2021-12-31-accounts

Charity No. 219858

NATIONAL RIFLE ASSOCIATION

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021

NATIONAL RIFLE ASSOCIATION

CONTENTS	Page
Chairman’s statement	1
Trustees’ report	2
Independent auditor’s report	18
Consolidated statement of financial activities	20
Group & charity balance sheets	22
Consolidated cash flow statement	23
Accounting policies	24
Notes to the financial statements	28

NATIONAL RIFLE ASSOCIATION

STATEMENT BY THE CHAIRMAN FOR THE YEAR ENDED 31 DECEMBER 2021

The NRA has continued its recovery from the restrictions imposed by the Government in response to the COVID19 pandemic. The range complex at Bisley was closed at the start of 2021 but the lifting of restrictions in March saw many people return to target shooting and provided greater opportunities for the NRA to pursue its charitable objectives.

The enthusiasm of people to return to target shooting is a reflection of the underlying appeal and popularity of marksmanship promoted by the NRA as part of its charitable purposes. The NRA now has over 9,800 members and there is increasing interest in marksmanship, both at Bisley and around the country. This is reflected by the levels of participation overall in competitions organised by the NRA as part of its charitable objectives.

During 2021, National Shooting Centre Limited ("NSC"), the NRA's wholly-owned subsidiary was very busy delivering both for charitable and non-charitable shooting activities. In particular, the Bisley Shooting Ground business acquired in 2020 has proven to be a success, generating a trading profit of £197,769 after re-opening in late March.

We have spent significant time and resources with those responsible for regulation. We all recognise the need for effective regulatory oversight of firearms ownership and the NRA contributes to an informed and rational approach to this important issue. We will continue to work with government and police to enable people to develop their marksmanship skills in ways that are responsible and accessible. We are also contributing to the debate on the use of lead-free ammunition.

Net cash flow provided by operations is £1,180,306 for the year, significantly more than the net cash of £245,825 in 2020, reflecting the lifting of the covid-related lockdowns. The net surplus for the year is £845,594 compared to the net deficit of £426,540 in 2020; this includes a gain on investments of £46,760 compared to a gain of £2,773 in 2020. For comparison with pre-covid figures, the net cash in 2019 was £1,008,161, the net surplus in 2019 was £21,645 and the gain on investments in 2019 was £52,369.

The results for 2021 were largely due to the return of people to target shooting, combined with low staffing levels and the continued tight control on costs as part of our covid-recovery strategy.

I am pleased that we have paid down the overdraft borrowings incurred during lockdown. We now need to establish reserves against future financial challenges, increase our staffing levels to reflect the demands on the charity and the NSC and increase maintenance and improvement works that were restricted during the pandemic. The Trustees are working on a revised post-covid strategic framework for the future of the NRA, which has been shared with General Council and will be circulated more widely for input from members. We also continue to explore opportunities for supporting new regional ranges and creating regional training hubs.

The fact that the NRA has weathered this storm is in no small part due to the support of its members, tenants and those who use the ranges at Bisley and I want to thank all of them for their contribution to the survival and recovery of the NRA.

The success of the NRA would not be possible without committed and effective management. Andrew Mercer, our Secretary-General, has assembled an executive team that is committed to the success of the NRA and the NSC. In turn, they lead a vibrant and enthusiastic workforce who deal with members and customers throughout the year. They continue to draw on the ability and commitment of our Trustees, who volunteer to spend many hours forming and articulating critical policy for the executive to implement.

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

David Lacey

David Lacey

Date: 23 April 2022

Page 2

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

This is the Trustees’ Annual Report and the financial statements of the National Rifle Association ("the NRA") for the year ended 31 December 2021. In preparing this report, the Trustees have had regard to the Guidance published by the Charity Commission for England and Wales in Public benefit: reporting (PB3) .

1 Objectives and Activities

• 1.1 The charitable objectives for which the NRA was established are set out in the Second Schedule to the Royal Charter of the NRA. These objectives are:

  • “ to promote and encourage marksmanship throughout the Queen's dominions in the interests of defence and the permanence of the volunteer and auxiliary forces, naval, military and air .”

• 1.2 The NRA promotes its purposes for the public benefit in three main ways:

• (a) by promoting military and "mixed" (i.e. civilian and military) competitive shooting, in furtherance of the promotion of the efficiency of the armed forces of the Crown and the efficiency of the police, fire and rescue and ambulance services;

• (b) by promoting civilian youth shooting, both competitive and non-competitive, for the advancement of education; and

• (c) by promoting competitive adult civilian-only shooting for the promotion of the Defence of the Realm.

• 1.3 The Trustees are aware that the Charity Commission believes that the connection between civilian marksmanship and Defence of the Realm is tenuous. That is not a view shared by the NRA, but at this stage the NRA has not sought to challenge that view while information is collected on the participation levels of military, emergency services and cadet personnel in events organised by the NRA. Despite the huge advances in military technology during the period since the founding of the NRA, expertise with small arms remains an essential skill within our defence and security services and marksmanship is a key element of that expertise. In what continues to be a troubled world, the maintenance of efficient and skilled defence and security services is of immense benefit to the public of the United Kingdom.

• 1.4 The competitive shooting organised by the NRA is open to military, emergency services and civilian marksmen and the Trustees believe that this activity promotes the purpose described in paragraph 1.2(a). The participation rates of military and emergency service personnel and cadets in 2021 averaged 32.5% across all NRA competitions; this has been reported to the Charity Commission.

• 1.5 The NRA conducts the following activities as part of furthering its charitable objectives:

• (a) publishing the NRA Journal;

• (b) operating a membership scheme;

• (c) organising shooting competitions to promote charitable purposes open to current and former military, police and other emergency service personnel, cadets, students and civilians;

• (d) promoting marksmanship for cadets and students at schools and higher education institutions;

Page 2

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

• (e) providing information and advice to politicians and civil servants in relation to matters concerning marksmanship;

• (f) maintaining and curating the NRA Museum and Trophies for marksmanship competitions;

• (g) conducting training courses in marksmanship and in instruction of marksmanship that are open to current and former military, police and other emergency service personnel, cadets, students and civilian marksmen;

• (h) publishing rules for marksmanship competitions and training manuals for use in connections with training courses;

• (i) organising marksmanship competitions open to current and former military, police and other emergency service personnel, cadets, students and civilian marksmen including the Imperial Meeting, the Phoenix Meeting, the Trafalgar Meeting and the Adaptive Championship;

• (j) operating a Home Office Approved Rifle Club to encourage marksmanship and facilitate the acquisition and use of firearms and providing advice and guidance for compliance with firearms licensing laws; and

• (k) publishing guidance for the safe operation of ranges.

• 1.6 The consolidated accounts limit the scope for demonstrating the contribution of each activity in the financial information published below.

• 1.7 The NRA, along with the wider shooting community, recognises that safety in the use of firearms is of paramount importance. There are obvious risks of harm associated with the careless use, or deliberate misuse, of firearms. The NRA firmly believes that by encouraging participants to undergo organised training, and by the maintenance of a rigorous disciplinary code for its membership, it helps to minimise the chances of accidental harm arising from the use of such equipment.

• 1.8 There are, as with many activities, incidental harms associated with target shooting, such as a degree of noise pollution, contamination of small areas of land by spent projectiles and restrictions on access to range danger areas. All of these are kept to a minimum, the success of which contributes to the flourishing of rare fauna and flora found on the large Site of Special Scientific Interest that covers most of the Bisley ranges.

• 1.9 In addition to those of military service age, target shooting is an activity in which the young, the elderly, the able-bodied and those with physical disabilities can all participate. There are few constraints on involvement except for those arising out of firearms legislation. In 2021, major competitions attracted competitors between 13 and 90 years of age. Shooting provides an activity which can be, and is, continued by members of the armed services who have been injured in the line of duty - to the considerable benefit of participants' morale and rehabilitation.

• 1.10 Non-competitive or “recreational” marksmanship activities are conducted by National Shooting Centre Limited (“NSC”), the wholly-owned subsidiary of the NRA. This is consistent with the fact that target shooting is not currently recognised as a sport for charitable purposes and so the NRA is not able to promote marksmanship as a sport.

• 1.11 Civilian marksmanship is often misunderstood by the public and its contribution to the public good is often understated. The NRA seeks to tackle these issues as part of pursuing its charitable

Page 3

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

objectives and through its activities make a difference to the way civilian marksmanship is perceived. A positive perception of these activities will encourage more people to engage in them, which is a key measure of the success of the NRA in pursuing its charitable objectives.

• 1.12 The achievement of its aims will further its legal purposes by demonstrating that its charitable objectives make a contribution to the public good through its commitment to the Efficiency of the Armed Forces and education.

• 1.13 The strategies used by the NRA for achieving its aims and objectives include:

• (a) promoting marksmanship in schools and universities;

• (b) engaging with cadet forces through the Council for Cadet Rifle Shooting;

• (c) working with the British Army, Royal Navy and Royal Air Force to develop and improve our engagement with it as part of our contribution to Efficiency of the Armed Forces; and

• (d) providing firearms training facilities to the Armed Forces, police and other emergency services.

• 1.14 The NRA uses the following criteria and measures in assessing its success in achieving its aims and objectives:

• (a) participation levels in the marksmanship events that it organises;

• (b) growth in its membership; and

• (c) the number of people engaging in the training activities provided by the NRA.

• 1.15 The significant activities undertaken in 2021 were providing ranges and other training facilities, including for police forces, and these contributed to the achievement of the NRA’s aims and objectives by providing competitions to test and improve the marksmanship of military personnel, and train and improve the skills of police firearms officers. The Imperial Meeting in 2021 was organised by the NRA and conducted in accordance with Covid-secure guidelines.

• 1.16 The short-term aims and objectives of the NRA are to:

• (a) promote effective communication with members and the wider public about the charitable activities of the NRA;

• (b) continue to develop effective procedures for the management of its land and buildings;

• (c) promote the contribution of civilian marksmanship to the Efficiency of the Armed Forces; and

• (d) improve range and other training facilities at Bisley for the use by the NSC as part of its business.

• 1.17 The medium and longer-term aims and objectives of the NRA are to:

• (a) ensure that the land and buildings owned by the NRA are maintained and used in an effective way in the best interests of the NRA;

Page 4

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

• (b) engage comprehensively across the Armed Forces and emergency services as part of promoting the contribution of civilian marksmanship to all branches of the military and emergency services; and

• (c) increase access to regional ranges.

