HONOURABLE ARTILLERY COMPANY (Charity Registered in Engl&nd and Wales Number 208443) Report of the Court of Assislints And Flnancial Statements For the year ended 31 October 2024 CONTENTS Membership of the Courl of Assistants.................... Annual Report of the Court of Assistants....................... Independent Auditorfs Report..... . 10-13 Consolidated Statement ol Finaneial Activities ..... . 14-15 Consolidated ad Charity Balance 5heets....... . 16 Con501idated Statement of Cash Flows....... 17 Note5 lo the Financial Statements.................... . 18-37
The Membership of the Court of Assistants The Membership of the Court OE Assistants of the company ¥ at 31 October 2024 was: EX-OFFICIO MEMBERS Captain General His Majesty the Kin¢ President Gener31 Sir Roland Wker KCB DSO ADC Gen Vice-Pre5ident Major I C S Morpeth fD Treasurer 'eutenan£ Colonel S l R HlIdaY TD Regtmental Colond Colonel H I P Wilkinson Commanding Officer Lieutenant Colonel G R Cobb VR Senior Major Major C O L Wragg VR Captain of the Company of Flkemen & Muske¢eer5 Officer Commanding the knght Cavalry Major A H S Gabb TD A R Willis VR HONORARY MEMBERS HRH Prince Michael ol Kent GCVO, Royal Honorary Colonel 8rigadier General joe Milano AHAC Thè Lord Mayor. Sheriffs, Aldermen and Recorder ol London for the tim• being *Not Trustees of the Company TWENTY.ONE MEMBERS Appointed by ihe Commanding Officer Captain A l Kerslake Appointed by the Caurt ofA55iStoftts'. Seryeant Norman S R C Eleaed oi the onftuol General court on 20 Morch 2024.. l G Brooke Esq Lieutenant Colonel l R Longbottom MBE QVRM VR Major D Brigden TD Colonel R S T Murphy QVRM TD Captain T H Cardwell Major C V Marment VR Major T L Dawe5 TD Major S C Briggs TD M I Cutteddge Esq Malorj A Robinson VR Lieutenan¢ Colonel K Eze E A Seabrook Esq Major W H Grove VR Major l F Sivyer VR Captaln H R le• Major H D N M Voyafittis VR Major General S F N Lalor CB TD Maior P D C Vyvyan-Robinson TD Major S A C Hou95emayne du Boulay PRINCIPAL EXECUTIVE OFFICERS OF THE COMPANY Chief Execuuve: T M L Sim50n Esq Court & Membership Secretary.. D A K Freeman LVO Director of Financè.. S Hewe¢t FCCA Direttor of Cacèring & Events.. Ms S McQueen House Manager. H W Green Esq
Hon•urable Artillerv Company ANNUAL REPORT OF THE COURT OF ASSISTANTS ('THE COURT,) The Court submits its annual report and the audited Einancial statements of the Company lor the year ended 31 Cktober 2024. The Court has adopted the provisions OE Financial Reporting Standard 102 (FRS 1021, Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to Charitie5 pIeparins their account5 in accordance with FRS 102 and the Charities Art 2011 in preparing the annual report and financial statements of the Company. REFERENCE AND ADMINISTRATIVE INFORMATION The Honourable Artillery Company (the Company or Charity) is a company incorporated by Letters Patent and resi5tered with the Charity Conunission for En8land and Wales under Charity number 208443. The Company is administered from it5 principal address at: Armoury House, City Road, London ECIY 2BQ. Details of the Trustee5 and executive officers are shown on page l. Particulars OE the Charity's professional advisers are shown on page 8. STRUCTURE, GOVERNANCE AND MANAGEMENT Govemins Document The governing document of the Charity is the Letters Patent granted by His Majesty Kin8 Henry Vlll on 25 August 1537. Governing Body The Company 15 govemed in civil affairs and finance5 by a Court of Assistants {'the Court,), whose members are the Trustees of the Company, whose membership is sel out on pase l. The Court delegates authority lo committees appointed from amongst its mernbers, to some of which certain other peisons are co-OPted. ReCltMent and Trainins of Trustees There are nominally 32 Trustees on the Court. Nine of these are Ex-officio appointments. Of these, two are the Vice-Presidenl and Treasurer who are Civil Chiefs, elected by the Court for two and three years respectively, helpin8 to provide continuity to the Court. Both these positions are elected by and from within the body ol the Court. Up to three Trustees are appointed, one of which can be appointed by the Commanding Officer and Nvo by the Court. Consideration of the balance of Skills, expertise and experience of Trustees is an essential component in the selection of the Court appointees. Twenty Trustees are elected by the membersbip and the result of the ballot is declared al the Company's Annual General Court, which is held in March each yèar. As at the report dale, Iwo Trustee post5 were unfilled.. one Ex-oflicio and one appointee. Trainins ha5 been oFEered lo Trustees throughout the year. tn addition, each member is issued with copy of the booklet The Essential Truslee CC31 published by the Charity Commi55iOn. to provide a source of permanent reference. Trustees are also encouraged lo attend external trainin8 courses where this is considered appropriate. Or8ani$ational Manasement The Court meets ten times per yèar and is legally responsible lor the overall management and control of the civil afEairs of the Company. Detailed work is undertaken by a number of cOunItteeS, eomprisin8 the Executive Committee, Property Committee, Sutling Committee, Membership Committee. Audit Committee, Sports ComJnAttee. Treasures Committee, and Benevolent Fund Cornmittee. Committee meetings are scheduled accordiTh8 to the amount of work involved, with additional meetings being arransed il more activity is required. rhe committees submit a formal report to the next following meeting of the Court and approval is sought for any decisions which are
Honourable Artillerv Compan outside the terms OE reference of the committee. In addition. there 15 a team of specialist investment advisers who meet up to four times per year to review and offer advice on the performance of the Compan5 investments and property portfolio as well a5 the choice of tnvestment Portfolio Manager. Day-to-day operation of the Company is delegated to the Chief Executive and the Company Offitt, who have authority to operate within the constraints of the approved budget. Quarterly Management Accounts and updated current year Forecasts, are reviewed by the Court, and in addition monthly management accounts, including a balance sheet and 12 month cash flow, are reviewed by the Executive Committee. The Company's Ions term Busines5 PLan is reviewed by the Executive Committee and the Court from time to time. The authorisation of at least one Trustee is required for all payments above £30.0(K). Remuneration A Retntmeration Committee was forrned in the spring of 2016. The Committee met in 2024 to review submission reviewing the remuneration of the staff of the Company Office. T followed a benchmarkin8 of salaries in 2024. Group St(tUre and Relationships The Charity has three wholly-owned non<haritable sub5idiaries'. HAC Enterprises Limited and HAC Flank Comphnies, Ball Limited, both of which carry out fundraising activities for the Charity,, and Pencelli Limited, which wa5 set up lo hold the assets of the Welsh Pencelli Estate situated in the Brecon Beacons. The activities and performance o( the tradin8 companies are discussed below. Risk Management tn accordance with the Courvs Iiisk Management Poliry paper of 20 October 2009, the Company maintains a formal risk register. This is reviewed regularly and systematically by the Court committees and the Company Office. Risk5 are identified at committee level or by the Company Office. They are assesged as to their likelthood and impact, and the measures taken lo mitL8ate the risks are listed and evaluated with judgement rnade on whether the mitigation actions are acceptable or whether further action is required. There are two major risks to the Company: The temporary loss of the use of Artnoury House a5 a facility due to an UDforeseen event. This risk has been rnitigated by insurance eover for business interruption up to four years, and adequate buildins5 insurance cover. However. it is noteworthy that while the impact of COVID-19 was clearly an unforeseen event and impacted the commercial activities of the Company, it was outside the scope of the business interruption insurance cover. The loss of income from the hire of the Artillery Garden lor commercial events, should the main user terminate their contract or planning consent lor the temporary slrueture be withdrawn by the local authority. Although there would be a major loss of income to HAC Enterprises Ltd, the impact on the Company 15 not considered signilicant enough to adversely impact the Company's ability to continue meetin8 its current charitable obligations. OBJECTIVES, ACTIVITIES AND PUBLIC BENEFIT The main actlVLties in the year to meet the Company's objectives, public benefit and the Trustees, duty under section 17 of the Charities Act 2011 are set out below.
