**Company registered number: 00799297 Charity registered number: 250277**
## **PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **TRUSTEES' REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 AUGUST 2025**
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **CONTENTS**
||Page|
|---|---|
|**Reference and Administrative Details of the Charity, its Trustees and Advisers**|1 - 2|
|**Trustees' Report**|3 - 16|
|**Statement of Trustee's Responsibilities**|17|
|**Independent Auditors' Report on the Financial Statements**|18 - 21|
|**Consolidated Statement of Financial Activities**|22 - 23|
|**Consolidated Balance Sheet**|24|
|**Charity Balance Sheet**|25 - 26|
|**Consolidated Statement of Cash Flows**|27|
|**Notes to the Financial Statements**|28 - 58|
**(A Company Limited by Guarantee)**
## **PHILHARMONIA LIMITED**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2025**
|**Trustees**|Sir Howard Davies, Chair (appointed 1 January 2026)|
|---|---|
||Lord Mervyn King, Chair (resigned 1 January 2026)|
||Saul Nathan, Deputy Chair (resigned 10 April 2025)|
||James Buckle, Vice President until 19 March 2025, President from 20 March 20251|
||Cheremie Hamilton-Miller, President (resigned 20 March 2025)1|
||Soong Choo, Joint Vice President from 20 March 20251|
||Alexander Rolton, Joint Vice President (appointed 20 March 2025)1|
||David Aitman (appointed 10 April 2025)|
||Nick Bishop|
||Fiona Cornall (appointed 20 March 2025)1|
||Susan Hedger1|
||Johanne Hudson-Lett|
||David Pickard (appointed 10 April 2025)|
||Terry Sinclair (appointed 10 April 2025)|
||Paul Stoneman1|
||Luke Whitehead1|
||Nuno Carapina (resigned 20 March 2025)1|
||Charlotte Hogg (resigned 31 August 2025)|
||Julian Milone (resigned 27 November 2025)1|
||Lorenzo Modiano (resigned 10 April 2025)|
||Julia Zilberman (resigned 10 April 2025)|
|1
Player member
**Company registered**
**number**
00799297
**Charity registered**
**number**
250277
**Registered office**
6 Chancel Street
London, United Kingdom
SE1 0UX
**Company secretary**
David Stacey (appointed 20 March 2025)
**Independent Finance**
**Committee member**
Ben Davies (appointed 20 February 2025)
Katherine Collis
Rupert Darbyshire
**Independent auditors**
MHA
6th Floor
2 London Wall Place
London
United Kingdom
EC2Y 5AU||
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## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2025**
**Bankers** Barclays Bank 1 Churchill Place London E14 5HP NatWest Bank 10 Marylebone High Street London W1U 4BT **Legal advisers** McDermott Will and Emery LLP Heron Tower 110 Bishopsgate London, United Kingdom EC2N 4AY Stone King LLP Boundary House 91 Charterhouse Street London, United Kingdom EC1M 6HR
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
## **LETTER FROM THE CHAIR AND PRESIDENT**
2024/25 has been a year of rich creativity, renewed momentum, and preparation for the Philharmonia’s 80th anniversary in 2025. With bold programming, inspiring residencies, and revitalised international engagement, the Orchestra has once again demonstrated its commitment to artistic excellence, innovation, and the audiences we serve.
Our autumn series, _Nordic Soundscapes: Music Crafted from Nature_ , explored the connection between music, the natural world, and the climate crisis through a Nordic lens. Across VR experiences, talks, workshops, and eight concerts at the Royal Festival Hall and our residencies, audiences were invited to reflect on how nature shapes artistic expression.
Led by our Finnish Principal Conductor Santtu-Matias Rouvali, the series showcased masterpieces by Sibelius, Grieg, and Nielsen alongside new commissions and specially created films. Nordic Soundscapes exemplified the Philharmonia’s mission to shape the orchestral experience of the future, using our platform to address urgent contemporary issues with powerful artistic impact.
The season was marked by numerous artistic high points. We welcomed back some of the world’s most revered conductors, whose performances filled concert halls to capacity and reached millions more online. Riccardo Muti brought electrifying force to Verdi’s Requiem, while Herbert Blomstedt offered a radiant interpretation of Mahler’s Symphony No. 9. We were proud to take part in the Southbank Centre’s inaugural Multitudes Festival, where Marin Alsop led a compelling performance of Shostakovich’s Symphony No. 10, paired with William Kentridge’s powerful film _Oh to Believe in Another World_ . Our Featured Artist, Nemanja Radulović, further captivated audiences throughout the season with his remarkable versatility and charismatic stage presence.
Internationally, the Philharmonia strengthened its reputation as a world-class orchestra, touring across Europe and to Japan, while laying the groundwork for major engagements in the United States, South Korea and Mauritius in 2025/26. Closer to home, our residencies at Garsington Opera, the Three Choirs Festival, and venues across the UK flourished. Our Learning & Engagement work reached thousands of participants of all ages and backgrounds, underscoring our belief that the Philharmonia’s music should inspire and connect as widely as possible.
We remain mindful of the economic challenges facing the cultural sector. Through careful financial planning, investment in new systems, and the generosity of our donors and partners, the Philharmonia has strengthened its operational foundations while continuing to deliver ambitious artistic programmes. This work is essential to securing the Orchestra’s long-term sustainability, enabling us to serve audiences for another 80 years.
This year also marks a change in governance. As we write our first joint letter as Chair and President of the Philharmonia, we want to record our deep gratitude to outgoing Chair, Lord King of Lothbury, and President Cheremie Hamilton-Miller for their wisdom, generosity, and steadfast commitment during their respective tenures. Outstanding leadership has guided the Orchestra through a period of renewal, strengthening our governance and positioning the Philharmonia for the future. It is an honour for us to continue this work, together with our colleagues, as we lead the Orchestra into its 80th anniversary year and beyond.
As we reflect on our extraordinary heritage and look forward to the opportunities ahead, we are united by a shared belief in the transformative power of music. None of our achievements would be possible without the dedication of our players, the hard work of our staff and trustees, and the support of our audiences, donors, and partners, including Arts Council England To all who sustain and champion the Philharmonia, we extend our heartfelt thanks
## **Sir Howard Davies and James Buckle**
## **February 2026**
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
## **OBJECTIVES AND ACTIVITIES**
The charitable objectives of the Company are:
- the advancement of public education through the promotion and support of the art of music (including opera, music, drama, ballet and all art forms consisting in whole or in part of music), particularly by the promotion and encouragement of orchestral music; and
- the relief of poverty and distress amongst playing members of any symphony orchestra for the time being maintained by the Charity and the dependents of such persons.
The Philharmonia pursues these objectives by maintaining a symphony orchestra of the highest international quality. Through performance, commissioning, education, and innovation, the Orchestra creates opportunities for people of all ages and backgrounds to engage with orchestral music.
Our aim is to raise the public appreciation of music by sustaining and developing the Orchestra’s position as one of the world’s leading ensembles. We achieve this through artistic excellence on stage, creative and imaginative programming, the commissioning and championing of new work, an ambitious Learning & Engagement programme, and the use of digital platforms to reach the broadest and most diverse audiences in the UK and worldwide.
The Philharmonia’s vision is to see orchestral music at the beating heart of cultural life, with the power to contribute to a more equitable, sustainable, and thriving society. Its mission is to create the orchestral experience of the future. In support of this, the Board and Chief Executive have undertaken a review of the business model to ensure that our activities not only strengthen the Orchestra’s artistic standing but also secure a resilient and sustainable financial foundation.
Our work is underpinned by the Investment Principles of Arts Council England’s Let’s Create strategy: Ambition & Quality, Dynamism, Inclusivity & Relevance, and Environmental Responsibility. These principles, together with our new mission and vision, provide the framework for the Philharmonia’s future development and will elevate our performance, off-platform activity, and reach over the coming years.
The activities through which the Philharmonia achieves its objectives include:
- The provision of “Own Promotion” concerts at the Southbank Centre
- Residencies in Bedford, Leicester, Basingstoke, Canterbury, at the Three Choirs Festival and Garsington Opera
- Engagements by third party promoters in the UK and internationally
- Learning and engagement programmes
- Recorded performances of the highest standard, including via Philharmonia Records, the Company’s own label
- Innovative digital content and projects
## **PUBLIC BENEFIT**
In reviewing the Company’s objectives and activities, and in planning future programmes, the Board of Trustees confirms that it has had due regard to the Charity Commission’s general guidance on public benefit and has complied with its duty under the Charities Act 2011.
The Orchestra’s aims and objectives are directed at the widest possible public: concertgoers across the UK and internationally; audiences who access our work through broadcasts, recordings, and digital platforms; local communities where the Orchestra is resident; and participants in our varied Learning & Engagement programmes.
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
The Philharmonia’s Own Promotion concerts at Southbank Centre are open to the public without restriction. To ensure affordability and accessibility, discounted tickets are offered for disabled audiences, those on income support, students, and under-18s. Beyond the main concert platform, the Orchestra provides a rich programme of chamber music, contemporary music projects, pre-concert debates and talks, and foyer events, many of which are free to attend. Performances across our UK residencies take place in public venues that adopt similarly inclusive policies.
We are committed to broadening both the numbers and the diversity of our audiences and participants. This is achieved through targeted audience engagement strategies, including the Orchestra’s world-leading digital work, online content available free through the company website and other platforms, and its work with and in local communities.
The Philharmonia also invests in the future of music-making. Our Learning & Engagement projects inspire thousands of participants of all ages each year, while our recordings and digital content create a legacy for generations to come. In addition, we are committed to nurturing and training the next generation of orchestral musicians, ensuring that the Orchestra’s skills, standards, and impact continue to benefit society long into the future.
## **STRATEGIC REPORT**
## **A ACHIEVEMENTS AND PERFORMANCE**
The Philharmonia Orchestra continued to demonstrate its excellence as one of the world’s leading symphony orchestras through its performances at the Southbank Centre, across its permanent residencies in Bedford, Leicester, Canterbury and Basingstoke, at the Three Choirs Festival and Garsington Opera, and on international stages. The Orchestra maintained a balance between core repertoire and innovative programming, working with many of the world’s most distinguished conductors and soloists.
In the 2024/25 season, the Orchestra delivered:
- 95 concerts or performances in the UK, including across residencies in London, Leicester, Bedford, Canterbury, Basingstoke, Three Choirs Festival and Garsington
- 37 international concerts in 10 locations: Austria, Estonia. Finland, Germany, Italy, Japan, Jersey, Romania, Spain and Switzerland.
## _CONCERTS & PROJECTS_
Throughout the autumn, _Nordic Soundscapes: Music Crafted from Nature_ explored the relationship between music, nature and the climate crisis – from a new Sibelius VR experience to talks, debates, workshops, and eight major concerts at the Royal Festival Hall and the Bedford and Canterbury residencies. Together, these activities offered audiences multiple pathways into the series’ central theme.
Deeply connected to Finnish Principal Conductor Santtu-Matias Rouvali, the series united leading Nordic composers and artists. Iconic works by Sibelius, Grieg, and Nielsen were set alongside bold new commissions and evocative underwater films. In its scope and ambition, _Nordic Soundscapes_ exemplified the Philharmonia’s commitment to redefining the orchestral experience, using the artistic platform to explore the climate crisis in ways that resonated powerfully with audiences.