• 1.18 The aims and objectives for 2022 provide a base from which to develop the longer-term aims and objectives of the NRA. The strategy of the Trustees is to see steady year-on-year growth in key metrics, recognising that there are limits on the extent to which civilian marksmanship can grow in the United Kingdom.

• 1.19 Social investment does not form a material part of the charitable and investment activities of the NRA.

• 1.20 The grant-making policy of the NRA facilitates and improves access to ranges and marksmanship improvement. Grants are made to provide support to organisations that promote marksmanship or enhance the engagement of the NRA with the armed forces and cadets. This contributes to the aims and objectives of the NRA by providing alternative routes for the NRA to contribute to the public good provided by civilian marksmanship activities. This can be particularly useful as a way of promoting the objects of the NRA across the United Kingdom, away from the base of the NRA at Bisley Camp.

• 1.21 The NRA welcomes the contribution that volunteers make to the ability of the NRA to undertake activities such as acting as range officers, instructors and competition administrators. The difficulty in attributing an economic value to that contribution prevents it being included in the statement of financial activities, but the Trustees are keen to recognise and acknowledge it.

2 Achievements and Performance

• 2.1 The key measures of success as assessed by the Trustees are:

• (a) increases in the membership of the NRA;

• (b) growth in demand for, and increasing use of, the Bisley range complex managed by NSC;

• (c) monitoring and increasing involvement in competitive shooting, particularly amongst military, emergency services and cadets;

• (d) delivering a financial surplus in accordance with the annual budget; and

• (e) organising a range of competitions and training programmes in the year with an increase in participation.

• 2.2 The NRA organised the following training courses during 2021:

Type of Course	Participants 2021	Participants 2020
Probationary	875	585
Range Conducting Officer / Range	338	46
Safety Officer

Page 5

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

Instructor, Renewal, Conversion	490	454
Skills Courses	136	56

• 2.3 The Pavilion training centre at Bisley provides a permanent base for the team of instructors and coaches. The facilities continue to prove popular and serve a growing portfolio of training programmes. The large number of NRA membership applications has increased the demand for Probationary training. Other training delivered in the year included courses for Range Conducting Officers for military ranges, ambulance service personnel, arctic expedition team leaders and regional range operators both at Bisley and regionally.

• 2.4 A series of Discipline Days were delivered to provide specific training by enthusiastic volunteers respected within their shooting discipline. The courses offer fundamental skills coaching and help encourage new shooters to compete in competitions; courses run for Civilian Service Rifle, Gallery Rifle and Pistol, Target Rifle and Target Shotgun were well received.

• 2.5 The NRA provides, and continues to invest to improve, a centre of excellence in marksmanship at Bisley for the use of the Regular Services, Reserve Forces, Cadets, Police and civilians.

• 2.6 The NRA works with Government, European organisations and the Police to facilitate the implementation and administration of firearms legislation, recognising the importance of this to civilian marksmanship.

• 2.7 NSC staff regularly provide advice and guidance to range operators and those wishing to develop new ranges.

• 2.8 The NRA continues to maintain a close dialogue with the Ministry of Defence as part of discharging its charitable objectives. The MoD use the NRA's Range Conducting Officer qualification and Shooter Certification Schemes to validate the competency of civilian shooting on MoD ranges. The NSC works with the MoD to identify any impending range closures so that early negotiations can take place over their feasibility, and the potential for the lease or purchase of such ranges to enable their continued use by civilians, cadets and reserve forces in support of marksmanship nationally.

• 2.9 The NRA maintains its governance of full-bore target shooting, including the upkeep and publication of the rules and regulations for shooting competitions. These are set out in the NRA Handbook ("Bisley Bible"), which is published in the spring of each year, and in a number of ancillary publications.

• 2.10 The NRA encourages full bore target shooting by organising, or causing to be organised, competitions at various levels; and positive promotion through social media and other channels. The NRA's Facebook page has become an increasingly important communication and promotional tool with a weekly reach of up to 150,000.

• 2.11 The NRA organised an extensive range of competitions in 2021; over the course of the year military, emergency services and cadets accounted for 32.5% of total competitors. The participation in major events and competitions held during 2021 were as follows:

Page 6

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

Event	Participants 2021	Participants 2020
Imperial Meeting
- Schools	Cancelled	Cancelled
- Service Rifle (Teams/Indiv.)	Cancelled	Cancelled
- Adaptive	21	Cancelled
- Civilian Service Rifle	239	447
- Match Rifle	130	90
- F Class	64	93
- Target Rifle	740	423
- Pistol & Gallery Rifle	95	Cancelled
- Historic Arms	76	Cancelled
- Cadets	129	15
- McQueen	76	Cancelled
-Teams	206	210
Gallery Rifle Events
- Spring Action Weekend	Cancelled	Cancelled
- Gallery Rifle Nationals	200	190
- Autumn Action Weekend	190	168
Civilian Service Rifle League	353	794
Inter Counties (teams/individuals)	20 / 227	Cancelled
Phoenix Meeting	352	Cancelled
Trafalgar Meeting	152	125
Target Shotgun Spring Festival	Cancelled	80
Target Shotgun Autumn Festival	57	26
Cottesloe Heath Challenge	Cancelled	129
Target Shotgun League	Cancelled	Cancelled
F Class European Championship	101	Cancelled

Page 7

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

Hand Gun League	48	Cancelled
Mini Rifle	124	Cancelled
Total	3,580	2,790

• 2.12 During 2021, the NRA continued a limited programme of investment in upgrading its land and buildings at Bisley due to financial constraints caused by the COVID-19 pandemic. This work included the, refurbishment of accommodation that is licensed to NSC as part of its commercial activities and refurbishing buildings prior to letting them to tenants.

• 2.13 The NRA promotes membership of the NRA as a way of enabling and encouraging people to contribute to the charitable activities of the NRA. The changes in the membership numbers during 2021 were as follows:

Membership type	31/12/21	31/12/20	Net change
Individual Total	9,876	9,587	+289
Clubs	696	678	+18
Schools	35	35	n/c
Associations	42	38	+4

• 2.14 The NRA seeks to maintain a sound financial base. The financial results for the year, as set out below, show a significant surplus, including a reasonable investment gain, in the NRA's financial position. which is helping the NRA to restore its balance sheet resilience as described in the Reserves Policy. The return to generating a surplus is vital for the organisation to fund the refurbishment of the landholdings of the NRA and improve and expand the charitable activities of the NRA across the country.

• 2.15 The work of the NRA has benefitted society as a whole by continuing to promote the efficiency of the Armed Forces so that it is better able to discharge its important functions. The work of the NRA with cadets and students has enhanced their education. While recognising the different view taken by the Charity Commission, the NRA believes that promoting opportunities for civilian marksmanship also plays a role in the Defence of the Realm for the good of the nation.

• 2.16 The NRA does not engage in any fundraising activities. The NRA does provide a membership scheme for people who wish to support the objectives of the NRA. The number of individual members increased by 289 and affiliated organisations by 22 during 2021.

• 2.17 Listed investments increased in value by £46,760 (2020: increased £2,773).

• 2.18 No material expenditure was incurred to raise income in the future.

• 2.19 The important work of the Armed Forces is enhanced by the activities of the NRA through the competitions it organises and thus the charitable activities of the NRA produce a benefit at a societal level. At an individual level, the activities of the NRA provide an opportunity for people to develop

Page 8

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

personal skills by providing training and access to the facilities needed to pursue marksmanship activities.

• 2.20 The NRA fosters positive relations with its employees as they are key to the effective delivery of the charitable activities of the NRA. This also applies to its engagement with the members of the NRA, as they provide an important contribution to the funding of the NRA and of course are essential to enhancing the levels of marksmanship in competitions that the NRA organises. The Trustees are also committed to positive engagement with the wider community. This is important to demonstrate the public benefit that flows from the pursuit of the NRA’s charitable activities. The NRA recognises the importance of fostering a positive public appreciation of its activities and to dispel misunderstandings, particularly in relation to safety and responsibility of the activities that it conducts.

3 Financial Review

• 3.1 The NRA's consolidated income for the year to 31 December 2021 was £7,466,580 (2020: £5,747,378). Expenditure increased to £6,667,746 (2020: £6,176,691). This has resulted in a consolidated surplus for the year of £845,594 (2020 Deficit: £426,540) including gains on the market value of investments of £46,760 (2020 Gain: £2,773).

• 3.2 References to "Group" or "Consolidated" refer to the combined total of the NRA and the NSC.

• 3.3 Principal income sources for the NRA are membership subscriptions, fees for entry into competitions, fees for training courses and rents receivable; and for the NSC fees for range use, revenue from sales of ammunition, and fees for clay target shooting.

• 3.4 The consolidated surplus is a result of strong demand for shooting at Bisley after the easing of COVID19 restrictions in March and careful control of costs and overheads. The sporting clay business at Bisley acquired in 2020 made a significant contribution to the surplus. The recovery from the impact of the COVID-19 pandemic yielded a significant positive effect on cash flow for 2021 and paid off the overdraft.

• 3.5 The NSC continues to improve integration with specialised IT systems for armoury storage, range bookings and ammunition sales. This integration is yielding improved accuracy and timeliness of management and financial reporting by NSC, which in turn facilitates effective financial management of the Group. Income in the year includes a one off business interruption insurance claim of £86,190.

• 3.6 The plan for the Pavilion works to provide a new range office, retail outlet, and improved hotel accommodation was suspended as a result of the financial effects of the COVID-19 pandemic, and re-started in 2022.

• 3.7 Fixed asset additions during 2021 of £475,099 (2020: £392,513) has been funded from cash flow and donations, and focused on projects to improve the effective conduct of marksmanship activities at Bisley and commercial shooting operations. Routine capital expenditure was restricted as a result of the effects of the COVID-19 pandemic.

• 3.8 To address a large backlog of maintenance, expenditure on estate maintenance and associated permanent staff costs in 2021 was £551,754 (2020: £556,216).

Page 9

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

• 3.9 The Trustees consider that surplus financial resources should be available to the NRA in order to:

• (a) Provide Balance Sheet resilience in line with the Trustee’s Reserves Policy

• (b) ensure continued achievement of its charitable objects during an unforeseen temporary reduction in income and to mitigate the impact of other risks, and

• (c) accumulate funds for major projects which cannot be financed out of annual income.

• 3.10 The Group's financial exposures include short-medium term liquidity, which trustees have also considered this in the Reserves Policy with a target cash balance and Acid Test ratio, and the medium to longer term capacity to fund capital projects, whether for reinvestment or development.

