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Trustees' Report and Financial Statements The Royal Society Trustees’ report and financial statements for the year ended 31 March 2013 Trustees’ report and financial statements For the year ended 31 March 2013 Trustees Statutory Auditor The Trustees of the Society are the BDO LLP members of its Council, who are elected 55 Baker Street by the Fellowship. Council is chaired by the London President of the Society. During 2012/13, W1U 7EU the members of Council were as follows: Bankers President The Royal Bank of Scotland Sir Paul Nurse 1 Princess Street London Foreign Secretary EC2R 8BP Professor Martyn Poliakoff CBE Investment Managers Physical Secretary Rathbone Brothers PLC Professor John Pethica 1 Curzon Street London Biological Secretary W1J 5FB Dame Jean Thomas DBE Internal Auditors Treasurer PricewaterhouseCoopers LLP Sir Peter Williams * Cornwall Court Professor Anthony Cheetham ** 19 Cornwall Street Members of Council Birmingham Professor Gillian Bates B3 2DT Professor Andrew Blake * Professor Geoffrey Boulton OBE ** Sir John Beddington CMG ** Registered charity No 207043 Dr Simon Campbell CBE Professor John Collinge CBE Registered Address Professor Athene Donald DBE ** 6 – 9 Carlton House Terrace Professor Peter Donnelly * London SW1Y 5AG Professor Carlos Frenk ** Professor Alexander Halliday royalsociety.org Professor Judith Howard CBE Professor Frances Kirwan ** Professor Ottoline Leyser CBE ** Dr Robin Lovell-Badge Professor John McWhirter * Professor Kim Nasmyth * Professor Roger Owen ** Dame Linda Partridge * Professor Timothy Pedley ** Professor Trevor Robbins * Professor Wilson Sibbett * Sir Christopher Snowden * Professor Nicholas Tonks Professor John Wood ** * up to 30 November 2012 ** since 1 December 2012 Executive Director Dr Julie Maxton Cover: Bicontinuous, interfacially jammed emulsion gel capsule. Courtesy of Dr Paul Clegg, Industry Fellow. 2 Trustees’ report and financial statements Contents President’s foreword ...................................................................... 4 Executive Director’s report ............................................................. 5 Trustees’ report .............................................................................. 7 Financial review ........................................................................... 35 Fundraising and development ...................................................... 40 Governance .................................................................................. 41 Independent auditor’s report to the Council of the Royal Society on the financial statements .............................. 44 Consolidated statement of financial activities ............................... 46 Consolidated balance sheet ......................................................... 48 Cash flow statement .................................................................... 49 Accounting policies...................................................................... 52 Notes to the financial statements ................................................. 56 Trustees’ report and financial statements 3 President’s foreword It has been an exciting year for Our new Supplemental Charter will the Royal Society. As a biologist make our governance more robust I was very proud that we appointed and we have launched our ‘Year of the first Sir Henry Dale Fellowships, Science and Industry’ to make sure bringing together the might of that all parts of the UK’s scientific the Wellcome Trust and the Royal ecosystem are working together. Society to back some of the most highly valued young scientists in These are just some of my the world. highlights and this report summarises the full range of Together with the Royal Academy the activities the Society has President, of Engineering, we made a major undertaken to deliver our five Sir Paul Nurse contribution to the debate on year strategy for recognising and fracking. Our report on openness supporting excellence in science, and transparency in science providing scientific advice to policy will help shape the future of the makers, fostering international scientific endeavour. Working with collaboration, stimulating public the Department for International engagement with science, and Development we have established generally promoting science and a £15.3 million programme to help its benefits. strengthen research and training capacity across sub-Saharan Africa. The Society is at the heart of promoting science and the place We played host to Professor of science in national life. That Brian Cox talking about how to is because of our position as an make Britain the best place to do authoritative, independent body at science and the Chancellor of the the centre of British science. We Exchequer, George Osborne MP, owe that to the many volunteers, outlined his vision for long term within and beyond the Fellowship, sustainable economic growth who give their time freely to the with science and innovation at Society and to our staff. its heart. I had the chance to revisit that with the Chancellor when I was guest editor on BBC Radio 4’s Today programme. 4 Trustees’ report and financial statements Executive Director’s report Following a period of consultation The strategic plan highlights with Fellows and Foreign Members the Society’s dedication to in 2011 the Society launched its strengthening its links with existing strategic plan for 2012 – 2017 partners as well as fostering new to emphasise its commitment to relationships. Throughout the the highest quality science. I am year, the Society collaborated on a pleased to report we are making number of issues with its four sister strong progress in all areas towards academies. Joint work included delivering the strategic priorities laid publication of a report on human out in the plan. enhancement and the workplace, co-hosted policy discussions at Executive Director, One highlight of the year included the autumn party conferences and Dr Julie Maxton the designation of a ‘Year of working together to highlight the Science and Industry’, with an importance of research to health, extensive series of events and wellbeing, economic and social Ensuring everyone has the activities to showcase excellence progress in the UK. opportunity to engage with science, in UK industrial science and to whether through formal education strengthen links between the The appointment of the first Sir or through other resources and Royal Society, industry, academia Henry Dale Fellowships in 2012 events, is a priority for the Society. and the public. with the Wellcome Trust represents In 2013 the Society’s first Public a highly valued opportunity for Engagement Committee was Speaking at the Society in scientists – providing support for established to oversee a significant November 2012 the Chancellor outstanding post-doctoral scientists step-change in how the public set out eight future technologies wishing to address an important may be involved with science and in which the government believes biomedical question. activities the Society is involved in, the UK has the potential to be including policy advice. world-leading. Via the science and Science is a global activity and industry programme and other the Society has continued to The backbone of the Society is initiatives, the Society recognises develop its international policy its Fellowship and this year a new that world class research and work by engaging with a range programme of events has been development in UK industry is of intergovernmental fora designed for Fellows, including essential for transforming innovative and bodies such as the UN research weekends at the Kavli ideas into commercially successful Convention on Biodiversity, the Royal Society Centre at Chicheley products, economic growth, and UN Conference on Sustainable Hall, scientific meetings in London securing the science base. Development and contributing and regional meetings with the to the work of the European President. I would like to thank Academies Science Advisory all those who have given their Council on biofuels, climate time to take part and to send change and direct-to-consumer us their feedback. genetic testing. The Society continued its efforts in capacity Thanks are also due to the building in Africa and engaged Fellows, staff and wider scientific with the Commonwealth and some community for their dedication in of the emerging economies, making this year such a success. notably China and Russia. Trustees’ report and financial statements 5 Trustees’ Report The Royal Society interests that the authority of The Society has six strategic The Royal Society of London for the Society in scientific matters priorities, detailed in the Improving Natural Knowledge, derives. Fellows and Foreign strategic plan 2012 – 2017: commonly known as the Royal Members are invited to fulfil a • Promoting science Society, is a self-governing range of responsibilities for the and its benefits Fellowship of many of the world’s Society on a voluntary basis. most distinguished scientists Many others, scientists and non- • Recognising excellence drawn from all areas of science, scientists, also contribute to the in science engineering, and medicine. The work of the Society on a voluntary Society’s fundamental purpose, basis. The Fellowship is supported • Supporting outstanding reflected in its founding Charters by staff based mainly in London. science of the 1660s, is to recognise, • Providing scientific advice promote, and support excellence A major activity of the Society for policy in science and to encourage the is identifying and supporting
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