Charity registration number 504347 Company reglstration number 01208214 (England and Wales HOWICK TRUSTEES LIMITED (A CHARITABLE COMPANY LIMITED BY GUARANTEE) GOVERNORS, ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 HOWICK TRUSTEES LIMITED LEGAL AND ADMINISTRATIVE INFORMATION Governors Dr David E.C. Baring Mark G.0. Bridgeman Sir Walter J.B. Riddell Bt Matthew G. Darby Victoria J. Baring David G. Knott Nick Lane Fox Se¢￿tary Mr G. Waller Charity number 504347 Company number 01208214 Registered office Howick Estate Office Howick Alnwick Northumberland NE66 3LB Auditor Greaves West & Ayre 17 Walkergate Berwick-upon-Tweed Northumberland TD15 1DJ Bankers Barclays Bank PIC Lloyds Bank PIC Land Agents GSC Grays SF Linnet Court Cawledge Business Park Alnwick Northumberland NE66 2GD Independent Financial Advisors Charles Stanley & Co. Limited 55 Bishopsgate London EC2N 3AS HOWICK TRUSTEES LIMITED CONTENTS Page Chairman's Report Governors, report Independent auditor's report 8- 11 statement of financial activities 12-13 Balance sheet 14-15 Statement of cash flows 16 Notes to the financial statements 17-38 HOWICK TRUSTEES LIMITED CHAIRMAN'S REPORT FOR THE YEAR ENDED 31 MARCH 2025 CHAIRMAN'S REPORT 2024 12025 2024 leading into 2025 held no great surprises and allowed us to look at the operations in the whole. The overall position of the charity remains strong but there are areas that need to be addressed to allow the charity to maintain its security. It is asset rich but increasing overheads result in a cash deficit. The Trustees will need to consider how best to adjust this position. We can aim to increase revenue over time but until this occurs there will have to be limitations on "Unne￿ssary' expenditure. We have completed nearly all the drainage infrastructure projects required with one area left to do - operations continue on the wider estate in this regard. Until they are completed, we cannot do the final element on the Trustees side due to contractor limitations. Since the last report the visitor business has operated as normal. The wet start to 2024 significantly impacted visitor numbers and we ended up 2300 down on the preceding year (income slightly rose due to increased entry fees). 2025 had a much better start and numbers are tracking up by about 1000 at the end of July 2025 in comparison to 2024 (income is up significantly). There have not been any major losses on the arbori¢ultural side. We continue to experience more extreme weather events. but the storms have come from more usual directions without major devastation. However, tidying up and ensuring site safety thereafter do occupy the team. We recruited a new Head Gardener, Marcus Wilson, who started in March, and he is successfully getting involved. Robert Jamieson, the retiring Head Gardener who remains local, has kindly agreed to keep on top of the database for 12 months to allow Marcus to concentrate on the green and woody elements. The volunteers remain central to helping keep the visitor experience going and numbers remain good providing a whole range of activities (tours, gardening, visitor centre, photography to name but a few). We are as ever extremely grateful for all their assistance. Work in the arboretum Continues and the Garden and Arboretum Committee is now well established, meeting I￿l¢e a year. We remain closely connected with the team at Royal Botani¢ Gardens Edinburgh and Kew. The holiday let business has remained strong although the local market has suffered the location we have has proteGted our numbers with many returning customers. We had the opportunity to let out a cottage in the village for the second half of 2024, until it was occupied by the retiring Head Gardener. It proved very popular and shows there remains a strong demand in the area for this sort of holiday let. There are plans for 2026 for the Bathing House let to run in house rather than via agency allowing a 100h saving on commission. The residential property portfolio has largely remained unchanged. We continue with regular propety inspections and making sure the compliance conditions are met appropriately. As ever getting trades remains challenging and we are fortunate to have a bank of trades who are familiar with the estate and help keep things progressing. The impending Renters Reform Act meant we have done a review of the property portfolio. There has been a drift in the rental income over the years and with increased inflation we are behind appropriate market levels. We have been able to agree more appropriate levels with most parties. This will improve income and allow greater resources to deliver the compliance obligations necessary. There have been no changes in personnel in the Estate office. GSC Grays continue to support the team with accounts and advice as required. KAM Catering continue to deliver the services in the tea rooms. The banking has moved to Lloyds bank for the Trustees and Howick Hall Ltd. It has been a busy year, and the various teams have continued to work diligently and I remain immensely grateful for all their efforts. The overall picture for the charity remains viable. The cashflow needs to be carefully managed along with any future developments to ensure things head in the right direction. Dr David E C Baring Chairman Date.. 15 September 2025 HOWICK TRUSTEES LIMITED GOVERNORS. REPORT (INCLUDING DIRECTORS. REPORT) FOR THE YEAR ENDED 31 MARCH 2025 The Governors present their annual report and financial statements of Howick Trustees Limited ("HT"I for the year ended 31 March 2025. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the HT'S Articles ofAssociation, the Companies Act 2006 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 UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The financial statements record the results of HT having taken advantage of exemptions not to prepare consolidated group accounts. Objectives and activitles The objectives for which HT is established are= the acquisition and preservation and conservation and improvement for the benefit of the public of places of historical or archaeological interest or of natural or cultivated beauty in Northumberland and the provision of ready access to them by the public., to advance the education of the public in matters of conservation, horticulture, architecture, the arts and the history of Howick and the surrounding area in particular by the display and exhibition of related ar￿Ork and the supply of interpretive and educational materials. The principle activity of HT is to maintsin and develop the garden and arboretum at Howi¢k, with ils surrounding countryside; if there are spare funds available after that, they are spent on other objectives. It also intends to restore the ground floor of Howick Hall and open it to the public in conjunction with the garden. HOWICK TRUSTEES LIMITED GOVERNORS. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Public Benefit The Govemors have regard to the guidance on public benefit issued by the Charity Commission and o)nsider that HT fulfils its obligations to comply with charitable status by.. opening Howick Hall Gardens and Arboretum to the public for a small charge every day from early Spring until late Autumn; developing an education programme on the local flora and fauna for both visitors and local schools-, and opening the front hall on the ground floor of Howick Hall as a Visitor Centre to increase the information on the Gardens and Arboretum available to the public. In the opinion of the Govemors, HT contributes to three of the Charity Commission's tests for public benefit-_ 1. the advancement of the arts, culture, heritage or scien￿. 2. the advancement of environmental protection or improvement. 3. the advancement of education. HT contributes to heritage by protecting the property in its ownership, which has high heritage value and making most of it open to the publi¢. The arboretum has scientifiG value since it is entirely planted with trees and shrubs grown from seed collected in the wild under duly authorised permits where relevant, fully documented, mapped and with a computerised data base, some of which is now on HT'S website. HT'S policy is to manage the land it owns to enhance its environmental value for the natural world where possible. HT wishes to increase its educational role, particularly for children, in all aspects of nature but recognises that it can only do so within the constraints of funds available to it. The licence to the North-East branch of the National Autistic Society to create a Sensory Garden outside of the south wall of the old walled garden has been renewed for a further 12 months. Fixed Assets HT owns the freehold of approximately 1,215 acres of land in Northumberland, nearly all of which was received by gift from Lord Howick in 1977 and later years. About 1,182 acres are National Landscapes and includes nearly 2 miles of shoreline which is a Site of Special Scientific Interest, and part of the Northumberland Coast Special Protection Area. It has also been designated a Special Area of Conservation by the European Commission. The main parts of the Estate are three farms tenanted at normal commercial rates with farm buildings and houses amounting to about 820 acres., about 230 acres of mainly broadleaf woodlands-, 30 houses either occupied by HT'S employees and pensioners, or let at normal market rents-, and the centre part, the east quadrant, and the east wing of Howick Hall, all Grade 2" listed buildings and the historic home of the Earls Grey, with its surrounding gardens and policies. Lord Howick retains the freehold of the west quadrant and west wing with its garden. The land and buildings within the National Landscape are treated by the Govemors as functional propety and are held as part of the objeGts of HT'S charitable objectives. Outside the National Landscape, on the other side of the boundary road, HT owns the freehold of about 6 acres of broadleaf woodlands. HT also owns the freehold of a nearby commercial property given to it in 1979 by Lord Howick of about 22 acres let on normal commercial terms to Tarmac Trading Ltd and used by their underlessee to manufacture concrete pipes., the site also Gontsins a mobile telephone mast let on normal commercial terms to EE Ltd. The Govemors treat these assets as investment properties. HOWICK TRUSTEES LIMITED GOVERNORS. REPORT {INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Summary of Policles to Achieve Objectives Howick Hall was the home of the Earls Grey, the most distinguished of whom was the 2nd Earl who was Prime Minister responsible for the Great Reform Bill of 1832, and for whom Earl Grey tea was created. The centre part of Howick Hall was burnt down in 1926 and lost all of its original Georgian interiors and much of its contents. The house was rebuilt to quite different internal designs by Sir Herbert Baker in 1928. and further alterations were made in 1970. The Governors have resolved to maintain the overall style of gardening in the natural and infomial manner established by 5th Earl and Countess Grey in 1920, and continued by their elder daughter, Lady Mary Howick, for which the gardens are well known. Howick is best known for its collection of inter-war daffodils and other spring bulbs, its woodland garden started in 1930 where many tender shrubs succeed in thriving together with many woodland herbaceous plants. its more formal borders and rockery around the Hall, its arboretum planted solely with trees and shrubs from the temperate world grown from wild seed collected on expeditions, and its bog garden which shows all the wild origin herbaceous plants collected on expeditions for the arbO￿tuM. A new Hydrangea Garden was stsrted in the winter of 2015 in the south west comer of the garden and has established well. They have also resolved to continue to concentrate on English hardwoods in the woods at the expense ot commercial conifers to improve their amenity value and habitat