Other highlights of the season of residency concerts included:
- Riccardo Muti made a long-awaited return to conduct Verdi’s Requiem – the Orchestra’s highest-grossing concert on record
- Herbert Blomstedt conducted Mahler to a packed Royal Festival Hall, radiating joyful energy at the age of 97, and producing what the Guardian described as _“…the collective performance of a lifetime.”_
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
- Marin Alsop’s Multitudes concert, pairing a programme of Bernstein’s Chichester Psalms with Shostakovich No. 10 set to William Kentridge’s animated film ‘Oh to Believe in Another World’
- Conductor Laureate , Esa-Pekka Salonen, made a guest appearance in a programme of Sibelius and Lindberg
- Nemanja Radulović stepped into the post of Featured Artist, captivating audiences with his virtuosity across several projects, including a directed programme combining baroque music with Serbian folk sounds
- A season spotlight on diverse and dynamic artists of the next generation — including young violinist María Dueñas, pianist Nobuyuki Tsujii and accordionist Ksenija Sidorova
- The orchestra ended the season with a sold-out performance of Rachmaninov Piano Concerto No.3 with pianist Nikolai Lugansky
The Philharmonia continued to strengthen its relationships with audiences and communities across its UK residencies. The Orchestra performed to near-capacity crowds in Bedford and Canterbury, growing audiences in both locations year on year, while sustaining a strong artistic presence at both the Three Choirs Festival and Garsington Opera. At Garsington, the season featured acclaimed performances of _Donizetti’s Elisir d’amore and Tchaikovsky’s Queen of Spades_ , while our partnership with the Three Choirs Festival included powerful renditions of Matthias’s _The Worlde’s Joye_ and Coleridge-Taylor’s _The Atonement_ .
Beyond the traditional concert, the Philharmonia delivered broad and adventurous programmes and projects with key partners. Highlights included a concert at the inaugural Roundhouse360 Festival, featuring korah-player and composer Sonah Jobarteh performances at the Multi-storey car park in Peckham for Bold Tendencies, a packed Classic FM Live concert at the Royal Albert Hall, and a live collaboration with the podcast _The Rest is History_ .
International touring remained a vital part of the Philharmonia’s work, with a particular focus on Europe. Highlights included performances at the Concertgebouw Amsterdam, Musikverein Wien, and Elbphilharmonie Hamburg, reinforcing the Orchestra’s standing as one of the UK’s most active and highly regarded ensembles on the world stage.
In the digital sphere, the season saw the return of the _Virtual Orchestra_ with the launch of the Sibelius VR experience. This immersive project brought audiences across the UK directly into the sound world of Sibelius, enabling users to step inside the orchestra and experience his music from striking new vantage points.
## _AUDIENCE DEVELOPMENT_
The Philharmonia welcomed approximately 125,000 audience members at live concerts and events across its UK residencies, London performances, and wider engagements, with a further 40,000 attending overseas. At the Royal Festival Hall, audience numbers remained close to a ten-year high, supported by record income achieved through dynamic pricing but underpinned by a continued commitment to accessibility. The Orchestra also issued more than 10,000 tickets for free concerts – a 13% increase on the previous year.
Learning & Engagement programmes continued to nurture future and diverse audiences, with Orchestra Unwrapped introducing more than 5,000 primary school children across London, Bedford, Leicester and Basingstoke to orchestral music, and our award-winning Hear and Now project – uniting young musicians with people living with dementia and their carers – celebrating its 15th anniversary.
The Guest List initiative, designed to support audiences facing barriers to attending orchestral concerts, introduced nearly 200 first-time attendees to Philharmonia performances across Bedford, Leicester and London. A new three-concert pilot of this project in London delivered striking results: 73% of participants had never attended a classical concert before, and 96% said they were likely to return. Feedback highlighted the welcoming atmosphere and the value of the pre-concert talks.
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
With a focus on improving the online user experience, a new purchase pathway was introduced on the Orchestra’s website. The chosen product, Viadukt (developed by Substrakt), is designed to streamline the customer journey and enhance accessibility. Its simplified, user-friendly booking flow reduces complexity and technical barriers, offering a smoother experience for all users, including those with cognitive or dexterity impairments.
Online, the Philharmonia’s reach remained exceptional, with over 160 million streams across more than 180 countries, and more than 22 million people engaging with the Orchestra’s music digitally. The introduction of a new social media and content role supported a refreshed content strategy, driving growth across all channels and delivering particularly strong engagement on Instagram and TikTok.
## _LEARNING AND ENGAGEMENT_
Across the 2024/25 season, the Orchestra’s community and education initiatives reached 15,360 people through workshops, concerts, and engagement projects. Although slightly lower than last year’s total, this reflects a deliberate focus on deeper engagement with smaller groups, including older students in music hubs
The Philharmonia’s talent development programmes continued to expand in 2024/25. The Instrumental Fellowship appointed 11 new Fellows for 2025/26 from a field of 160 applicants, with recruitment underway for two additional violin places. This year’s cohort completed 11 patches of orchestral work and 36 hours of coaching, while Conservatoire Sit-Ins offered hands-on experience to students from the Royal Academy of Music and the Royal College of Music. The Composers’ Academy also saw significant success. The June concert attracted an audience of more than 900 and received strong critical acclaim. Under the mentorship of Christian Mason, winner of the 2025 Grawemeyer Award, the 2024/25 cohort developed new works to high artistic standards. For 2025/26, ten applicants were shortlisted, from a pool of 95; from which three Fellows have been selected.
The 2024/25 Artist in Residence, Vidya Patel, presented the culmination of her residency, _A Bride’s Woven Plea_ in Leicester to an audience of nearly 300, exploring themes of migration and identity Planning is now underway with the 2025/26 Artists in Residence, _Thick & Tight_ , whose work will celebrate the Orchestra’s 80th anniversary and explore the season theme of identity.
The Philharmonia’s Insights programme hosted 22 events, attracting over 2,250 attendees. Highlights included a pre-concert interview with Jess Gillam (315 attendees) and a post-concert discussion with Marin Alsop and Mark Ball (450 attendees). The _Notes on Nature_ discussion series and wraparound activity drew over 300 participants, with 90% rating the events as engaging and relevant. Building on this success, similar sessions will accompany the Orchestra’s forthcoming concerts, exploring identity.
Across other programmes, Hear & Now marked its 15th anniversary with a major celebration at Battersea Arts Centre involving more than 150 participants from Bedford, Leicester and London, alongside ongoing local activity – including the first London-based partnership with Arts for Dementia and the Purcell School, which engaged 60 participants. The flagship Orchestra Unwrapped programme welcomed 4,414 pupils and 512 teachers, with a further 1,500 on waiting lists. Teacher training supported 56 educators, who rated sessions between 4.0 and 4.9 out of 5. The Nordic-themed curriculum, aligned with the Philharmonia’s _Nordic Soundscapes_ series, inspired over 880 pupils to express interest in learning an instrument, while 92% of teachers reported that the programme raised the profile of music in their schools. Work with the Bullfrog Orchestra continued to support young people in care across Leicestershire, building confidence and trust through collaborative music-making. A final performance for policymakers and sector leaders highlighted the programme’s powerful impact on participants’ wellbeing and self-expression.
Partnerships with UK music hubs and international collaborators continued to flourish. A new Young Composers Project with Sutton Music Trust reached 150 students, culminating in performances of their works by Philharmonia players. Side-by-side and coaching opportunities supported youth orchestras in Sutton and Leicestershire, leading to joint performances including _Finlandia_ by Sibelius. A London brass project concluded with a performance at the US Embassy. Although a planned summer collaboration with youth orchestras in China was postponed, the Orchestra delivered youth workshops in Mikkeli and relaxed performances for community charities such as Strictly Hoxton.
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
The Philharmonia’s Community Boards continue to grow, expanding by more than 35 organisations across all residency areas. In Canterbury, the newly named _Music Voice_ Board is developing plans with The _Marlowe_ and _Kent Music Hub_ for 2025/26. In Basingstoke, the new board has already co-created a series of pop-up performances, reaching 1,500 attendees, while in Bedford and Leicester partnerships with councils, universities, and local hubs have continued to deepen.
## _ORGANISATION_
The Board of the Philharmonia, under Lord King of Lothbury as Chair, met regularly to provide strategic leadership and oversight of the Orchestra’s activities. After the year-end, on 1 January 2026, Sir Howard Davies succeeded Lord King as Chair, following Lord King’s retirement after five years in the role. The Philharmonia warmly thanks Lord King for his outstanding leadership and long-standing commitment to the Orchestra.
During the year, there were several changes to the Board. James Buckle succeeded Cheremie Hamilton-Miller as President in March 2025, following her retirement at the end of her term. Alexander Rolton and Soong Choo were appointed as Joint Vice Presidents, both serving as player members of the Board. The Orchestra also welcomed several other new Trustees: David Aitman, David Pickard, Fiona Cornall, and Terry Sinclair, each bringing extensive experience and expertise to the organisation.
The Philharmonia also records its thanks to Trustees who stepped down during the year for their generous service and contribution: Cheremie Hamilton-Miller, Julia Zilberman, Lorenzo Modiano, Nuno Carapina, and Saul Nathan, whose guidance and support have been deeply valued.
The Philharmonia remains proud to be a National Portfolio Organisation (NPO) supported by Arts Council England for the period 2023–2026. The Orchestra plays an active role as a sector leader, working collaboratively with colleagues across the orchestral profession, including the Association of British Orchestras, the Musicians’ Union, and other national partners, to champion the value and sustainability of orchestral music in the UK.
## **B FINANCIAL REVIEW**
## _REVIEW OF THE FINANCIAL YEAR_
The year to 31 August 2025 saw a consolidated net surplus of £541,452 (2024: £199,774). The standalone charity result for Philharmonia Limited was a surplus of £597,347 (2024: £278,698).
Underlying net operating surplus was £345,035 (2024: deficit of £103,037). The Orchestra continues to benefit from public funding, including membership of Arts Council England’s National Portfolio Organisation, and through Orchestra Tax Relief. This has enabled greater investment in concerts and activity to be planned for the current and future seasons.
Support costs were £3,053,329 (2024: £2,877,069).
The Martin Musical Scholarship Fund (MMSF), whose financial results are consolidated 100% in these financial statements, made a deficit of £55,895 (2024: £87,126). Rite Digital Limited, Philharmonia Limited’s fully owned trading subsidiary Company, made an operating surplus of £NIL (2024: £8,202).
## _FINANICAL MANAGEMENT POLICY_
The Orchestra aims to budget two to three years in advance, balancing the cost of orchestral concerts and other core work with grants and sponsorship income, as well as income directly generated by the work itself. If further activity is taken on once the budget has been set for the year ahead, it is only accepted if the work can be funded or if there is any remaining subsidy to be used. Regular communication with Arts Council England is also key to this advance budgeting.
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
## _RESERVES POLICY_
The Philharmonia Orchestra aims to have accessible free reserves to cover at least 3 months of overhead costs at any one time and no less than £750,000. This level is prudent to cover any potential short-term disruptions or unexpected expenses, while ensuring funds are utilised efficiently to deliver the charity’s objectives.
Free reserves are calculated by taking the brought forward unrestricted reserves balance adjusted for the movement in the year, but excluding the net book value of fixed assets, less the property, which is allocated to a designated fixed asset fund. The free reserves balance is maintained through cash reserves and investments that can be readily converted to cash as required, any excess being used for designated projects and strategic investments.
As at 31 August 2025 the total value of reserves was £8,797,836 (2024: £8,256,384). A breakdown of this is shown on the balance sheet and in the statement of funds note (note 21). Restricted and Endowment Funds are £4,145,618 of this amount (2024: £6,468,652) including £100,929 (2024: £156,824) of MMSF reserves.
Free reserves in the general fund at 31 August 2024 were £2,315,969 (2024: £1,467,692).
## _INVESTMENT POLICY_
The Orchestra has a policy of investing surplus funds prudently to support its mission and long-term financial sustainability. The principal objectives are:
- To protect the real (inflation-adjusted) value of the Orchestra’s investments over the long term;
- To generate a sustainable and stable return to support the Orchestra’s operational and strategic priorities;
- To ensure that all investments align with the Orchestra’s charitable status, values, and legal responsibilities; and
- To maintain sufficient liquidity to meet foreseeable cash flow needs.
The trustees delegate day-to-day management of the Orchestra’s investment portfolio to professional investment managers under formal agreements. The agreed investment strategy is based on a long-term horizon and a moderate risk tolerance, with a diversified allocation across global equities, high-quality bonds, and other suitable asset classes. Sufficient liquidity will be maintained to meet shorter-term funding needs.
Oversight of investment activities rests with the Finance & Resources Committee, which receives performance reports from the investment managers and monitors compliance with the Orchestra’s objectives and Charity Commission guidance. Cash forecasts are reviewed regularly to ensure sufficient working capital and to identify significant fluctuations in advance.
