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2022-12-31-accounts

The Royal Albert Hall Trust

Annual Report and Accounts

31 December 2022

Charity Registration Number 285111

Contents

Reports

Reports
Reference and administrative
information 1
Trustees’ report 2
Independent auditor’s report 8
Accounts
Statement of financial activities 12
Balance sheet 13
Cash flow statement 14
Principal accounting policies 15
Notes to the accounts 18

The Royal Albert Hall Trust

Reference and administrative information

Trustees Leon Baroukh MA CFA
Lin Craig
Michael Jackson MA FCA (resigned 7
July 2022)
Ian McCulloch (Chair)
Mark Schnebli
Hosein Khajeh-Hosseiny
Mo El Husseiny
Lord David Brownlow CVO, DL
James Max (appointed 7 July 2022)
Nigel Hamway (appointed 3 February
2023)
Secretary Susan Gent
Principal address Royal Albert Hall
Kensington Gore
London
SW7 2AP
Charity registration number 285111
Auditor Moore Kingston Smith LLP
9 Appold Street
London
EC2A 2AP
Bankers Coutts & Co
440 Strand
London
WC2R 0QS
Solicitors Bates Wells Braithwaite LLP
10 Queen Street Place
London
EC4R 1BE

The Royal Albert Hall Trust

1

Trustees’ report Year to 31 December 2022

The trustees present their statutory report together with the accounts of The Royal Albert Hall Trust (“the Trust”) for the year ended 31 December 2022.

The accounts have been prepared in accordance with the accounting policies set out on pages 15 to 17 of the attached accounts and comply with the charity’s trust deed, applicable laws, the requirements of the Charities Act 2011 and the Charities SORP (FRS102).

Structure, governance and management

Constitution and objects

The Royal Albert Hall Trust – Charity Registration No. 285111 – was established under a Trust Deed dated 24 June 1982 with the object of maintaining and preserving the Royal Albert Hall, a building owned by The Corporation of the Hall of Arts and Sciences (“the Corporation”), Charity Registration No. 254543.

On 23 September 2005, following approval by the Charity Commission, the objects of the original Trust Deed of 1982 were extended by a Scheme to include the advancement of education for public benefit by the provision of such instructive activities that relate to the Royal Albert Hall as the trustees shall from time to time determine.

On 6 January 2020, the Trust Deed was amended to provide for the appointment of additional trustees who do not have to be Members of the Corporation.

The aims of the Trust (set out in the Trust deed) are the maintenance, preservation, restoration, improvement, renewal, decoration and general upkeep of the Royal Albert Hall, with power for the Trustees to furnish the Royal Albert Hall with such works and objects of scientific and artistic interest as they think fit, together with the advancement of education for public benefit.

The relationship between the Trust and the Corporation is such that all amounts received into the Trust are donated to the Corporation at the year-end provided that any conditions attached to the amounts received have been satisfied.

Organisation

The trustees are the current President and four Vice-Presidents of the Corporation together with three appointed trustees who are not Members of the Corporation and one additional trustee who is a member of the Council of the Corporation.

The Corporation appoints the trustees who meet a minimum of four times per year to review the progress of the Trust’s charitable aims. The Trust has no employees and receives donated administration services from the Corporation.

The Trustees, who include the President and Vice-Presidents of the Corporation, have powers under the Trust Deed to maintain the Hall (as set out above); and to hold the capital and income of the Trust Fund upon trust to apply it at such time or times as they may in their absolute discretion think fit for the purposes of the Trust.

The Royal Albert Hall Trust

2

Trustees’ report Year to 31 December 2022

They may also (subject to any Charity law restrictions) sell, demise, let, licence and generally manage and deal with any land, buildings or interest therein, in such manner as they think fit; borrow money; and appeal for and accept donations and bequests to be held on trust for the purposes of the Trust. At its meeting in July, the Trustees appoint the Trust’s auditors and approve the Trust Annual Report and Accounts. In addition, they agree the amount of funds to be donated to the Hall.

During the year, the trustees in office were as follows:

Name

Leon Baroukh MA CFA Lin Craig Michael Jackson MA FCA (resigned 7 July 2022) Ian McCulloch (Chair) Mark Schnebli Dr Hosein Khajeh-Hosseiny Mo El Husseiny Lord David Brownlow CVO, DL James Max (appointed 7 July 2022) Nigel Hamway (appointed 3 February 2023)

On appointment, trustees receive a copy of the Trust’s Trust Deed, a full briefing on its activities from the Chief Executive of the Corporation as well as an induction from the Secretary to the Corporation which includes a copy of the Code of Governance for Charities and a manual to assist them with their governing responsibilities.

