admissions Day ceremony in July, when they sign the Charter Book and the Obligation of the Fellows of the Royal Society. ## **1. Nomination** Each candidate for Fellowship or Foreign Membership must be nominated by two Fellows of the Royal Society. Each nomination includes a signed certificate of proposal detailing the principal grounds on which the proposal is being made. There is no limit on the number of new nominations made in any year and every effort is made to encourage nominations of more diverse candidates and candidates from the emerging disciplines. For the 2024 elections, there were around 650 candidates for election as Fellows and over 100 candidates under consideration for Foreign Membership. ## **2. Selection** ## **3. Election** The final list of up to 73 Fellowship candidates and up to 24 Foreign Membership candidates is confirmed by Council in March and a confidential ballot of Fellows is held in May. A candidate is elected if they secure two-thirds of votes of those Fellows voting. The Council of the Royal Society oversees the Fellowship selection process, appointing 11 subject area Committees (known as Sectional Committees) to recommend the strongest candidates for election to Fellowship from among those nominated. Each candidate is considered by the relevant Sectional Committee based upon their career to date, research achievements, scientific publications and their 20 best scientific papers. Members of the Sectional Committees then vote to produce a shortlist. **46** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued People** **At the core of the Society are people, from Fellows and staff to the scientists who are supported through the Society’s funding programme.** ## **Fellows** It is from the eminence of its Fellowship and Foreign Membership and its independence from Government that the Society derives its authority in scientific matters. Fellows and Foreign Members fulfil a range of responsibilities for the Society on a voluntary basis. ## **Scientists** The Society has played a part in some of the most fundamental, significant and life-changing discoveries in scientific history and the Society’s scientists continue to make outstanding contributions to science in many research areas. The Society is currently supporting 726 (2024: 804) researchers through its research fellowships. These researchers receive long-term funding from the Society and range from early career researchers, who are just starting their independent careers, to some of the most distinguished senior researchers in the country. ## **Volunteers** A number of our public engagement events and other work would not be possible without the contribution of our volunteers and the Society is grateful to all those who have contributed to its work over the past year. We also recognise the contributions of the many scientists who have supported our work by lending their expertise to panels and discussions. Finally, we are fortunate to have volunteer committee members across several of our committees. Their experience and expertise is invaluable to the operation of the charity. ## **Staff** As at 31 March 2025, the Society had 293 paid staff, organised into programmes, services and trading sections. The Society aims to offer fair pay and an attractive benefits package to ensure that appropriately qualified staff are recruited, engaged and feel able to thrive in delivering the charity’s aims. As a smaller employer, we are cognisant of the fact that career development can be a challenge for an organisation of our size, and we have continued to work hard at increasing the internal progression of staff over the year. **----- Start of picture text -----**
We make a We strive for
difference excellence
We are one
Royal Society
team
We are We respect
collaborative each other
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## **Our values** ## **The Management Charter** During 2024/25, we established a set of Heads and Directors fora to discuss ways in which we can bring improvements or discuss emerging issues. One group developed a new Management Charter, which serves as a practical guide for line managers, providing clear expectations on how to support staff, embody our shared values, and contribute to delivering the organisation’s strategic objectives. The Charter also gives staff a clear understanding of what they can expect from their manager. Work to further embed the Charter, and develop management development opportunities in line with this will follow in the coming year. An organisation’s values support its vision, shape its culture and reflect expectations of employees and the way they work together. The Society has a set of organisational values created by staff, which help inform how we should work together and represent the Society. These values provide a framework for how we conduct ourselves at work and are integrated into the annual appraisal process. **47** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued People** ## **Wellbeing** The wellbeing of staff is an important consideration for the Trustees and the Senior Management Team. We continue to offer a host of wellbeing services to staff, running a programme of events, including sessions on mental health, and offering free flu jabs. This year, the mental health charity Mind led training for staff on _Mental health awareness_ and for managers on _Managing mental health_ . This work supplements support given via mental health first aiders, and an employee assistance programme, which offers access to telephone, online and face-to-face counselling support on a broad range of issues, from mental health to personal finances. Staff-led activities continue to be popular and a huge range of clubs are now available, from board games at lunch time to monthly bake-offs, film nights, a choir and a staff band. ## **Staff survey** ## **Employment engagement index score** Results from the 2024 staff survey indicated a significant improvement in the overall staff engagement index score, the score of 73 was up from 63 in 2022 and ahead of benchmark data based on a selection of comparable organisations. 92% of staff said that they were proud to work for the Society, which was 7% more staff than when the survey was last conducted in 2022. **----- Start of picture text -----**
2024 Benchmark: 63
2024 73 63
2022 63
2022 Benchmark: 61
0 10 20 30 40 50 60 70 80 90 100
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As an employer, the Society is committed to providing an environment free from discrimination, bullying, harassment or victimisation and to creating a culture of inclusivity in which individual differences and the contributions of all staff are recognised and valued. The Society provides equality of opportunity for all and will not tolerate discrimination on grounds of age, disability, gender reassignment, marriage and civil partnership, pregnancy and parenthood, race, religion or belief, sex or sexual orientation. Within the exit interview process, all leavers are asked for their views on matters of diversity and inclusion, specifically any issues they have witnessed or would like to report. ## **Training** ## **Equality, diversity and inclusion** As the UK’s national academy of science, technology, engineering and mathematics, the Society has a particular responsibility to ensure that diversity and inclusion are embedded across all of its activities and are part of the culture of the organisation. As well as mandatory training around workplace safety, cybersecurity and GDPR, the Society offers staff a variety of formal and informal training and development opportunities. As part of our commitment to staff development, we have introduced a new role in the year overseeing Learning and Development. The Society’s Diversity and Inclusion Committee regularly monitors statistics on diversity across the Society’s activities and publishes an annual diversity data report. The Society is committed to making diversity and inclusion a priority, both within our own organisation and across the scientific landscape. The Society’s Diversity and Inclusion Strategy sets out how the Royal Society will use its convening power and leadership, in partnership with others, to increase diversity in STEM and build a more inclusive scientific community. The Diversity and Inclusion Committee, a Standing Committee of Council, keeps under review and makes recommendations to Council on the diversity strategy. The Committee also oversees the delivery of a programme of activities by the Society in line with this strategy. Training delivered in 2024/25 included courses on technical skills, managerial skills, project management, communication skills and mental health awareness. Quarterly ‘coaching clinics’ were also available, providing staff with the opportunity to attend a one-off session with a qualified coach. The Government opened a consultation during the year on ethnicity and disability pay gap reporting and the Society has taken preparatory steps to enable this reporting in future years. It is planned to continue with this work in 2025/26. In addition, we ran two rounds of a funded professional learning award programme, which allows staff to pursue more personalised development programmes in areas of their own choosing. In 2024/25, 15 staff used this to complete professional skills training in areas including advanced leadership, marketing and language skills, and to achieve project management and finance qualifications. Read more about the Royal Society's diversity reporting on our **website** **48** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued People** ## **Remuneration policy** The aim of the Society’s remuneration policy is to maintain sustainable, fair levels of pay at the same time as attracting and retaining the right people to deliver our charitable objectives. In setting appropriate levels of senior management pay, the Society considers the skills, experience and competencies required for each role, and the remuneration level for those roles in sectors in which suitable candidates would be found. Recommendations regarding the remuneration of staff are made by the Society’s Remuneration Committee, which includes Fellows and independent advisers. The Committee meets twice each year to consider the remuneration of senior staff, taking their individual responsibilities and an analysis of levels of remuneration in comparable roles elsewhere in the sector into account. The annual salary review is also agreed by the Society’s Remuneration Committee. Remuneration packages for all staff are benchmarked from time to time using third-party reward consultancy services. The last review of pay structures against benchmarks was undertaken during 2024/25. Benefits accessible to all Royal Society staff include a generous annual leave allowance and pension package, life assurance and access to the cycle to work scheme and retail discount platform. The total emoluments of the Society’s Executive Director, Dame Julie Maxton, including taxable benefits in kind, in 2024/25 were £442,966 (2023/24: £424,368). The Executive Director’s contract of employment requires that they reside in the Society’s premises at Carlton House Terrace during the working week for no less than 12 nights in a month, and the use of an apartment in the building is treated as a taxable benefit in kind for this purpose. The Chair of the Remuneration Committee conducts the Executive Director’s annual performance review on behalf of the Committee. All Trustees are unremunerated. ## **Gender pay gap reporting** At the ‘snapshot’ date of 5 April 2024, the mean gender pay gap was 10.7% and the median gender pay gap was 13.3% compared with the national average of 11.2% and 11.2% respectively, as reported on the Gender Pay Gap website as at 24 February 2025. On 5 April 2024, we employed 275 full-pay relevant employees (2023: 261). All figures below are as at 5 April 2024: **Number of employees 180** Women (2023: 167) **95** Men (2023: 94) **Mean gender pay gap in hourly pay Median gender pay gap in hourly pay** **----- Start of picture text -----**
10.7% difference
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13.3% difference **----- Start of picture text -----**
30 30
£30.9
25 £27.6 25 £26.8
£23.2
20 20
15 15
10 10
5 5
0 0
2024 2024
Mean: men earn 10.7% more than women Median: men earn 13.3% more than women
(2023: 7.8%) (2023: 12.1%)
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## **Proportion of men and women in each quartile (%)** The difference between the mean pay of the men and women in each quartile is shown above each chart (a negative difference indicates that the mean pay of women was higher). **----- Start of picture text -----**
-11.4% difference -1.7% difference 2.4% difference 2.2% difference
50% 26% 27%
Upper Upper 38% Lower Lower
middle middle
quartile quartile
quartile quartile
(2023: (2023:
(2023: (2023:
54:46) 68:32)
62% 63:37) 71:29)
50% 74% 73%
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Note: gender pay gap percentages referenced in quartiles are based on mean calculations. The reported quartiles represent an equal number of employees in each quartile, from the highest paid to the lowest paid. The upper quartile represents the highest paid employees. Quartiles are based on mean pay and so there are different numbers of men and women in each quartile. **49** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Financial review** ## **Overview** In the year to 31 March 2025, the Society’s income decreased from £396.3 million to £157.6 million. The decrease is largely due to the receipt of £250.0 million of funding in the prior year from the Department for Science, Innovation and Technology (DSIT) to deliver a new midcareer Fellowship, called the Royal Society Faraday Discovery Fellowships. Excluding the Faraday Discovery Fellowship Fund, income has increased by £11.3 million. The majority of the Society’s income came from charitable activities, which increased by 3% during the year to £135.1 ~~million~~ (2024: £131.3 million). Total expenditure increased by 4% on the prior year from £146.0 million to £151.5 million, largely driven by the increase in grant expenditure supporting scientific collaboration, nationally and int ~~ernationally.~~ Expenditure on charitable activities increased from £143.3 million to £148.4 million and has remained at around 98% of total expenditure (2024: 98%). Income from investments has increased by 86% from the previous year to £ ~~21.9 million~~ (2024: £11.8 million). Of this increase, £11.4 million of income was from the Faraday Discovery Fund (2024: £0.6 million). The value of the investment portfolio at 31 March 2025 was £563.7 million (2024: £558.1 million), after taking into account a net loss of £2.9 million (2024: £25.2 million gain). ## **Income** The Society receives income from a number of sources, including the Government, trusts, foundations, companies, individuals, trading activities and income from investments. Its income enables the Society to deliver a wide range of programmes in support of its strategic aims. ## **Income excluding Faraday Fellowship Fund** **----- Start of picture text -----**
2025 2024
£157.6m £146.3m
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Change
8%
Change
4%
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**Total expenditure** **----- Start of picture text -----**
2025 2024
£151.5m £146.0m
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**Grants for charitable activities** **----- Start of picture text -----**
2025
£124.0m
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2024
£120.2m
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Change
3%
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**Income from investments** **----- Start of picture text -----**
£21.9m £11.8m
Change
86%
2025 2024
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## **Income from charitable activities** The majority of the year-on-year increase in income from charitable activities relates to the increase in grants for charitable activities, which rose to £124.0 million (2024: £120.2 million). Income from DSIT has increased by £5.5 million from the prior year to £117.5 million (2024: £112.0 million). There was an increase in the core grant from DSIT of £1.6 million to £111.8 million in 2025 and an increase grant funding of £3.8 million to £6.0 million from the DSIT International Science Partnership Fund to fund international collaboration awards. In addition to Government funding, the Society receives valuable contributions towards its charitable activities from long-term partners, such as the Wolfson Foundation and the Leverhulme Trust, as well as other external bodies. The Society undertakes trading activities in the form of publishing journals and hosting conferences that further its charitable objectives. Income from these sources remained broadly consistent with the prior year at £11.1 million (2024: £11.1 million). ## **Income from donations and legacies** The Society has relied on the generous support of philanthropists throughout its history. This year, the Society received funding from trusts, foundations, companies and individuals, in addition to the contributions made by Fellows. The Society is grateful to all its donors and further details can be found on the Society’s website. Income from donations and legacies, excluding the Faraday Discovery Fellowship Fund, decreased by £2.5 million to £0.6 million (2024: £3.1 million), mainly due to a significant legacy recognised in the prior year. ## **Expenditure** Expenditure is incurred on raising funds and charitable activities. The Society undertakes a broad range of activities that provide public benefit either directly or indirectly, in line with our strategic priorities. Read more on the Society’s public benefit statement on pages 12–13. Expenditure on raising funds includes the direct costs of raising funds, associated support costs, costs of trading and investment management fees. Expenditure on raising funds increased from £2.7 million in 2024 to £3.1 million in 2025. **50** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Financial review continued** ## **Expenditure on charitable activities** The Society’s charitable expenditure is categorised in the statement of financial activities, as follows: - Grants to fund scientific research; - Providing scientific advice for policy; - Promoting science education and engagement; - Supporting scientific collaboration, nationally and internationally; and - Recognising scientific excellence. ## **Expenditure on charitable activities** **----- Start of picture text -----**
£148.4m £143.3m Change
4%
2025 2024
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Each of the areas above support the delivery of the strategic objectives set out in the 2022 – 2027 strategic plan. The expenditure chart on page 52 illustrates expenditure both by strategic objective and expenditure category. The majority of the Society’s charitable expenditure relates to grant awards, this year accounting for £112.6 million (2024: £110.2 million) with the majority of this expenditure categorised as Grants to fund scientific research and Supporting scientific collaboration, nationally and internationally. The increase in grant expenditure is largely due to a rise in grant income to fund scientific research, including an increase in grant income from DSIT from the International Science Partnership Fund (ISPF) to provide funding to enable outstanding emerging leaders in the UK to develop research collaborations with international partners. The increase in grant expenditure in Supporting scientific collaboration, nationally and internationally is largely due to an increase in grant expenditure in International Collaboration Awards, which rose by £3.3 million to £4.8 million (£2024: £1.5 million), and an increase in Newton International Fellowships, which rose by £2.8 million to £9.0 million (2024: £6.2 million). The grant expenditure categorised as Grants to fund scientific research includes University Research Fellowships, which rose by £3.0 million to £62.5 million (2024: £59.5 million) and Dorothy Hodgkin Fellowships, which rose by £2.1 million to £11.2 million (2024: £9.1 million). These increases were partly offset by a decrease of £8.8 million to £12.4 million relating to Royal Society Research Professorships, which is due to a decrease in Small Research Grants to £5.3 million (2024: £13.6 million) where funding has been directed to other grant programmes, including Newton International Fellowships. Aside from grants activity, expenditure on providing scientific advice for policy increased from £5.8 million in 2024 to £6.4 million in 2025. The Society’s work in this area focused particularly on a project on the long-term vision for UK Science, environmental sustainability and a workstream on biodiversity. Expenditure on promoting science education and engagement grew from £10.7 million in 2024 to £11.4 million in 2025. The Society’s expenditure in this area includes the annual Summer Science Exhibition and the DSIT-funded _Education partnership grants scheme_ , with a focus on growth in grants awarded to organisations to engage schools in disadvantaged areas in STEM projects. ## **Expenditure on charitable activities £m** **----- Start of picture text -----**
150
120
90
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**----- Start of picture text -----**
2021 2022 2023 2024 2025
90
60
30
0
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Recognising scientific excellence Providing scientific advice for policy Promoting science education and engagement Supporting scientific collaboration, nationally and internationally Grants to fund scientific research **51** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Financial review continued** **The expenditure chart opposite illustrates expenditure by both strategic priority and expenditure category in the Statement of Financial Activities.** ## **Expenditure by both strategic priority and expenditure category in the Statement of Financial Activities** Corporate and governance: £0.3m Research system and culture: £132.8m - Grants to fund scientific research **£101.5m** - Promoting science education and engagement **£0.2m** **----- Start of picture text -----**