During the year, funds were managed in line with this policy and achieved performance consistent with objectives, while retaining flexibility to provide liquidity for operational needs.
Following the year end, and after a competitive tender process, the trustees appointed CCLA to manage the Orchestra’s long-term reserves. The appointment followed detailed evaluation of proposals, interviews with shortlisted firms, and consideration of performance, risk, ESG credentials, client service, and value for money. The Board is confident that this new partnership will strengthen the stewardship of reserves and support the longterm resilience of the charity.
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
**TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
## **C FUTURE PLANS**
The Philharmonia’s 80th-anniversary season in 2025/26 will centre on the theme of music and identity. Framed by the motto ‘Music is not what we do. It’s what we are,’ the season will explore the profound connection between music and identity through artistic collaborations, debates and landmark performances of some of the most iconic symphonic works ever written. Throughout the year, the Orchestra will also celebrate and reflect on eight decades of artistic excellence, innovation and impact, while looking ahead to the future of the orchestral experience and the Philharmonia’s role in contemporary society.
Highlights will include 25 concerts at the Royal Festival Hall, alongside five concerts in each of the residencies in Bedford, Leicester, Canterbury and Basingstoke. Major international touring will take the Orchestra to South Korea and on a ten-date US tour, culminating in two celebratory concerts at Carnegie Hall marking the Orchestra’s birthday. Collaborations with leading artists, including Featured Artist Víkingur Ólafsson, together with a series of new commissions, will continue the Philharmonia’s long tradition of pairing the great orchestral repertoire with contemporary creativity.
Alongside this, the Orchestra will deepen its partnerships with a range of venues, artists, and collaborators, developing new cross-artform programmes designed to attract new audiences and push the boundaries of orchestral programming and presentation. Collaborations with Gilbert & George, composer Laura Karpman, and a new partnership with Soho Theatre, Walthamstow, will signal the Philharmonia’s ambitious commitment to creating the orchestral experience of the future.
The Orchestra continues to strengthen its Learning & Engagement programme, bringing orchestral music to more people across the UK and beyond. During the 80th-anniversary season, the Philharmonia will begin developing new educational virtual reality content. Inspired by the ABO’s _An Orchestra in Every School_ campaign, this work will draw on the Orchestra’s digital expertise to broaden access to orchestral music for classroom learners nationally and internationally. The Orchestra Unwrapped programme will also expand to additional residency locations, deepening partnerships with schools. Within the wider community, the Philharmonia will create 80 pop-up activities and celebratory residency events to mark the anniversary year.
All this activity contributes to a renewed commitment to engaging and developing audiences. The Philharmonia will launch a new initiative, _Philharmonia Social_ , inviting both new and longstanding concertgoers to connect more closely with the Orchestra through direct interaction. Offering 80 free tickets for first-time attendees, a programme of interactive debates, a concert club, and introductions from our players, the initiative aims to break down barriers and enrich the traditional concert experience. These activities will be supported by a newly recruited cohort of 80 volunteers, dedicated to enhancing the welcome and fostering meaningful connections. Alongside this, the Philharmonia will unveil a refreshed brand identity, designed to create greater distinction within the sector.
## **D PRINCIPAL RISKS AND UNCERTAINTIES**
The Philharmonia operates in a complex environment where economic, geopolitical, and sector-specific challenges create uncertainty for long-term planning and delivery of our mission. Trustees recognise their responsibility to monitor these risks carefully and to ensure that appropriate mitigations are in place.
During 2024/25, inflationary pressures continued to affect the Orchestra’s cost base and to shape the financial environment in which promoters, venues, and funders operate. While audience levels at home and abroad have broadly stabilised in a post-pandemic environment, there remains uncertainty around fundraising income, investment returns, and the longer-term sustainability of international touring.
In response, the Board approved a comprehensive review of the risk register, aligning with best practice and introducing clearer categorisation, scoring, and escalation processes, helping provide greater clarity in distinguishing risks that require ongoing Board or Committee oversight.
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**(a company limited by guarantee)**
## **PHILHARMONIA LIMITED**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
## _KEY RISKS AND UNCERTAINTIES_
At the date of approval, the most significant risks facing the Orchestra are:
## _Structural Deficit and Financial Sustainability_
Ongoing pressure on the business model risks deficits over the medium term. A refreshed business model and three-year business plan are in development, supported by ACE’s Transform fund, to strengthen resilience and clarify the treatment of reserves.
## _Fundraising Income Shortfall_
Failure to maintain or grow contributed income would constrain the artistic programme and reduce flexibility. A new Development Board has been established and a strengthened case for support is being implemented.
## _Arts Council England Funding_
NPO funding remains a cornerstone of income (£1.83m annually to 2026, extended to 2028 but with levels to be confirmed). Strategic shifts at ACE or reductions in future funding would significantly affect financial stability.
## _Orchestra Tax Relief_
Reduction, withdrawal, or challenge to OTR would materially impact income. The Orchestra continues to work with sector bodies and advisors to advocate for and safeguard this relief
## _Health & Safety (including noise)_
Inadequate controls could result in accidents, legal claims, or reputational harm. Policies and assessments are being updated to ensure compliance with best practice
## _Brand and Political Sensitivities_
Repertoire choices or artist associations have the potential to attract criticism or donor withdrawal. Due diligence and communications protocols are in place to mitigate such risks.
## _RISK MANAGEMENT METHODOLOGY_
The Orchestra employs a bottom-up approach to risk management. The Executive team maintains the risk register, identifying new risks and assigning responsibility for mitigation. The Finance & Resources Committee reviews the register quarterly, with escalation of medium-high and high residual risks to the Board for oversight. The Trustees’ aim is to maintain an overall low-to-medium risk profile while ensuring the Orchestra continues to deliver its artistic, strategic, and charitable objectives.
## **E GOING CONCERN**
The Trustees have assessed the appropriateness of preparing the financial statements on a going concern basis, taking into account the Orchestra’s financial position, forecasts and principal risks over a period of at least twelve months from the date of approval of these financial statements.
In forming this assessment, the Trustees have considered the Orchestra’s latest management accounts, the approved budget for FY 2025/26, the emerging assumptions for FY 2026/27 and the three-year business plan. They have also considered the Strategic Risk Register, which has been comprehensively reviewed and restructured during the year to reflect best practice in risk identification, mitigation and assurance.
The most relevant risks to the going concern assessment are those relating to financial sustainability, income volatility and cashflow resilience. In particular, the Trustees considered the risk of an ongoing structural deficit, the potential for fundraising income shortfall, continued reliance on Orchestra Tax Relief (OTR), and wider inflationary and cost pressures affecting the sector. These risks are actively monitored through the Finance & Resources Committee and are subject to defined mitigating actions.
Page 11
**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
The Trustees note that the Orchestra has delivered surpluses in FY 2023/24 and FY 2024/25, and that cashflow at year end was materially stronger than at the start of the year. The organisation maintains detailed rolling cashflow forecasts and has access to short-term liquidity facilities, which provide additional flexibility in managing timing differences between income and expenditure. In addition, the Orchestra holds investment assets which, subject to their legal status and the Trustees’ fiduciary duties, could be realised or drawn upon on a temporary or permanent basis if required, providing further resilience in the event of short-term cashflow pressures or more severe adverse scenarios.
In assessing the availability of reserves, the Trustees have taken into account the clarification and realignment of the Orchestra’s reserves structure reflected in these financial statements. This has improved transparency over the distinction between unrestricted, designated and endowment funds and provides greater clarity over the level of resources that could be accessed in exceptional circumstances.
The Trustees have also considered downside scenarios, including lower-than-anticipated earned income, delays to touring activity and adverse changes to OTR. Mitigations available in such circumstances include discretionary control over certain categories of expenditure, the ability to defer or re-scope activity, active fundraising interventions and, where appropriate, the use of available reserves in line with their legal status.
## **F INVESTMENT PRINCIPLES**
During the year the Orchestra continued its strong action plans related to the ACE investment principles of Ambition and Quality, Environmental Responsibility, Dynamism, and Inclusivity and Relevance. Initiatives being undertaken speak directly to the priorities identified by Arts Council England as being germane to the Creative Case for Diversity and the ‘Let’s Create’ strategy and are supported by data and evaluation methodology throughout.
## _WORKFORCE, GOVERNANCE AND MEMBERSHIP_
Philharmonia commits to achieving a more diverse workforce, Board of Trustees, and Membership of the Orchestra, ensuring the Orchestra is representative of the UK's diversity. It is essential to create and maintain an inclusive environment to ensure everyone is safe and comfortable in their workplace, can work to the best of their abilities, and can utilise this diversity to co-create a sustainable, relevant, and forward-thinking organisation.
## _ARTISTS, PROGRAMME AND PARTNERSHIPS_
Philharmonia will programme performances, artistic series, artists and form partnerships that are relevant to and representative of the Orchestra’s diverse residency communities.
## _AUDIENCE AND PARTICIPANTS_
Audiences, participants and those engaging with Philharmonia, both digitally and live, will be representative of the diversity of the communities that are served.
## _DYNAMISM_
Philharmonia continues to invest in data analysis and strategic planning, utilising its digital expertise to adapt music in new formats.
## _ARTISTIC PLANNING_
Philharmonia continues to support the widest range of programming, promoting and supporting emerging artists, and bringing classical music to new audiences.
Page 12
**PHILHARMONIA LIMITED (a company limited by guarantee)**
**TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
## **G EQUITY, DIVERSITY AND INCLUSION**
The Philharmonia is committed to fostering a culture of equity, diversity and inclusion (EDI) across all areas of its work, ensuring that fairness, accessibility, and representation remain at the heart of the organisation.
Throughout 2024/25, the Orchestra maintained an active Equality Steering Group, which coordinates activities and monitors progress on EDI priorities. The Group expanded its approach to ensure that the views of players and staff are heard widely and consistently. Alongside its quarterly Town Hall meetings, it has introduced bespoke discussion sessions, regular updates in the internal newsletter, and focused briefings on single-issue topics. These channels have strengthened transparency and dialogue across the organisation, ensuring that EDI remains an open and ongoing conversation.
The Philharmonia also continued its commitment to the Inclusive Practice in Recruitment programme, led by the Association of British Orchestras (ABO), Musicians’ Union (MU), and Black Lives in Music (BLiM). Now in its second full year, the Orchestra has adopted two further actions from the programme’s ten-point plan, which promotes inclusive recruitment across the UK’s classical music sector. As a result, the Philharmonia has undertaken a comprehensive review of its recruitment procedures, including audition, advertising, and selection processes, and is assessing how the revised approach can be applied more broadly across its employment practices.
In parallel, the Philharmonia carried out a wide-ranging review of accessibility for audiences, reflecting its belief that inclusion extends beyond the stage. This work included an audit of the Orchestra’s website and printed materials, and a commissioned study by a charity partner examining the experience of disabled audience members, from ticket booking through to post-concert activities. The Orchestra is now implementing many of the report’s recommendations and has shared venue-related suggestions with its partners to encourage a coordinated and consistent approach to accessibility across all Philharmonia performances.
## **H**
## **SUSTAINABILITY**
The Orchestra is committed to minimising the environmental impact of its activities and embedding sustainable practice across the organisation. As a touring orchestra, the majority of the Orchestra’s environmental footprint arises from domestic and international touring — including artist and orchestra travel, freight and instrument transport, and the energy use of venues where it rehearses and performs.
Bringing together players and staff, the Environmental Working Group meets quarterly, overseeing delivery of the Philharmonia’s Environmental Policy and action plan, and ensuring alignment with the investment principles of ACE’s _Let’s Create_ strategy. Trustees receive an annual update from the group and review of progress.
The Environmental Policy, which was developed in partnership with _Julie’s Bicycle_ and _Reboot the Future_ , was updated in 2024/25 and approved by the Board. It sets out six core principles covering how the Philharmonia acts on tour, travels, trucks, programmes, partners, and tracks progress. A key priority in 2024/25 has been to establish accurate baseline data, mapping the environmental policies of partners and suppliers and reviewing where the greatest impact can be achieved. This data will inform measurable targets and future initiatives across the Orchestra’s operations, touring, and supply chain.
