Registered number: 1926148 Charity number: 516766
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL
(A company limited by guarantee)
TRUSTEES' REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) CONTENTS Page Reference and administrative details of the Companyi its Trustees and advisers Chaimian's statement Trustees. report Independent auditor's report on the financlal statements Consolidated statement of financial activities 3-11 12-15 16 Consolidated balance sheet 17 Company balance sheet Consolldated ststement of cash flows 18 19 Notes to the financial statements 20-42
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2022 Trustees Mrs Rachel Semlyen MBE, Vice Chair. Chair from 3 J8nuary 2022 Mr Martin Withers. Chair until 3 January 2022 Mr Robert Emmett Mr Anthony Ridge Colonel (Retdl John Goodsir CYE (resigned 20 April 20221 Wing Command&r Howard Newbould, Vice Chair from 3 January 2022 Mr Jonathan Armstrong lappointed 25 June 20211 Company registered number 1926148 Charity registered number 516766 Re8lstered oifice Halifax Way, Elvington, York, Y0414AU Company se¢retsry Ms Sally W&atherill Senior management team Mr Jonathan Brewer, Museum Director Ifrom 25 April 20221 t4Mrs 88rbara George, Museum Director (until 18 January 20221 Ms Eleanor Stead. Interim Museum Director (from 18 J8nuary 2022- 8 April 20221 Mr lan Richardson, Head of Memorial and Heritage Independent auditor BHP LLP, Rievaulx House, I St Mary's Court, Blossom Street. York, Y024 IAH Bankers Nètwest Bank, York, YOI 9YH Page I
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) CHAIRMAN'S STATEMENT FOR THE YEAR ENDED 31 MARCH 2022 The chairman presents her statement for the year. The year was again beset with problems beyond our control., fiv& months of enforced closure rneant a late start followed by a resurgence of sickness among all sectors of the population due to Covid. This affected the museum's ability to fully function. plan for events and recover, especially with recruitment, in time lor the 5umrner season. The trustees wish to thank 8arbara George, the then museum director for her leadership, all those who had to cover for staff 3bsences with longer working hours, to the volunteers for their care of the 51te and collection and for helping to keep visitors happy after such a difficult year. Significant staff changes are detailed below. Our regenerated business plan was announced in the last report but as with other organisation5. there have been change5 in personnel as individua15 seek new opportunities. This means that the main task has been to recruit the staff needed to deliver the objectives of the plan. Its principles and vision for the future underlie all that we do. and we now look toward5 the next stage of our development which includes embarking on a programme of increasin8 accessibility to our collection and archives. conservation ol aircraft and artifacts and restoration of our Grade 2 listed Contrtsl Tower. I wish to thank Martin Withers for his steady four-year chairmanship and all the trustees, past and present, who have worked tirelessly behind the scenes during the nearly forty years the museum has evolved frorn its inception. The MBE I was honoured to receive in the Queen's Birthday Honours in June 2022 is a tribute to them and to all who have worked unfailingly over the years to make the museum the respected, vigorous and amazing place it 15 todèv. Mrs Rachel Semlyen MBE. Chair Date- Pa8e 2
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company Ilmlted by guarantee) TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2022 The Trustees present their annual report together with the audited financial statements of the Yorkshire Air Museum and Allied Air Forces Memorial for the year l April 2021 to 31 M8rch 2022. The trustees hève adopted the provisions of the Statement of Recomrnended Practice ISORPI 'Accounting and Reporting by Charities" in prep3ring the annual report 3nd financial statements of the charity. The f1nancial staternents have been prepared in accordance with the 3ccounting policies set out in notes to the accounts and comply with the charity's governing document, the Charities Act 2011 and Accounting and Reporting by Charitie5'. Statement of Recommended Pr8Ctice 8pplic8ble to charitie5 preparing their accounts in accordance with the Financial Reporting Stsndard èpplicable in the UK and Republic of Ireland published in October 2019. Since the group and the Company qu81ify as small under section 383 of the Companies Act 2006, the Group strategic report required of rnediurn ènd large companies under the Companies Act 2(M)6 Istrategic Report and Directors, Report) Regu13tions 2013 has been omitted. Objertives and actlvltles Policies and objectives The object of the Company is to advance the education of the public by the provision of a museum depicting the hlstory of aviation and to provide a memorial. particularly to those members of the Allied Air Forces who served during the First and Second World Wars and subsequent conflicts. There is particular though not exclusive emphasls on Y0rh1re as the horne ol the birth of aviation and of scores of wartime bases. In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, includin8 the 8uidance 'Public benefit.. running a charity IP821'. b. Re-stated Statement of Purpose The Yorkshire Air Museum and Allied Air Forces Memorial is a Registered Charity and 3 Registered Company limited bv guarantee. set up to advance the education of the public by providing a museum and memorial. The Trust seeks to collect and interpret items that record and Celebrate the history of aviation and to provide a memorial to the allied air forces. Yorkshire Air Museum celebrates avi8tion history with a unique collection of aircraft on display at Yorkshire's best- preserved. original World War 2 airfield site. We tell stories of innovation, ingenuity 3nd courage that give insight into the aircraft and the people who made 8nd flew them, to inform and inspire current and future generations. The Trust collects, man3ges. stores. conserves. display5. and u5e5 for education, research, enjoyment and entertainment, artifacts, airframes, aviation related components, eouipment, material, vehicle5, uniform5, COStume5, textiles, archives, photographs, books. manuscripts. prints, drawings. paintings, sculpture, ephemera, and other items relating to the history of aviation in Yorkshire. The Trust achieves this by sustaining and developing the historic RAF Elvington site, its buildings and its collections to Accreditation standards, and provides access tor the public benefit. Page 3
YORKSHIRE AIR MUSEUM & ALUED AIR FORCES MEMORIAL IA company Ilmited by guaranteel TRUSTEES. REPORT {CONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 Objectives and activities lcontinuedl c. The Memorlal The vision of the founders was to create a 'living' museum on the original wartime base that would support 8 rnemorial to those who served in the cause of peace, to educate present and future generations and ensure that the sacrifices of the allied air forces are not forgotten. The site of the museum 15 the 8drnini5trative core of the former WW2 RAF Bomber Cornmand station, 'Roy31 Air Force Elvington,. It consists of the original Control Tower and ancillary buildin8S, tO8ether with workshops, a WW2 hangar and more thèn Sixty historic aircraft and vehicles. More than 200,000 registered artifacts are held in an archive building designed and constructed in keeping with the existing 1940$ buildings- and in sixteen exhibitions and displays. First on RAF Elvington in October 1942 w3s No. 77 Squ8dron RAF with mernbers from at least eight different allied nations. They were followed by the only two French heavy bomber squadrons.. No. 346 (Guyennel and No. 347 ITunisiel. The Squadrons flew the Hzndley Page H31ifax aircTalt. and, as none were preserved after the war, the museum started an ambitious project to create a unique reconstruction. The completed aircraft has pride of place in the T2 hangar. Tours of the Halifax for veterans, their families and descendants are an important part of the rnemorial aspects. New Disp13y'. Faces of the Allies Remembrance Sunday started with a ceremony at the memorial in Elvington and was well attended by local residents and uniformed organisations. Invited dignitaries from the RAF, France, Poland. Australia, the USA, Can3d8 3nd New Z&31and were then invited to lay a wreath in the Allied Air Forces Memorial Garden at the museum prior to attending a ceremony to open a new exhibition financed by the Art5 Council celebrating the diversity of the allied air forces in Great Britain during WWII. d. The Museum l. Visitors After a concentrated period of cleaning, remedlal gardening and re-or8anising for social distancing, we were pleased to See visitors return when we were able to r&open on th& 22nd May. In the following ten and a half month5 Iwe closed lor 2 weeks at Christmas) we welcomed 49,000 visitors. (Last year during six months.. 30,000,. previous year of 12 months.. 56,000, previtsus years. 60,000 and 53,0001. Our aim 15 to market especially to our catchment areas, attract more familie5. improve the visitor experience, refresh displays and provide excellent hospit31ity to encourage repe3t visits. A dedicated Admissions Team supported by steward5 and guides provide front of house welcome and adrninistration. 2. Stafflng All staff, except those involved directly in the trading company IYAMCOI, from 1st April 2021 are now employed by YAM, the charity. In the f1naneial year, 9 full tlme and 13 part time staff lineluding seasonal café staff) were employed. In the autumn, Museum director Bart)ara George gave notice that she was moving on to a new hi8h-level appointment. The trustees embarked on a recruitment campaign to find a heritage professional to take over the role. The campaign attracted international and as well as national interest. Interviews were conducted online and in person. Jonathan Brewer, an experienced general rnanager with the National Trust was appointed. Eleanor Stead, a non-executive direttor of YAMCO was appointed 85 interim director frorn 10th January providing continuity and leadership until the new perrnanent director could start on 25th April. Page 4