£0.3m £0.1m
Supporting scientific
collaboration, nationally £6.1m £3.1m £132.8m
and internationally £26.1m
Promoting science education £9.1m
and engagement £4.9m
**----- End of picture text -----**
- Providing scientific advice for policy **£0.1m** Fellowship and Foreign Membership: £0.1m - Recognising scientific excellence **£0.3m** - Supporting scientific collaboration, nationally and internationally **<£0.1m** - Influencing – UK and global: £9.1m - Recognising scientific excellence **<£0.1m** - Providing scientific advice for policy **£6.1m Total expenditure: £151.5m** - Supporting scientific collaboration, nationally and internationally **£2.5m** Expenditure on raising funds: £3.1m - Investment management fees **£2.4m** - Promoting science education and engagement **£0.4m** - Direct costs on - raising funds **£0.4m** Science and society: £6.1m - Promoting science education - and engagement **£5.9m** - Support costs on raising funds **£0.3m** - Providing scientific advice for policy **£0.2m** **52** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Financial review continued** ## **Royal Society (London) Ltd** Royal Society (London) Ltd was set up in 2013 to process corporate sponsorships at the Society. The company had income of £0.1 million in the year (2024: £0.1 million). ## **Pension and Life Assurance Plan of the Royal Society** The Society operates a defined benefit pension scheme, which was closed to new members in 2014. The FRS 102 valuation of the scheme at 31 March 2025 showed a surplus of £2.4 million (2024: £0.3 million surplus). The scheme surplus is recognised as an asset because the Society is able to recover the surplus either through reduced contributions in the future or through refunds from the plan. The surplus represents the difference between the assets and the obligations of the fund. The improved position is mainly due to a change in market conditions, where there is a reduction in liabilities due to an increase in the discount rate assumption, and the payment of deficit funding contributions in the year of £1.2 million, partly offset by a loss on the scheme assets due to an investment strategy that aims to hedge movements in interest rates. In accordance with FRS 102, the actuarial gains on the scheme of £0.9 million (2024: £0.6 million actuarial losses) have been taken to unrestricted funds. The calculation to determine the accounting surplus or deficit differs from the calculation of the funding surplus or deficit of the scheme, the purpose of which is to determine whether further payments into the scheme are required. Sensitivity analysis of the scheme deficit sets out that a change in the discount rate assumption of 0.1% results in a change in liabilities of £0.5 million. A triennial valuation of the scheme at 1 January 2025 was agreed on 30 June 2025. This showed a ‘technical provisions’ surplus and it was agreed with the trustees of the Plan that the Society would cease paying deficit payments of £1.2 million per annum, previously agreed under a fouryear recovery plan under the last triennial valuation. ## **Investment policy and performance** The Society holds significant investment assets which were valued at £563.7million at 31 March 2025, up from £558.1million in 2024. In March 2024, the Society received £250.0 million from DSIT to deliver the Royal Society Faraday Discovery Fellowships, a funding programme for mid career scientists expected to be spent over 20 years. These funds are invested under a separate strategy with Mercer which is designed to meet expected future cashflows of the scheme with a high degree of certainty, and is split between UK gilts and corporate bonds. The first round of applications were received in the year and the first awards will be made in the year ending 31 March 2026. Most of the Society’s investments are managed by Mercer under a discretionary mandate with target allocation ranges. The investment strategy was agreed with consideration of expected performance of the portfolio in terms of financial return, drawdown risk and average ESG rating of the portfolio. Mercer maintain two separate investment portfolios for the Society – the main portfolio and the Faraday fund. For the main portfolio, investments are held in pooled funds with an allocation to equity funds of between 60% and 90%; fixed income funds of up to 30%; and alternative funds of up to 30%, with the option to invest in private markets in the future. The Society ensures that performance is managed against appropriate benchmarks. The Society’s Investment Committee periodically discusses and reviews the investment managers’ ESG ratings as part of its monitoring role, and to understand the engagement with managers on ESG matters on behalf of the Society. |||**Investment**|||| |---|---|---|---|---|---| |||**portfolio excluding**
**Faraday fund**
**£m**|**Faraday fund**
**£m**|**2025 Total**
**£m**|**2024 Total**
**£m**| ||Income from||||| ||investments|10.5|11.4|21.9|11.8| ||Net gains/(losses) on||||| ||investments|4.7|(7.6)|(2.9)|25.2| ||Total investment||||| ||return|15.2|3.8|19.0|37.0| ||**Investments as at**||||| ||**31 March 2025**|**310.5**|**253.2**|**563.7**|**558.1**| **53** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Financial review continued** Most of the increase in investment valuations was due to the performance of the investment portfolio managed by Mercer, excluding the Faraday Discovery Fund, driven by positive equity performance, the exposure to higher yielding bonds within the Multi-Asset Credit Fund as well as the allocation to hedge funds. The Faraday Discovery Fund was held in a UK liquidity fund until 31 May 2024, when it was then reallocated to broadly 50% in UK gilts and 50% in corporate bonds. Over the ten-month period that the Faraday Discovery Fund was invested in bonds, the yields on gilts and corporate bonds rose, which resulted in a ʻmark-to marketʼ loss. Overall the fund has delivered a positive total return due to income received in the year. The investment strategy for the Faraday Discovery Fund has been designed to meet the expected future cashflows from the Fund with a high degree of certainty and, although the Fund has experienced some mark-to-market volatility, there is confidence in the strategy over the long term. On 23 March 2016, Council passed a resolution under Section 104A(2) of the Charities Act 2011 to adopt the use of total return in relation to its permanent endowments with the exception of the Theo Murphy Australia Fund. The investment objective of the Society is to at least maintain the real value of its investment assets while generating a stable and sustainable return to fund charitable activities, thus being even handed between current and future beneficiaries. The Society does not invest in organisations that conflict with the charity’s purpose, or where Council deem that to do so would hamper the charity’s work, for example by alienating those who support the Society financially. Council has determined that the Society should not invest in companies or funds that derive a significant portion of their income from the sale or manufacture of tobacco. The Society recognises that the nature of investing, particularly in pooled funds, makes total exclusion of certain asset classes unrealistic, however, the Society seeks to ensure its exposure to thermal coal, oil and gas extraction and production remains less than 0.5% of the total value of the portfolio, although in practice it is expected that the level will be well below this. The Investment Committee receives quarterly updates on this metric from its investment advisors. |**Reserves**
The total funds of the Society increased
by £4.0 million to £613.5 million during the
financial year, mainly due to income from
investments and actuarial gains from the
defined benefit pension scheme.
At 31 March 2025, income received for
the Royal Society Faraday Discovery
Fellowship fund was invested with Mercer.
It is anticipated that the fund, including any
interest earned, will be disbursed in full
by the end of a 20-year period from when
funding was received.
Free reserves are unrestricted reserves
(after the pension asset or deficit) less
heritage assets and intangible and
tangible fixed assets. The Society holds
free reserves so that it can respond to
unforeseen charitable opportunities or
risks and continue to honour existing
commitments in the event of a shortfall of
income. The Society’s policy is to review
its income streams and expenditure
commitments on an annual basis and
assess the main financial risks faced by
the Society and their associated likelihood
in order to develop a risk-based reserves
level. The target level was set cognisant
of the risks associated with the changes
in the publishing landscape and volatility
in investment markets, which may affect
returns.||At the balance sheet date, the value of
the Society’s free reserves was £35.8
million (2024: £35.7 million), well above the
target level for 2024/25 of £16.0 million.
The Society continues to develop longer-
term strategies to increase its charitable
activities in a sustainable way, which
will reduce the level of reserves while
ensuring that it has adequate resources to
enable it to respond to emerging risks and
opportunities.
**2025**
**£m**
**2024**
**£m**| |---|---|---| |||Unrestricted funds
**93.8**
94.2
Unrestricted intangible and
tangible fixed assets
**(8.7)**
(9.2)
Heritage assets
**(49.3)**
(49.3)| |||Free reserves
**35.8**
35.7| |||| At the balance sheet date, the value of the Society’s free reserves was £35.8 million (2024: £35.7 million), well above the target level for 2024/25 of £16.0 million. The Society continues to develop longerterm strategies to increase its charitable activities in a sustainable way, which will reduce the level of reserves while ensuring that it has adequate resources to enable it to respond to emerging risks and opportunities. **54** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Financial review continued** ## **Enterprise Fund (Amadeus RSEF LP)** The Royal Society Enterprise Fund was created with the aim of becoming a financially successful contributor to earlystage science-based companies in the UK and a role model for the translation of excellent science for commercial and social benefit. Due to the dual benefits expected to be received, the fund is accounted for as a social investment in the financial statements. The Society entered into a Limited Partnership Agreement with Amadeus Capital Partners in 2014 to create the Amadeus RSEF LP. The tenyear RSEF LP came to an end in the year and Council agreed to work with Amadeus Capital Partners in a renewed partnership. ## **Statement of policy on fundraising** Section 162a of the Charities Act 2011 requires the Society to make a statement regarding fundraising activities because it is subject to an external audit. We do not use professional fundraisers or ‘commercial participators’ or indeed any third parties to solicit donations. We are therefore not subject to any regulatory scheme or relevant codes of practice, nor have we received any complaints in relation to fundraising activities, nor do we consider it necessary to design specific procedures to monitor such activities. ## **Modern Slavery Act** The Society is committed to taking the appropriate measures to reduce the risk of slavery and human trafficking taking place in our organisation or our supply chains. Pursuant to Section 54 of the Modern Slavery Act 2015, the Society has published its slavery and human trafficking statement for the financial year ended 31 March 2025. Further information is available on our website. ## **Approach to financial forecasting** The Society’s five-year financial model is updated annually. The financial model projects the income and expenditure over the period and the impact on the Society’s funds and free reserves position. In developing the financial model, a number of assumptions were made, including the rate of inflation, the net contribution of trading activities, income from charitable activities and the performance of investments. We reforecast the financial performance for the year each quarter throughout the year, as well as completing regular cash flow reviews. Financial performance is reviewed by the Senior Leadership team, Planning and Resources Committee and Council. ## **Going concern** The Trustees consider that there are no material uncertainties about the Society and Royal Society (London) Ltd to continue as a going concern. This conclusion has been reached after careful consideration of reserves levels, future forecasts and changes in external factors. The Society manages uncertainties through risk management processes with mitigations in place for key risk areas, and has a robust reserves position and availability of liquid assets in cash at bank and in hand and as liquid assets within the investment portfolio. Royal Society Trading Limited was dormant for the year ended 31 March 2025. Left: Illustration of the Royal Society's iron chest, which is also referred to as the Treasurer's chest, given to the Society in 1663. The illustration was drawn to accompany an article by Herbert Rix, Assistant Secretary of the Royal Society, which was published in the _Leisure Hour_ , in 1896. **55** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Principal risks and uncertainties** The Council is ultimately responsible for oversight of the Royal Society’s risk management processes, working closely with the Audit Committee and supported by the internal auditors to regularly assess the organisation’s exposure to risk. Audit Committee advises on risk management, providing assurance that major risks are actively monitored and managed and that Council has adequate oversight of the principal risks to the delivery of the Society’s strategy. In addition, each of the Society’s sections holds its own risk register to manage risks associated with the delivery of key programmes and workstreams. These sectional risk registers are updated regularly and used to anticipate and mitigate emerging risks, enabling issues to be quickly identified and escalated as appropriate. Risk management is a continual process. Council and senior staff reflect frequently on uncertainties and risks to achieving the Society’s goals and the effectiveness of the various means it employs to mitigate those risks. They are also vigilant in identifying new risks and taking steps to address them. Due to the interrelated nature of many of the risks currently being monitored, actions and processes often contribute to mitigation of several risks simultaneously. **----- Start of picture text -----**
Strategic
Risk priorities Management Status of risk
Operating • Ongoing engagement with key stakeholders and policymakers in the UK and globally.
Status:
environment • Active advocacy for continued investment in science.
The global and • Emphasise value of international collaboration and desire to work globally and collaboratively. Prior year status:
national political • Promote strong research culture that values and facilitates collaboration.
environment is Minor year-on-year increase in underlying
adverse for science • Continued emphasis on providing robust scientific advice without advocating policy specifics. rating, reflecting challenging global
conditions for scientific collaboration
Trust • Continuous engagement with the Fellowship.
Status:
The Fellowship loses • Active management of relations with Fellowship, with dedicated Fellowship Engagement Manager role.
confidence in the • Committees structured to promote engagement and aid decision-making with relevant experts. Prior year status:
Royal Society or its • Regularly conveying accurate scientific advice to policymakers and others.
Trustees Minor year-on-year increase in underlying
• Robust scientific quality assurance via peer-review process. rating, reflecting continuing discussion
• Regular Governance review and annual skills audit. within the Fellowship regarding the
Society’s role in rapidly changing global
circumstances for science
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## **Strategic priorities at risk** Fellowship and foreign membership Influencing – UK and global Research system and culture Science and society Corporate and governance ## **Status of risk** High risk Medium risk Low risk The red/amber/green (RAG) ratings are designed to provide a high-level indication of overall exposure to risk. Although the colours themselves have not shifted since last year’s report, there have been fluctuations in the underlying risk calculations, reflecting external changes in the Royal Society’s operating environment. In such instances, arrows have been included alongside the RAG rating to acknowledge a change, along with brief commentary. **56** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued Principal risks and uncertainties** **----- Start of picture text -----**
Strategic
Risk priorities Management Status of risk
Reputational • Committees formed of experts in subject area.
Status:
The Royal Societyʼs • Clear messaging about Societyʼs principles and independence.
Prior year status:
reputation for • Regular evaluation of effectiveness of programmes.
excellence and • Continuous review of Fellowship Election processes, informed by Council observers.
integrity is damaged
Regulatory • Regular and enhanced training and refresher courses setting out staff roles and responsibilities
Status:
regarding regulatory compliance.
The Royal Society
fails to comply with • Appropriate policies in place (including safeguarding, health and safety, disability, discrimination, HR, Prior year status:
legal and regulatory data protection, etc).
obligations and • Regular safeguarding reporting to Council.
governance good • Trustee training and regular skills audit.
practice
• Vigilance regarding RS exposure to national security risks.
• Close monitoring and evaluation of spend, with oversight from relevant Committees.
Business continuity • Risk assessments, policies and procedures in place.
Status:
Unplanned events • Regular reporting to Council and Audit Committee of emerging issues.
Prior year status:
prevent the Royal • Staff training and management.
Society from • Back-up servers at technology partner, cloud hosting.
operating
• Dedicated cyber security post and regular review of cyber security arrangements.
• General Purposes Committee with delegated responsibility for SMT leadership planning.
**----- End of picture text -----**
## **Strategic priorities at risk** ## **Status of risk** Fellowship and foreign membership Influencing – UK and global Research system and culture Corporate and governance High risk Medium risk Science and society Low risk **57** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued Principal risks and uncertainties** **----- Start of picture text -----**
Strategic
Risk priorities Management Status of risk
Effectiveness • Clear strategic objectives.
Status:
The Royal Society • Clear reporting on public benefit and impact in Annual Trustees report and accounts.
Prior year status:
fails to be effective • Quarterly reporting against strategy.
in pursuit of its • Regular reports to Audit Committee on governance reform programmes.
purpose and/or
• General Purposes Committee established to provide leadership and oversight of key activities.
fails to demonstrate
• Measures in place to monitor and evaluate long-term impact of policy and grants programmes.
sufficient impact and/
or value for money
Income and • Maintaining important relationships with key government contacts, partners and funders.
Status:
financial assets • Annual budgeting cycle, and quarterly reporting against it.
Prior year status:
The Royal Society • Rigorous programme of internal and external audit.
suffers significant • Regular review of the investment portfolio and performance of the investment manager.
loss of income, or Minor year-on-year increase in underlying
other financial loss • Regular review of income from commercial programmes. rating, reflecting challenging public
• Legal review of major contracts with asset managers. expenditure outlook
• Pension scheme includes professional trustees, and Society is advised by pension specialists.
**----- End of picture text -----**
## **Strategic priorities at risk** ## **Status of risk** Fellowship and foreign membership Influencing – UK and global Research system and culture Corporate and governance High risk Medium risk Science and society Low risk **58** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued Principal risks and uncertainties** **----- Start of picture text -----**
Strategic
Risk priorities Management Status of risk
Relevance • Developing foresight and horizon-scanning capabilities.
Status:
The Royal Society • Regular meetings of Officers to escalate important issues.
Prior year status:
fails to adapt • Diversity and inclusion is integral to RS Strategy.
or respond to • Clear rapid response lines in relation to influencing goals.
relevant emerging
• Working group exploring risks and opportunities presented by AI.
opportunities and/
or issues • Work to understand the future of scientific publishing and how the Royal Society will be affected by
changes in the sector.
• Clear plan for transition to Open Access publishing model.
• General Purposes Committee established to provide leadership and oversight on emerging issues.
• Regular SMT away days to explore emerging risks and opportunities.
Heritage assets • Loans policy prioritising security of treatment for archive items.
Status:
The Royal Societyʼs • Stocktaking process revised in light of internal audit review.
Prior year status:
heritage assets • Appropriate security measures and storage arrangements.
are diminished/ • Ongoing prioritised programme of cataloguing.
damaged/lost
• Internal audit of library security – completed June 2024.
• New measures in place in response to leak in late 2024.
• Constant infrastructure improvements.
• Ongoing valuations.
• The Royal Society is an accredited archive service.
