HONOURABLE ARTILLERY COMPANY (Charity Registered in England and Wales Number 208443) Report of the Court of Assistants and Finanelil Statements For the year ended 31 October 2025 CONTENTS Membership ofthe Court of Assistants....................... Annual Report of the Court of Assi$tanls.... Independent Auditols Report............ . 9-12 Consolidated Statement of Financial Activities .......... . . 13-14 Consolidated and Charity Balance Sheet5.. 15 Consolidated Statement of Cash Flows............ . 16 Notes to the Financial Statements... . . 17-36
The Membership of the Court of Assistants The Membership o( the Court OE Assistants of the company as at 31 October 2025 wa8: EX-OFFICIO MEMBERS Captain General is Majesty the Ki President Gener Sir Koland Wilker KCB DSO ADC Gan Vi¢e-Pre5ident Malor I C S Morperh TD Treasurer eutenant Colonel S l R Halliday TD Re&mental Colonel Lieucenant Colonel A G E Bate Commanding Officer Lieutenant Colonel G R Cobb VR Senior Major Major M l Adridge Captain of the Company of Flkernen & Musketeers Officèr Commanding the knght Cavalry Colonel S C Garrett TD Lieutenant Colonel M D Kin8 VR HONORARY MEMBERS• HRH Prince Michael of Kent GCVO, Royal Honorary Colonel TrdIer General joe Milano AHAC The Lord Mayor, Sheriffs. Aldermen and Recorder of London for ¢ht dme bdng *Not Trustees of the Compony TWENTY-THREE MEMBERS Appointed by the Commondini Officer. Vacant Appointed by the Court of Asslstonts.. M I Cutteridge Esq Captain B M Symes Eleded dt the onnual General court on 20 Morth 2025.. Lieu¢enanr Colonel l R Lon8bottom MBE QVRM VR Major C V Marment VR Lance Corporal H Mundèll Colonel R S T Murphy QVRM TD Major J A Robinson V E A Seabrook E4 Mojor l F Sivyer VR Major F O Smiddy Major H D N M Voyantzis VR m4.or P D C Vyvyan-Roblnn TD Malgr D Bri8den TD Major S C Briggs TD l G Brooke VR Stsff Sergeant E D&dzie-Yorke Major TL Daviès TD Dr S F E(fv4ards Lleu¢enant Colonel K L A Ezè Mi'or W H Grove VR Captain H R lee Major General S F N Lalor CB T8 PRINCIPAL EXECUTIVE OFFICERS OF THE COMPANY Chief Executive.. T M L Simson Esq Court & Membership Secretary= C A L¢xkhart LVO MBE DIrtOr of Finance.. S Hewett FCCA Director of Citèring & Events.. Ms S McQueen House Manager. H W Green Esq
Honourable Artillery Company ANNUAL REPORT OF THE COURT OF ASSISTANTS I'THE COURT,) The Court submits its anUal report and the audited financial statements of the Company for the year ended 31 October 2025. The Court ha5 adopted the provisions of Financial Reporting Standard 102 IFRS 1021, Accountin8 and Reporting by Charities.. Statelnent of Recommended Practice applicable to Charities preparin8 their accounts in accordance with FRS 102 and the Charities Act 2011 in preparing the annual report and finamcial StateentS of the Company. REFERENCE AND ADMINISTRATIVE INFORMATION The Honourable Artdlery Company (the Company or Charity) is a company incorporated by Letters Patent and resistered with the Charity Conuni55ion for EnsLand and Wales under Charity number 208443. The Company is administered from its principal addre$5 at.. Amioury House, City Road, London ECIY 2BQ- Details of the Trustees and executive olficer5 are shown on pa8e 6. Particulars o the Charity's professional advisers are shown on pa8e 15. STRUCTURE. GOVERNANCE AND MANAGEMENT Governing D¢Jcumenl Tlie goveming dwument of the Charity is the tÈtlers Patent granted by His Majesty kng Henry VtIi on 25 Au8USt 1537. GovÈrnin8 Body The Cornpany is govemed in its civil affairs and finances by a Court ol Assistants I'the Court'}, whose members are the Trustees of the Company, whose membership is set out on page l. The Court dele8ale5 authority lo committees appointed from amon8St its members, to some of which certain other persons are co-opted. Recruitment and Trainins of Trustees Thele arè nominally 31 Trustees on the Court. Eight ol these are Ex4)fficio appointments. Of these, two are the Vice-Prèsident and Treasurer who are CLVLI CLiief5, elected by the Court for two and three years respectively, helping lo provide continuity to the Court. Both these position5 Are elected by and from within the body of the Court. Up to three Trustees are appointed, one of which can be appointed by the Commanding Officer and two by the Court, Consideralion of the balance of skills, expertLse and experience of Trustees is an essential component in the selection of the Court appointees. Twonty Trustees are elected by the membership and the result of the ballot is declared al the Company's Annual General Court, whieh is held in March each year. As at the report date, one appointee Trustee post was unfilled. Training has been offered to Trustee5 throu8houl the year. In addition, each rnember is i55ued with a copy of the bookjet The Essenlial Trustee CC3, published by the Charity Commission, to provide a source of perrnanent reference. Trustee5 are also encouraged to attend external trainin8 cour5e5 where this is considered appropriate. Organisational Mana8ement The Court meets ten times per year and is legally responsible Eor the overall management and Control of the civil aEfair5 OE the Company. Detailed work is undertaken by a number of committees. eompiisins the Executive Con7l1tee, Property Committee, Sutling Conunitlee, Membership Committee. Audit Cornmittee, Sports Committee, Treasures Committee, Permanent Endowment Comznittee and Benevolent Fund Committee. Committee meetin8s are scheduled according to the amoLLnt of work involved, with additional meetin85 being arranged if more activity is required. The
Honourible Artiller ny committees, work is reported to the next following meeting of the Court and approval is sought Eor any decisions which are outside the terms of reEerence of the cornmittee. ID addTtion, there is a teaffl of specialist investrnent adviser5 who meet up to four tim per year to review and offer advice on the performance OE the Company's investments and property portfolio as well as the Choi of tnvestment Portfolio Manaser. Com Day-today operation of the Company is delegated to the Chief Executive and the Company Office. who have authority to operate within the constraints of the approved budget. Quarterly Management Accout5 and updated current year Forecasts, are reviewed by the Court, and in addition monthly manasement accounts, including a balance theet and 12 month cash flow. are reviewed by the Executive CDmmiÉtee. The Compan5 long terni Business Flan is reviewed by the Executive CollLmittee and the Court Erom time to tlme. TLie authorisation of at least one Trustee is required for all payments above Ll0,(KK). Remuneration A Remuneration Committee wa5 formed in the 5prins 05 2016. The Committee met in 2025 to review submission reviewing the remuneration of the staff of the Company OEfice. Group Structure and Relationships The Charity ha5 four wholly-owned non-charilable 5ubsidiaries'. HAC Enterprises Limited and FL4C Flank Companies, Ball Limited, both of which carry out fundraising activities for the Charity,. 14 City Road Residential Lid. which was set up this financial year and Pencelli Limited, which was set up to hold the assets ol the We15h PencelLi E51ate situated in the Brecon Beacons. The activities and performance of the tradin8 companies arè discussed below. Risk Manasement In accordance with the Courvs Risk Management Policy paper 0120 October 2CQg, the Company maintain$ a formal risk re8lSter. This is reviewed re8ularly and systematically by the Court committees and the Company Office. Risks are identified at coniJnittee level or by the Company Office. They Jre assessed as to their likelthood and impact, and the measures taken lo mitigate the risks are listed and evaluated with iudgement made on whether the mitl8ation actions are acceptable or whether further action is required. There are two major risks to the Company.. The temporary loss of the use of Armoury House as a facility due to an unforeseen event. This risk has been mitl8ated by insurance cover lor business interruption up to four years, and adequate buildings insurance cover. However, il is noteworthy that while the impact o covtD-19 was clearly an unforeseen event and impacted the commercial activities of the Company, it was outside the scope of the busAness interruption insurance cover. The loss of income from the hire of the Artillery Garden for commercial events, should the main user lerrninate their contract or plannin8 consent for the temporary structure be withdrawn by the loeal authority. AIthou8h there would be a major loss of income to HAC Enterprises Ltd, the impact on the Company is not eonsldered sisnlficant enough to adveTsely impact the Compan5 ability to continue meetin8 Its current charitable oblisations.