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limlted by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 Oblectlves and activtties Itontinuedl To support the dellvery of the business plan Accreditstion and Collection.. A Strategy and Action Plan for Digitisation & Digital Interpretation 2021-2024 was completed by consultsnts, Kevin Bolton and Ruth Darling. Scientist and conservationist, Michael St3nley A.M.A., F.G.S was 3ppoint&d part-time Consultant Collections Manager in January 2022 to lead a review of accreditation standards and to formulate a conservation plan to include aircraft and vehicle5, object collections, library and archives. Health & Safety.. Scott Smith CMIOSH MinstRE was appointed part-time on a consultancy b8SlS to conduct H&S reviews, training courses lor staff and volunteers and to oversee the fire detection systems in all buildings. Marketing and Communications.. after the untimely death of Neill Watson ID April, a mana8er was recruited with the responsibility of marketing the rnu5eum and its attraction5 to the wider population of aviation enthusiasts and the general public. to develop the website and to improve internal communications. Leèrning.. The volunteer education team wa5 Strengthened by appointing one of their number. a former teacher. as School Liaison Co Ordinator to market and oversee the school visits. 3. Volunteers The Museurn could not operate without its dedicated and enthusiastic volunteers. They help and support us daily as guides. stewards, archivists, engineers and gardeners. Recruitment re-commenced after the restrictions lifted and they receive frequent commendations frorn visitors for their enthusiasm. knowledge. and readine5S to help with information. Education team School visit5 are a vital part of our mission. and it is always uplifting to see the group5 on 51te. We ar& very grateful to our six-stron8 Education Team of School Liaison Co Ordinator and five volunteers. Activity in the year was greatly affected by Covid like many other rnvseums. Althou8h the museum was open for bookings, schools were very hesitant arid some Still had restrictions to school excursions. Once the new School term settled down in September. bookings incre8sed with 36 schools and a total of 1379 children coming for guided sessions in the period to end of March, bringing in artsund £10,000 to the museum. The schools came frorn various areas of Yorkshire especially around York. further north schools came from Co Durham and Teesside, and West Yorkshire. The furthest north was from Scotland, and the furthest south from Surrey. The school's program provides topics and activities for all age groups from Reception, Year l up to and including Year 9. Topic5 are discussed with the lead teacher to ensure they are appropriate to their school lesson plan and curriculum. Our school guides te3m 3re 311 DBS checked and have taken Basic Safeguarding courses. Achievements andperformon a. Review of activities Site Management and Developmènt The 80-year-old, 19405 buildings require constant maintenance. W& have 8 buildings Maintenance team who work all year round (supported now by a dedicated Buildings and Facilities Manager). A new fire detection system was investl8ated 3nd Came into operation early in the current financial year. Security and safety continue to be high priorities. Page 5
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company Ilmlted by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 Achievements and performance Icontinuedl The iconic Grade 2 listed, Control Tower lor Watch Office) had deteriorated even more during the ltsckdown period. The first task w3S to Make the building watertight and this was achieved in january 2022 in record time with a new roof and repairs to the corroded ironwork and gutters. The plan is for the original window5 8nd external rendering to be restored in 2023. The tot31 cost of restoration will be in the region of £200,000, most coming from our own reserves and the rest from fundraising from the public, grant-makin8 bodies and corporate sponsor5. We wish to record our thanks to Keith Hardcastle. Built Environment Consultant, for project management and site surveys and to the ongoing support of Williarn Birch & Sons Ltd, historic buildings specialists. Nature Conservation The 'Nature of Flight, conseNation area covery around 1.75 hectares14.3 acres). Thi5 are3 is designated as a Site tsf Importance for Nature Con5ervation1SINCI by City of York Council due to its special wildlife interest. It is accessible to museum visitors via an attractive path around the perimeter, including a viewing platforrn overlooking a pond and an area which ha5 been used for educationèl activities and picnic tables. The area is managed according to a maintenance plan drawn up by M3rtin H8mmond. Ecologist and Wildlife Consultant. Environment Policy YAM and YAMCO make every effort to care for the natural r&50urces of the site and to minimise their impact on the environment with a programrne ol landscape management, upgrading buildin8 insulation. low-energy lightin& recycling, running 3ircraft engines cornmensur3te with the maintenance need, reducing the use of single-use plastic and unnecessary printing. b. Trading Subsidiary YAMCO is the wholly-owned trading subsidiary of YAM, is a vital part of our income. A H05Pltality and Retail manager was appointed to develop the calé 3nd the shop. Along with many other hospitality outlets and venues, recruitment ol st8fl proves to present onBoin8 recruitment difficulties but both f8cilitie5 h3ve benefited from investment and focused attention to improve the visitor offer. The café was renamed Café 77 in honour of 77 Squadron Royal Air Force. the first occupants of RAF Elvington in 1942. c. Investment policy and performance Under the memorandum and articles of association. the charity ha5 the power to make any investment that the trustees See fit. They are guided by the Charity Commission Guidelines ICC141. d. Fon¥ard planning A Site Development Group was set up early in the year to look at the future need5 of the museum in terms of buildings and infrastructure. Plans for a children's playground and a second hangar are high on the list *or development. The new Strategic Business Plan announced last ye8r continues to underpin the activities of the museum with adjustments to its progress dependent tsn the general economic situation. e. Equal opportunities We are committed to providing equal opportunities to all in employment and volunteering, irrespective of their gender, race, ethnic origin. disabilityt age, nationality, national orlgin, sexuality, religion, marital status and social cla5S. Pag& 6
