OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2024-03-31-accounts

THE COUNCIL'S ANNUAL REPORT AND ACCOUNTS 2023-2024

TABLE OF CONTENTS

The Ditchley Foundation
Office Holders, Trustees and Committee Members page 2
Finance and General Purposes Committee page 3
Programme Committee page 3
The Trustees’ Annual Report
Aims, Objectives, Activities and their Public Benefit page 4
Report of 2023-2024 page 5
The 2023-2024 Programme of Events page 6
Other Projects page 9
The Ditchley Team and Governance page 10
Plans for the Future page 11
Financial Review page 11
Development Report page 14
Private Events and Other Income page 16
Reserves Policy page 16
Financial Resilience Statement page 17
Fundraising Compliance Notice page 17
Structure, Governance and Management page 17
Trustees’ Responsibilities page 19
Principal Activities and Business Review page 19
Dividends page 19
Directors page 19
Consolidated Accounts
Independent Auditor’s Report to the Members page 20
Consolidated Statement of Financial Activities page 24
Consolidated Balance Sheet page 25
Charity Balance Sheet page 26
Consolidated Statement of Cash Flows page 27
Notes to the Accounts page 28

Page 1

Office Holders, Trustees and Committee Members

COUNCIL OF MANAGEMENT

[Trustees of the Foundation]

Chairman

The Right Honourable the Lord Hill of Oareford CBE

Members of the Council Ms Rushanara Ali MP The Lord Bridges of Headley MBE Ms Pamela Dow Mrs Marjorie Neasham Glasgow BEM LL * His Excellency the Honorable Ralph Goodale PC The Right Honourable Dominic Grieve KC Sir Julian King GCMG, KCVO Mr James Landale The Rt Hon the Lord Mandelson Mr Jamie P Merisotis Mr David Morrison Mrs Elizabeth Padmore Ms Emma Reynolds MP The Most Honourable The Marquess of Salisbury KCVO PC DL The Hon. Robert Wills

Company Secretary Ms Katie Williams

THE FOUNDATION’S EXECUTIVE STAFF

Director : Mr James Arroyo OBE Chief Operating Officer: Ms Wendy Shepherd Head of Programme Delivery and Company Secretary: Ms Katie Williams

Registered office: Ditchley Park, Enstone, Chipping Norton, Oxfordshire OX7 4ER

A company registered in England (No. 599389) limited by guarantee and not having a Share Capital, registered as a Charity (No. 309657) and exempt from Income Tax and Capital Gains Tax.

Auditors: Critchleys Audit LLP, Oxford Bankers: Barclays Bank plc, Oxford Investment Managers: Partners Capital LLP, Cazenove Capital Management Solicitors: Julian Taylor Solicitors, Bower Bailey

Page 2

FINANCE AND GENERAL PURPOSES COMMITTEE

Chairman

Mr David Morrison

Members

Mr James Arroyo OBE Mr Nicholas Ferguson CBE Ms Rachel Lomax (retired 9 November 2023) Mrs Elizabeth Padmore

The Hon Rupert Soames OBE (appointed 18 December 2023) The Hon. Robert Wills

Secretary

Ms Wendy Shepherd

PROGRAMME COMMITTEE

Chairman

The Rt Hon. Douglas Alexander MP

Members

Mr Bim Afolami FRSA (retired 9 March 2024) Mr James Arroyo OBE

Ms Rhiannon Bearne (appointed 26 April 2024) Ms Melinda Bohannon (retired 27 October 2023) Mr Rüdiger Bohn

Ms Jessica Cecil (appointed 28 March 2024) Deputy High Commissioner Robert Fry Mr Charles Grant CMG (retired 16 May 2024) Mr Will Hines (retired 8 May 2024) Mr Darren Jones MP Ms Elizabeth Linder (retired 8 March 2024) Mr Hiroshi Matsuura Ms Alison McGovern MP

Dr Munira Mirza (appointed 28 March 2024) Professor Rana Mitter OBE FBA Dr Edwina Moreton OBE (retired 8 March 2024) Mr Rajay Naik (retired 8 March 2024)

Professor Sir Adam Roberts KCMG FBA (retired 8 March 2024) Ms Sonia Sodha

The Right Honourable Rory Stewart OBE (Retired 8 March 2024) Ms Jo Swinson CBE (retired 8 March 2024) Ms Kate White CMG (appointed 10 May 2024) Mrs Xenia Wickett (retired 8 March 2024)

Secretary

Ms Liz Greenhalgh

Page 3

The Trustees’ Annual Report

Aims, Objectives, Activities and their Public Benefit

The overarching aim of the Foundation as set out in its Articles of Association is “to promote, carry out or advance any charitable objects, and in particular any branches or aspects of education, likely to be for the common benefit of British subjects on the one hand and citizens of the United States of America on the other”. More specific objectives are the advancement of education and improvement of public policy-making in the UK, North America and beyond.

This broad statement from the inauguration of the Foundation in 1958 still holds true but has been clarified for the challenges facing the world 66 years on. Our aim is to help sustain peace, freedom and order through the renewal of democratic societies, states and their alliances.

Ditchley brings people together to think new things and make new connections. We orchestrate frank conversations across divides and create space for strategic thinking.

Our primary route to impact is through people, engaging the individuals and organisations with direct influence over outcomes. Ditchley discussions address complex challenges that, as a rule, do not have simple solutions.

Ditchley is independent and not bound by the interests of any government, political party or company. We aim to find and include outstanding talent from all quarters. Ditchley is committed to ensuring and encouraging access for everyone, regardless of disability, age, gender, cultural or social background, sexual orientation, faith, location or wealth.

We publish the outcomes of conferences and other events for public benefit. We also share insights and conclusions with government ministers, civil servants, journalists, business and technology leaders and others in a targeted way, either by direct briefings, post-conference briefings to the Ditchley community, or through subsequent small group discussions exploring particular ideas or themes which require further examination. Ditchley has an increasingly wide range of partnerships with other organisations and seeks to work on issues in coordination rather than isolation, aiming to achieve maximum impact and efficiency.

The public benefits generated by Ditchley are a deeper understanding amongst decision makers and influencers of issues of international concern across different fields, delivering in turn a wider public good. By design, Ditchley addresses the systemic long-term challenges we face, and so benefits are often difficult to quantify through short-term metrics. Nonetheless these benefits are clearly attested by participants’ feedback.

The Ditchley experience is unique and extremely rewarding -- a stimulating conference, on a timely subject, with interesting participants, in an historic setting, managed with warmth and good cheer. I highly recommend it! Ambassador Kenneth I Juster, Distinguished Fellow, Council on Foreign Relations – Partnering with the Indo-Pacific, November 2023

Participating in Ditchley was an opportunity to see things differently. What was once a familiar topic is now new and exciting, and I feel empowered with further questions to think about. I have never experienced such an enriching two days, swept away in one of the most beautiful places in the world.

Dr Takako Hikotani, Professor, Gakushuin University International Centre - Partnering with the Indo-Pacific, November 2023

Page 4

Exceptionally busy and influential people continue to make time to participate in Ditchley events, whether face to face at Ditchley Park, at other venues abroad, or virtually. The Ditchley experience is educative even for those at the height of their careers and widely appreciated as a valuable contribution to public life. Ditchley conversations inform the reporting and develop the thinking on key issues of many respected journalists and news outlets.

The possibility of impact is great at Ditchley, where people who make decisions seek diverse perspectives in a safe environment. Every conversation inches us toward solutions that matter.

Dr Mary Flanagan, Sherman Fairchild Distinguished Professor in Digital Humanities Dartmouth College – The impact of AI on work and education, February 2024

No individual receives financial benefit from Ditchley. Where events are residential, board and accommodation are provided in exchange for participants’ time and expertise.

Ditchley offers the house and its gardens without charge to charities in Oxfordshire and the surrounding area for several fundraising events per annum. In the last year Ditchley has hosted 4 such events.

The Foundation maintains Ditchley Park as a historic house, part of the national heritage. It is open by appointment to individuals, groups and societies to study its history, art and architecture. The public is given access to the building on 14 days a year in the form of prebooked guided tours for a small charge.

Ditchley is committed to reducing its carbon footprint and has undertaken a comprehensive analysis of greenhouse gas emissions with external support to provide a baseline from which to develop a responsible and deliverable approach to carbon reduction.

Ditchley’s Director and other members of the team undertake a range of other activities to promote the reputation and objectives of the Foundation and to attract new participants and supporters. They regularly participate in discussions with policy-makers and thought leaders in the UK, Europe, North America and far beyond, to explore opportunities for collaboration, attract expert participants to the Ditchley programme, and to share insights from Ditchley discussions.

Some of the objectives stated in the Foundation’s original Articles of Association of 1958 (such as “to establish fellowships, scholarships and prizes” and “to establish paid residential or other fellowships”) are not currently part of Ditchley’s programme but are actively being considered within Ditchley’s current development plans.

All new Trustees are provided with a copy of the Charity Commission’s guidance “The Essential Trustee (CC3)” together with Ditchley’s Articles of Association. The training needs of trustees are kept under review.

The Trustees have paid due regard to the Charity Commission’s guidance on public benefit in fulfilling their duties and in setting the Foundation’s objectives and planning its activities.