In line with its Policy commitments, the Philharmonia continues to seek practical ways to reduce its carbon footprint. When planning touring routes, train and coach travel are prioritised wherever feasible, and direct flights are used to reduce emissions. Players and staff are encouraged to adopt environmentally responsible practices while touring, including reducing single-use plastics, limiting laundry cycles in hotels, and reusing materials.
The Philharmonia’s artistic and operational programmes also reflect its environmental ethos. Recent projects have included repertoire and collaborations that engage with themes of nature and climate, notably in 2024/25 the _Nordic Soundscapes_ series and the associated engagement programme, as well as efforts to reduce material waste through digital programmes.
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
Through this combination of policy, data, and action, the Philharmonia continues to integrate sustainability as a core part of its organisational ethos and to play its part in addressing climate priorities, both on and off the concert platform.
## **I FUNDRAISING STATEMENT**
The Philharmonia is profoundly grateful for the continued and generous support of its many benefactors and partners.
In the 2024/25 season, special thanks are due to the Laurence Modiano Charitable Trust (LMCT), the Lloyd E. Rigler–Lawrence E. Deutsch Foundation, and the Modiano and Weinstock families for their support of a major concert conducted by Maestro Riccardo Muti in March 2025, which marked the beginning of the countdown to the Orchestra’s 80th anniversary season.
A leading gift from NJA Ltd. fully funded the _Orchestra Unwrapped_ project for the year. Beyond financial support, NJA Ltd. played an active role in encouraging the project’s expansion for the Orchestra’s 80th anniversary, and has committed substantial match funding to _Orchestra Unwrapped_ for the 2025/26 and 2026/27 seasons. The Philharmonia is deeply grateful for this enlightened and sustained commitment.
The Orchestra also acknowledges with deep gratitude its leading donors: the Laurence Modiano Charitable Trust, the David and Elaine Potter Foundation, the Sidney Perry Foundation, the Fernside Trust, the Art Mentor Foundation Lucerne, Latifa Kosta, and Lady Lipworth CBE, together with her late husband Sir Sydney Lipworth KC. Sir Sydney’s passing this year marked the conclusion of more than 30 years of close association and leadership with the Philharmonia, to which the Orchestra will pay tribute during the 2025/26 season.
The Philharmonia was honoured to perform at Winfield House in January 2025 for the farewell event of US Ambassador Jane Hartley, marking the Orchestra’s second appearance at this historic venue in as many years. Support from Southwark and Lambeth Councils enabled the continuation of schools and community programmes, including _Hear & Now_ , which bring the Philharmonia’s work to a wider and more diverse public.
The Orchestra also extends its thanks to its closely affiliated organisations for their ongoing support during 2024/25: the Philharmonia Orchestra in Bedford Trust, and the Philharmonia Foundation Inc. in New York, which has raised over $800,000 in support of the forthcoming 2025/26 80th Anniversary Tour to the United States.
All voluntary fundraising at the Philharmonia is carried out by the internally managed Development Department. Philharmonia Ltd. is committed to ensuring that all fundraising activities are undertaken with integrity and in full compliance with the Charity Commission’s Code of Fundraising Practice. The organisation is registered with the Fundraising Regulator and adheres to its standards to ensure that all fundraising is legal, open, honest, and respectful. The Philharmonia is transparent in its dealings with donors and accountable to the public for the funds it raises. There were no fundraising complaints recorded during the current or previous financial periods.
## **J STRUCTURE, GOVERNANCE AND MANAGEMENT**
## _GOVERNING DOCUMENT_
Philharmonia Limited is a charity registered with the Charity Commission. It is a charitable Company limited by guarantee, governed by its Memorandum and Articles of Association as per the Charity Commission register. At 31 August 2025, there were 64 members (2024: 66).
## _APPOINTMENT OF THE BOARD OF TRUSTEES_
The Board of trustees comprises eight playing members of the Orchestra, plus seven non-playing members.
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**PHILHARMONIA LIMITED (a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
The members of the Board of Trustees are appointed by the members of the Company. A vote is conducted at each Annual General Meeting to elect nominated members to fill vacancies created by the retirement of existing members of the Board. Exceptionally, a member may be elected at an Extraordinary General Meeting. The nonplaying members of the Board are co-opted at each Annual General Meeting.
The Board sets and reviews orchestral policy, financial policy and strategy. It reviews agreements with Arts Council England and other major funders. The Board makes major decisions, including the appointment of titled conductors, and the Chief Executive Officer. The Board approves the financial budgets and accounts and appoints the auditor. It receives and monitors reports from the Orchestra Committee, Artistic Committee, Development Board, Finance Committee, and Nominations Committee, and regularly reviews the skills available on subcommittees.
To facilitate effective operations, the CEO has delegated authority, within terms of delegation approved by the Board, for operational matters including finance, employment and artistic performance-related activity.
## _INDUCTION AND TRAINING OF THE BOARD OF TRUSTEES_
New members of the Board of Trustees receive a formal induction session from the Chair, the CEO, key employees and other members of the Board. Training and briefing for new and existing Board members is undertaken to ensure Trustees are kept abreast of the latest standards and guidance.
## _ORGANISATION_
The Board is supported by five sub-committees: the Orchestra Committee, the Finance Committee, the Artistic Committee, the Nominations Committee, and, established post year-end, the Development Board.
- The Orchestra Committee consists of the player members of the Board (currently eight), chaired by the President of the Orchestra. Meeting approximately every two weeks, it is responsible for day-to-day orchestra matters, reporting to the Board on the management of orchestral and musical issues in line with Board policy.
- The Finance Committee comprises five non-player members (four of whom are Trustees), together with the President and Vice President of the Orchestra. Chaired by a non-player Trustee, it meets at least four times a year ahead of Board meetings. It recommends budgets, reviews performance against plan, and oversees financial issues in accordance with Board policy. Non-player members also approve player fee increases recommended by the Executive.
- The Artistic Committee comprises five players elected by the members of the Charity at the AGM and one additional player appointed by the Orchestra Committee from among its members. Meeting at least three times per season, and with the CEO (or delegate) in attendance, the Committee has an advisory role to the Board and CEO. It is the primary forum for collating and presenting Orchestra members’ views in relation to the artistic plans and long-term artistic strategy.
- The Nominations Committee advises the Board on Trustee and senior appointment matters, including succession planning and remuneration oversight.
- The Development Board, created after the year end, brings together individuals with the capacity, networks, and advocacy to support the Philharmonia’s fundraising ambitions. Its purpose is to help achieve budgeted fundraising targets, extend the Orchestra’s reach and influence, and act as champions and advocates for its work. The Development Board works closely with the CEO, Director of Development, and the Development Team, and its Chair will provide regular updates to the Philharmonia Board.
## _SENIOR STAFF_
Day-to-day operating decisions are delegated to the Executive Team, comprising the Chief Executive, Director of Concerts, Director of Development, Director of Finance and Resources, Director of Learning & Engagement, and Director of Marketing & Communications.
Page 15
## **PHILHARMONIA LIMITED**
**(a company limited by guarantee)**
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 AUGUST 2025**
Pay for senior staff, including members of the Executive Team, is benchmarked against industry norms and overseen by the Nominations Committee. The remuneration of the Chief Executive Officer is subject to approval by the Board of Trustees.
This report was approved and authorised for issue by the Trustees and signed on its behalf by:
**Sir Howard Davies** Chair
11 February 2026
Page 16
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES FOR THE YEAR ENDED 31 AUGUST 2025**
The Trustees (who are also the Directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' Report including the Strategic Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles of the Charities SORP (FRS 102);
- make judgements and accounting estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the Trustees are aware:
- there is no relevant audit information of which the Charity's auditor is 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 auditor is aware of that information.
Approved by order of the members of the Board of Trustee and signed on its behalf by:
**Sir Howard Davies** Chair
11 February 2026
Page 17
**(A Company Limited by Guarantee)**
## **PHILHARMONIA LIMITED**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PHILHARMONIA LIMITED**
## **Opinion**
We have audited the financial statements of Philharmonia Limited (the 'parent charitable company') and its subsidiaries (the 'group') for the year ended 31 August 2025 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Charity Balance Sheet, the Consolidated Statement of Cash Flows and the related notes, 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 charitable company's affairs as at 31 August 2025 and of the Group's incoming resources and application of resources, including its income and expenditure 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 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 Auditors' 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 United Kingdom, including the Financial Reporting Council'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 or the parent charitable company'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.
Page 18
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PHILHARMONIA LIMITED (CONTINUED)**
## **Other information**
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Trustees are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of 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 this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- the information given in the Trustees' Report is inconsistent in any material respect with the financial statements; or
- the parent charitable company has not kept sufficient accounting records; or
- the parent charitable company 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.
## **Responsibilities of Trustees**
As explained more fully in the Statement of Trustee's Responsibilities, the Trustees (who are also the Directors of the charitable company for the purposes of company law) 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 charitable company'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 charitable company or to cease operations, or have no realistic alternative but to do so.
Page 19
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PHILHARMONIA LIMITED (CONTINUED)**
## **Auditors' responsibilities for the audit of the financial statements**
We have been appointed as auditor under section 151 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' 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:
- Obtaining an understanding of the legal and regulatory frameworks that the entity operates in, focusing on those laws and regulations that had a direct effect on the financial statements;
- Enquiry of management and those charged with governance to identify any instances of known or suspected instances of fraud;
- Enquiry of management and those charged with governance around actual and potential litigation and claims;
- Enquiry of management about any instances of non-compliance with laws and regulations;
- Reviewing the control systems in place and testing the effectiveness of the controls;
- Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness;
- Evaluating the business rationale of significant transactions outside the normal course of business;
- Reviewing accounting estimates for bias;
- Reviewing minutes of meetings of those charged with governance; and
- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
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 Auditors' Report.
Page 20
**(A Company Limited by Guarantee)**
## **PHILHARMONIA LIMITED**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF PHILHARMONIA LIMITED (CONTINUED)**
## **Use of our report**
This report is made solely to the charitable company's members, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditors' 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 charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.
**Sudhir Singh FCA (Senior Statutory Auditor)** MHA Statutory Auditor
## Date: 16 February 2026
MHA is the trading name of MHA Audit Services LLP, a limited liability partnership in England and Wales (registered number OC455542).
MHA are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.