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 Financi41 review a. Results for the year In the year to 31 March 2022. income to the charity lincluding grants) increased from £939,415 in the previous year to £1,033,734. Expenditure during the year also increased. from £747,836 in the previous year to £908,344. This resulted in a net surplu5 for the year of £126,934, a decr&ase of £72,776 on the previous y&ar. b. Grants, funding and legacles The grants received during the year were £27,000 from the City of York Council ICYCI as part of the government post Covid-19 business stsrt-up package and the remainder was the final part of the Cultural Recovery Grant tsf £312,531 which was awarded by the Dep3rtrnent of Digital Media and Sport IDCMSI in 2020121. Coronavirus Job Retention Scheme grants totalling £10,068 were received during the year. We a150 received income totalling £288,060 from sources other than direct visitor contributions. Of this £30,540 came from two valuable legacies, £50.718 Irtsm grants, £10,000 a5 a donation and £196.802 from a payment made by our insurance company. Hiscox. under our Business Interruption Policy to cov&r business losses during all three Covid-19 lockdown periods of April - lune 2020, November 2020 and January- May 2021. c. Going concern As p3rt of their assessment of the going concern basis of preparation, the trustees have considered the impact of current and recent events on the group and parent charitable company's activities and workforce, as well as the wider economy and on the forecasted income for the year to 31 March 2024. Given the level of assets and reserves and the budg&t forecast up to the end of November 2023. the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to 3dopt the going concern basi5 in preparing the financi31 statements. Further details reg8rding the adoption of the going concern basis can be found in the accounting policies. d. Reserves pollcy It is the policy of the charity to maintain unrestricted funds, which are the free reserves of the charity, at a level that enables the charity to meet its working capital requirernent5 on an ongoing basis. The Trustees believe that they need to maintain minimum reserves @quivalent to two months tr3din£ giving a target level of 3round £200,000. Free reserves as at the year end were £643,13912021.. £483,693). an excess holding funds for immediate projects and ongoing restoration of the Control Tower. Structure, governotrjce munooement a. Constitution The company is registered as a charitable company limited by guarantee and was set up by a Memorandum of sOCiatiOn on 26 June 1985. It is a registered charity number 516766. Page 7
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company Ilmited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 Structure, governance and management Icontinuedl b. Management The rnanagernent team 15 responsible for the operation, org8nisation and promotion of th& Museum on a daily basis. This includes.. financial management., health & safety and risk management,. site maintenance and coordination,. contractor hiring and supervision., capital projects p18nning and supervision., collections control, accreditation 3nd cur3tori31 services., exhibition planning and design,. staff and volunteer management,. events planning and organisation,. visitor experience and liaison management,. external public relations and marketing,. outreach event design and participation,. external partnerships,. fundr8ising,' environmental plannin8', memorial commemorative events and duties,. membership and databases.. visitor enquiry respon5e5,' IJu5ine55 and professional networking. c. Role of the Trustees Trustees have independent and legal responsibilities for the charit¢5 management and administration and for ensuring that it 15 carrying out it5 purposes for the public ben&fit. The BoarcS meets at l&ast six times a year and is responsible for defining the mission and strategic priorities of the Museum ancl for setting and supervising the implementation bv managernent of policies directed at that mission. with reference to finance (trading activities. furid rai5ingl, c8PIt31 projects (premises, structures), content lexhibits, archive and educational materiall, personnel (senior appointments, relations between staff and volunteersl and any other issues which the Board may find require their input. The Trustees are aware of the need to strengthen the 8oards of both YAM and YAMCO. Following a recruitment campaign internally and externally, Jonathan Armstrong was 8ppointed to the Board of YAM with a Skill set in Health and Safety. Finance 3nd Project Management. As non-executive directors to the b03rd of YAMCO, Mr Micha&l Killoran was 3ppointed for his experience in retail business and Ms Eleanor Stead for her experience in Human Resources and Corporate Affairs. The Trustees continue to encourage applications for these Board p051tion5. d. Board Sub-committees Trustees and Directors meet six times a year with the following sub-committees.. Finance and Audit Governance and Nominations Health and Safety Fundraising e. Methods of appointment or election of Trustees With internal and external advertisements and publicity, the Board actively 5eek5 new Trustees of YAM and non-executive directors ol YAMCO Ltd to increase its diversity and skills. Appointments were made in 2021. Each new trustee and director is given induction sessions and encouraged to attend relevant training. Page 8
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guaranteel TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 Strutturej governance and management Icontinuedl f. Pay pollcy for senior staff Th& trustees consider that the Board of Dlrectors, who are Trustees, and the senior management team, comprise the key management personnel of the charity in charge of directing and controlling, running and operating the Trust on a day to day basis. Directors review the pay of senior staff annually in line with the pay of staff in comparable museums in the heritage sector and the pay of the museurn director 15 review&d annually by the Chairman and other directors. g. Risk management The Trustees have a risk rnanagement strategy which comprises.. 11 Maintaining an up-to-date organisational Risk Register which is broken down into specific areas affecting Governall. Finance and Compli3nce. Risks 8re characterised by allotting a Risk Priority Number IRPNI calculated a5 the multiple of the S&riousness of the risk and the Likelihood of its occurrence. Risks are then designated as either High, Medium. or Low depending upon the RPN number. 21 Sel&cting the top live risks for review by the Trustees at each Board rneeting held normally every two months. 31 The establishment of policie5, System5, and procedures to reduce the RPN number on a continuous basis. 41 Monitoring the progress of actions carried out to mitigate risks using a formal monitoring register which is also updated following every 8oard meeting. Significant risks affectin8 the financial position of the Museum are additionally overseen by the Board appointed Finance Committee with regular reviews of incorne and operating costs. The biggest short-term risk facing the Museum is conn&tted to economic factors that might impact our visitor numbers. Page 9
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEPIORIAL {A company limited by guarantee) TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 Plans for future periods The Trustees have established a Site Development Group with senior members of staff and the input of built environment specialist. Mr Keith Hardcastle, Mr Scott Smith, Health & Safety Consultant and Mr Micheal Stanleyi Ctsnserv3tion Specialist and new internal appointee to the roles of Buildings and Facilities Manager and Visitor Experience M8nager. The purpose of the group is to achieve the Strategic objectives of the business plan, namely.. - To care for, understand and present our site ènd collections so they are accessible to current and future generations by maintaining the fabric of the site, prioritising those areas that are of particular historic importance. Improve visitor experience and development V15itor numbers. especially with 3 playground by next Easter. Maximise our positive irnpact on the environment and protect the nature in our care. Maintain the status a5 an accredited museum. An accurate ma5terplan of the whole site has been produced and assessments made of the infrastructure, security of collections and capabilities of utilitie5 for future expansioll. The next phase is to produce a rnasterplan showing the sites for proposed new buildings,. for which planning permission and funds will be sought at the appropriate time.. Second display hangar Restoration hangar and workshop Education arid Vi51tor Centre Fundraising The Yorkshire Air Museum engages in fundraisin8 for new and urgent restoration projects but does not use professional fundraisers or commercial participators. The Museum nevertheless observes and complies with the relevant fundraising regulations and codes. During the year there were no complaints rec&ived in relation to the Trust'5 fundr£i5ing practice. Public benefit The Trustees review the performance, aims and obj&ctives of the comp3ny every year. In carrying out the review, the Trustees refer tts the Charity Commission's guidance on public benefit to ensure that all future and planned 3Ctivities meet th8t guidance. Page 10