for wild life. Because of the 1926 fire, the Governors have always felt that there is greater public benefit in developing and maintaining the gardens, arboretum and surrounding land than there is in the Hall, although the preservation of its exteriors are essential as the centre piece to the garden. The arboretum was started in 1988 and is based upon trees and shrubs grown from seed collected in the wild in their natural habitats from numerous expeditions. particularly to Sichuan in China and to Japan and more recently to North America and Russia. The Asiatic expeditions were mainly undertaken in co-operation with Quarryhill Botanical Garden in California under the leadership of the Royal Botanic Gardens at Kew while those to Japan, Russia and North America in recent years have been under the leadership of Royal Botanic Garden Edinburgh. Other countries visited include India, New Zealand, Tasmania and a number in Europe. The field data on all collections has been recorded on a Microsoft database. much of which is now accessible on HT'S website. The arboretum has been professionally mapped. There are currently about 12,500 trees and shNbs representing about 1,800 taxa, some of which are classified as endangered in their natural habitats. This represents a considerable resource in North East England, which will offer educational opportunities in the future as well as contributing to ex situ aspects of species conservation. The garden has an outstanding collection of early 20th century daffodil hybrids, many of which are no longer available. HT'S policy is to conserve this ¢ollection and not to introduce more recent hybrids into the garden a￿a. As one of the few remaining places in England where the native red squirrel is still to be seen, HT will do it's best to prevent grey squirrels from establishing themselves and will ct>operate with all interested parties to keep them at bay. It has to be said that this will not be easy and the number of grey squirrels controlled is increasing each year. The garden and arboretum are open daily from early spring to late autumn- all details are shown on HT'S website. Flnanclal revlew The Governors Consider that HT has adequate liquidity to meet its liabilities. Its principal sources of income are investments, property rents and garden entran￿ fees. While investment income and property rents are relatively stable and easy to calculate, the Govemors recognise that garden entrance income can be affected by economic conditions and the weather. However, since the actual garden income is known by early November each year. it is possible to adjust expenditure accordingly. It is certain that funds will have to be raised to fund the sewage treatment works across the Estste as mentioned above and the amount required is still being assessed- the Governors will review the options available to raise these funds from the sale of investments or by borrowing or sale of peripheral property. Further details of income and expenditure are set out in the Statement of Financial Activities on pages 12 to 13 together with related notes. HOWICK TRUSTEES LIMITED GOVERNORS. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Reserves It is not HT'S nomal policy to hold revenue reserves which derive from an excess of normal income over normal expenditure-, the Governors intend to spend the income available to them annually on HT'S objectives. The reason for this is that the Govemors consider that HT has sufficient liquidity to meet unforeseen liabilities,. however, they are conscious that HT'S assets should try to generate sufficient income to meet its day to day liabilities, all of which are vulnerable to inflation. The Governors may also accumulate some revenue reserves if they know that there is major expenditure of either a capital or revenue nature in the foreseeable future or if they wish to repay capital reserves previously drawn down. The Governors are prepared to draw down on capital reseNes to further HT'S objectives if in their opinion, HT'S overall financial position justifies it. Investments The Articles of Association confers on HT powers to 'invest funds of the foundation not immediately required for its purposes in or upon such investments, securities or propety as it may think fit., The Govemors have established a policy to invest for the long term for capital growth on a medium risk basis. All investments have been acquired in a¢¢ordance with the powers conferred by the Articles of Association and ¢onform to the policy set by the Governors. The investment portfolio is managed to maintsin a balan￿ be￿een capital gr0￿h and income, with the risk spread widely and this is achieved by concentrating on Common Investment Funds, Fixed Interest Unit Trusts and one International Investment Trust purchased in con5ultstion with HT'S financial advisors, Charfes Stanley & Co. Limited-, Sin￿ these are all mixed funds with a wide range of underlying holdings, the Governors consider that the question of an ethical poliGy for investments does not arise. The Governors have delegated the overseeing of the portfolio to an Investment Committee Consisting of Dr David E C Baring. Mr Mark Bridgeman. Mr Nicholas Lane Fox and Sir Walter Riddell, all of whom have substantial financial experience, under a written policy. The Governors Collectively review the investment performance of each fund formally against the relevant indices annually and the office monitors performance infomially throughout the year. The value of HT'S portfolio decreased from £1,612,661 at 31 March 2024 to £1,585,429 at 31 March 2025. Risk assessment The Governors have developed a number of policies on risk management which are reviewed annually. They consider the major risks facing HT are Public Liability and Employers Liability, Health and Safety, and Financial Management, and the following steps have been taken to mitigate those risks- Public Liability is covered by insurance which is reviewed annually with HT'S insurance brokers. Health and Safety is reviewed annually by an extemal consultant and the recommendations in his report are normally implemented. If any recommendation is not accepted a detailed note is filed regarding the decision and the reasons for it. Under Financial Management, internal controls are reviewed annually on a sample basis in conjunction with our auditors. An annual budget of income and expenditure is prepared for the Governors, approval. All data held on the Computer is backed up regularly and stored off site. Financial Risk Management The Governors have considered the financial risks HT faces. They consider liquidity to be the key risk. This is monitored through the regular review of a range of financial information, including annual budgets of income and expenditure. HOWICK TRUSTEES LIMITED GOVERNORS. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Plans for future periods HT'S future plans have been materially affected by the events (political and pandemic related) of the last few years. The Govemors consider that a substantial part of HT'S income may be adversely affected due to the disruption. The visitor business and holiday let were affected by lockdowns. The stock portfolio initially saw a substantial reduction in valuation which has now recovered. There remains ongoing uncertainty and as such future planning will have to be contingent on these variables. The internal work on the ground floor is now complete. however the facilities created are now open for visitor use however some development is required to expand the opportunities for income generation to recoup the expenditure on the redevelopment. For the time being. therefore, the Governors will continue to manage the garden and arboretum as at p￿Sent. Share Capital HT is a company limited by guarantee, and therefore does not have share capital. The guarantee is provided by the Governors of HT and in the event of winding up the Governors have each undertaken to contribute to payment of liabilities such amount as may be required not exceeding a total of £1. Structu￿, governance and management HT is governed by its Articles of Association, which were reviewed in 2015 and subsequently altered by written resolution on 23 October 2015. This review takes place every five years, the next being due in 2025. The Governors are responsible for setting the strategy for HT and establishing and monitoring the methods by which the aims of that strategy are achieved. The Governors are also responsible for all financial matters, including establishing and monitoring intemal financial controls, an annual budget including capital transactions, managing HT'S investments, health and safety procedures and risk management. All day to day management is delegated by the Governors to Dr David E C Baring under written terms of reference which are reviewed annually. HT works closely with a neighbouring farm owned by Dr David E C Baring. resulting in some shared services. These are disclosed in full in note 11. HT does not employ a Director or Financial Director- its employees are paid according to national standards in horticulture, woods and estate work. The Governors, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were: Dr David E.C. Baring Mark G.0. Bridgeman Sir Walter J.B. Riddell Bt Matthew G. Darby Victoria J. Baring David G. Knott Nick Lane Fox Appointment of Governors The Governors fall within the meaning of Trustees as defined in the Charities Act and within the meaning of Directors as defined in the Companies Act. They are appointed by the board with the consent of the founder, Lord Howick who passed these powers onto Dr David E C Baring. There is no fixed term of appointment and Governors retire and are appointed according to the requirements of HT. New Governors are given a copy of the Articles of Association, the latest report and accounts, and all of HT'S documents covering policies and governance. Subject to their experience and expertise, they are also given documents issued by the Charity Commission explaining the duties of trustees of charities and offered training in any area of their duties which they think they would like to strengthen. The present Governors have Considerable knowledge and expertise in finance, horticultural matters and the management of country estates. HOWICK TRUSTEES LIMITED GOVERNORS. REPORT (INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Statement of Governors. responsibilities The Governors, who are also the directors of Howick Trustees Limited for the purpose of company law, are responsible for preparing the Govemors, Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company Law requires the Governors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the HT and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing these financial statements, the Governors are required to.. select suitable accounting policies and then apply them consistently- observe the methods and principles in the Charities SORP- make judgements and estimates that are reasonable and prudent; state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the HT will continue in operation. The Governors are responsible for keeping adequate accounting records that disclose with reasonable accuraGy at any time the financial position of the HT 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 HT and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Auditor In accordance with the company's articles, a resolution proposing that Greaves West & Ayre be reappointed as auditor of the Gompany will be put at a General Meeting. The Gover rs, report was approved by the Board of Governors. Dr David E.C. Baring Governor 15 September 2025 HOWICK TRUSTEES LIMITED INDEPENDENT AUDITOR'S REPORT TO THE GOVERNORS OF HOWICK TRUSTEES LIMITED Oplnlon We have audited the financial statements of Howick Trustees Limited {'HT') for the year ended 31 March 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Reptsblic 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 March 2025 and of its incoming resources and application of resources. for the year then ended. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practio; and have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with Intemational Standards on Auditing (UK) (ISAS {UK)) and appli¢able law. Our responsibilities under those standards are further described in the Auditors responsibilities for the audit ol the financial statements section of our report. We are independent of the HT 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 the provisions available for small entities, in the circumstances set out in note 32 to the financial statements, 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 Governors, 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 HT'S ability to continue as a going concern for a period of at least ￿e1ve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Governor5 With respect to going concem are described in the relevant sections of this report. Other information The other information comprises the information included in the annual report other than the finarKial statements and our auditor's report thereon. The Governors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any fomi of assurance ¢on¢lusion thereon. Our responsibility is to read the other information and. ri doing so, consider whether the other information is materially inconsistent with the financial statements or wr knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Matters on which we are requir8d to report by exception We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion.. the information given in the financial statements is inconsistent in any material respect with the Govemors, report., or sufficient accounting records have not been kept. or the financial statements are not in agreement with the accounting records; or we have not received all the information and explanations we require for our audit. HOWICK TRUSTEES LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE GOVERNORS OF HOWICK TRUSTEES LIMITED Responsibilities of Governors As explained more fully in the statement of Governors, responsibilities, the Govemors, who are also the directors of the HT for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Governors 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 Govemors are responsible for assessing the HT'S ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going Goncern basis of accounting unless the Governors either intend to liquidate the charitable company or to cease operations, or have no realistic altemative but to do so. Auditorfs responsibilities for the audit of the financial statements We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. Our obje¢tives 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 a¢¢ordan¢e with ISAS (UK) will always detect a material misstatement when it exists. Misststements 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 Pfocedures 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 detsiled below. HOWICK TRUSTEES LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE GOVERNORS OF HOWICK TRUSTEES LIMITED The Extent to which the Audit was considered capable of Detecting Irregularltles, including Fraud Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, were as follows: the engagement partner ensured that the engagement team collectively had the appropriate competen￿, capabilities and skills to identify or recognize non-compliance with appli¢able laws and regulations., we identified the laws and regulations applicable to the Charity through discussions with Governors and other management, and from our commercial knowledge and experience of the charity sector., we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the Charity, including legislation such as the Companies Act 2006, Charitie5 Act 2011 and employment legislation., we assessed the extend of compliance with the laws and ￿gUlationS identified above through making enquiries of management, contacting the entity's solicitor for any details of non-compliance and inspected current year legal expenditure- and identified laws and regulations of particular relevance were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. We assessed the susceptibility of the Charity's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by.. making enquiries of management as to where they considered there was sus¢eptibilty to fraud, their knowledge of actual, suspected and alleged fraud; and considering the internal control 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, including any fraud associated with revenue recognition, we.. performed analytical procedures to identify any unusual or unexpected relationships., carried out a review of journal entries to identify unusual transactions. assessed whether judgements and assumptions made in determining the accounting estimates set out in accounting policy Note 2 were indicative of potential bias; traced a sample of rent from house and land and ticket income from garden and arboretum entran￿ fees from source documentation to nominal ledgers. agreed a sample of dividend income to information received from fund managers and external indeper￿ent data., and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included. but were not limÈted to: agreeing financial ststement disclosures to underlying supporting documentation- reading the minutes of meetings of those charged with govemance. enquiring of management as to actual and potential litigation and claims against the Charity., and reviewed health and safety audit report from Green's of Haddington. 