• 3.11 The Trustees agreed a one-year plan for 2021 which focussed on managing liquidity and rebuilding balance sheet resilience, and set financial policies intended to address these and other exposures, including ensuring that during any year the expenditure of surpluses on capital or development is managed so as to sustain a forecast cash balance of at least £250,000. This was not achieved consistently throughout 2021 due to COVID-19. The overdraft at year end was £nil (2020: £403,601) and cash £836,715 (2020: £266,589).

• 3.12 The Trustees consider that the accumulation of financial resources for major projects and to mitigate any unforeseen temporary reduction in income is most effectively measured by the liquid resources readily available from the Group's unrestricted funds.

• 3.13 The Trustees approved a target liquidity matrix to ensure that current liabilities are covered by cash or readily monetised assets.

• 3.14 The Trustees consider that there is a need to generate additional funds beyond the approved liquidity matrix, but recognise continuing surpluses and positive cash flow will be required to fund much needed capital and revenue projects on Bisley camp and in the regions.

• 3.15 Trustees consider that surplus financial resources should be available to the charity to enable the continuation of charitable activity during unforeseen events and mitigate the impact of other risks, and to accumulate funds for major projects which cannot be financed by annual income.

• 3.16 At the end of 2021 the NRA held funds of £8,918,488, including £227,678 (Overseas Team Fund) and £59,215 (Young Shooters Fund) as restricted funds and £397,489 (Special Prizes Fund) as Endowment Fund. The amount of free reserves at the end of the reporting period, after making allowance for any restricted funds, the amount of designations, commitments and the carrying amount of fixed assets which the NRA considers to represent a commitment of the reserves it holds is negative £690,092 (2020: negative £1,505,592).

• 3.17 The Trustees have considered the level of negative free reserves and consider it sustainable for a charity with substantial property fixed assets; this allows continuing substantial investment in capital expenditure especially as membership and rents in advance are £1,196,960 (2020: £1,161,361) and are not included in the reserves figure. Trustees expect the backlog in capital expenditure to have reduced by 2028 allowing free reserves to improve thereafter. A valuation of the estate was undertaken in 2020 valued the estate at £10million.

• 3.18 The Trustees have approved a Reserve Policy and believe that the amount of reserves is consistent with their policies and plans.

Page 10

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

• 3.19 The Trustees, having carefully reviewed the Charity’s forecasts, plans and procedures are not aware of any uncertainties about the ability of the NRA to continue as a going concern. The impact of the COVID-19 closure of the Bisley range complex during early 2021 was modest, and the recovery since re-opening has been strong. Trustees are confident that liquidity will be maintained through a combination of continued support for NRA activities, good demand for NSC services, rigorous cost control, and the overdraft facility from the NRA’s bank.

• 3.20 The agenda of matters for consideration at each trustee meeting is largely determined by an assessment of the risks affecting the charity and the need for Trustees to consider means by which those risks may be mitigated. Consideration of risks and their mitigation is therefore a routine part of the business of Council.

• 3.21 Key risks that are likely to affect the financial position of the NRA and its subsidiary going forward as identified in the risk register are:

• (a) a shooting incident involving a lawfully-owned firearm leading to the implementation of restrictive firearms legislation;

• (b) noise complaints leading to restrictions being imposed on organised marksmanship events at Bisley;

• (c) safety failures leading to restrictions on insurance cover which then limits the scope for organised marksmanship; and

• (d) possible restrictions on the use of lead in ammunition.

• 3.22 The principal funding sources of the NRA during the reporting period were: (a) rent and licence fees paid in respect of leases and licences of land belonging to the NRA; (b) competition entry and training fees; and (c) membership and affiliation fees paid to the NRA by members and affiliated organisations.

• 3.23 The NRA does not operate a defined benefit pension scheme. 3.24 The NRA segregates its restricted and endowment funds from its unrestricted funds and invests them separately. The Trustees have wide ranging powers, conferred upon them by the Association's Royal Charter, to invest and divest the funds of the charity at their discretion and as they think fit.

• 3.25 In practice, the Trustees take professional advice on the suitability of investments within their portfolio from their investment managers, Investec Wealth & Investment Ltd and Philip J Milton & Company Plc. The NRA have instructed its investment managers to act on a discretionary basis with a medium risk profile. The targeted performance is a better return than would be obtained by investing in the FTSE 100 or FTSE All Share Indices. Market forces dictate whether these targets are achieved. The Trustees have not imposed any particular social, environmental or ethical constraints on the management of the investments.

• 3.26 The NRA does not have any fund that can be realised only by disposing of tangible fixed assets or programme-related investments.

Page 11

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

3.27 The NRA is one of three member bodies of British Shooting, a private company limited by guarantee. The NRA does not provide any funding to British Shooting, and has no financial liability in respect of the company except the liability to contribute a nominal amount if the company is wound up. British Shooting receives grants from UK Sport and Sport England primarily to fund the training and development of Olympic and Paralympic shooters.

• 3.28 The NRA has no fund or subsidiary undertaking that is materially in deficit.

4 Plans for future periods

4.1 The NRA will continue to pursue its objectives as set out above. In addition to its on-going day-today activities it will:

• (a) continue to increase investment in the shooting facilities at Bisley as a centre of excellence for marksmanship while continuing to improve its financial position;

• (b) explore the opportunities to improve the usage of the Bisley assets by the Civil Nuclear Constabulary and other police, armed forces, and other firearms training organisations as well as commercial tenants who enhance the income of the NRA;

• (c) continue its discussions with MoD and private range operators with the goal of ensuring the maximum possible availability of ranges for civilian use;

• (d) improve and enhance the reputation of the NRA as promoter of competitive target shooting and improve the public profile of competitive target shooting;

• (e) ensure that NSC delivers consistently good value and invests cash surpluses where appropriate in its business; and

• (f) increase membership with particular emphasis on increasing the number of younger shooters both at Bisley and in the regions.

• 4.2 The Trustees have delayed publishing the 2022 – 2027 Strategic Plan until mid-2022 following the uncertainty resulting from the COVID-19 pandemic, and focused on improving the financial position..

• 4.3 The Trustees’ perspective of the future direction of the NRA is that it must not simply pursue its charitable objectives, but it must be able to demonstrate the way in which it does so. This will have an impact on how it allocates resources. One example of this is the need for greater clarity between the charitable activities of the NRA and the commercial activities of the NSC. Also, as a registered charity the NRA must not just comply but be able to evidence compliance with law and guidance.

• 4.4 Greater resources were allocated to this in 2021 including recruiting a Risk & Compliance Officer. Our engagement with the Charity Commission during 2019 and 2020 emphasised the importance of not just complying with law and guidance but being able to demonstrate this compliance. There are inevitably costs involved in the compliance process but this will be essential for the long-term interests of the NRA. The Trustees are using the experience gained from this to direct future plans and are conscious of the need to ensure that resources are allocated effectively to promote those plans and for the overall success of the charity.

Page 12

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

5 Structure, governance and management

• 5.1 The NRA was founded in 1859. The NRA was incorporated in England and Wales by Royal Charter dated 21 October 1890, and became a registered charity on 21 March 1963. The governing document of the NRA is the Royal Charter and its two Schedules.

• 5.2 The NRA has a single wholly-owned subsidiary, National Shooting Centre Limited (”NSC”), which is a company incorporated with limited liability in England and Wales. The NSC carries out trading and commercial activities, which the NRA is not permitted to carry out because of its charitable status.

• 5.3 Under the Royal Charter, the direction of the affairs and concerns of the NRA and the entire management of its property and funds are vested in the Council. The Council consists of the Trustees who are appointed in accordance with the Second Schedule of the Royal Charter as follows:

• (a) the Chairman is elected by the General Council of the NRA;

• (b) the Treasurer is elected by the General Council of the NRA;

• (c) the Chairman of the Disciplinary Body is a Trustee by virtue of holding that office and is elected by the other members of the Disciplinary Body;

• (d) the Chairman of the Shooting Committee is a Trustee by virtue of holding that office and is elected by the members of the Shooting Committee of the General Council of the NRA;

• (e) the Chairman of the Membership Committee is a Trustee by virtue of holding that office and is elected by the members of the Membership Committee of the General Council of the NRA;

• (f) up to three Trustees are elected by General Council from among its members; and

• (g) up to four Trustees are selected by the other Trustees with the approval of General Council.

• 5.4 The General Council is a representative body formed under the Second Schedule to the Royal Charter by election of the members of the NRA. Its role is to advise and make recommendations to the Council and provide representation of the membership of the Association. The General Council consists of up to 72 members including the Chairman, the Treasurer, 15 elected Ordinary members, 15 elected Regional members, 12 elected Shooting Discipline members, up to 19 ex-officio members and up to 9 co-opted members.

• 5.5 No external body is entitled to appoint any Trustee.

• 5.6 The Council has established the following Committees:

• (a) Investment Committee;

• (b) Audit Committee; and

• (c) Real Estate Committee.

• 5.7 The Investment Committee liaises with the investment managers appointed by the Trustees and monitors the performance of the investments of the NRA.

Page 13

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

• 5.8 Trustees review and approve the Secretary General’s remuneration each year. 5.9 The Audit Committee liaises with the auditors of the NRA and is involved in the preparation and oversight of the annual audit of the NRA.

• 5.10 The Real Estate Committee provides advice, guidance and recommendations at the request of the professional staff of the NRA in relation to the granting, administration and renewal of leases, monitors the process of granting and renewing leases and the administration of leases during their term and advises the Trustees on strategy and policy in relation to the management of the real estate of the NRA.

• 5.11 The Trustees are all volunteers. The NRA has a full time Secretary General supported by other professional staff tasked with the day-to-day running of the NRA.

• 5.12 The Secretary-General also serves as Chief Executive of NSC. A number of employees of the NRA are seconded to NSC. NSC pays NRA for the services of those employees under the secondment provisions of a co-operation agreement between the NRA and the NSC.

• 5.13 The NSC board includes a minimum of one independent director in accordance with guidance from the Charity Commission. A director is “independent” for these purposes if he or she is not a Trustee or an employee of the NRA. The NSC obtains independent professional advice when its directors consider it is appropriate to do so.

• 5.14 As part of the process for the induction of new trustees, each Trustee:

• (a) signs the Code of Conduct and Confidentiality Undertaking to agree to their terms;

• (b) completes a register of interests as part of the management of conflict of interests;

• (c) receives a detailed briefing upon appointment including an explanation of the proceedings of Council and the duties of trustees;

• (d) receives a copy of the Charity Commission publication The essential trustee: what you need to know, what you need to do (CC3); and

• (e) receives a detailed tour of the Bisley Camp, which represent the key landholdings of the NRA.