Page 21
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2025**
|**Note**
**Income and**
**endowments from:**
Donations and legacies
4
Charitable activities
5
Other trading activities
6
Investments
7
Other income
8
**Total income and**
**endowments**
**Expenditure on:**
Raising funds
9,10
Charitable activities
11
**Total expenditure**
**Net (expenditure)/**
**income before net**
**gains/(losses) on**
**investments**
Net gains on
investments
**Net (expenditure)/**
**income**
Transfers between
funds
21
**Net movement in**
**funds before other**
**recognised**
**gains/(losses)**
**Other recognised**
**gains/(losses):**
Impairment of fixed
assets
**Net movement in**
**funds**|**Unrestricted**
**funds**
**2025**
**£**
**2,395,054**
**5,876,310**
**141,472**
**4,915**
**1,967,417**
**10,385,168**
**594,936**
**9,447,214**
**10,042,150**
**343,018**
**-**
**343,018**
**2,545,153**
**2,888,171**
**(23,685)**
**2,864,486**|**Restricted**
**funds**
**2025**
**£**
**600,869**
**-**
**-**
**3,885**
**-**
**604,754**
**22,942**
**651,169**
**674,111**
**(69,357)**
**-**
**(69,357)**
**55,255**
**(14,102)**
**-**
**(14,102)**|**Endowment**
**funds**
**2025**
**£**
**-**
**-**
**-**
**93,111**
**-**
**93,111**
**21,737**
**-**
**21,737**
**71,374**
**220,102**
**291,476**
**(2,600,408)**
**(2,308,932)**
**-**
**(2,308,932)**|**Total**
**funds**
**2025**
**£**
**2,995,923**
**5,876,310**
**141,472**
**101,911**
**1,967,417**
**11,083,033**
**639,615**
**10,098,383**
**10,737,998**
**345,035**
**220,102**
**565,137**
**-**
**565,137**
**(23,685)**
**541,452**|_Total_
_funds_
_2024_
_£_
_3,080,294_
_5,269,817_
_8,457_
_113,320_
_1,761,864_
_10,233,752_
_674,022_
_9,662,767_
_10,336,789_
_(103,037)_
_302,811_
_199,774_
_-_
_199,774_
_-_
_199,774_|
|---|---|---|---|---|---|
Page 22
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2025**
|**Note**
**Reconciliation of**
**funds:**
Total funds brought
forward
Net movement in funds
**Total funds carried**
**forward**|**Unrestricted**
**funds**
**2025**
**£**
**1,787,732**
**2,864,486**
**4,652,218**|**Restricted**
**funds**
**2025**
**£**
**447,153**
**(14,102)**
**433,051**|**Endowment**
**funds**
**2025**
**£**
**6,021,499**
**(2,308,932)**
**3,712,567**|**Total**
**funds**
**2025**
**£**
**8,256,384**
**541,452**
**8,797,836**|_Total_
_funds_
_2024_
_£_
_8,056,610_
_199,774_|
|---|---|---|---|---|---|
||||||_8,256,384_|
Page 23
## **PHILHARMONIA LIMITED (A Company Limited by Guarantee) REGISTERED NUMBER: 00799297**
## **CONSOLIDATED BALANCE SHEET AS AT 31 AUGUST 2025**
|**Note**
**Fixed assets**
Tangible assets
16
Investments
17
**Current assets**
Debtors: Amounts falling due within one year
18
Cash at bank and in hand
Creditors: Amounts falling due within one
year
19
**Net current assets**
**Total assets less current liabilities**
Creditors: Amounts falling due after more
than one year
20
**Total net assets**
**Charity funds**
Endowment funds
21
Restricted funds
21
Unrestricted funds
21
**Total funds**|**2025**
**£**
**2,855,637**
**1,542,884**
**4,398,521**
**(1,769,803)**|**2025**
**£**
**3,719,454**
**3,707,556**
**7,427,010**
**2,628,718**
**10,055,728**
**(1,257,892)**
**8,797,836**
**3,712,567**
**433,051**
**4,652,218**
**8,797,836**|_2024_
_£_
_2,490,869_
_633,026_
_3,123,895_
_(1,255,931)_|_2024_
_£_
_3,727,717_
_3,996,710_
_7,724,427_
_1,867,964_
_9,592,391_
_(1,336,007)_
_8,256,384_
_6,021,499_
_447,153_
_1,787,732_
_8,256,384_|
|---|---|---|---|---|
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
**Sir Howard Davies** Chair
## 11 February 2026
The notes on pages 28 to 58 form part of these financial statements.
Page 24
## **PHILHARMONIA LIMITED (A Company Limited by Guarantee) REGISTERED NUMBER: 00799297**
## **CHARITY BALANCE SHEET AS AT 31 AUGUST 2025**
|**Note**
**Fixed assets**
Tangible assets
16
Investments
17
**Current assets**
Debtors: Amounts falling due after more
than one year
18
Cash at bank and in hand
Creditors: Amounts falling due within one
year
19
**Net current assets**
**Total assets less current liabilities**
Creditors: Amounts falling due after more
than one year
20
**Total net assets**
**Charity funds**
Endowment funds
21
Restricted funds
21
Unrestricted funds
21
**Total funds**|**2025**
**£**
**2,987,030**
**1,318,435**
**4,305,465**
**(1,763,816)**|**2025**
**£**
**3,710,147**
**3,707,656**
**7,417,803**
**2,541,649**
**9,959,452**
**(1,257,892)**
**8,701,560**
**3,707,656**
**337,033**
**4,656,871**
**8,701,560**|_2024_
_£_
_2,590,488_
_381,776_
_2,972,264_
_(1,246,944)_|_2024_
_£_
_3,718,090_
_3,996,810_
_7,714,900_
_1,725,320_
_9,440,220_
_(1,336,007)_
_8,104,213_
_5,961,333_
_350,495_
_1,792,385_
_8,104,213_|
|---|---|---|---|---|
The Charity's net movement in funds for the year was _£_ 597,347 _(2024 - £278,698)_ .
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
Page 25
## **PHILHARMONIA LIMITED (A Company Limited by Guarantee) REGISTERED NUMBER: 00799297**
**CHARITY BALANCE SHEET (CONTINUED) AS AT 31 AUGUST 2025**
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
**Sir Howard Davies** Chair
11 February 2026
The notes on pages 28 to 58 form part of these financial statements.
Page 26
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2025**
|**Note**
**Cash flows from operating activities**
Net cash used in operating activities
23
**Cash flows from investing activities**
Dividends, interests and rents from investments
7
Purchase of tangible fixed assets
16
Proceeds from sale of investments
17
Purchase of investments
17
Mortgage interest
12
Drawdown of investments
17
**Net cash provided by investing activities**
**Change in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**
24|**2025**
**£**
**461,813**
**101,911**
**(129,884)**
**631,146**
**(721,890)**
**(33,238)**
**600,000**
**448,045**
**909,858**
**633,026**
**1,542,884**|_2024_
_£_
_(884,016)_
_113,320_
_(92,915)_
_964,460_
_(1,049,265)_
_(37,822)_
_500,000_
**397,778**
**(486,238)**
_1,119,264_
_633,026_|
|---|---|---|
The notes on pages 28 to 58 form part of these financial statements.
Page 27
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **1. General information**
Philharmonia Limited is a charitable company limited by guarantee and is registered with the Charity Commission (Charity Registered Number 250277) and the Registrar of Companies (Company Registration Number 00799297) in England and Wales.
In the event of the Charity being wound up, the liability in respect of the guarantee is limited to £1 per Member of the Charity.
The address of the registered office is given in the Charity information on page 1 of these financial statements. The nature of the Charity’s operations and principal activities are as shown in the Trustees Report.
A summary of the principal accounting policies for the year ended 31 August 2025, all of which have been applied consistently throughout the year and the preceeding year is set out as below.
## **2. Accounting policies**
## **2.1 Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Philharmonia Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The group financial statements consolidate on a line by line basis the financial statements of: the charitable company Philharmonia Limited; its fully owned trading subsidiary Rite Digital Limited; Philharmonia Trust, which transferred its assets to Philharmonia Limited on the 1st April 2020, Philharmonia Limited is the sole corporate member of this company limited by guarantee; The Martin Musical Scholarship Fund, whose sole Trustee is the charitable company. Excluded from the consolidation is the Philharmonia Foundation Inc, registered in the US, the Philharmonia Orchestra in Bedford Trust, and the Philharmonia Benevolent Fund, all of which are independently governed charities.
The financial statements have been presented in pound sterling, which is also the functional currency of the Company, and are rounded to the nearest pound.
The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Financial Activities in these financial statements.
Page 28
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **2. Accounting policies (continued)**
## **2.2 Going concern**
The Trustees have assessed the appropriateness of preparing the financial statements on a going concern basis for a period of at least 12 months from the date of authorisation. In doing so, they have considered known future events and uncertainties and do not consider these to give rise to any material uncertainty that would cast significant doubt on the Charity’s ability to continue as a going concern.
In making this assessment, the Trustees have reviewed the level of funds held and the forecast income and expenditure over the same period. They have taken into account the Orchestra’s reliance on Arts Council England (ACE) funding for its ongoing activities and the confirmation of continued National Portfolio Organisation (NPO) funding through to 31 March 2027.
The Orchestra operates within a funding and operating environment that is subject to ongoing uncertainty, including in relation to the level and security of future public funding. This risk is mitigated by a detailed annual budgeting process, robust financial management and oversight, and a strong asset and reserves position, including its freehold property and endowment holdings. Together, these factors provide the Trustees with confidence that the Orchestra is able to manage financial risk and meet its obligations as they fall due.
On the basis of this assessment, the Trustees consider it appropriate to prepare the financial statements of Philharmonia Limited on a going concern basis.
## **2.3 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Voluntary income, including donations, gifts and legacies, as well as grants that provide core funding or are of a general nature are recognised where there is entitlement, receipt is probable, and the amount can be measured with sufficient reliability. Such income is only deferred if the donor has requested the amount to be allocated to specific concerts, engagements or projects, in which case it is allocated to the financial year in which the work takes place, or the donor has imposed conditions which must be met before the Charity has unconditional entitlement.
Other categories of income are recognised on an accruals basis, (excluding value added tax), with income relating to advanced ticket sales being held as deferred income and released only when the concert takes place. Engagement and Touring fees are recognised when the activity has taken place. Rite Digital Limited transfers its surplus to Philharmonia Limited under the terms of Gift Aid at year end or carries forward any deficit to future years.
Grants are included in the Consolidated Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.
Page 29
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **2. Accounting policies (continued)**
## **2.4 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
## **2.5 Government grants**
Government grants relating to tangible fixed assets are treated as deferred income and released to the Consolidated Statement of Financial Activities over the expected useful lives of the assets concerned. Other grants are credited to the Consolidated Statement of Financial Activities as the related expenditure is incurred.
## **2.6 Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
## **2.7 Tangible fixed assets and depreciation**
Tangible fixed assets costing £1,000 or more are capitalised unless for security reasons they need to be recorded (e.g. laptop computers) and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Fixed assets include musical instruments which have been valued at deemed cost at the transition date of FRS102. Long leasehold property is also recognised at deemed cost, being its fair value at the date it was gifted to the Charity.
Page 30
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **2. Accounting policies (continued)**
## **2.7 Tangible fixed assets and depreciation (continued)**
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method, unless the asset is considered to have a high residual value where the annual depreciation charge would therefore be immaterial.
Depreciation is provided on the following bases:
|Motor vehicles|- 5 years|
|---|---|
|Music library|- 50 years|
|Fixtures and fittings|- 5 years|
|Musical Instruments|- 10 years|
|Property improvements|- 20 years|
|Computer equipment|- 3 years|
|Property|- 50 years|
The element of Long leasehold property which represents land is not depreciated
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
## **2.8 Investments**
Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are continuously measured at fair value with changes recognised in 'net gains/(losses) on investments' in the Statement of Financial Activities. As investments are continuously revalued there are no realised gains or losses recorded.
Investments in subsidiaries are valued at cost less provision for impairment.
## **2.9 Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **2.10 Cash at bank and in hand**
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
Page 31
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **2. Accounting policies (continued)**
## **2.11 Liabilities and provisions**
Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated Statement of Financial Activities as a finance cost.
## **2.12 Financial instruments**
The Company only holds basic Financial Instruments. The financial assets and financial liabilities of the Company are as follows:
Debtors – trade and other debtors (including accrued income) are basic financial instruments and are debt instruments measured at amortised cost as detailed in Note 18. Prepayments are not financial instruments.
Cash at bank – is classified as a basic financial instrument and is measured at face value.
Liabilities – trade creditors, accruals and other creditors will be classified as financial instruments, and are measured at amortised cost as detailed in Note 19 and 20. Taxation and social security are not included in the financial instruments disclosure. Deferred income is not deemed to be a financial liability, as the cash settlement has already taken place and there is simply an obligation to deliver services rather than cash or another financial instrument.
## **2.13 Foreign exchange transactions**
Transactions in foreign currencies are translated at the actual rate at the time of the transaction. Assets and liabilities held on the Balance Sheet in foreign currencies are translated at the closing rate at the Balance Sheet date. All differences are taken to the Statement of Financial Activities.
## **2.14 Operating leases**
Rentals paid under operating leases are charged to the Consolidated Statement of Financial Activities on a straight-line basis over the lease term.
## **2.15 Pensions**
The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.
Page 32
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **2. Accounting policies (continued)**
## **2.16 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Permanent endowments are funds which are restricted to the extent the Charity cannot draw down the capital but the income is used to provide an income to fund activities, in accordance with the donors’ respective wishes.