**----- End of picture text -----**
## **Strategic priorities at risk** **----- Start of picture text -----**
Status of risk
**----- End of picture text -----**
Fellowship and foreign membership Influencing – UK and global Research system and culture Corporate and governance High risk Medium risk Science and society Low risk **59** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Governance** ## **Structure and management** The Royal Society is a registered charity and Council is its Trustee body under charity law. The Society was founded in 1660 and incorporated by Royal Charter in 1662, 1663 and 1669. A Supplemental Charter was granted in 2012, which now serves as the Society’s governing document. The members of its Council are elected by and from the Fellowship. Under the Charter, the Royal Society Council “shall and may have full authority, power, and faculty from time to time to draw up, constitute, ordain, make, and establish such laws, statutes, acts, ordinances, and constitutions as shall seem to them, or to the major part of them, to be good, wholesome, useful, honourable, and necessary, according to their sound discretions, for the better government, regulation, and direction of the Royal Society aforesaid, and of every Member of the same, and to do and perform all things belonging to the government, matters, goods, faculties, rents, lands, tenements, hereditaments, and affairs of the Royal Society aforesaid.” ## **Council** The Charter specifies that Council must have between 20 and 24 members, each of whom must be a Fellow of the Society. Council determines the strategic direction of the Society and is responsible for approving the Society’s strategic plan. Council also approves plans for specific charitable programmes on the recommendation of relevant committees, and those committees oversee activities within the programmes on behalf of Council. Council currently has 22 members. ## **Membership of Council** ## **Appointment of Officers** - 1 Nominations are sought from amongst the Fellowship. - 2 Nominations Committee recommends a shortlist for interview to Council. A panel consisting of Officers and Council members, and chaired by the 3 Chair of Nominations Committee, interviews shortlisted candidates and recommends a candidate to Council. - 4 Council approves a candidate to recommend to the Fellowship. - 5 The candidate’s name is put to the Fellowship for ratification. ## **Appointment of Ordinary Members of Council** - 1 Nominations are sought annually from amongst the Fellowship. Nominations Committee recommends a shortlist of Fellows 2 for a ballot to Council. - 3 Council approves a slate of 12 Fellows to be put to the Fellowship for election. - 4 The Fellowship elects six candidates. Among the members of Council are the President, who is the Chair of Council, and five Officers: the Biological Secretary, the Physical Secretary, the Foreign Secretary (a post held by two Fellows on a job-share basis), and the Treasurer. During the year, there were also 16 so-called Ordinary Members of Council. The President and the Officers normally serve five-year terms and the Ordinary Members serve three-year terms. There have been 62 Presidents of the Royal Society since it was founded in 1660. Previous Presidents of the Royal Society have included Christopher Wren, Samuel Pepys, Isaac Newton, Joseph Banks, Humphry Davy and Ernest Rutherford. Council delegates responsibility for the day-to-day management of the Society’s affairs to the Executive Director. Fellows are not remunerated for serving as Trustees. Council has complied with its duty to have due regard to the Charity Commission’s public benefit guidance when exercising any powers or duties to which that guidance is relevant. With a view to increasing the diversity of Officers, the Charity Commission approved the application submitted by Council to make grants to Officers’ parent institutions to reimburse some of the costs that arise for them from the significant time commitment involved in Officers’ roles. **60** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Governance continued** ## **Committees** The Council is supported by a number of committees and working groups to which it has delegated some of its functions. Its Standing Committees include committees that oversee key strands of the Society’s work, committees that make recommendations to Council of recipients of medals and awards, and committees that assess applications for and make grant awards. All Standing Committees have terms of reference agreed by Council that set out the delegations of responsibility to that committee and a member of Council sits on most committees. The committee structure diagram on the following page illustrates the Society’s committee structure and provides additional information on committees relevant to central business on finance and planning. ## **Key business in the year** The Royal Society has continued to implement a range of recommendations stemming from a comprehensive review of its governance processes and internal control mechanisms which was undertaken in 2023. Council has provided executive leadership and oversight throughout this work and, in March 2025, approved amendments to the Society’s governing documents to enable two outstanding recommendations to be met, both of which are critical to improving governance and the Society. First, it was recommended that it should be possible, in certain circumstances, to extend the terms of office of Ordinary members of Council by two or three years (to a full term of five or six years respectively). This measure is designed to provide greater continuity within the Trustee body, and allow members to develop deeper expertise regarding the Royal Society’s work. Second, it was recommended that the recruitment of new Council members be more clearly focused on seeking candidates who would bring particular skills and experience to the trustee role. Council approved the creation of a working group to address these issues in 2024 and both measures were formally approved when Council met in March 2025. The changes will be put to a Special General Meeting of the Fellowship in the coming year. In parallel, the Society has conducted a Skills, Knowledge and Experience audit of Council members that will inform recruitment of the next tranche of Council members who will join the Society on Anniversary Day in November 2025. Historically, the Royal Society has sought to balance the number of A side candidates (that is, Fellows elected from the physical sciences such as physics, chemistry, and engineering) and B side candidates (encompassing candidates from the biological sciences, including fields like biology, medicine and related areas) to ensure a diverse representation of scientific expertise. Council agreed that, in the coming year, the process will retain the current emphasis on A and B side balance, but that the shortlist for two of the potential posts (currently described as the “breadth and balance” list) will prioritise skills and experience gaps identified in the audit. **61** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Governance continued** ## **Council** The Trustee body under charity law. Council has a system of committees and determines the memberships of committees, which comprise Fellows and many non-Fellows with relevant expertise. Delegations of authority by Council are explicit in the terms of reference of committees. **General Purposes Committee (GPC)** A subcommittee of Council. Its members are the President and Officers of the Society. Members of the Senior Leadership Team also attend its meetings. It may give advice to Council on areas where decisions are reserved to Council, as well as on the Society’s development programmes. ## **Fellowship committees** The members of Council, Fellows and Foreign Members are elected by the Fellowship. Council determines the candidates for election on the advice of its Nominations Committee and sectional committees. The sectional committees span the scientific disciplines and a committee to advise on general and honorary candidates whose contributions to science are not primarily in research. **Financial, planning and subsidiary committees** Committees make recommendations to Council for approval in a range of areas, including financial planning and budgeting, the effectiveness of the Society’s internal control systems, external audit and financial statements, pay-related matters and trading activities. ## **Programme committees** There are programmes and associated committees in diversity, education, grants, industry and translation, prizes, public engagement, international, publishing, science policy and scientific meetings, among others. If they are not themselves members of Council, Chairs of these committees are invited to attend specific Council meetings to present reports. ## **Audit Committee** The Audit Committee oversees audit and risk management processes on behalf of Council, ensuring internal controls are robust, proportionate and that they comply with relevant regulatory frameworks. The Audit Committee regularly reviews the Society’s governance systems, making recommendations to Council on financial reporting, risk management and associated matters. **Planning and Resources Committee** The Planning and Resources Committee monitors financial performance, oversees the Society’s trading activities and the provision of services, and recommends the Society’s financial plan and its annual budgets to Council for approval. ## **Investment Committee** The Society’s Investment Committee advises Council on investment policy, determines investment strategy and oversees the performance of the Society’s investment managers. ## **Remuneration Committee** The Remuneration Committee considers pay-related matters, including the remuneration of key management personnel. **62** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Governance continued** ## **Charity Governance Code** Council reviews its compliance with the Charity Governance Code annually and submits this report to Audit Committee. Many of the Code’s recommended practices are already incorporated into the Royal Society’s ways of working. The table below summarises these arrangements, as well as highlighting acknowledged areas for improvement. **----- Start of picture text -----**
Principle
Organisational purpose The Society’s underlying mission – to promote excellence in science and its application for human benefit – remains relevant and is widely
understood at all levels of the Society.
The Strategic Plan for 2022 – 2027 identifies the key outcomes that the Society seeks to secure in pursuit of this mission. The Society will
continue work to align Committees’ work programmes and internal audit processes more closely with the Strategy in the coming year.
Leadership Council agendas equip Council with high-level insights on the Society’s strategic aims and planning processes, informing its decision making and
providing substantive oversight.
Integrity Council receives regular briefings from the Society’s legal advisers on its members’ trustee duties, in general and in specific matters (for instance
safeguarding).
The Code of Conduct makes clear the Society’s expectations regarding standards for Fellows’ conduct and the accompanying Disciplinary
Regulations detail the processes that the Society follows.
Decision making, Council is routinely provided with opportunities to review delivery of the Society’s strategy across the range of its work.
risk and control
Standing Committees report regularly to Council on their work, seeking its approval on key decisions, as appropriate.
The Society is working closely with Council and Audit Committee to implement improvements to its risk management processes and enhance
performance reporting against the strategy.
Board effectiveness The Officers of the Society and General Purposes Committee provide oversight of Council’s work programme, enabling effective planning and
prioritisation.
A dedicated Nominations Committee advises Council on the appointment and election of new members.
Equality, diversity These themes are highlighted in the Society’s values and Code of Conduct and constitute a central component of the Society’s current strategy.
and inclusion
As well as regular reporting to Council on the Society’s relevant work programmes, the Society gathers and publishes key diversity data across its
portfolio of activity.
Openness and The Society is committed to operating in an open and transparent manner and conforms to all relevant reporting requirements.
accountability The Officers and Executive Director meet regularly with the Fellowship, hosting open question and answer sessions to provide accountability
on the Society’s work programmes. Special General Meetings of the Fellowship are now fully hybrid to maximise accessibility and encourage
participation. In addition, the Society has an active programme of Fellowship Forums to engage with Fellows across the country.
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**63** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Statement of Trustees' responsibilities** The Council members (who are also the Trustees of the Society) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations. Charity law requires the Council members to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under charity law the Council must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and charity and of the incoming resources and application of resources, including the income and expenditure, of the group for that period. In preparing these financial statements, the Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the applicable Charities SORP; - make judgements and accounting estimates that are reasonable and prudent; - state whether applicable UK Accounting Standards have been followed, 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 Council members are responsible for keeping adequate accounting records that are sufficient to show and explain the charity’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011 and the provisions of the Royal Charter. 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 statements 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 Trustees’ responsibility also extends to the ongoing integrity of the financial statements contained therein. The current Council members, having made enquiries of fellow Council members and the charity’s auditors, confirm that: - so far as they are aware, there is no relevant audit information of which the charity’s auditors are unaware; and - they have taken all reasonable steps they ought to have taken as Trustees in order to make themselves aware of any relevant audit information and to establish that the charity’s auditors are aware of that information. This report was approved by Council on 1 July 2025 and signed on their behalf by ## **Sir Adrian Smith** President of the Royal Society **64** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **Independent auditor’s report to the Trustees of the Royal Society** ## **Opinion on the financial** ## **statements** In our opinion, the financial statements: - give a true and fair view of the state of the Group’s and of the Parent Charity’s affairs as at 31 March 2025 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 Charities Act 2011. We have audited the financial statements of the Royal Society (“the Parent Charity”) and its subsidiary (“the Group”) for the year ended 31 March 2025 which comprise the consolidated statement of financial activities, the consolidated and charity balance sheets, the 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, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). ## **Basis for opinion** We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the 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 to provide a basis for our opinion. ## **Independence** We remain independent of the Group and the Parent Charity in accordance with the ethical requirements relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance 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 collectively, may cast significant doubt on the Group and the Parent Charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements 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. ## **Opinion on other matter** In our opinion, in all material respects, the Core Non-ODA and International Science Partnerships Fund grant payments received from the Department for Science, Innovation and Technology (“DSIT”) have been used in accordance with the terms and conditions of the relevant grant. ## **Other information** The Trustees are responsible for the other information. The other information comprises the information included in the Trustees’ report and financial statements, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. ## **Matters on which we are required to report by exception** We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion: - the information given in the Trustees’ Report for the financial year for which the financial statements are prepared is inconsistent in any material respect with the financial statements; or - adequate accounting records have not been kept by the Parent Charity; or - the Parent Charity financial statements are not in agreement with the accounting records and returns; or - we have not received all the information and explanations we require for our audit. **65** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued Independent auditor’s report to the Trustees of the Royal Society** ## **Responsibilities of Trustees** As explained more fully in the Statement of Trustees’ responsibilities, the Trustees 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 to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the Group’s and the Parent Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent Charity or to cease operations, or have no realistic alternative but to do so. ## **Auditor’s responsibilities for the audit of the financial statements** We have been appointed as auditor under section 151 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) 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 reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. ## **Extent to which the audit was capable of detecting irregularities, including fraud** Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: ## **Non-compliance with laws and regulations** Based on: - Our understanding of the Group’s and the sector in which it operates; - Discussion with management, those charged with governance and the Audit Committee; and - Obtaining and understanding of the Group’s policies and procedures regarding compliance with laws and regulations; we considered the significant laws and regulations to be the relevant Charities Acts and applicable accounting framework. The Group is also subject to laws and regulations where the consequence of non-compliance 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 to be relevant tax legislation, employment law, data protection, Bribery Act 2010, fundraising regulations and health and safety legislation. Our procedures in respect of the above included: - Review of minutes of meeting of Council, Audit Committee, Investment Committee, and Planning and Resources Committee for any instances of noncompliance with laws and regulations; - Review of correspondence with regulatory and tax authorities for 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 to understand the nature of expenditure incurred. ## **Fraud** We assessed the susceptibility of the financial statements to material misstatement, including fraud. Our risk assessment procedures included: - Enquiry with management, the Audit Committee and internal audit regarding any known or suspected instances of fraud; - Obtaining an understanding of the Group’s policies and procedures relating to: - Detecting and responding to the risks of fraud; and - Internal controls established to mitigate risks related to fraud. - Review of minutes of meeting of Council, Audit Committee, Investment Committee and Planning and Resources Committee for any known or suspected instances of fraud; - Discussion amongst the engagement team as to how and where fraud might occur in the financial statements; - Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; and - Considering remuneration incentive schemes and performance targets and the related financial statement areas impacted by these. Based on our risk assessment, we considered the areas most susceptible to fraud to be management override of controls, grant income entitlement, grant income and expenditure matching, cutoff of conferencing income and valuation of investments. **66** STRATEGIC REPORT **GOVERNANCE** FINANCIAL STATEMENTS OTHER INFORMATION ## **continued Independent auditor’s report to the Trustees of the Royal Society** Our procedures in respect of the above included: - Testing a sample of journal entries throughout the year, which met a defined risk criteria, including those which potentially impact remuneration and other performance targets, by agreeing to supporting documentation; - Assessing significant estimates made by management for bias, including assumptions related to the valuation of the defined benefit pensions scheme and assumptions related to the carrying value of heritage assets, including whether there are any indicators of impairment; - Testing a sample of grant agreements to confirm entitlement to the income; - Testing a sample of grant income by matching it to the validity of expenditure incurred, including a test of control for a sample of grant expenditure; and - Testing any adjustments posted by management for any investments between the date of valuation and the year end. 