Honourable Art511ery Company OBJECTIVES, AcTIVlEs AND PUBLIC BENEFIT The main activities in the year to meet the Company's objectives, public benefit and the Trustees, duty under section 17 of the Charitie5 Act 2011 are set out below. Charitable Objectives The charitable objectives of the Cornpany are defined as,'for military exercise and training and for the better defen¢e of the realm. and. to this end, Ll usès Its freehold property at Arnioury House as a base for its Inilitary unit, a Regiment of the Anny Reserve. To meet the requirements of the Charities Act 2011, the Court agreed an updated articulation ol the Company'5 Objective5. These are.. support lo the HAC Regiment and the HAC'S City of London Special Constabulary Detachment; support lo the Company's cerernonial sub-units,. conservation of Company treasures,- maintenance and utilisation of the Company'5 estate,. support for the Benevolent Fund,. 5UStaining Company membership,. and maintaining the Company s lon8-lenn financial 5UStainability. It should be noted that the HAC'S City of London Special Constabulary Detachment was formally closed by the FtAC in 2025 following an earlier reorganisation by the City of London Police. Aim8 and Intended Impact To meet these objectives, the Company's aims are to further improve its facilities with a view lo preserving the Re8imenVs place in the British Army s Order of Battle by encouraging improved recruiting for and retention within all elements of the Company,. to run commercial actlVLty as necessary lo ensure the Company's long-lemi financial su5tsinab1ty,. and to conserve the Company's estate and the Company's Herita8e A5sel$ Itreasuresl for posterity. Objectives for the Year The main objectives for the year were supporting the HAC Regiment in its recruitiTLg and retention efforts and fulfilling the Company's wider charitable aims, both in the immediate term and by providin8 for the Company's lons-term sustainability, in parl throush continued commercial use of ils facilities. Public Benefit Durin8 the year the Court of A551Stants has, in exercising ils powers and duties, complied with the duty in Section 17 of the Charities Act 2011 to have due regard lo the guidance on public benefit published by the Charity Commission. In particular, it has provided public benefit in that the Company: Supported the Regiment with welfare for the individuals and famihes of those deployed in line with policy, provision of training space on the Artillery Garden, on the parade square and in Armoury House. In 2024/25 the Company made aJfftual grants totallin8 £447K of which £394k were cash grants and £53k were non-ca5h grants. Provided training and Einan£ihl support totallin8 £25k, lo the Combined Cadet Force at the City of London Academy, IsLin8ton. Provided trainin8 and facilities within Armoury House for the City of London Police Cadets. Provided accommodation within Armoury House for the Pikemen & Musketeers and the Lisht Cavalry. These sub-units provide displays lo the general public and ceremonial suards for State Occasions and City events. Sustained Company membership at around 25(K) members. Members made an annual conttibulion of £382k to the Charity during the year. Conserved the Company's estate at Arrnoury House and the Artillery Garden, making facilities available to the Reglment as required. The Pencelli Estate in the Brecon Beacons
Honourable Artillery Company National Park is used for training purposes, not just by the HAC, but by a large and varied number of other military and cadet units. Throughout the summer the grounds have been made available weekly to a London Borough of Islington primary school Eor games and recreation. Contributed to the engagement of a Warden and volunteers on the Brecon Beacons National Park to help ensure this public facility is not damaged by illegal off-road bicycles and vehicles. Maintained the HAC Benevolent Fund for HAC members and other eli8ible beneficiaries and provided insurance cover for Regimental members mobilised on operational duty. The Outcome of the Charity's Work The HAC Regiment. 15 part of the Reserve Forces and is a bcdy of trained manpower rebdy at appropriate notice to deploy as individuals on short duration rrulitary operations or as a formed body for general war. The Charity's support for the Regiment enables it to be the best recruited Reserve Forces unit in the British Arrnyi Wlth a high level o( retention a5 a consequence of the financial and material support received that gupports its trainin recruiting. welfare and unit cohesion. The location of the 51te, coupled with the facilities that the Regiment can offer throush the Company, means that the Regiment's recruits lend to be of high cHlibre and ameDable to a higher level of trainllig in the short periods that they are in unrform. The Regitnent has also deployed across the UK on a ranse ol operations and Irainins events, in support OE the UK Defence and NATO partners. Ceremonial Sub-Uni18. As regular forces reduce, the demand on the Company of Pikemen & Musketeers and the Lisht Cavalry for ceremonial support in and beyond the City increases. The sub-units are able to meet thi5 added tempo thanks to the support tiial the Company gives them in ternis of grants for equipment and facilities for training, storage and control. Cadèts. The cadet contingents that the Company supports make a marked difference to the lives of those young people involved frorn the local community, from which the CCFS and Police Cadets are drawn. By promotin8 discipline, self-reliance and teamwork it is reported that performance of cadets e]5ewhere in the curriculum 15 improved. The Membership. One ol the roles of Members is to act as an advocacy nehvork lor Defenee and Security throushout the COUDlry. The Company's prosramme of lectures, and the facilities the Company provides for veteran and serving reserves to interact, keeps this network informed, active and relevant. The House and Artillery Garden. The House and Garden act a5 a backdrop to offices and homes in the Finsbury area. Il Is the largest open space in Islinston and L5 used by the Regiment for low-level trainin8. Thi5 means that the Re8iment is able to run its own Phase I (basic) tiainins weekends and trainin8 nishts which enable it to set particular store by its standards and develops Regimental eth05 and cohesi¢)n from the start. The Stralegy for A¢hievins tho8e Outcome8 In order to achieve our goals, the Charity must simultaneously maintain its estate, both in London and in Wales, such that it is available for trainin8 and ceremonial purposes, whilst at the same time using Lt to raise funds that can then be granted to the beneficiarie5 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 5ee5 the needs of the Resiment come first, with vused space then made available for conunercial use. Grant Makins Policy The Company makes annual grant5 to the Resiment for expenses, such a5 adventurous training and recruiting. These srants are fixed on an arUal basis followin8 discussions with the Commandin8 Officer. IE the Commanding Officer makes additional applications for grants during the year, then
Honourable Artilltr Company these are considered by the Court on an od hoc basi5 and will nonnally be met, provided that Einancial circumstances allow. In sOe circumslance5, grants are made to individuals to allow 5peeiEic training to be undertaken or to support other military purposes. The Benevolent Fund, which is disclosed a5 a 'restricted' fund of the Company, makes grants to individuals connected with the Company, in accordance with the Benevolent Fund Trust Deed. Volunteers The Court is grateful to those members of the Cotnpany who give freely OE their time in support of the Company. In view of the wide sphere of activities in which members support the Cornpanyi evaluation of this activity has proved impracticable. REVIEW OF ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR Operational Perforniance of the Company The Company has provided Armoury House, the Artillery Garden and the Pencelli Estate for the use of its Military Unit and its ceremonial sub-units throu8hout the year. It has also provided financial support to all these elements of the Company. Its commercial activities OTh the Artillery Garden and in the House, have resulted in a positive contribution by commercial activities to the Company's result for the year. Investment Perfornianee a8ainst Obje<live8 Reaknsed and unrealised gains on listed investments were £1,554k12024, £1,148kl. This broadly refleets stoek market perforniance over the period. FINANCIAL REVIEW AND RESULTS FOR THE YEAR The Consolidated statement of financial activities show5 a net surplus for the year of £918k 12024.. £1,205kl. The 2025 surplu5 ineludes an investment properly revaluation loss of £1778lk and sain8 on listed investments of £1,554k. The nel operatin8 surplus before the property revaluation and gains on "Sted investment in 2025 is £142k12024.. £108kl. The Company s wholly owned subyidiary, HAC Enterprises Ltd continued to carry out fund-rai5ins activities for the Charity. Net income Erom trading was £1,082k12024.. É965k). The trading subsidiary made or will make a charitable donation to the Company totallin8 £1,082k12024.. £965kl. Al 31 October 2025, the total consolidated nel Assets of the Group, as shown by the balance sheet, were £58,319k12024.. £57.401kl. The net asset5 of the Company do not include the market value of freehold and leasehold properties used for the Company's charitable purposes, oi the value of the Company s mititary and similar arlefacts acquired prior to l November 2005. No value has been placed upon the artefacts. 11 is considered itnpractical to apply conventional valuation techniques to the collections, duè to their unique nature. Freehold and leasehold properties used for charitable purposes are included in the financial statements at cost, a5 permitted by FRS102. Details of the re-buildin8 insuranee values of these properties are given in Note Ila of the fin8ciaL statements. Cash Flows The con501idated statement of cash flows shows net cash used in operating activities for 2025 of £12,1)49}k12024.. £12,11Slk) and net cash provided for investing activities for 2025 of £1,024k 12024.. £997). Cash balances excluding cash held by investment managers at 31 October 2025 stand at £2,216k of which £2,032k represents cash in ueStrICted funds {2024: £3,128k of which cash in UnSACted funds was £2,708k).
