2025-08-31-accounts

City and Guilds Art School Property Trust

Annual Report and Financial statements

31 August 2025

Company Limited by Guarantee Registration Number 00992490 (England and Wales)

Charity Registration Number 312871

Contents

Reports

Reference and administrative information	1
Trustees’ report	2
Independentauditor'sreport	7

Financial statements

Statement of financial activities	12
Balance sheet	13
Statement of cash flows	14
Principal accounting policies	15
Notestothefinancialstatements	18

City and Guilds Art School Property Trust

Reference and administrative information

Trustees	John Taylor MBE (Chairman)
	Robin Broadhurst CVO CBE (appointed 27 November 2024)
	Humphrey Carey
	Aidan Crawshaw (resigned 12 March 2025)
	Brendan Finucane KC
	Heather Hilburn (resigned 19 November 2025)
	Francis Maude (appointed 25 June 2025)
	Timothy Schroder
	Sir Alan Yarrow
Secretary	Nicholas Rampley
Registered office	City and Guilds ofLondon Art School
	124 Kennington Park Road
	London SE11 4DJ
Telephone	020 7735 2306
Principal office	124 Kennington Park Road
	London SE11 4DJ
Telephone	020 7735 2306
Auditor	Buzzacott Audit LLP
	130 Wood Street
	London EC2V 6DL
Bankers	Barclays Bank plc
	Southwark Branch
	29 Borough High Street
	London SE1 i1LY
Company	00992490 (England and Wales)
registration number
Charity registration	312871
number

City and Guilds Art School Property Trust 1

Trustees’ report Year to 31 August 2025

The Board of Trustees (“the Board”) of City and Guilds Art School Property Trust ("the Charity”) presents its annual report and the audited financial statements for the year ended 31 August 2025.

The report has been prepared in accordance with Part 8 of the Charities Act 2011 and is also the report of the directors for the purposes of the Companies Act 2006.

The financial statements have been prepared under the accounting policies set out therein and comply with applicable law and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of ireland (FRS 102).

Constitution

The Charity is registered as a company and has the status of a company limited by guarantee, not having a share capital. Its governing document is its Memorandum and Articles of Association dated 30 September 1970 and amended to allow for current governance arrangements on 7 March 2006.

Principal aims and activities

The principal aim of the Charity, which was founded in 1879, is to support the teaching and training of students in the arts, crafts and sciences of the Fine Arts. This activity is consistent with the objects contained within the Memorandum of Association of the Charity.

On 31 March 2012, the educational activities of the City and Guilds of London Art School Ltd (‘the Art School’) were transferred to CGLAS Trust (Company No: 07817519) under a business transfer agreement. CGLAS subsequently changed its name to the City and Guilds of London Art School Limited and is continuing the educational activities of the Art School. The Charity changed its name on 17 April 2012 from the City and Guilds of London Art School to the City and Guilds Art School Property Trust. The objects of the Charity have not changed.

The Art School’s land and buildings at 114 — 124 Kennington Park Road were retained by the Charity whose principal activity today is to maintain and develop these properties for the ongoing benefit of the Art School, in accordance with a phased masterplan established in 2008/09. This also includes the renting of additional property, such as the Old Vauxhall Telephone Exchange Building in adjacent Kennings Way, as required to deliver the masterplan and to support the Art School’s development in other ways.

Governance, structure and management

Organisation

The Trustees are directors of the Charity for the purposes of the Companies Act 2006 and are Trustees of the Charity for the purposes of Charity legislation.

Appointment to the Board of Trustees are matters for consideration of the Board of Trustees as a whole.

City and Guilds Art School Property Trust 2

Trustees’ report Year to 31 August 2025

Governance, structure and management (continued)

Organisation (continued)

The Board is the policy-making body of the Charity. It is assisted by the Secretary, who is appointed by the Board.

Administrative, fundraising and other tasks are performed by staff employed by the City and Guilds of London Art School. An annual management charge is levied by the Art School in consideration of this.