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 to 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 detecting 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 it. A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council’s (“FRC’s”) website at: https://www.frc.org.uk/ auditorsresponsibilities. This description forms part of our auditor’s report. ## **Use of our report** This report is made solely to the Charity’s Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the Charity’s Trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charity and the Charity’s Trustees as a body, for our audit work, for this report, or for the opinions we have formed. BDO LLP, statutory auditor Gatwick, UK ## 22 July 2025 BDO LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006. BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127). **67** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Consolidated statement of financial activities** (incorporating an income and expenditure account) **For the year ended 31 March 2025** |**For the year ended 31 March 2025**|||||||| |---|---|---|---|---|---|---|---| |||||**Expendable**|**Permanent**|**2025**|**2024**| |||**Unrestricted**|**Restricted**|**endowment**|**endowment**|**Total**|**Total**| |||**funds**|**funds**|**funds**|**funds**|**funds**|**funds**| ||**Notes**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Income and endowments from donations and legacies|1|422|130|–|–|**552**|3,056| |FaradayDiscoveryFellowshipFund|1|–|–|–|–|**–**|250,000| ||||||||| |**Income from charitable activities**|||||||| |Grants for charitable activities|4|–|124,007|–|–|**124,007**|120,221| |Tradingin furtherance of charitable activities|3|10,568|520|–|–|**11,088**|11,097| |||10,568|124,527|–|–|**135,095**|131,318| |Other tradingactivities|3|–|40|–|–|**40**|65| |Income from investments|2|1,576|12,428|1,756|6,098|**21,858**|11,841| |Other income||43|26|–|–|**69**|10| |**Total income**||**12,609**|**137,151**|**1,756**|**6,098**|**157,614**|**396,290**| ||||||||| |Expenditure on raisingfunds|5|921|845|297|1,078|**3,141**|2,676| |**Expenditure on charitable activities**|6||||||| |Grants to fund scientific research||2,606|98,933|–|–|**101,539**|105,248| |Providingscientific advice forpolicy||2,862|3,502|–|–|**6,364**|5,763| |Promotingscience education and engagement||8,659|2,741|–|–|**11,400**|10,738| |Supportingscientific collaboration,nationallyand internationally||7,441|21,308|–|–|**28,749**|21,149| |Recognisingscientific excellence||79|248|–|–|**327**|381| |||21,647|126,732|–|–|**148,379**|143,279| |**Total expenditure**||**22,568**|**127,577**|**297**|**1,078**|**151,520**|**145,955**| |**Net(expenditure)/income before netgains/(losses) on investments**||**(9,959)**|**9,574**|**1,459**|**5,020**|**6,094**|**250,335**| |Netgains/(losses)on investments|17|469|(5,657)|634|1,616|**(2,938)**|25,216| |**Net(expenditure)/income for theyear**||**(9,490)**|**3,917**|**2,093**|**6,636**|**3,156**|**275,551**| |Gross transfers between funds|23|8,237|(2,777)|(1,710)|(3,750)|**–**|–| |Actuarialgains/(losses)on defined benefitpension scheme|25|869|–|–|–|**869**|(620)| |**Net movement in funds**||**(384)**|**1,140**|**383**|**2,886**|**4,025**|**274,931**| ||||||||| |Total funds brought forward||94,161|290,592|49,531|175,209|**609,493**|334,562| |**Total funds carried forward**||**93,777**|**291,732**|**49,914**|**178,095**|**613,518**|**609,493**| All of the above results are derived from continuing activities. There are no other gains or losses other than those stated above. The Consolidated Statement of Financial Activities is for the Group as a whole. The total income for the Charity for the year was £157.6 million (2024: £396.3 million). The Charityʼs total funds increased by £4.0 million in the year (2024: £274.9 million increase). The notes that follow form part of the financial statements. **68** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Consolidated and Charity balance sheets As at 31 March 2025** |**Consolidated and Charity balance sheets**
**As at 31 March 2025**|| |---|---| |**Notes**|Group
Charity| ||**2025**
**£’000**
**2024**
**£’000**
**2025**
**£’000**
**2024**
**£’000**| |**Fixed assets**|| |Intangible assets
14A|**1,276**
1,303
**1,276**
1,303| |Tangible assets
14B|**7,375**
7,891
**7,375**
7,891| |Heritage assets
16|**49,330**
49,320
**49,330**
49,320| |Investments
17|**563,746**
558,071
**563,746**
558,071| ||**621,727**
616,585
**621,727**
616,585| |**Current assets**|| |Stocks|**34**
48
**34**
48| |Debtors: receivable within oneyear
18|**4,387**
9,010
**4,435**
9,092| |Cash at bank and in hand|**4,377**
5,726
**4,325**
5,640| ||**8,798**
14,784
**8,794**
14,780| |Creditors: amounts fallingdue within oneyear
19|**(19,397)**
(22,216)
**(19,393)**
(22,212)| |**Net current liabilities**|**(10,599)**
(7,432)
**(10,599)**
(7,432)| |**Total assets less current liabilities**|**611,128**
609,153
**611,128**
609,153| |**Net assets beforepension scheme liability**|**611,128**
609,153
**611,128**
609,153| |Defined benefitpension scheme asset
25|**2,390**
340
**2,390**
340| |**Total net assets**|**613,518**
609,493
**613,518**
609,493| ||| |Permanent endowment funds
23|**178,095**
175,209
**178,095**
175,209| |Expendable endowment funds
23|**49,914**
49,531
**49,914**
49,531| |Restricted funds
23|**291,732**
290,592
**291,732**
290,592| |**Unrestricted funds**|| |Revaluation reserve
23|**47,541**
47,541
**47,541**
47,541| |Defined benefitpension reserve
23|**2,390**
340
**2,390**
340| |Unrestricted income funds
23|**43,846**
46,280
**43,846**
46,280| |**Total funds**|**613,518**
609,493
**613,518**
609,493| The financial statements were approved and authorised for issue by Council on 1 July 2025 and signed on its behalf by **Professor Jon Keating FRS** Treasurer **69** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Consolidated statement of cash flows** ## **For the year ended 31 March 2025** |**Consolidated statement of cash flows**
**For the year ended 31 March 2025**|| |---|---| |**Notes**|2025
2024| ||**£’000**
**£’000**
**£’000**| |**Net cash(used in)/generated by operating activities**
A|**(11,220)**
231,325| |**Cash flows from investing activities:**|| |Investment income
2|**21,858**
259| |Purchase of intangible assets
14A|**(138)**
(184)| |Purchase of tangible fixed assets
14B|**(778)**
(763)| |Purchase of heritage assets
16|**(10)**
(20)| |Additions to investmentportfolio
17|**(21,668)**
(250,000)| |Withdrawals from investmentportfolio
17|**10,607**
9,933| |**Net cashprovided by/(used in) investment activities**|**9,871**
(240,775)| |**Decrease in cash and cash equivalents**|**(1,349)**
(9,450)| |Cash and cash equivalents at 1 April|**5,726**
15,176| |**Cash and cash equivalents at 31 March**|**4,377**
5,726| **70** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Consolidated statement of cash flows continued** ## **For the year ended 31 March 2025** ## **A. Reconciliation of net income to net cash flow from operating activities** |**A. Reconciliation of net income to net cash flow from operating activities**
**Consolidated statement of cash flowscontinued**
**For the year ended 31 March 2025**||| |---|---|---| ||**2025**|**2024**| ||**Note**
**£’000**|**£’000**| |**Net income asper the statement of financial activities**|**3,156**|275,551| |**Adjustments for:**||| |Depreciation and amortisation charges|14
**1,375**|1,304| |Losses/(gains)on investments|17
**2,938**|(25,216)| |Investment income|2
**(21,858)**|(11,841)| |Losses on the disposal of fixed assets|14
**84**|7| |Investment management fees charged toportfolio|17
**2,448**|2,163| |Decrease in stocks|**14**|3| |Decrease/(increase)in debtors|18
**4,623**|(3,848)| |Decrease in creditors|19
**(2,819)**|(5,314)| |Difference betweenpension charge and cash contributions|25
**(1,181)**|(1,484)| |**Net cash(used in)/generated by operating activities**|**(11,220)**|231,325| ## **B. Analysis of changes in net debt** |**Net cash(used in)/generated by operating activities**
**B. Analysis of changes in net debt**|||**(11,220)**|231,325| |---|---|---|---|---| ||**Balances at**|||**Balances at**| ||**1 April**|||**31 March**| ||**2024**|**Cash flows**||**2025**| ||**£’000**||**£’000**|**£’000**| |Cash and cash equivalents|5,726||(1,349)|**4,377**| |**Total**|5,726||(1,349)|**4,377**| **71** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Accounting policies For the year ended 31 March 2025** The principal accounting policies adopted in the preparation of these financial statements are as follows. ## **Accounting convention** The financial statements have been prepared in accordance with Financial Reporting Standard 102 – ‘The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland’ (FRS 102) and with the Statement of Recommended Practice: Accounting and Reporting by Charities FRS 102 as revised in 2019 (the SORP 2019 2[nd] Edition) together with the reporting requirements of the Charities Act 2011. The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policy or note. The accounts have been prepared on a going concern basis. This conclusion has been reached after careful consideration of reserves levels, future forecasts and changes in external factors. The Society manages uncertainties through risk management processes with mitigations in place for key risk areas, and has a robust reserves position and availability of liquid assets in cash at bank and in hand and as liquid assets within the investment portfolio. The Royal Society (the Society) is a Public Benefit Entity as defined by FRS 102. The accounting policies have been applied consistently throughout the financial statements and the prior year. Royal Society Trading Limited, a trading subsidiary of the Royal Society, was dormant in the year. ## **Basis of consolidation** These financial statements consolidate the results of the Royal Society and its active wholly owned subsidiary, Royal Society (London) Ltd, on a line-by-line basis. In the consolidated financial statements uniform accounting policies have been used. A separate statement of financial activities for the Charity itself is not presented. ## **Cash flow statement** The Society meets the definition of a qualifying entity under FRS 102 and has therefore taken advantage of the disclosure exemption in relation to presentation of a cash flow statement in respect of its separate financial statements, which are presented alongside the consolidated financial statements. ## **Income** Income is accrued and recognised when conditions on entitlement are met, receipt can be quantified reliably and is probable. ## **Donations and legacies** Donated goods and services are included at the value to the Society where these can be quantified. No amounts are included in these financial statements for the services donated by volunteers or Fellows. Donations are accounted for on a receivable basis where receipt is probable and there is entitlement to the income. Donations include Gift Aid based on amounts receivable at the accounting date. Legacy income is recognised on a receivable basis when there is sufficient evidence to assess that receipt is probable and receipt can be quantified reliably. Receipt of a legacy, in whole or in part, is only considered probable when the charity has been notified of the executor’s intention to make a contribution. Fellows’ annual contributions are recognised in the year in which they become due. ## **Grants for charitable activities** Grants are recognised when all conditions for receipt are met. Where donor-imposed restrictions apply to the timing of the related expenditure as a precondition of its use, the grant is treated as deferred income until those restrictions are met. Grants received for specific purposes are accounted for as restricted funds. ## **Income from trading activities** Income from conferencing activities is recognised when the event takes place. Income from publishing activities is recognised when the publication or service is provided. Income for the sales of subscriptions, package subscriptions and consortium deals is recognised evenly over the period of the subscription or service. ## **Income from investments** Investment income and interest on deposits is recognised on an accruals basis. Investment income arising on endowment funds is credited to the appropriate fund in accordance with the prescribed conditions. ## **Expenditure** Expenditure, including irrecoverable VAT, is accounted for on an accruals basis. Expenditure is allocated to the particular activity where the cost relates directly to that activity. Support costs, which cannot be directly attributed to a particular activity, are apportioned based on the costs of staff engaged in direct activities. ## **Expenditure on raising funds** Costs of raising funds include those costs incurred in raising donations and legacies. ## **Expenditure on charitable activities** Charitable expenditure includes all expenditure incurred on grants awarded and on other schemes run in pursuance of the Society’s objectives under its Charter, including Fellowship activities and primary purpose trading. The direct costs of supporting these activities, including staff and other overhead costs, are separately analysed and shown as support costs under this heading. **72** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **continued Accounting policies For the year ended 31 March 2025** Grants are recognised as a liability when the Society formally notifies the recipient of the award. Due to the nature of the funding source for the majority of grant awards, the liability is measured as the total of expected payments for the period to the next confirmation of income due. Payments due in future periods are disclosed as grant commitments. Any termination liabilities are recognised when a decision to cease the grant is made. Liabilities for awards, where more than one year of expected payments are provided at the outset, are discounted to current value using a rate equivalent to the opportunity cost from investments foregone. ## **Leased assets** Rentals payable under operating leases are charged to the statement of financial activities evenly over the term of the lease. ## **Tangible fixed assets** Tangible fixed assets are capitalised at cost, including purchase price and any other costs of bringing the asset into working condition for its intended use. The Society only capitalises items costing more than £5,000. Batches of items below this threshold are capitalised if forming part of a larger asset or project and together cost more than £5,000. Depreciation is provided on all assets, excluding freehold land and assets under development, to write off the cost of tangible fixed assets on a straight-line basis over their expected useful lives as follows: ||**Asset category**
Leasehold improvements
Leasehold fixtures and|**Expected useful life**