Honourable Artillery Company Reserve5 Policy The Court Policy on unrestricted funds is to hold a general reserve of not less than £lm in aggregate. This is to be held in a mixture of cash and short-term deposit5. This reserve accommodates casbjlow requirements through thebusiness cycle and provides a degree of resllience under adverse conditions. The balance on this reserve at 31 (ktober 2025 was £l,(X)Ok. A desisnated Medium-Term reserve of not less than a further £lm is held to provide additional resilience and ensure forecast capital expenditure needs are funded. This Medium-Term reserve is held in hL8bJy liquid asset classe5 Wlthin the managed investment POTtE00 asset allocation. The balance on this reserve at 31 October 2025 stcK)d at £l,O(K)k. A Long-Terni designated re5enTe with a target of £10 million has been established to meet the Euture needs of the HAC Regiment and is held in a mix of asset classes within a managed investment portfolio. At 31 Oetober 2025 the balance on the Lons Term reserve was £7,115k. Investment Policy and Objectives The Company aims to maximise lolal return with a balanced approath to seeking income and capital return. Fundraibin8 Policy Our appIoach to fundraising is to seek donations from our tnembership and from our commercial contac15. We do not actively seek donations from the general public. We do not use thtrd parties to help us with lundrai5ing. During the year we did not receive amy complaints related to our fundraising activities. FUTURE PLANS The Company's priorities continue to be to improve the support given lo the HAC Resimenl in terms of both financial backin8 and the standard of the facilities made available, lo provide financial support to the City of London Academy Islington IHACI Combined Cadot Forces, and lo provide Einancial support when appropriate to the Company of Pikemen & Musketeer$ and the LL8ht Cavalry. These priorities were conlirmed by the Court in Ianuary 2019 and remain intact. They will be reviewed in 2026, In support of these priorities, work has commenced to eonvert floors 1-4 OE 14 City Road fr¢)m offices to residential flats. The developmènt will be hèld and managed through the new subsidiary, 14 City Road Residential Ltd. In addition, the Company is scopin8 the viability of estabLishin8 a Permanent Endowment Fund lo provide a rther source of income on an endurin8 basis. The tradin8 Outcome of HAC Enterprises Ltd for Financial Year 2025/26 is antLCLpaled lo be an improvement to 2024/25, albeit modest, foLLowins signs of a return to normal tradins aftei the uncertainty of a change in Government amd the resulting bud8ets in 2024 and 2025. STATEMENT OF THE COURTS 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 Standard5 (United Kin8dom Generally Accepted Accountin8 Practice). The law applicable to charities in England and Wales requires the Court to prepare f]n8mcial statement$ for each financial year that give a true and fair view OE the State of the affairs of the Group
Honourable Artillery Compan and Charity and of the income and expenditure of the Gr¢)up for that period. In preparing Ihese fsnancial statements. the Court is required to.. select suitable accountins policies and then apply them consistently. observe the methods and principles in the Charities SORP IF1181021. make jud8ments and estimates that are reasonable and prudent. State whether applicable accounting standards have been followed, subject to any material departures dlsclosed and explained in the financial statements. Prepa the financial statements on the goin8 concern basis unless it is inappropriate to presume that the Charity will continue in business. The Court is responsible for keepins proper accounting records that disclose with reasonable accuracy at any time the financial position of the CLiarity and enable it to ensure that the financial statements cornply with the Charitie5 Act 2011, the Charity (Accounts and Reports) Re8ulalions 2008 and the provisions of the Letters Patent dated 25 Au8USt 1537, assiKiated Royal Warrants and Rules and Orders. The Court 15 also responsible for safeguarding the assets of Ihe Charity and hence for taking reasonable steps for the prevention and detection of fiaud and other irregularities. Professional Advisers Details of professional advisers are given below.. Auditor Buzzacott Audit LLP 130 Wood Street, London EC2V 6DL Solicitors Charles Russell Speeehlys LLP Boodle Haifield LLP 5 Fleet Place, London EC4M 7RD 240 Blackfriars Road, London SEI 8NW Bankers National Westminster Bank PIC 250 BRshops8ate, London, EC2M 4AA 165 Elleet Street London EC4A 2DW Property Agents Daniel Watney LLP Investment Manasers Evelyn Partners 45 Gresham Street, London EC2V 7BG AuditOTS Buzzacotl Audit LLP have indicated their wiUin8ness 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 for the ensuing year. By Order of the Court of AssistsThts Lieutenant Colonel S J R Halliday, Treasurer Date.. 27 January 2026
Honourable Artillerv Company INDEPENDENT AUDITOR'S REPORT TO THE COURT OF ASSISTANTS ITHETRUSTEESI OF THE HONOURABLE ARTILLERY COMPANY Opinion We have audited the EiThancial statement5 of the Honourable Artillery Company {the'parent Charity'l and its subsidiaries lthe'group'l for the year ended 31 October 2025 which cotllprise the consolidated statement of financial activities, consolidated and parent Charity balance sheets. consolidated stateDient of cash flows, and the notes to the financial statements including a sumw of the principal accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kinsdom Accounting Standard5, including Financial Reporting Standard 102'The Financial Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Cenerally Accepted Accounting Practice). In our opinion, the Financial statements.. give a true and fair view o( the sldle ol affairs of the group and of the Charity as at 31 Oetober 2025 and of the 8roup'$ income and expenditure for the year then ended. have been properly prepared in accordance with United Kingdom GeTheTally Accepted Accounting Practice; and have been prepared in accordaDce with the requirements of the Charities Act 2011. Basi$ for opinion We conducted our audit in aceordance with Inlemational Standards on Auditing IUKI IISAS (UK)) and applieable law. Our responsibikn.ties under those standards are further described in the auditor, responsibilities for the audit 0£ the financial statements section of our report. We are independent of the 8roup in accordance with the ethical requirements, that are relevant to our audit of the financial slatements in the UK, includin8 the FRC'S Ethical Standard. ad we have fulfilled our other ethical sponsibilities in accordance with these requirements. We believe that the hudit eviden¢e we have obtained is suffAcient and appropriate to provide a basis for our opinion. Conclusion$ relalins lo goin8 concern In auditin8 the financial statement5, we have coneluded that the Trustee5' use of the 8oin8 concern basi5 of accountin8 in the preparation of the financial statements is appropriate. Based on the work we have performed. we have not identified any material uncertainties relatin8 to events or conditions that, individually or collectively, may cast Si8nificant doubl on the ability of the group or Charity to eontinue as a going concern (or a period of at least twelve months from when the financial Statements are authorised for issue. Ourresponsibilities and the responsibilities of the Tru5teeswith respect to soing concern are described in the relevant sections of this report. 10
Honourable Artillery Company Other inÉorniatkon The other information comprises the information induded in the Report of the Court of Assistants and financial statements, other than the financial ststements and our auditorf5 report thereon. The TSteeS are responsible for the other information. Our opinion on the financial statements does not cover the other information and we do not express 8Y fonn of assurance conclusion thereon. Our responsibility is to read the other inforrnation and, in doin8 so, consider whether the other formation is materially inconsistent with the financial statement5, or our knowledse obtained in the audit or othenvise appear5 to be materially misstated. If we identify such material inconsistencies OE apparent material misstatements, we are required lo determine whether this gives rise to a material misstatement in the £inancial 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 Thothing to report in this re8ard. Mallern on which we are requlred to report by exception In the light of the knowledge and understanding OE the Charity and its environment obtained in the course of the audit, we have not identified material misslalements in the report of the Court of Assistsnls. We have nothins lo report in respect of the following matters in relation to which the Charitie$ (Accout$ and Reports) Resulations 2008 requires u5 to report to you if, in our opinion: the information siven in the report of the Court of Assistants is inconsistent in any material respect with the financial statements,. or sufEicient accounting records have not been kept by the Charity,. or the Charity financial statements are not in agreement with the accounting records and returns,. or we have not received all the Jnfomiation and explanations we require for our audit. Respongibilitie8 of Trustee8 A5 explained more llY in the statement of the Court's responsibilities. the Trustees are responsible for the preparation of the financial staternen15 and for beins satisfied that they Sive d true and fair view, and for such internal control as the Trustees determine is necessary lo enable the preparation of financial statements that are free from material mi5Statement, whether due to Eraud or error. In preparin8 the finaneial statements, the Trustees are responsible for assessing the abi]ily of the 8roup and Charity lo eontinue as a 8oing concern, disc105in8, as applicable. matters related to going concern and using the 80ing concern basis of aetountin8 unless the Trustees either intend to liquidate the group or Charity or to cease operations, or have no realistic alternhtive but to do so.