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEPJJORIAL IA company limited by guaranteal TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2022 ststement of Trustees, responslbilities Th& Trustees Iwho are also the directors of the Company for the purposes of company lawl are responsible for preparing the Trustees, report and the financi81 statements in accordance with applicable law and United Kingdom Accounting St8nd3rds (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial st3tements for each financi31 . Under company law, th& Trustees must not approve the financial ststements unless they are satisfied that they give a true and fair view ol the state of affairs of the Group and the Company and of their incoming resources and application of resources, includin8 their income 8nd expenditure, for that period. In preparing these financial statements, the Trustees are required to.. select suitable accounting policies and then apply them consistently,. observe the methods and principles of the Charities SORP 2019 IFRS 1021,. make judgernents 3nd accounting estimates that are reasonable and prudent,. st3t& whether applicable UK Accounting Standards IF 1021 have been fo51owed, subject to any materièl departures disclosed and explained in the financial statements., prepare the financial Statements on the going comcern basis unless it is inappropriate to presume that the Group will continue in bu5ines5. The Trustees are responsible for keepin8 adequate accounting records that are sufficient to show and explain the Grtsup and the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Cornpany and enable them to ensure that the financial statements comply with the Companies Act 2006. They are Iso responsible for safeguarding the assets of the Group and the Company and hence for taking reasonable step5 for the prevention and detection of fraud and other irregularities. Disclosure of informatlon to auditoi Each of the persons who are Trustees at the time when this Trustees, report is approved has confirmed that-. so far as that Trustee is aware. there 15 no relevant audit information of which the charitable group's auditor is unaware. and that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish thèt the charitable group's auditor 15 aware of that information. Approved by order of the members of the board of Trustees and signed on their behalf by.. Rachel Semlyen MBE Chair of Trustees Date.. Page 11
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guaranteel INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS AND TRUSTEES OF YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL Opinion We have audited the financial Statements of Yorkshire Air Museurn & Allied Air Forces Memorial (the 'parent charitable company'l and its subsidiaries Ithe'group'l for the year ended 31 March 2022 which comprise the Consolidated statement of financial activities, the Con501idated balance sheet. the Company balance sheet. the Consolidated statement of cash flows and the related notes, including a summary of si8nificant accountin8 policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, Iunited Kingdom Generally Accepted Accounting Practice). In our opinion the financi31 staternents-. give a true and fair view of the state of the group's and of the parent charitable company's affairs 3s at 31 March 2022 and of the Group's incoming resources and application of resources, including its income and expenditure for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice,. arid have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities Act 2011. Basis for opinion We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those stand3rds are further described in the Auditor's responsibilitie5 for the audit of the financia1 statements section of our report. We are independent ol the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Concluslons relatlng to golng concern In auditing the financial statements, we have conclud&d that the trustees, use of the going concern ba515 of accouff ting in the preparation of the financial ststements is appropriate. B3sed on the work we have performed. we have not identified any rnaterial uncertainties relating to events or condition5 that, individually or collectively, may cast $18nificant doubt on the Group's or the par&nt charitable company's ability to continue as a going concern for a period of 8t 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 s&ction5 of this report. Page 12
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS AND TRUSTEES OF YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL ICONTINUEDI Other information The other information comprises the information included in the trustees. report other than the financial statements and our Auditor's report thereon. The trustees are responsible for the other information contained within the trustees, report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report. we do not express any forrn of assurance conclusion th&reon. Our responsibility is to read th& other information and, in doing so, consider whether the other information is rnaterially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be rnaterially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstaternent in the financial statements thernselves. 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. Optnions on other matters presc¥lbed by the Companles Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the trustees, report (incorporating the directors, report) for the financial year for which the financial ststements are prepared is consistent with the financial statements,. and. the directors, report has been prepared in accordance with èpplicable legal requirements. Matters on which we are required to report by exception In the light of our knowledge and understanding of the group and parent charitable company and its environment oljtained in the course of the audit. we have not identified material misstatements in the directors, report. We have nothin8 to report in respect of the following matters in relation to which Cornpanies Act 2006 requires us to report to you if, in our opinion.. adequat& and sufficient accounting records have not been kept by the parent charitable company or returns adequate for our audit have not been received from branches not visited by us,. or the parent charitable company's 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 aecordènce with the small companies regime and take advantage of the small companies, exernption5 in preparing the directors, report and from the requirernent to prepare a strategic report. Responsibilities of trustees As explained more fully in the Trustees, responsibilities statement. the trustees Iwho are also the directors of the charitabl& company for the purposes of company lawl 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 ststements that are free from material misstatement. whether due to fraud or error. Page 13
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL A ¢ompany Ilmlted by guaranteel INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS AND TRUSTEES OF YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL ICONTINUEDI In preparing the financial statements, the trustees are responsible for assessing the Group's and the parent charitable ompany's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the Group or the parent charitsble company or to cease operations. or have no realistic alternative but to do so. Auditor's responsibilities for the audit of the financial statements We have been appointed auditor under the Cornpanies Act 2006 and 5ertion ISI of the Charities Act 2011 alld report in accordance with those Acts. Our objectives are to obt3in reasonable assurance about whether the financial statements 8s 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 con£Jucted in accordance with ISAS IUKI will alw3ys detect a materi31 misstatement when it exists. Misstatements can arise from fr3ud or error and are considered material if, individu3lly or in the aggregate, they could Teasonably be expected tts influence the economic decisions of users taken on the basis of these financial statements. Irre8ularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our re5porisibilities, outlined above, to detect material rni5Statements in respect of irregularitie5, including fraud. The extent to which our proTrdures are Capable of detecting irre8u13rities, including fraud is detailed below.. 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 re8ulations- we identified the Ièws arid regulations applicable to the group and parent charitable company through discus5ion5 with man8gem&nt and trustees. and from our knowledge 8nd experience of this organisation.. 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 group and parent charitable company, including the Charities Act 2011. the Comp3nies Act 2006, data protection, health and safety and employment laws- we assessed the extent of compliance with the laws and regulation5 identified above through making enquirie5 of management and trustees,. Identified laws and regulations were communicated within the audit team regularly and the team remained alert to inst3nces of non compliance throughout th& audit of the group and parent charitable company. We a5se5sed the susceptibility of the group and parent charitable company's financial 5taternents to material misstatement, including obtaining an understanding of how fraud might occur, by., making enquiries of management 3nd trustees as to where they considered there wa5 susceptibility tts fraud, their knowledge of actual, suspected and alleged fraud,. and considering the internal controls in place to mitigate risks of fraud and non eompliance with laws and regubations. To address the risks of fraud through management override controls, we.. performed analytical procedures to identify any unusual or unexpected variantr5,' tested journ31 entries to identify unusual transactions,. assessed whetherjudgments and assumptions made in determining the accounting estimates set out in note 3 were indicative of potential bias,. and investigated the rationale behind significant or unusual transactlons. Pa8e 14