Expendable endowments are funds where the capital can be disbursed in addition to income generated if the Trustees resolve to do so.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
## **2.17 Connected Charities**
Philharmonia Foundation Inc is based in the United States and is connected to Philharmonia Limited as some of the Trustees of Philharmonia Limited are also on the Board of the US entity. The Philharmonia Orchestra in Bedford Trust (registered Charity number 1170495) is connected to Philharmonia Limited but has no Trustees in common. The Philharmonia Benevolent Fund (registered Charity number 280370) is connected to Philharmonia Limited but also has no Trustees in common.
Page 33
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **3. Critical accounting estimates and areas of judgement**
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.
Critical accounting estimates and assumptions:
The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.
## **Valuation of music library**
The only significant judgement was to maintain the value of the music library at its existing net book value on transfer from the Philharmonia Trust Limited. The Trustees decided not to increase the value, due to the uncertainty of the valuation.
## **Orchestral Tax Relief**
Orchestra tax relief (OTR) is elected on an annual basis in advance, with any subsequent, standalone event elections taking place during the year. The existence of an associated asset can therefore only be confirmed upon the finalisation and submission of the company tax return and subsequent review and agreement by HMRC. In this way OTR relating to any financial year is likely to be received up to 18 months after the initial event(s) recorded in any claim. At the date of the signing of these accounts, the Charity was in the process of finalising a significant OTR claim in relation to activities performed during the year. Included within these financial statements is the Charity's current best estimate of the value that will be received from HMRC. However, as there are a number of variables associated with the claim which are subject to HMRC review, this amount could materially differ from the value ultimately agreed by and received from HMRC.
## **Long leasehold property**
The trustees have been required, in the absence of a split of deemed cost, to estimate the allocation of the cost of this property between the relative elements attributable to land, which is not depreciated, and buildings, which are depreciated. Having consulted with property professionals, considered statutory provisions, and researched market factors, the trustees consider 40% of the deemed cost to represent land and 60% to present buildings. As such, 40% of the deemed cost is not depreciated.
Page 34
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **4. Income from donations and legacies**
|**Unrestricted**
**funds**
**2025**
**£**
Arts Council - core grant
1,842,501
Arts Council - transform
-
Donations from charitable foundations
-
Other donations and legacies
522,553
Sponsorship donations
-
Grants
30,000
**Total 2025**
2,395,054
_Unrestricted_
_funds_
_2024_
_£_
Arts Council - core grant
_1,830,223_
Arts Council - transform
_-_
Donations from charitable foundations
_202,533_
Other donations and legacies
_335,257_
Sponsorship donations
_-_
Grants
_47,000_
_Total 2024_
_2,415,013_|**Restricted**
**funds**
**2025**
**£**
-
139,500
109,660
198,564
153,145
-
600,869
_Restricted_
_funds_
_2024_
_£_
_-_
_214,469_
_278,505_
_27,023_
_145,284_
_-_
_665,281_|**Total**
**funds**
**2025**
**£**
**1,842,501**
**139,500**
**109,660**
**721,117**
**153,145**
**30,000**|
|---|---|---|
|||**2,995,923**|
|||_Total_
_funds_
_2024_
_£_
_1,830,223_
_214,469_
_481,038_
_362,280_
_145,284_
_47,000_|
|||_3,080,294_|
In both the current and prior year, the Charity received government grants during the year. The Arts Council funding is the only such grant and there were no unfulfilled conditions at the year-end.
The Charity gained entitlement to a legacy in 2024 and received during the year distributions amounting to £68k, which has been recognised within unrestricted other donations and legacies.
Page 35
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **5. Income from charitable activities**
|**Unrestricted**
**funds**
**2025**
**£**
Income from charitable activities
5,876,310
_Unrestricted_
_funds_
_2024_
_£_
Income from charitable activities
_5,269,817_|**Total**
**funds**
**2025**
**£**
**5,876,310**|
|---|---|
||_Total_
_funds_
_2024_
_£_
_5,269,817_|
## **6. Income from other trading activities**
|**Unrestricted**
**funds**
**2025**
**£**
Other trading activities
141,472
_Unrestricted_
_funds_
_2024_
_£_
Other trading activities
_8,457_|**Total**
**funds**
**2025**
**£**
**141,472**|
|---|---|
||_Total_
_funds_
_2024_
_£_
_8,457_|
Page 36
**PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
**7. Investment income**
|**Unrestricted**
**funds**
**2025**
**£**
Investment income
-
Interest on deposits
4,915
**Total 2025**
4,915
Investment income
Interest on deposits
_Total 2024_|**Restricted**
**funds**
**2025**
**£**
-
3,885
3,885
_Restricted_
_funds_
_2024_
_£_
_-_
_5,018_
_5,018_|**Endowment**
**funds**
**2025**
**£**
93,111
-
93,111
_Endowment_
_funds_
_2024_
_£_
_108,302_
_-_
_108,302_|**Total**
**funds**
**2025**
**£**
**93,111**
**8,800**|
|---|---|---|---|
||||**101,911**|
||||_Total_
_funds_
_2024_
_£_
_108,302_
_5,018_|
||||_113,320_|
Page 37
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **8. Other income**
|Orchestral tax relief
Royalties
**Total 2025**
Orchestral tax relief
Royalties received
_Total 2024_|**Unrestricted**
**funds**
**2025**
**£**
1,932,832
34,585
1,967,417
_Unrestricted_
_funds_
_2024_
_£_
_1,761,832_
_32_
_1,761,864_|**Total**
**funds**
**2025**
**£**
**1,932,832**
**34,585**|
|---|---|---|
|||**1,967,417**|
|||_Total_
_funds_
_2024_
_£_
_1,761,832_
_32_|
|||_1,761,864_|
Page 38
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **9. Expenditure on raising funds**
||**Unrestricted**|**Endowment**|**Total**|
|---|---|---|---|
||**funds**|**funds**|**funds**|
||**2025**|**2025**|**2025**|
||**£**|**£**|**£**|
|Costs of raising funds|594,936|21,737|**616,673**|
Included within cost of raising funds are direct costs of £31,294 _(2024 - £50,682)_ and support costs of £585,379 _(2024 - £599,843)_ . These are outlined below.
||_Unrestricted_|_Total_|
|---|---|---|
||_funds_|_funds_|
||_2024_|_2024_|
||_£_|_£_|
|Costs of raising funds|_650,525_|_650,525_|
## **Raising funds - Support costs**
|Employment costs
Travel, subsistence and entertaining
Occupation and office costs
Bank interest and charges
Other costs
Governance costs|**2025**
**£**
**403,318**
**5,817**
**100,223**
**4,304**
**59,465**
**12,252**
**585,379**|_2024_
_£_
_391,734_
_11,055_
_107,830_
_4,575_
_70,825_
_13,824_|
|---|---|---|
|||_599,843_|
Page 39
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **10. Investment management costs**
|Investment management fees
Investment management fees|**Restricted**
**funds**
**2025**
**£**
22,942
_Restricted_
_funds_
_2024_
_£_
_23,497_|**Total**
**funds**
**2025**
**£**
**22,942**|
|---|---|---|
|||_Total_
_funds_
_2024_
_£_
_23,497_|
## **11. Analysis of expenditure on charitable activities - by fund**
|**Unrestricted**
**funds**
**2025**
**£**
Charitable activities
9,447,214
_Unrestricted_
_funds_
_2024_
_£_
Charitable activities
_9,054,332_|**Restricted**
**funds**
**2025**
**£**
651,169
_Restricted_
_funds_
_2024_
_£_
_608,435_|**Total**
**2025**
**£**
**10,098,383**|
|---|---|---|
|||_Total_
_2024_
_£_
_9,662,767_|
Page 40
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **12. Analysis of expenditure on charitable activities - by type**
|Direct costs
Direct costs
**Analysis of direct costs**
Concert, relay fees and player support
Travel and transport of instruments
Music and instrument hire
Hall hire and box office commission
Programme expenditure
Grants payable
Other expenditure
Interest payable on mortgage loan|**Activities**
**undertaken**
**directly**
**2025**
**£**
7,630,433
_Activities_
_undertaken_
_directly_
_2024_
_£_
_7,385,541_|**Support**
**costs**
**2025**
**£**
2,467,950
_Support_
_costs_
_2024_
_£_
_2,277,226_
**Total**
**funds**
**2025**
**£**
**5,719,676**
**370,002**
**110,367**
**661,597**
**201,256**
**59,870**
**474,427**
**33,238**
**7,630,433**|**Total**
**funds**
**2025**
**£**
**10,098,383**|
|---|---|---|---|
||||_Total_
_funds_
_2024_
_£_
_9,662,767_|
||||_Total_
_funds_
_2024_
_£_
_5,811,272_
_325,468_
_111,029_
_497,584_
_261,936_
_92,144_
_248,286_
_37,822_|
||||_7,385,541_|
Page 41
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **12. Analysis of expenditure on charitable activities - by type (continued)**
## **Analysis of support costs**
|Staff costs
Depreciation
Travel, subsistence and entertaining
Occupation and office costs
Bank interest and charges
Governance costs
Other costs|**Total**
**funds**
**2025**
**£**
**1,693,272**
**91,290**
**23,267**
**400,894**
**17,220**
**49,008**
**192,999**
**2,467,950**|_Total_
_funds_
_2024_
_£_
_1,506,937_
_87,740_
_44,220_
_416,433_
_18,300_
_55,296_
_148,300_|
|---|---|---|
|||_2,277,226_|
## **13. Governance costs**
|Auditor's remuneration - Audit of the financial statements
Auditor's remuneration - Accountancy fees
Auditor's remuneration - Other fees|**2025**
**£**
**51,900**
**7,440**
**1,920**
**61,260**|_2024_
_£_
_49,920_
_7,140_
_12,060_|
|---|---|---|
|||_69,120_|
The table above discloses the Group's total governance costs. This total is made up of the Charity's governance costs, as detailed in Notes 9 and 12 above.
Page 42
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **14. Staff costs**
|Wages and salaries
Social security costs
Pension costs|**Group**
**2025**
**£**
**1,834,306**
**174,184**
**88,100**
**2,096,590**|_Group_
_2024_
_£_
_1,653,347_
_159,056_
_86,268_
_1,898,671_|**Charity**
**2025**
**£**
**1,834,306**
**174,184**
**88,100**
**2,096,590**|_Charity_
_2024_
_£_
_1,653,347_
_159,056_
_86,268_|
|---|---|---|---|---|
|||||_1,898,671_|
The average number of persons employed by the Charity during the year was as follows:
|Library
Finance
Sales and Marketing
Education
Concerts
New Media
Development
Management
Artistic
Orchestra Operations Team
Administration
Media|**Group**
**2025**
**1**
**-**
**8**
**5**
**7**
**-**
**7**
**-**
**-**
**3**
**8**
**1**
**40**|_Group_
_2024_
_-_
_5_
_7_
_4_
_10_
_2_
_7_
_3_
_2_
_-_
_-_
_-_|
|---|---|---|
||||
|||_40_|
Page 43
**PHILHARMONIA LIMITED (A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **14. Staff costs (continued)**
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
||**Group**|_Group_|
|---|---|---|
||**2025**|_2024_|
||**No.**|_No._|
|In the band £60,001 - £70,000|**1**|_6_|
|In the band £70,001 - £80,000|**3**|_-_|
|In the band £80,001 - £90,000|**1**|_-_|
|In the band £170,001 - £180,000|**1**|_1_|
Key Management Personnel are considered to be the Trustees and Senior Management team, being the Chief Executive Officer, Director of Artistic Events, Director of Development, Director of Marketing & Communications, Director of Learning & Engagement, Concerts Director, Finance Director and Chief Operating Officer.