Honourable Artillery Company Audito<s Tesponsibilities for the audit OE the linancial ststements OUT objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material rni55tatement, whether due to fraud or error, and to issue an auditor'5 report that includes our opinion. Reasonable assurance is a hA8h level of assurance but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material mi55tatement when it exists. Misstaternents can arise from Eraud or error and are Considered material if, individually or in the aggregate, they could reasonably be expected to llilluence the economic decisions of users taken on the basis of these financial statements. Irresularities, including fraud, are instances of non-cornpliance with laws and regulations. We des18n pr(xedures 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 delecting irresularilies, including fraud is detailed below.. Our approach to identifying and assessing the risks of material misstatement in respect of irresularities, including fraud and non-compliance with laws and regulations, was as follows". The engagement parther ensured that the engagement team collectively had the approprAate competence, capabilities and skills to identify or recognise non-compliance with applicable laws atid regulations,. We identified the laws and regulations appiicable to the group and Charity through discussions with management and from our knowledge ond experience; We focused on specific Laws and re8ulalion5 which we considered may have a d1ct material effect on the financial statements or the operations of the group and Charity, including the accounting framework referred to above and the Charities Act 2011; and We assessed the extent of compliance with the laws and regulations identified above through making enquiries of representatives of management and the review OE minutes OE Court meetings. We assessed the susceptibility of the financial statements to material misstatement, includin8 obtainins an understanding of how Eraud might occur, by.. Making enquiries of mana8ement as to where they considered there was susceptibility to fraud and knowledge of actual, suspected and alle8ed fraud,. and Considerins the internal controls in place to mitigate ri5k5 of fraud and non-compliance with law5 and regulations. To address the risk of fraud through management bias and override of contso]s, we: Performed analytical procedures to identify any unusual or unexpected financial relationships; Tested and revlewed journal entrie5 to identify unusual tra[actIOns,. Tested the authori5ation of expenditure; 12
Honourable Artillerv Cojn anv Cained an understaThding of the processes in place for the management of the Charity's investments,. and Investigated the rationale behind si8nificanl or unusual Einancial transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we deSiLed PredureS which included, but were not limited to.. Reviewing the minutes of meetings of those charsed with governance,. Enquiring of rnanageEThent as to actual and potential litigation and claims; and Asreeing Einancial statements disclosures to underlying SUPPQTting documentatLOn. There are inherent limitatlODS in ¢)ur audit procedure5 described above. The more removed that laws and regulation5 are Erom financial transactions, the less likely il is that we would become aware of non-compliance. Auditing standards a150 limit the audit pttKedures required to identify non- compliance with laws and regulations to enquiry of the Trustees and other management and the inspection of regulatory and legal correspondence. if any. Material misstatement5 that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate COnalment or collusion. A further description of our responsibilities for the audit ol the financial statements is located on the Financial Reportin8 Council's webslte at www,frc.ors.uk/auditorsresponsibiLities. This description oms part of our audilorfs report. U8e of our report Thi5 report 15 made solely to the Charity's Trustees, as a body, accorda with section Part 4 of the Charities (Accounts and Reports) Regulations 20Q8. Out audit work ha5 been undertaken so that we IriL8ht stale to the Charity's Trustees those matters we are required to stale to them in an auditor s report and for no other purpose. To the Eullest exlenl permitted by law, we do not accept or assume responsibility to anyone other than the Charity and the Charity's Trustees as a b(xly, Eor our audit worl for this report, or for the opinions we have fornied. Buzzacott Audit LLP Statutory Auditor 130 Wood Street London EC2V 6DL Date.. 16 February 2026 Buzzacott LLP is eligible to act as an auditor in ter$ of section 1212 of the Companies Act 26 13
Honourbl¢ Artillery Company CONSOLIDATED STATEMENT OF FINANCIAL AcfIviTIES Year ended 31 October 2025 Total UnteBtricted Re$tricled Jloct Funds 2025 Total 31¢t 2024 No¢e INCOME AND ENDOWMENfs FROM: Donations lega¢Ses 72 113 Chawllable activitie&. Member suhcnpttons Other incotne 337 39) 131 334 331 Other trading a¢tlvitles 102 2h71 EnveJbyents'. Investment property irKome Li4ied investhientg rnlerest on cash deposits Ih82 218 15 136 15 82 228 21 Total In¢ome 16 582 5,3n 5J21 EXPENDrruRE ON.. Rl8lDg Fund Trad£051S Tnvutmait property cojls 1.487 89 36 1,586 89 lJ19 228 57 Charitable •clItieS.. Military 8rants and other charitable eypendittjre Maintenance and operntion of Annoury 4T2 974 I,oc 1,332 Membership servitts and Seneral adrninL6traiion io I,l76 21 1,1 1,092 Totsl ¢xpndilure 16 5314 Net oFertiN8 In¢ome 142 Gain8lllo&Jesl on investments Net 8ain on Ltsled inve¥ttneTht5 Investtnenl property revaluation Ilossl 12 589 (7781 (7781 N?t Intome and nel movemèrtt im funds for year 391 527 918 Fund$ btOU8hi forward It l November2024 16 51fj47 5.754 57101 56,196 Funds cirrted ton¥ard at 31 O¢tobei 2025 17 51036 6281 5bA19 ,401 The Note8 on Pdge$ 18 to 37 form pari of th RnanLial 51atemertls, 14
Honourable Artillery Company CONSOLtDATED STA TEMENT OF FDIANCIAL ACTIVITIES Year ended 31 October 2024 Totrfl 31- Oct 2024 ustrtCl¢d Restricted FMnd$ Note INCOMEAND ENDOWMEKts FROM.. DopsAtio¥xy lesAcie$ 109 Charitable 111¢%.. Membtrsubscripts 337 31 337 399 Other tr#dlng 4etsvltiei 2,413 9? 2504 InvE$tmtht$.' Investmetyl yoperty IFTcome Li$ted iKue5tMtnls ltylergstox tash deposits 1,720 J73 21 1,720 228 21 TotAI icom¢ 16 4,699 623 5J22 EXPENDITURE ON.. Roising Funds Trodtmx costs ITrTVe51menl propety us1& Invtsimenl mAN4gemtnt Loryes 1,448 228 71 1519 228 57 23 Militarywnls oihercknrièAble exptnditure MotnlenAnceAnd opeNlioty rfAnnoiiry House MembcTsky $ntces oiidgeneyolNdmini$lyatio 540 IJ09 1,091 469 7,009 1.109 1,092 io Total exptTrditsvc 16 564 5214 Nét operAtipJx Effcomv 49 59 ILosses)18llirts OK irtvestmenls Nel (1055)/gdzn trrt Lisled tnEYstments Inve¥tnwitpyoptrty Ilossl 12 Ilc 714 434 1.148 Net lexpeNditMrelliN¢o*ne net rnovemtht i 712 493 1,205 Funds broMghlftrrw#rd At l November2023 16 50,935 5261 56.196 Fund5 cArriedforword ot 31 Oclober2024 17 51.617 5,7.54 57.401 15