Honowr*ble Artillery Company Charitable Objective5 The dritable objective5 OE the Company are defined as,'for military exercise and trainin8 and for the better defence of the realm. and, to this end, it Uses its freehold property al Armoury House as a base for its military unst, a Regiment of the Army Reserve. To meet the requirements of the Charities Act 2011, the Court agreed an updated articulation of the Compan5 Objectives. These are.. support to the HAC Regiment and the HAC'S City of Lnndon Special Constabulary Detachment; support to the Compan5 eeremonial sub-units- conservation of Company treasures,. maintenance and utilisation of the Company's estate- support for the Benevolent Fwid.. sustaining Company membership. and maintaining the Company's long-term financial sustainability. Tt should be noted that the HAC'S City of London Special ConslabuLary DetaCThent is currently in suspended animation peThdin8 an ongoing Teview as lo the future role and make up. Aims and Intended Impacl To meet these obje(live5, the Company s aims are lo further improve its facilities with a view to preserving the Regiment's place in the British Army's Order of Battle by eneourastng improved recruiting for and retention within all elements of the Company; to run commercial activity as necessary to ensure the Company's long-term financial sustainability,. and to conserve the Company, estate and the Compan$ Heritage Assets (treasures) for posterity. Objective8 for the Year The main objectives for the year were supp(>rting the HAC Re8imenl in its recruiting and retention efforts and fulfilling the Company's wider charitable aims, both in the immediate term and by providing lor the Company'5 long-term sustainability, in phrt throu8h continued commercial use of its facilities. Public Benefil During the year the Court of Asslstants has, in exercisin8 its powers and duties, complied with the duly in Section J7 of the Charities Act 2011 to have due regard to the guidance on public benefit published by the Charity Commission, Ln particular, it ha5 provided public benefit in that the Company.. Supported the Regiment with welfare for the individuals and families of those deployed in Line with policy, provision ol trainins space on the Artillery Ciarden, on the parade square and in Armoury House. In 2023/24 the Company made annual grants totalling £432k, of which £351k were cash grants and £81k were non-cash grants. Refurbished 15 Bunhill Row lo provide additional office space foi the HAC Regiment's barracks c05tin8 £232k Provided training and Einancial support totallins £25k. to the Combined Cadet Force al the City ol London Aeademy, Islington. Provided trainins and facilitie5 Wlthin Armoury House for the City 0£ London Police Cadets. Provided accommodation withln Armoury House for the Pikemen & Muskeleer5 and the Light Cavalry. These sub-units provide displays to the 8eneral public and ceremonial guards for State Occasions and City events. Sustained Company mernber5hip at around 2.51K) members. Members made an annual tonlribution of £337k to the Charity durin8 the year. Conserved the Company's eslale at Armoury House and the Artillery Carden, makin8 facilities available to the Regiment and the Special Constabulary Detachment as required. The Pencelli Estate in the Brecon Beacons National Park is used for trainin8 purptTrses, not just by the HAC. but by a large and varied number of otheT military and cadet unit5. Throughout the
Honourgble Artillery Company summer the ground5 have been made available weekly to a London Borough of Islinston primary school for games and recreation. Contributed to the engagement of a Warden and volunteets on the Brecon Beacons National Park to help ensure this public facility is not damaged by illegal off-road bicycles and vehicles. £118k of mainly Welsh Govemment Grant money ha5 been spent on peat restoration and Pliblic access path maintenance in the Pencelli Estate this year. Maintained the HAC Benevolent Fund for HAC members and other eligible beneficiaries and provided insurance cover for Resimenlal member5 mobilised on operational duty. The Outcome of the Charity's Work The HAC Re8iment. Is parl of the Reserve Forces and 15 a body of trained tnanpower ready at appropriate notice to deploy as individuals on short duration military operations or as a fOrna body for general war. The Charity's support for the Resirnent enables il lo be the best recruited Reserve Forces unit in the British Arrny, with a high level of tentIOn as consequence of the financial and material 5UPPOrt received that supports its trainin8, recruiting. welfare and Lmit cohesion. The location ol the site, coupled with the facilities that the Re8iment can offer through the Company, means that the Regiment's recruits tend to be of high calibre and amenable to a higher level of training in the short periods that they are in uniform. Durin8 the period, member5 of the Re8iment have been deployed operationally to the Balkans, Ifaq, and Hawau. The Re8imenl has also deployed acr055 the UK on a range of operations and training events, in support of the UK Defence and NATO partners. Ceremonial Sub-units. As regular forees reduce, the demand on the Company 05 Pikemen & Musketeers and the Lishl Cavalry for ceremonial Support in and beyond the city increases. The 5ub-unit5 dre able to meet this added tempo thanks to the support that the Company gives them in terms of grants for equipment and facilities for trainin8, Storage and control. Cadets. The cadet contingents that the Company support5 make a marked difference to the lives of those young people involved from the local community, from which Ihe CCFS are drawn. By promotin8 discipline, self-reliance and teamwork it is reported that performance of cadet5 elsewhere in the curriculum is improved. The MembeTship. One of the roles of Members is lo act a5 advocacy network for DeEenee aDd Security throughout the country. The Company's programme of lectures, and the facilities the Company provides for veteran and serving reserves to interact, keeps this network informed, active and relevant. The Hou8e and Artillery Garden. The House and Garden act as a backdrop to offices and home5 in the Finsbury area. It LS the largest open space in Islington and is used by the Re8imenl for low-level training. This mean5 that the Regiment is able to run Lts own Phase I Ibasicl trainin8 weekends and trainin8 nights which enable it to Set particular store by its standards and develops Regimenlal ethos and cohesion from the start. The Strate8y for Achieving Ihose Outcome8 In order to achieve our 8oals, the Charity tnust 5imultaneou51y maintain its estate, both in London and in Wales, such that it is avadable for training and ceremonial purposes, whilst at the same time using it to raise funds that Can then be granted to the beneficiaries to support their work. Particularly in London, where space is at a premium. this involves judgement and constant, detailed attention to the application of a broad strategy that sees the needs of the Re8iment come first, with unused space then ade available for eommercial use. Grant Making Policy The Company make5 annual srants lo the Resimenl lor expenses, such as adventurous training and recruitlns. These grants are fixed on an annual basi5 followin8 discussions with the Comtnanding
Honour*ble Artillery Comp&ny Officer. If the Comrnanding Officer makes additional applications for grants durin8 the year. then these are considered by the Court on an qd koc basis and will nomially be met. provided that financial circumstances allow. In some circumstances, grants are made to individuals to allow specific training to be undertaken or to support other military purposes. The Benevolent Fund, which is disclosed as a 'restricted' fund of the Company, makes grants to indivAdua15 connected with the Company, in aCCOTdance with the Benevolent Fund Trust Deed. Volunteers The Court is grateful to those members of the Company who give freely OE their tirne in support of the Company. tn view of the wide sphere of activities in which members support thè Company, evaluation of this activity has proved impraeticable. REVIEW OF ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR Operational Perforniance of the Company The Company hhs provided Arnioury House, the Artillery Garden and the Pencelli Estate for the use of its Military Unit, its Special Constabulary Detachment (eurrently inactive) and its ceremonial sub- units throughout the year. It has also provided financial support to all these elements of the Conipany. Its commercial activitie5 on the Artillery Garden and in the House, have resulted in a positive contribution by commercial activities to the Companrfs result for the year. InveslmeDI Performance against Objeclives Realised and unrealised 8ains on listed investments were £1,148k12023.. £204kl. This broadly reflects stock market performance over the period. FINANCIAL REVIEW AND RESULTS FOR THE YEAR The consolidated statement of financial activities shows a nel surplus for the year of É1,205k 12023 delitit.. £14,035lkl. The 2024 surplus includes an investment property revaluation loss of £151lk and 8ains on listed investments of £1,148k. The net operatin8 surplus before the property revaluation and gains on listed investment in 2024 was £108k {2Q23.. deEicit £1643lkl. The chiel reason for the difference between 2023 and 2024 was the exceptional expenditure in 2023 on refurbishing the basement of Finsbury Barracks. The Company's wholly owned subsidiaryi FL4C Enterprises Ltd continued lo carry out fwid.raisin8 activities for the Charity. Net income from trading was £962k12023.. £1,091kl. The tradin8 subsidiary made or will make a charitable donation to the Company tolalling £962k {2023.. £1,091kl. At 31 October 2024, the total consolidated net a55et5 of the Company, as shown by the balance sheet, were £57,401k12023.. £56,196kl. The net assets of the Company do not include the market value of freehold and leasehold properties used for the Company's charitable purposes, or the value of the Company's military and similar artefacts acquired prior to l November 2005. No value has been placed upon the arlefacts. It is considered impractical to apply conventional valualion techniques to the collections, due to their unique nature. Freehold And leasehold propertie5 used for charitable purposes are included in the financial statements at cost, as permilled by FRS102. Details of Ihe re- buildin8 insurance value5 of these properties are siven in Note Ila of the financial statement5.