Statement of trustees’ responsibilities

The trustees are responsible for preparing the annual report and accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires the trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources for that period. In preparing the accounts, the trustees are required to:

The Royal Albert Hall Trust

3

Trustees’ report Year to 31 December 2022

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

Risk management

The trustees have established a process for identifying the major operational and financial risks to which the Trust is exposed and have reviewed these risks.

As the Trust’s primary objective is to raise funds for the maintenance, preservation, restoration, improvement, renewal, decoration and general upkeep of the Royal Albert Hall, the principal risks are connected with potential reputational damage or incidents that may prevent the use of the building and therefore impact on the Trust’s ongoing ability to raise funds.

The trustees are satisfied that systems have been established and are functioning to mitigate and manage the above risks.

The principal risks and uncertainties to the Hall and therefore the Trust are:

Risk Management
Further lockdowns in the event of a
major disease outbreak threatening
the NHS in the coming months
•The further closure of the Hall for
an extended period of time with the
consequent impact on the Hall’s
reserves.
•Uncertainty round the loss of
public confidence to attend public
gatherings or travel to London,
which could impact income
•The impact of sickness on the
supply chain and operational
teams.
• Staff wellbeing and morale being
affected adversely due to work
pressures.		 •Detailed cash flow forecasts of
different closure scenarios; review
and cutting back of all expenditure
•Pre-existing COVID-safe site
arrangements, procedures and risk
assessments in place. Plans fully
scalable for any size capacity and to
include pandemic-safe procedures for
managing staff, contractors,
performers and the public.

The Royal Albert Hall Trust

4

Trustees’ report Year to 31 December 2022

Risk Management
Incidents that prevent use of the
building and therefore require
cancellation of events (including
terrorist action, fire, loss of utilities,
incidents causing serious injury, and
disruption caused by building/
engineering works).		 •Strict adherence/enforcement of
procedures, codes of practice etc.
•Built-in resilience / dual capacity /
back-up systems and processes.
•Organisation-wide staff induction,
awareness, and training
•Detailed contingency / disaster
recovery planning.
•Comprehensive insurance.
Significant loss of revenue or funding /
significant increase to cost base
(including increased energy costs)		 •Robust business model with diverse
content on stage
•Long term affordable debt finance in
place
•Strategic approach to energy
purchasing to insulate against further
price increases
Cyber attack / IT system failure •Cyber insurance in place
•Continual offsite system backups
•Regular staff training
•Disaster recovery plans in place
Damage to the Hall’s reputation,
impacting long-term operational and
financial resilience arising from:
•
failure to comply with statute or
safeguarding requirements
•
negative publicity arising from a
misunderstanding of the Hall’s
unique governance structure
which may lead to a reduction in
public support thereby impacting
the Halls ability to generate
income
•
adverse reviews
•
failing service standards
•
data protection breaches
•
security-related incidents		 •Comprehensive procedures and staff
awareness of them and training
•Disclosure and explanation of the
Hall’s governance structure in the
annual report and accounts, other
statutory documents, and the website.
•Conflicts Committee
•Implementation of GDPR action plan.
•Ongoing dialogue with the Charity
Commission
•Long-term contracts and strong
relationships with major promoters
and corporate partners.
•Proactive and reactive media
strategies.

The Royal Albert Hall Trust

5

Trustees’ report Year to 31 December 2022

Activities

The Trust meets its objectives by raising funds from donations and other fundraising events in order that it may make periodic donations (or grants) to the Corporation. When considering the aims and activities of the Trust, the trustees have had regard to the Charity Commission’s general guidance on the provision of public benefit together with relevant specific guidance.

Achievements, performance and financial review

The principal funding source of the Trust is derived from donations and bequests in furtherance of its Objects as set out above. We have had another successful year of fundraising activities through a well-received programme of prospecting events, continuation of the Friends and Patrons Scheme and raising significant funds for investment in our capital projects.

In the year ended 31 December 2022 donations income totalled £2.9m (2021: £4.9m). During the year, the Trust recorded a donation to the Corporation of the Hall of Arts and Sciences of £2.1m (2021: £3.5m).

Reserves policy

As explained above, the Trust exists specifically to fulfil two purposes. Firstly, to contribute to the maintenance and preservation of the Royal Albert Hall and secondly to advance education for public benefit by the provision of such instructive activities that relate to the Royal Albert Hall. The trustees have examined the need for free reserves, i.e. those unrestricted funds not invested in tangible fixed assets or designated for specific purposes. Given the objects of the Trust, the trustees believe there is no specific need for general or free reserves.