Report of 2023-2024

Context

This year has seen momentous events on the global stage. The much-heralded Ukrainian counteroffensive against Russia’s war of aggression did not make decisive breakthroughs and the war is set to continue for some years, assuming that Russia’s incremental advances can

Page 5

be contained, and western support continues. Hamas’ appalling marauding terrorist attacks on Israeli communities on 7 October and the subsequent much contested Israeli devastating response has led to a humanitarian crisis. Careful diplomacy has, so far at least, averted the breakout of a broader Middle East War, and Arab states, and many Israelis and Palestinians, remain open to peace and normalisation if a political way forward can be found. Nonetheless it is a powder keg even by historical standards.

The US and China have resumed back-channel talks and reduced the risk of an outbreak of conflict due to mutual misunderstanding. But geopolitical competition continues to simmer with tariffs and counter tariffs back on the agenda and the US looking to technology and industrial policy to maintain its current lead on AI over China. Ditchley realised earlier than most organisations that 21[st] century power will be contested through technologies which are developing at an exponential rate. We were thus well placed to hold the right discussions with the right people when the release of ChatGPT brought the technology into public and political consciousness.

With 2023 the hottest year on record, extreme weather events have become a norm. Whilst at COP27 global leaders signalled the beginning of the end of the fossil fuel era and acknowledged progress is too slow, geopolitics continues to hinder progress in climate action and the cost of living crisis due to inflation put the spotlight on growth and cheaper energy. Governments that sought to press on with climate action, as in Germany, quickly became unpopular.

Whether from the left or the right, from the US to the UK, incumbent governments have come under pressure from electorates disillusioned with economic stagnation, declining services and a general sense of creeping chaos. In some countries, for example Poland, this has marked a turning away from authoritarianism and back towards more orthodox liberal democracy. In other countries then the far right is surging forwards. The US remains as polarised as ever with the coming election between President Biden and President Trump too close to call. A range of elections around the world could leave the political landscape transformed.

The 2023-2024 Programme of Events

A strength of our programme is its agility in responding to emerging and evolving challenges. There were ten Ditchley conferences over the period covered by this report, each followed by a post-conference briefing via ‘the Bridge’, the world-leading audio-visual capability installed in the library. Our impact primarily flows through what those engaged in Ditchley discussions take back to the complex challenges with which they are grappling. Our online briefings, attended by over 600 individuals, have expanded that interface, swiftly disseminating key ideas and themes from the discussions to the right constituencies. Whilst Ditchley is about people not reports, short conference summaries are also distributed widely.

There’s a magic formula at the heart of Ditchley that I don’t think could be replicated anywhere else. It manages to spark the most insightful and thought-provoking global discussions…. Basically, Ditchley is one of the UK’s most important contributions to global policy making

John Hancock, Head, Policy Development, World Trade Organisation - Partnering with the Indo-Pacific, November 2023

Beyond the gold standard conference programme, Ditchley has hosted around 100 other sessions ranging from large scale events to small working group discussions. The programme of working group discussions, hosted by the team of Network Leads, with each focused on informing and defining a specific theme, are now a permanent element in Ditchley’s approach

Page 6

to addressing complex challenges. These sessions also often act as a first introduction to the Ditchley style of discussion for new contacts identified through research or recommendations.

We have continued to partner with other organisations aligned with Ditchley’s purpose, values and objectives. There have been collaborations with for example the MacArthur Foundation, the White House National Security Council, Stanford University and Oxfam.

Ditchley Deutschland has been firmly established with an informal senior board and a head of Ditchley Deutschland based in Berlin but fully integrated with the team in the UK. Formally launched in June 2023, with the inaugural conference Evolving alliances: How does coordination of democratic countries’ interests need to evolve in response to geo-politics today, s ubsequent events have included a roundtable on The geopolitics of AI: what do advances in artificial intelligence mean for European states’ power and capabilities? and an important side event discussion at the 60[th] Munich Security Conference on the Ukraine war. German and broader European participation in Ditchley’s wider programme has also been strengthened.

I Geopolitics

A significant programme of work was undertaken on this theme including six conferences, a series of small group sessions, the Annual Lecture and other events in collaboration with significant partners.

The continued impact of Russia’s invasion and occupation of Ukraine has again shaped our programme. In June 2023 we reconvened and refreshed a core group of participants which included the Supreme Allied Commander of Europe, General Christopher G. Cavoli, to continue to think through the challenges and implications at Russia and Ukraine: how will the counter offensive impact on our short- and long-term strategy for security in Europe and beyond? During the 60[th] Munich Security Conference in February, Ditchley regrouped key decision makers at a dinner examining how the NATO alliance could deliver a free and democratic Ukraine and reassert globally democratic resolve, strength and deterrence. This discussion built on some of the findings from the June 2023 Ditchley conference and developed thinking and connections ahead of a further conference in May 2024.

Two conferences examined themes within the business community. At Greentree, NY in April 2023, What does geopolitics today mean for business tomorrow, brought together leaders in business to think through the challenges of the shifting geopolitical landscape. Africa and business: can African entrepreneurs lead a new era of economic development drew on strands from across each Ditchley theme and discussed how partners, investors, governments and the international community could best work with the private sector.

The three other conferences addressing this theme and related issues were held in Kronberg, Germany, Greentree, NY and at Ditchley Park. They were Evolving alliances: how does coordination of democratic countries’ interests need to evolve in response to geopolitical pressures in June 2023; Authoritarian Alliances: an alternative world order in the making or just marriages of convenience in September 2023; and Partnering with the Indo-Pacific: how can the West best partner with the fast-growing economies of the Indo-Pacific to maximise global economic growth, make progress on the climate crisis and increase shared resilience to shocks? in November 2023;

During the year we also initiated a more formal European Politics Programme with an initial focus on deepening engagement with and building networks within the Western Balkans.

Page 7

Annual Lecture

The 59[th] Ditchley Annual Lecture was delivered on Saturday 1[st] July 2023 by U.S. Central Intelligence Agency Director William J. Burns on the subject A World Transformed and the Role of Intelligence. He argued that the US and its allies have to adapt to a world of permanently contested primacy. Strategic competition with a rising and ambitious China and war with a declining but disruptive Russia are making addressing transnational threats such as the climate crisis and global pandemics more difficult. This is being played out against the backdrop of a technological revolution that will fundamentally transform human lives. The revolution in technology is a primary arena for strategic competition, which highlights the need for partnership amongst like-minded countries for maximised benefit and minimised danger. Yet the value of intelligence remains as important as ever. Whilst the landscape of intelligence and espionage is rapidly changing in the technological revolution, investment in people as well as technology is vital. Diplomacy, human interactions, and direct contact are important for both strengthening existing ties and communicating with fierce adversaries . Deepened intelligence partnerships and renewed commitment to intelligence diplomacy are essential, as we work with our allies to support free, open, and prosperous societies.

II Education and democracy

In collaboration with the MacArthur Foundation, The new Fourth Estate revisited: how can we strengthen the news and information landscape in advance of the likely tough challenges of 2024? was the second in a series of conferences on the topic. It explored the changing media landscape and the challenges that lie ahead for the news media as a source of trustworthy information for citizens as we entered 2024 – a record year of elections across the world.

The impact of AI on work and education explored issues to inform innovation and policy changes in education and considered the practical steps which can be taken now to prepare. The week-long annual Lumina summit in autumn 2023 Where Agency and Resilience Meet Opportunity, included workshops, working group sessions and panel discussions. Specific sessions included Understanding the Intersection of Despair and Misinformatio n and a gathering of Ditchley’s Intern Alumni in London for a Disinformation Resilience Workshop.

Cross-party discussions on regionalism have continued, with a particular focus in the North East of England.

III Technology and democracy

The impact of Artificial Intelligence (AI) was a recurrent and cross-cutting theme in almost every Ditchley discussion across our programme as we seek to understand the balance of opportunities and threats to democratic societies and the security of our world. Having been ahead of the curve, Ditchley remains at the centre of evolving thinking in the UK and US and is well positioned to join the dots across companies, academics and government.

Ditchley convened two conferences specifically focused on AI: Transforming democracy: how can democratic states best use AI and thrive? in January 2024 and The Impact of AI in work and education in February 2024.

Ditchley hosted a number of important collaborative events. In advance of the first AI Safety Summit hosted by the UK Government at Bletchley Park in November 2023, Ditchley convened an international dialogue of global experts, notably from the US and China, in October to explore understandings and prepare for the Summit. In April 2023, in collaboration with the U.S. National Security Council, Ditchley convened a range of experts and investors to discuss capital controls on investment in Chinese technology at Fostering resilient innovation: the role of capital.

Page 8

Ditchley’s Data in Democracies programme aims to accelerate the development of norms for data sharing and technology regulation across democratic states. A series of working sessions focused on how to maintain information integrity and create trustworthy information ecosystems online in the face of a growing number of cybersecurity and geopolitical challenges. This was followed in September 2023 with Advancing Transatlantic Principles for − Appropriate Law Enforcement: Access to Data to Combat Serious Crime a timely discussion in fast moving technological advancements and with forthcoming elections.

IV Climate and energy

The climate and energy programme and network is built on the emerging theme of challenging climate action in a geopolitically competitive world.