Honour*bl¢ Artilltry Compgny CONSOLIDATED & CHARITY BALANCE SHEErs 31 OCTOBER 2025 2025 2024 2025 2024 Group £000 Group Charity Charity £000 £0 £000 Note Fixed Assets Tangible assets- own use Tangible assets- Lisht Cavalry Tansible assets- Heritage assets tnvestment properties Intangible a5sets- software - own use Listed investments Shareholding in subsidiaries Total fixed assets Ila Ilb Ilb Ilc lid 12 13 4,808 18 147 37,425 4.745 4,479 18 147 37.425 4.416 21 147 37,792 147 37.792 13,288 11.588 13,288 301 11.588 301 55,686 54,294 55,658 54.266 Current a68ets Stocks Debtors and prepayments Short-term dep051ts Cash at bank and in hand 14 1,676 1,831 385 1,296 2,501 627 2.262 1.270 594 1,321 3,897 4,428 3.391 4,127 Liabililie&' Creditors fallins due withAn one year 15 (1,2641 11,3211 1730) 19921 Net current assets 2.633 3,107 2,661 3,135 NET ASSETS 58,319 57,401 58,319 57AOI CHARITABLE FUNDS General Fund Designated Reserves Fixed Asset Fund 16&17 16&17 16&17 1,000 8,296 42,742 1,000 7.905 42,742 I,o(x) 8,296 42,742 I,otK) 7,905 42,742 52,038 6281 51,647 5.754 52.038 6,281 51,647 5,754 Restricted Fund8 16&17 TOTAL CHARITABLE FUNDS 58,319 57.401 58.319 57,401 The financial statements were approved by the Court of Assigtants on 27 yanuary 2026 and are sisned on its behalf by.. Ic( yd Major I C S Morpeth TD, VicPresIdent Lleutenant Colonel S J R Halliday TD. Treasurer 16
Honourttble Artillery Company CONSOLIDATED STATEMENT OF CASH FLOWS Year Ended 31 October 2025 Total Fund5 31-Oc12025 Tot1 Funds 31ct 2024 £000 Note Cath flow& from opetaling activitie8'. Nel cash used in operatin8 a¢tivltkes Ca$h flows from investsns activities.. Divjdends, inleTQ5t and Tent fvotn inve5tsnen15 Purcha8eof langibleand ]ntagible asgels Purchabe ofinvestmenls- ]isted investhlents Disp1 olinFestmenls- listed investments Inve5trnenl proFrly addilLon 12,IlSI 1,916 1222) 11523 1264 13831 12A591 2,269 12 12 Nel ¢a$h providtd by investinsa¢tivltle8 1,024 996 Chinge In cashattd Cash equivalents in reporlln8 perf] Cash and cash 4uivalents as al l November 2024 I125> 11,119) 4.452 Caoh and ¢•¥h equAv<ttts a• it31 O¢tobtr2025 3,JJ3 2025 2024 Rerondllattoo of net Incomt tontt c•sh ljow (rnm opeitln8 actSvltieg Net Income forthe teportin8 period Nole 918 1205 AdjustmeNi¥ for DepT¢ciAtlon ChArsÉ.' Depreciation. amOrtll0n & iTnptrmerti, Ios6 on dL5posals Li¥ht Cavalry and Pikemen & MusketeeT5 depreciation in un Listed Inve¥tment8 Loss on Investmvnl ProFrly Revaluation Ila/lld Ilb 12 Ilc 159 167 13 11,5541 778 51 Invv4tment property Income Listed investment5 Interest on cash deposits Incrcabe in stocks Ilntreagel/Decrcaye in debtors IDecreasellTn¢rea5e in crediti 11821 12191 11.7201 12281 13801 1571 16271 187 Nel ¢agh u8¢d in operatlng •ctlvltl*a 110491 Analy$lo ol cah and cash equlvilenla Cash ift hond Noti deposlts liess than 3 onths) 365 1,9tp) 627 2501 2294 3.118 205 Ca•h held wlth inve8bllertl ETkana8et8 Total cash and ¢abh equivalents 3J35 Reconciliation o( nel debtr. Ati November 2024 At31 October 2025 ÉoTr) Cash flows EL0 Cash and cash equjvalents 17
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 l. Constitution and subsidiaries The Honourable ArtilLery Company was incorporated by Letters Patent on 25 August 1537 and is registered as a Charity (registration number 208443)- The subsidiary group companies are- -HAC EThterprises Liniited (Company registration no. 0167741X)I -HAC Flank Companies, Ball LAmited Icompany registration no. 02266408} -Pencelli Liniiled (company Trgistration no. 037242271 -14 City Road Residential Limited (company re8lStration no. 163619601 2. Accountin8 PolicAes A¢roHntixg conventio The Charity is a public benefit entity for the purpose5 of The Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102} and therefo the financial statements have been prepared in accordance with Accountins and ReportÉns by Charities.. Statement of Recommended Proctiee appLicable to charities preparing their financial statements in accordance with 102 (Charities SORP FR51021, the Charities Act 2011 and FRS 102. The financial statements have been prepared to give a'true and Eaif view ond have departed from the Charities (Financial statements and Reports) Re8ulations 2008 ODJY to the exlenl required lo provide a'true and fair view,. This departure has involved following the Charities SORF FRS 102 rather than the earlier version wkn¢h it replaced. Consolidation The financial statement5 of the Company include those aetivilies of the Company which have a material effect on ilfj financial position or results. Ceilain funds, in particular those ol the Old Comrades, A5S<Kiation, have not been included because they are not material. The consolidated financial statements include the financial statements of the Company and its four subsidiaries, HAC Enterprises Limitèd, HAC Flank Companies, Bau Limited. Pencelli Limited and 14 City Road Residential Limited. The financial statements OE the Company of Pthemen & Musketeers and the Light Cavalry are included a$ parl of the Company's financial statements for the finaneial year. The Unconsolidated Balance Sheet OE the Company is shown alon8side the Consolidated Balance Sheet, in the fonnat recommended by the Charities SOIW FRS 102. A separate Statement of Financial Activities for the Company is not presented as permitted by the Charities SORP FRS 102. GoiKg ton¢ern The Trustees have assessed the use OE the 80in8 concem basis for preparing the £inaneial statements of the Company and its three subsidiarie5. The Trustees are 5at15fied that the going concern basis is appropriate and have referred to the approved budget for next year and the latest 5 year business plan and 10 year financial projection5 to arrive at this conclusion and are satisfied that the Company has sufficient resources to meet its on8oing liabilities and that it can continue in operational exL5ten¢e for the foie5eeable future. The Company therefore continues to adopt the soins concern basis in Preparing its financial statements.
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 (coThl'd) Income al Donations and legacies are recognised when they are received or when the Company has legal entitlement and receipt is probable. b) Member subscriptions are LEcosnised when receivable and receipt 15 probable and are net of applicable VAT and are accounted for on an accrualsbasis. Gift aid reclainwd on subscriptions paid under Deed OE Covenant Is recoLiSed when re1vable and receipt is probable. c) Other income is recognised wheTh receivable less any provision lor bad debt. d) Income from Trading Aetivittes which bncludes sutling. 8rounds hire, bedrooEns, car parking, the Flank Companies, Ball and miscellaneous sales is recosni5ed when receivable net of any provision for bad debt and accounted for on an accruals basis. e} Investment property income represents rental income, licence fee income and miscellaneous income from the investment property portfolio comprising commercial and sidential properties Iated around the perimeter of the Artillery Garden, and the Penll1 Estate. The income 15 recosnised when receivable nel of any provision for bad debt and accounted for on an accruals basis. fl Listed investment income represents dividends received or acerued in the period. gl Interest on cash depositg ig recosnised when received or accrued in the period. Expenditsre al Tradins eosts of sutling, grounds hire, bedrooms, car parkin& cost of the Flank Companies, Ball and cost of miseellaneous sales are recO5ed as incurred and accounted for on an ccrual's basis. Trading c051$ include an allocation of total payroLL costs for Company staff, contract and temporary staff, with the allocation bein8 based on a percentage estimate OE the lime spent on tradin8 aclLVlties. The allocation is reviewed each year. Tradin8 Costs also included an allLKalion of utilitie5 and general office overheads agreed each year. bl Investment property costs include the managing agent's fees and repair and maintenance and void eosts and arè recognised a5 iDcurred. Costs paid for by the Company are accowited Eor on an accruals basis. c} Investment management charges by Evelyn Partner5 are paid directly from the Unrestricted/Restricted Pooled Fund and Benevolent Fund and are reco8nised when charged to each Fund.