20 – 30years| |---|---|---| ||fittings|3 – 10years| ||Computers and AV|| ||equipment|3 – 5years| ||Other equipment|10 – 20years| On completion, assets under development are transferred to the relevant category and depreciated. ## **Intangible assets** Intangible assets consist of computer software, which is not an integral part of its related hardware, and digital archives. Intangible assets are capitalised at cost, including the purchase price of computer software licences and any other costs directly attributable to bringing the software and digital archives into use, such as configuration or implementation costs. Software development costs are recognised as an intangible asset when all of the conditions of FRS 102 are met. Software as a service, related costs and subscription licences are not capitalised. The Society only capitalises items costing more than £5,000. Batches of items below this threshold are capitalised if forming part of a larger asset or project and together cost more than £5,000. Intangible assets are measured at cost less accumulated amortisation and any impairment losses. A review of indicators of impairment is undertaken annually for all asset classes. The value of heritage assets is adjusted where the Trustees consider there to be a material impairment on the values compared to those stated. Amortisation is charged to write off the cost of the intangible asset on a straightline basis over their expected useful lives as follows: - CRM software: 5 years - Digital archives: 20 years In 2022, a rolling schedule of valuations per asset class was agreed. There were no indicators of impairment identified in these reviews and the recent valuations were significantly in excess of the deemed cost included on the balance sheet. ## **Heritage assets** Heritage assets comprise: - printed books; - archives; - pictures, sculptures and other works of art; and The Trustees do not consider that a reliable estimate of the fair value can be obtained for a large part of the archives collection without incurring costs that would exceed the benefits provided. The Society was founded in 1660 and the collection has been built up throughout its existence and the number of assets held in the collection is extensive and diverse in nature. Reliable and relevant information on the cost of many of the assets is therefore not readily available and there is a lack of comparable market values. As such, these assets are not recognised in the accounts. - other artefacts. The Society holds and maintains these assets principally for their contribution to knowledge and culture in line with its charitable aims. Additions to heritage assets are made by purchase or donation. Purchases are initially recorded at cost and donations are recorded at a fair value where practicable as the deemed cost of the assets. Heritage assets are included on the balance sheet as set out in the table below. |**Heritage asset class**|**Measurement basis**|**Year of latest valuation**| |---|---|---| |Printed books|Deemed cost using a valuation|2022| ||performed in 2003|| |Archives|Deemed cost using a valuation|2023| ||performed in 2003|| |Pictures, sculptures and other|Deemed cost using valuations|2025 for pictures and sculptures| |works of art|performed in 2014 and 2015|2014 for other works of art| |Other artefacts|Deemed cost using valuations|2025 for medals| ||performed in 2014 and 2015|2014, 2015 and 2025 for all other| |||artefacts| **73** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **continued Accounting policies For the year ended 31 March 2025** ## **Investments** Financial investments are held at fair value. Where a fair value is not obtainable, these investments are held at cost as an approximation to fair value. Private equity investments are valued at fair value based on the latest information from the fund managers. Realised gains and losses on investments sold in the year and unrealised gains and losses on revaluation of investments are included in the statement of financial activities. Investment management fees are allocated proportionally against the funds under investment. The Enterprise Fund is accounted for as a social investment, owing to the dual benefits expected to be received. The investments in subsidiary undertakings are held at cost on the Society-only balance sheet. ## **Total return accounting** The Society adopts the use of total return in relation to its permanent and expendable endowments with the exception of the Theo Murphy Australia Fund. Income from the endowments and investment gains and losses are recognised in the endowment column of the statement of financial activities. Unapplied total return that is allocated to income funds is presented as an allocation between endowment funds and income funds as a transfer on the face of the statement of financial activities. The amount of any unapplied total return fund is included as part of the relevant endowment together with the value of the trust for investment on the balance sheet. The Trustees’ policy is to distribute up to 4% of the rolling five-year average capital value of the fund. In determining that the Charity should adopt a total return approach, the Trustees considered the Charities (Total Return) Regulations 2013 and received advice from Stone King LLP and Cazenove Capital Investment managers. The core endowment represents the part of the assets that the Trustees seek to maintain in real terms. It is based on the value of the endowments at 31 March 2012, together with an allowance for inflation (UK consumer price index (CPI) as determined by the Office for National Statistics). ## **Impairment of fixed assets** Tangible fixed assets, intangible assets and investments are subject to review for impairment when there is an indication of a reduction in their carrying value. Investments held at cost are reviewed annually for impairment. Any impairment is recognised in the corresponding statement of financial activities category in the year in which it occurs. Heritage assets are reviewed for indicators of impairment at the end of each reporting period to ensure that the carrying value reflects their carrying amounts. ## **Foreign currency** Transactions in foreign currencies are recorded at the exchange rate at the date of the transaction. Assets and liabilities in foreign currency are translated into sterling at the exchange rate at the balance sheet date. Resulting gains or losses are included in the statement of financial activities. ## **Financial instruments** The Society has financial assets and financial liabilities of a kind that qualify as basic. Basic financial instruments are initially recognised at transaction value and are subsequently measured at amortised cost. ## **Cash and cash equivalents** Cash and cash equivalents are cash at bank and in hand as shown in the balance sheet. Cash held by fund managers in discretionary mandates is excluded from cash and included within Fixed Asset Investments. ## **Fund accounting** Restricted funds can only be used for particular purposes specified or agreed by the donor. Permanent endowment funds are funds where the capital must be retained and invested. Expendable endowment funds are funds that must be invested to produce income. Unrestricted funds may be used for any purpose in the furtherance of the general objectives of the charity. ## **Pension costs** Defined benefit pension scheme assets are measured at fair value and liabilities on an actuarial basis using the projected unit method and discounted at a rate equivalent to the current rate of return on a high-quality corporate bond of equivalent currency and term to the Scheme liabilities. The actuarial valuations are obtained triennially and updated under FRS 102 rules at each balance sheet date. Any surplus or deficit is shown in the balance sheet as an asset or liability. The charge to the statement of financial activities is calculated so as to spread the cost of pensions over employees’ working lives with the Society. The charge comprises the administration costs of running the scheme, the current service cost computed by the actuary under FRS 102 and gains and losses on settlements and curtailments. Past service costs or credits are recognised immediately if the benefits have vested. If the benefits have not vested immediately, the costs are **74** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **continued Accounting policies For the year ended 31 March 2025** recognised over the period until vesting occurs. The interest on the assets and liabilities for the period is shown as a net amount of other finance costs or credits charged or credited to the statement of financial activities. Actuarial gains and losses are recognised immediately under the description ‘Actuarial (losses)/gains on defined benefit pension scheme’. The amounts charged to the statement of financial activities for defined contribution pension schemes represent the employer’s contributions payable in the year. The method for the allocation of pension costs between funds is to allocate on a pro rata basis using departmental salary costs as a base. ## **Contingent liabilities** A contingent liability is either a possible but uncertain obligation or a present obligation that is not recognised. Contingent liabilities are disclosed in the financial statements when the following circumstances arise: - A past event gives the Society a possible obligation, the existence of which will only be confirmed by the occurrence or otherwise of uncertain future events not wholly within the Society’s control; and - A provision would otherwise be made but either it is not probable that an outflow of resource will be required, or the amount of the obligation cannot be measured reliably. ## **Termination benefits** Termination benefits are payable when employment is terminated by the Society, or whenever an employee accepts voluntary redundancy in exchange for these benefits. The amounts charged to the statement of financial activities represent the best estimate of the expenditure required to settle the obligation at the balance sheet date. ## **Taxation** The Society is a charity within the meaning of Paragraph 1 Schedule 6 of the Finance Act 2010. Accordingly, the Society is exempt from income and corporation taxes on income and gains to the extent that they are applied to charitable purposes. The trading subsidiaries do not generally pay UK corporation tax because their policy is to pay taxable profits to the Society as Gift Aid. ## **Prior year comparatives** In accordance with FRS 102, prior year comparative figures can be found as follows: - Consolidated statement of financial activities – Note 27; - Analysis of net assets between funds – Note 28; - Movement on trust and specific funds in year – Note 29. ## **Critical accounting judgements and key sources of estimation uncertainty** In the application of the Group’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. Judgements, estimates and associated assumptions are reviewed on an ongoing basis and are based on historical experience and other factors that are considered to be relevant, including expectations of future events that are believed to be reasonable under the circumstances. Critical judgements relate to the accounting treatment of the multi-employer defined benefit scheme. Critical accounting estimates and assumptions relate to the defined benefit pension scheme and the impairment of heritage assets. **75** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **continued Accounting policies For the year ended 31 March 2025** ## **Defined benefit pension scheme** The cost of the defined benefit pension scheme and the present value of the scheme surplus or liability depend on a number of factors, including assumptions about inflation, discount rates and mortality, which are taken by actuarial specialists. The valuation of the scheme is particularly sensitive to discount rate assumptions, with a 0.1% movement in the discount rate resulting in a £0.5 million change in the value of the scheme liabilities. The Scheme surplus is recognised as an asset as at 31 March 2025 because the Society is able to recover the surplus either through reduced contributions in the future or through refunds from the plan. ## **Impairment of heritage assets** Heritage assets held at cost or deemed cost at the date of transition to FRS 102 totalled £49.3 million at 31 March 2025 (2024: £49.3 million). In 2022, a rolling schedule of valuations per asset class was agreed and the result of the latest valuation for each asset class is set out in the table opposite. A review of the indicators of impairment is undertaken annually and should this review identify any indicators, then a detailed impairment assessment would be undertaken. No impairment was required as a result of this review. ||**Heritage asset class**|**Measurement basis**|**Year of latest valuation**|**Impairment review**| |---|---|---|---|---| ||Printed books
Archives|Deemed cost using a
valuation performed
in 2003
Deemed cost using a
valuation performed|2022
2023|No indicators of impairment identified
No indicators of impairment identified| |||in 2003||| ||Pictures, sculptures|Deemed cost using|2025|No indicators of impairment identified| ||and other works of art|valuations performed|for pictures and|| |||in 2014 and 2015|sculptures|| ||||2014|| ||||for other works of art|| ||Other artefacts|Deemed cost using
valuations performed|2025
for medals|No indicators of impairment identified
for medals| |||in 2014 and 2015|2014, 2015 and 2025|The last detailed impairment| ||||for all other artefacts|assessment of other artefacts was| |||||last performed in 2015. The valuation| |||||assumes that since 2015: (a) the
physical condition of the assets has
not deteriorated; and (b) there have
not been any significant changes in| |||||the markets of these assets.| **76** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements** ## **For the year ended 31 March 2025** ## **1 Income and endowments from donations and legacies** ||||**Expendable**|**Permanent**|**2025**|**2024**| |---|---|---|---|---|---|---| ||**Unrestricted**|**Restricted**|**endowment**|**endowment**|**Total**|**Total**| ||**funds**|**funds**|**funds**|**funds**|**funds**|**funds**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Gifts and donations|28|109|–|–|**137**|141| |Legacies|69|21|–|–|**90**|2,649| |Fellowsʼ contributions|325|–|–|–|**325**|266| ||422|130|–|–|**552**|3,056| |FaradayDiscoveryFellowshipFund*|–|–|–|–|**–**|250,000| |**Total**|422|130|–|–|**552**|253,056| * In the prior year, the Society received £250.0 million from DSIT to deliver a new mid-career Fellowship. The new Fellowships will be called the Royal Society Faraday Discovery Fellowships and will be made on the basis of scientific excellence. It is anticipated that there will be at least 32 awards in total and the fund, including any interest earned, will be disbursed in full by the end of the 20-year period from when funding was received. ## **2 Income from investments** |**2 Income from investments**||||||| |---|---|---|---|---|---|---| ||||**Expendable**|**Permanent**|**2025**|**2024**| ||**Unrestricted**|**Restricted**|**endowment**|**endowment**|**Total**|**Total**| ||**funds**|**funds**|**funds**|**funds**|**funds**|**funds**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Dividends and interest|1,388|12,406|1,756|6,098|**21,648**|11,623| |Bank deposit interest|188|22|–|–|**210**|218| |**Total**|1,576|12,428|1,756|6,098|**21,858**|11,841| ## **3 Trading** |||**Recharged**|||| |---|---|---|---|---|---| ||**External**|**internal**|**Gross**|**2025**|**2024**| ||**income**|**lettings**|**expenditure**|**Net surplus**|**Net surplus**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |**Trading activities through subsidiary companies**|||||| |Sponsorships|40|–|(5)|**35**|61| |**Trading in furtherance of charitable activities**|||||| |Publishing|7,676|–|(3,720)|**3,956**|3,993| |Conferencingactivities in furtherance of objectives – Carlton House Terrace|2,886|2,270|(3,451)|**1,705**|1,508| |Other|526|–|–|**526**|938| ||11,088|2,270|(7,171)|**6,187**|6,439| |**Total**|11,128|2,270|(7,176)|**6,222**|6,500| The costs of the Societyʼs publishing operation and the costs associated with the lettings in furtherance of charitable objects are included in ʻPromoting science education and engagementʼ and ʻSupporting scientific collaboration, nationally and internationallyʼ respectively on the face of the statement of financial activities. The costs of trading through subsidiary companies are included in expenditure on raising funds. The Society was exempt from income tax, corporation tax and capital gains tax on income derived from its primary purpose trading and charitable activities. **77** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **4 Grants for charitable activities** ||||**Expendable**|**Permanent**|**2025**|**2024**| |---|---|---|---|---|---|---| ||**Unrestricted**|**Restricted**|**endowment**|**endowment**|**Total**|**Total**| ||**funds**|**funds**|**funds**|**funds**|**funds**|**funds**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |**From Government and otherpublic bodies**||||||| |Coregrant from Department for Science,Innovation and Technology (DSIT)|–|111,835|–|–|**111,835**|110,235| |DSIT Pioneer Fund|–|–|–|–|**–**|368| |DSIT Newton Fund|–|(535)|–|–|**(535)**|(672)| |DSIT Global Challenges Research Fund|–|177|–|–|**177**|(89)| |DSIT International Science PartnershipFund||6,014|–|–|**6,014**|2,201| |Foreign Commonwealth Development Office(FCDO)|–|–|–|–|**–**|(6)| |Othergrants from Government andpublic bodies|–|783|–|–|**783**|723| |**From other external bodies**||||||| |Contribution to charitable activities|–|5,733|–|–|**5,733**|7,461| |**Total**|–|124,007|–|–|**124,007**|120,221| Details of the income to and movement of individual funds are disclosed in Note 23. ## **5 Expenditure on raising funds** ||||**Expendable**|**Permanent**|**2025**|**2024**| |---|---|---|---|---|---|---| ||**Unrestricted**|**Restricted**|**endowment**|**endowment**|**Total**|**Total**| ||**funds**|**funds**|**funds**|**funds**|**funds**|**funds**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Direct costs of raisingfunds|380|–|–|–|**380**|259| |Support costs on raisingfunds|303|5|–|–|**308**|251| |Cost of trading|5|–|–|–|**5**|4| |Investment management fees|233|840|297|1,078|**2,448**|2,162| |**Total**|921|845|297|1,078|**3,141**|2,676| ## **6 Expenditure on charitable activities** |**Total**