With understanding derived from work on the challenge of critical minerals, Ditchley’s second hybrid Climate and Energy Summit in October 2023 focused on how to deliver the green transition in a way that is politically achievable. A series of small working group sessions followed, including on learning from the US in avoiding polarisation.

With climate change as a major intelligence priority a key element of Director Burns lecture, Ditchley planned a further Summit in April 2024 Khaki Green: National Security and opportunities for growth in the green transition.

Details of all conferences, and other virtual discussions and events can be found on the Ditchley website: https://www.ditchley.com/events/past-events

Other Projects

Alongside the delivery of the thematic programme, Ditchley has pressed ahead with a range of other projects to support the programme and its impact.

Engagement with emerging talent

The Ditchley Internship and Intern Alumni programmes continue to provide a long-term foundation to our vision of engaging emergent talent on a global basis, helping to cultivate the leaders of tomorrow and inspiring them to engage with the complex challenges of our times. Furthermore, it is a key element of our talent pipeline recruiting into the role of Network Lead.

The programme engages over 50 interns per year from a wide range of universities and countries. In addition to a rigorous open recruitment process, Ditchley works with universities and partners including The Crankstart Foundation at the University of Oxford. The primarily virtual programme runs in a series of cohorts over the year with all either paid at or above the Oxford living wage or receiving academic credits dependent on their institution. We also welcome 5 Canadian students selected and supported by the Canadian Ditchley Foundation, who are resident at Ditchley for a week in August.

The programme provides an opportunity for undergraduate and graduate students from diverse backgrounds and geographies to experience the Ditchley model of leadership, engage in career exploration and development, learn new skills and participate in our network – gaining exposure to new people and ideas.

Since the internship programme’s inception in 2019, we have developed an active network of over 220 alumni who we engage with regularly via events, debriefs, intern and alumni gatherings and networking evenings.

Page 9

Technology projects

Ditchley’s impact is through the people we convene and connect, which requires a combination of both technology and human expertise. Final testing of the migration of our current relationship management system to Salesforce will deliver both efficiency gains and enhanced technical capabilities, enabling further expansion of the programme and a new website to reflect the scale and depth of the Ditchley programme past and future. It will also transform our capacity to generate useful insights on our networks through the interconnected knowledge of our graph database. Other bespoke capabilities are being developed, such as an AI-enhanced assistant for exploring our historically important archive and tools to help us curate the best mix of participants for a discussion.

Heritage Projects

With the completion of the Elizabethan Rooms on the second floor of the house, the 14 bedrooms have been welcoming participants with outstanding feedback on their experience.

Expert conservationists undertook a deep clean of the Velvet Room, one of the state rooms in the house which remains closest to how it was originally presented, hung with unique and historically significant 18[th] Century wall hangings installed in 1738.

An unexpected find was the discovery of an arched subterranean store room beneath the saloon terrace. A full archaeological dig has yet to be conducted but early investigations suggest that it might be a Tudor wine cellar from the original Elizabethan hunting lodge on the Ditchley estate.

Work on the wider estate continues apace, renovating properties for open market rental and working towards our carbon reduction goals.

The Ditchley Team and Governance

The members of the three Ditchley Foundations continue to work closely together to deliver the over-arching Ditchley mission and a debt of gratitude is owed to all those involved with Ditchley in the UK, American and Canadian Ditchley and our newest international partner, Ditchley Deutschland. Thanks are also owed to our Japanese support group who are helping us build our networks in Japan.

Over the past year, we have noted with sadness the deaths of Mr John Bruton who was a Governor from 1999 until 2012, and Mr Francis Finlay and Mr Anthony Loehnis. Both served as members of the Council of Management and were also former Chairmen of the Finance and General Purposes Committee. Mr Finlay was also a member of the American Ditchley Board of Directors. They were staunch supporters of the Ditchley project giving of their time and expertise over many years, as well as being active donors.

American Ditchley also mourned the loss of Mr James F Hoge Jr who was Chairman of the Advisory Council and a member of the Board for many years until his death in September 2023, and Mr John G Heimann who was a former Director. Likewise, The Hon Hugh Segal, remained a member of the Canadian Ditchley Advisory Programme Committee until his passing in August 2023.

We would like to acknowledge with sadness the death of Dr Henry Kissinger whose association with Ditchley spanned sixty years from when he first came to Ditchley in 1962 for an early conference on nuclear weapons targeting in Europe chaired by former Secretary of

Page 10

State Dean Acheson. We are grateful to The American Ditchley Foundation for endowing the Kissinger bedroom at Ditchley and in his letter acknowledging this honour, Dr Kissinger wrote:

Ditchley seems an imposing setting to the first-time visitor. And yet….it conveys “an effect of splendid naturalness” that encourages profound reflection and intimate conversation...I am confident that Ditchley will continue as a vital venue for the discussions that sustain freedom, order and peace.

Plans for the Future

Ditchley will continue to convene a variety of discussions to address the most challenging issues of our time, providing a space for serious conversation across divides, aiming to build a community of ‘thoughtful doers’, drawn from all parts of society and many nations.

The full extent of Dr Catherine Wills’ generous legacy is evident from the accounts which follow. Aside from securing Ditchley’s future, it has also enabled plans for the redevelopment of the East Wing to become a reality. This will increase capacity for in-person guests, as well as providing modern office accommodation. Planning for this development has been a major focus over the past year and we are in the final stages of securing the necessary approvals and preparation for the relocation of staff offices and accommodation whilst the work is undertaken. Onsite work is scheduled to commence in September 2024.

Work is also underway as the financial year closes on the establishment of Ditchley London. This meeting space in the heart of the city will enable us to bring yet more people into our discussions and to increase our impact and influence. Ditchley London will not substitute for Ditchley Park but promises to be an effective route to it.

Financial Review

2023-2024

The financial year is best viewed through two lenses. The first lens is what has become business as usual, with investment drawdown, donations income, commercial income and estate income on one side of the balance sheet funding programme and operational costs on the other. From this, we also were able to complete the capital project of refurbishment of the second floor. An additional seven ensuite bedrooms were finished in July 23, giving a total of 23 bedrooms within the main part of the house.

The second lens was an eye on the future, based on Dr Catherine Wills’ transformational legacy to Ditchley, amounting to close to an estimated £75m in value. The certainty of this legacy enabled us to maintain momentum, including drawing down more from our existing invested portfolio in FY23/24 than we would have been prepared to do in other circumstances. As funds from the legacy are realised then we have been able to map out a sustainable expenditure plan, for the next few years, ensuring that our drawdown from our investments leave sufficient invested for the capital sum gradually to accumulate. In short this means that Ditchley is sustainable for the long term. On the back of this solid financial platform we will continue to seek strategic partnerships and funding to allow our programme to continue to grow in depth, impact and, to a carefully calibrated degree, range.

Probate was submitted and granted in September 2023. The legacy included property, with associated furniture and artwork, an arable farm in Oxfordshire, the Knockando and Craigmill Estates in Scotland, an investment portfolio and racehorses. The probate submission required

Page 11

detailed valuations of all the assets which formed the basis for additional work undertaken to further understand the individual assets and form a strategy for their disposal or retention. Alongside this strategy an authorisation procedure was put in place with major decisions referred by the Finance and General Purposes committee to the Foundation’s Chairman and shared with trustees for comment. Throughout the process great care was taken with all the employees whose livelihood has been intertwined with the land or property. During the year sales were concluded on the Oxfordshire farm estate, the London town house, and a house on the Ousden estate in Suffolk was also placed on the market.

The Knockando Estate is particularly complex. The estate comprises tenanted and leased land, commercially let property, forestry, double bank commercially let fishing on the Spey, serviced accommodation and hill land. A strategy report was commissioned to understand all the potential and liabilities, and legal advice obtained with respect to retained staff, tenancy arrangements and title transfer. The probate value of the Knockando Estate, excluded any renewable potential, with no value added to the hill land. We have subsequently signed an option for 7 turbines, on a consented development, Rothes III, and an exclusivity agreement for potentially another 16 as an extension to the Pauls Hill Wind Farm. The strategy is to retain this land, with considerable potential renewables revenue over the proposed 35-year lease term.

During the year we held three retreats to utilise the Knockando House and fishings: the first was with staff to understand the concept and work through Ditchley strategy; the second was a Climate Retreat and finally the Leadership Retreat included a number of Trustees, subject specialists and political leaders. Although excellent, these events convinced us that we could not make a case for retention of the house and fishings in pursuit of Ditchley’s aims. As a result, the decision was taken to market the core estate, subject to the tenants right to buy, and possibly retaining some land for renewable development.

To date one major artwork has been sold at auction, whilst some other artworks and furniture will be retained for use at Ditchley or in London. A strategy is currently being developed for the sale of the remainder of the art and furniture.

Historically Ditchley Park and Estate has not been held as an asset upon the balance sheet, having been gifted at no cost to the Foundation at its inception. The treatment of the legacy assets is different, all being added at probate valuation to the assets register and treated as income when sold, the funds reinvested. This will create an anomaly within the accounts, but this treatment is normal within charity accounts of this nature, as for example with Oxford colleges: the majority of buildings and art assets are not listed, where there is no intention to sell.

Management and role of the invested portfolio

The legacy funds invested and the renewables potential on the Scottish estate will create a diverse portfolio of revenue generating assets. Our strategy will be, over the long term, to continue to grow and diversify the invested portfolio as assets are realised and the cash reinvested.