• 5.15 The NRA co-operates closely with the NSC under the terms of a co-operation agreement. That agreement deals with such matters as gift aid payments by NSC to NRA, the conduct of business by NSC, financial reporting, the secondment of NRA staff to NSC and data protection issues.

6 Reference and Administrative Details

• 6.1 The NRA is registered as a charity under the name “National Rifle Association”. The NRA does not use any other name apart from the abbreviation “NRA” or “the Association”.

• 6.2 The charity registration number of the NRA is 219858 and it has two company registration numbers: RC000372 for National Rifle Association and RC000791 for The National Rifle Association. The NRA is not registered in any jurisdiction other than England and Wales.

Page 14

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

• 6.3 The principal office of the NRA is at Bisley Camp, Brookwood, Surrey GU24 0PB. As a Royal Charter company, the NRA does not have a registered office address.

• 6.4 The Trustees in office at the date this report was approved or who served as a Trustee during the reporting period are:

David Lacey (Chairman)

Andrew Reynolds (Treasurer)

Gary Alexander

Alice Gran (appointed Sept 2021)

Nick Brasier

Thomas Putt

Robert Bruce

Andrew Nebel

Reg Roberts

Julia Hilger-Ellis

Charles Dickenson

• 6.5 The NRA has no corporate trustees.

• 6.6 No person holds the title to property belonging to the NRA as custodian, trustee or nominee except the Investment Managers named below, who hold certain investments as nominee for the NRA.

• 6.7 No person who served as a Trustee holds any title to property belonging to the NRA.

• 6.8 The Trustees engaged the following professionals during 2021:

(a) Solicitors: Moore Barlow LLP, 55 Quarry Street, Guildford, Surrey GUI 3UE

Bates Wells & Braithwaite London LLP, 2-6 Cannon Street, London EC4M 6YH

Farrer & Co LLP, 66 Lincoln's Inn Fields, Holborn, London WC2A 3LH

(b) Auditors: Haysmacintyre LLP, Chartered Accountants, 10 Queen Street Place, London EC4R lAG

(c) Surveyors: Vail Williams LLP, 550 Thames Valley Park Drive, Reading, Berkshire RG6 1PT

Gascoignes, Gillingham House, 2 Pannells Ct,

Page 15

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

Guildford GU1 4EU

(d) Bankers: Barclays Bank PLC, Town Gate House, Church Street East, Woking, Surrey GU21 1AE (e) Investment Investec Wealth & Investment Ltd, 43 London Managers: Road, Reigate, Surrey RH2 9PW Philip J Milton & Company Plc, Sterling House, 17 Joy Street, Barnstaple, Devon EX31 1HE

• 6.9 The following key senior members of staff, who are the Executive of the NRA, are or have been responsible for the day-to-day management of the charity, and its subsidiary undertaking, National Shooting Centre Limited, in the course of 2021:

• (a) Andrew Mercer, Secretary General of the NRA and Chief Executive of the NSC; and

• (b) Ray Hutchings, Head of Support Services of the NRA

7 Exemptions from Disclosure

The Trustees have not requested authority from the Charity Commission for England and Wales to omit any information from this report.

8 Funds held as custodian trustee on behalf of others

No Trustee is acting as custodian trustees. The NRA acts as custodian, managing a bank account on behalf of ICFRA (International Confederation of Fullbore Rifle Associations) members’ funds belonging to the Beneficial Owners.

9 Auditors

• 9.1

• Haysmacintyre LLP have confirmed their willingness to be reappointed as auditors for the next year.

• 9.2 The Trustees at the date of approval of this Trustees' Annual Report confirm that so far as each of them is aware, there is no relevant audit information of which the NRA’s auditors are unaware, and the Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.

10 Trustees' responsibilities in the preparation of financial statements

• 10.1 The trustees are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102.

• 10.2 The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the group and the charity and of incoming resources and application of those resources, including income and expenditure for that period. In preparing those financial statements, the trustees are required to:

• Select suitable accounting policies and then apply them consistently;

Page 16

NATIONAL RIFLE ASSOCIATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2021

• Observe the methods and principles of the Charities Statement of Recommended Practice (SORP);

• Make judgements and accounting 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; and

• Prepare the financial statements on a going concern basis unless it is inappropriate to presume that the group will continue in operation.

• 10.3 The trustees are responsible for keeping proper accounting records, which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the requirements of the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Royal Charter. They are also responsible for safeguarding the assets of the charity, and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

• 10.4 The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

This report was approved by the Trustees on 23 April 2022 and was signed on their behalf by the Chairman.

David Lacey……………………………..

David Lacey

Page 17

NATIONAL RIFLE ASSOCIATION

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2021

Opinion

We have audited the financial statements of National Rifle Association for the year ended 31 December 2021 which comprise the consolidated statement of financial activities, group and parent charity balance sheets, consolidated cash flow statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

• give a true and fair view of the state of the group’s and of the parent charity’s affairs as at 31 December 2021 and of the group’s net movement in funds for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Charities Act 2011.

Basis for opinion

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance 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 going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the trustees’ report and the Chairman’s statement. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

• adequate accounting records have not been kept by the parent charity; or

• sufficient accounting records have not been kept; or

• the parent charity financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Page 18

NATIONAL RIFLE ASSOCIATION

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

Responsibilities of trustees for the financial statements

As explained more fully in the trustees’ responsibilities statement set out on pages 16 and 17, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group’s and the parent charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the group and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to those standard to royal charter charities, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, Charities Act 2011, income tax, payroll tax and sales tax.

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to revenue and management bias in accounting estimates. Audit procedures performed by the engagement team included:

• Inspecting correspondence with regulators and tax authorities;

• Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud;

• Evaluating management’s controls designed to prevent and detect irregularities;

• Identifying and testing journals, in particular journal entries posted with unusual account combinations, postings by unusual users or with unusual descriptions; and

• Challenging assumptions and judgements made by management in their critical accounting estimates

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity’s trustees as a body for our audit work, for this report, or for the opinions we have formed.

…………………………………. Date: 25 April 2022 Haysmacintyre LLP 10 Queen Street Place Statutory Auditors London EC4R 1AG

Haysmacintyre LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

Page 19

NATIONAL RIFLE ASSOCIATION

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (including an Income & Expenditure Account) FOR THE YEAR ENDED 31 DECEMBER 2021

Notes Income and endowments from: Donations and legacies 1 Other trading activities: - Operations 2 - Estate 3 Investments Charitable shooting activities 4 Total income Expenditure on: Raising funds: - Operations 2 - Estate 5 Charitable shooting activities 6 Total expenditure Gains/losses on investments 13 Net movement in funds 8 Reconciliation of funds Fund balances brought forward at 1 January 2021 Total funds carried forward at 31 December 2021	Unrestricted Funds £ 1,280,586 3,416,730 1,794,588 - 959,082 7,450,986 3,570,297 1,096,365 1,993,540 6,660,202 - 790,784 7,443,322 8,234,106	Restricted Funds £ 3,521 - - 4,738 - 8,259 - - 209 209 19,985 28,035 258,858 286,893	Endowment Funds £ - - - 7,335 - 7,335 - - 7,335 7,335 26,775 26,775 370,714 397,489	2021 Total £ 1,284,107 3,416,730 1,794,588 12,073 959,082 7,466,580 3,570,297 1,096,365 2,001,084 6,667,746 46,760 845,594 8,072,894 8,918,488	2020 Total £ 1,621,322 2,364,575 1,579,733 12,969 168,779
					5,747,378
					3,136,963 1,216,581 1,823,147
					6,176,691
					2,773
					(426,540) 8,499,434
					8,072,894

All income and expenditure are derived from the group’s continuing activities.

No separate Statement of Total Recognised Gains and Losses has been presented as all such gains and losses have been recognised in the Statement of Financial Activities.

Page 20

NATIONAL RIFLE ASSOCIATION

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (including an Income & Expenditure Account) FOR THE YEAR ENDED 31 DECEMBER 2020

Notes Income and endowments from: Donations and legacies 1 Other trading activities: - Operations 2 - Estate 3 Investments Charitable shooting activities 4 Total income Expenditure on: Raising funds: - Operations 2 - Estate 5 Charitable shooting activities 6 Total expenditure Gains on investments 13 Net movement in funds 8 Reconciliation of funds Fund balances brought forward at 1 January 2020 Total funds carried forward at 31 December 2020	Unrestricted Funds £ 1,608,123 2,364,575 1,579,733 - 163,905 5,716,336 3,136,963 1,216,581 1,809,295 6,162,839 - (446,503) 7,889,825 7,443,322	Restricted Funds £ 13,199 - 5,383 4,874 23,456 - - 6,266 6,266 (1,127) 16,063 242,795 258,858	Endowment Funds £ - - 7,586 - 7,586 - - 7,586 7,586 3,900 3,900 366,814 370,714	2020 Total £ 1,621,322 2,364,575 1,579,733 12,969 168,799
				5,747,378
				3,136,963 1,216,581 1,823,147
				6,176,691
				2,773
				(426,540) 8,499,434
				8,072,894

Page 21

NATIONAL RIFLE ASSOCIATION

GROUP AND CHARITY BALANCE SHEETS AS AT 31 DECEMBER 2021

Notes Tangible fixed assets Fixed assets 11 Intangible assets 12 Investments 13 Social investments: loans to clubs > 1 year 14 Current assets Social investments: loans to clubs < 1 year 14 Stocks 15 Debtors 16 Cash at bank and in hand Creditors Amounts falling due within one year 17 Net current (liabilities) / assets Total assets less current Liabilities Deferred income 18 Net assets Funds of the Charity Unrestricted Funds 19 Restricted Funds Overseas Team Fund 20 Young Shooters Fund 20 Endowment Fund Special Prizes Fund 21 Total Charity Funds	Group 2021 £ 8,934,398 473,673 555,011 - 9,963,082 3,000 316,057 948,697 836,715 2,104,469 (2,506,478) (402,009) 9,561,073 (642,585) 8,918,488 8,234,106 227,678 59,215 397,489 8,918,488	Group 2020 £ 8,959,114 528,328 508,251 3,000 9,998,693 3,000 489,314 802,984 266,589 1,561,887 (2,975,679) (1,413,792) 8,584,901 (512,007) 8,072,894 7,443,322 200,558 58,300 370,714 8,072,894	Charity 2021 £ 6,322,944 473,673 643,399 - 7,440,016 3,000 26,309 1,433,165 619,694 2,082,168 (1,874,420) 207,748 7,647,764 (330,698) 7,317,066 6,632,684 227,678 59,215 397,489 7,317,066	Charity 2020 £ 6,562,656 528,328 596,639 3,000
				7,690,623 3000 35,444 2,200,021 177,631
				2,416,096 (2,467,971)
				(51,875)
				7,638,748 (427,943)
				7,210,805
				6,581,233 200,558 58,300 370,714
				7,210,805

The financial statements on pages 20 to 46 were approved by the Council and authorised for issue on 23 April 2022 and are signed on its behalf by:

David Lacey……………………………….