Homourable Artilltry Comp8ny NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 Icont'd) dl MItarY grants to the Honourable Artillery Company Resiment are agreed by the Court of Trustees each year and reco8nised as incurred. Other fid hoc Srants and d(mation$ are asreed by the Court o( Trustees and accounted for on an accruals basis. el The costs OE rnaintaining and operatin8 Arnioury House for Company usage is net of the allocati¢)n of payroll and utility costs allated to trading activities. The cost of support for the Membership and the cost of general Compamy administration and overheads is net OE the allocation of general overheads to trading activities. Govemance costs included in general overhead5 relate lo the direct costs assttialed with the constitutional and StatorY requirements of the Company and include the costs of extemal audit, secretarial and other constitutional related costs. OthergaiKs losses a) The listed investments ID the Unrestricted/Restricted Pooled Fund and Benevolent Fund portfolios are valued each quarter and the total valu8tioTh chan8e for the financial year is included in the Statement of Financial Activity {SOFAI tosether with realised gains and 105ses on disposals in the year. b) The investment propertie5 are professionally revalued every 3 years with desktop valuations in the intervening years. The valuation thanse since the previous valuation is included in the SOFA as an unrealised 8ain or loss. Designtited AKd Restricted Futtds Income and expenditure related lo the desi8naled and restricted funds aTe included in the con501idaled SOFA. Tangible iKtAKgiblefixed assetsfor OUN use r,reehold and leasehold land in use by the Company at the Artillery Garden and Penceui have been VAlued at cost. No value is attributed to Armoury House other than the capilah5ed cost OE alterations. Other assets are staled at Cost less depreciation, calcukted on a straisht-line basis as follow5: Alterations to property Plant, fixture5 and equipment Computers and other electronie equipment software 20/25130/60/150 years 10/15/20 years 3 to 5 years 5 years TaKble Hs5ets - HeritAge assets No value is attributed to the Cornpanys collection of memorabilia and treasures acquired prior to l Novembei 2005 whith are considered to be part of its herita8e and the depreciated historical cost is not material. Treasures acquired Erom l November 2005 haye been capitalised at cost. Heritage assets are not depreciated as their useful life is considered lo be indeEinite. Detailed records of Heritage a55ets are managed by the Museum and Treasures Committee who are a]so responsible for the onsoins preservation. 20
Honourable Artillery Company NOTES TO THE FJNANCIAL STATEMENTS Year ended 31 October 20251cont'd) Access to Heiitage assets 15 available by written request to themuseum and Treasure5 Committee. InvestmeKts (including propertie5 held as investmertts) Investments are stated in the Balance Sheet at market values applyin8 at the financial period end. Stocks St(Kks are stated at the lower of cost and net realisable value. Cqsh And eAsh eq%ivaleKts Cash and cash equivalents include cash in hand, deposits held at call with bank5, Other shorl-terni liquid investments with original niaturities of three months or less. FiKanciAI instruments The Company has elected to apply the proviSLons of Secli¢m 11 'Basic Financial Instruments, and Section 12'0ther Financial Instruments Is$ues' of FILS 102 to all of its financial instruments. Financial $trUments are recognised in the Company's balance sheet when the Company becomes party lo the contractual provisions of the instrument. Basiefirtdnc¢al Assets Basic financial assets, which include trade and other receivabLe5 and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carTLed at amortised cost usin8 the effective interest method. BA$i¢firtaKcial liabilities Basic financial liabliities, includin8 trade and other creditors, are initially recosnised at transaction price and subsequently measured at amortised cost using the effective interest method. Imdgementg amd key Somrces of estimation urtcertaiKty In the application of the Company's accounting policie5, the Trustees are Tequired to make judsement5, estimates and assumptions about the caKryin8 amount OE assets and habilities that axe not readily appaTrnt Erom other sources. The e51imates and associated assumptions are based on historical experience and other Eactors that are considered to be relevant. Actual resu115 may differ from these estimates. 21
Honourabl¢ Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 (cont'd) The esti]nates and underlyin8 a5SUmPtions are reviewed on an onsoins basis. Revislons to accounting estiniates are recosnised in the peri¢)d in which the estimate is revised where the rev15ion affects only that period, or in the period of the revision and future period5 where the revision aEfects both eurrent and future periods. The following judgements (apart from those involving estimates} have had the most Si8nificant effect ¢)n amounts recogThised in the financial Statements: al The annual depreciation charge for propertyi plant and equipment is sensitive lo changes in the estimated useful economic lives and residual values OE the assets. The useful economic lives and residual value5 are re-assessed annually. They are amended when necessary to reflect current estimates. based on technological advancernent, future investments, economic utilisation and the physical condition of the assets. See note Ila and Ilb for the carrying amount ol the property, plant and equipment and the accounting policy above for the useful economic lives for each class of a95et. bl The Group uses the valuation performed by ils independent professional valuers every 3 years as the fair value of its investment properties. The valuation is based upon the key asswnptions OE estimated rental values and market-based yields. With regard to redevelopments and refurbishments, future development costs and an appropriate discount rate are also used. In determiDiDS fair value, the valuers m8ke reEerence lo market evidence and recent 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. tO8ether with general observations as to the state OE the market at the Balantt Sheet date. 22
Honour#ble Artillery CompaThy NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 Icont'd DonatAons and legacies 2025 £000 2024 £07 Benevolent Fund Other Restricted Funds 61 106 Restricted Funds UrLreslricted Funds 109 Total 72 113 Member sub5CriPtions 2025 £0 334 92 1371 2024 £000 319 Paid by members Tax reeovered on Grft Aid SUbriPtiOnS VAT payable on subscription income 135} Total 389 337 Other income 2025 £000 2024 £000 104 264 Pikemen & Musketeers income Lisht Cavalry income Restricted funds 257 334 (31 Other Events - unrestricted funds 31 Total 331 Other trading actilIe8 2025 2025 2025 2024 Income Expen8e8 5urplu81 (Deficit) £000 1.205 Surplugl {Deficitl 00 981 151 13 £oLy) 2,201 £)0 {996) {188) 11031 Sutling Sports & ground$ activities Bedrooms Car parkins Sale of books, ties, cards and other income Audit fees Administration charse 105 16 li 16 (81 iioi 11821 iio) 11821 {io} 1182) Unrestricted Funds Flank Cornpanies, Ball- restsirted Eunds 2,569 102 11,487) 1991 1,082 965 20 Total 2,671 11,5861 1.085 985 23
Honourable Artlllery Comp8n NOTES TO THE FINANCIAL STATEMENrs Year ended 31 October 2025 Icont'dl 6. Other truding acttvities 2024 IKcome 2024 Expertses 2024 Surylusl (Defiut) £00 981 £000 2.001 284 £000 (1,020} (133) 199) Sulling Sports &grounds activities Bedrooms Cor parking Sale of book5. t, cords and other income Auditfees Adminislr4tiort charge 13 (4) (10) {182) (10) {182) Unrestricted Funds Flank Companies. B411- reslri¢ledfvnd5 2,413 91 (1,448) (71) 965 20 Total 2,504 {1,519) 985 Investment property income and expenditure Income Commercial Residential Other rental income 2025 2024 £000 827 455 438 827 449 Total Ineome 1,682 1,720 Expendltur¢ Mana8ement fees (including the Pencelli e5talel Insurance, legal and professional fiees Maintenance and repalrs 22 59 147 49 (5} Total expenditurè 89 228 24