The existing portfolio had a value of £17.9m in March 2024, compared to £18.4m in March 2023. Allowing for the drawdown in the year of £1.7m the portfolio increased by 6.9% including fees. Since inception, on 1[st] September 2010, the original portfolio has delivered an annualised return of 7.2% pa.in GBP (net of fees).

During the year we realised assets of over £28m from the sale of property and artwork; setting aside the funding required for 24/25 we moved £25m to Cazenove with a proposed yield of 5.21%, the balance held in Treasury Bonds. Cazenove also continue to manage a £9.5m

Page 12

investment portfolio bequeathed to Ditchley by Catherine Wills. During 24/25 we will engage an investment consultant to provide advice and support on asset allocation and asset manager selection for the predicted £70m portfolio by the end of 2025 (with a further £18m of assets potentially to be realised in 24/25). The total invested and held at year end totalled over £55m.

For the coming year 24/25 we have agreed that there will not be a drawdown from the portfolio; instead sufficient cash will be retained to fund activities through the year. The operational expenditure planned represents a 3.38% drawdown. The longer-term capital waterfall projections, reflecting the proposed management of the legacy, should allow for the drawdown to be reduced to 2.89% by financial year 25/26.

An ESG investment policy was adopted by the Council of Management in 20/21 financial year, empowering our investment managers to report on the exposure of the diverse funds in which the portfolio is invested.

Strategic financial risks

Catherine Wills’ transformational legacy addresses our main previous strategic financial risk: that we were drawing down too much from our portfolio of investments for this to be sustainable over the longer term. The target for future drawdown will be below 3% per annum. We will also continue to monitor our costs carefully. Our aim will be to grow the programme through donations from partners, augmented by renewables income over time.

As we plan capital investment, we will look at the individual projects strategically as part of an overall plan for the estate and the Foundation’s programme. The East Wing Project is the priority, creating 7 ensuite bedrooms, new staff offices and for the first time lift access to a fully accessible bedroom and bathroom suite. The planning is well underway with surveys commissioned and the design team established, recruiting a part-time Capital Projects Manager to oversee the project. The Listed Building Consent was submitted in late May 2024 with a decision expected late summer. The aim will be to maximise the value of the legacy and to build a strong base for further strategic fundraising to support Ditchley’s impact. The project is fully funded by the legacy.

Management of finances

FY 2023/2024 the income, excluding the legacy but including the portfolio drawdown of £1.7m was £3.079m compared to £3.083m in 22/23. Ditchley Park Conference Centre (DPCC) revenue was £181k.

Legacy related income was recorded as £74.694m assets plus £633k income from the farming activities recorded through DPCC, carried out between probate and sale.

Expenditure, again excluding the legacy costs of £148,720, was £4.373m in line with budget and an uplift of £756,791 from last year £3.616,m. Most of the increase, £142k, represented costs relating to Ditchley Germany, fully funded through Deutsche Bank.

The £3.913m expenditure includes the completion of the restoration of the second floor of the main house, carried out by contractors, due to the staffing reduction of the inhouse team. The final total cost of the restoration is estimated at £994k, excluding asbestos removals costs of over £400k: an extraordinary result compared to the original quantity surveyor estimate of up to £4m.

Income included over £1m in externally generated project funding and just under £140k of Estate income. The latter is budgeted to increase in 24/25 with the conversion of an additional properties from our service accommodation to our commercial portfolio.

Page 13

Expenditure in FY 2024/2025 is budgeted, in the management accounts, to be just over £3.8m. excluding project and capital costs of £2.12m, subject to Council approval. External funding accounts for nearly £176k of project and staff expenditure in the budget. Tight controls remain in place to ensure externally funded projects are carefully monitored.

Within the budget an initial 5% pay rise was agreed to reflect the rise in inflation. We maintain our commitment to the Oxford Living Wage for all staff, both permanent and casual, to protect the lowest paid members of our team and to ensure consistency of terms and conditions.

Development Report

Ditchley raised £1.047m in donations during this year from a combination of individuals, trusts and foundations and corporations. We are grateful to our dedicated and growing community of supporters, new and longstanding, all of whom contribute to our mission whilst respecting our resolute independence.

Income from our 1580 Fellowship, annual contributions towards our programme and impact from individuals who value the role Ditchley plays in shaping the future, raised just short of £100,000 this year. We hope that those who can support Ditchley in this way will help us grow this valuable unrestricted income stream.

Our overall development campaign is now firmly focused on Ditchley’s programme and impact, along with a small number of historically important heritage conservation projects at Ditchley Park. We continue to build a set of strategic partnerships which allows us to further expand the programme and to consider new initiatives. These include the development of our Fellowship programme, further development of Ditchley Deutschland and a focus on national security.

A full list of donors – trusts and foundations, corporations and individuals – for 2023/24 is included below in alphabetical order

The American Ditchley Foundation The Aurelius Charitable Trust Deutsche Bank General Motors John H and Marjorie N Glasgow Foundation John D. and Catherine T. MacArthur Foundation Lumina Foundation Microsoft Corporation The William Delafield Charitable Trust University of California, Berkeley

Anonymous * Lord and Lady Aldington Mr Wahid Azaoui George and Ally Bailey Mr Sam Blyth The Rt Hon. Baroness Virginia Bottomley DL and Sir Peter Bottomley MP John Burns CBE and Susan Burns OBE Sir Andrew Cahn KCMG Mr Sam Daws and Ms Martha Ettouil Dr Pinar Emirdag Sir Simon Fraser GCMG Sir Christopher Greenwood GBE CMG KC

Page 14

The Rt Hon. Dominic Grieve KC Jan Hall OBE Russell and Andrea Hartley The Rt Hon. The Lord Hill of Oareford CBE Sir John and Lady Penny Holmes+ Ms Suzanne Ferlic Johnson * Sir John Kemp-Welch Shigeru KITAMURA Ms Rachel Lomax Chris Mairs CBE FREng The Rt Hon Sir John Major KG CH Mr Jamie Merisotis Col Mike and Caroline Montagu Mr Glen Moreno Mr David Morrison Marc and Odile Mourre Newell Family Foundation *** Mr Paul Newman Ms Margaret Nibbi Mr Ismet Oztanik Mrs Elizabeth Padmore Mr Jonathan Paris Mr Mark Patrick Mr Mark Pears CBE Luke and Nicky Ponsonby Mr Gerard Russell MBE Sir John Sawers Mr Christopher Schroeder Dr Neil Shastri-Hurst Sir Martin and Lady Smith Elisabeth Stheeman Mr Michael Tang Mr Bobby Vedral Dr Diana Walford CBE MD FRCP FRCPath FFPH The Rt Hon. the Lord Willetts FRS Mr Peter Wilson-Smith

Key:

Thank you to the many individuals who support our work.

Page 15

Private Events and Other Income

Ditchley Park Conference Centre Limited started the year with a number of events held by longstanding clients, including the University of Birmingham and the University of Stavanger. The Autumn period saw new events introduced to Ditchley, including the Coalition for Global Prosperity, Civic Future and The Rhodes Trust, in addition to a number of enquiries from His Majesty’s Government, with the beginnings of a series of regular away day bookings.

Throughout 22/23 a series of smaller events have been run with Historic Houses and Harwell Restoration, which brings income during quiet periods as well as developing networks within a useful sector. During the course of the year Ditchley Park Conference Centre Limited also secured a booking for a high value residential event with an American foundation which will take place in June 2024.

Reserves Policy

The Foundation’s core finances are based upon its investment portfolio (valued at £55m as at end March 2024), which still provides the principal source of income. The portfolio is not a reserve, nor managed as such, and in the absence of any dedicated reserve fund, the Council of Management consider it a matter of essential financial discipline that the value of the capital is preserved as far as possible in order that the Foundation can deliver on its founding mission to run its programme for positive impact, rather than for profit or the interest of any party.

Short term reserve

Until 23/24 Ditchley Foundation had determined on advice not to hold a separate reserves fund outside the main portfolio given both the opportunity cost (due to lower expected returns) and the additional administrative burden of operating a separate reserves portfolio. However, with the granting of probate on Catherine Wills’ legacy and the liquidation of assets we are currently holding a substantial amount of cash and near cash in short-dated bonds until major long term investment decisions are made, with funds held in separate portfolios. In addition to the portfolio held by Partners Capital of £17.9m, we hold Dr Wills’ portfolios as they were originally invested, valued at £9.5m, £25m is held with Cazenove with an estimated 5.21% yield, The annual running costs, currently £3.2m are in Treasury bonds, their expiry matched to cashflow requirements. We have a minimum of £400k of liquid reserves available to the Foundation within a week. This sum was agreed as an appropriate amount of short-term reserve to cover contingencies such as major emergency repairs. As at March 2024, the invested assets under management could provide some £1m to be available within a month, with 80% of the portfolio available to be liquidated within a four-to-seven-month period.

Strategic long-term reserves

The Foundation’s strategic aim is to build its invested portfolio to £70m by 25/26. The aim will be to take no more than a 3% drawdown annually, allowing the invested portfolio to grow over time. We are exploring a range of investment options to generate the necessary income, including renewable energy income.