………………………………. David Lacey Chairman of the Council

………………………….

Andrew Reynolds Treasurer

Page 22

NATIONAL RIFLE ASSOCIATION

CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2021

Note £ Net cash provided by operating activities 30 Cash flow from operating activities: Interest Paid Net cash provided by (used in) operating activities (5,981) Cash flow from investing activities: Dividends, interest and rents from investments 12,073 Proceeds from the sales of property, plant and equipment (320) Purchase of property, plant and equipment excluding donations (212,351) Purchase BSG (Goodwill) - Net cash provided by (used in) investing activities Change in cash and cash equivalents in the reporting period 30 Cash and cash equivalents at the beginning of the reporting period 30 Cash and cash equivalents at the end of the reporting period 30	2021 £ £ 1,180,306 (5,981) (6,766) 12,969 400 (392,413) (546,546) (200,598) 973,727 (137,012) 836,715	2020 £ 245,825 (6,766) (925,690)
		(686,631)
		549,619 (137,012)

Page 23

NATIONAL RIFLE ASSOCIATION

ACCOUNTING POLICIES FOR THE YEAR ENDED 31 DECEMBER 2021

The principal accounting policies that have been adopted in the preparation of these accounts are as follows:

Basis of accounting

The financial statements have been prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standards 102 (FRS102). The financial statements comply with all current statutory requirements, the Royal Charter and By-Laws of the Association. The recommendations in Accounting and Reporting by Charities: Statement of Recommended Practice (FRS102) (second edition effective 1 January 2019) issued by the Charity Commission have been followed. Assets and liabilities are initially recognised under the historical cost convention unless otherwise stated in the relevant accounting policy note.

The National Rifle Association meets the definition of a public benefit entity under FRS102.

Preparation of the accounts on a going concern basis

The Trustees have assessed whether the going concern assumption is appropriate and taken into account all available information about the future, which is at least, but is not limited to, twelve months from the date these financial statements are authorised for issue. In making their assessment, trustees have reviewed detailed forecasts which, given the uncertainties due to the war in Ukraine and COVID-19 pandemic, will be updated regularly. These forecasts have reflected experiences gained in 2021, potential scenarios and management’s plans. The trustees consider that the going concern basis for preparation of the charitable group’s financial statements remains appropriate. In arriving at this conclusion they have taken into consideration the result in the year ended 31 December 2021, the forecasts to 31[st] May 2023, 2022 monthly accounts, and cash flow projections for the period of twelve months from the date of approval of these accounts. They have also taken into account the substantial positive net assets position of the charitable group, and the uncommitted £1m overdraft facility secured at a 10% LTV ratio.

Basis of consolidation

These financial statements consolidate the results of the charity and its wholly owned subsidiary undertaking National Shooting Centre Limited. A separate Statement of Financial Activities and Income and Expenditure account for the charity has not been presented because it has taken advantage of the exemption afforded by the Charities SORP.

Income

All income is included in the statement of financial activities when the charity is entitled to the income, it is probable, and the amount can be quantified with reasonable accuracy. Donations are normally brought into account when received, and are stated gross of any attributable tax recoverable. All grants are credited to income in the period to which they relate. Government and institutional grants are accounted for on a receivable basis in line with the performance model. Donations and grants given for specific purposes are treated as restricted income.

All other income, including investment income, is accounted for on a receivable basis as and when earned.

Expenditure

All expenditure is accounted for on an accruals basis and is allocated as direct costs in the statement of financial activities where the costs can be identified as being directly related to generating funds, to a charitable activity, or to governance matters. Where costs cannot be directly attributed, they have been allocated between cost of raising funds and expenditure on charitable activities. The basis on which support costs have been allocated are set out in note 7.

Since the property at Bisley is the Association’s major asset, the income and expenditure relating to the Estate is shown separately.

Page 24

NATIONAL RIFLE ASSOCIATION

ACCOUNTING POLICIES (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

Irrecoverable value added tax

Where expenditure relates to specific events, the relevant irrecoverable Value Added Tax is charged to that event. Irrecoverable Value Added Tax on attributable purchases is charged to Support Costs.

Gift Aid payments

The charity encourages all donors to provide funds to the group by way of tax efficient Gift Aid payments wherever possible.

Pension contributions

The group makes contributions into money purchase pension schemes on behalf of certain employees. The assets of the schemes are held separately from those of the group, being invested with independent insurance companies.

The amount charged against income in respect of pension costs and other post-retirement benefits is the contributions payable in the year. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments in the balance sheet.

Taxation

The charity does not undertake taxable activities. However, the Association’s wholly owned trading subsidiary is liable to UK corporation tax on its profits after deduction of payments made under gift aid.

In respect of the trading subsidiary, deferred tax is recognised in respect of all timing differences that have originated, but not reversed, at the balance sheet date, where transactions or events that result in an obligation to pay more tax in the future or a right to pay less tax in the future have occurred at the balance sheet date. Timing differences are differences between the company’s taxable profits and its results as stated in the financial statements.

Deferred tax is measured at the average tax rates that are expected to apply in the periods in which timing differences are expected to reverse, based on tax rates and laws that have been enacted or substantially enacted by the balance sheet date. Deferred tax is measured on a non-discounted basis.

Fixed assets and depreciation

Individual fixed assets costing more than £500 are capitalised at cost. Fixed assets are held at historic cost less depreciation and are further subject to an annual impairment assessment. Depreciation is recognised through the Statement of Financial Activities on a straight-line basis over their estimated useful lives on the following basis:

Freehold land	Not depreciated
Long leasehold land	Over the period of the lease
Buildings (Freehold & Leasehold)	2% on cost or valuation
Range modifications, plant & equipment	2%, 5%, 10% or 25% on cost or valuation
Fixture, fittings & equipment	25% on cost
Rifles for hire	10% on cost
Heritage assets	Not depreciated

The NRA maintains a large collection of heritage assets, comprising firearms, trophies, paintings books and ephemera which date back to the formation of the association in 1860. The ephemera comprises of medals, brochures, targets and other objects which reflect the history of target shooting. Due to the size of the collection and limitations on the display area of the museum it is not possible to display the whole of the collection.

Page 25

NATIONAL RIFLE ASSOCIATION

ACCOUNTING POLICIES (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

Heritage assets which are purchased are reported in the Balance Sheet at cost. Many heritage assets have been donated and therefore have no attributed cost recognised in the balance sheet. They include 689 trophies dating from 1770, plus a number of firearms and other heritage assets stated above. The cost of obtaining professional valuations of donated assets is considered disproportionate to the value gained and so remain off balance sheet.

Acquisitions must meet two requirements, namely being relevant to the history of the NRA; and of sufficient quality to justify the cost and time of curation and storage. Museum assets displayed and stored in the NRA Museum, and managed by the Curator and his team. Trophies are managed by NRA staff when stored between competitions and displayed for prize presentations. Disposals are assessed by criteria including restrictions imposed by donors, impact on the overall collection, likely proceeds, and resulting reductions in costs and space.

Goodwill and amortisation

Goodwill is accounted for at cost and amortised at 10% of cost per annum on a straight-line basis, subject to an annual impairment review.

Investments

Investments are stated at market value at the balance sheet date. Realised and unrealised gains and losses on investments are taken to the Statement of Financial Activities in the period in which they arise

Stocks

Stocks are valued at the lower of cost and net realisable value. Net realisable value is based upon the estimated selling price less further costs expected to be incurred at disposal. Provision is made for obsolete and slow-moving items.

Leased assets and obligations

Where assets are financed by leasing agreements that give rights approximating to ownership (“finance leases”) the assets are treated as if they had been purchased outright. The amount capitalised is the present value of the minimum lease payments payable during the lease term. The corresponding leasing commitments are shown as obligations to the lessor.

Lease payments are treated as consisting of capital and interest elements, and the interest is charged to the Statement of Financial Activities in proportion to the remaining balance outstanding.

All other leases are “operating leases” and the annual rentals are charged to the profit and loss on a straightline basis over the lease term.

Rent-free periods received for entering into a lease are accounted for over the period of the lease so as to spread the benefit received over the lease term.

Foreign currencies

Assets and liabilities denominated in foreign currencies are translated at the rate of exchange ruling at the balance sheet date. Transactions are recorded at the rate ruling at the date of the transaction. All differences are taken to the Statement of Financial Activities.

Life & term members fund

Life and term membership subscriptions received are credited to the Life & Term Members Fund in full. These subscriptions are then amortised, and released to the Statement of Financial Activities as income, over 20 years for life members, over 8 years for junior life members, or over the number of years applicable for term membership on the sliding scale.

Page 26

NATIONAL RIFLE ASSOCIATION

ACCOUNTING POLICIES (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

Fund accounting

General funds comprise the accumulated surplus of unrestricted incoming resources over resources expended as adjusted for other recognised gains and losses, other than those allocated to the Designated Fund. They are available for use in furtherance of the general objectives of the group.

Designated funds comprise the accumulated capital grants received less the accumulated depreciation on the assets acquired with those grants.

Restricted funds are subject to specific conditions imposed by donors. The purpose and use of the restricted funds are set out in the notes to the accounts. Amounts unspent at the year-end are carried forward in the balance sheet, and the underlying assets are segregated from the Association’s general funds.

Endowment funds are capital funds, which are held in trust to provide a continuing income stream. The income is then used subject to any specific conditions imposed by the donors of the original capital funds. The underlying assets are also segregated from the Association’s general funds.

Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Significant judgements and key sources of estimation uncertainty

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Group’s accounting policies. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Although these estimates are based on management’s best knowledge of the amount, events or actions, actual results may ultimately differ from those estimates. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects current and future periods.

The Trustees consider the following to be areas subject to key estimation or judgement:

Receivable assets book value – having assessed the circumstances and expected recoverability of trade debtors which remain outstanding at the date of approval of these financial statements, management have considered that the current estimated provision for bad debts is sufficient and that the remaining net debtors are fully recoverable.