**6 Expenditure on charitable activities**|921|845|297|1,078|**3,141**|2,676| |---|---|---|---|---|---|---| |||**Grant costs**|**Other direct**|**Support costs**|**2025**|**2024**| ||**Staff costs**|**£’000**|**costs**|**£’000**|**Total**|**Total**| ||**£’000**|**(Note 9)**|**£’000**|**(Note 7)**|**£’000**|**£’000**| |**Charitable activities**||||||| |Grants to fund scientific research|2,306|95,818|984|2,431|**101,539**|105,248| |Providingscientific advice forpolicy|2,782|–|699|2,883|**6,364**|5,763| |Promotingscience education and engagement|3,449|834|3,554|3,563|**11,400**|10,738| |Supportingscientific collaboration,nationallyand internationally|3,914|15,777|5,066|3,992|**28,749**|21,149| |Recognisingscientific excellence|2|208|107|10|**327**|381| |**Total**|12,453|112,637|10,410|12,879|**148,379**|143,279| **78** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **7 Support costs** |**7 Support costs**
**For the year ended 31 March 2025**||||||| |---|---|---|---|---|---|---| ||**Media**|||||| ||**relations**|**Facilities**||||| ||**and public**|**and building**|**Support**||**2025**|**2024**| ||**engagement**|**management**|**services**|**Governance**|**Total**|**Total**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |**Support costs on raising funds**|27|93|127|61|**308**|251| |**Charitable activities**||||||| |Grants to fund scientific research|209|736|1,003|483|**2,431**|2,394| |Providingscientific advice forpolicy|247|873|1,190|573|**2,883**|2,788| |Promotingscience education and engagement|305|1,079|1,471|708|**3,563**|3,620| |Supportingscientific collaboration,nationallyand internationally|342|1,209|1,647|794|**3,992**|3,909| |Recognisingscientific excellence|1|3|4|2|**10**|24| ||1,104|3,900|5,315|2,560|**12,879**|12,735| |**Total**|1,131|3,993|5,442|2,621|**13,187**|12,986| Facilities and building management comprises the rent and running costs (maintenance, insurance, cleaning and security) of Carlton House Terrace. Support services comprises finance, IT, HR and pension costs. Support costs are allocated on a pro rata basis using departmental salary costs as a base. ## **8 Staff costs** |**8 Staff costs**|| |---|---| |**2025**|**2024**| |**£’000**|**£’000**| |**Costs by type**|| |Salaries
**15,924**|14,339| |Social securitycosts
**1,664**|1,438| |Pension costs
**2,621**|1,720| |**Total**
**20,209**|17,497| As required by FRS102, included in 2025 staff costs is an amount of £411,000 (2024: £350,000) relating to holiday pay owed to staff at 31 March 2025. Pension costs include employer contributions to two Royal Society pension schemes, a defined contribution scheme and a defined benefit scheme, as follows: - The Royal Society Group Personal Pension Plan (defined contribution): £1,075,000 (2024: £928,000) - The Pension and Life Assurance Plan of the Royal Society (defined benefit): £1,546,000 (2024: £408,000) **79** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued For the year ended 31 March 2025** ## **8 Staff costs continued** The following numbers of employees of the Royal Society earning £60,000 per annum or more received total emoluments within the bands shown. Total emoluments are exclusive of employer pension contributions and employer social security costs, but include benefits in kind. |**2025**|**2024**| |---|---| |£60,001 – £70,000
**16**|14| |£70,001 – £80,000
**16**|11| |£80,001 – £90,000
**5**|4| |£90,001 – £100,000
**1**|2| |£100,001 – £110,000
**2**|1| |£110,001 – £120,000
**1**|1| |£120,001 – £130,000
**–**|3| |£130,001 – £140,000
**2**|2| |£140,001 – £150,000
**2**|–| |£150,001 – £160,000
**2**|1| |£170,001 – £180,000
**1**|2| |£180,001 – £190,000
**2**|–| |£420,001 – £430,000
**–**|1| |£440,001 – £450,000
**1**|–| The 13 key management personnel of the Royal Society (2024: 14) received total remuneration of £2,445,000 including employer social security costs but excluding employer pension contributions (2024: £2,226,000). ## **The average number of employees, analysed by function, was:** |**2025**|**2024**| |---|---| |Expenditure on raisingfunds
**4**|3| |Expenditure on charitable activities
**214**|193| |Support(including governance)
**73**|70| |**Total**
**291**|266| The average full-time equivalent was 284 (2024: 261). Termination payments made in the year totalled £65,000 (2024: £121,000). **80** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued For the year ended 31 March 2025** ## **9 Grants** |**9 Grants**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**||||| |---|---|---|---|---| ||**Grants to**|**Grants to**|**2025**|**2024**| ||**institutions**|**individuals**|**Total**|**Total**| ||**£’000**|**£’000**|**£’000**|**£’000**| |**Fellowships**||||| |UniversityResearch Fellowships|–|62,490|**62,490**|59,491| |Royal SocietyResearch Professorships|–|12,399|**12,399**|21,216| |DorothyHodgkin Fellowships|–|11,228|**11,228**|9,078| |Newton International Fellowships|–|8,965|**8,965**|6,157| |FLAIR Fellowships|–|(11)|**(11)**|(259)| |Sir HenryDale Fellowships|–|1,955|**1,955**|2,913| |International Collaboration Awards|–|4,824|**4,824**|1,468| |Newton Advanced Fellowships|–|(517)|**(517)**|(699)| |Challenge Grants|–|(49)|**(49)**|(323)| |Wolfson Research Merit Award|(59)|–|**(59)**|(42)| |IndustryFellowships|–|2,044|**2,044**|1,680| |Royal SocietyWolfson Fellowshipand Wolfson VisitingFellowship|2,749|–|**2,749**|3,090| |Leverhulme Trust Senior Research Fellowships|–|399|**399**|376| |International FellowshipGrants|–|78|**78**|301| |Professorshipof Public Engagement|–|(3)|**(3)**|27| |Career Development Fellowships|–|571|**571**|–| |**Education schemes**||||| |Partnership grants scheme|577|–|**577**|398| |Education Research Fellowships|–|–|**–**|5| |Other educationgrants|–|40|**40**|233| |**Othergrantprogrammes**||||| |FCDO Africa CapacityBuildingInitiative|–|–|**–**|(6)| |International Exchanges|–|2,537|**2,537**|2,699| |Entrepreneur in Residence|–|929|**929**|916| |APEX Awards|–|590|**590**|480| |Commonwealth Science Conference|–|(4)|**(4)**|–| |Australian Academyof Science Think Tank|–|244|**244**|285| |Awards andprizes|–|300|**300**|474| |Newton International Exchanges|–|(17)|**(17)**|(53)| |Polish Academyof Sciences|–|167|**167**|167| |Foundation for Science and Technology|–|44|**44**|42| |Other|–|167|**167**|66| |**Total**|3,267|109,370|**112,637**|110,180| **81** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued For the year ended 31 March 2025** ## **9 Grants continued** ## **Recipients of institutional grants** |**9 Grantscontinued**
**Recipients of institutional grants**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**||||| |---|---|---|---|---| ||||**2025**|**2024**| ||**2025**|**2024**|**Total**|**Total**| ||**Number**|**Number**|**£’000**|**£’000**| |Universityof Cambridge|**17**|11|**543**|461| |Imperial College London|**10**|13|**400**|120| |Universityof Oxford|**6**|6|**298**|48| |UniversityCollege London(UCL)|**6**|8|**274**|256| |Universityof Dundee|**2**|1|**178**|49| |Heriot-Watt University|**1**|1|**135**|51| |Universityof Manchester|**4**|3|**134**|63| |Universityof Glasgow|**8**|6|**122**|162| |Universityof East Anglia|**4**|2|**106**|154| |Universityof Liverpool|**2**|2|**90**|39| |Cardiff University|**1**|2|**88**|25| |Queen MaryUniversityof London|**1**|–|**73**|–| |Universityof Warwick|**3**|2|**71**|102| |Universityof Bristol|**7**|9|**66**|277| |Universityof Birmingham|**6**|6|**64**|225| |Universityof Salford|**1**|1|**61**|39| |Universityof Edinburgh|**4**|7|**53**|280| |Aberystwyth University|**1**|1|**44**|(70)| |The Francis Crick Institute|**1**|2|**38**|74| |Sheffield Hallam University|**2**|–|**30**|–| |Simon Langton Girls Grammar School|**2**|–|**30**|–| |CoventryUniversity|**2**|–|**30**|–| |Angus Schools|**2**|–|**30**|–| |Liverpool John Moores University|**2**|–|**30**|–| |Universityof Plymouth|**2**|–|**30**|–| |Plymouth Marine Laboratory|**1**|1|**30**|64| |Durham University|**4**|3|**28**|57| |Nottingham Trent University|**1**|2|**28**|73| |NUSTEM Northumbria University|**2**|–|**15**|–| |TECgirls|**2**|–|**15**|–| |Science Creates Outreach|**2**|–|**15**|–| |Geographical Association|**2**|–|**15**|–| **82** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **9 Grants continued** |**9 Grantscontinued**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**||||| |---|---|---|---|---| ||||**2025**|**2024**| ||**2025**|**2024**|**Total**|**Total**| ||**Number**|**Number**|**£’000**|**£’000**| |Brunel UniversityLondon|**1**|1|**12**|48| |Universityof Bath|**1**|1|**11**|22| |Universityof Southampton|**1**|3|**8**|37| |Universityof Sussex|**1**|1|**7**|22| |Other organisations|**139**|111|**65**|768| |**Total**|**254**|206|**3,267**|3,446| Grants are generally awarded to particular individuals, although the actual award is made to the host organisation. Details of individual grants awarded during the year analysed by organisation are available from the finance department on request. ## **10 Reconciliation of grants payable** |**10 Reconciliation of grants payable**|| |---|---| |**2025**|**2024**| |**Total**|**Total**| |**£’000**|**£’000**| |Liabilityat 1 April
**6,592**|10,379| |Newgrants awarded inyear
**117,559**|115,821| |Grantspaid inyear
**(115,087)**|(113,967)| |Grants refunded to the Society
**(4,922)**|(5,641)| |**Liability at 31 March**
**4,142**|6,592| All grants payable fall due within one year. **83** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **11 Payments to Trustees and related party transactions** |**11 Payments to Trustees and related party transactions**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**||| |---|---|---| ||**2025**|**2024**| ||**Total**|**Total**| ||**£’000**|**£’000**| |Expenses: Travel and subsistence|**124**|139| No Trustees received remuneration from the Society in the year (2024: £nil). Expenses were reimbursed to or paid on behalf of 20 Trustees (2024: 20 Trustees). ## **Indemnity insurance** With the consent of the Charity Commission, the Society has taken out Trusteesʼ indemnity insurance. The cost of this insurance for the year was £11,000 (2024: £11,000). No claims have been made under this policy. ## **Grants and awards** Professor Stephen Barnett FRS is an award holder of Royal Society Research Professorships grant. The total value of the award is £1,248,000. This was awarded and taken up in 2021/22. A payment of £234,000 was made to the University of Glasgow in 2024/25 in respect of this award. Professor Gideon Davies FRS is an award holder of Royal Society Research Professorships grant. The total value of the award is £984,000. This was awarded and taken up in 2021/22. A payment of £211,000 was made to the University of York in 2024/25 in respect of this award. Professor Robin Allshire FRS is an award holder of Royal Society International Collaboration Award. The total value of the award is £221,000. This was awarded and taken up in 2020. No payment was made in 2024/25 in respect of this award. ## **Other** Sir Adrian Smith, President of the Royal Society, has use of the Presidentʼs flat at Carlton House Terrace. The value of this benefit in kind for the year was deemed to be £13,196 (2024: £13,259). Dame Julie Maxton, Executive Director of The Royal Society, is a Trustee Board member of The Foundation for Science and Technology (FST). The Royal Society provides an annual grant to FST to support its activities. The grant paid this year was £44,000 (2024: £42,000). FST holds regular stakeholder events in the Royal Societyʼs premises and pays for the venue hire. During the 2024/25 financial year, FST paid the Royal Society a total of £73,000 for these events (2024: £78,000). With a view to increasing the diversity of Officers, the Charity Commission approved the application submitted by Council to make grants to Officers’ parent institutions to reimburse some of the costs that arise from the significant time commitment involved in Officers’ roles. The grants paid this year totalled £179,000 (2024: £151,000). The term of Officers is not aligned to the Societyʼs financial year and payments are paid pro rata to the time served in the year. In the year, grants were paid to three institutions (2024: three). ## **Related party transactions** The Royal Society had two wholly owned trading subsidiaries during the year, Royal Society Trading Limited (registered number 06967016) and Royal Society (London) Ltd (registered number 08808518). Details of transactions with these subsidiaries are set out in Note 26. **84** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **12 Total expenditure include the following amounts:** |**2025**|**2024**| |---|---| |**Total**|**Total**| |**£’000**|**£’000**| |**Operating lease rentals**|| |Plant and machinery
**89**|86| |Property
**521**|490| |**610**|576| |**Feespayable to the Charityʼs auditors for:**|| |The audit of the Charityand Groupaccounts
**103**|93| |The audit of the Charityʼs subsidiaries accountspursuant to legislation
**3**|2| |Tax returns of the Charityand tradingsubsidiaries
**7**|7| |**Total auditorʼs remuneration**
**113**|102| ||| |**Charges on owned assets**|| |Depreciation and amortisation
**1,375**|1,304| |**1,375**|1,304| ## **13 Financial memoranda** Income and expenditure relating to government grants during the year was as follows: ||**2025**|**2024**| |---|---|---| ||**Total**|**Total**| ||**£’000**|**£’000**| |**Department**|**for Science, Innovation and Technology – coregrant**|| |Income|**111,835**|110,235| |Expenditure|**(111,835)**|(110,235)| ||**–**|–| |||| |**Department**|**for Science, Innovation and Technology – Pioneer Fundprogramme(formerly disclosed separately as DSIT Long-Term Talent Schemes and DSIT Transitional Funding)**|| |Income|**–**|368| |Expenditure|**–**|(368)| ||**–**|–| |||| |**Department**|**for Science, Innovation and Technology – International Science Partnerships Fund**|| |Income|**6,014**|2,201| |Expenditure|**(6,014)**|(2,201)| ||**–**|–| **85** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **13 Financial memoranda continued** |**13 Financial memorandacontinued**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**|| |---|---| |**2025**|**2024**| |**Total**|**Total**| |**£’000**|**£’000**| |**Department for Science, Innovation and Technology – Global Challenges Research Fund**|| |Income/(refund)
**177**|(89)| |(Expenditure)/refund
**(177)**|89| |**–**|–| ||| |**Department for Science, Innovation and Technology – Newton Fund**|| |Refund of income
**(535)**|(672)| |Refund of expenditure
**535**|672| |**–**|–| ||| |**Foreign, Commonwealth and Development Officegrant**|| |Refund of income
**–**|(6)| |Refund of expenditure
**–**|6| |**–**|–| ||| |**Home Office Shared Service Centre**|| |Income
**782**|681| |Expenditure
**(782)**|(681)| |**–**|–| **86** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **14 Intangible and tangible fixed assets** ## **14A Intangible assets** Group and Charity |**14 Intangible and tangible fixed assets**
**14A Intangible assets**
Group and Charity
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**||||| |---|---|---|---|---| |||**Digital**||| ||**Software**|**archives**|**2025**|**2024**| ||**£’000**|**£’000**|**£’000**|**£’000**| |**Cost**||||| |At 1 April|480|1,305|**1,785**|1,591| |Additions|80|58|**138**|184| |Transfers|–|–|**–**|10| |**At 31 March**|560|1,363|**1,923**|1,785| |**Accumulated amortisation**||||| |At 1 April|229|253|**482**|330| |Charge foryear|100|65|**165**|142| |Transfers|–|–|**–**|10| |**At 31 March**|329|318|**647**|482| |**Net book value at 31 March 2025**|231|1,045|**1,276**|–| |Net book value at 31 March 2024|–|–|**–**|1,303| A customer relationship management (CRM) system was completed and went live during 2020/21. The asset costs were reviewed and they met the criteria of an intangible asset. The CRM system continues to be developed and improved, with costs incurred during this process being capitalised. Costs relating to the digitisation of the Royal Society’s archives were deemed to have met the criteria of an intangible asset. The digital archives continues to be developed and expanded, with costs incurred during this process being capitalised. Amortisation of intangible fixed assets is included within the expenditure on charitable activities in Note 6. The Royal Society was contractually committed to spend £19,000 on the acquisition of intangible assets as at 31 March 2025 (2024: £23,000). **87** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **14 Intangible and tangible fixed assets continued** ## **14B Tangible fixed assets** Group and Charity |||**Computers**|||| |---|---|---|---|---|---| ||**Leasehold**|**and other**|**Assets under**||| ||**improvements**|**equipment**|**development**|**2025**|**2024**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |**Cost**|||||| |At 1 April|21,191|4,140|76|**25,407**|24,937| |Additions|347|292|139|**778**|763| |Disposals|(165)|(579)|–|**(744)**|(283)| |Transfers|66|–|(66)|**–**|(10)| |**At 31 March**|21,439|3,853|149|**25,441**|25,407| |**Depreciation**|||||| |At 1 April|14,768|2,748|–|**17,516**|16,640| |Charge foryear|792|418|–|**1,210**|1,162| |Disposals|(115)|(545)|–|**(660)**|(276)| |Transfer|–|–|–|**–**|(10)| |**At 31 March**|15,445|2,621|–|**18,066**|17,516| |**Net book value at 31 March 2025**|5,994|1,232|149|**7,375**|| |Net book value at 31 March 2024|6,423|1,392|76|**–**|7,891| All tangible fixed assets are used for the support of charitable activities within the Society. Depreciation of tangible fixed assets is included within the expenditure on charitable activities in Note 6. ## **15 Capital commitments** ## **Group and Charity** |**15 Capital commitments**
**Group and Charity**|| |---|---| |**2025**|**2024**| |**£’000**|**£’000**| |Authorised and contracted for
19|81| |Authorised but not contracted for
2,320|1,761| |**Total commitment**
**2,339**|1,842| At the balance sheet date, £1,365,000 (2024: £836,000) of capital commitments was authorised for refurbishment of 6 – 9 Carlton House Terrace. Of these commitments £nil (2024: £58,000) had been contracted for by the year end. A further spend of £571,000 (2024: £815,000) had been authorised on IT projects. Other general capital items total £403,000 (2024: £191,000). Of these commitments £19,000 (2024: £23,000) had been contracted for by the year end. **88** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **16 Heritage assets** ## **Group and Charity** The Society holds an extensive collection of heritage assets relating to the history of the Society itself and the wider history of scientific endeavour. The collection has four main components: **Printed works:** The Library contains over 78,000 titles, published from the 1470s to the present day. The main strength of the collection is in the 17[th] and 18[th] centuries; from the 1680s to the mid-19[th] century, the policy of the Library was to acquire every important scientific publication. **Archives:** These comprise an extraordinary and unrivalled record of the development of science that spans nearly 360 years. The archive collection is a unique resource for historians, particularly historians of science, containing over 290,000 items. It includes the manuscript of Isaac Newton’s _Principia Mathematica_ . **Pictures, sculptures, and other works of art:** The collection includes over 300 original works (primary collection) and approximately 10,000 photographs and engravings (secondary collection), many of them portraits of past and present Fellows. **Other artefacts:** The collection comprises approximately 250 items and includes scientific instruments, historic furniture and the Society’s Charter Book. The collections are accessible to scholars and the wider public through the Royal Society’s History of Science Centre, which includes a reference library and an extensive online presence, including fully searchable catalogue and image library. ## **Summary of heritage asset transactions** |**Summary of heritage asset transactions**|| |---|---| |**2025**|**2024**| |**£ʼ000**|**£ʼ000**| |**Purchases/donations**|| |At 1 April
**49,320**|49,300| |Additions
**10**|20| |**Deemed cost at 31 March**
**49,330**|49,320| ||| |**The heritage assets comprise:**|| |Printed books
**13,279**|13,278| |Archives
**22,994**|22,994| |Picture,sculptures and other works of art
**9,294**|9,292| |Other artefacts
**3,763**|3,756| |**Total**
**49,330**|49,320| The printed books and archives were originally valued in August 2003 by Roger Gaskell, a rare book dealer, and the pictures and other artefacts were valued in 2014 and 2015 by Weller King, Fine Art Dealers. The value of the pictures, sculptures and other works of art and other artefacts per the valuations in 2014 and 2015 is treated as the deemed cost for those assets. There were no disposals in the current or prior year. **89** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **16 Heritage assets continued** **Five year financial summary of heritage asset transactions** |**16 Heritage assetscontinued**
**Five year financial summary of heritage asset transactions**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**|||||| |---|---|---|---|---|---| ||**2025**|**2024**|**2023**|**2022**|**2021**| ||**£ʼ000**|**£ʼ000**|**£ʼ000**|**£ʼ000**|**£ʼ000**| |**Purchases/donations**|||||| |Printed books|**1**|–|–|–|–| |Archives|**–**|6|7|16|–| |Pictures,sculptures and other works of art|**9**|14|46|68|2| |Other artefacts|**–**|–|–|–|–| |**Totalpurchases/donations**|**10**|20|53|84|2| Donated heritage assets are recognised in the year they are received. There were no disposals of heritage assets during the year (2024: £nil). Other than heritage assets disposed of in 2021, there have been no other disposals of heritage assets within the last five years. ## **Preservation and management** Expenditure which in the Trustees’ view is required to preserve or clearly prevent further deterioration of individual collection items is recognised in the