The total cost of employment of the Key Management Personnel was £635,212 _(2024 - £674,297)._
The total cost of termination payments in the year was £NIL _(2024 - £9,375)._
## **15. Trustees' remuneration and expenses**
During the year, one or more Trustees has been paid remuneration or has received other benefits from an employment with the Charity. No emoluments were paid for services as Trustees. The value of Trustees' remuneration and other benefits was as follows:
|||**2025**|_2024_|
|---|---|---|---|
|||**£**|_£_|
|Kira Doherty|Remuneration|**-**|_5,396_|
||Pension contributions paid|**-**|_324_|
|Cheremie Hamilton-Miller|Remuneration|**9,197**|_11,229_|
||Pension contributions paid|**518**|_674_|
|James Buckle|Remuneration|**11,487**|_5,833_|
||Pension contributions paid|**759**|_350_|
|Soong Choo|Remuneration|**1,667**|_-_|
|Alexander Rolton|Remuneration|**1,667**|_-_|
During the year ended 31 August 2025, no Trustee expenses have been incurred _(2024 - £NIL)_ .
Page 44
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **16. Tangible fixed assets**
## **Group**
|**Cost or**
**valuation**
At 1 September
2024
Additions
At 31 August
2025
**Depreciation**
At 1 September
2024
Charge for the
year
Impairment
charge
At 31 August
2025
**Net book value**
At 31 August
2025
_At 31 August_
_2024_|**Long**
**leasehold**
**property**
**Musical**
**instruments**
**£**
**£**
**3,819,440**
**208,926**
**-**
**-**
**3,819,440**
**208,926**
**416,416**
**79,046**
**42,852**
**18,086**
**-**
**7,782**
**459,268**
**104,914**
**3,360,172**
**104,012**
_3,403,024_
_129,880_|**Music**
**library**
**£**
**220,648**
**-**
**220,648**
**64,058**
**13,848**
**-**
**77,906**
**142,742**
_156,590_|**Computer**
**equipment**
**£**
**70,775**
**23,884**
**94,659**
**43,506**
**18,703**
**7,633**
**69,842**
**24,817**
_27,269_|**Fixtures**
**and**
**fittings**
**£**
**14,410**
**-**
**14,410**
**3,456**
**2,684**
**8,270**
**14,410**
**-**
_10,954_|**Motor**
**vehicles**
**£**
**-**
**106,000**
**106,000**
**-**
**18,289**
**-**
**18,289**
**87,711**
_-_|**Total**
**£**
**4,334,199**
**129,884**|
|---|---|---|---|---|---|---|
|||||||**4,464,083**|
|||||||**606,482**
**114,462**
**23,685**|
|||||||**744,629**|
|||||||**3,719,454**|
|||||||_3,727,717_|
Page 45
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **16. Tangible fixed assets (continued)**
## **Charity**
|**Cost or**
**valuation**
At 1 September
2024
Additions
At 31 August
2025
**Depreciation**
At 1 September
2024
Charge for the
year
Impairment
charge
At 31 August
2025
**Net book value**
At 31 August
2025
_At 31 August_
_2024_|**Long**
**leasehold**
**property**
**Musical**
**instruments**
**£**
**£**
**3,819,440**
**192,926**
**-**
**-**
**3,819,440**
**192,926**
**416,416**
**72,673**
**42,852**
**17,766**
**-**
**7,782**
**459,268**
**98,221**
**3,360,172**
**94,705**
_3,403,024_
_120,253_|**Music**
**library**
**£**
**220,648**
**-**
**220,648**
**64,058**
**13,848**
**-**
**77,906**
**142,742**
_156,590_|**Computer**
**equipment**
**£**
**64,339**
**23,884**
**88,223**
**37,070**
**18,703**
**7,633**
**63,406**
**24,817**
_27,269_|**Fixtures**
**and fittings**
**£**
**14,410**
**-**
**14,410**
**3,456**
**2,684**
**8,270**
**14,410**
**-**
_10,954_|**Motor**
**vehicles**
**£**
**-**
**106,000**
**106,000**
**-**
**18,289**
**-**
**18,289**
**87,711**
_-_|**Total**
**£**
**4,311,763**
**129,884**|
|---|---|---|---|---|---|---|
|||||||**4,441,647**|
|||||||**593,673**
**114,142**
**23,685**|
|||||||**731,500**|
|||||||**3,710,147**|
|||||||_3,718,090_|
Page 46
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **17. Fixed asset investments**
|**Group**
**Cost or valuation**
At 1 September 2024
Additions
Disposals
Revaluations
Drawdown
At 31 August 2025|**Listed**
**investments**
**£**
**3,996,710**
**721,890**
**(631,146)**
**220,102**
**(600,000)**
**3,707,556**|
|---|---|
The historic cost of the Group's listed investments is £2,774,978 _(2024 - £3,204,649)_ .
|**Charity**
**Cost or valuation**
At 1 September 2024
Additions
Disposals
Revaluations
Drawdown
At 31 August 2025|**Investments**
**in**
**subsidiary**
**companies**
**£**
**100**
**-**
**-**
**-**
**-**
**100**|**Listed**
**investments**
**£**
**3,996,710**
**721,890**
**(631,146)**
**220,102**
**(600,000)**
**3,707,556**|**Total**
**£**
**3,996,810**
**721,890**
**(631,146)**
**220,102**
**(600,000)**
**3,707,656**|
|---|---|---|---|
Page 47
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **17. Fixed asset investments (continued)**
## **Principal subsidiaries**
The following were subsidiary undertakings of the Charity:
|**Names**|**Company**|**Charity**|**Charity**|**Holding/**
**Included in**|**Holding/**
**Included in**|**Holding/**
**Included in**|
|---|---|---|---|---|---|---|
||**number**|**registration**||**control**
**consolidation**|||
|||**number**|||||
|Rite Digital Limited|07565292||||100% Yes||
|The Martin Musical Scholarship Fund||313937|||100% Yes||
|Philharmonia Trust Limited|913665|254191|||100% Yes||
|The financial results of the subsidiaries for the year were:|||||||
|**Names**|**Income**|**Expenditure**||**Profit/(Loss)**||**Net assets**|
||**£**||**£**||**/ Surplus/**|**£**|
||||||**(Deficit) for**||
||||||**the year**||
||||||**£**||
|Rite Digital Limited|**141,472**||**(141,472)**||**-**|**4,553**|
|The Martin Musical Scholarship Fund|**3,975**||**(59,870)**||**(55,895)**|**100,929**|
|Philharmonia Trust Limited was dormant|during the year.||||||
|**Debtors**|||||||
||**Group**||_Group_||**Charity**|_Charity_|
||**2025**||_2024_||**2025**|_2024_|
|||**£**||_£_|**£**|_£_|
|Trade debtors|**602,212**||_645,770_||**602,112**|_645,670_|
|Amounts owed by group undertakings||**-**|_-_||**131,493**|_99,719_|
|Other debtors|**134,341**||_141,454_||**134,341**|_141,454_|
|Prepayments and accrued income|**364,084**||_218,645_||**364,084**|_218,645_|
|Tax recoverable|**1,755,000**||_1,485,000_||**1,755,000**|_1,485,000_|
||**2,855,637**||_2,490,869_||**2,987,030**|_2,590,488_|
## **18. Debtors**
Page 48
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **19. Creditors: Amounts falling due within one year**
|Other loans
Trade creditors
Amounts owed to group undertakings
Other taxation and social security
Other creditors
Accruals and deferred income
**Deferred income**
Deferred income at 1 September
Resources deferred during the year
Amounts released from previous periods
**Deferred income at 31 August**|**Group**
**2025**
**£**
**111,352**
**162,738**
**-**
**47,253**
**82,889**
**1,365,571**
**1,769,803**
**Group**
**2025**
**£**
**269,611**
**475,821**
**(269,611)**
**475,821**|_Group_
_2024_
_£_
_111,352_
_278,105_
_528_
_48,015_
_69,938_
_747,993_
_1,255,931_
_Group_
_2024_
_£_
_333,518_
_269,611_
_(333,518)_
_269,611_|**Charity**
**2025**
**£**
**111,352**
**162,738**
**-**
**47,253**
**80,002**
**1,362,471**
**1,763,816**
**Charity**
**2025**
**£**
**269,611**
**475,821**
**(269,611)**
**475,821**|_Charity_
_2024_
_£_
_111,352_
_278,105_
_528_
_48,015_
_67,051_
_741,893_
_1,246,944_
_Charity_
_2024_
_£_
_333,518_
_269,611_
_(333,518)_
_269,611_|
|---|---|---|---|---|
Deferred income relates to ticket sales in advance and various sponsorship agreements where the project or concert has not yet been delivered.
Page 49
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **20. Creditors: Amounts falling due after more than one year**
|**Group**
**2025**
**£**
Other loans
**1,257,892**
Included within the above are amounts falling due as follows:
**Group**
**2025**
**£**
**Between one and two years**
Other loans
**111,352**
**Between two and five years**
Other loans
**445,409**
**Over five years**
Other loans
**701,131**||_Group_
_2024_
_£_
_1,336,007_
_Group_
_2024_
_£_
_111,352_
_445,409_
_779,246_||**Charity**
**2025**
**£**
**1,257,892**
**Charity**
**2025**
**£**
**111,352**
**445,409**
**701,131**|_Charity_
_2024_
_£_
_1,336,007_|
|---|---|---|---|---|---|
||||||_Charity_
_2024_
_£_
_111,352_|
||||||_445,409_|
||||||_779,246_|
The amounts repayable relate to a mortgage loan from Barclays Bank on the property at 6 Chancel Street. At the year-end the outstanding balance was £1,369,244 _(2024 - £1,447,359)._ The loan rate is 2.49% per annum (fixed for 10 years) repayable over the loan term of 23 years from March 2017.
Page 50
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **21. Consolidated statement of funds**
|**Statement of funds - current year**
**Balance at 1**
**September**
**2024**
**£**
**Unrestricted funds**
**Designated funds**
Designated Funds - Fixed
Assets
**324,693**
Designated Funds - Special
Projects
**-**
**324,693**
**General funds**
Rite Digital
**(4,653)**
Philharmonia General Fund
**1,467,692**
**1,463,039**
**Total Unrestricted funds**
**1,787,732**
**Endowment funds**
**Permanent endowment fund**
MMSF Endowment Funds
**60,166**
Endowment 2005 Funds
**-**
Catalyst Endowment Funds
**3,010,916**
**Expendable endowment**
**funds**
Endowment 2005 Funds
**2,950,417**
Catalyst Endowment Funds
**-**
**6,021,499**|**Income**
**£**
**-**
**-**
**-**
**141,472**
**10,243,696**|**Expenditure**
**£**
**Transfers**
**in/out**
**£**
**(94,975)**
**2,111,184**
**-**
**-**
**(94,975)**
**2,111,184**
**(141,472)**
**-**
**(9,805,703)**
**433,969**
**(9,947,175)**
**433,969**
**(10,042,150)**
**2,545,153**
**-**
**(55,255)**
**-**
**-**
**-**
**67,973**
**(21,737) (2,613,126)**
**-**
**-**
**(21,737)**
**(2,600,408)**||**Gains/**
**(Losses)**
**£**
**Balance at 31**
**August 2025**
**£**
**-**
**2,340,902**
**-**
**-**
**-**
**2,340,902**
**-**
**(4,653)**
**(23,685)**
**2,315,969**
**(23,685)**
**2,311,316**
**(23,685)**
**4,652,218**
**-**
**4,911**
**-**
**-**
**56,461**
**3,163,694**
**163,641**
**543,962**
**-**
**-**
**220,102**
**3,712,567**|**Gains/**
**(Losses)**
**£**
**Balance at 31**
**August 2025**
**£**
**-**
**2,340,902**
**-**
**-**
**-**
**2,340,902**
**-**
**(4,653)**
**(23,685)**
**2,315,969**
**(23,685)**
**2,311,316**
**(23,685)**
**4,652,218**
**-**
**4,911**
**-**
**-**
**56,461**
**3,163,694**
**163,641**
**543,962**
**-**
**-**
**220,102**
**3,712,567**|
|---|---|---|---|---|---|
|||||||
|||||||
|||||||
|||||||
|||||||
||**10,385,168**|||||
|||||||
|||||||
||**10,385,168**|||||
|||||||
||**-**
**-**
**28,344**
**64,767**
**-**
**93,111**|||**-**
**-**
**56,461**
**163,641**
**-**
**220,102**||
|||||||
|||||||
Page 51
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
|**21.**
**Statement of funds (continued)**
**Balance at 1**
**September**
**2024**
**£**
**Restricted funds**
Instrument Loans Fund
**117,338**
Martin Musical Scholarship
Grant Fund
**13,499**
MMSF General Fund
**73,532**
MMSF Donated Assets
**9,627**
Philharmonia Restricted
**233,157**
**447,153**
**Total of funds**
**8,256,384**|**Income**
**£**
**-**
**-**
**3,975**
**-**
**600,779**
**604,754**
**11,083,033**|**Expenditure**
**£**
**-**
**-**
**(61,700)**
**(320)**
**(612,091)**
**(674,111)**
**(10,737,998)**|**Transfers**
**in/out**
**£**
**-**
**-**
**55,255**
**-**
**-**
**55,255**
**-**|**Gains/**
**(Losses)**
**£**
**-**
**-**
**-**
**-**
**-**
**-**
**196,417**|**Balance at 31**
**August 2025**
**£**
**117,338**
**13,499**
**71,062**
**9,307**
**221,845**|
|---|---|---|---|---|---|
||||||**433,051**|
||||||**8,797,836**|
Page 52
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **21. Statement of funds (continued)**
## **Restricted Funds:**
## **Martin Musical Scholarship Fund and MMSF General Fund**
Martin Musical Scholarship Fund (MMSF) is a subsidiary charity of Philharmonia Ltd, which supports young musicians. Funds are split between restricted and endowment funds according to their nature.