As at 31 March 2024, total funds stood at £99.,342m of which £2,116 were restricted. The level of unrestricted free reserves, after excluding fixed assets and designated funds, stood at £95.270m.

Page 16

Financial Resilience Statement

Ditchley’s trustees (the Council of Management) are assured that The Ditchley Foundation has sufficient funds to enable it to continue its activities on a going concern basis for a period of at least twelve months from the date of approval of these financial statements. The budget endorsed for FY 2023/2024 allows for an unrestricted cash balance at the end of the period, in addition to the Foundation’s invested portfolio of £55m with sufficient liquidity to cover any short-term urgent needs.

Fundraising Compliance Notice

The Ditchley Foundation receives income from donations and has a trading subsidiary, Ditchley Park Conference Centre Limited. The Ditchley Foundation has signed up to the Code of Practice issued by the Fundraising Regulator. We do not carry out any direct marketing to the public and give clear instructions as to how individuals can be removed from our mailing lists. Our fundraising capability is in-house, and we do not use external commercial participators in our fundraising activities. There have been no complaints about fundraising in the year. A formal donor policy was approved by the Finance and General Purposes Committee and endorsed by the Council of Management in November 2020 and will be reviewed in 2024/25.

Structure, Governance and Management

The Ditchley Foundation is “a Company limited by guarantee not having a share capital”, incorporated on the 24 February 1958, the Articles of Association having been subsequently amended on the 29 November 1966, 7 July 2007 and 7 July 2018.

Members of the Foundation are currently designated “Governors”. They meet at least once a year, whether virtually or in person, at the Annual General Meeting of the Foundation, to approve the Annual Report and accounts of the Foundation and to receive the report of the auditors; to elect, as necessary, in accordance with the Articles of Association, the Council of Management; and to deal with other business of the Foundation. In addition to the AGM, Governors are also invited to further briefings during the course of the year and receive regular updates by email or letter.

Trustees (Members of the Council of Management) are generally selected from the ranks of the Governors and invited to join the Council by the Chairman, acting on the recommendations and advice of the existing Trustees, with a view to maintaining a balance of experience, expertise and background within the body of Trustees. They are subsequently elected by the Governors and serve a four-year term, renewable for one further four-year term.

All Trustees are fully familiar with the aims and ideals of the Foundation.

The administration of the Foundation is carried out by the Council of Management, through the Finance and General Purposes Committee. The day-to-day management of the Foundation is conducted by the Director, who is appointed by, and responsible to, the Council of Management.

The salaries of senior members of staff are established with regard to pay levels in the sector for similar positions. From time to time, an external review of pay levels for all staff is commissioned, the most recent instance being the remuneration review conducted during 2017/2018 and implemented in 2018/2019.

Page 17

Ditchley Park Conference Centre Limited is the trading arm of the Foundation and oversees events at Ditchley Park when not in use by the Foundation. These events include visits (the house is a Grade I listed historic building), conferences and meetings organised by outside bodies and use of Ditchley Park for education, photography and films. This activity was severely curtailed for much of the last financial year but has now resumed.

The Council of Management is responsible for the management of risks faced by the Foundation. Detailed consideration and management of risk are delegated to the Director and his staff. Risks are identified, assessed, and controls established throughout the year with a formal review undertaken tri-annually. A high-level Risk Register was introduced in 2018 and is now reviewed regularly, six monthly at Finance and General Purposes Committee meeting and, annually by the Council of Management. The Register assesses the following risks:

The Disaster Recovery Plan is subject to ongoing review, particularly regarding the business continuity aspects. The key controls used by the Foundation include:

Through these processes the Trustees are satisfied that the major risks have been identified and adequately mitigated where necessary.

Page 18

Trustees’ Responsibilities

As directors, the Trustees are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice. They are required by UK company law to prepare, for each financial year, financial statements which give a true and fair view of the state of affairs of the company, and the group, and of the profit or loss of the company and the group for that period.

The Trustees confirm that suitable accounting policies have been used and applied consistently, and that reasonable and prudent judgements and estimates have been made in the preparation of the financial statements for the year ending 31 March 2024. They are responsible for keeping appropriate accounting records that disclose with reasonable accuracy at any time the financial position of the company in recognition of their responsibilities under the Companies Act 2006. The Trustees are responsible for taking reasonable steps to safeguard the assets of the company and the group, as well as to prevent and detect fraud and other irregularities.

As far as the Trustees are aware, there is no relevant audit information (information needed by the Foundation’s auditors in connection with preparing their report) of which the Foundation’s auditors are unaware. Trustees individually have taken all the steps that they ought to have taken as Trustees in order to make themselves aware of any relevant audit information and to establish that the Foundation’s Auditors are aware of that information. The Trustees are required to prepare financial statements on an ongoing concern basis, unless it is inappropriate to presume that the charity will continue in operation.

Principal Activities and Business Review

The consolidated statement of financial activities for the year is set out on page 24. A review of the Foundation’s business during the year is contained in the Trustee’s Annual Report starting on page 4 and incorporates the requirements of the Directors' report as required by company law.

Dividends

In accordance with the Memorandum of Association, no dividends may be paid to Members.

Directors

The Members of the Council of Management are listed on page 2.

By order of the Council of Management,

KATIE WILLIAMS Company Secretary

Dated: 17[th] July 2024

Page 19

The Ditchley Foundation (A Company Limited by Guarantee)

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE DITCHLEY FOUNDATION

Opinion

We have audited the financial statements of The Ditchley Foundation (the “Charity”) for the year ended 31 March 2024 which comprise the Consolidated Statement of Financial Activities, Balance Sheets, the Statements of Cash Flows, and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

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 Trust’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. 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.

Page 20

The Ditchley Foundation

(A Company Limited by Guarantee)

INDEPENDENT AUDITORS’ REPORT (CONTINUED)

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of the trustees

As explained more fully in the trustees’ responsibilities statement [set out on page 5], 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 they 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.

Page 21

The Ditchley Foundation (A Company Limited by Guarantee)

INDEPENDENT AUDITORS’ REPORT (CONTINUED)

Auditor’s responsibilities for the audit of the financial statements

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

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

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify noncompliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

Page 22

The Ditchley Foundation (A Company Limited by Guarantee)

INDEPENDENT AUDITORS’ REPORT (CONTINUED)

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

Use of our report

This report is made solely to the Charity’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Charity’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charity’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Robert Kirtland FCA Senior Statutory Auditor for and on behalf of Critchleys Audit LLP Statutory Auditor Beaver House, 23-38 Hythe Bridge Street, Oxford, OX1 2EP

22/8/2024 Date: ……………………….……

Page 23

The Ditchley Foundation (A Company Limited by Guarantee)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2024

Unrestricted
funds
2024
Restricted
funds
2024
Note
£
£
Income from:
Donations and grants
3
1,041,351
6,000
Legacy
3
74,694,611
-
Trading turnover of subsidiary
(DPCC)
181,414
-
Legacy – Farming income (DPCC)
633,093
-
Investment income
4
74,024
-
Other sources
83,143
-
Total income
76,707,636
6,000
Expenditure on:
Raising funds:
Development administrative costs
57,842
-
Costs of subsidiary (DPCC)
75,966
-
Investment management fees
88,900
-
Charitable activities: Conference
programme costs
5
4,270,370
29,380
Total Expenditure
4,493,078
29,380
Net income/(expenditure) before
net gains on investments
72,214,558
(23,380)
Net gains/(losses) on investments
18
2,059,665
-
Net income / (expenditure)
74,274,223
(23,380)
Net movement in funds
74,274,223
(23,380)
Reconciliation of funds:
Total funds brought forward
25,068,628
25,496
Net movement in funds
74,274,223
(23,380)
Total funds carried forward
99,342,851
2,116		 Total
funds
2024
£
1,047,351
74,694,611
181,414
633,093
74,024
83,143
76,713,636
57,842
75,966
88,900
4,299,750
4,522,458
72,191,178
2,059,665
74,250,843
74,250,843
25,094,124
74,250,843
99,344,967		 Total
funds
2023
£
1,129,401
-
322,214
-
51,270
84,882

1,587,767
22,872
47,703
78,561
3,467,811
3,616,947
(2,029,180)
213,000
1,587,767
22,872
47,703
78,561
3,467,811
3,616,947

(1,816,180)
(1,816,180)
26,910,304
(1,816,180)
25,094,124

Page 24

The Ditchley Foundation (A Company Limited by Guarantee)

CONSOLIDATED BALANCE SHEET FOR THE YEAR ENDED 31 MARCH 2024

2024 2023
Note £ £
Fixed assets:
Tangible assets 9 4,072,723 3,616,441
Investment property 10 4,281,798 3,156,798
Investments 11 17,861,116 18,405,321
26,215,637 25,178,560
Current Assets
Stocks 12 49,202 49,371
Debtors 13 39,517,751 196,130
Cash at bank and in hand 27,013,159 193,210
Assets held for sale 14 6,977,521 -
73,557,633 438,711
Creditors: amounts falling due
within one year 15 (428,303) (523,147)
Net current assets/(liabilities) 73,129,330 (84,436)
Total assets less current
liabilities 99,344,967 25,094,124
Total net assets 99,344,967 25,094,124
Charity funds
Restricted funds 17/18 2,116 25,496
Unrestricted funds 17/18 99,342,851 25,068,628
Total funds 99,344,967 25,094,124

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

The Right Honourable Lord Hill of Oareford CBE

Dated: 17 July 2024

The notes on pages 28-45 form part of these financial statements.