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL {A company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS AND TRUSTEES OF YORKSHIRE AIR MUSEU & ALLIED AIR FORCES MEMORIAL (CONTINUED) In response to the risk of irregularities and con-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., enquiring of managernent as to actual and potential litigation and claims. There are inherent lirnitations in our audit procedures described above. The more rernoved that laws and regulation5 are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing st8ndards also limit the audit procedure5 required to identify non-compliance with laws and regulation5 to enquiry of the director5 and other management and the inspection of regulatory and le8al correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error a5 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.or Our-work Audit Audit-and-assurance Standards-and- uidance Standards-and uidance-for-auditors Auditors-res descri tion-of-3uditors-res This description form5 part of ourAuditor's report. Use of our report This report is made solely to the charitable company's members, as a bodyj in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to th& ch8ritable company's truste&s. a5 a body. in accordance with Part 4 01 the Charities IAccounts and Reports) Regulations 2008. Our audit work has been undertaken so that we mi8ht state to the charitable company's member5 and its trustees those matters we are required to state to them in an Auditor's report Bnd for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to 3nyon& other than the charitable company and the charitable cornpany'5 rnembers, as a body. ènd the charitable company's trustees as a body, for our 8udit work. for this r&port. or for the opinions we h8ve formed. Jane Marshall (Senlor ststutory audltorl for and on behalf of BHP LLP Chartered Accountants Statutory Auditor Rievaulx House I St Mary's Court Blossom Street York Y024 IAH Date.. Ja Page IS
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES IINCORPORATING INCOME AND EXPENDITURE ACCOUNTI FOR THE YEAR ENDED 31 MARCH 2022 Unrestricted funds 2022 Restricted funds 2022 Total funds 2022 Total funds 2021 Note Income from: Donations and le8acies Charitable activities 50.872 487,045 236,577 27 25,343 76,215 487.045 236,577 27 449,656 283,399 85,681 96 Other trading 3Ctivities Investments Other income 233,870 233.870 120,583 Totsl Éncome 1,008,391 25.343 1.033,734 939.415 Expenditure on- Raising funds Charitable activities 258,695 603.947 258,695 649.649 155,670 590,622 45.702 Total expenditure 862,642 4S,702 908,344 746,292 Net incomellexpenditurel before taxation Taxation 145,749 1.544 120,3591 125,390 193.123 11,5441 Net incomellexpenditurel after tsxation Transfer5 between fund5 14Y.293 1.496 120,3591 11,4961 126,934 191,579 20 Net movement in funds 148,789 121,8551 126,934 191,579 Reconciliation of funds: Total funds brought forward Net movernent in funds 880,370 148,789 252,352 121,8551 1.132,722 126,934 941,143 191.579 Total funds carrièd forward 1,029,159 230,497 1,259,656 1.132,722 The Con501idated Staternent of Financial Activities include5 all gain5 and105ses reco8nised in the year. The notes on pages 20 to 42 form part of these financial statements. Pa8e 16
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) REGISTERED NUMBER.. 1926148 CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2022 2022 2021 Note Fixed assets Tangible assets Heritage 8ssets Investments 14 572,590 593.004 15 16 loo loo 572,690 593.104 Current assets Stocks 17 22.487 23A80 684,659 13,708 85,263 488,414 Debtors 18 Cash at bank and in hand 730,626 587,385 Creditors.. amounts falling due within one year 19 143.6601 147,7671 Net current assets 686,966 539,618 Total net assets 1,259,656 1,132,722 Charity funds Restricted funds 20 230.497 1,029.159 2S2,352 880,370 Unrestricted funds 20 Tot31 funds 1,259,656 1,132,722 The Trustees acknowledge their responsibilities for complyin8 With the requirements of the Act with respect to accounting records and prepar3tion of financi31 staternent5. The financial staternents have been prepared in aecordanee with the provisions applicable to entities subject to the sm311 companies regim&. The financial statements were approved and authorised for issue by the Trustees and signed on th&ir behalf by.. Mfs Rachel Semlyen MBE Chair of Trustees Date.. The notes on pages 20 to 42 form part of these financial statements. Pa8e 17
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limitèd by guarantee) REGISTERED NUMBER.. 1926148 COMPANY BALANCE SHEET AS AT 31 MARCH 2022 2022 2021 Note Fixed assets Tangible assets Heritage assets Investments 14 559,306 580,069 15 16 200 200 559,506 580,269 Current assets Debtors 18 84.7S6 641.026 103,102 469,280 Cash at bank and in hand 725.782 572,382 Creditors.. amounts falling due within one year 19 138.6261 136,7131 Net turrent assets 687,156 535,669 Total net assets 1,246,662 1,115,938 Charityfunds R&stricted funds 20 230,497 252,352 863.586 Unrestricted funds 20 1,016.165 Totsl funds 1,246.662 1,115.938 The Trustees acknowledge their responsibilities for complying Wlth the requirements of the Act with respect to accounting records and preparation of financial statements. As permitted by s408 Companies Act 2006. the company has not presented its own profit and loss account and related notes. The comp8ny's profit for the year was £130.724.12021- £229,915). Th& financial statements have been prepared in accordance with the provisiorEs applicable to entities subject to the small companies regime. Th& financial statements were approved and authorised for issue by the Trustees and signed on their behalf bv.. Mrs Rachel Semlyen M8E Chair of Trustees Date.. The notes on p3ges 20 to 42 form part of th&se financial statement5. Page 18
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022 2022 2021 Note Cash flows from operatlng actlvltles Net C3sh provid&d by operating activities 23 222,688 208,160 Cash flows from investing activities Proceeds from the sale of tangible fixed assets Purchase of tangible fixed assets 1,414 I2757) 177,0981 Net cash used in investing activitie5 126A431 177,0981 Change in cash and cash equivalents in the year 196.245 131,062 Cash and cèsh equivalents at the beginning of the year 488,414 357,352 Cash and cash equlvalents at the end of the year 24 684,659 488,414 The notes on pag&5 20 to 42 form p3rt of these fin8ncial statements Page 19
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 General information The Yorkshire Air Museum and Allied Air Forces Memorial is an incorporated charity registered in England and Wales. The address of the registered office is given in the charity information on page l of these financial statements. The nature of the charity's operations 3nd activities are set out on page 2 of these financibl statements and include advancing the education ol the public by the provision of a museum depicting the history of aviation and to provide a memorial, particularly to those members of the allied Air Forces who served durin8 the First and Second World War5 and subsequent conflicts. Ac¢ountinE policles 2.1 Bosis oApreparotion offinonciulstutements The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. Statement of Recommended Pr3Ctice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ir&land issued in October 2019. the Financial Reporting Standard applicable in the United Kingdom and Republic of IreSand IFRS 1021, the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice. Yorkshire Air Museurn & Allied Air Forces Memorial meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or tran58Ction value unless otherwise stèted in the relevant accounting policv. The statement of financial activities ISOFAI and b31ance sheet consolidate the financial statements of the Company and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis. The Comp3ny h3S taken 3dvantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own statement of financial activities in these fin8ncial st3t&rnents. The financial statements are prep8red in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. 2.2 Going concern As part of their assessment of the going concern basis of preparation. the trustees have considered the impact of current and recent events on the group and parent charitable company's activitie5 and workforce. as well as the wider econorny and oll the forecasted income for the year to 31 March 2024. The trustees are confident that they have in place plans to deal with any financial losses that may arise. At the time of approving th& financial statements. the trustees have a reasonable expectation that the group and parent charitable company have adequate resources to continue in operational existence for the foreseeable future. For thi5 reason. the trustee5 continue to adopt the going concern basis in preparing the financial ststements. Page 20