The total reserves held at the balance sheet date, which comprised restricted funds only, were £2.6m (2021: £1.8m) (unrestricted funds having been received and fully spent in the year).

Fundraising policy

The Hall operates an internal Philanthropy team and is a member of the Fundraising Regulator and adheres to the Fundraising Code and all good standards of practice. As set out in our Philanthropy Policy, the Hall’s fundraising team adheres to Section 1.2 of the Code of Fundraising Practice and is committed to protecting vulnerable donors. We comply with all legal requirements relating to data protection, under the UK GDPR and do not share any data for the purposes of fundraising with third parties or data sharing schemes. We regularly carry out data protection impact assessments to ensure that we comply with the UK GDPR and we do not engage in intrusive practices.

The Royal Albert Hall Trust

6

Trustees’ report Year to 31 December 2022

Going Concern

This report sets out a review of financial performance and the charity’s reserve position. We have adequate financial resources and are well placed to manage the business risks. Our planning process, including financial projections, has taken into consideration the current economic climate of inflation, high energy prices and the current cost of living crisis and its impact on the various sources of income and planned expenditure. We believe that there are no material uncertainties that call into doubt the charity’s ability to continue. The accounts have therefore been prepared on the basis that the charity is a going concern.

Financial position

The balance sheet as at 31 December 2022 shows total funds of £2.6m (2021: £1.8m), comprising, £2.1m restricted to building projects, £0.1m restricted to education, £0.4m restricted to future productions and no unrestricted funds.

Investment policy

The trustees have wide powers conferred on them by the Trust’s trust deed enabling them to invest in stocks, shares, land and buildings of whatsoever nature at their absolute discretion as they deem appropriate and in compliance with charity law.

The investment policy of the Trust is to safeguard the funds of the charity by making secure investments and, within the limits that this implies, to generate the best return possible from these funds in order to assist the Trust to carry out its purposes.

During the year ended 31 December 2022 no investments were held.

Future plans

The Trust will continue to meet its objectives by seeking donations and bequests in order to make periodic donations to the Corporation.

Related Parties

None of the trustees receive remuneration or other benefit from their work with the charity.

Approved by the trustees on 2 August 2023 and signed on their behalf by:

I McCulloch Chair

L Baroukh Trustee

The Royal Albert Hall Trust

7

Independent auditor’s report 31 December 2022

Independent Auditor’s Report to the Trustees of The Royal Albert Hall Trust

Opinion

We have audited the financial statements of The Royal Albert Hall Trust for the year ended 31 December 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

The Royal Albert Hall Trust

8

Independent auditor’s report 31 December 2022

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s 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 there is a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on pages 2 to 7 , the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

The Royal Albert Hall Trust

9

Independent auditor’s report 31 December 2022

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

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

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

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

The Royal Albert Hall Trust 10

Independent auditor’s report 31 December 2022

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charity.

Our approach was as follows:

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charity and charity's trustees as a body, for our audit work, for this report, or for the opinion we have formed.

Moore Kingston Smith LLP 13 September 2023

Statutory auditor 9 Appold Street London EC2A 2AP

Moore Kingston Smith LLP is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006.

The Royal Albert Hall Trust 11

The Royal Albert Hall Trust

Statement of financial activities Year to 31 December 2022

Notes
Unrestricted
funds
’000		 Restricted
funds
£’000

1,609
-
1,609
-
802
802
807
807
1,789
2,596
2022
Total
funds
£’000		 2021
Total
funds
£’000
Income:
Donations and legacies
1
Commercial trading operations
Total income
Expenditure:
Cost of raising funds:
Commercial trading operations
Expenditure on charitable activities
Cost of activities in furtherance of the
2
charitable objectives
Total expenditure
Net income
Net movement in funds
Fund balances brought forward
at 1 January
Fund balances carried forward
at 31 December
1,264
29		 2,873
29		 4,832
19
1,293 2,902 4,851
1

1,292		 1
2,094		 1
3,479
1,293 2,095 3,480
- 807 1,371
-
-		 807
1,789		 1,371
418
- 2,596 1,789

Net income and the net movement in funds relate solely to activities from continuing operations.

The notes on pages 15 to 21 form part of these financial statements.

The Royal Albert Hall Trust 12

The Royal Albert Hall Trust

Balance sheet 31 December 2022

ce sheet31 December 2022
Notes
2022
£’000


2,618
-
2,618

(22)

 2022
£’000		 2021
£’000		 2021
£’000
Current assets
Debtors
6
Cash at bank
Creditors: amounts falling due
within one year
7
Net current assets
Total net assets
Represented by:
Funds and reserves
Unrestricted funds
Restricted funds
8











1,796
7


1,803
(14)
2,596 1,789



-
2,596		 -
1,789
2,596 1,789

Approved by the trustees on 2 August 2023 and signed on their behalf by:

I McCulloch Chair

L Baroukh Trustee

The notes on pages 15 to 21 form part of these financial statements.