Page 25

The Ditchley Foundation (A Company Limited by Guarantee)

COMPANY BALANCE SHEET FOR THE YEAR ENDED 31 MARCH 2024

2024 2023
Note £ £
Fixed assets:
Tangible assets 9 4,072,723 3,616,441
Investment property 10 4,281,798 3,156,798
Investments 11 17,861,118 18,405,323
26,215,639 25,178,562
Current Assets
Stocks 12 49,202 49,371
Debtors 13 39,352,270 191,238
Cash at bank and in hand 26,942,663 190,091
Assets held for sale 14 6,977,521 -
72,321,656 430,700
Creditors: amounts falling due
within one year 15 (627,862) (729,256)
Net current assets/(liabilities) 72,693,794 (298,556)
Total assets less current
liabilities 98,909,433 24,880,006
Total net assets 98,909,433 24,880,006
Charity funds
Restricted funds 17/18 2,116 25,496
Unrestricted funds 17/18 98,907,317 24,854,510
Total funds 98,909,433 24,880,006

The Company’s net movement in funds for the year was £74,029,427 (2023 - £(2,002,891))

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

The Right Honourable Lord Hill of Oareford CBE

Dated: 17 July 2024

Company registration number: 599389, Charity registration number: 309657

The notes on pages 28-45 form part of these financial statements.

Page 26

The Ditchley Foundation (A Company Limited by Guarantee)

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2024

Cash flows from operating activities
Net cash used in operating activities (note 20)
Cash flows from investing activities
Dividends, interest and rents from investments
Purchase of tangible fixed assets (note 9)
Loss on disposal of tangible fixed assets (note 9)
Drawdown from investments
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 (note 21)		 2024
2023
£
£
25,075,598
(1,572,364)
74,024
51,270
(27,396)
(46,460)
(2,277)
533
1,700,000
1,500,000
1,744,351
1,505,343
26,819,949
(67,021)
193,210
260,231
27,013,159
193,210

The notes on pages 28-45 form part of these financial statements.

Page 27

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

1. Accounting policies

1.1 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 and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Ditchley Foundation 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 relevant accounting policy.

The Consolidated Statement of Financial Activities (SOFA) and Consolidated Balance Sheet consolidate the financial statements of the Company and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

The company 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.

1.2 Company status

The charitable company is limited by guarantee, incorporated in England and Wales, and no shares are authorised or issued by the Foundation. The registered office is Ditchley Park, Enstone, Chipping Norton, Oxfordshire OX7 4ER. Each member undertakes to contribute £1 to the assets of the Foundation in the event of the same being wound up whilst a member, or within a year of ceasing to be a member, for the payment of debts and liabilities of the Foundation contracted before ceasing to be a member, and of the cost, charges and expenses of winding up, such as may be required not exceeding £1.

1.3 Going Concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the Charity has adequate resources to continue operational existence for the foreseeable future. Thus, the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.4 Income

All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

For legacies, entitlement is taken as the earlier of the date on which either: the company is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the company has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the company, or the company is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

Page 28

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

1. Accounting policies (continued)

1.4 Income (continued)

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Guest conference income excludes value added tax and represents the invoiced value of goods and services supplied.

1.5 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.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Governance costs of are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.

Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds, including the activities of Ditchley Park Conference Centre Limited.

Expenditure on charitable activities comprises the costs of running the conference programme.

Irrecoverable VAT is charged to resources expended.

1.6 Basis of consolidation

The financial statements consolidate the accounts of the Ditchley Foundation and its subsidiary undertaking, Ditchley Park Conference Centre Limited.

1.7 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.

1.8 Tangible fixed assets and depreciation

The house and land at Ditchley Park, acquired by gift, are not valued. Expenditure on improvements is at cost less depreciation.

Individual fixed assets costing £1,000 or more are capitalised at cost.

Page 29

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

1. Accounting policies (continued)

1.8 Tangible fixed assets and depreciation (continued)

A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of financial activities.

Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment.

Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Freehold property - between 20 and 50 years
Motor Vehicles - 5 years
Fixtures and fittings - Between 3 and 10 years
Office and IT equipment - Between 3 and 10 years

1.9 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless fair value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘(Losses)/Gains on investments’ in the Statement of financial activities.

Freehold properties held for investment purposes are valued periodically on professional advice and are included in the financial statements at their market value at the year end.

Quoted investments have been valued at the bid market price at the close of business at the year end. The market value of unit trusts and managed funds units is either taken as the bid or Net Asset Value price at the year end as advised by the investment managers.

Realised gains and losses on investments are calculated as the difference between sales proceeds and their market value at the start of the year or subsequent cost and are credited or charged to the Statement of financial activities in the year of disposal.

Unrealised gains and losses represent the movement in market value during the year and are credited or charged to the Statement of financial activities based on the market value at the year end.

The investment in subsidiary undertaking is valued at cost less provision for impairment.

1.10 Interest receivable

Interest on funds held on deposit is included when receivable and amount can be measured reliably by the Foundation; this is normally upon notification of the interest paid or payable by the Bank.

1.11 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.

Page 30

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

1. Accounting policies (continued)

1.12 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.

1.13 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.

1.14 Assets held for sale

Current assets held for sale consists of assets received within the legacy that are expected to be sold within 12 months of the Balance Sheet date. They are a form of financial instrument and are initially recognised at fair value and subsequently measured at fair value at the Balance Sheet date. Assets held for sale gains and losses, whether realised or unrealised, are combined and shown in the heading ‘(Losses)/Gains on investments’ in the Statement of financial activities.

1.15 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 company 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 within interest payable and similar charges.

1.16 Financial instruments

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

1.17 Pensions

The pension scheme is a defined contribution scheme. Contributions are charged to the Statement of Financial Activities as they become payable in accordance with the rules of the scheme.

1.18 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 company and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the company 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.

Page 31

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

2. 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 Company 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.

Critical areas of judgement:

Tangible fixed assets:

Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. Residual value assessments consider issues such as the remaining life of the asset and projected disposal values.

Investment properties:

Property valuations are performed annually by the Council, based upon external indications of value (including periodic valuations by qualified Independent Chartered Surveyors) and consideration of market conditions.

Legacy valuation:

A legacy totalling a value of £74,794,611 was received during the year. The value of this legacy is based on the estimated value of different assets: investment properties, tangible fixed assets, current assets held for sale, debtors and cash. The values of different assets were based on third party valuations and sales proceeds received.

3. Income from donations, grants and legacy

Unrestricted
funds
2024
£
Restricted
funds
2024
£
Donations and grants
1,041,351
6,000
Legacy
74,694,611
-
Total 2024
75,735,962
6,000
Total 2023
1,110,901
18,500		 Total
funds
2024
£
1,047,351
74,694,611
75,741,962
1,129,401		 Total
funds
2023
£
1,129,401
-
1,129,401

Page 32

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

4. Investment income

Unrestricted
funds
2024
£
Total
funds
2024
£
Rents
70,355
70,355
Bank interest
3,669
3,669
Total 2024
74,024
74,024
Total 2023
51,270
51,270
Analysis of expenditure on charitable activities
Summary by fund type
Unrestricted
funds
2024
£
Restricted
funds
2024
£
Total
funds
2024
£
Conference programme costs
4,270,370
29,380
4,299,750
Total 2023
3,449,311
18,500
3,467,811
Summary by expenditure type
Staff costs
2023
£
Depreciation
2023
£
Other costs
2023
£
Total
funds
2024
£
Conference programme costs
1,631,028
261,083
2,407,639
4,299,750
Total 2023
1,563,095
259,244
1,645,472
3,467,811		 Total
funds
2023
£
50,758
512
51,270
Total
funds
2023
£
3,467,811
Total
funds
2023
£
3,467,811

5. Analysis of expenditure on charitable activities

6. Analysis of expenditure by charitable activities

Activities
Undertaken
Directly
2024
£
Governance
Costs
2024
£
Conference programme costs
4,276,835
22,915
Total 2023
3,445,521
22,290		 Total
Funds
2024
£
4,299,750
3,467,811		 Total
funds
2023
£
3,467,811

Page 33

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

7. Analysis of expenditure on charitable activities

Analysis of direct costs

Unrestricted
funds
2024
£
Staff costs
1,631,028
Depreciation
261,083
Administration
326,533
IT
106,917
Repairs and maintenance
482,083
Household and service costs
297,887
Conference and events
229,282
Irrecoverable VAT
172,344
Development programme costs
155,605
Costs attributable to DPCC
129,946
Bridge project, Lumina costs and Rotunda
54,487
Second floor refurbishment costs
280,920
Asbestos removal
-
Legacy costs
148,720
Total 2024
4,276,835
Total 2023
3,433,331
Analysis of governance costs
Unrestricted
funds
2024
£
Auditor’s remuneration
22,200
Non-audit fees – other financial services
715
Total 2024
22,915
Total 2023
22,290		 Total
funds
2024
£
1,631,028
261,083
326,533
106,917
482,083
297,887
229,282
172,344
155,605
129,946
54,487
280,920
-
148,720
4,276,835
3,433,331
Total
funds
2024
£
22,200
715
22,915
22,290		 Total
funds
2023
£
1,537,004
259,244
224,401
72,906
343,258
252,837
295,685
71,100
7,911
(47,703)
144,622
161,126
110,940
-		 Total
funds
2023
£
1,537,004
259,244
224,401
72,906
343,258
252,837
295,685
71,100
7,911
(47,703)
144,622
161,126
110,940
-
3,433,331