## **MMSF Donated Assets**
This relates to a donated piano.
## **Instrument Loans Fund**
This relates to funds given for the loaning out of instruments.
## **Endowments:**
## **Endowment – Catalyst Fund**
The Fund includes investments previously within the restricted Catalyst Endowment Fund as set out in the Funds note. The fund will be utilised to support orchestra activity.
## **Endowment 2005 Fund**
The fund includes investments previously held within the Philharmonia Trust Limited, as a result of the Philharmonia Orchestra’s Endowment Fund Appeal in 2003.
## **MMSF Endowment Funds**
The endowment funds represent assets held by MMSF, principally representing a capital donation given by the Mortimer Foundation. Income arising from the Endowment related investments is taken to the MMSF General fund.
## **Unrestricted Funds:**
## **Designated Fund – Fixed Assets**
The fixed asset reserve comprises the net book value of all fixed assets including the property.
## **Rite Digital**
Digital and techological income and expenditure.
The Trustees have been undertaking a review of the Group’s Endowment and Restricted Funds over last few years. As part of this process, legal advice was obtained to confirm the appropriate classification of the Group’s two principal endowment funds.
In the prior year’s financial statements, following this advice, the 2005 Endowment Fund was reclassified as an expendable endowment fund, and the Catalyst Endowment Fund was reclassified as a permanent endowment fund.
During the current year, the review has focused on ensuring that the carrying values of the endowment funds are aligned with the underlying investment assets as reported in the investment managers’ reports. This alignment has resulted in a significant transfer between funds in the current year’s financial statements.
The review also encompassed designated funds.As a result, the Chancel Street property has been transferred into designated funds, to ensure that the presentation of funds more appropriately reflects the Group’s free reserves.
Page 53
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **21. Statement of funds (continued)**
## **Statement of funds - prior year**
|
**Unrestricted funds**
**Designated funds**
Designated Funds - Fixed
Assets
Designated Funds -
Special Projects
**General funds**
Rite Digital
Philharmonia General
Fund
**Total Unrestricted funds**
**Endowment funds**
**Permanent endowment**
**fund**
MMSF Endowment Funds
Endowment 2005 Funds
Catalyst Endowment
Funds
**Expendable endowment**
**funds**
Endowment 2005 Funds
Catalyst Endowment
Funds|_Balance at_
_1 September_
_2023_
_£_
_400,076_
_1,000,000_
_1,400,076_
_(12,855)_
_650,217_
_637,362_
_2,037,438_
_147,292_
_2,715,921_
_-_
_-_
_2,857,796_
_5,721,009_|_Income_
_£_
_-_
_-_
_-_
_8,457_
_9,446,694_
_9,455,151_
_9,455,151_
_-_
_-_
_48,650_
_59,652_
_-_
_108,302_|_Expenditure_
_£_
_-_
_-_
_-_
_(255)_
_(9,704,602)_
_(9,704,857)_
_(9,704,857)_
_-_
_-_
_(10,843)_
_(12,654)_
_-_
_(23,497)_|_Transfers_
_in/out_
_£_
_(75,383)_
_(1,000,000)_
_(1,075,383)_
_-_
_1,075,383_
_1,075,383_
_-_
_(87,126)_
_(2,715,921)_
_2,857,796_
_2,715,921_
_(2,857,796)_
_(87,126)_|_Gains/_
_(Losses)_
_£_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_-_
_115,313_
_187,498_
_-_
_302,811_|_Balance at_
_31 August_
_2024_
_£_
_324,693_
_-_
_324,693_
_(4,653)_
_1,467,692_
_1,463,039_
_1,787,732_
_60,166_
_-_
_3,010,916_
_2,950,417_
_-_
_6,021,499_|
|---|---|---|---|---|---|---|
Page 54
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **21. Statement of funds (continued)**
|**Restricted funds**
Instrument Loans Fund
Martin Musical
Scholarship Grant Fund
MMSF General Fund
MMSF Donated Assets
Philharmonia Restricted
**Total of funds**||_Balance at_
_1 September_
_2023_
_£_
_117,338_
_13,499_
_73,212_
_9,947_
_84,167_
_298,163_
_8,056,610_||_Income_
_£_
_-_
_-_
_5,018_
_-_
_665,281_
_670,299_
_10,233,752_||_Expenditure_
_£_
_-_
_-_
_(91,824)_
_(320)_
_(516,291)_
_(608,435)_
_(10,336,789)_||_Transfers_
_in/out_
_£_
_-_
_-_
_87,126_
_-_
_-_
_87,126_
_-_||_Gains/_
_(Losses)_
_£_
_-_
_-_
_-_
_-_
_-_
_-_
_302,811_||_Balance at_
_31 August_
_2024_
_£_
_117,338_
_13,499_
_73,532_
_9,627_
_233,157_|
|---|---|---|---|---|---|---|---|---|---|---|---|---|
|||||||||||||_447,153_|
|||||||||||||_8,256,384_|
||||||||||||||
## **22. Analysis of net assets between funds Analysis of net assets between funds - current year**
|**Unrestricted**
**funds**
**2025**
**£**
Tangible fixed assets
3,710,147
Fixed asset investments
(100)
Current assets
3,969,866
Creditors due within one year
(1,769,803)
Creditors due in more than one year
(1,257,892)
**Total**
4,652,218|**Restricted**
**funds**
**2025**
**£**
9,307
-
423,744
-
-
433,051|**Endowment**
**funds**
**2025**
**£**
-
3,707,656
4,911
-
-
3,712,567|**Total**
**funds**
**2025**
**£**
**3,719,454**
**3,707,556**
**4,398,521**
**(1,769,803)**
**(1,257,892)**
**8,797,836**|
|---|---|---|---|
Page 55
**PHILHARMONIA LIMITED**
**(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **22. Analysis of net assets between funds (continued)**
## **Analysis of net assets between funds - prior year**
|Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
Creditors due in more than one year
**Total**|_Unrestricted_
_funds_
_2024_
_£_
_3,727,717_
_3,996,710_
_(3,344,757)_
_(1,255,931)_
_(1,336,007)_
_1,787,732_|_Restricted_
_funds_
_2024_
_£_
_-_
_-_
_447,153_
_-_
_-_
_447,153_|_Endowment_
_funds_
_2024_
_£_
_-_
_-_
_6,021,499_
_-_
_-_
_6,021,499_|_Total_
_funds_
_2024_
_£_
_3,727,717_
_3,996,710_
_3,123,895_
_(1,255,931)_
_(1,336,007)_
_8,256,384_|
|---|---|---|---|---|
## **23. Reconciliation of net movement in funds to net cash flow from operating activities**
|Net expenditure for the year (as per Statement of Financial
Activities)
**Adjustments for:**
Depreciation charges
16
Movements on investments
17
Investment income
7
Loss on the sale of fixed assets
16
Increase in debtors
18
Increase/(decrease) in creditors
19,20
Mortgage loan interest
**Net cash provided by/(used in) operating activities**|**Group**
**2025**
**£**
**565,137**
**114,462**
**(220,102)**
**(101,911)**
**-**
**(364,768)**
**435,757**
**33,238**
**461,813**|_Group_
_2024_
_£_
_199,774_
_109,675_
_(302,811)_
_(113,320)_
_108,732_
_(858,578)_
_(65,310)_
_37,822_
_(884,016)_|
|---|---|---|
Page 56
## **PHILHARMONIA LIMITED**
## **(A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **24. Analysis of cash and cash equivalents**
|Cash in hand
**Total cash and cash equivalents**|**Group**
**2025**
**£**
**1,542,884**
**1,542,884**|_Group_
_2024_
_£_
_633,026_|
|---|---|---|
||||
|||_633,026_|
## **25. Analysis of changes in net debt**
|Cash at bank and in hand
Debt due within 1 year
Debt due after 1 year|**At 1**
**September**
**2024**
**£**
**633,026**
**(111,352)**
**(1,336,007)**
**(814,333)**|**Cash flows**
**At 31**
**August 2025**
**£**
**£**
**909,858**
**1,542,884**
**-**
**(111,352**
**78,115**
**(1,257,892**
**987,973**
**173,640**|**Cash flows**
**At 31**
**August 2025**
**£**
**£**
**909,858**
**1,542,884**
**-**
**(111,352**
**78,115**
**(1,257,892**
**987,973**
**173,640**|
|---|---|---|---|
||||**173,640**|
## **26. Operating lease commitments**
At 31 August 2025 the Group and the Charity had commitments to make future minimum lease payments under non-cancellable operating leases as follows:
|Not later than 1 year
Later than 1 year and not later than 5 years|**Group**
**2025**
**£**
**6,760**
**20,912**
**27,672**|_Group_
_2024_
_£_
_5,084_
_11,376_
_16,460_|**Charity**
**2025**
**£**
**6,760**
**20,912**
**27,672**|_Charity_
_2024_
_£_
_5,084_
_11,376_|
|---|---|---|---|---|
||||||
|||||_16,460_|
The following lease payments have been recognised as an expense in the Statement of Financial Activities:
||**Group**|_Group_|**Charity**|_Charity_|
|---|---|---|---|---|
||**2025**|_2024_|**2025**|_2024_|
||**£**|_£_|**£**|_£_|
|Operating lease rentals|**6,760**|_14,523_|**6,760**|_14,523_|
Page 57
**PHILHARMONIA LIMITED (A Company Limited by Guarantee)**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2025**
## **27. Members' liability**
Each member of the charitable company undertakes to contribute to the assets of the company in the event of it being wound up while he/she is a member, or within one year after he/she ceases to be a member, such amount as may be required, not exceeding £1 for the debts and liabilities contracted before he/she ceases to be a member. There were 64 members at 31 August 2025 _(2024 - 66)._
## **28. Related party transactions**
Payments were made to all playing members of the Board, including the President and Vice President, in respect of the work they have carried out with the Orchestra. During the year, playing members of the Board were paid no additional income for duties.
Rite Digital Limited gifts its profits to the charity making a nil gain nil loss each year. At the year-end Rite Digital owed Philharmonia Limited £68,952 _(2024 - £8,395)._
The Company had a related party relationship with MMSF by virtue of its trustees. At the year-end MMSF owed Philharmonia Limited £80,850 _(2024 – £91,324)._
The Charity has a related party relationship with the Philharmonia Foundation Inc, registered in the US, by virtue of having two Trustees in common. During the year Philharmonia Foundation made payments totalling £NIL _(31 August 2024 - £NIL)_ . At the year-end Philharmonia Limited owed Philharmonia Foundation £528 _(2024 – £528)_ .
The Charity received donations in the year from 7 _(2024 - 5)_ Trustees for the value of £120,755 _(2024 - £157,860)._
Page 58