Honourable Artillery Company Cash Flows The consolidated statement of cash flows shows net cash used in operatins activities for 2024 of £(2,1 l5lk {2023.. £12,178lk) and net cash provided for investing activitie5 for 2024 of £99Tr {2023- £1,839kl. Cash balances excliidins cash held by investment managers at 31 October 2024 stand at £,3,128k of which £2.708k represent5 cash in Unrestricted funds (2023.. £3,844k of which cash in Unrestricted funds was £3,073k). Reserve5 Policy The Court Policy On unrestricted funds is to hold a general reserve of not less than £lm in aggresate. This is to be held in a mixture of cash and short-tenn deposits. This reserve accommodates cashflow requirements through the business cycle and provides a degree of resilien under adverse conditions. The balance on this reserve at 31 October 2024 was £l,IX)Ok. A designated Medium-Term reserve OE not less than a further £lm is held to provide additional resilience and ensure forecast capital eXPendire needs are funded. This Medium-Term reserve is held in highly Liquid asset classe5 within the mana8ed investment portfolio asset allocation. The balan on this reserve at 31 October 2024 stood at £I,(0k. A Long-Term designated reserve with a thr8et of £10 million has been established to meet the future need5 OE the HAC Resimenl and is held in a mix of asset classes within a managed investment portfolio. Al 31 October 2024 the balance on the Long Tem reserve wa5 £6,905k. Investment Policy and Objectives The Company ain75 to maximise total return with a balanced approach to seekin8 income and capital Tetum. Fundralsxns Policy Our approach to fundraising is lo seek donations from our membership and from our commercial contacts. We do not actively seek donations from the 8eneral public. We do not Use third parties to help us with fundraisin8. During the year we did not receive any complaints related to our fundraising activities. FUTURE PLANS The Company's priorities continue to be lo improve the support given to the FL4C Regiment in terms of both financial backin8 and the standard of the facilities made available. lo provide financial support lo the City of London Academy Islington {HACI Combined Cadet Forces, and to provide financial support when appropriate to the Company of Pikemen & Musketeers and the Li8ht Cavalry. These priorities were confirmed by the Court in January 2019 and remain irntact. They wiu be reviewed in 2025. In support of these priorities. work is planned to Convert flwrs 14 of 14 City Road from offices to residential flats. The tsading outrorne OE HAC Enterprises Ltd for Financial Year 2024/25 is anlicipaled to be an improvement to 2023124, as we see a retum to normal tradin8 after the uncertainty of a chanse in Governmenl and the resultins bud8el in 2024.
HonourAble Artillerv Com any Statement of the Court's Responsibilities The Court is responsible for preparing the Annual Report of the Court of Assistants and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practi1. The law applicable to charitie5 in Ens]and aThd Wales requires the Court to prepare financial statements for each linancial year that give a true and fair view of the state OE the aEfairs of the Group and Charity and of the incorne and expenditure of the Group for that peri(Kl. In preparing these finaneial staternents, the Court is required to.. select SULtable accountins policie5 and then apply them consistently. observe the methods and principles in the Charities SORP IFES1021. ake judgments and estimates that are reasonable and prudent. state whether applicable accounting standards have been followed. subject to any material departures disclosed and explained in the financial statements. prepare the financial statements on the goin8 concern basis unless il is inappropriate to presume that the Charity wiu continue in business. The Court is regpon5ible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial p0511ion of the Charity and enable it to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Resulatt'ons 2(K)S and the provisions of the Letterg Patent dated 25 August 1537, associated Royal Warrants and Rules and Orders. Thecourt 15 also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irre8uLarities. Professional Advisers Details of professional advisers are given below.. Audilor Buzzacott Audit LLP 130 Wood Street, London EC2V 6DL Solicitor5 Charles Russell Speechlys LLP Boodle Hatfield LLP 5 Fleet Place, London EC4M 7RD 240 Blackfriars Road, London SEI 8NW Bankers National WestmÉThster Bank PIC I Prince$ Street, London EC2R 8BP Property Agents Daniel Walney LLP 165 Fleet Street London EC4A 2DW Investment Manasers Evelyn Partners 25 Moor8ate, London EC2R 6AY Auditors Buzzacott Audit LLP have indicated thelr willingnes5 to continue in office and in accordance with the provisions of the Charities Act 2011 it is proposed that they be reappointed auditors to the Charity and the Group Eor the ensuin8 year.
Hom•rOble Artluery CompiTry By Otaer of the Court of Asjistants Lieuten or¢el S J R Halliday,Treasurer Datw. January 201
Honourable Artillery Company INDEPENDENT AUDITOR'S REPORTTO THE COURT OF ASSISTANTS ITHETRUSTEESI OF THE HONOURABLE ARTILLERY COMPANY Opinion We have audited the fknancial statements of the Honourable Artillery Company lthe'parent Charity'} and its subsidiaries Iihe'group'l for the year ended 31 October 2024 which comprise the consolidated statement of financial activities, consolidated and parent Charity balance sheets, consolidated statement oEcash flows, and the notes to the financial statements including a summary of the principal accounting policies. The financial reportin8 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). In our opinion, the financial statements.. give a true and fair view of the state of affairs of the group and of the Charity as at 31 October 2024 and of the sroup's incorne and expenditure for the year then ended. have been properly prepared in accordance with United Kinsdorn Generally Accepted Accounting Practice,. and have been ptrpared in accordance with the requirements of the Charities Ael 2011. Basis for opinion We conducted our audit in accordance with Fnternational Standards on Auditins IUKI IISAS IUK}I and applicable law. Oui Trsponsibilities under those standards are further described in the audilogs responsibilities for ihe audit of the financial slalements ?*ection of our report. We are independent of the group in accordance with the ethical requirements, that aTr relevant lo our audit of the financial 5taletnents in the UK, including the FRC'5 Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to 80in8 concern tn auditing the financial statements, we have concluded that the Trustees, use of the goin8 concem basis of accountins 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, tnay cast Sl8nifi¢ant doubt on the ability of the group or Charity to continue as a goins concern for a period of at least twelve months from when the financial statements are authorised lor issue. Our responsibilities and the responsibiliiies of the Trustees with respect to 80in8 concem are described in the relevant sections of this report.