Income and Expenditure account when it is incurred. The Society has an ongoing cataloguing project and the Society’s major strategic facilities for the long-term preservation of its historic archives, manuscripts and printed books are environmentally controlled store rooms (conforming to British Standard BS EN 16893:2018). The Society’s modern records have been subject to a full audit, completed in April 2011. This process enabled the full-life management, destruction and permanent archiving of pertinent files. Conservation of both old and new archives is now underway. Each of the Society’s major collections (archives, modern records, printed books, pictures, journals, objects) has a designated member of curatorial staff and exhibited materials are looked after by the curator of each new exhibition. Collections are managed and recorded in discrete databases and according to the prevailing standard in each area (for example, International Standard Archival Description (ISAD) for archival cataloguing, SPECTRUM for museum standards and picture control). In 2018, the Society’s archives achieved accredited status (for procedures and service quality) with the UK National Archives. **90** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **17 Investments** ## **Group and Charity** |**17 Investments**
**Group and Charity**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**|| |---|---| |**2025**|**2024**| |**£’000**|**£’000**| |**Valuation at 1 April**
**558,071**|283,369| |Additions of investments
**396,441**|561,759| |Disposal of investments
**(400,902)**|(297,843)| |Net change in cash invested for trades withinportfolio
**4,461**|(263,916)| |Investment management costs
**(2,448)**|(2,163)| |Net cash added toportfolio
**11,061**|251,649| |Net(losses)/gains on valuation at 31 March
**(2,938)**|25,216| |**Valuation at 31 March**
**563,746**|558,071| |**Total historical cost at the end of theyear**
**534,102**|527,862| |**The valuation at 31 March comprises:**|| |Investments listed on a recognised stock exchange includinginvestments and unit trusts:|| |UK
**219,137**|28,087| |Overseas
**325,415**|267,653| |Other unlisted securities:|| |UK
**11,178**|9,901| |Overseas
**1,595**|1,469| |Cash:|| |UK
**305**|25,052| |Overseas
**6,116**|225,909| |**Total**
**563,746**|558,071| Overseas investments comprise equities, unit/investment trusts and fixed interest funds. The Society owns 100% of the issued share capital of the Royal Society Trading Limited (note 26). The company was dormant throughout the current and prior year. The Society owns 100% of the issued share capital of Royal Society (London) Ltd (note 26). The principal activity of the company is corporate sponsorships. ## **Funds are invested as follows:** |**2025**|**2024**| |---|---| |**£’000**|**£’000**| |Specific investments – Amadeus RSEF
**11,092**|9,732| |Specific investments – Theo MurphyAustralia Fund
**3,576**|3,981| |Pooled investments
**549,078**|544,358| |**Total**
**563,746**|558,071| **91** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **18 Debtors** |**18 Debtors**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**|| |---|---| |**2025**|**2024**| |**Receivable**|**Receivable**| |**within one**|**within one**| |**year**|**year**| |**£’000**|**£’000**| |Trade debtors
**926**|1,469| |Grants receivable
**1,569**|3,485| |Legacies receivable
**150**|2,585| |Other debtors
**17**|77| |Accrued income
**525**|484| |Prepayments
**1,200**|910| |**Total**
**4,387**|9,010| As at 31 March 2025 and 31 March 2024, all Group debtors related to the Charity. As at 31 March 2025 and 31 March 2024, all debtors were receivable within one year. ## **19 Creditors** |**19 Creditors**||| |---|---|---| ||**2025**|**2024**| ||**Due within**|**Due within**| ||**one year**|**one year**| ||**£’000**|**£’000**| |Trade creditors|**1,133**|796| |Publications advanced sales|**4,186**|4,546| |Grantspayable|**4,142**|6,592| |Other creditors|**988**|434| |Accruals andprovisions|**1,470**|1,375| |Deferred income|**7,478**|8,473| |**Total**|**19,397**|22,216| Included in the Group creditors are creditors of £5,000 (2024: £4,000) relating to Royal Society (London) Ltd. All other creditors relate to the Charity. At 31 March 2025, there were no creditors due after one year (2024: £nil). ## **Reconciliation of deferred income** |**Reconciliation of deferred income**|| |---|---| |**2025**|**2024**| |**£’000**|**£’000**| |Deferred income brought forward
**8,473**|8,673| |Amount released frompreviousyear
**(8,473)**|(8,673)| |Income deferred in theyear
**7,478**|8,473| |**Total**
**7,478**|8,473| **92** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **20 Contingent liabilities** The Society has an operating lease in respect of occupation of 6–9 Carlton House Terrace, London. The lease is due to expire on 5 January 2064 and a rent review was due on 5 January 2025. The Society has engaged a property specialist to provide advice on the rent review process and it is anticipated that the rent review will take at least 12 months to complete. The lease sets out the methodology for agreeing the rent review and a default ‘holding’ rent should the negotiations not be concluded before the review date. The rent review had not concluded at the time of preparing the financial statements for the year ended 31 March 2025 and the revised rental value cannot be estimated reliably. As such, the financial statements for the year ended 31 March 2025 include annual rent until the review date of £490,000 and, in accordance with the lease, the ‘holding’ rent from 5 January 2025 at 125% of this value. ## **21 Statement of total returns** |**21 Statement of total returns**|||| |---|---|---|---| ||**Expendable**|**Permanent**|**2025**| ||**endowment**|**endowment**|**Total**| ||**£’000**|**£’000**|**£’000**| |**Investment returns**|||| |Investment income|1,756|6,098|**7,854**| |Capitalgains|634|2,099|**2,733**| |Investment management costs|(297)|(1,078)|**(1,375)**| |**Total return foryear**|2,093|7,119|**9,212**| |Indexation|(939)|(3,086)|**(4,025)**| |Less application of total return|(1,710)|(3,750)|**(5,460)**| |**Net total return for theyear**|(556)|283|**(273)**| |**Unapplied total return**|||| |**At 31 March 2025**|12,842|53,622|**66,464**| |At 31 March 2024|13,398|53,339|**66,737**| **93** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **22 Analysis of net assets between funds** ## **Group** |**22 Analysis of net assets between funds**
**Group**
**Notes to the financial statements**
**For the year ended 31 March 2025**|**continued**|||||| |---|---|---|---|---|---|---| ||||**Expendable**|**Permanent**|**2025**|**2024**| ||**Unrestricted**|**Restricted**|**endowment**|**endowment**|**Total**|**Total**| ||**funds**|**funds**|**funds**|**funds**|**funds**|**funds**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Funds balances at 31 March are represented by:||||||| |Intangible assets|1,276|–|–|–|**1,276**|1,303| |Tangible fixed assets|7,375|–|–|–|**7,375**|7,891| |Heritage assets|49,330|–|–|–|**49,330**|49,320| |Investments|44,005|291,732|49,914|178,095|**563,746**|558,071| |Net current liabilities|(10,599)|–|–|–|**(10,599)**|(7,432)| |Creditors: Due after oneyear|–|–|–|–|**–**|–| |Defined benefitpension scheme asset/(liability)|2,390|–|–|–|**2,390**|340| |**Net assets**|93,777|291,732|49,914|178,095|**613,518**|609,493| The net current liabilities in 2025 are funded by investments, which could be realised to meet the net liabilities as they fall due. All net current liabilities in the Group accounts relate to the Charity. There is no material difference in net assets between funds for the Charity and the Group. **94** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **23 Movements on Trust and specific funds in year – Group** |||||**Unapplied**||||||**Unapplied**|| |---|---|---|---|---|---|---|---|---|---|---|---| |||||**total return at**|||||**Transfers/**|**total return**|**Total at**| ||**Relevant**||**Relevant**|**1 April**||**Investment**|||**application of**|**at 31 March**|**31 March**| ||**value b/f**|**Indexation**|**value c/f**|**2024**|**Income**|**gains/(losses)**|**Expenditure**|**Indexation**|**total return**|**2025**|**2025**| |**Permanent endowment funds**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Life Sciences Trust|14,060|366|14,426|5,106|679|234|(120)|(366)|(714)|**4,819**|**19,245**| |Maths and Physical Sciences Trust|12,895|335|13,230|4,719|624|215|(110)|(335)|(656)|**4,457**|**17,687**| |RW Paul Instrument Fund|13,828|360|14,188|7,452|754|260|(133)|(360)|(53)|**7,920**|**22,108**| |Theo Murphy- UK|66,278|1,723|68,001|31,821|3,479|1,197|(616)|(1,723)|(1,906)|**32,252**|**100,253**| |Otherpermanent endowments|11,604|302|11,906|4,241|562|193|(99)|(302)|(421)|**4,174**|**16,080**| |**Totalpermanent endowmentspart of the UTR**|118,665|3,086|121,751|53,339|6,098|2,099|(1,078)|(3,086)|(3,750)|**53,622**|**175,373**| |Funds notpart of the unapplied total return|||||||||||| |Theo Murphy- Australia|3,205||3,205|||(483)|||||**2,722**| |**Totalpermanent endowments**|121,870|3,086|124,956|53,339|6,098|1,616|(1,078)|(3,086)|(3,750)|**53,622**|**178,095**| |||||**Unapplied**||||||**Unapplied**|| |||||**total return at**|||||**Transfers/**|**total return**|**Total at**| ||**Relevant**||**Relevant**|**1 April**||**Investment**|||**application of**|**at 31 March**|**31 March**| ||**value b/f**|**Indexation**|**value c/f**|**2024**|**Income**|**gains**|**Expenditure**|**Indexation**|**total return**|**2025**|**2025**| |**Expendable endowment funds**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |General Trust Fund|13,481|350|13,831|6,350|703|253|(119)|(350)|(735)|**6,102**|**19,933**| |Life Sciences Trust|8,238|214|8,452|2,979|398|144|(67)|(214)|(417)|**2,823**|**11,275**| |Maths and Physical Sciences Trust|4,487|117|4,604|1,643|217|79|(37)|(117)|(228)|**1,557**|**6,161**| |Other expendable funds|9,927|258|10,185|2,426|438|158|(74)|(258)|(330)|**2,360**|**12,545**| |**Total expendable endowment funds**|36,133|939|37,072|13,398|1,756|634|(297)|(939)|(1,710)|**12,842**|**49,914**| Indexation has been applied using the annual CPI rate to March. **95** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **23 Movements on Trust and specific funds in year – Group continued** |**23 Movements on Trust and specific funds in year –**
**Notes to the financial statemen**
**For the year ended 31 March 2025**|**Groupcontinued**
**tscontinued**|||||| |---|---|---|---|---|---|---| ||**Brought**||**Investment**|||**Carried**| ||**forward at**||**and actuarial**|**(Expenditure)/**||**forward at**| ||**1 April 2024**|**Income**|**gain/(loss)**|**pension credit**|**Transfers**|**31 March 2025**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |**Restricted funds**||||||| |Life Sciences Trust|2,180|59|24|(2,531)|588|**320**| |Maths and Physical Sciences Trust|1,657|15|12|(1,964)|814|**534**| |Enterprise Fund|9,732|–|1,620|(260)|–|**11,092**| |Nutrition in Old Age Fund|8,290|251|95|(96)|(21)|**8,519**| |FaradayDiscoveryFellowshipFund|250,519|11,414|(7,557)|(790)|(372)|**253,214**| |Other restricted funds|18,214|125,412|149|(121,936)|(3,786)|**18,053**| |**Total restricted funds**|290,592|137,151|(5,657)|(127,577)|(2,777)|**291,732**| |**Unrestricted funds**||||||| |General Trust Fund|21,805|668|243|(754)|549|**22,511**| |Revaluation reserve|47,541|–|–|–|–|**47,541**| |Defined Benefit Pension Reserve|340|–|869|1,181|–|**2,390**| |Generalpurpose|24,475|11,941|226|(22,995)|7,688|**21,335**| |**Total unrestricted funds**|94,161|12,609|1,338|(22,568)|8,237|**93,777**| ## **Purposes of funds** The objects of the Life Sciences Trust are to promote and advance for the general benefit of the public, including the scientific (science, medicine, engineering and technology) community, the study and investigation of, and research into all areas of life sciences and other science at the interface between this area and other areas of science. This shall be done in particular by supporting scientists working in this area, advancing engagement of the public in all matters relating to such science and providing the best possible scientific advice and information to those making policy in the area of life science. The objects of the Mathematics and Physical Sciences Trust are to promote and advance for the general benefit of the public, including the scientific (science, medicine, engineering and technology) community, the study and investigation of, and research into all areas of mathematics and physical sciences and other science at the interface between this area and other areas of science. This shall be done in particular by supporting scientists working in this area, advancing engagement of the public in all matters relating to such science and providing the best possible scientific advice and information to those making policy in the area of mathematics and physical science. Following the Deed of retirement of the other trustees the property and investments of the RW Paul Instrument Fund were transferred to the sole remaining trustee being the Royal Society. The application of the income from the portfolio is restricted to the provision of grants under the Paul Instrument Grants Scheme. The Theo Murphy Funds (in the UK and Australia) were created through a bequest from the estate of the late Theo Murphy. The funds “shall be used or applied to further scientific discovery in the fields of medicine, science, technology and engineering”. The Australia Fund will carry out activities in Australia in accordance with the will. The objects of the General Fund are to promote and advance for the general benefit of the public, including the scientific (science, medicine, engineering and technology) community, the efficiency and effectiveness of the Royal Society and its Fellowship. This shall be done in particular by establishing, promoting, supporting and maintaining, for the general benefit of the public and the scientific community, its activities, premises, fixtures and fittings, equipment, libraries and archives, general publications and the history of science. **96** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **23 Movements on Trust and specific funds in year – Group continued** The Enterprise Fund was created by generous donations in support of the Society in making equity investments in innovative early-stage businesses emerging from the science base in the UK and elsewhere. The Nutrition in Old Age Fund was established following the receipt of a legacy for the study of nutrition in old age. The Faraday Discovery Fund was established in 2024 following the receipt of £250 million from the Department for Science, Innovation and Technology (DSIT) to deliver a new mid-career Fellowship. The funding will support outstanding researchers and scientists for up to ten years to pursue groundbreaking discovery-led research in STEM subjects. Other restricted funds comprise monies received to fund separate restricted projects in line with our charitable activities and are held as separate individual funds in our accounts. No individual balance is in excess of £5 million on 31 March 2025. The Revaluation reserve relates to the revaluation of the heritage assets, which arose prior to the transition to FRS 102. The Transfers between projects and funds include administration charges of the investments held in the trusts, administration costs reclaimed from projects where applicable, notional interest paid to projects in respect of income held during the year and any income released to the general reserves at the end of projects (where allowed under the gift or grant agreement). ## **24 Financial Commitments – Group and Charity** At 31 March 2025 the Society had the following commitments: Total future minimum lease payments under a non-cancellable operating lease in respect of occupation of 6–9 Carlton House Terrace, London is as follows for each of the following periods: |**2025**|**2024**| |---|---| |**£’000**|**£’000**| |Less than oneyear
**490**|490| |One to fiveyears
**1,960**|1,960| |Over fiveyears
**16,660**|17,150| |**Total**
**19,110**|19,600| The lease is due to expire on 5 January 2064 and a rent review is due on 5 January 2025. It is anticipated that the rent review will take at least 12 months to complete. Agreements and commitments to fund research professorships/fellowships and other grants at 31 March 2025 totalled £392.0 million (2024: £273.0 million). Of these, £105.0 million (2024: £100.0 million) are due in less than one year, and £287.0 million (2024: £173.0 million) in between two and five years. There are no grants payable in more than five years. As the Society retains the discretion to terminate these grants, they are treated as liabilities of future periods and will be financed by specific grants or other income receivable in those periods. The Society has entered into investment contract commitments totalling £46,000 (2024: £48,000) payable at dates yet to be agreed. **97** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **25 Pension obligations – Group and Charity** The Royal Society (the Employer) operates a defined benefit pension arrangement in the UK called the Pension and Life Assurance Plan of the Royal Society (the Plan), with assets held in a separately administered fund. The Plan provides retirement benefits on the basis of members' final salary. The Plan is closed to new members, although remains open to future benefit accrual, and provides benefits on a defined benefit basis. The most recent valuation of the Plan under FRS 102 was carried out as at 31 March 2025. The valuation of the Plan used the projected unit method and was carried out by Barnett Waddingham LLP, professionally qualified actuaries. The Scheme surplus is recognised as an asset as at 31 March 2025 because the Society is able to recover the surplus either through reduced contributions in the future or through refunds from the plan. The FRS 102 liability does not include any allowance for discretionary benefits. The Plan is subject to the Statutory Funding Objective under the Pensions Act 2004. A valuation of the Plan is carried out at least once every three years to determine whether the Statutory Funding Objective is met. As part of the process, the Employer must agree with the trustees of the Scheme the contributions to be paid to address any shortfall against the Statutory Funding Objective and contributions to pay for future accrual of benefits. The full actuarial valuation at 1 January 2022 showed a decrease in the deficit from £8,732,000 to £5,967,000. It was agreed with the Trustees that the Employer pay a lump sum of £310,000 on or before 30 April 2023, and £103,333 per month for the period 1 April 2023 to 31 December 2026 to meet the deficit. At 31 March 2025, the Employer expected to make contributions to the Plan during the year to 31 March 2026 of around £1,240,000 (2025: £1,840,000). Contributions payable by the Employer in respect of future benefit accrual were at the rate of 38.4% of pensionable salaries, although it was agreed in August 2024 to pause these contributions due to the Plan's favourable funding position. Contributions payable by the Employer in respect of expenses were at the rate of £15,500 per month. After the end of the reporting period, the