Honourable Artiller Company NOTES TO THE FINANCIAL STATEMENTS Y¢sr ended 31 October 2025 (tont'd) Military grants and other charitable expenditure Noof Granls 2025 71 26 Noof 2025 Grants 2024 47 19 2024 £Doo 432 32 232 Grants to the Regiment and Sub Units - unrestricted Grants from the Benevolent Fund to individuals- restricted Vambrace expenditure (see note below) 373 31 Total grants pald Other charitable expenditure Pikemen & Musketeers expenditure- restricted Li8hl Cavalry expenditure- reslricled 97 67 696 196 275 77 235 Total military 8ranl8 and other charitable expenditure 97 974 67 I,(Y09 Vambrace expenditure comprises professional fees and construction costs for refurbishment of 15 Bunhill Row and the basement.of Finsbury Barracks. Maintenanee and operation o& Armoury House 2025 2024 £000 744 Staff costs, includin8 taxes and pension contributions {ineludin8 contract and temporary staff) Rates, water. power and heating Cleaning and waste removal Property mainlemance and repairs Treasures, Archives Recharges to trading subsidiaries (see note 6) 240 58 343 85 (182) 253 58 357 79 {182) Total 1,332 1.309 25
HonDurablt Artill¢ry Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 Icont'dl 10. Membership services and seneral adtnirristration 2025 £000 2024 Total Tol¥1 Staff c05t5, including taxes, pension contributions Office services, rr and telephone Membership administration Insurance Publications Bank ehar8es, other legal and professional costs Recharges to tradins subsidiaries Benevolent Fund (restricted) administration costs Governance 652 218 207 21 150 35 153 37 26 (io) (10) 21 55 54 1,197 1,092 Auditorfs remuneration (excluding VAT) included in sovernance costs above: Audit Fees 37 26
Honourable Artillery Comp8ny NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 Icont'd) 11. Fixed assets Ila. Tansible Eixed assets lor own use FeOldI Leasehold Land & Buildin88 £000 Furniture, Plant and Equipment £0 Subsidiary Freehold Land Charity Total Group Total £ofy) Cost At l November 2024 Additions 2,163 199 10,867 221 329 11,196 221 22 At 31 October 2025 8,726 2,362 11,088 329 11,417 Depreciation At l November 2024 Charge for year 4,844 75 1,607 6,451 158 6,451 158 At 31 October 2025 4,919 1,690 6,609 6,609 Net Book Value At 31 (klober 2025 3,807 672 4,479 329 408 At 31 October 2024 3,860 556 4,416 329 4,745 The Company has substantial lon8-held historic assets which are used in the course ol the Company's activities to support the Re8iment and Company membership. These comprise the land and buildings at Armoury House, tO8ether with certain miLitary and ceremonial items and other treasured artefacts. The buildings at Armoury House were constructed principally in 1734- 35. 1787, 1826-28 and 1843. Due lo the a8e of these items, and in many case5 the unique nre, reliable historical cost information is nol available for these assets and could not be obtained except at disproportionate expense. In the opinion of the Court the depreciated historical costs of these items is now immaterial. Heritase assets acquired from l November 2(J)5 have been capitslised by the Company (see note Ilb). Included within the eost of Ereehold land and buildins5 are the capitalised costs of later acquisitions and alterations to the land and buildings, including £6,606k relatin8 to the development of the Prince Consort Rooms. Buildin85 insuranee lor properties owned by the Company including Armoury House and other Investment properties (see note Ilcl at 31 October 2025 is held to the value of £37.424k12024 £37.792kl (insurance value). Th exclude5 any investment properties let on a full repairing lease where the tenant has the obli8ation to insure. The Rnsuranee value is reviewed annually. 27
Honourable Artill¢rv Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 Ortober 2025 (convdl 11. Fixed a8sets. contd Ilb. Tan8Able fAxed assets, contd Pikemen & MusketeerB aj ii8ht Cavalry £Doo Heri¢a8e Asset8 £oTr) C08t At l November 2024 Additions 59 147 Al 31 October 2025 3(M) 147 Depreciation At l November 2024 Charse for year 300 At 31 October 2025 3tK) Net Book Value At 31 Oetober 2025 18 147 At 31 October 2024 21 147 28
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 Icont'd) 11. Fixed assets, Contd Ilc. Investment Properties 2025 £0) 2024 £0 Valuation at l November 2024 Addition5 Revaluation1055 37,792 411 {778) 37,843 1511 At 31 Iktober 2025 37.425 37.792 The investment properties are professionally valued on a triennial basis and the value is reviewed by the Trustees on an atfftual basis. The investment properties were valued on an'open market, basis by Farebrother, the Compan9 Property a8ents, at 31 October 2023. Ild. Intan8ible asgets- Sottware Eor own use 2025 Éooo Cost At l November 2024 ioi At 31 October 2025 ioi Amorti$ation At l November 2024 Charse for year At 31 October 2025 ioi Net Book Value At 31 October 2025 Al 31 (ktober 2024 29
Honourable Artillerv Companv NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 (cont'dl 12. Listed investments 2025 2024 tnvestments at rnarket value- l November 2024 Additions Disposal proeeeds Reahsed and unrealised gains ijJ83 2,523 (2,264) 9.645 2,859 (2.269) Sub-Total Investment cash 13,196 92 liJ83 205 Investment$ at market value - 31 October 202 13,288 11,588 Split OE inve8tments- 31 Cktober 2025 UK listed investments Overseas Listed inveslments Multi-Asset funds Held as cash 3,218 8,855 1,123 92 3,158 7,222 1.003 205 13,286 11,588 The historical cost of the ]isted investment$ (excluding cash) was £11,642k {2024.. £10,253kl 13. Subsidlary companies The Company has four wholly-owned subsidiary companies, all resistered in Ensland and Wales.. HAC Enterprises Limited, which is re$ponsible for Sutlin8, House and Ground hire, ad sports aetivities. HAC FlaThk Companies, Ball Limited (owned by FL4C Enterpri5e5 Limited), which or8aThises an annual ball on the Company's prernises. 14 City Road Residential Ltd (Dornwitl Pencelli Ltd, which owns the Welsh Pencelli Estate in the Brecon Bea¢on$. A deed of covenamt is in place between HAC Enterprises Limited and the Company whereby the subsidiary dgnates the whole of their taxable profit to the Company each year. The amounts owed by the subsidiaries to the Company at 31 October 2015 are shown beli)w'. 30
HonourAble Art511erv Companv NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 {cont'd) 13 Stsbsidiary eompanieg Icont'd) HAC Enterprise5 Ltd £0 HAC Flank Companies. Ball Ltd £0 Pencelli Ltd £000 Fixed assets Tangible assets for own use Shares in subsidiary (see above) Total fixed assets 329 329 Current aS8ets Stocks Debtors Other debtors and prepayments Cash at baDJ( and in hand 869 132 521 Total current assets 1,525 Creditor8 Trade crethiors Accruals and deferred income Amounts owed to Company 21 512 992 29 Total ¢rèdltorg 1,525 29 29 Net current liabilitie$ (i) (291 Net a$8et8 (i) 300 Share capital and re8erYe8 (i) 31Kl 14. DebtorB and prepayments Group 2025 Charity 2025 2024 2024 £000 957 134 585 £000 368 309 619 £000 £wo Trade debtor5 Sundiy debtors Prepayments and accrued income Amounts owed by subsidiaries (note 13) 133 452 1,050 309 530 1,232 Total 1,676 1296 1.723 2262
Honourable Artillery Company NOTES TO THE FINANCIAL STATEME Year ended 31 October 2025 (Cont'dl 15. Creditors due within one year Croup 2025 £000 3(M) 2024 £Th)o 322 317 161 Charity 2025 £0¢ 279 Trade creditors Accruals Deferred income Taxation Other credtto 2024 £000 248 321 333 42 501 42 271 71 450 Total 1,264 1.321 730 992 Deferred Fmcome represents ineome An advance for events, accommodation, room and grounds hire, rent and subseriplions. 32