Goodwill asset book value – the estimated recoverable value of goodwill has been calculated using a discounted future cash flow model using several assumptions on interest rates and future cash flows of the underlying assets, which has sufficiently supported the book value of £474k. Should the underlying assumptions change, this may have an impact on the book value in future periods.

Heritage assets book value – included within tangible fixed assets are heritage assets of £272k held at historic cost and without depreciation on the basis of an indefinite useful life. The cost of obtaining a recent professional valuation is not commensurate with the benefit to obtaining the valuation, and as such no recent valuation have been carried out. In assessing for annual impairment, key estimation has been used to justify that their current fair value exceeds the book cost and no impairment is required.

Compensation clauses in leases – the judgement taken in relation to the contingent liability as set out in note 26, namely the potential liability not being reliably measurable, is considered a key judgement potentially impacting the future liabilities should this assessment change in the future.

Page 27

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021

1 Donations, legacies and grants

Unrestricted	Restricted	Total	Total
funds	funds	2021	2020
£	£	£	£
Subscriptions 1,045,638	-	1,045,638	1,006,552
Gift aid 82,077	-	82,077	85,779
Donations 9,590	3,521	13,111	22,838
Furlough grant 143,281	-	143,281	506,153
1,280,586	3,521	1,284,107	1,621,322
Other trading activities - operations
The charity owns 100% of the issued share capital of National Shooting Centre Limited (“NSC”),
which carries on the trading operations of the group.	Audited financial statements for NSC are filed
annually with the Registrar of Companies.
A summary of the profit and loss account and statement of changes in equity is set out below:
		2021	2020
		£	£
Turnover and Other operating income		3,922,977	2,479,606
Costs
Cost of sales		1,485,146	950,129
Other operating expenses and interest payable		1,990,609	1,867,321
		(3,475,755)	(2,817,450)
Profit on ordinary activities after taxation		447,222	(337,844)
Gift Aid refund from the National Rifle Association		341,573	-
Retained profit		788,795	(337,844)

2 Other trading activities - operations

The income of £3,922,977 (2020: £2,479,606) less inter-company revenue of £456,785 (2020: £65,569) and less lottery fund write down of £49,462 (2020: £49,462) gives £3,416,730 (2020: £2,364,575) which matches the SOFA.

A summary of the balance sheet of the subsidiary is set out below:

Fixed assets Tangible assets Current assets Stocks Debtors Cash at bank and in hand Carried forward	2,611,453 289,749 216,581 217,021 723,351	2,396,458 453,870 157,803 88,958
		700,631

Page 28

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

2 Other trading activities - operations(continued) Brought forward Creditors Amounts falling due within one year Net current (liabilities) Total assets less current liabilities Creditors Amounts falling due after more than one year Net Assets Capital & Reserves Called up share capital Profit and loss account Shareholders’ funds 3 Other trading activities – estate Unrestricted funds £ Rents 1,194,992 Services and utilities recovered 238,413 Other 361,183 1,794,588 4 Charitable shooting activities Unrestricted funds £ Imperial meeting 589,149 Course hire 226,945 Other shooting events 142,988 959,082	Restricted funds £ - - - - Restricted funds £ - - - -		2021 £ 723,351 (1,382,566) (659,215) 1,952,238 (1,077,830) 874,408 88,388 786,020 874,408 Total 2021 £ 1,194,992 238,413 361,183 1,794,588 Total 2021 £ 589,149 226,945 142,988 959,082	2020 £ 700,631 (2,112,192)
				(1,411,561)
				984,897 (899,284)
				85,613
				88,388 (2,775)
				85,613
				Total 2020 £ 1,101,909 232,236 245,588 1,579,733
				Total 2020 £ 4,874 138,901 25,004 168,779

Page 29

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

5 Expenditure on raising funds - Estates

Unrestricted funds £ Permanent staff costs 276,174 Maintenance 275,580 Utilities 216,382 Rents, rates and cleaning 37,461 Depreciation 153,311 Rent charged to National Shooting Centre Limited - 958,908 Support costs (see note 7) 137,457 1,096,365	Restricted funds £ - - - - - - - - -	Total 2021 £ 276,174 275,580 216,382 37,461 153,311 - 958,908 137,457 1,096,365	Total 2020 £ 316,318 239,898 240,153 49,349 146,544 (41,000)
			951,262 265,319
			1,216,581

6 Charitable shooting activities

Unrestricted funds £ Permanent staff costs 679,761 Imperial Meeting 306,708 Imperial Meeting prizes - Courses and other NRA events 276,498 Support of other bodies/teams Support of young shooters 6,115 - Team travel - Membership insurance 225,252 Insurance 70,834 Depreciation 136,276 1,701,444 Support costs (see note 7) 292,096 1,993,540	Restricted funds £ - - - - 11 198 (1,507) - - - (1,298) 1,507 209	Endowment fund £ - - 4,283 - - - - - - - 4,283 3,052 7,335	Total 2021 £ 679,761 306,708 4,283 276,498 6,126 198 (1,507) 225,252 70,834 136,276 1,704,429 296,655 2,001,084	Total 2020 £ 684,820 958 4,880 178,469 7,159 15 1,106 189,343 57,882 130,262
				1,254,894 568,253
				1,823,147

£456,785 (2020: £65,569) of inter-company costs £247,401 (2020: £0) Imperial Meeting, £188,026 (2020: £51,076) Courses and other NRA Events, £20,779 (2020: £14,135) Support of other bodies and teams, £579 (2020: £358) general overheads, primarily ammunition supplies and range hire, have been excluded on consolidation.

Page 30

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

7 Support and governance costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. The charity initially identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Having identified its governance costs, the remaining support costs together with the governance costs are apportioned between the two key charitable activities undertaken in the year. Refer to the table below for the basis for apportionment and the analysis of support and governance costs.

General fund Permanent staff costs Trustee costs Information technology costs Office and banking costs Professional fees Audit Fee Bank Interest Depreciation Allocated to: Expenditure on raising funds – estate Charitable shooting activities Restricted fund Investment management charges Endowment fund Investment management charges	2021 2020 £ £ 91,469 112,926 3,215 3,055 36,462 33,353 110,979 79,703 116,251 530,580 14,092 13,891 5,981 6,766 51,104 48,848
	429,553 829,122 (137,457) (265,319) (292,096) (563,803)
	- -
	1,507 1,744
	3,502 2,706

Included within the total costs are governance costs of £17,307 (2020: £16,946) made up of £3,215 (2020: £3,055) trustee costs and £14,092 (2020: £13,891) audit fees. The support and governance costs allocation is based on a weighted average proportion.

8 Net movement in funds

	2021	2020
	£	£
Net movement in funds is stated after charging/(crediting):
Depreciation and amortisation of tangible fixed assets:
-Owned assets	499,814	535,353
Rent receivable under operating leases	(658,383)	(582,314)
Operating lease rentals payable:
- Land and buildings	21,064	20,155
Auditor’s remuneration:
- Audit fees	24,110	21,468
- Fees for other services	5,901	5,711
Bank interest payable	5,981	6,766

Page 31

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

9 Staff costs

Staff costs
	2021	2020
	Number	Number
The average monthly number of persons employed by the group
during the year was:
Office, maintenance, range staff and instructors	73	79

Total emoluments for the period for all the Association’s and its trading subsidiary’s employees, including temporary staff and markers employed during the Imperial Meeting, were:

Wages and salaries Redundancy costs Social security costs Other pension costs Other benefits	2021 £ 2,129,090 - 202,694 78,660 12,762 2,423,206	2020 £ 2,245,849 63,411 215,053 88,409 20,888
		2,630,610

Wages and salaries in the year are shown gross of furlough grant receipts.

The group pays an employer’s contribution of between 2% and 5% of basic salary into the personal pension funds of certain of its employees, and contracted in national insurance contributions are paid in respect of all staff.

Based on remuneration and benefits in kind, as defined for income tax purposes, one (2020: three) employee’s annual emoluments were between £60,000 and £69,999, one (2020: nil) employee’s annual emoluments were between £70,000 and £79,999, one (2020: one) employee’s annual emoluments were between £120,000 and £129,999.

The key management personnel comprise the Secretary General, Head Of Support Services, Head Of Shooting & Training, Head of Range Services, Regional Ranges Manager, Membership Services Manager, General Manager National Clays Shooting Centre and Group Accountant. The eight (2020: nine) key management personnel remunerations for the year totalled £551,047 (2020: £632,395).

10 Transactions relating to trustees

Trustees’ costs

No trustee (2020: none) received remuneration. One trustee (2020: four) received reimbursements of £128 (2020: £262) for out of pocket travel and subsistence expenses.

Property transactions

One (2020: two) trustees occupy accommodation at Bisley for shooting purposes at rentals available to all members of the Association with total rental income during the year of £830 (2020: £853).

Page 32

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

11 Fixed assets

Freehold Leasehold land & land & Group buildings buildings £ £ Cost or valuation: 1 January 2021 5,793,684 1,019,256 Additions Disposals - - - - 31 December 2021 5,793,684 1,019,256 Depreciation 1 January 2021 1,542,413 467,769 Charge for the year Disposals 54,572 - 18,991 - 31 December 2021 1,596,985 486,760 Net book value 31 December 2021 4,196,699 532,496 31 December 2020 4,251,271 551,487 The net book value of fixed assets comprises: Assets held for charity use Estate assets Assets held for administrative purposes Assets held by trading subsidiary	Range modifications, plant & machinery £ 6,876,109 409,639 (2,875) 7,282,873 3,179,045 340,612 (2,875) 3,516,782 3,766,091 3,697,064	Fixtures fittings & equipment £ 1,314,030 63,275 - 1,377,305 1,124,514 85,640 - 1,210,154 167,151 189,516	Heritage assets £ 269,776 2,185 - 271,961 - - - - 271,961 269,776 2021 £ 1,486,526 4,467,248 369,170 2,611,454 8,934,398	2021 Total £ 15,272,855 475,099 (2,875)
				15,745,079 6,313,741 499,815 (2,875)
				6,810,681 8,934,398
				8,959,114
				2020 £ 1,542,882 4,636,608 383,166 2,396,458 8,959,114

The trustees have taken the option provided by the transitional provisions contained within FRS 102 to rebase the valuation of land and buildings and range modifications as at 1 January 2014 and treat this as a deemed cost.

Heritage Assets

The NRA maintains a large collection of heritage assets, comprising firearms, trophies, paintings books and ephemera which date back to the formation of the association in 1860. The ephemera comprises of medals, brochures, targets and other objects which reflect the history of target shooting.