Risk management

The Trustees have assessed the major risks to which the Charity is exposed. In particular, these relate to the Charity’s finances, buildings and health and safety matters.

All areas of risk are monitored through the Charity’s governance structure which identifies the lines of responsibility and decision making — administrative and financial, and in particular those relating to the planning and execution of major building refurbishment projects.

The Trustees ensure that the Charity’s operations are protected against significant risk through an annual monitoring cycle and risk assessment. The Charity has a comprehensive insurance cover against key areas of risk; in addition to Public Liability Insurance cover up to £10m and Director's Liability cover up to £2m. The Charity’s buildings are insured at their full re-build value.

The Board is satisfied that systems are in place to mitigate, or control where possible, the Charity’s exposure to these risks.

Key management personnel

The key management personnel of the Charity are the Trustees and the Company Secretary. The Trustees do not receive remuneration from the Charity. The Company Secretary is an employee of the City and Guilds of London Art School and his services form part of the tasks for which the Art School levies a management charge as mentioned above.

Statement of Trustees’ responsibilities

The Trustees (who are also directors of the Property Trust for the purposes of company law) are responsible for preparing the Trustees’ report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the income and expenditure of the charitable company for that period.

In preparing these financial statements, the Trustees are required to:

• @ select suitable accounting policies and then apply them consistently;

City and Guilds Art School Property Trust 3

Trustees’ report Year to 31 August 2025

Governance, structure and management (continued)

Statement of Trustees’ responsibilities (continued)

• observe the methods and principles in Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102);

• make judgements and estimates that are reasonable and prudent; state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• ¢# prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Each of the Trustees confirms that:

• ¢ so far as the Trustee is aware, there is no relevant audit information of which the Charity’s auditors are unaware; and

• ¢ the Trustee has taken all the steps that he or she ought to have taken as a Trustee in order to make themselves aware of any relevant audit information and to establish that the Charity’s auditors are aware of that information.

• This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006.

Board of Trustees

The members who are in office at the date of this report are listed on page 1

No Trustee received any remuneration for services as a member of the Board (2024 — none) and no Trustee was reimbursed for travelling expenses (2024 — none).

Objectives and relevant policies

The Charity’s objectives are set to reflect its educational aims and ethos. In setting these, the Trustees have given due consideration to the Charity Commission’s general guidance on public benefit.

City and Guilds Art School Property Trust 4

Trustees’ report Year to 31 August 2025

Objectives and relevant policies (continued)

The Charity’s key objectives for the year included:

• ¢ Maintaining the Charity’s property in good order for the benefit of the Art School, through a programme of annual maintenance and repair work;

• ¢ Tocontinue to support the Art School in its work and strategic objectives in any other ways appropriate, in line with the Charity’s stated objects.

Grant-giving policy

The Property Trust does not actively solicit grant applications, however from time to time may award grants to institutions. In previous years the Property Trust has made grants to the City and Guilds of London Art School, in order to further the Trust’s objective to support the Art School. The grant amounts are discussed and approved by the Board of Trustees.

Activities

Development project and other refurbishments

No major development work took place during the year, as the Art School consolidates its position and begins to consider a new Strategic Plan which will help direct how the Trust can best support it. During the course of the year the Trust has continued to pursue the renewal of planning consent for the ‘Phase 3’ development project for which consents had previously been granted, and in negotiation of the lease renewal for the two floors of the Vauxhall Telephone Exchange building which the Trust rents from British Telecom. Aside from that, the main refurbishment work the Trust supported was the continued repairs to the roofing, particularly of the Victorian art studios, and structural repairs and renovations to the rear of 114 Kennington Park Road.

Financial Review

Results for the year

The Charity’s funds structure is made up of two unrestricted funds, the general fund and the designated fixed asset fund, as well as restricted funds that are held for specific purposes. In order to separate the impact of the property development within the financial statements, the Charity established a designated fund to represent the value of its tangible fixed assets. When the Charity incurs expenditure on tangible fixed assets, which is capitalised, the amounts are transferred from other revenue funds to the designated fund.