triennial valuation of the scheme at 1 January 2025 was agreed on 30 June 2025. The full actuarial valuation at 1 January 2025 showed an improved position from a deficit of £5,967,000 to a surplus of £2,651,000 on a technical provisions basis. It was agreed with the trustees of the Plan that the Society would cease paying deficit payments of £1,240,000 per annum, previously agreed under the 2022 triennial valuation’s a four-year recovery plan, and that contributions payable by the Employer in respect of expenses would pause from the period 1 July 2025 to 30 June 2029, after which they will restart at a rate of £17,135 per month. Contributions payable by the Employer in respect of future benefit accrual and expenses recommenced from 1 July 2025 at the rate of 12.8% of pensionable salaries. Members' contributions are 7% of pensionable salaries and did not change as a result of the latest valuation. Life cover and dependants’ pensions in respect of death in service are provided by additional insurance premiums. **98** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **25 Pension obligations – Group and Charity continued** The principal assumptions used to calculate Plan liabilities include: ||**2025**|**2024**| |---|---|---| ||**% pa**|**% pa**| |Inflation(RPI)|**3.20**|3.25| |Inflation(CPI)|**2.80**|2.80| |Salaryescalation|**2.00**|2.00| |Increase topensions inpayment* – subject to LPI minimum 4%|**4.25**|4.25| |Increase topensions inpayment* – subject to LPI|**3.05**|3.05| |Statutoryrevaluation|**2.80**|2.80| |Discount rate|**5.85**|4.90| |Pre-retirement mortalitytable|**105% of S4NA**|105% of S3NA| |Post-retirement mortalitytable|**105% of S4NA**|105% of S3NA| |Post-retirement mortality projection|**CMI_2023 projections**
**with LTR of 1.25% pa**|CMI_2022 projections| ||**and initial addition of**|with LTR of 1.25% pa| ||**0.25% pa. The 2020**|and initial addition of| ||**and 2021 weight**|0.25% pa. The 2020| ||**parameters are both**|and 2021 weight| ||**0% and the 2022**|parameters are both| ||**and 2023 weight**|0% and the 2022| ||**parameters are both**|weight parameter is| ||**15%**|25%| |Tax free cash|**20% ofpension**|20% ofpension| |Withdrawals|**None**|None| * Pensions in payment increase by the lesser of the annual increase in the retail price index or 5%. For service prior to 1 November 2001 this is subject to a minimum increase of 4%. Under the mortality tables and projections adopted, the assumed future life expectancy at age 60 is as follows: |**2025**|**2024**| |---|---| |Male currentlyaged 40
**27.8years**|27.8years| |Female currentlyaged 40
**30.5years**|30.6years| |Male currentlyaged 60
**26.2years**|26.3years| |Female currentlyaged 60
**29.1years**|29.2years| **99** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **25 Pension obligations – Group and Charity continued** The assets in the Plan were: |**Value at**|**Value at**| |---|---| |**31 March**|**31 March**| |**2025**|**2024**| |**£ʼ000**|**£ʼ000**| |Equities
**9,225**|5,406| |LDI Portfolio
**11,747**|14,408| |Multi asset fund
**4,934**|7,655| |Cash
**11,657**|12,266| |Annuity policies
**2,782**|3,379| |**Total market value of Plan assets**
**40,345**|43,114| |Present value of scheme liabilities
**(37,955)**|(42,774)| |**Netpension asset**
**2,390**|340| The assets do not include any investment in the Employer. ## **Reconciliation of present value of scheme liabilities** |**Reconciliation of present value of scheme liabilities**|| |---|---| |**Value at**|**Value at**| |**31 March**|**31 March**| |**2025**|**2024**| |**£ʼ000**|**£ʼ000**| |**Defined benefit obligation at 1 April**
**42,774**|43,288| |Current service cost
**136**|168| |Contributions byPlanparticipants
**65**|74| |Interest cost
**2,057**|2,019| |Benefitspaid
**(1,696)**|(1,676)| |Experience loss on liabilities
**8**|355| |Changes to demographic assumptions
**(176)**|(269)| |Changes to financial assumptions
**(5,213)**|(1,185)| |**Defined benefit obligation at 31 March**
**37,955**|42,774| **100** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **25 Pension obligations – Group and Charity continued** ## **Sensitivity analysis of the scheme surplus/(deficit)** The sensitivity of the present value of the scheme surplus/(deficit) to changes in the principal assumptions used is set out below. |||**Change in**| |---|---|---| |||**liabilities**| ||**Change in assumption**|**£ʼ000**| |Discount rate|-0.10%|493| |Rate of inflation*|-0.10%|(128)| |Commutation|No commutation|(83)| |Mortality – long-term improvements|1% pa long-term rate of mortality|| ||improvements|(221)| |Mortality – no weight on pandemic data|2022 and 2023 weight|| ||parameter set to 0%|362| * Other assumptions linked to the rate of inflation are also assumed to change appropriately ## **Reconciliation of fair value of scheme assets** |**Reconciliation of fair value of scheme assets**|| |---|---| |**Value at**|**Value at**| |**31 March**|**31 March**| |**2025**|**2024**| |**£ʼ000**|**£ʼ000**| |**Fair value of scheme assets at 1 April**
**43,114**|42,764| |Interest on assets
**2,104**|2,032| |Contributions bythe Employer
**1,546**|1,760| |Contributions bySchemeparticipants
**65**|74| |Benefitspaid
**(1,696)**|(1,676)| |Administration costs
**(276)**|(121)| |Return on Plan assets less interest
**(4,512)**|(1,719)| |**Fair value of scheme assets at 31 March**
**40,345**|43,114| The actual return on Plan assets in the year was a loss of £2,410,000 (2024: gain of £310,000). **101** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **25 Pension obligations – Group and Charity continued** **Analysis of the amount charged to the statement of financial activities – operations** |**25 Pension obligations – Group and Charitycontinued**
**Analysis of the amount charged to the statement of financial activities – operations**
**Notes to the financial statementscontinued**
**For the year ended 31 March 2025**|| |---|---| |**Value at**|**Value at**| |**31 March**|**31 March**| |**2025**|**2024**| |**£ʼ000**|**£ʼ000**| |Current service cost
**136**|168| |Administration costs
**276**|121| |Interest cost
**2,057**|2,019| |Interest on assets
**(2,104)**|(2,032)| |**Total charge**
**365**|276| |**Actuarial gains and losses**|| |**Value at**|**Value at**| |**31 March**|**31 March**| |**2025**|**2024**| |**£ʼ000**|**£ʼ000**| |Losses on scheme assets in excess of interest
**4,512**|1,719| |Experience losses on liabilities
**8**|355| |Gains from changes to demographic assumptions
**(176)**|(269)| |Gains from changes to financial assumptions
**(5,213)**|(1,185)| |**Actuarial(gains)/losses**
**(869)**|620| The Royal Society (the Employer) operates two pension schemes and contributes to the Royal Society Group Personal Pension Plan (defined contribution). During the year ended 31 March 2025, employer contributions to this scheme totalled £1,075,000 (2024: £928,000). On 24 March 2023, the Society’s last contribution-paying member ceased to accrue benefits in the USS multi-employer defined benefit scheme therefore a ‘cessation event’ occurred under the employer debt regulations. A section 75 debt became payable from the Society to USS and this was paid in November 2023. The Society has paid its Section 75 debt in full and discharged any other outstanding obligations to the USS. The Society is not subject to the USS debt monitoring framework and is not required to submit annual attestations to the USS Trustee, but the scheme considers the Society to be a participating employer for covenant purposes. The latest actuarial valuation report for the scheme showed a surplus of £9.2 billion at 31 March 2024, and the likelihood of additional contributions is considered to be remote. **102** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **26 Subsidiary undertakings** The Society also owns 100% of the £1 called-up and issued share capital of Royal Society (London) Ltd 08808518. Royal Society (London) Ltd company has been set up to process corporate sponsorships at the Society. ||Royal Society (London) Ltd| |---|---| ||**2025**
**£’000**
**2024**
**£’000**| |**Results for theyear ended 31 March:**|| |**Trading income**|| |External income|**40**
65| |Cost of sales|**–**
–| |**Grossprofit**|**40**
65| |Administrative expenses|**(5)**
(4)| |**Operating profit**|**35**
61| |Qualifyingcharitable donationpayable to Parent Charity|**(35)**
(61)| |**Result for theperiod**|**–**
–| |Total funds brought forward at 1 April|**–**
–| |**Total funds carried forward at 31 March**|**–**
–| ||| |**Balance sheet as at 31 March:**|| |Current assets|| |Debtors|**1**
–| |Cash at bank and in hand|**52**
86| ||**53**
86| |Creditors: amounts fallingdue within oneyear|**(53)**
(86)| |**Net current liabilities**|**–**
–| |**Capital and reserves**|| |Called upshare capital|**–**
–| |Profit and loss reserve|**–**
–| |**Shareholderʼs funds**|**–**
–| The Society owns 100% of the £1 called-up and issued share capital of Royal Society Trading Limited 06967016. Royal Society Trading Limited was dormant in the year ended 31 March 2025. Royal Society (Australia) Pty Limited ACN 126112678 is the Trustee of the Royal Society Theo Murphy (Australia) Fund. It is an Australian company, the shares of which are wholly owned by the Society. **103** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **27 Prior year comparison – Consolidated statement of financial activities** (incorporating an income and expenditure account) ## **For the year ended 31 March 2024** |||||**Expendable**|**Permanent**|**2024**| |---|---|---|---|---|---|---| |||**Unrestricted**|**Restricted**|**endowment**|**endowment**|**Total**| |||**funds**|**funds**|**funds**|**funds**|**funds**| ||**Notes**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Income and endowments from donations and legacies|1|2,576|480|–|–|3,056| |FaradayDiscoveryFellowshipFund|1|–|250,000|–|–|250,000| |**Income from charitable activities**||||||| |Grants for charitable activities|4|9|120,212|–|–|120,221| |Tradingin furtherance of charitable activities|3|10,203|894|–|–|11,097| |||10,212|121,106|–|–|131,318| |Other tradingactivities|3|25|40|–|–|65| |Income from investments|2|1,604|1,708|1,927|6,602|11,841| |Other income||–|10|–|–|10| |**Total income**||14,417|373,344|1,927|6,602|396,290| |||||||| |Expenditure on raisingfunds|5|750|538|309|1,079|2,676| |**Expenditure on charitable activities**|6|||||| |Grants to fund scientific research||2,562|102,686|–|–|105,248| |Providingscientific advice forpolicy||2,768|2,995|–|–|5,763| |Promotingscience education and engagement||8,155|2,583|–|–|10,738| |Supportingscientific collaboration,nationallyand internationally||6,979|14,170|–|–|21,149| |Recognisingscientific excellence||52|329|–|–|381| |||20,516|122,763|–|–|143,279| |**Total expenditure**||21,266|123,301|309|1,079|145,955| |||||||| |**Net(expenditure)/income before netgains/(losses) on investments**||(6,849)|250,043|1,618|5,523|250,335| |Netgains on investments|17|3,243|2,647|4,421|14,905|25,216| |**Net(expenditure)/income for theyear**||(3,606)|252,690|6,039|20,428|275,551| |Gross transfers between funds|22|7,079|(2,076)|(1,676)|(3,327)|–| |Actuarial losses on defined benefitpension scheme|24|(620)|–|–|–|(620)| |**Net movement in funds**||2,853|250,614|4,363|17,101|274,931| |Total funds brought forward||91,308|39,978|45,168|158,108|334,562| |**Total funds carried forward**||94,161|290,592|49,531|175,209|609,493| **104** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **28 Prior year comparison** **Analysis of net assets between funds – Group** |**28 Prior year comparison**
**Analysis of net assets between funds – Group**
**For the year ended 31 March 2025**|||||| |---|---|---|---|---|---| ||||**Expendable**|**Permanent**|**2024**| ||**Unrestricted**|**Restricted**|**endowment**|**endowment**|**Total**| ||**funds**|**funds**|**funds**|**funds**|**funds**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Funds balances at 31 March are represented by:|||||| |Intangible assets|1,303|–|–|–|1,303| |Tangible fixed assets|7,891|–|–|–|7,891| |Heritage assets|49,320|–|–|–|49,320| |Investments|42,739|290,592|49,531|175,209|558,071| |Net current liabilities|(7,432)|–|–|–|(7,432)| |Defined benefitpension scheme asset|340|–|–|–|340| |**Net assets**|94,161|290,592|49,531|175,209|609,493| **105** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued** ## **For the year ended 31 March 2025** ## **29 Prior year comparison** ## **Movements on Trust and specific funds in year - Group** |||||||**Carried**| |---|---|---|---|---|---|---| ||**Brought**||||**Investment**|**forward at**| ||**forward at**||**(Expenditure)/**||**and actuarial**|**31 March**| ||**1 April 2023**|**Income**|**pension credit**|**Transfers**|**gains/(losses)**|**2024**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |**Permanent endowment funds**||||||| |Life Sciences Trust|17,560|751|(123)|(704)|1,682|19,166| |Maths and Physical Sciences Trust|16,137|690|(113)|(647)|1,547|17,614| |RW Paul Instrument Fund|18,851|802|(131)|(47)|1,805|21,280| |Theo Murphy- UK|88,095|3,748|(612)|(1,568)|8,436|98,099| |Theo Murphy- Australia|3,142|–|–|–|63|3,205| |Otherpermanent endowments|14,323|611|(100)|(361)|1,372|15,845| |**Totalpermanent endowment funds**|158,108|6,602|(1,079)|(3,327)|14,905|175,209| |**Expendable endowment funds**||||||| |General Trust Fund|18,125|774|(124)|(718)|1,774|19,831| |Life Sciences Trust|10,256|438|(70)|(411)|1,004|11,217| |Maths and Physical Sciences Trust|5,605|239|(38)|(225)|549|6,130| |Other expendable endowments|11,182|476|(77)|(322)|1,094|12,353| |**Total expendable endowment funds**|45,168|1,927|(309)|(1,676)|4,421|49,531| |**Restricted funds**||||||| |Life Sciences Trust|3,483|(8)|(2,188)|793|100|2,180| |Maths and Physical Sciences Trust|2,619|41|(1,958)|792|163|1,657| |Enterprise Fund|9,478|–|(298)|–|552|9,732| |Nutrition in Old Age Fund|7,294|318|(51)|(18)|747|8,290| |FaradayDiscoveryFellowshipFund|–|250,556|(37)||–|250,519| |Other restricted funds|17,104|122,437|(118,769)|(3,643)|1,085|18,214| |**Total restricted funds**|39,978|373,344|(123,301)|(2,076)|2,647|290,592| |**Unrestricted funds**||||||| |General Trust Fund|19,215|828|(701)|561|1,902|21,805| |Revaluation Reserve|47,541|–|–|–|–|47,541| |Defined Benefit Pension Reserve|(524)|–|1,484|–|(620)|340| |General Purpose|25,076|13,589|(22,049)|6,518|1,341|24,475| |**Total unrestricted funds**|91,308|14,417|(21,266)|7,079|2,623|94,161| |**Total for all trusts**||||||| |Life Sciences Trust|31,299|1,181|(2,381)|(322)|2,786|32,563| **106** STRATEGIC REPORT GOVERNANCE **FINANCIAL STATEMENTS** OTHER INFORMATION ## **Notes to the financial statements continued For the year ended 31 March 2025** ## **29 Prior year comparison continued** |**29 Prior year comparisoncontinued**
**Notes to the financial statemen**
**For the year ended 31 March 2025**|**tscontinued**|||||| |---|---|---|---|---|---|---| |||||||**Carried**| ||**Brought**||||**Investment**|**forward at**| ||**forward at**||**(Expenditure)/**||**and actuarial**|**31 March**| ||**1 April 2023**|**Income**|**pension credit**|**Transfers**|**gains/(losses)**|**2024**| ||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|**£’000**| |Maths and Physical Sciences Trust|24,361|970|(2,109)|(80)|2,259|25,401| |RW Paul Instrument Fund|18,851|802|(131)|(47)|1,805|21,280| |Theo Murphy- UK|88,095|3,748|(612)|(1,568)|8,436|98,099| |Otherpermanent endowments|14,323|611|(100)|(361)|1,372|15,845| |Theo Murphy- Australia|3,142|–|–|–|63|3,205| |General Trust Fund|37,340|1,602|(825)|(157)|3,676|41,636| |Other expendable endowments|11,182|476|(77)|(322)|1,094|12,353| |Enterprise Fund|9,478|–|(298)|–|552|9,732| |Nutrition in Old Age Fund|7,294|318|(51)|(18)|747|8,290| |FaradayDiscoveryFellowshipFund|–|250,556|(37)|–|–|250,519| |Other restricted funds|17,104|122,437|(118,769)|(3,643)|1,085|18,214| |Revaluation reserve|47,541|–|–|–|–|47,541| |Defined Benefit Pension Reserve|(524)|–|1,484|–|(620)|340| |Generalpurpose|25,076|13,589|(22,049)|6,518|1,341|24,475| |**Total**|334,562|396,290|(145,955)|–|24,596|609,493| **107** STRATEGIC REPORT GOVERNANCE FINANCIAL STATEMENTS **OTHER INFORMATION** ## **Reference and administrative details** ## **President** Sir Adrian Smith ## **Treasurer** Professor Jon Keating ## **Biological Secretary** Dame Linda Partridge* Sir David Baulcombe*** ## **Physical Secretary** Professor Sheila Rowan ## **Foreign Secretary** Professor Alison Noble Sir Mark Walport ## **Members of Council** Professor Robin Allshire** Professor Stephen Barnett Sir David Baulcombe*** Professor Doreen Cantrell Professor Sarah Darby Professor Gideon Davies Professor Anne Dell* Professor Annette Dolphin Dame Athene Donald* Professor Alison Etheridge* Professor Carlos Frenk Professor Yvonne Jones Professor Marta Kwiatkowska** Professor Tim Palmer Professor Robin Perutz* Professor Anne Ridley Dame Nancy Rothwell** Dame Julia Slingo* Professor Krishnaswamy VijayRaghavan** Professor Ian Walmsley** Dr Stephen West Professor Eric Wolff** ## **Audit Committee Chair** Richard Bacon ## **Executive Director** Dame Julie Maxton ## **Key Management Personnel** Katie Coupar-Evans, Director of Development and Scientific Programmes Mary Daly, Chief Financial Officer Richard Gascoigne, Director of IT Dr Katy Gearing, Programme Director, Industry and Sector Engagement (until 31 March 2025) Bill Hartnett, Director of Communications Linda Kelly, Director of Human Resources Dr Rupert Lewis, Chief Science Policy Officer (until 15 April 2025) Dr Paul McDonald, Director of Grants Programmes Lesley Miles, Chief Programmes, Partnerships and Engagement Officer Dr Alan Pitt, Director of Fellowship, Strategy and Governance Rod Cookson, Director of Publishing Ian Wiggins, Director of International Affairs ## **Statutory auditor** BDO LLP 2 City Place, Gatwick RH6 0PA ## **Bankers** Natwest Group 1 Princes Street, London EC2R 8BP ## **Investment managers** Mercer Limited 1 Tower Place West, Tower Place, London EC3R 5BU ## **Internal auditors** Crowe UK LLP 55 Ludgate Hill, London EC4M 7JW ## **Lawyers** Stone King LLP 91 Charterhouse Street, London EC1M 6HR Withers LLP 20 Old Bailey, London EC4M 7AN ## **Registered address** 6 – 9 Carlton House Terrace London SW1Y 5AG - Until 29 November 2024 > ** Appointed 29 November 2024 > *** Member of Council appointed Biological Secretary on 29 November 2024 **royalsociety.org** **108** Registered Charity Number 207043 The Royal Society is a self-governing Fellowship of many of the world’s most distinguished scientists drawn from all areas of science, engineering, and medicine. The Society’s fundamental purpose, as it has been since its foundation in 1660, is to recognise, promote, and support excellence in science and to encourage the development and use of science for the benefit of humanity. The Society’s strategic priorities emphasise its commitment to the highest quality science, to curiosity-driven research, and to the development and use of science for the benefit of society. These priorities are: - The Fellowship, Foreign Membership and beyond • Influencing - Research system and culture - Science and society - Corporate and governance ## **For further information** The Royal Society 6 – 9 Carlton House Terrace London SW1Y 5AG **T** +44 20 7451 2500 **W** royalsociety.org Registered Charity No 207043 Issued: July 2025 DES9315