Five-year summary

No disposals or impairment of heritage assets have been recognised in the past five years. Acquisitions are made by purchase or donation. 4 firearms and 16 shooting accessories have been purchased in the past five years, and there have been 7 donated firearms and 6 donated trophies.

Additions: Number of donated assets Donated value as deemed cost* Cost of purchases Total recognised additions:	2021 £ 4 - 2,185 2,185	2020 £ - - - -	2019 £ 1 - - -	2018 £ 7 - - -	2017 £ 1 - -
					-

*As set out in the fixed assets accounting policy, many heritage assets have been donated and remain off balance sheet as the cost of obtaining professional valuations of donated assets is considered disproportionate to the value gained.

Page 33

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

11 Fixed assets (continued)

Freehold Leasehold land & land & Charity buildings buildings £ £ Cost or valuation: 1 January 2021 5,793,684 636,306 Additions Disposals - - - - 31 December 2021 5,793,684 636,306 Depreciation 1 January 2021 1,542,413 318,433 Charge for the year Disposals 54,572 - 11,331 - 31 December 2021 1,596,985 329,764 Net book value 31 December 2021 4,196,699 306,542 31 December 2020 4,251,271 317,873 The net book value of fixed assets comprises: Assets held for charity use Estate assets Assets held for administrative purposes	Range modifications, plant & machinery £ 3,140,941 33,709 (2,875) 3,171,775 1,530,558 170,681 (2,875) 1,698,364 1,473,411 1,610,383	Fixtures fittings & equipment £ 773,408 10,431 - 783,839 660,055 49,453 - 709,508 74,331 113,353	Heritage assets £ 269,776 2,185 - 271,961 - - - - 271,961 269,776 2021 £ 1,486,526 4,467,248 369,170 6,322,944	2021 Total £ 10,614,115 46,325 (2,875)
				10,657,565 4,051,459 286,037 (2,875)
				4,334,621 6,322,944
				6,562,656
				2020 £ 1,542,882 4,636,608 383,166
				6,562,656

The net book value of fixed assets comprises:

Range fixtures, modifications, plant and machinery, office equipment and furniture are included in the accounts at cost. Range modification expenditure incurred in order to obtain the 904 certificate has been included at cost. The construction cost of the clay ranges, built with the support of the Lottery Grant, is included within range modifications.

12 Goodwill

Cost or valuation: 1 January 2021 Additions 31 December 2021 Amortisation 1 January 2021 Charge for the year 31 December 2021 Net book value 31 December 2021 31 December 2020	Group & Charity £ 546,546 - 546,546 18,218 54,655 72,873 473,673 528,328

Goodwill relates to the acquisition of Bisley Shooting Ground in August 2020. The income received in the year was £959,238 (5 months 2020: £288,474) and profit £197,769 (5 months 2020: £43,521).

Page 34

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

13 Investments

At 1 January 2021 Additions Disposals Increase/(decrease) in valuation At 31 December 2021	Group 2021 £ 508,251 149,345 (150,916) 48,331 555,011	Group 2020 £ 505,478 67,754 (64,786) (195) 508,251	Charity 2021 £ 596,639 149,345 (150,916) 48,331 643,399	Charity 2020 £ 593,866 67,754 (64,786) (195)
				596,639

At 31 December 2021, the market value and historical cost of the investments were represented by:

Special Prizes Funds Category A Funds Category B Funds Overseas Team Fund Subsidiary company shares At 31 December 2021 At 31 December 2020	Group market value 2021 £ 378,170 19,319 397,489 157,522 - 555,011 508,251	Group historical cost 2021 £ 304,595 17,027 321,622 143,335 - 464,957 414,808	Charity market value 2021 £ 378,170 19,319 397,489 157,522 88,388 643,399 596,639	Charity historical cost 2021 £ 304,595 17,029
				321,624 143,335 88,388
				553,347
				503,196

The Special Prizes Fund is the Endowment Fund referred to in Note 21 and invested in investment trusts and unit trusts and loan stocks. The portfolio is split into category A funds where the NRA is the ultimate beneficiary and category B funds where the donor has named the ultimate beneficiary.

The Overseas Team Fund is a Restricted Fund referred to in Note 20 and invested in a portfolio of quoted unit trusts and investment bonds £157,522 (2020: £137,537).

The Association’s wholly owned subsidiary company, National Shooting Centre Limited, is incorporated in the United Kingdom and carries out that portion of the Association’s business which is assessed to be of a trading nature.

Page 35

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

14 Social Investments: loans to clubs

Baildon Rifle & Pistol Club Loans to Clubs carried forward Loans to Clubs brought forward Repayments received New loans granted Loans to Clubs carried forward	Group 2021 £ 3,000 3,000 6,000 (3,000) - 3,000	and Charity 2020 £ 6,000
		6,000
		15,293 (9,293) -
		6,000

The loans to clubs are usually repayable in annual instalments, and are interest free. The current year balance of £3,000 (2020: £6,000) includes a figure of £0 (2020: £3,000) which is repayable in greater than one year.

15 Stock

Ammunition Medals and badges Souvenirs Clays Bisley Shooting Ground Hire and other stock Debtors Amounts due within year: Trade debtors Amounts owed by group undertakings Other debtors and prepayments	Group 2021 £ 204,641 16,003 12,649 14,441 21,827 46,496 316,057 Group 2021 £ 300,139 - 648,558 948,697	Group 2020 £ 358,339 24,738 12,682 16,272 23,675 53,608 489,314 Group 2020 £ 328,389 - 474,595 802,984	Charity 2021 £ - 16,003 10,306 - - - 26,309 Charity 2021 £ 206,226 701,049 525,890 1,433,165	Charity 2020 £ - 24,738 10,706 - - - 35,444
				Charity 2020 £ 191,027 1,554,839 454,155 2,200,021

16 Debtors

Page 36

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

17 Creditors

Amounts falling due within one year:

Creditors Amounts falling due within one year:
Bank Overdraft Trade creditors Membership in advance Rents and utilities in advance Other creditors Accruals Deferred income (note 18)	Group 2021 £ - 606,192 802,577 394,383 480,541 86,976 135,809 2,506,478	Group 2020 £ 403,601 561,292 782,132 379,229 423,064 316,754 109,607 2,975,679	Charity 2021 £ - 321,628 802,577 391,549 191,111 66,672 100,883 1,874,420	Charity 2020 £ 403,601 330,575 782,132 376,395 195,900 278,426 100,942
				2,467,971

The association's banking facilities are secured by way of a legal charge over the charity's freehold properties which were valued at £10 million on the 25[th] August 2020. The Reserves Policy includes the uncommitted limit of the overdraft.

Page 37

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

18 Deferred income

Due within one year (see note 17) Due after more than one year Deferred lease premium income: At 1 January 2021 Additions during the year Transferred to Estate income At 31 December 2021 Deferred lease premium income: At 1 January 2021 Additions during the year Transferred to Operations income At 31 December 2021 Life & Term Members Funds: At 1 January 2021 Additions during the year Transferred to Membership income At 31 December 2021 Rifle Donation: At 1 January 2021 Additions during the year Transferred to Charitable income At 31 December 2021 Optics Donation: At 1 January 2021 Additions during the year Transferred to Operations income At 31 December 2021	Group 2021 £ 135,809 642,585 778,394 Group 2021 £ 182,699 - (17,235) 165,464 62,754 - (4,482) 58,272 56,320 3,682 (9,247)	Group 2020 £ 109,607 512,007 621,614 Group 2020 £ 199,935 - (17,236) 182,699 67,237 - (4,483) 62,754 65,605 682 (9,967)	Charity 2021 £ 100,883 330,698 431,581 Charity 2021 £ 182,699 - (17,235) 165,464 - - - - 56,320 3,682 (9,247)	Charity 2020 £ 100,942 427,943 528,885
				Charity 2020 £ 199,935 - (17,236)
				182,699 - - -
				- 65,605 682 (9,967)
	50,755 9,910 - (1,251)	56,320 11,164 - (1,239)	50,755 9,910 - (1,251)	56,320 11,164 - (1,239)
	8,659 29,975 - (4,182)	9,910 34,158 - (4,183)	8,659 - - -	9,910 - - -
	25,793	29,975	-	-

Page 38

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

18 Deferred income (continued)

Deferred caravan rent income: At 1 January 2021 Additions during the year Transferred to Estate income At 31 December 2021 Tank building deposit: At 1 January 2021 Additions during the year Transferred to Estates income At 31 December 2021 Promotional, Advertising Support: At 1 January 2021 Additions during the year Transferred to Clays Income At 31 December 2021	Group 2021 £ 265,567 - (73,253) 192,314 14,389 - - 14,389 - 262,748 - 262,748	Group 2020 £ 339,021 - (73,454) 265,567 27,000 - (12,611) 14,389 - - - -	Charity 2021 £ 265,567 - (73,253) 192,314 14,389 - - 14,389 - - - -	Charity 2020 £ 339,021 - (73,454)
				265,567 27,000 - (12,611)
				14.389 - - -
				-
	778,394	621,614	431,581	528,885

Page 39

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

19 Unrestricted funds

Group & Charity National Shooting Centre Lottery capital grant funds Designated Fund General Fund (Charity Only)	Balance 1 January 2021 £ (2,775) 864,864 862,089 6,581,233 7,443,322	Income Expenditure £ £ 3,416,730 (3,570,297) - - 3,416,730 (3,570,297) 4,034,256 (3,089,905) 7,450,986 (6,660,202)	Balance 31 December Transfers 2021 £ £ 942,363 786,021 (49,463) 815,401 892,900 1,601,422 (892,900) 6,632,684 - 8,234,106	Balance 31 December Transfers 2021 £ £ 942,363 786,021 (49,463) 815,401 892,900 1,601,422 (892,900) 6,632,684 - 8,234,106
				1,601,422 6,632,684
				8,234,106

Designated Funds included within the Unrestricted Funds of the group at the balance sheet date are profits retained within the balance sheet of the charity’s wholly owned subsidiary and the net book value of the capital assets purchased with the Lottery grant.

Included within the General Fund at the balance sheet date are unrealised gains of £3,036,356 (2020: £3,036,356) relating to the revaluation of certain fixed assets, calculated by reference to the implementation of FRS102 under the transitional arrangements.