Honourable Artillery Compan Other inforniaiion The other inEOrntlon cornprises the information included in the Report of the Court oEA5SlStants and financial statements, other than the financial statements aThd our auditor'5 report thereon. TheTnJ5tees are responsible for the other information. Our opinion on the finhncial statements does not cover the other infomiation and we do not express any Eorn) of assurance coThclu5ion thereon. Our responsibility Is to read the other information ard. in doing so, eonsider whether the other information is materially incon5iStent with the financial statements. or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material iticonsistencies or apparent material misstalement5, we are required to detemiine whether this SLveg rise to a material misstatement in the financial statements themselves. If, based on tLie work we have performed, we conclude that there is a material misstatement of this other inEomiation, we are required to report that fact. We have nothing to report in this regard. Malters oft which we are required to Teport by exception In the light of the knowledge and understanding of the Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the report of the Court of Assistants. We have nothing lo report in respect of the fouowing matters in relation to wknch the Charities (Accounts and Reports) Regulations 2008 requires us to report lo you if, in our opinion.. the information given An the report of the Court of A5515tants is inconsistent in any material respect with the financial statements,. or sufficient accountin8 records have not been kept by the Charity,. or the Charity fin8claI statements are not in a8reement with the accounlins records and retums,. or we have not received all the information and explanations we require for our audit. Re8pon81bililie6 of Truslees As explained more fully in the statement of the Court's responsibilities. the Trustees are responsible for the preparation of the financial statements and for being satisfied that they slve a true and fair view, and for such inlemal control a5 the Trustees determine is necessary to enable the preparation of financial Statements that are free from material mi55talement, whether due to fraud or error. In preparing the financial statements. theTru5tees are responsible lor assessing the ability of the group and Charity to continue as a soins concem, disclosin8, as applicable, matters related to going concem and using the going concern basis of accountin unles5 the Trustees either intend to liquidate the group or Charity or to cease opèrations, or have no realistic alternative bul lo do so.
Honourablt Artillery Cornpany Auditor'$ responsibilities lor the audit of the linancial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from malerlal misstatement, whether due to fraud or error. and lo issue an auditor's report that include5 our opinion. Reasonable assurance is a hish level of assurance but is not a guarantee thal an audit conducted in aecordance with ISA5 K) will always detect a material misstatement when it exists. Misstatement5 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. egularities, including Eraud, are instances of non-compliance with laws and regulations. We desi8n pr¢xedures in line with our responsibillties, 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.. Our approach to identilyins and assessing the risk5 of material niisstatement in respect of irregularities, includin8 Iraud and non-compliance with laws and regulations, wa5 as follows.. The engagement partner en5UTed that the engagement team collectively had the appropriate cotnpetence, capabilities and skills to identi(y or recognise non-compliance with applicable laws and resulations; We identified the laws and regulations applicable to the group and Charity through discussions with manasement and from our knowledse and experience. We focused on specific Law5 and resulalions which we considered may have a direcl material effect on the financial statements or the operations of the 8roup and Charity, including the accounting framework referred lo above and the Charities Act 2011,. and We assessed the extent of compliance with the laws and règulations identified above through making enquiries of representatives of management and the review ol minute5 of Court meetings. We assessed the susceptibility of the financial statements to material mi5$1atement, includin8 obtaining an understandins of hgw fraud might wcur, by.. Makin8 enquiries of mana8ement as lo where they considered there was SU5ceptibiLity to fraud and knowled8e of aCal, suspected and alleged fraud,. and Considering the internal controls in place to mitisate risks of fraud and non-compliaThce with laws and resulalion5. To address the risk of fraud through mana8ement bias and override of controls, we.. Performed analytical pr(Kedures to identiEy any unusual or unexpected financial relationships,. Tested and reviewed journal entries to identify unusual transactions,. Tested the authorisation of expenditure,.
Honourabl¢ Artillery Company Gained an under$tandin8 of the processes in place for the managemeni of the Charity's investments,. and nvestigated the rationale behind significant or unusual financial transactions. In response to the risk ofj irregularities and non<ompliance with laws and regulations, we designed procedure5 which included, but were not limited to.. Reviewtng the minutes of rneetin85 of those charged with governance; Enquiring OE manasement as to actual and potential litigation and claims,. and Agreeing financial statements disclosures to underlying supportins documentation. There are inherent limitations in our audit procedures described above. The more removed that laws and resulations are from Flliancial transactions, the less likely it is that we would become aware of non<ompliance. Auditing Standards a150 limit the audit procedures required lo identify non- compliance with laws and regulations to enquiry of the Trustees and other mana8ement and the inspection of regulatory and legal correspondence, if any. Material mi55tatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities for the audit of the financial statements is located or4 the Financial Reportin8 Council's website at www.frc.org.uklauditorsre5ponsibilities. This descrlption (omis part of our auditorfs report. Use of OUT report Thi5 report 15 made solely to the Charity's Trustees, as a body, in accordance with section Part 4 of the Charitie5 (Accounts and Report51 Resulations 2(J)8. 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 pern)itted by law, we do not accept or a55ume 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 opinion5 we have formed. Buzzacott Audit LLP C Statutory Auditor 130 Wood Street London EC2V 6DL Date.. 25 July 2025 Buzzacott Audit LLP is eligible to act as an auditor in tenns of section 1212 of the Companies Act 2006
Honourable Artillery Company CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITtES Year endea 31 Oetober 2024 Totsl Umestricted Re$trl¢ted 314)tt Funds Funds 2W44 £OOD Total 314)ct 2023 Note INCOME AND ENI)OWMENfs FROM.. Donations amd lega¢ie8 i(y> 123 Charitable actlvities.. Member subscriptions Other inairne 337 323 331 31 Other tradlrtgactlvities 1413 91 04 Inve5tmenl8: tnvestrnent PTI?perty incorne Li>ied inveBtments InteTegt on cash dep(Isits 173 21 228 21 222 Total incomè 16 1699 623 SJ22 5,096 EXPENDITiJRE ON.. Ral$ln8 Fumd8 Tradins ¢o$ts Investment propcrty costs InvcBtment Tnana8emeThtchargL¥ 1.448 228 7) I19 22 57 1296 307 60 Charltable acllvltie8'. Military srants and other chaTLIAbie expenditure Mhiiilcnanceand operatithi ol ArmtsuTy Hr>use Metnbership bervice$ •Ad 8entral administration I,ocv4 1.715 1209 IA32 io IJ1 lJJ92 929 Total expendltu 16 4.69) 5214 5,739 Net oper•th8 IncDMellexpendlTt) 49 GaimallloD8e•l (tyn inveytmenl# Nei ¥aiii ()n List¥d investments Inv¥htment proporly revaluation Ilossl l2 Ilc 714 1.148 15ll 204 13%61 Nel incomelleypeThditurtl Ind nel movemenl Ln hjndj for year 712 493 ¥205 (¢0351 Fund$ broushl fonvard at l Ntwember2011 16 ,9J5 S.261 56,196 6Q,231 Fwid$ ¢arried forward at31 Oclober2024 17 51,647 5,754 57.401 56,196 The NotosoTh pa8e5 18 to 37 form part of these linancial staieinents.