The restricted funds of the Charity relate to funds received for the development of the properties. These funds are either expended during the year on the properties or transferred to the designated fixed asset fund when costs are incurred for work on the properties which is capitalised. The Charity recorded an operating surplus on unrestricted funds before transfers of £66,689 (2024 — £33,538).

Due to the temporary suspension of significant development activity pending review of the accommodation and facilities needed to meet the Art School's longer-term requirements, the Charity raised E£nil of restricted donations during the year (2024 — Enil).

City and Guilds Art School Property Trust 5

John Taylor MBE (Chairman)

Independent auditor’s report Year to 31 August 2025

Independent auditor’s report to the members of City and Guilds Art School Property Trust

Opinion

We have audited the financial statements of City and Guilds Art School Property Trust (the ‘charitable company’) for the year ended 31 August 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows, the principal accounting policies and the notes to the financial statements. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

• ¢ give a true and fair view of the state of the charitable company’s affairs as at 31 August 2025 and of its income and expenditure for the year then ended;

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

• have been prepared in accordance with the requirements of the Companies Act 2006.

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

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

City and Guilds Art School Property Trust 7

Independent auditor’s report Year to 31 August 2025

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.

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:

• ¢ the information given in the trustees’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• ¢ the trustees’ report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable 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:

• adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

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

• certain disclosures of trustees’ remuneration specified by law are not made; or

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

• the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the trustees’ report and from the requirement to prepare a strategic report.

City and Guilds Art School Property Trust 8

Independent auditor’s report Year to 31 August 2025

Responsibilities of trustees

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

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

Auditor’s responsibilities for the audit of the financial statements

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

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

• ¢ the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

• @ weobtained an understanding of the legal and regulatory frameworks that are applicable to the charitable company and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework (Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011) and Companies Act 2006; and

• ¢ — identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

City and Guilds Art School Property Trust 9

Independent auditor’s report Year to 31 August 2025

Auditor’s responsibilities for the audit of the financial statements (continued)

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

• making enquiries of management as to their knowledge of actual, suspected and alleged fraud; and

• ¢ considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

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

• ¢ performed analytical procedures to identify any unusual or unexpected relationships;

• reviewed journal entries to identify unusual transactions;

• assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias;

• tested authorisation controls on expenditure items, ensuring all expenditure was approved in line with the charitable company’s financial procedures; and

• ¢ performed substantive testing over income to gain assurance that the income recognised was materially complete.

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

• agreeing financial statement disclosures to underlying supporting documentation;

• reading the minutes of meetings of those charged with governance; and

• @ enquiring of management as to actual and potential litigation and claims.

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 non-compliance 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.

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.

City and Guilds Art School Property Trust 10

26 March 2026

Statement of financial activities (including income and expenditure account) Year to 31 August 2025

		Unrestricted funds	Unrestricted funds
					2025	2024
		General	Designated	Restricted	Total	Total
		fund	funds	funds	funds	funds
	Notes	£	£	£	£	£
Income from:
Donations		_	_	—_	_	_—
Charitable activities
, Rent receivable	15	315,164	—_—	—	315,164	307,573
Total income		315,164	_	—_—	315,164	307,573
Expenditure on:
Charitable activities
. Costs ofoperating the Charity
.. Premises		154,279	78,150	—_—	232,429	237,470
.. Support costs	2	94,196	—	_—	94,196	114,692
Total expenditure		248,475	78,150	_—	326,625	352,162
Net income (expenditure)	1	66,689	(78,150)	_	(11,461)	(44,589)
Transfers between funds	9	(49,871)	49,871	_—	—	—
Net movement in funds		16,818	(28,279)	_	(11,461)	(44,589)
Fund balances brought forward
at1September 2024		(39,624)	1,479,666	—	1,440,042	1,484,631
Fund balances carried forward
at31August2025		(22,806)	1,451,387	—	1,428,581	1,440,042

All of the Charity’s activities derived from continuing operations during the above two financial years.