10- HOWICK TRUSTEES LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE GOVERNORS OF HOWICK TRUSTEES LIMITED 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 Governors 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 is available on the Financial Reporting Council's website at.. https-11 www.frc.org.ukJauditorsresponsibilities. This description fomis part of our auditor's report. Use of our report This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent pemiitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed. Stuart Allist r CA {Senior Statutory Auditor) for and on behalf of Greaves West & Ayre Chartered Accountants Statutory Auditor 17 Walkergate Berwick-upon-Tweed Northumberland TD15 1DJ Greaves West & Ayre is eligible for appointment as auditor of the HT by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006. 11 HOWICK TRUSTEES LIMITED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2025 Current financial year Unrestrictsd Unrestricted funds funds general Capital 2025 2025 Total Total 2025 2024 Notes Income and endowments from: Donations and legacies Charitable activities Other trading activities Investments Other income 132,244 262,007 337,090 57,454 400 132.244 262,007 337,090 57,454 400 172,023 286,891 320,907 66,257 7,644 Total income 789,195 789,195 853,722 Expenditure on: Charitable activities 879,690 110.643 990,333 1,002,864 Total expenditu 879,690 110,643 990,333 1,002,864 Net gainsl{losses) on investments 13 75,342 75,342 {83.348) Net expenditure (90,495) (35,301) (125,796) {232,490} Transfers between funds 88.993 (88,993) Net movement In funds 10 (1.502) (124,294) (125,796) {232,490) Reconciliation of funds: Fund balances at 1 April 2024 (99,783) 3.428,920 3.329,137 3.561,627 Fund balances at 31 March 2025 (101,285) 3,304,626 3,203,341 3.329,137 The statement of financial activtties includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. The notes on pages 17 to 38 form part of these financial statements. 12- HOWICK TRUSTEES LIMITED STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2025 Prior financial year Unrestricted Unrestricted funds funds general Capital 2024 2024 Total 2024 Notes Income and endowments from: Donations and legacies Charitable activities other trading activities Investments Other income 72,023 286,891 320,907 66,257 1,275 100,000 172,023 286,891 320,907 66,257 7,644 8,369 Total income 747,353 106,369 853,722 Expenditure on: Charitable activities 898,961 103,903 1,002,864 Total expenditure 898,961 103,903 1,002,864 Net gainsl(losses) on investments 13 (83,348) (83,348) Net income (151.608) (80,882) {232,490) Transfers be￿een funds 120,359 (120,359) Net movement in funds 10 (31.249} (201,241) (232,490) Reconciliation of funds: Fund balances at 1 April 2023 (68,534) 3.630,161 3.561,627 Fund balances at 31 March 2024 (99,783) 3.428,920 3,329,137 13- HOWICK TRUSTEES LIMITED BALANCE SHEET AS AT31 MARCH 2025 2025 2024 as restated Notes Fixed assets Tangible assets Heritage assets Investment property Investments 15 16 17 18 1,219,051 312,199 187,947 1,585,429 1,316,113 312,199 187,947 1,612,661 3,304,626 3,428,920 Current assets Debtors Cash at bank and in hand 19 111,514 49,912 131,982 22,684 161,426 154,666 Creditors: amounts falling due within one year 22 (227,672) (197,782) Net current liabilities (66,246) (43,116) Total assets less current liabilities 3,238,380 3,385,804 Creditors: amounts falling due after more than one year 23 (35,039) (56,667) Net assets 3,203.341 3,329,137 The funds of the HT Unrestri¢ted funds - Revenue Unrestricted funds - Capital 26 25 (101,285) 3,304,626 (99,783) 3,428,920 3,203,341 3,329,137 The notes on pages 17 to 38 form part of these financial statements. 14- HOWICK TRUSTEES LIMITED BALANCE SHEET (CONTINUED) AS AT31 MARCH 2025 The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2025. The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements. The members have not required the Gompany to obtain an audit of its financial statements under the requirements of the Companies Act 2006, for the year in question in accordance with section 476. These financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act relating to small companies and Constitute the annual accounts required by the Companies Act 2006 and are for ¢i￿ulatIOn to members of the company. The financial ststements were approved by the Governors on 15 September 2025 Dr David E.C. Baring Governor Mark G.O. Brid Governor man Company registration number 01208214 (England and Wales) 15- HOWICK TRUSTEES LIMITED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 2025 2024 Notes Cash flows from operating activities Cash absorbed by operations 30 (123,504) {204,896) Investing activities Purchase of tangible fixed assets Proceeds from disposal of tangible fixed assets Proceeds from disposal of investments Investment income re¢eived (13,581) (46,571) 10,000 195,871 66,257 102,575 57,454 Net cash generated from investing activities 146,448 225,557 Financing activities Repayment of borrowings Payment of finance leases obligations 24,682 (20,398) (49,812) 23,725 Net cash generated froml(used in financing activities 4,284 (26,087) Net increasel(decrease} in cash and cash equivalents 27,228 (5,426) Cash and cash equivalents at beginning of year 22.684 28,110 Cash and cash equivalents at end of year 49,912 22,684 The notes on pages 17 to 38 form part of these financial statements. 16- HOWICK TRUSTEES LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies Charlty information Howi¢k Trustees Limited ("HT") is a private company limited by guarantee. incorporated in England and Wales and is registered with the Charity Commission under number 504347. The registered office is Howick Estate Office, Alnwick, Northumberland, NE66 3LB. 1.1 Accounting convention The financial statements have been prepared in accordance with HT'S Articles of Association, the Companies Act 2006, FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland. {'FRS 102") and the Charities SORP "Accounting and Reporting by Charities- Statement of Recommended Practice applicable to Charities preparing their accounts in accordan￿ with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102)" (effective 1 January 2019). The HT is a Publ¢ Benefit Entity as defined by FRS 102. The financial statements are prepared in sterling. which is the functional cUr￿ncY of HT. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical Cost convention. modtfied to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below. 1.2 Going concern At the time of approving the financial statements, the Governors have a reasonable expectation that HT has adequate resources to continue in operational existence for the foreseeable future, but as a minimum a period of 12 months from the date of signing. Thus the Governors continue to adopt the going con￿rn basis of accounting in preparing the financial statements. HT has substantial net assets and continually Manages cash reserves. Despite the uncertain economic outlook and the financial un¢ertainty around the willingness of the public to purchase admission tickets, visitor numbers continue to be strong and the Governors Consider the going concern basis is appropriate. 1.3 Charitable funds The revenue fvnd represents the income and expenditure incurred in the day to day running of HT. The capital fund represents the value of the estate and investments held by HT which are separately identified in the accounts. Both of these funds are considered by the Governors to be unrestricted. The restricted fund represents funds received which are to be used in accordance with specific restrictions imposed by the donors. The purpose and uses of the restricted funds are set out in the notes to the accounts. 1.4 Income Income is recognised and included in the accounts when all of the following criteria are met.. HT has entitlement to the funds., any performan￿ conditions attached to the income have been met,. there is sufficient certainty that the receipt of the income is considered probable., and the amount can be measured reliably. Cash donations are recognised on receipt. Other donations are recognised onGe HT has been notified of the donation, unless performance conditions require deferral of the amount. All grants are used for charitable expenditure and capital items and are recognised in full in the year in which they are receivable, or when the conditions for receipt have been met. Investment income comprises dividends re￿1vable during the year on listed investments held within the investment portfolio as well as interest receivable. 17- HOWICK TRUSTEES LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies (Continued) 1.5 Expenditure Expenditure is recognised when there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure includes any VAT which cannot be recovered and il reported as part of the expenditure to which it relates. Where costs are attributable to more than one a¢tivity. they are allocated on a reasonable and consistent basis. based on usage. Governance costs are those incurred in the governance of the charity and are primarily associated with constitutional and statutory requirements. 1.6 Tangible fixed assets Tangible fixed assets are capitalised and included at cost where the purchase price generally exceeds £500. Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases.. Land Buildings Car Park and Biomass Plant and machinery Visitor Centre and Artwork Hall Tractors 1.30/0 and 2% of original cost 4% of original cost 150A reducing balance 3.330kn of original cost and 10% of original cost 200h straight line 250h reducing balance The gain or loss arising on the disposal of an asset is detemiined as the difference between the sale proceeds and the Carrying value of the asset, and is recognised in the statement of financial activities. All assets are reviewed for impairment and written down to their recoverable amount, where necessary. The land and buildings let under tenancy are treated by the governors as functional property and are held as part of the objects of HT'S charitable objectives and therefore, in line with FRS102, these land and buildings are held at cost less any depreciation and impairment rather than market value. 1.7 Investment properties Investment property, which is property held to earn rentals andlor for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in statement of financial activities. Depreciation is not charged on investment properties. 1.8 Heritage assets Heritage assets consist of a number of paintings, prints, sculptures and other pieces which the Governors have deemed to be of historical and artistic importance that are held and maintained principally for their contribution to knowledge and Gulture. Purchased heritage assets are valued at ¢ost. Donated heritage assets are valued by the Governors based on their knowledge and experience and treated as deemed cost. The heritage assets held are considered to have indefinite lives and are therefore not depreciated-, as such their value is reviewed on an annual basis at the balance sheet date for impairment. Expendtture which, in the Governors view, is required to preserve or clearly prevent further deterioration of individual collection items is recognised in the income and expenditure account when it is incurred. 18- HOWICK TRUSTEES LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Accounting pollcies (Continued) 1.9 Fixed asset investments Fixed asset investments are initially measured at transaction price excluding transaction Costs, and are subsequently measured at fair value at each reporting date, adjusting for any impaiment. Changes in fair value and impairment are recognised in net in¢omel(expenditure) for the year. Transaction costs are expensed as incurred. A subsidiary is an entity controlled by HT. Control is the power to govem the financial and operating policies of the entity so as to obtain benefits from its activities. 1.10 Impairment of fixed assets At eaGh reporting end date, HT reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). 