Honourable Artillery Company CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES YeHr eded 31 October 2023 Total 31- Oct 202.1 Uttrestwted RÉStrtErf Fultds Note INCOMEAND ENDOWMENTS FROM.. DonAtion$ l¢grt¢ie$ 122 123 Charit7ble ALti7Jxtie&' Membersubsrriplions Other 323 313 331 342 Other trAdig ActivitTes 2J31 2.404 rnLshncl prnpgrty iM¢ome Listed Interest on ctt$h dryo$tts 1fj84 137 1,684 222 85 16 4.474 622 s96 EXPENDITURE ON.. Roisinx FutrTd5 Tradinx co$ls Inwslmeml Property Costs Inlyeglment cknrges ,218 307 34 78 1,296 307 60 26 ChoNtable Acttvltles.. Militoryxriinls other chorilAbIe exyenditUTt Mainlenanceqlld trpey#lion of AMllrY Hoiise Membershp seruicts s1tdgePTArf7iI1p1I$1YOIllm 1,.543 1.432 928 372 1,715 1,4J2 929 Jo Total rApelldlt¥ve 16 5.262 477 5,739 Net operrftimx tNCOFJIt 17881 145 ILosse$llg41s an iMvcstMe¥rl Net (lossl/x#tn on LI$1 illveslme41s 12 11¢ 114 13,596 13.596 Net lerpeKdttwrE)linr(AThtand movana In httids foryear 14,270) 235 140351 FU 081 lorward al l Novtsthr2022 16 .55,205 SIJ26 60,231 Funds TleA0Yd ot 31 O¢lobtr 2023 50,935 .5261 56.196
Honourable Ar111rY Com CONSOLIDATID & CHARITY BALANCE SHEETS 31 OC7OBER 2024 2024 Group Group Chatlty Charlty Flxed T&n8ible asseLq- owft use Tan8iblo assets - Light C&v&try Tangible a8sets- Herltage &4se& Investment prowtie5 Intangible asseb- software- own uae LiSa invatmeiits ShAreholdin8 ift 5ubsidiarles Total flxed *0gets Ila Ilb Ilb llc Ild 12 13 4,745 21 147 37292 54Q 4A16 4,211 23 147 3743 147 147 37. 1188 io, 11.588 301 10,253 301 J42YI J4811 542fO 51783 C)ztttnl a88et• Stock Debtors pleYments Short-term deposlts Cash it bank And in Iwid 14 1,296 1501 627 669 1907 937 2,262 1,270 1,987 1,828 t162 4J28 4519 4127 4278 l.l¥bllltlw. C.reditorN fallin¥ due within one ye.ar 11321) 11.134) 19921 19tr31 Net current Asseb 3,107 3.135 NEf ASSErs S6,196 $7AOi 56,158 CHARITABLE FUNDS General bund 16&17 16&17 16&17 1,984 7,IK5 6.158 42,742 41793 6.120 42,793 FAxed Asset Fund 41742 51,647 5,754 51,647 50,897 5,261 R¢Jtrlcted Fund• 16&17 5261 TOI'AL CHARLTABLE FUNDS JO.158 The tinancial statements were approved by the Court of Assigtants on 28 Januory 2D25 and are $igned oft its behall by-. Ic( Major I C S Morpel i¢evPre8ident Lieutenant Co one J R HalUdayTD, Tre••uter 16
Honourable Artillery Company CONSOLIDATED STATEMENT OF CASH FLOWS YEAR ENDED 31 OCTOBER 2024 Total Funds 31-Oel 2024 Tol•l Funds 31-Oe12023 £000 Note Cash fl¢¥5 Irom operatln8 activities.. Net cash Iu5edl itt opÈratin8 activitie8 Cash flows from inveslin8 actlvities." Dividends. Interest and rent fvom Jnveslments PuTcha$e of tanglbleatd intan&ble a&sels PtsTchase of invc'bttnents- listed investmeiits tA"8posal of invEStrncnts- ljsted investtnents {I1151 12.1781 I,Y69 13831 I2,9) 2,269 ),915 11,2601 1,214 12 Net¢oh provtded by lrtvestlns artlvltles IA39 Ch•n8e irl cash and ¢tsh equlvalenls in repoYtirt8 period Caqh and cash equivalen15 asal l Nvvember2023 11.1191 4,452 13391 4.79) Cash and cash equivalents 19 at3J Oelober 2024 3333 4A52 2024 Z023 Reconciliatlon of rtet Incomellexpefftdlbjre) to nel cash flow Irom operatithg actIde Nel 1rt¢omelexpendlture (or the Ypor15ng perlod Note 1.205 14P351 AdjuJtmertts for.. DepreciAtiort Ckdrxes.. Deprtciaiioii, arnorli%ation & impaiTmeni, l(xK8an dibwjs Light Cavalry and PikeTnen & NketeerS deprociatlon IGainl on Listed investmLinL Lw un Investment Property Revaluation 171 13 195 Ila/lld l2 121MI 51 Investment proFrly ir0e Listed invc5tTnen18 Inrtst on cash deposit Decrease in $tock5 Ilnrrea5el/D¢crvase in ddjiors Increase in creditoig 11.noi 12261 I1,{4) 12221 1627) 187 107 76 Nel cuh luged Inllsetteriltd by operallns aflivltles (1115 {11781 Art*lysl$ o( cajh and cash equlvaienlb Chsh In hand Notsce depusits Ileys than 3 monthsl 627 2XII 937 2,907 3,128 205 3333 3044 Cash held wlth Investment managen Totsl cash and cash ¢quivaltnt8 4452 Rec()ntiliation ol net debt.. At31 October 2024 Cash flow8 At l November 2023 Cash and Cashequivalents
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 l. Constitution and subsidiaTies The Honourhble Artillery Company was incorporated by Letters Patent on 25 August 1537 ard is registered as a Charity {registration number 2084431. The subsidiary group companies are.. -HAC Enterprises Limited IcollLpany registration no. 016774(KII -HAC Flank Companies. Ball Limited {company registration no. 022664081 -Pencelli LAmited (company registration no. 03724227) 2. Accountin8 Policies Accoufttig CONventio The Charity ts a public benefit entity for the purposes of The Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and therefore the financial statements have been prepared in accordance with Aceounting and Reporting by Charities.. Statement of Recornmended Practice appticable to charities preparing their financial Statements in aeeordan with FRS 102 (Charities SORP FRS102}, the Charities Acl 2011 and FRS 102. The Einancial statements have been prepared to give a'true and fair, view and have departed from the Charities (Financial statements and Reports) Regulations 2008 only to the extent required to provide a'trtse and lair view,. This departure has involved followin8 the Charities SORP FRS 102 rather than the earlier version which it replaced. Consolxdotio The financial statements of the Company include those activities of the Company which have a material effect on its financial position or resu115. Certain funds, in particular those of the Old Comrades, AssLKiation, have not been included because they are not material. The consolidated Financial statements include the financial statements of the Company and it8 three subsidiaries, HAC Enterprises Limited, HAC Flank Companies, Ball Limited and Pencelli Limited. The financial statements vf the Company of Pikemen & Muskeleers and the Li8ht Cavalry are included as part of the Company s Einancial Statements for the financial year. The Unconsolidated Balance Sheet of the Company is shown alon8side the Consolidated Balance Sheet, in the format recommended by tlie Charities SORP FRS 102. A separate Statement of Financial Activitie5 for the Company is not pre5enled as permitted by the Charities SORP FRS 102. Coing concern The Trustees have assessed the use of the going concem basis for preparin8 the financial staternents of the Company and its three subsidiaries. The Trustees are satisfied that the 80ins concern basi5 is appropriate and have referred to the approved budget for Dexl year and the latest 5 year business plan and 10 year financial projections to arrive at this conclusion and are satlsEied that the Company has sufficient resources to meet its ongoins liabilities and that it can continue in operational existence for the foreseeable fUre. The Company therefore continues to adopt the 80ing concern basis in preparing its financial statement5.
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 Iconl'dl Income al Donations and legacie5 are recognised when they are received or when the Company has tegal entAtlexnent and receipl is probable. bl Member subscriptions are recognised when receivable and reeeipt is probable and are net of applicable VAT and are accounted for on an accruals basis. Gift aid reclaimed on subscriptions paid under Deed of Covenant is recosnised when receivable and receipt is probable. cl Other income is recognised when receivable less any provision for bad debt. d) Income from Tradins Activities which includes sutling, grounds hire, bedrooms, car parkins, the Flank Companies, Ball and miscellaneous sales is recosnised when receivable net of any provision for bad debt and accounted for on an accruals basis. el Investment property income represents rental incory, licence EeÉ income and miscellaneous income from the investment property portfolio comprisins commereial and residential properties located around the perimeter of the Artillery Carden, and the Pencelli Estate. The income is recognised when receivable net of any provision for bad debt and accounted for on an accruals basis. fj Listed investment income represents dividends received or accrued in the period. gl Interest on cash deposits 15 reco8nised when received or accrued in the period. ExpeNditsre al Trading costs of sutling, grounds hire, bedrwms. car parking, cost of the Flank Companies. Bau and cost OE miscellaneous sates are recognised as incurred and accounted for on an accrual's basis. Tradins c05t5 include an all((alion of total payroll cos15 for Company staff, contract and temporary staff, with the allocation being based on a percentage estitnate ol the time spent on tradin8 activities. The allocation is reviewed èach year. Tradin8 Costs also included an allocation of utilities and general office overheads a8reed each year. bl Investment properly c05t5 include the mana8in8 a8enl's fees and repair and maintenance and void cost5 and are reco8nised as incurred. Costs paid for by the Company are accounted for on an accruals basis. cl Investment management char8es by Evelyn Partners are paid directly from Ihe UnrestrictedlRestricted Pooled Fund and Benevolent Fund and are reco8nised whenchar8ed lo each Fund.