The Charity has no recognised gains and losses other than those shown above.

A comparative statement for the previous year is included in note 16.

City and Guilds Art School Property Trust 12

John Taylor MBE (Chairman)

Statement of cash flows 31 August 2025

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----- Start of picture text -----
||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |Year|to|Year|to| |31|August|31|August| |2025|2024| |Notes|£|£| |Net|cash|flows|provided|by|operating|activities|A|49,757|38,184| |Net|cash|flows|(used|in)|investing|activities|B|(49,871)|(51,290)| |Net|cash|flows|(used|in) financing|activities|Cc|—|(36,975)| |Change|in|cash|and|cash|equivalents|in|the|year|(114)|(50,081)| |Cash|and|cash|equivalents|at|the|beginning|of the|year|57,766|107,848| |Cash|and|cash|equivalents|at|the|end|of the|year|D|57,652|57,766|

----- End of picture text -----

Notes to the cash flow statement for the year to 31 August 2025

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----- Start of picture text -----
||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |A|Reconciliation|of|net|income|to|net|cash|provided|by|operating|activities| |2025|2024| |£|£| |Net|(expenditure)|(11,461)|(44,589)| |Depreciation|charge|78,150|78,127| |(Increase)|in|debtors|(65,047)|(49,846)| |Increase|in|creditors|48,115|54,492| |Net|cash|provided|by|operating|activities|49,757|38,184| |B|Cash|flows|from|investing|activities:| |2025|2024| |—————S| |a|——————| |Purchase|of tangible|fixed|assets|(49,871)|(51,290)| |Net|cash|(used|in)|investing|activities|(49,871)|(51,290)| |C|Cash|flows|from|financing|activities:| |2025|2024| |DEE| |Repayments|of|borrowing|—|(36,975)| |Net|cash|(used|in)|financing|activities|—|(39,975)| |D|Analysis|of cash|and|cash|equivalents| |31|August|31|August| |2025|2024| |Le| |aaa|es| |Cash|at|bank|and|in|hand|57,652|57,766|

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City and Guilds Art School Property Trust 14

Principal accounting policies 31 August 2025

Basis of accounting

The financial statements have been prepared under the historical cost convention with items initially recognised at cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (‘Charities FRS 102 SORP’), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The charity constitutes a public benefit entity as defined by FRS 102.

The accounts are presented in sterling and are rounded to the nearest pound.

Critical accounting estimates and areas of judgement

Preparation of the accounts requires the Trustees and management to make significant judgements and estimates.

The items in the accounts where these judgements and estimates have been made include:

• ¢ the useful economic lives attributed to tangible fixed assets used to determine the annual depreciation charge;

• ¢ estimates in respect to accrued expenditure; and

• judgements relating to the lease renewal of the Telephone Exchange building which the Trust rents from British Telecom and the provision for an increase in rent pending the renewal of the lease.

Going concern

The Trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. The Trustees have made this assessment in respect to a period of one year from the date of approval of these financial statements. The Board has examined the requirement for free reserves i.e. those funds not invested in tangible fixed assets, not designated for specific purposes, not restricted and not otherwise committed. At 31 August 2025 the Charity held negative free reserves of £22,806. The Board has carefully reviewed the Charity’s cash flow position. It considers that, given its limited plans for the immediate future, careful cash-flow management especially in respect of its obligations to and amounts due from the Art School, will, notwithstanding the net current liabilities and the free reserves deficit position, provide the Charity with sufficient working capital to meet its liabilities out of its core rental income as they fall due. However, it also recognises that should its liquidity needs require it, the Charity’s assets would provide adequate security to obtain a loan. The Trustees have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern.

City and Guilds Art School Property Trust 15

Principal accounting policies 31 August 2025

Income

Income is recognised in the period in which the Charity is entitled to its receipt and the amount can be measured with reasonable certainty.