The Royal Albert Hall Trust 13

The Royal Albert Hall Trust

Cash Flow Statement 31 December 2022

Cash flows from operating activities
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at the beginning of the reporting period
Cash and cash equivalents at the end of the reporting period
Reconciliation of cash flows from operating activities
Net income for the reporting period
Increase in debtors
Increase/(decrease) in creditors
Net cash used in operating activities		 2022
£’000
(7)
(7)
7
-
807
(822)
8
(7)		 2021
£’000
-
1
6
7
1,371
(1,234)
(137)
-

The notes on pages 15 to 21 form part of these financial statements.

The Royal Albert Hall Trust 14

Principal accounting policies 31 December 2022

Charity Information

The aims of The Royal Albert Hall Trust (RAHT) (set out in the Trust deed) are the maintenance, preservation, restoration, improvement, renewal, decoration and general upkeep of the Royal Albert Hall, with power for the Trustees to furnish the Royal Albert Hall with such works and objects of scientific and artistic interest as they think fit, together with the advancement of education for public benefit.

The Trust is a UK registered charity (registered number: 285111) which is incorporated and domiciled in the UK. The address of the registered office is Royal Albert Hall, Kensington Gore, London, SW7 2AP, UK.

Principal activity

The principal activity of the Trust is to raise funds from donations and other fundraising events in order that it may make periodic donations (or grants) to the Corporation.

Parent Charity’s Principal Activities

The Trust is a related charity of The Corporation of the Hall of Arts and Sciences (“the Corporation”), which through the appointment of the trustees has overall control of the Trust. The Corporation is a registered charity (registered number: 254543) which is incorporated and domiciled in the UK. Its purpose is to serve to promote the Arts and Sciences and the preservation and enhancement of the Grade I listed building which is held in trust for the nation. The Royal Albert Hall constitutes a public benefit entity as defined by FRS 102. The Corporation produces consolidated financial statements in which the company’s financial results and position are included. The consolidated financial statements are available to the general public from the Charity Commission.

https://www.gov.uk/government/organisations/charity-commission

Basis of accounting

These financial statements have been prepared in accordance with the Charities SORP (FRS 102) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland and the Charities Act 2011 and UK Generally Accepted Practise as it applies from 1 January 2015. The accounts (financial statements) have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The Royal Albert Hall Trust meets the definition of a public benefit entity under FRS 102.

The Royal Albert Hall Trust

15

Principal accounting policies 31 December 2022

Going Concern

Having assessed the Trust’s financial position, its plans for the foreseeable future, the risks to which it is exposed and forecast projections the Trustees of the Charity are satisfied that it remains appropriate to prepare the financial statements on the going concern basis.

Critical accounting judgements and key sources of estimation uncertainty

In the application of the charity’s accounting policies, which are described below, Trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects the current and future periods.

In the view of the Trustees, no assumptions concerning the future or estimation uncertainty affecting assets and liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

Financial instruments

The charity has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost using the effective interest method. Financial assets held at amortised cost comprise cash and bank and in hand, together with trade and other debtors. Financial liabilities held at amortised cost comprise trade and other creditors.

Accounting for income

Income is recognised in the period in which the charity is entitled to receipt of the funds if performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Expenditure is included in the statement of financial activities when incurred and includes any attributable VAT which cannot be recovered. Expenditure comprises the following:

The Royal Albert Hall Trust

16

Principal accounting policies 31 December 2022

Expenditure (continued)

Gifts in kind

Donated administration services and facilities received from the Corporation are not included in the Statement of Financial Activities because they are deemed immaterial and would be impossible to quantify with sufficient accuracy.

Funds

Restricted funds comprise monies raised for, or their use restricted to, a specific purpose, or contributions subject to donor-imposed conditions.

Unrestricted funds comprise amounts which may be applied towards the Trust’s charitable activities at the discretion of the trustees.

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Creditors

Short term trade creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Cash at bank and in hand

Cash at back and cash 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.

The Royal Albert Hall Trust 17

Notes to the accounts 31 December 2022

1 Income from donations and legacies

Income from donations and legacies
Total
2022
£’000		 Total
2021
£’000
Income from donations
Income from legacies		 2,787
86		 4,134
248
2,873 4,382

2 Expenditure on charitable activities

Total
2022
£’000		 Total
2021
£’000
Cost of activities in furtherance of the charitable objectives 2,094 3,479

Included within expenditure on charitable activities as support costs are governance costs of £16k (2021: £2k), including statutory audit fees of £3k (2021: £2k).