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Accounting policies Icontinuedl 2.3 Income All Income is recognised once the Company has entitlement to the income. it is probable that the ineorne will be received and the amount of income receivable can be measured reliably. For legacies. entitlement is taken as the earlier of the date on which either.. the company is aware that probate has been granted, the est3te has been finalised and notification has been mède by the executorlsl to the Trust that 3 distribution will be made, or when a distribution is received from the estate. Receipt of 8 legacy, in whole or in part, is only considered probable when the èmount can be measured reliably and the company has been notified of the executor's intention to make 3 distribution. Where legacies have been notifi&d to the company, OT the company is aware of the granting of probate, and the criteria for incorne recognition have not been met, then the legacy is treat&d as a contingent asset and disclosed if material. Grants are included in the consolidated statement of financial attivities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the balance sheet. Where income 15 received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlem&nt occurs before income is received. the income is accrued. Income tax recoverable in relation to donations rec&ived under Gift Aid or deed5 of covenant1s recognised at the time of the donation. Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or On cornpletion tsf the service. Grants received in relation to the government Coronavirus Job Ret&ntion Scheme (Furloughl have been recognised within other incoming re50urce5. The grant 15 accounted for on the accruals basis once the related payroll return has been submitted. Page 21
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarante8} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Actounting polrc5es Icontinuedl 2.4 Expenditure Exp&nditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs ol each activity are made up of the total of direct costs 8nd shared costs. including 5UPPOrt costs involved in undertaking each activity. Direct Costs èttributèble to a single activity are allocated directly to th8t activity. Shared costs which contribute to more than one activity and support cost5 which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent. and depreciation charges allocated on the portion of the asset's use. C05t5 of Tai5ing funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds. Charitable activitie5 and governance costs are costs incurred on the company's operation5, including 5UPPOrt costs and costs relating to the governance of the company apportioned to charitable activities. All expenditure is inclusive of irrecoverable VAT. 2.5 Interest receivoble Interest on fund5 held on dep051t is included when receivable and the amount can be measured reliably by the Group., this is normally upon notification of the interest paid or payable by the bank. 2.6 Tuxution The company is considered to pass the tests set out in Sch. 6. para. l of the Finance Act 2010 and therefore it eets the definition of a charitable company for UK corporation t3x purpos&s. Accordingly. the company is potentially exempt from taxation in respect of income or capital gèins received within categories covered bv Pt. 11, Ch. 3 of the Corporation Tax Act 2010 or s.256 of the T8X8tion of Chargeable Gains Act 1992, to the extent that such income or gaills are applied exclusively to charitable purposes. The trading subsidiary recognises tax in the Consolidated statement of financial activities. 2.7 Tungiblefixed assets onddepreclutlon Acquisitions only arise when donated to the charity or if it is believed that they will further the chariws objectives. Once acquired they will be preserved by the charity in order to keep their historical, artistic, scientific. technologic81, geophysical or environrnental qualities to such a high level as to contribute to knowledge and culture. A register of 811 assets held by the ch3rity is available and the assets themselves are 8ccessible to the public with pritsr agreement. Heritage assets are to be held for the foresee3ble future. Page 22
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guaranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Accounting policies Icontlnuedl 2.7 TL7ngiblefixed o5sets und depretiution (continuedj A Teview for impairment of a fixed asset is carried out if events or changes in circumst3nce5 indic3te that the carrying value of any fixed asset may not be recoverable. Shortfa115 between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of fin8ncial activities. Tangible fixed 355ets are carried at cost, net of depreciation and any provision for impairm&nt. Depr&ci3tion is not charged on freehold land. Depreciation is provided at rates calculated to write off the cost of fixed assets. less their estimated residual value, over their expected useful lives on the following bases.. Freehold land Freehold building5 Exhibits and displays Equipment and vehicles 2.5% & 20% per annum straight line IO% to 20% per annum straight line 20% per annum straight line or 25% per annum reducing balance 2.8 HeritQge tsssets Heritage assets are recognised on the balance sheet and initially measured at cost when purchased or if donated. their valuation. As5et5 are subsequently stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Fair v81ues for donated assets are estimated by reference to market prices. Where information on the cost or valuation of heritage 3ssets is not available or the cost of providing such inforrnation significantly outweighs any benefit to the users of the accounts then heritage assets are not recognised on the balance sheet. 2.9 Investments Fixed asset investments are a form of financial instrument and are initially recognised at their tr3nsaction cost and subsequently measured at fair value at the Balance Sheet date, unless fair value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unre31ised, ar& combined and shown in the heading 'Gainslllossesl on investments. in the Statement of Investments in subsidi3ri&s are valued 3t cost less provision for impairment. 2.10 Stocks Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-rnoving stocks. 2.11 Debtors Trad& and other debtors are recognised at the Settlement èmount after any trade discount ottered. Prepayments are valued at the amount prepaid net of any trade discounts due. Page 23
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Accountlng pollcles lcontlnuedl 2.12 CG5h ut bank ond in hond Cash at bank and in hand include5 eash and 5hort-tem highly liquld investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 2.13 Liabilities ondprovisions Liabilitie5 are recognised when there is an obligation at the Balance sheet date as a result of 8 past event, it is probable that a transfer ol economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount th3t the company anticipates it will pay to settle the debt or the amount it ha5 received as advanced payments for the goods or services it must provide. 2.14 Flnonclul instruments The Group only has financial assets and fin8ncial li3bilities of a kind that qualify a5 basic financial in5trument5. Basic financial instruments are initially recognised at transaction value 8nd subsequently m&asured at their settlement V31u& with the exception ol bank loans which are subsequently measured at amortised cost using the effective interest method. 2.15 Pension5 The Group operates a defined contribution pension scheme and the pension charge repre5ent5 the amounts payable by the Group to the fund in respect of the year. 2.16 Fund uccountlng General funds are unrestricted funds which are available for use at the dlscretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes. Designated funds comprise unrestricted fund5 that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to th& financi31 statements. Restricted funds are funds which are to be used in accordance with specific restrietions imptssed by donors or which have been raised by the Group for particular purposes. The costs of r3ising and 3dminist&ring such funds are ch8rg&d 8gainst the Specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. Page 24