Honourable Artillery Cornpany NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 (cont'dl dl Military grants to the Honourable Artillery Company Regiment are agreed by the Court of Trustee5 each year and recognised as incurred. Other ad hoc grants and donations are agreed by the Court of Trustee5 and accounted for on an aecruals bas15. el The costs of maintaining and operating Armoury House for Company usa8e is net of the It(Kation OE payroll and utility ttS all(Kated to trading activities. fl The cost of support for the Membership and thè cosl of general Company administration and overheads is net of the allocation of general overheads to trading activities. Covernance Costs included in general overheads relate to the direct costs aSslated with the constitutional and statutory requirements of the Company and include the costs of external audit, secretarial and other constitutional related costs. Othergaxms losses al The listed investments in the UnrestrictedlRestricted Fooled Fwid and Benevolent Fund portfolios are valued each quarter and the total valuation change for the financial year is included in the Statement of Financial Activity ISOFAI together with realised 8ains and losses on disposals in the year. bl The investment properties are professionally revalued every 3 year5 with desktop valuations in the intervening year5. The valuation chan8e sinee the previous valuation is included in the SOFA as an Ue8[l$ed gain or loss. D¢signAted Restsycted F%ffAs Income and expenditure related to the desisnated and restricted funds are included in the consolidated SOFA. T4TNgible Affd intrtngiblefixed asS¢t$for OWN us¢ Freehold and leasehold land in use by the Company at the Artillery Garden and Pencelli have been valued ¢lt cost. No value is attributed to Armoury House oilier than Ihe Ci1Pltalised cost of alterations. Other assets are stated at cost less depreciation, ealculated ¢)n a straighl-line basis as follows.. Alterations to property Plant. fixtures and equipment Computer5 and other electIonic equipment Software 20/25/30/601150 years 10/15/20 years 3 to 5 years 5 years Tangible assets- Hrritage assets No value L5 attributed to the Company's collection ol memorabilia and trea5ure5 acquired prior to l November 2005 which are cmsidered to be part of its heritage and the deprecialed historical cost is not material. Treasures acquired (rom l November 2tK15 have been capitalised al cost. Heritage assets are not depreciated a5 their useful life is considered to be indefinite. Detailed Iecords of Herita8e assets are managed by the Museum and Treasures Committee who are a150 responsible for the ongoing preservation. •n
Honourabl¢ Artillery Company NOTES TO THE FINANCiAL STATEMENTS Year ended 31 October 2024 (convdl AC5$ to Heritage assels is available by written request to the Museum and Treasures Comrnirtee. Investmertts (ittclmdingproperties held as investments) Investment5 are stated in the Balan Sheet al market value5 applying at the financial period end. Stocks Stocks are stated at the lower of cost and net realisable value. Cash Amd cash equ¢vAlexts Cash and cash equivalents include cash in hand. deposits held at call with banks, other short-term liquid investments with original maturities of three months or les5. Firt47nciql insttvmefvt$ The Company has elected to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12'0ther Financial Instruments Issues, of FRS 102 to all of 115 financial instruments. Financial Anstrument$ are recognised in the Company's balaTh sheet when the Company becomes party to the contractual provisions of the instrument. B¢Tsi¢finurtcial assets Basic finaneial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price includins transaction cost5 and are subsequently carried at amortised c05t Using the effective interest method. BasicflftaKciAI li47bilitie$ Basic financial liabilities, including trade and other creditors, are inilially reco8nised at transaction price and subsequently measured at amortised cost using the effective interest method. Judgemexts and key sources of estimation uNcertAinty In the application 0£ the Company 5 accounting policies, the Trustees are required lo make judsements, estimates and assumptions about the carryins amoLmt of a55ets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may difEer from these estimates.
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 Icont'dl The estimates and underlying assumptions are reviewed on an on80ing basis. Revisions to accountins estimate5 are recognised in the peri(xl in which the estimate is revised where the revision affects only that pericd, or in the period of the revision and future periods where the revision affects both current and fure periods. The following judgements (apart from those involving estimates) have had the most signlficant effect on amounts recognised in the financial statements.. a) The annual depreciation charge for property, plant and equipment is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investrnents, economic utiiisation and the physical condition of the assets. See note Ila and Ilb for the carryins amount of the property, plant and equipment and the accounting policy above for the useEuJ economic lives for each class of a55et. b) The Group uses the valuation performed by its independent professional valuers every 3 years as the fair value of its investment properties. The valuation is based upon the key assumptions of estimated rental values and market-based yields. With regard to redevelopments and refurbishmenls, future development costs and an appropriate discount rate are also used. In determining fair value, the vhluers make reference to market evidence and reeent transaction prices for similar properties. The Trustees consider any change in values in between formal professional valuations. Management considers the Significant assumptions to the valuation of investment properlie5 to be estimated rental values and market-based yields, tO8elher with general observation5 as to the stale of the market at the Balance Sheet dale.
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 {cont'dl Donations and lesacies 2024 £o(M) 2023 Benevolent Fund Other Restricled Funds 106 120 Restricted Funds Unrestricted Funds Total 109 122 113 123 Member 8ub8eriptions 2024 £000 319 53 135) 2013 £O(Ml 296 59 132) Paid by members Tax recovered on Gift Aid subseriptions VAT payable on subseription income Total 337 323 Other Income 2024 £000 104 264 368 31 2023 £OLMJ 103 239 342 Iiii Pikemen & Musketeers income Light Cavalry income Restricted funds Other Events - unre5tri¢ted funds Total 399 331 Other Irading a¢tivitie8 2024 2024 2024 2023 Income Expenses Surplusl IDefi¢iil £(M)O 981 151 13 Surplu81 (Defieltl £000 1,218 50 22 £0 2,001 £000 11,0201 11331 1991 Sullins Sports & grounds activities Bedrooms Car parklng Sale of books, ties, card5 and other income Audit fee5 Administration char8e 112 {41 iioi (1821 13 (io} (1821 iioi 11821 2,413 91 {1,448} 171) 965 20 1,113 151 Unrestricted Funds Flank Companies, Ball- restricted funds 2,504 11,5191 985 1,108 Total
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENrs Year ended 31 Oclober 2024 {conYdl 6. Other trAdillg activitles 2023 Income 2023 2023 Surylusl (Deficit) £000 1.218 50 22 Expenses £000 1,958 238 118 £fjoo (740) (188) (96) SullipLg Sport5 &grounds aclivsties BedrooTrts G7Y porkEng Sole L7f books, t5, cards 17nd oiher income Audttfvs AdmzJtisEration charge 15 13 (io) (182) (io) 1182) Unrestricled Fiinds Fthnk Companies, Ball- restrictedfurtds 2,331 73 11,218) 178) 1,113 15) Tot&1 2,404 (1.296) 1,108 Investment Property income and expenditure Income Commercial Residential Other rental income 2024 2023 £000 827 455 438 £000 874 394 416 TotAI income 1.720 1,684 Expendlture Man36eMent fees {includins the Pencelli estate) Insurance. legal and professional fees Maintenance and repairs 55 59 147 169 Total expendilure 228 307