Group & Charity National Shooting Centre Lottery capital grant funds Designated Fund General Fund (Charity Only)	Balance 1 January 2020 £ 730,202 914,326 1,644,528 6,245,297 7,889,825	Income Expenditure £ £ 2,364,575 (2,817,650) - - 2,364,575 (2,817,650) 2,845,608 (2,839,236) 5,510,183 (5,656,686)	Balance 31 December Transfers 2020 £ £ (280,102) (2,775) (49,463) 864,864 (329,564) 862,089 329,564 6,581,233 - 7,443,322	Balance 31 December Transfers 2020 £ £ (280,102) (2,775) (49,463) 864,864 (329,564) 862,089 329,564 6,581,233 - 7,443,322
				862,089 6,581,233
				7,443,322

Page 40

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

20 Restricted funds

Group & Charity

Overseas Team Fund Young Shooters Fund	Balance 1 January 2021 £ 200,558 58,300 258,858	Unrealised Balance Investment 31 December Income Expenditure Gains/(Losses) 2021 £ £ £ £ 7,146 (11) 19,985 227,678 1,113 (198) - 59,215 8,259 (209) 19,985 286,893	Unrealised Balance Investment 31 December Income Expenditure Gains/(Losses) 2021 £ £ £ £ 7,146 (11) 19,985 227,678 1,113 (198) - 59,215 8,259 (209) 19,985 286,893
			286,893

The Overseas Team Fund detailed in Note 13 provides support for overseas travel for teams of our various shooting disciplines. During the year, the fund received donations and investment income, and paid for the travel costs of teams overseas. Income for the year was £7,146 (2020: £23,456), expenditure £11 (2020: £6,251) and unrealised gains on investments £19,985 (2020: loss £1,127).

The Young Shooters fund (formerly the Millennium Scholarship Fund) was formed to help young shooters continue in the target shooting in the year just after they have left school. Income for the year was £1,113 (2020: £0) and expenditure £198 (2020: £15).

Group & Charity

Overseas Team Fund Young Shooters Fund	Balance 1 January 2020 £ 184,480 58,315 242,795	Unrealised Balance Investment 31 December Income Expenditure Gains/(Losses) 2020 £ £ £ £ 23,456 (6,251) (1,127) 200,558 - (15) - 58,300 23,456 (6,266) (1,127) 258,558	Unrealised Balance Investment 31 December Income Expenditure Gains/(Losses) 2020 £ £ £ £ 23,456 (6,251) (1,127) 200,558 - (15) - 58,300 23,456 (6,266) (1,127) 258,558
			258,558

Page 41

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

21 Endowment funds

Group & Charity

Special Prizes Fund	Balance 1 January 2021 £ 370,714 370,714	Unrealised Balance Investment 31 December Income Expenditures Gains/(Losses) 2021 £ £ £ £ 7,335 (7,335) 26,775 397,489 7,335 (7,335) 26,775 397,489

The Special Prizes Fund referred to in Note 13 is an endowment fund comprising amounts held on trust to provide prizes at the Imperial Meeting from the income generated by investment of the capital. Included within the Special Prizes Fund at the balance sheet date are unrealised gains of £194,429 (2020: £167,654) relating to the revaluation of investments.

Fund B includes amounts held on behalf of five linked charities, the Commander Whitlock Trust, Gunmakers Cup, Halford Memorial Prize, The Stock Exchange Prize and Whitehead Trust Fund.

Group & Charity

Special Prizes Fund	Balance 1 January 2020 £ 366,814 366,814	Income £ 7,586 7,586	Unrealised Balance Investment 31 December Expenditure Gains/(Losses) 2020 £ £ £ (7,586) 3,900 370,714 (7,586) 3,900 370,714

22 Funds Held As Custodian Trustee

The National Rifle Association acts as custodian, managing a bank account on behalf of ICFRA members’ funds belonging to the Beneficial Owners. Assets held in this way are not aggregated in these financial statements as the Association does not control them. The assets held in this way may be summarised as follows:

ICFRA Total assets held as custodian trustee	2021 £ 34,551 34,551	2020 £ 34,601
		34,601

Page 42

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued)of FOR THE YEAR ENDED 31 DECEMBER 2021

23 Analysis of net assets between funds

Fund balances at 31 December 2021 are represented by:

Designated & General Overseas Funds Team Fund Group £ £ Tangible fixed assets 8,924,198 - Intangible assets 473,673 - Fixed asset investments - 157,522 Loans to Clubs > 1 year - - Current assets 1,984,758 70,696 Current liabilities (2,505,938) (540) Deferred income (642,585) - 8,234,106 227,678	Young Shooters Fund £ 10,200 - - - 49,015 - - 59,215	Special Prizes Fund £ - - 397,489 - - - - 397,489	2021 Total £ 8,934,398 473,673 555,011 - 2,104,469 (2,506,478) (642,585)
			8,918,488

Note: Tangible fixed assets of £8,934,398 (2020: £8,959,114) include £815,401 (2020: £864,865) representing the total of Designated Funds in relation to Capital Grants in the charity’s wholly owned subsidiary.

Fund balances at 31 December 2020 are represented by:

Designated & General Overseas Funds Team Fund Group £ £ Tangible fixed assets 8,948,914 - Intangible assets 528,328 - Fixed asset investments - 137,537 Loans to Clubs > 1 year 3,000 - Current assets 1,450,226 63,561 Current liabilities (2,975,139) (540) Deferred income (512,007) - 7,443,322 200,558	Young Shooters Fund £ 10,200 - - - 48,100 - - 58,300	Special Prizes Fund £ - - 370,714 - - - - 370,714	2020 Total £ 8,959,114 528,328 508,251 3,000 1,561,887 (2,975,679) (512,007)
			8,072,894

Page 43

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

24 Analysis of net assets between funds (continued)

Fund balances at 31 December 2021 are represented by:

Designated & General Overseas Funds Team Fund Charity £ £ Tangible fixed assets 6,312,744 - Intangible Assets 473,673 - Fixed asset investments 88,388 157,522 Loans to Clubs > 1 year - - Current assets 1,962,457 70,696 Current liabilities (1,873,880) (540) Deferred income (330,698) - 6,632,684 227,678	Young Shooters Fund £ 10,200 - - - 49,015 - - 59,215	Special Prizes Fund £ - - 397,489 - - - - 397,489	2021 Total £ 6,322,944 473,673 643,399 - 2,082,168 (1,874,420) (330,698)
			7,317,066

Fund balances at 31 December 2020 are represented by:

Designated & General Overseas Funds Team Fund Charity £ £ Tangible fixed assets 6,552,456 - Intangible assets 528,328 - Fixed asset investments 88,388 137,537 Loans to Clubs > 1 year 3,000 - Current assets 2,304,435 63,561 Current liabilities (2,467,431) (540) Deferred income (427,943) - 6,581,233 200,558	Young Shooters Fund £ 10,200 - - - 48,100 - - 58,300	Special Prizes Fund £ - - 370,714 - - - - 370,714	2020 Total £ 6,562,656 528,328 596,639 3,000 2,416,096 (2,467,971) (427,943)
			7,210,805

25 Related party transactions

Management fees of £223,500 (2020: £177,167) and rent of £41,000 (2020: £41,000) were charged to the National Shooting Centre Limited; the closing intercompany balance was £701,049 (2020: £1,473,855). There were no other related party transactions to disclose (2020: none).

Page 44

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

26 Contingent liabilities

On 10 July 2000, a 50 year debenture was created in favour of The English Sports Council, representing a fixed and floating charge over all the assets of the subsidiary company, against the performance of the company’s obligations under the Lottery Fund Agreement relating to the grant for the clay shooting complex for the 2002 Commonwealth Games. The amount repayable to The English Sports Council in the event that these obligations crystallise is £2,036,647 (2020: £2,036,647).

Four leases granted in 2002 by the NRA for Bisley properties include agreements to pay the tenants compensation for developing buildings. The compensation amount per lease, calculated at the determination of the lease in 2023, is the lower of the buildings market value or £41,900 plus RPI, the latter is estimated at 31 December 2021 as £75,500 per lease. Without a reliable estimate of the total open market value of the four buildings in 2023, discounted to the present value, the Trustees have concluded the actual compensation payable cannot currently be reliably measured which is the basis for treating these as a contingent liability.

27 Lessee Commitments under operating leases

At 31 December 2021, the group and charity had total lessee commitments under non-cancellable operating leases as follows:

Land and buildings: - Less than 1 year - 1-5 years - Greater than 5 years	Group 2021 £ 6,000 21,947 178,252 206,199	Group 2020 £ 6,000 21,947 184,252 212,199	Charity 2021 £ 6,000 21,947 178,252 206,199	Charity 2020 £ 6,000 21,947 184,252
				212,199

28 Lessor Commitments under operating leases

At 31 December 2021, the group and charity had total lessor Commitments under finance leases as follows:

Land and buildings: - Less than 1 year - 1-5 years - Greater than 5 years	Group 2021 £ 844,296 2,568,966 5,184,609 8,597,871	Group 2020 £ 760,196 2,247,582 4,812,575 7,820,353	Charity 2021 £ 844,296 2,568,966 5,184,609 8,597,871	Charity 2020 £ 760,196 2,247,582 4,812,575
				7,820,353

Page 45

NATIONAL RIFLE ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2021

29 Post Balance Sheet Event

Since the year end the war in Ukraine has resulted in uncertainties in energy and other costs, reliability of supply chains, and investment values. The financial effects of these uncertainties cannot be reliably quantified. Trustees are monitoring the financial and operational performance of the charity to ensure action, if required, is taken in response to threats and challenges.

30 Notes to the consolidated cash flow statements

30.1 Reconciliation of net movement in funds to net cash flow from operating activities

Net income (Gains)/Loss on investments Dividends received Interest payable Surplus on disposal of tangible fixed assets Depreciation Amortisation (Increase) in stocks Decrease in loans to clubs Decrease/(Increase) in debtors Increase in creditors Net cash inflow from operating activities	2021 £ 845,594 (46,760) (12,073) 5,981 320 499,815 54,655 173,257 3,000 (145,713) (197,770) 1,180,306	2020 £ (426,540) (2,773) (12,969) 6,766 975 535,353 18,218 (122,706) 9,293 (165,791) 405,999
		245,825

30.2 Analysis of changes in net debt

At 1 January 2021 £ Cash at bank and in hand 266,589 Bank overdraft (403,601) Net cash (137,012)	Cash flow £ 570,126 403,601 973,727	At Non-cash 31 December changes 2021 £ £ - 836,715 - - - 836,715	At Non-cash 31 December changes 2021 £ £ - 836,715 - - - 836,715
			836,715

Page 46