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Critical accounting estimates and areas of Judgement Estimates and judgements are continually evaluated and are based on historical experience and other facto. including expectations of future events that are believed to be reasonable under the circumstances. Critical accounting estimates and assumptions.. The Company m3kes estimates and assumptions concerning the future. The resultin8 accounting estimates and assumptions will, by definition, seldom equal the relbted actual results. There are no estimates and assumptions that have a significant risk ol causing a materi81 adjustment to the carrying amounts of assets and liabilities within the next financial year. Intome from donation5 and legacies Unrestricted funds 2022 Restricted funds 2022 Total funds 2022 Total funds 2021 Oonation5 20,332 30,540 1,625 21,957 30,540 23,718 12,543 3,000 434,113 Legacies Grants 23.718 50,872 25.343 76,215 449,656 Total 2021 12,468 437,188 449,656 Income from charitable acttvities Unrestricted funds 2022 Total funds 2022 Total funds 2021 Educational (museum and memorial) 487.045 487,045 283,399 Total 2021 283,399 283,399 Page 25
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEPIORIAL IA company limited by guaranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Unrestricted funds 2022 Total funds 2022 Total funds 2021 Membership subseriptlons Gat& r&ceipts Income tax recoverable 5,967 430,954 45,784 1,850 2,490 5,967 430,954 45,784 1,850 2,490 7,525 235,529 35,153 Guide books Other income 5.192 487,045 487,045 283,399 Other trading activities Uniestrlcted funds 2022 Total funds 2022 Total funds 2021 Churity tmdlng Income NAAFI. shop, site and roorn hire income Fundroising truding expenses Light and heat Maintenance 228,446 228,446 85,681 4,337 1.885 454 4,337 1,885 454 2,488 328 Telephone Recruitment 435 2,064 5.276 6,303 105.776 927 2.064 5,276 6,303 105,776 927 Irrecoverable VAT 2,003 3,611 43,313 4.268 94.916 4.308 Bank charg&s NAAFI and shop cost of sales Bookkeeping and payro15 Staff costs 127,604 4,069 127.604 4,069 Depreciation 258,695 258,695 155.670 Net expenditureArom other troding octivitffes 30.249 30,249 69,989 Page 26
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Other Incomlng resources Unrestricted funds 2022 Total funds 2022 Total funds 2021 Coron8virus job retention scheme grant Other income 10.068 10.068 99.294 75 Local restrictions support grant Insurance claim 27.000 196.802 27,000 196.802 21.214 233.870 233.870 120,583 Total 2021 120,583 120,583 Analysis of expenditure on charitable activities Summory byfund type Unrestricted funds 2022 Restricted funds 2022 Total funds 2022 Total funds 2021 Educational Imuseum and memorial) 603,947 45,702 649.649 590,622 Total 2021 343,601 247,021 590,622 Page 27
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Analysis of expenditure by activities Activitres undertaken directly Support costs 2022 2022 Total funds 2022 Total funds 2021 Educational Imuseum and memorial) 349,225 300,424 649,649 590,622 Total 2021 309,370 281,252 590,622 Analysis of direct costs Total funds 2022 Total fund5 2021 Educational 2022 Staff costs 73,800 42,505 202,875 2,326 73,800 42,505 202,875 2,326 13,799 13,920 85,146 50.324 136.064 Depreciation Site costs and services Guide books Insurance 13,799 13,920 13.812 24,024 Publicity 349,225 349,225 309,370 Total 2021 309.370 309,370 Page 28
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Analysis of expenditure by activities Icontinuedl Analysis of support costs Total funds 2022 Total funds 2021 EducatlOn31 2022 Staff costs 213,968 29.532 30,963 25,961 213,968 29,532 30,963 25,961 186,032 20.070 44,312 30,838 Administration services Office expenses Governance costs (note 101 300,424 300,424 281,252 Total 2021 281,252 281,252 io. Governance Costs Unrestrirted funds 2022 Restricted funds 2022 Totsl funds 2022 Total funds 2021 Audit 3nd accountancy Legal and professional fees Bad debts 8.990 12,346 225 8.990 16,746 225 7.625 23,213 4,400 21.561 4.400 25,961 30,838 Total 2021 8.578 22.260 30,838 Page 29
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 ii. Auditor's remuneration 2022 2021 Auditor's remuneration- audit 9,535 20.188 7,000 22.050 All non-audit services not included above 12. Staff costs Group 2022 Group 2021 Company Company 2021 2022 Wages and salaries Social security costs Pension costs 383,716 25,435 6,221 338,341 21,725 6,028 262.502 20,200 5,066 247,453 18,592 5,133 415,372 366,094 287,768 271,178 Redundancy payments were made in the year totalling £4,29612021: £7,3621. The average number of persons employed by the group during the year was as follow5.. Group Group 2021 No. 2022 No. Operation81 Administrative 16 18 22 23 No employee received remuneration amounting to more than £60,000 in either year. During the year key management personnel's remuneration, including employers, pension and national insurance, totalled £106,99712021.. £109,030). Page 30
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA COTnpany limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 13. Trustees, remuneratÉon and expenses During the year. no Trustees received any remuneration or other benefits12021- £NILI. During the year ended 31 March 2022, a tot31 of £334 12021 - £NILI was reimbursed to 2 Trustees relating to office expenses. 14. Tangible fixed assets Group Freehold property Exhlblts and Equlpment and displays vehicles Total Costor vuluation At l April 2021 Additioris 1,032,481 781 135,505 3.451 289.080 23.625 12,1211 1,4S7.066 27.857 12.1211 Disposals At 31 March 2022 1,033.262 138.956 310,584 1,482,802 Depreclation At l April 2021 Charge for the year On disposals 523,024 20.271 124,268 1.934 216,770 24.369 14241 864.062 46.574 14241 At 31 March 2022 543,295 126.202 240,715 910.212 Net book value At 31 March 2022 489,967 12.754 69.869 572.590 At 31 March 2021 509,457 11,237 72,310 593,004 Included in land 3nd buildings is freehold land at a cost of £97,59112021.. £97.5911 which is not depreciated. Page 31
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 14. Tangible fixed 35sets Icontinuedl Company Freehold property Exhibit5 and Equipment and displays vehicles Totsl C05t or vuluotion At l April 2021 Additions 1,032.481 781 135,505 3,451 201.249 19,207 12.1211 1,369.235 23,439 12.1211 Disposals At 31 M3rch 2022 1,033.262 138,9S6 218.335 1390.553 Depreciotion At l April 2021 Charge for the year On disposals 523.024 20,271 124.268 1,934 141.874 20.300 14241 789.166 42.505 14241 At 31 Mèrch 2022 S43,295 126.202 161,750 831,247 Net b(k vulue At 31 March 2022 489,967 12.754 56,585 559,306 At 31 March 2021 509,457 11,237 59,375 580.069 Included in land and buildings is freehold land 8t a cost of £97,59112021-. £97,591] which is not depreciated. Page 32
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL {A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 15. Heritage assets The charity holds a variety of historic aircraft. vehicles and other items that may be considered to be herit3ge assets. The assets are held for the purpose of allowing the charity to fulfil its objective of advancing the educatio of the public by the provision of 3 museurn depicting the history of aviation. The trustees consider that obtaining valuations for the majority of the historic aircraft and other items that are exhibited in the museum would involve disproportionate cost. Furthermore, given the specialist nature of the assets and the absence of comp3rable market values It 15 considered that conventlOn31 valuation approaches mav in any event lack sufficient reliability. As such, the charity does not recognise heritage assets on its balance sheet, except to the extent that there have been recent acquisitions where an exhibit or artif3Ct has been purchased, in which case the asset is initially included at cost and is subsequently depreciated. All of these herita8e assets have been fully depreciated in previous years. Any expenditure on heritage assets that in the view of the trustees is required to preserve individual assets is recogni5ed in the statement of financial activities as incurred. In the past 5 year5, no heritage assets have been purchased or disposed of. One heritage a55et ha5 been donated during the period.. Hunting Percival IBACI Jet Prov05t T.3è XN582 Given the nature of th& ass&t and the absence of comparable market V31ues. a reliable estimate for the value of the asset could not be obtained. 16. Flxed asset investments Investments In subsidiary companles Group Costorvoluution At l April 2021 loo At 31 March 2022 100 Inve5tment5 in subsidiary companies Company Costorvoluutlon At l April 2021 200 At 31 March 2022 200 Page 33
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 The following were subsidiary undertakings of the Cornpany.. Names Company number Principal artivity Holding Airspeed (York) Limited YAMCO Limited 08734418 02801334 Dormant C8tering, retail and venue hire loo% loo% The financial results of the subsidiaries for the year were.. Names Aggregate of share capital and reserves ProfitllL0551 Airspeed Iyorkl Limited YAMCO Limited loo 146,9061 163,7901 17. Stocks Group 2022 Group 2021 Goods for resale 22.487 13,708 18. Oebtor5 Group 2022 Group 2021 Company Companv 2021 2022 Trade debtors 3.085 467 3,085 71,307 1,7S8 8,606 225 Amounts owed by group undertakin8S Other debtors 24,765 1,454 76,658 11.427 8,968 8,138 76.658 Pr&payments and accrued income 23.480 85,263 84,756 103,102 Page 34