Honour8ble Artillery Company NOTES TO THE FINANCIAL STATEMEf+trs Year ended 31 October 2025lcont'd) ch4rilabIe Funds al Curyeni period l November 2024 lrtcome Expendi Investment GaiThsllLosseJ) & TrarL8(eTS 31 October Unrestrieted Ftsftds". £Doo General Reserve t*8i8nalEd Reserves Fixed Asset Fund 14Tr41 182 1221 i.o(x) 8296 42,742 42.742 TotaI Unre8trtCled Fund8 51,047 115921 187 $1038 Reslricted Funds: Benevolent Fund RemEntal Grants Fund Lightcavalry Pikemen & Mu5keteeTS Other Resiricied Funds 1511 533 4535 381 157 215 9)3 381 175 336 257 12751 11981 Total Re•trleied Funds J,754 6281 Total Fund• 57AOI 5,378 15,1101 776 58J19 bl Prttrrperrod l November 2Q23 llrcomt Inve8tM•s¢ GAtnsllL088es) TransfrrJ 31 O¢tobtr 2024 (4.650) Firul Assei FttiTd 6.158 42,793 (1.033) 5.747 Tot41 UMYe$lri¢tedF#Kd$ 42,742 4,699 (4.650) 51.647 RestYi¢tedF#n4&' BeFTevoltnÈ Fund ReEntal Cn7#18 Fund Ltght C4twlry pikemen &Mt4thtlÉ•¥ 0lherRutrted Ft4nds .JS65 506 147 290 753 81 393 (12SJ (2&5) f78J 3.978 381 175 3.16 884 2&3 107 172 Z7 24 Tot41Rt$thcted 5,261 623 (5641 5,754 Tot¢rl FndS 56.196 5J22 (5.2141 IA197 57301 33
Honourable Artillery Company NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 Iconydl Unreslricted Funds: De51snaa Reseryes compri5e&' Medium Terrn Reserve - This is the cash balance required to fund the Capital Expenditure for the next 5 years as set out in the Company's latest capital expenditure forecast and consistent with the latest 10 Year Business Plan. As at 31 October 2025 thi5 reserve had a balance of £l,OOOk. Lons Term ReseEve- This reserye has been established with a target of £IOmillion for the future long-term needs of the HAC Regiment which are for additional facilities and equipment. The reserve is held in a mix of cash, workin8 capital, and equity investments. At 31 October 2025 this reserve had a balance of £7,114k. Fixed A88et Fund This has been set up to Identify those funds that are not free funds. The value shown represents the net book value of tansible assets and property investments. Re8tTi¢ted Ftsnds: Benevolent Fund - The value of this fund increased during the Current year due to investment gains. Dividends received have been reinyested. The Benevolent Fund Committee actively seeks potential applicants and members are invited to bring Deedy cases to the HAC Trustees, attention. Fund income currently derives from legacies, donations and dividend income from investments. Regimental Grantg Fund The purpose of this fund is to support recruittnent and retention in the Re8iment and can be spent on both capital and revenue expenditures. In reviewins the lon8- tenn requirements for thts fund, it has been asreed that the value of this fund is lo be capped at £6k. The value of the flmd is supplemented by the profit, if any, of HAC Flank Compales, Ball Limited, which is GiEt Aided to this fund. Light Cavalry - The balance on this fund represents the asset value of the HAC Li8ht CavaLry. Pikemen & Musketeerb - The balance on this fund represents the asset value of the Company OE PikemeD & Musketeers. Other Re&tricted Funds The balances on thesè funds consist of the Gridley Will Trust, which 15 used by the Commandin8 Officer lo fuDd annual prizes, The Dugdale Bequest to the Company OE Ptheman & Mu5keteers and the Benton Bequest I'A, Battery Fund), used to support the cost of an annual dinner. Income for these other restricted funds derive5 from a combination OE legacies, donations and dividends. 34
Honourable Artillery Compan NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 (cont'dl Analysis of Gmupnei assets between Funds- 2025 Inve$trnenl Listed Propertyand Investments Tangible Fixed Assets 17. Cutrenl Asst LiabllTties Total 2025 UmreslrA¢tedFurtd& G¢ncrAI RErVe Desiwied Re8¢rves Fixed A$8et Fund 300 7,740 1,418 374 510 17181 182 42,233 42,742 Tot[ UnreBtri¢led Furtds 41233 8JJ40 1302 15361 5U138 Restrl¢ted Fwnd Benevolent Fund Resimenlal Grants Fund Lighi Cavalry PikLYnen & Mu8keteers Other ReBlri¢ied Ftsrds 4559 40 381 42 1641 18 381 157 215 993 149 267 2TJ 147 13081 13041 876 Tol•l Restrlcttd Fund• 165 1248 1.595 irn) 6361 Total Fund8 41398 13,288 3,897 11,2641 58J19 During the year, in accordance with the Cash Management Policy approved by the Court, the Cash resource5 OE the Unre5tricled and Restricted funds of the Company have continued to be operated as a single pooled-cash resource. Al 31 October 2025 the amount owing to Restricted Funds by the UnrestrÈcted Funds, was £765k {2024.. £765kl. ANAly81s of Grt¥Mp net4Jseti betwe¢ F¥mrfJ- 2024 LtAt¢d Proptrty l¥svestMetyt• TaNxrble F¢d A$Jets C¥rY¢nt Lt4brlltiei Att Tot¢1 2Q24 Upsrestrérted Generol Re&rve DeilgKuiedRé$eryes 1,376 I.oAI llJJ651 A.294 42.558 7.905 42.742 roral Uryrestrlcied Ftsnds 42.538 O.Q83 3,191 fl.005) 51.047 RegthctedF¥NA Groists Fuwd Lixhi Cawlry Pitemen & Mu5kttc*J OtherRcslrictedFuNd$ 17 381 62 314 (71 3,978 381 175 336 884 21 J49 241 247 (571 (215J 27 147 Tot41 RestrscEed FupJd$ 4A05 I,Z37 (256) 5,754 TotrflFuNds 42.7(k5 11,588 4,428 IlJ21J 57,401 35
Honourable Artillery Compg NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 Icont'dl 18. Payroll costs 2025 2024 aloo 976 107 HAC salaries (excl. Er's Nl, pensioners & contract staffj HAC employerfs National Insurance 1,127 142 HAC emoluments (excludin8 pensioners & contract stalf) 1.269 1.083 Lisht Cavalry salRries (excl. Er's Nll Light Cavalry employer'5 National Insurance io Light Cavalry emoluments 104 6Pension Contributions 105 105 Pensior paid 12 12 Total Staff C0816 2025 2024 Average number of HAC employee5 (excl. contract stakf and pensioners) Aver¢ige number of Light Cavalry employees Averase number of pensioners Total Staff 22 26 27 Number of employees eaming between £60k and C/Ok Number of employees eaming between £70k and £80k Number of employees eamins between £80k and £90k Number of employees earning between £170k and £180k The hi8hest paid employee received employer pension scheme contributions of £16,5(X) (2024.. £28,393). The reniuneration of the 7 (2024.. 7) key management personnel totalled £570,29912024.. £487,104). This excludes employer pension contributions of £44,070 (2024.. £53.032) and employer national insurance contributions of £75,762 (2024.. £57067). 19. Capital commitments The Company is undertak8 a project to c¢)nvert offices at 14 City Road {floors 1-4} into residential properties. As at 31 October 2025. the associated capital commitoient amounted to £1,467,674 {2024.' nil). 36
Honourable Artlllery Cornpany NOTES TO THE FINANCIAL STATEMENTS Year ended 31 October 2025 leont'd) 20. The Court and related parties The Mern 0£ the Court of Assistants are the Trustees of the Company. The Trustees were covered by indemnity insuranee foT the year ended 31 October 2025. Two Trustees (2024.. two) and the Chief Executive who served durin8 the year rent Company- owned flats. One flat Is subject to a regulated tenancy a8reemenl,' the remainin8 two, includin8 the Chief Executive's, are let al market rates. No expenses were claid by Trustees during the current year or PvIouS years. Fees totallins £3,40912024.. £2,872) were charged to the Company by Major Charles Mannent, Trustee, for services as Secretary lo the HAC Re82mental 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 aCCommlatIon and also has exclusive discretion over the application of the Active Unit Grant. The Active Unit Crant amounted to £40k for the year ended 31 October 202512024.. £40k}. No other remuneration or benefits We received by Trustees. There are no other Telaled party transaction5 requitin8 disclosure. 37