Fees receivable and charges for services and use of premises are accounted for in the period in which the service is provided.

Expenditure

Expenditure is included in the statement of financial activities when incurred. Expenditure comprises the costs of charitable activities on the Charity’s primary charitable purpose, i.e. the operation of the Charity. The costs of operating the Charity include the costs of premises and governance costs.

Grants payable are included in the statement of financial activities when approved by the trustees and when the intended recipient has either received all the funds, or has been informed of the decision to make the grants and has satisfied all relevant and due terms and conditions.

Tangible fixed assets

Assets are included in these financial statements at cost at the date of acquisition together with the cost of additions and improvements to date.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:

• « Freehold property 2% on cost; « Freehold property improvements 4%-10% on cost;

@ Leasehold property The minimum life of the lease.

Debtors

Debtors are recognised at the settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.

Cash at bank and in hand

Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. Deposits for more than three months but léss than one year have been disclosed as short term deposits. Cash placed on deposit for more than one year is disclosed as a fixed asset investment.

City and Guilds Art School Property Trust 16

Principal accounting policies 31 August 2025

Creditors and provisions

Creditors and provisions 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. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material.

Financial instruments

The Trust only holds basic financial instruments as defined in FRS 102. The financial assets and financial liabilities of the Trust and their measurement basis are as follows:

Financial assets — trade and other debtors are basic financial instruments and are debt instruments measured at amortised cost as detailed in note 6. Prepayments are not financial instruments.

Cash at bank— is classified as a basic financial instrument and is measured at face value.

Financial liabilities — trade creditors, accruals and other creditors are financial instruments, and are measured at amortised cost as detailed in note 7. Taxation and social security are not included in the financial instruments disclosure definition. Deferred income is not deemed to be a financial liability, as the cash settlement has already taken place and there is an obligation to deliver services rather than cash or another financial instrument.

Fund accounting

The general fund comprises those monies which may be used towards meeting the charitable objectives of the Charity at the discretion of the Board.

Within unrestricted funds, the designated fund represents the net book value of the Charity’s tangible fixed assets.

The restricted funds are monies raised for, and their use restricted to, a specific purpose, or donations subject to conditions imposed by the donor.

City and Guilds Art School Property Trust 17

Notes to the financial statements Year to 31 August 2025

1	Net expenditure
	This is stated after charging:
		General	Designated	Restricted	Total
		fund	funds	funds	2025
	EEEE
	Auditor's remuneration:
	. Statutory audit services	5,505	_—	_	5,505
	Depreciation	_—	78,150	_—	78,150
	Operating lease rentals	145,620	—_—	—_	145,620
		General	Designated	Restricted	Total
		fund	funds	funds	2024
	———
	Auditor's remuneration:
	. Statutoryauditservices	5,346	—	—_	5,345
	Depreciation	_	78,127	_—	78,127
	Operating lease rentals	145,620	—-	_—	145,620
2	Support costs
				2025	2024
	eee seepp
	Management charges from the City and Guilds ofLondon
	Art School			54,196	53,605
	Insurance			19,243	19,010
	Legal and professional fees			15,135	35,356
	Governance costs			5,505	5,345
	Interest on loans and bank charges			117	1,376
				94,196	114,692

3 Staff costs and Trustees’ remuneration

The average number of staff employed by the charity in the year was nil (2024 — nil). The Charity’s total staff costs in the year were therefore £nil (2024 — Enil).

No Trustee received any remuneration or other emoluments in respect of their services as a member of the Board during the year (2024 — none). No Trustees were reimbursed for travelling expenses during the year (2024 — none).

The Charity has purchased insurance to protect itself from any loss arising from the neglect or defaults of its Trustees, employees and agents and to indemnify the Trustees or other officers against the consequences of any neglect or default on their part. The insurance premium provided cover of up to a maximum of £2 million (2024 ~ £2 million).