3 Trustees and employees

The trustees received neither remuneration nor reimbursement of expenses for their services during the year (2021 - £nil).

The trustees of the charity are covered by indemnity insurance taken out by the Corporation of the Hall of Arts and Sciences in respect of all directors, trustees and officers of the Corporation, its subsidiaries and related trusts. The total premium for the indemnity cover which was charged to the Corporation in 2022 was £17k (2021 - £17k) and the cover provided was £5 million (2021 - £5 million).

The Trust has no employees (2021 - none).

4 Related party transactions

The accounts have been consolidated with those of The Corporation of the Hall of Arts and Sciences (registered number: 254543). The address of the registered office is Royal Albert Hall, Kensington Gore, London, SW7 2AP, UK. The Corporation, which through the appointment of the trustees has overall control of the Trust.

During the year, the Trust made a donation to the Corporation of £2.1m (2021: £3.5m).

One Trustee made donations to the Charity to carry out its charitable objectives during the year of £200k (2021: £300k from two trustees).

The Royal Albert Hall Trust

18

Notes to the accounts 31 December 2022

5 Taxation

The Trust is a registered charity and therefore is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

6 Debtors

Debtors
2022
£’000		 2021
£’000
Amounts due from the Corporation of the Hall of Arts and Sciences
Prepayments and accrued income
Other debtors		 2,398
31
189		 643
423
730
2,618 1,796

7 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
2022
£’000		 2021
£’000
Other creditors 22 14
22 14

8 Funds

Funds
As at
01/01/2022
£’000		 Income
£’000

878

231
500

1,293

2,902
Income
£’000

3,279

53

1,519

4,851		 Expenditure
£’000
(510)
(216)
(76)
(1,293)
(2,095)
Expenditure
£’000
(1,835)
(126)
(1,519)
(3,480)		 As at
31/12/2022
£’000
Building fund
Education fund
Production fund
Unrestricted fund		 1,694
95
-
2,062

110

424

-
1,789
2,596
As at
01/01/2021
£’000		 As at
31/12/2021
£’000
Building fund
Education fund
Unrestricted fund		 250
168
-
1,694

95

-
418
1,789

The Royal Albert Hall Trust

19

Notes to the accounts 31 December 2022

8 Funds (continued)

Restricted funds comprise the Building Fund, Education Fund and Production Fund. The Building Fund is held for the preservation and maintenance of the Royal Albert Hall. The Education Fund represents donations received in respect of specific education projects to be delivered by The Corporation of the Hall of Arts and Sciences. The Production Fund is held to fund the Hall’s Artistic Development programme.

Unrestricted funds comprise of amounts received that will be donated to the Hall in furtherance of its objectives.

9 Analysis of net assets between funds

Unrestricted
Funds
£’000		 Restricted Funds
Education
Fund
£’000
Building
Fund
£’000
Production
Fund
£’000
2022
Total
£’000
110
2,062
424
2,618
-
-
(22)
110
2,062
424
2,596
Education
Fund
£’000
Building
Fund
£’000
110
2,062
-
-
110
2,062
Current assets
Creditors: amounts falling
due within one year		 22
(22)
-
Unrestricted
Funds
£’000		 Restricted Funds 2021
Total
£’000
Education
Fund
£’000
Building
Fund
£’000
Production
Fund
£’000
95
1,694
-
-
-
-
95
1,694
-
Current assets
Creditors: amounts falling
due within one year		 14
(14)		 1,803
(14)
- 1,789

The Royal Albert Hall Trust 20

Notes to the accounts 31 December 2022

10 2021 Comparative Statement of Financial Activities

Notes
Unrestricted
funds
’000		 Restricted
funds
£’000

3,332
-
-
3,332
-
1,962
1,962
1,370
1,370
418
1,788
2021
Total
funds
£’000
Income:
Donations and legacies
Investment income and interest
Commercial trading operations
Total income
Expenditure:
Cost of raising funds:
Commercial trading operations
Expenditure on charitable activities
Cost of activities in furtherance of the
1
charitable objectives
Total expenditure
Net income
Net movement in funds
Fund balances brought forward
at 1 January
Fund balances carried forward
at 31 December		 1,500
-
19		 4,832
-
19
1,519 4,851
1

1,517		 1
3,479
1,518 3,480
1 1,371
1
-		 1,371
418
1 1,789

The Royal Albert Hall Trust

21