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 19. Creditors.. Amounts falling due within one year Group 2022 Group 2021 Companv 2022 Compèny 2021 Trade creditors 21.305 26,4132 1,544 6.037 1,106 12.648 20.482 26,365 Corporation tax Other taxation and social security Other eredittsrs 2.091 1.43S 18,829 2,091 Accruals and deferred income 16,053 10,348 43,660 47.767 38,626 36,713 Page 35
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarnnteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 20. ststement of funds ststement of funds- current year Balance at I April 2021 Transfers in/ovt Balance at 31 March 2022 Intome Expendlture UrJrestrictedAund5 DeslgnotedAunds Fixed assets 396,576 137,0981 26.442 385,920 GenerolAunds General fund 467,009 16,785 761,439 246,952 1513,2571 1310.7431 124.9461 690.245 147,0061 Trading fund 483,794 1,008,391 1824.0001 124,9461 643.239 rotsl UnrestrittedAunds 880.370 1,008.391 1861,0981 1,496 1.029.159 Restrlctedfvnds Grants and donation5 6.587 83,890 23,191 112,537 7,427 1,496 500 1.625 11,4371 16,0001 6,775 77,890 23,191 108,778 7,427 1,496 soo Canadian Memorial Han8er Airgunner5 Aircrew Association 13,7591 Control Tower Archives Security Museum Memorial Fund Kirby Foundation HLF Emergency fund DCMS grant fund 3,679 9,054 3,991 IS141 17,1801 126,8121 13001 12991 18971 2.865 1.575 23,718 252,352 25.343 145.7021 11,4961 230,497 Totulollunds 1,132.722 1,033.734 1906.8001 1.259,6S6 Page 36
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 20. ststement of funds Iconttnuedl Statement of funds- prior year Balance at 31 March 2021 Balance at l April 2020 Transfers in/out Income Expenditure UnrestrittedAund5 Designutedfunds Fixed assets 362,104 144,2611 78,733 396.576 6eneralAunds General fund 277,381 55.120 317.177 185,050 1295,5861 1160,9681 168,037 162.4171 467,009 16.785 Trading fund 332,501 502,227 1456,5541 105,620 483,794 Total Unrestrictedjunds 694,605 502,227 15(M),8151 184,353 880.370 Restrlctedlunds Grant5 and donations 6,595 89.890 23,191 116.908 7,454 2.000 500 2,637 11.0091 16,0001 11,6361 6,587 83,890 23.191 Canadian Memorial Hanger Airgunners Aircrew Association 14,3711 1271 13021 112.537 7.427 1,496 soo Control Tower Archives Security Museum Memorial Fund 1,438 11,6401 Kirby Foundation HLF Emergency fund DCMS grant fund 10,000 134,300 288.813 11.1001 163,3531 1170.8591 15,2211 161,8931 1113,9631 3,679 9.054 3,991 246,538 437,188 1247,0211 1184,3531 252,352 TotulolAunds 941,143 939,415 1747,8361 1,132,722 Page 37
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 20. Statement of funds Iconttnuedl Deslgnated funds The fixed asset fund represents the fixed assets held in unrestricted funds of the parent chaTIty. Restricted funds Grants and donations relate to amount received to be spent on specific projects. The Canadian Memorial Hangar fund represents a grants awarded towards the cost of construction of the T2 Canadian Memorial Hangar. Terms of the National Heritage Memori81 Fund gr3nt st3te that the company will not sell, let, pledge. mortgage, charge or otherwise encumber the property without prior consent of the National Heritage Memorial Fund. A grant from the PRISM Grant Fund w8s provided on behalf of the Museums & Galleries Commission. The assistance was provided subject to the condition that the Hang8r is distinguished in title from the remaining assets of the Yorkshire Air Museum and will not be mortgaged or charged in any way. The fund is being reduced in line with the annual depreciation charge of the building. The Airgunners fund represents amounts received dedicated to the Airgunners memorial room. The Aircrew Association fund relate5 to the cost of the archives building which was funded by grants from the Aircrew Association. The fund is being reduced in line with the 8nnu31 d&preciation charge of the building. The Control Tower fund represent5 a grant received from the Arnold 8urton Foundation for a project to improve and maintain the control tower display. The Archives Security fund consists of 8 don8tion received specifically for the archives collectitsn. The Museum Memori31 Fund represents donations towards the rnemorial aspect of the museum. The Kirby Foundation repre5ent5 8 grant received from the Kirby Foundation for a families and children's project. The HLF Emergency Fund represents 8 grant received to cover essential costs for 4 months in response to the COVID-19 crisis. The DCMS grant fund represents a gr3nt received in response to the COVID-19 crisis towards essential site maintenance and staff costs, promotion and marketin8, and includes a resetves boost which has been shown as a transfer from restricted to unrestricted funds. Fund transfers A transfer has been made from the general fund and various restricted funds to the designated fixed 3ssets fund equal to the fixed asset 3ddition5 net of di5POsal proceeds of £26.442. Page 38
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL {A ¢ompany limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 21. Summary of funds Summary of funds- current year Balance at I Aprfl 2021 Transfers Balance at 31 Marth 2022 Income Expenditure Designated funds General funds 396,576 483.794 252.352 137,0981 1824,0001 145,7021 26,442 124,9461 1.4961 385,920 643,239 230,497 1.008,391 25,343 Restricted funds 1.132,722 1.033,734 1906,8001 1,259,656 Summary of funds- prlor year Balance at 31 March 2021 Balance at l April 2020 Transfers inlout Income Expenditure Designated funds GeneTal funds 362,104 332,501 246,538 144,2611 1456,5541 1247.0211 78,733 105,620 1184,3531 396.576 483,794 252.352 502,227 437.188 Restrirted funds 941,143 939,415 1747,8361 1.132,722 22. Analysis of net assets between funds Analysis of net assets between funds- current year Unrestricted funds 2022 Restricted funds 2022 Total funds 2022 Tangible fTxed assets Fixed ass&t investments 385.920 loo 186,670 572,59) i(K) Current assets 686,799 143,6601 43,827 730,626 143.6601 Creditors due within one year 1.029,159 230,497 1,259,656 P3ge 39
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 22. Analysis of net assets between funds Icontinuedl Analysis of net assets between funds- prior yeai Unrestricted funds 2021 Restricted funds 2021 Total funds 2021 Tangible fixed assets Fixed asset investments 396,577 loo 196,427 593,004 loo Current assets 531,460 147,7671 55,925 587,385 147,7671 Creditors due within one year 880,370 252,352 1,132,722 Reconcillatlon of net movement in funds to net cash fl¢)w from operating activities Group Group 2021 2022 Net income for the year las per Statement of Financial Activities) 126,934 191,579 AdjustmentsAor.' Depreciation charges Loss on the sale of IiKed assets Decrease/lincreasel in stocks Decreasellincreasel in debtors Increaselldecreasel in creditors Taxation charge 46,574 283 54,632 18,7791 61,783 12,5631 11,5441 4,845 149.5391 5,099 1,544 NetCQ5h pmvided byopen7ting uctivities 222,688 208,160 Page 40
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 24. Analysis of cash and cash equivalents Group Group 2021 2022 Cash in hand 684,659 488,414 Totulcosh ondcash equlvolents 684,659 488,414 25. Analysis of changes In net debt At l April 2021 At 31 March 2022 Cash Ilows Cash at bank and in hand 488,414 196,245 684,659 488,414 196,245 684,659 26. Pension commitments The charity operates a defined contribution pension p13n for its employees. The amount recognised as an expense in the period was £6,22112021.. £6,028). 27. Related party transactlons At the balance sheet date the charity had an outstanding net debtor balance due from its subsidiary undertaking, YAMCO Limited. amountifig to £131,30712021.. £24,765). At the year end a provision has been made for £60,000 in the Yorkshire Alr Museum company accounts relating to the net liabilities of YAMCO. Ouring the year, expenditure wa5 recharged from the 5ub5idiary company of £49.795 12021.. £271,179) for group setwices, wa8es and rent. Also durin8 the year, expenditure was recharged to the subsidiary company of £2.94512021.' nill for cafe sales. Durin6 the period, 2 Trustees made total donations of £1,210 to the chèTIty. Controlling patty The trustees consider that there is no ultimate controlling party of the group or the charity other than the board of trustees as a body. Page 41
YORKSHIRE AIR MUSEUM & ALLIED AIR FORCES MEMORIAL IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 29. Company limited by guarantee The charity, being a company limited by guarantee, has no share capital. Every rnember 15 liable to contribute a sum not exceeding £1 in the event of the company being wound up whilst still a member or within one year thereafter. The members are not entitled to any distribution of the income or property of the company and. in the unlikely event of the winding up or dissolution of the company. any surplus rem8ining shall be transferred to some other charitable institution having charitable objects similar to those of the company. Page 42