The aggregate remuneration of key management personnel was Enil (2024 ~— Enil). In the year ended 31 August 2025, key management personnel consisted of the Trustees and the Company Secretary who was an employee of the City and Guilds of London Art School.

4 Taxation

City and Guilds Art School Property Trust is a registered Charity and therefore is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

City and Guilds Art School Property Trust 18

Notes to the financial statements Year to 31 August 2025

5 Tangible fixed assets

		Freehold	Freehold
	Leasehold property	land and property	property improvements	Total
	£	£	£	£
Cost
At 1 September 2024	383,582	595,872	1,528,822	2,508,276
Additions	_—	—	49,871	49,871
At 31 August2025	383,582	595,872	1,578,693	2,558,147
Depreciation
At 1 September2024	379,104	240,392	409,114	1,028,610
Charge foryear	3,488	8,036	66,626	78,150
At 31 August 2025	382,592	248,428	475,740	1,106,760
Net book values
At 31 August2025	990	347,444	1,102,953	1,451,387
At31August2024	4,478	355,480	1,119,708	1,479,666

An indicative valuation of Freehold land and property has been conducted during the year, and in the opinion of the Trustees, the market value of[the][ freehold][property][is][well][in][excess] of the figure shown above.

6	Debtors
		2025	2024
	EE
	Other debtors	164,739	99,692
		164,739	99,692
7	Creditors: amounts falling due within one year
		2025	2024
	EE
	Trade creditors	41,574	16,625
	Social security and othertaxes	12,720	12,380
	Other creditors	—_	41,330
	Accruals and deferred income	190,903	126,747
		245,197	197,082

City and Guilds Art School Property Trust 19

Notes to the financial statements Year to 31 August 2025

• 7 Creditors: amounts falling due within one year (continued) Included within creditors is the following deferred income, analysed as follows and which relates to an increase in rent pending the renewal of a lease:

	2025	2024
a,
At 1 September	121,747	71,157
Deferred in the year	70,060	71,902
Released in the year	(22,056)	(21,311)
At31August	169,752	121,747

8 Restricted funds

The income funds include restricted funds comprising the following donations and grants held on trusts to be applied for specific purposes:

	Balance				Balance
	at 1				at 31
	September 2024	Donations	Expenditure	Transfers	August 2025
EEE—————			—————
Development Fund	—	_	—	_	_—
	Balance				Balance
	at 1				at 37
	September				August
	2023	Donations	Expenditure	Transfers	2024
EEEEE
DevelopmentFund	_	_—	_	_	_

The Development Fund represents funds donated for the specific purpose of funding the Charity’s Masterplan development. Expenditure on work which is capital in nature is transferred to a designated fixed asset fund, as explained in note 9 below. Expenditure relating to professional fees for design and other planning work on current and future masterplan phases are expended.

City and Guilds Art School Property Trust 20

Notes to the financial statements Year to 31 August 2025

9 Unrestricted Funds

Unrestricted Funds
	Balance				Balance
	at 1				at 1
	September				September
	2024	Income	Expenditure	Transfers	2025
og9			5
General Fund	(39,624)	315,164	(248,475)	(49,871)	(22,806)
Designated Fund	1,479,666	—_	(78,150)	49,871	1,451,387
	1,440,042	315,164	(326,625)	—	1,428,581
	Balance				Balance
	at1				at 1
	September 2023	Income	Expenditure	Transfers	September 2024
EEEEE					EE
GeneralFund	(21,872)	307,573	(274,035)	(51,290)	(39,624)
DesignatedFund	1,506,503	—	(78,127)	51,290	1,479,666
	1,484,631	307,573	(352,162)	—	1,440,042

Designated fixed assets funds: In order to separate the impact of the property development within the financial statements, the Charity established a designated fund to represent the value of its tangible fixed assets. When the Charity incurs expenditure on tangible fixed assets, the amounts are transferred from other revenue funds to the designated fund.