Total
funds
2023
£
16,000
6,290

22,290

Page 34

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

8. Staff costs

Wages and salaries
Social security costs
Contributions to defined contribution
pension schemes		 Group
2024
£
1,422,154
128,738
117,420
1,668,312		 Group
2023
£
1,339,815
120,950
102,327
1,563,092		 Company
2024
£
1,307,333
123,795
108,426
1,539,554		 Company
2023
£
1,313,725
120,950
102,327

1,537,002

The average number of persons employed by the Company during the year was as follows:

Group Group
2024 2023
No. No.
Administration 30 25
Establishment 12 13
Conference 16 18
58 56

The average headcount expressed as full-time equivalents was:

Group Group
2024 2023
No. No.
Administration 24 19
Establishment 11 11
Conference 3 3
38 33

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

exceeded £60,000 was:
Group Group
2024 2023
No. No.
In the band £60,001 - £70,000 1 1
In the band £140,001 - £150,000 - 1
In the band £150,001 - £160,000 1 -

No members of the Council of Management received any emoluments during the year (2023: £Nil).

No members of the Council of Management received payment for professional or other services supplied to the Charity (2023: £Nil).

Page 35

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

8. Staff costs (continued)

During the year, disbursements of £5,341 (2023: £1,613) for travel and associated expenses were incurred by 1 member (2023: 1 member) of the Council of Management while undertaking activities directly associated with the purposes of the Foundation.

The key management personnel of the Foundation comprise the Council of Management, the Director and the Chief Operating Officer. The total employee benefits of the key management personnel of the Trust were £246,354 (2023: £238,126).

During the year, redundancy costs totalled £69,943 (2023: £38,870) including payments in lieu of notice.

9. Tangible fixed assets

Group
Cost of valuation
At 1 April 2023
Additions
Disposals
Transfers to investment property
At 31 March 2024
Depreciation
At 1 April 2023
Charge for the year
Depreciation eliminated on
disposals
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023		 Freehold
property
£

5,040,315
-
-
(471,860)

4,568,455
1,885,091
144,565
(161,830)
1,867,826
2,700,629
3,155,224		 Motor
vehicles
£
27,800
-
(22,800)
-
5,000
25,883
1,000
(22,800)
4,083
917
1,917		 Fixtures
and
fittings
£
Office and IT
equipment
£
177,521
1,058,352
1,007,205
20,190
-
-
-
-
1,184,726
1,078,542
36,196
740,377
14,382
101,136
-
-
50,578
841,513
1,134,148
237,029
141,325
317,975		 Total
£
6,303,988
1,027,395
(22,800)
(471,860)

6,836,723
2,687,547
261,083
(184,630)

2,764,000

4,072,723

3,616,441

Page 36

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

9. Tangible fixed assets (continued)

Company
Cost of valuation
At 1 April 2023
Additions
Disposals
Transfers from investment
property
At 31 March 2024
Depreciation
At 1 April 2023
Charge for the year
Depreciation eliminated on
disposals
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023		 Freehold
property
£

5,040,315
-
-
(471,860)

4,568,455
1,885,091
144,565
(161,830)
1,867,826
2,700,629
3,155,224		 Motor
vehicles
£
27,800
-
(22,800)
-
5,000
25,883
1,000
(22,800)
4,083
917
1,917		 Fixtures
and
fittings
£
Office and
IT
equipment
£
177,521
1,058,352
1,007,205
20,190
-
-
-
-
1,184,726
1,078,542
36,196
740,377
14,382
101,136
-
-
50,578
841,513
1,134,148
237,029
141,325
317,975		 Total
£
6,303,988
1,027,395
(22,800)
(471,860)
6,836,723
2,687,547
261,083
(184,630)
2,764,000
4,072,723
3,616,441

Freehold property comprises expenditure on improvements. The House and associated land are valued at £Nil since they were acquired by gift. No value has been attributed to these assets as, in accordance with the wishes of the donor, it is intended that the House and associated land will be held in perpetuity to support the objectives and activities of the Foundation. Ditchley House was built in 1722 and is a listed Grade 1 building. The House and outbuildings are currently insured for £69,846,963.

Other properties occupied by staff and considered as permanent staff quarters are included at deemed cost based upon a valuation performed at 31 March 2008 by Laws and Fiennes, Chartered Surveyors.

Included in additions is artwork valued at £1,000,000 received as part of the legacy which will remain with the charity. This has been included as its market value.

Page 37

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

10. Investment property

Group
Freehold
investment
property
£
Valuation
At 1 April 2023 3,156,798
Revaluations 814,970
Transfers from tangible fixed assets 310,030
At 31 March 2024 4,281,798
Company
Freehold
investment
property
£
Valuation
At 1 April 2023 3,156,798
Revaluations 814,970
Transfers from tangible fixed assets 310,030
At 31 March 2024 4,281,798

Investment properties comprise properties and farmland on the estate rented on a commercial basis. The last professional valuation of the properties was undertaken in 2021 by Savills, Chartered Surveyors, on an open market value for existing use basis. Council have considered this valuation and its appropriateness. Council decided to increase the value of investment property in line with the Oxfordshire market since the last professional valuation. The farmland was last valued in 2020 and the Council considers this valuation to be materially correct at 31 March 2024.

Page 38

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

11. Fixed asset investments

Group
Cost of valuation
At 1 April 2023
Additions
Disposals
Revaluations
Other movements
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023
Company
Investments
in subsidiary
companies
£
Cost of valuation
At 1 April 2023
2
Additions
-
Disposals
-
Revaluations
-
Other movements
-
At 31 March 2024
2
Net book value
At 31 March 2024
2
At 31 March 2023
2
12. Stocks
Group
2024
£
Finished goods and goods for resale
49,202
49,202		 Investment
securities
£
Uninvested
cash
£
Total
£
17,739,783
665,539
18,405,322
13,396,995
-
13,396,995
(15,096,993)
-
(15,096,993)
1,244,695
-
1,244,695
538,921
(627,824)
(88,903)
17,823,401
37,715
17,861,116
17,823,401
37,715
17,861,116
17,739,783
665,539
18,405,322




Investment
securities
£
Uninvested
cash
£
Total
£

17,739,783
665,539
18,405,322

13,396,995
-
13,396,995

(15,096,993)
-
(15,096,993)

1,244,695
-
1,244,695
538,921
(627,824)
(88,903)

17,823,401
37,715
17,861,118

17,823,401
37,715
17,861,118

17,739,783
665,539
18,405,324
Group
2023
£
Company
2024
£
Company
2023
£
49,371
49,202
49,371
49,371
49,202
49,371		 Investment
securities
£
Uninvested
cash
£
Total
£
17,739,783
665,539
18,405,322
13,396,995
-
13,396,995
(15,096,993)
-
(15,096,993)
1,244,695
-
1,244,695
538,921
(627,824)
(88,903)
17,823,401
37,715
17,861,116
17,823,401
37,715
17,861,116
17,739,783
665,539
18,405,322




Investment
securities
£
Uninvested
cash
£
Total
£

17,739,783
665,539
18,405,322

13,396,995
-
13,396,995

(15,096,993)
-
(15,096,993)

1,244,695
-
1,244,695
538,921
(627,824)
(88,903)

17,823,401
37,715
17,861,118

17,823,401
37,715
17,861,118

17,739,783
665,539
18,405,324
Group
2023
£
Company
2024
£
Company
2023
£
49,371
49,202
49,371
49,371
49,202
49,371		 Investment
securities
£
Uninvested
cash
£
Total
£
17,739,783
665,539
18,405,322
13,396,995
-
13,396,995
(15,096,993)
-
(15,096,993)
1,244,695
-
1,244,695
538,921
(627,824)
(88,903)
17,823,401
37,715
17,861,116
17,823,401
37,715
17,861,116
17,739,783
665,539
18,405,322




Investment
securities
£
Uninvested
cash
£
Total
£

17,739,783
665,539
18,405,322

13,396,995
-
13,396,995

(15,096,993)
-
(15,096,993)

1,244,695
-
1,244,695
538,921
(627,824)
(88,903)

17,823,401
37,715
17,861,118

17,823,401
37,715
17,861,118

17,739,783
665,539
18,405,324
Group
2023
£
Company
2024
£
Company
2023
£
49,371
49,202
49,371
49,371
49,202
49,371