Honour#ble Artillery CompHnv NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 (cont'd) Military grants and other charitable expenditUTe Noof Grants 2024 47 19 Noof 2024 Grants 202:. £000 2023 £oo( 432 47 38: 32 232 Grant5 to the Regiment and Sub Units- unrestricted Grants from the Benevolent Fund to individuals Vambrace expenditure (see note below) 95: Total grants pald Other charitable expenditure Pikemen & Musketeers expenditure Lisht Cavalry expenditure 67 53 1,37 77 235 91 24: Total military grants and other charitable expenditure 68 1,009 54 1,711 Vambrace expenditure comprises professional fees and construction costs for refurbishment of 15 Bunhdl Row and the basement of Finsbury Barracks. Maintenance and operation of Arnioury House 2024 2023 Staff eosts, includin8 taxes and pension contributions (includin8 contract and temporary slaffj Rates, water* power and iiealing Cleanin8 and waste removal Properly maintenance and repairs Treasures, Archive5 Recharge5 to tradin8 subsidiaries 744 694 253 281 74 478 87 {182} 357 79 1182) Tolal 1,309 1.432
Honourable Artillery Compsny NOTES TO THE FINANCIAL STATEMENTS Year eThded 31 October 2024 {cont'dl 10. Membership serrices and general administration 2024 £wo 2023 £000 Total Total Staff CtS. includin8 taxes, pension contributions and pensions to Eorrner employee5 Offiee services, IT and telephone MembeIship administration Insurance Publication5 Bank charges, other lesal and professional costs Recharge5 to trading Subsidiaries Benevolent Fund (restricted) administration costs Governance 608 518 207 21 150 35 146 18 124 32 26 46 (101 {ioi 1.092 929 Auditor's remuneration lexcludins VAT} included in above total.. Audit Fees 37
Honourable Artillerv CotThpany NOTES TO THE FINANCIAL STATEMENrs Year ended 31 October 2024 {cont'dl ii. Fixed assets Ila. Tangible fixed assets for own use Freeholdl Lea$Èhold Land & Buildings £(MJo Furniture, Plant and Equhpment Subsidiary Freehold Land £(4Jo Charity Total Gmup Total £noo Co6t At l November 2023 Additions 8.584 120 1.911 252 10,495 372 329 10,824 372 At 31 October 2024 8.704 2,163 10,867 329 11,196 Deprecialion At l November 2023 Charge for year 4,774 70 1,510 97 6,284 167 6,284 167 At 31 Oetober 2024 4,844 1,607 6,451 6,451 Net Book Value At 31 October 2024 3,860 556 4.416 329 4.745 At 3L October 2023 310 401 4,211 329 The Company has substantial long-held historic assets which are used in the course of the Company's activities to support the Regiment, Special Constabulary Detachment and Company membership. These comprise the land and buildin8s at Annoury House, l08ether with eertain mJilary and ceremonial items dnd other treasured arlefacts. The buddin85 al Armoury House were constructed principally in 1734.35. 1787, 1826-28 and 1843. Due to the age of these items, and in rnany cases the unique nature, reliable historical cost information is not available lor these assets and could not be obtained except at disproportionate expense. tn the opinion of the Court the depreciated historical costs of these items is now immaterial. Heritage assets acquired from I November 215 have been capitalised by the Company (see note I Ibl. Included within the cost of freehold land and buildin85 are the capitalised costs of later acquisition5 and alterations lo the land and buildin8s, ineludin8 £6,606k relating to the development of the Prince Consort Rooms. Buildings insurance for properties owned by the Company includin8 Armoury House and other Lnve5tment properties (see note Ilc) at 31 October 2024 is held lo the value of £37,792k12023 L37,843k} (insurance value). T5 excludes any investment properties let on a full repairing lease where the tenant has the obligation to insure. The insurance value is reviewed annually.
Honourlble Artillery Company NOTES TO THE FINANCIAL STATEMEDrrs Year ended 31 October 2024 Icont'dl 11. Fixed assets, contd Ilb. Tan8ible fixed assets, contd Plkemen & Musketeen £otM) Light Cavalry Herilage A89ets At l November 2023 Additions 147 li At 31 October 2024 59 147 Depreciation At l November 2023 Charge for year 3Tr) 13 At 31 October 2024 38 300 Net Book Value At 31 (ktober 2024 21 147 At 31 October 2023 147
HO0rIble Artillerv Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 Icont'dl 11. Fixed assets, contd Ilc. Inve8tment Properties 2024 £0 2023 £0 Valuation at l November 2023 Revaluation Ilossl 37,843 {511 41,439 (3,596) At 31 October 2024 37.792 37.843 The investment properties are professionally valued on a triennial basi5 and the value is reviewed by the Trustee5 on an annual basis. The investment properties were valued on an'open market, basis by Farebrother, the Company's Property agents, at 31 October 2023. Ild. Intangible 4$8ets- So£tware for own use 2024 £000 Cost At l November 2023 ioi At 31 October 2024 ioi Amorlisation At l November 2023 Charge for year 96 At 31 October 2024 l(M) Net Book Value At 31 October 2024 At 31 (ktober 2023
Honourable Artillery Cotnpany NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 Icont'd} IL Listed investments 2024 £(M)O 2023 £000 Investments at market value- l November 2023 Additions Disposal proceeds Realised and unrealised gains 9,395 1,260 (1,2141 204 2,859 {2,269} Sub-Total Investment cash IlJ83 205 9,645 608 Investments at market value - 31 October 2024 11,588 10,253 Split oé investment$- 31 October 2024 UK listed investments Overseas listed investments Multi-A55el funds Held as casLI 3,158 7.222 1,003 205 3,011 5,818 816 608 11,588 10,253 The historical c05t of the listed investments (excluding cashl was £10,25312023.. £10,871) 13. Subsidiary companies The Company has three wholly-owned subsidiary eompanies, all registered in England and Wale5'. HAC Enterpti$es Limited, which is responsible for 5uilin8, House and Ground hire, and sport5 actLVlties. • HAC Flank Companies, Ball Limited (owned by HAC Enterprises Limited), whieh or8anises an annual ball on the Company's premiges. Pencelli Ltd, which owns the Welsh Pencelli Estate in the Breeon Beacons. A deed of covènant is in place between HAC Enterprises Limited and the Company whereby the subsidiary donate5 the whole of their taxable profil to the Company each year. The amounts owed by the subsidiaries to the Company at 31 October 2024 dre Shown below.. ?n
Honourable Artillery Companv NOTES TO THE FINANCIAL STATEMENTS Year ended 31 Oetober 2024 Icont'dl 13 5ub$idiary companie& Icont'd) HAC Enterprises Ltd £000 HAC Flank Companies, Ball Ltd £000 Pencelli Lid £0 Fixed assets Tangible assets for own use Shares in subsidiarylsee above) Total fixea assets 329 329 Current asse18 Stocks Debtor5 Other debtors and prepayments Cash at bank and in hand 177 1,240 23 Total Cent asset8 1,508 Creditor8 Trade creditors Accruals and defeired income Amounts owed to Company 74 255 1,179 24 29 Total creditors 1,508 24 29 Net current Iliabilitieg) (i) 129) Nel assets {1 300 Share capital and reserves (i) 300 14. Debtors and prepayment$ Group 2024 Charlty 2024 2023 2023 £000 £0 249 289 131 £000 147 289 Trade debtors Sundry debtors Prepayments and accrued income Amounts owed by subsidiaries (note 13) 191 619 530 1,232 1,455 Total 1.296 669 1262 1,987
Honourable Artlllery Cornpany NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 Iconvdl 15. Creditors due within one year Group 2024 £000 322 317 161 Charity 2024 £000 248 321 66 71 2023 2023 £000 Trade creditors A¢¢ruals Deferred income Taxation Other creditors 309 266 269 39 251 266 93 39 251 450 Total lJ21 1,134 992 903 DeEerred incorne represents income in advanee for events. accommodatio room and 8rounds , rent and subscripti¢)ns.