A total of £49,871 (2024 — £51,290) was transferred to the designated fund during the year, representing capital additions. No capital work was funded from the restricted funds (2024 ~— none). The general fund showeda deficit of £22,806 (2024 — deficit of £39,624) at the end of the financial year.

10 Analysis of net assets between funds

	General	Designated	Restricted	Total
	fund	funds	funds	2025
EE,Mt.				Mt.
Fund balances at 31 August 2025
are represented by:
Tangible fixed assets	—_—	1,451,387	_—	1,451,387
Current assets	222,391	—	—	222,391
Creditors: amounts falling due within one year	(245,197)	—	—	(245,197)
Totalnetassets	(22,806)	1,451,387	—	1,428,581

City and Guilds Art School Property Trust 21

Notes to the financial statements Year to 31 August 2025

11 Analysis of net assets between funds (continued)

==> picture [403 x 122] intentionally omitted <==

----- Start of picture text -----
||||||| |---|---|---|---|---|---| |General|Designated|Restricted|Total| |fund|funds|funds|2024| |EEE| |Fund|balances|at|31|August 2024| |are|represented|by:| |Tangible|fixed assets|—|1,479,666||1,479,666| |Current|assets|157,458||—|157,458| |Creditors:|amounts|falling|due|within|one| |year|(197,082)|—|—|(197,082)| |Total net assets|(39,624)|1,479,666|_|1,440,042|

----- End of picture text -----

12 Liability of members

The Charity is constituted as a company limited by guarantee. In the event of the Charity being wound up members are required to contribute an amount not exceeding £1 each.

13 Leasing commitments

Operating leases

At 31 August 2025 the total of the Charity’s future minimum payments under non-cancellable operating leases was:

==> picture [401 x 65] intentionally omitted <==

----- Start of picture text -----
|||||||||| |---|---|---|---|---|---|---|---|---| |Buildings| |2025|2024| |er|ee| |Amounts|due|within|one year|145,620|145,620| |Amounts|due|between|one|and|five|years|145,620|291,290|

----- End of picture text -----

The buildings operating lease relates to the sub-lease of premises in the Old Vauxhall Telephone Exchange in Kennings Way for the period up to the first break clause. The previous lease expired in late September 2022 and Heads of Terms for a new lease from the date of that expiry were agreed at an increased rental which has been duly accounted for in 2024/25.

14 Capital commitments

As at 31 August 2025, the Charity had capital commitments of £nil (2024 — Enil).

15 Related party transactions

Administrative, fundraising and other tasks are performed by staff employed by the City and Guilds of London Art School, including members of the School’s key management personnel. An annual management charge is levied by the Art School in consideration of this. The Art School charged the Charity a management fee for services provided of £54,196 (2024 — £53,737), of which £8,668 was outstanding at the year end. The Trust recognised rental income from the Art School of £315,164 plus VAT in rent during the year (2024 — £307,573 plus VAT), of which £nil was outstanding at the year end.

City and Guilds Art School Property Trust 22

Notes to the financial statements Year to 31 August 2025

16 Comparative statement of financial activities

		Unrestricted funds	Unrestricted funds
					2024
		General fund	Designated funds	_Restricted funds	Total funds
oesEEE
Income from:
Donations		_	_—	—	—
Charitable activities
. Rentreceivable	15	307,573	_	—	307,573
Totalincome		307,573	_—	—	307,573
Expenditure on:
Charitable activities
. Costs ofoperating the Charity
.. Premises		159,343	78,127	—	237,470
.. Supportcosts	2	114,692	—_	_—	114,692
Totalexpenditure		274,035	78,127	—	352,162
Netincome (expenditure)	1	33,538	(78,127)	_	(44,589)
Transfersbetween funds	10	(51,290)	51,290	—	—
Netmovement in funds		(17,752)	(26,837)	_	(44,589)
Fundbalances brought forward
at 1 September2023		(21,872)	1,506,503	—	1,484,631
Fund balances carried forward
at31August2024		(39,624)	1,479,666	_	1,440,042

City and Guilds Art School Property Trust 23