Page 39

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

13. Debtors

Group
2024
£
Due within one year
Trade debtors
110,036
Legacy receivable
39,326,137
Other debtors
2,344
Prepayments and accrued income
79,234
VAT recoverable
-
39,517,751
14. Assets held for sale
Group
2024
£
Properties
975,000
Artwork and furniture
6,002,521
6,977,521
15. Creditors: Amounts falling due within one year
Group
2024
£
Trade creditors
189,782
Amounts owed to group undertakings
-
Other taxation and social security
41,682
Other creditors
11,369
Accruals and deferred income
185,470
428,303
16. Deferred income
Group
2024
£
Deferred income
25,636		 Group
2023
£
9,426
-
-
143,740
42,964
196,130
Group
2023
£
-
-
-
Group
2023
£
211,910
-
31,596
209,477
70,164
523,147
Group
2023
£
29,137		 Company
2024
£
Company
2023
£
89,952
4,534
39,180,740
-
2,344
-
79,234
143,740
-
42,964
39,352,270
191,238
Company
2024
£
Company
2023
£
975,000
-
6,002,521
-
6,977,521
-
Company
2024
£
Company
2023
£
184,853
208,497
235,118
439,142
37,696
30,419
11,369
10,679
158,826
40,519
627,862
729,256
Company
2024
£
Company
2023
£
1,992
1,992

Page 40

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

16. Deferred income (continued)

Deferred income is included in the financial statements as follows:

Deferred income is included within:
Current liabilities
Movements in the year:
Deferred income at 1 April 2023
Released from previous periods
Resources deferred in the year
Deferred income at 31 March 2024		 Group
2024
£
25,636
29,137
(29,043)
25,542
25,636		 Group
2023
£
Company
2024
£
Company
2023
£
29,137
1,992
1,992
37,442
1,992
1,992
(19,202)
(1,992)
(1,992)
10,897
1,992
1,992
29,137
1,992
1,992		 Group
2023
£
Company
2024
£
Company
2023
£
29,137
1,992
1,992
37,442
1,992
1,992
(19,202)
(1,992)
(1,992)
10,897
1,992
1,992
29,137
1,992
1,992

1,992

Deferred income relates to rents received in advance and conference deposits.

17. Statement of funds

Statement of funds – current year

Balance at
1 April 2023
£
Unrestricted funds
General funds
25,068,628
Restricted funds
Travel fund
25,496
Earmarked donations
-
25,496
Total funds
25,094,124		 Income
£
Expenditure
£
76,707,636
(4,493,078)
-
(23,380)
6,000
(6,000)
6,000
(29,380)
76,713,636
(4,522,458)		 Gains/
(Losses)
£
2,059,665
-
-
-
2,059,665		 Balance at
31 March
2024
£
99,342,851
2,116
-
2,116
99,344.967

Statement of funds – prior year

Balance at
1 April 2022
£
Unrestricted funds
General funds
26,884,808
Restricted funds
Travel fund
25,496
Earmarked donations
-
25,496
Total funds
26,910,304		 Income
£
Expenditure
£
Gains/
(Losses)
£
Balance at 31
March 2023
£
1,569,267
(3,598,447)
213,000
25,068,628
-
-
-
25,496
18,500
(18,500)
-
-
18,500
(18,500)
-
25,496
1,587,767
(3,616,947)
213,000
25,094,124		 Income
£
Expenditure
£
Gains/
(Losses)
£
Balance at 31
March 2023
£
1,569,267
(3,598,447)
213,000
25,068,628
-
-
-
25,496
18,500
(18,500)
-
-
18,500
(18,500)
-
25,496
1,587,767
(3,616,947)
213,000
25,094,124
25,496

25,094,124

Page 41

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

18. Summary of funds

Summary of funds – current year

Summary of funds – current year
Balance at
1 April 2023
£
Unrestricted funds
General funds
25,068,628
Restricted funds
25,496
Total funds
25,094,124
Summary of funds – prior year
Balance at
1 April 2022
£
Unrestricted funds
General funds
26,884,808
Restricted funds
25,496
Total funds
26,910,304		 Income
£
Expenditure
£
76,707,636
(4,493,078)
6,000
(29,380)
76,713,636
(4,522,458)
Income
£
Expenditure
£
1,569,267
(3,449,311)
18,500
(18,500)
1,587,767
(3,616,947)		 Gains/
(Losses)
£
2,059,665
-
2,059,665
Gains/
(Losses)
£
213,000
-
213,000		 Balance at
31 March
2024
£
99,342,851
2,116

99,344,967

Balance at
31 March
2023
£
25,068,628
25,496

25,094,124

Restricted funds are non-staff project specific expenditure, earmarked by the donor.

Unrestricted funds are allocated towards the general Ditchley Foundation programme, staff costs, associated technology and infrastructure.

19. Analysis of net assets between funds

Analysis of net assets between funds – current year

Unrestricted
Funds
2024
£
Restricted
Funds
2024
£
Tangible fixed assets
4,072,723
-
Fixed asset investments
17,861,116
-
Investment property
4,281,798
-
Current assets
73,555,517
2,116
Creditors due within one year
(428,303)
-
Total
99,342,851
2,116		 Total
Funds
2024
£
4,072,723
17,861,116
4,281,798
73,557,633
(428,303)
99,344,967

Page 42

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

19. Analysis of net assets between funds (continued)

Analysis of net assets between funds – prior year

Unrestricted
Funds
2023
£
Restricted
Funds
2023
£
Tangible fixed assets
3,616,441
-
Fixed asset investments
18,405,321
-
Investment property
3,156,798
-
Current assets
413,215
25,496
Creditors due within one year
(523,147)
-
Total
25,068,628
25,496		 Total
Funds
2023
£
3,616,441
18,405,321
3,156,798
438,711
(523,147)
25,094,124
20. Reconciliation of net movement in funds to net cash flow from operating activities 20. Reconciliation of net movement in funds to net cash flow from operating activities 20. Reconciliation of net movement in funds to net cash flow from operating activities
Group Group
2024 2023
£ £
Net income for the year (as per Statement of Financial Activities) 74,250,843 (1,816,180)
Adjustments for:
Depreciation charges 261,083 259,154
Investment property gain (814,970) (631,938)
Gains on investments (1,244,695) 418,938
Dividends, interests and rents from investments (74,024) (51,270)
(Increase)/decrease in stocks 169 (13,481)
(Increase)/decrease in debtors (39,321,621) (107,372)
Increase/(decrease) in creditors (94,844) 288,192
(Increase)/decrease in current assets held for sale (6,977,521) -
Other investment movements 88,903 77,300
Exchange rate gains 2,275 4,293
Legacy fixed assets and investments received (1,000,000) -
Total funds 25,075,598 (1,572,364)
21. Analysis of cash and cash equivalents
Group Group
2024 2023
£ £
Cash in hand 27,013,159 193,210
Total cash and cash equivalents 27,013,159 193,210

Page 43

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

22. Analysis of changes in net debt

At 1 April Cash flows At 31 March
2023 £ 2024
£ £
Cash in hand 193,210 26,819,949 27,013,159
Total cash and cash equivalents 193,210 26,819,949 27,013,159
23. Capital commitments
Group Group Company
Company
2024 2023 2024
2023
£ £ £
£
Contracted for but not provided in
these financial statements
Acquisition of tangible fixed assets - - -
-

24. Operating lease commitments

At the reporting end date the Charity had outstanding commitments for future minimum payments under non-cancellable operating leases, which fall due as follows:

Within one year
Between two and five years		 Group
2024
£
11,604
13,968
25,572		 Group
2023
£
6,449
11,610

18,059

Amounts recognised in profit or loss as an expense during the period in respect of operating lease arrangements was £10,794 (2023: £17,657).

25. Pensions commitments

The Foundation maintains a pension scheme covering all of its permanent and casual employees. It is a defined contribution scheme (employer 10%) administered by the Trustees. Its funds are kept separate from those of the Foundation. Contributions outstanding at 31 March 2024 were £12,000 (2023: £10,300). The pension cost charge represents contributions payable by the Foundation in accordance with the rules of the scheme.

26. Principal subsidiary

The following was a subsidiary undertaking of the Company:

Name Company
number		 Holding Included in
consolidation
Ditchley Park Conference Centre Limited 01944182 100% Yes

Page 44

The Ditchley Foundation (A Company Limited by Guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

27. Principal subsidiary (continued)

The financial results of the subsidiary for the year were:

Profit/(Loss)
Name Income Expenditure for the year Net assets
£ £ £ £
Ditchley Park Conference
Centre Limited 814,507 378,974 435,533 435,535

The registered office is Ditchley Park, Enstone, Chipping Norton, Oxfordshire OX7 4ER.

28. Related party transactions

In the year, 4 Trustees (2023: 8 Trustees) made donations totalling £14,160 (2023: £53,063) to the Foundation under the 1580 Fellowship Scheme.

In the previous year, Dr C Wills, who was a Trustee, was also a Trustee of The HDH Wills 1965 Charitable Trust. During the previous year The HDH Wills Charitable Trust charged the Foundation £63,491. At the year end the Foundation owed £7,422.

During the previous period, the Foundation also recharged The HDH Wills 1965 Charitable Trust £2,598. At the previous year end the Foundation was owed £Nil.

The wife of the Foundation’s Director, K Arroyo, was paid £19,000 in the year (2023: £6,000) for interior design consultancy work as part of the second floor, east wing and lower ground floor projects.

Marjorie Neasham Glasgow, who is a Trustee, was also a Trustee of The Glasgow Foundation. During the year, The Glasgow Foundation, donated £20,252 (2023: £39,608) to the Foundation.

Jamie Merisotis, who is a Trustee, was also a Trustee of Lumina Foundation. During the year, The Lumina Foundation, donated £475,174 to the Foundation.

Page 45