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024{conl'dl 16. Chilble Fwids a) Clltrenl period l November 2023 Intome Expendiiuie tnvesthtnt GainsllLos$es & Tyansfer5 31 October 2024 £0 £000 Uttrestdcttd Fund&. Ceniiral Res'erve t)esisnaled Reserves Flxed As8et Fund 1,964 6,158 42.793 4699 {46501 ).747 7.905 41742 Totsl u11T11Èd Funds 50,935 499 663 5L,647 Restsicled Fund6'. Benevolent Fund Resimc'ntal Grantrs Fund Light CavalTy PikemLlii & Mu%keteers Other ReStrted Fund$ 81 393 3,978 381 175 336 11251 12351 1781 1651 147 263 107 172 17 24 7 Total Reyhicted Funda 5261 623 15641 4J4 5.754 Totsl Funds 56,196 5,322 15.2141 1.097 57,401 b) PAovperrorf Novejpjber 2022 Ineom¢ Ew¥rditiire 31 October 2023 GArpJsl(Lo•¥eJ) Trollsftrs £0 Uirtstvtcted Fundi.. Cencrol R¢sepve5 1,681 7.135 46,389 4,474 (4.285J (9771 114 1,984 6,15 42,793 Flxd Ass8t Fiixd 13.5961 Total UKM5tri¢ted FMttAA 4A74 15.262) Rtslricted F¥ffd$.' Ben¥volcl Fiind RtleI{ GTal$ Filnd Lisht GI[ry lJik¥me & Miiskeieers Other RL¥lricted FitTrJd5 3,454 (.551 3,.f65 153 281 632 238 IQ3 1244) 194) (84) 147 25YJ 753 Total Restrrctd Ftirtds 5,026 622 14771 5,261 Totrtl Funds 60,231 5,096 15,739) 13,3Y21 56,196
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 lcont'd Unrestsicted Funds.. Designated Re8eNes comprises: ledium Terni Reserve - Thts is the cash balance required to fund the Capital Expenditure for the next 5 years as Set out in the Company s latest eapital expenditure forecast and con51Stenl with the latest 10 Year Busines5 Plan. As at 31 Cktober 2024 this reserve had a balan of £l,O(K)k. Lon8 Terni Re8¢rve - This reserve has been established with a tarset of £IOmillion for the fure long-term needs of the HAC Resimenl which are for additional facilities and equipment. The reserve is held in a mix of cash, workin8 eapital, and equity investments. Al 31 October 2024 this reserve had a balance of £6,905k. Fixed A8sel Fund This has been set up to identify those funds that are not free funds. The value sLiown represents the net book value of tangible and intanglble fixed assets, includin8 properly invèstments. Restricled Funds: Benevolent Fund - The value of this fund increased durin8 the current yeax due to investment gains. Dividends received have been reinvested. The Benevolent Fund Committee actively seeks potential applicants and member5 are invited to bring needy cases to the HAC Trustees, attention. Fund income currently derives from legacies, donations and dividend income from investments. Re8imental Grants Fund - The purpose of this fund is to support recruitrnent and retentton in the Regitnent and can be spent on both capital and revenue expenditures. In reviewin8 the long- term requirements lor this fund, it has been agreed that the value ol this (und is to be capped al £6(N)k. The value of the fLLnd 15 Supplemented by the profit, if any, of HAC Flank Companies, Ball Limited, which is Gift Aided to thJ'5 fund. Lisht Cavalry The balance on this fund represents the asset value of the HAC Light Cavalry. Pikemen & Mu$keteers - The balance on this fund represents the asset value of the Company of Pikemen & Musketeers. oiher Restricted Fund9 The balances on these funds consist of the Gridlèy Will Trust. which is used by the Commanding OEficer to lund annual prizes, The Dugdale Bequest to fund the Company of Pikeman & Musketeers and the Benton Bequest I'A, Battery Fund), used to support the cost ol an annual dinner. Income for these other restricted funds derives from a combination of lesacies, donations and dividends.
Hortourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2024 Icont'dl Analysis OE Group nei •$aets between Fund$- 2024 T¥rt8ible and Vnlangible Fixed Assets Investments Cutnt As8et9 Uabllitie$ To1 2014 17. U]e8ttlcled Fwids General R¢scrve Dtsi¥naied R¢[w¢S Fixed Asset Fund lJ76 1,611 204 11,0651 I,IK)o 7,4)5 42,742 6,294 42538 Total Unrtytsicled Funds 42J38 6.983 3.191 11A5} SI47 Restrlcted Funds Benevolent Fund Re8imental Crants Fund Lighl Cavalry Piketnen & Mu8kcleeTS OÈher RestrictÈd Funds 17 381 62 314 3,978 381 175 336 2l 149 24l 247 1571 147 27 Total Restiicted Funds 4,605 1,237 1256) J,751 Total Fwid& 4l 11.566 4428 (1.3211 57,401 DuriDg the yeax, in aceordance with the Cash Management Policy approved by the Court, the cash resources OE the Unrestricted and Restricted funds of the Company have continued to be operated as a single pooled-cash resource. At 31 Oclober 2024 the amount owin8 to Restricted Funds by the Unrestricted Funds, was £765k (2023.. £765kl. ADAly$ss of Group llet#ts bttW¢¢N Fild5- 2023 TAgtble rtiirf InvestJneotJ LiAbilitle& Totil 2023 A$8ets Fiyfd AssÉts U#rt4trtcttd FMnd5 GeJt¢ral R&ierve De$ixndtgdRe.Fer$ Fixed Assel Fund 1,175 5,285 1,145 873 405 fl,034) 1.984 6,158 42,793 42J88 TolAI Unrestricted FiiNdg 42,388 6,46a 3.121 (2,0341 50.93S Restrleted f¥nA4 Bcntv0l¢l Fund Rexirnefflal Graii15 Fiittd Light CHwlry Pikemcn & Miiskeleers Otljer Reytrirted Funds 3,.$32 151 3.565 506 747 29Q 753 506 179 .116 359 23 (55) f26) 147 267 Totol Résiricl¢d Fuds 170 3,793 1.398 5261 TotAI 42,558 10,253 4519 56.196
Honourable Artillery Company NOTES TO THE FINANCEAL STATEMENT5 Year ended 31 October 2024 {£DThI'dl 18. Payroll c06t8 2024 £000 976 107 1,083 2023 £01 894 98 992 HAC salaries {excl. Eds NI, pensioners & contract stafQ HAC employer'5 National Insurance HAC emoluments {excluding pensioners & contract staff) Light Cavalry salaries (excl. Eds Nll LL8ht Cavalry employer's National Insurance Light Cavalry emoluments 78 Pension Contribution5 105 J(x) Pensions paid 12 il Total Staf£ Costs 2024 No. 2023 Average number of HAC employees (excl. contract staff and pensioners) Average number of Light Cavalry employees Average Dumber of pensioners Total Staff 27 26 Number of employees earnlns between £60k and 0k Nurnber of employees eaming between £70k and £80k Number OE employees eaming between £IIOk and £120k The hishest paid employee received employer pension scheme contribution5 of £28,393 12023: £25,347). The remuneration of the 7 (2023: 7> key management perso[e] totalled £487,10412023.. £450,651). This excludes employer pension contributions of £53,03212023.. £49,054) and employer national insurance contributions of £57,86712023.. É54J321. 19. Capital commitmenlg The Company has no capital commitments as at 31 October 202412023-. Nill. The Company has an ongoin8 objective to provide additional storage Space and facdiiies to the Resiment. This project has the potential to span several years. Costs incurred to date amount to £1,740k 12023.. £1,507kl by way of profe$5ional fees and construction costs which have been included as expenditure- see note 8.
Honourable Artillery Ctsrnpany NOTES TO THE FINANCIAL STATEMENTS Year ended 31 Oetober 2024 Iconf'd) 20. The Court and related parties The Members of the Court of Assistants are the Trustees of the Company. The Trustees we covered by indemnity insurance (or the year ended 31 October 2024. Two Tru5tees12023'. two), who *rved during the year. rent flats that are owned by the Company, one of which is subject to a regulated tenaney agreement, while the other is let at market rates. No expenses were claitned by Trustees during the current year or previous years. Fees totalling £2,87212023: £9961 were charsed to the Company by Major Charles Marment, a Trustee, for services as Secretary to the HAC Resirnental Council. The Commanding Officer of the Regiment, Lieutenant Colonel G R Cobb VR, who is also a Trustee of the Company, is provided with free accommodation and a150 has exclusive discretio over the application of the Active Unit Grant. The Active Unit Grant amounted to £40k for the year ended 31 October 202412023.. £40kl. No other remuneration or benefits were received by Trustees. There are no othei related party Iransaetions requiring disclosure. 17