1.11 Cash and cash equivalents Cash and cash equivalents include cash in hand, deposits held at call with banks. other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 1.12 Financial instruments HT has elected to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 '0ther Financial Instruments Issues, of FRS 102 to all of its financial instruments. Financial instruments are recognised in HT'S balance sheet when HT becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset. with the net amounts presented in the financial ststements, when there is a legally enfor￿able right to set off the reGogni5ed amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. Basic financial assets Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price inGluding transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. Impairnient of financlal assets Financial assets, other than those held at fair value through income and expenditure, are assessed for indicators of impairment at each reporting date. Financial assets are impaired where there is objects've evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset. the estimated future cash tlows have been affected. If an asset is Impai￿d, the impainnent loss is the difference be￿een the carying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impaimient loss is recognised in net incomel(expenditure) for the year. If there is a decrease in the impaimient loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in net incomel(expenditure) for the year. 19- HOWICK TRUSTEES LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Accounting policies (Continued) Derecognition of financial assets Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the HT transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retsined but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. Basic financial liabilities Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction. where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. Derecognition of financial liabilities Financial liabilities are derecognised when HT'S contractual obligations expire or are discharged or cancelled. 1.13 Employee benefits The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. Termination benefits are recognised immediately as an expense when HT is demonstrably committed to terminate the employment of an employee or to provide termination benefits. 1.14 Retirement benefits Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. 1.15 Leases Leases are classified as finan￿ leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases. Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to net incomel(expenditure) for the year so as to produce a constant periodic rate of interest on the remaining balance of the liability. 1.16 Group accounts The financial statements present information about HT as an individual undertaking and not about its group. HT and its subsidiary undertaking comprise a small-sized group. HT has therefore taken advantage of the exemptions provided by section 399 (2A) of the Companies Act 2006 and relevant charity law not to prepare group consolidated accounts. -20- HOWICK TRUSTEES LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Critical accounting 8Stimates and judgements In the application of HT'S accounting policies, the Governors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basi5. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects C￿lY that period, or in the period of the revision and future periods where the revision affects both Current and future periods. The estimates and assumptions which have a significant risk of causing a material adjustment to the amount of assets and liabilities are as follows. Key sources of estimation uncertainty Investment Property Valuation Investment property is measured at fair value at each reporting date with changes in fair value recognised in Statement of FinanGial Activities. The Board of Governors determine the fair value of investment property using the assistsnce of an independent expert, Wardell Armstrong. Wardell Armstrong is an independent consultancy firm of registered valuers and property experts. Their valuation is prepared in a¢cordance with RICS Global Valuations Standards. The valuation methodology considers the property lease temis and conditions, cash inflow stream and discount rale in order to derive the Fair Value of the subject property. The governors have considered the market valuations of the property at 31 March 2025 and have adjusted this for the unwinding of the net present value of the cash inflows, thus decreasing the valuation from £220.000, in the original valuation in 2023. to £187,947 at the year end. Income from donations and legacies Unrestricted Unrestricted funds funds general Capital 2025 2025 Total Unrestricted Unrestricted funds funds general Capital 2024 2024 Total 2025 2024 Donations and gifts Grants Donated goods and services 120,299 11,945 120,299 11,945 72,023 72,023 100,000 100,000 132.244 132,244 72,023 100.000 172,023 Grants other 11,945 11,945 11,945 11,945 21 HOWICK TRUSTEES LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Income from charitable actlvltles Unrestricted Unrestricted funds funds 2025 2024 Garden and arboretum Sale of goods 260,088 243.832 Woods Sale of goods 1.919 43,059 262.007 286,891 Income from other trading activities Unrestricted Unrestricted funds funds 2025 2024 Rents from houses and land Biomass income 293.655 43.435 276,832 44,075 Other trading activities 337,090 320,907 Income from Investments Unrestricted Unrestricted funds funds 2025 2024 Income from listed investments Interest receivable 56,106 1.348 65,996 261 57.454 66,257 -22- HOWICK TRUSTEES LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Other income Unrestricted Unrestrlcted funds funds general Capital 2025 2025 Total Unrestrictsd Unrestricted funds funds general Capital 2024 2024 Total 2025 2024 Net gain on disposal of tangible fixed assets Other income 6,369 6,369 1,275 400 400 1,275 400 400 1,275 1,275 -23- ) ¢0 t O CN r ro ¢0 00￿￿0¢xl01¢)¢Df￿ rDl7>l￿l￿Q￿ O ky) Q) OO¢D (D C¥) onu) 10 ffj U) (O (JJ I CDOLtsCNO fo O (o ¢Ci rs) ¢£* Cci ¢3) ￿ *Xi r( Ln cry ¢3) c c ck o E ¢J Q CL.- QCoo>(gttO￿>(￿Z v) u)