National Army Museum Consolidated Financial Statements 31 March 2019

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NATIONAL ARMY MUSEUM

NATIONAL ARMY MUSEUM REGISTERED CHARITY NUMBER 237902

CONSOLIDATED FINANCIAL STATEMENTS

31st MARCH 2019

HC47 NATIONAL ARMY MUSEUM

NATIONAL ARMY MUSEUM REGISTERED CHARITY NUMBER 237902

CONSOLIDATED FINANCIAL STATEMENTS

St31 MARCH 2019

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The of -3- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

PERFORMANCE REPORT

OVERVIEW Background Information The National Army Museum (NAM) was established by Royal Charter in 1960 to collect, preserve, and exhibit objects and records relating to the Regular and Auxiliary forces of the British Army and of the Commonwealth, and to encourage research into their history and traditions. Devolved status was accorded to the Museum under the terms of the National Heritage Act 1983. The annual Grant-in-Aid (GiA), made through the Ministry of Defence (MOD), is administered by the Director of the Museum on behalf of the governing body, the Council of the National Army Museum.

Social Investment and Public Benefit

The Council of the Museum recognises its responsibilities with regard to social investment and public benefit. The Museum pays due regard to the Charity Commission guidance in particular PB 1, PB2 and PB3. The following sections of these accounts show that commitment to the investment and how the Charity Commission guidance has been complied with. Overall Objectives and Activities

The National Army Museum’s objectives were set out in its Royal Charter, first granted in 1960. Its preamble states that the National Army Museum was established ‘for the purpose of collecting, preserving and exhibiting objects and records relating to the history of Our Army so that the achievements, history and traditions of Our Army should be better made known’.

‘Our Army’ is defined by Her Majesty The Queen in Council as including ‘the Standing Army, Militia, Yeomanry, Volunteers, Territorial Army of the British Islands, Territorial Army and Volunteer Reserve of the United Kingdom, Our Predecessors’ Army in India and the Armies of the East India Company and the Land Forces of Our and Our Predecessors’ possessions beyond the seas’. In 2018 the Museum undertook a review and during this period the Museum updated its Strategic Plan. This Plan had a single aim, stabilising the Museum in order to set the conditions for growth in 2019-20 and beyond. In addition, the Museum updated its Mission and Core Values as well as introducing a series of values and outputs.

Mission

‘To tell the story of Our Army and the people who have served in it. To inspire, engage and educate through our world class Museum and Collections’.

The Plan has five Key Objectives:

• Objective 1: - Connect the British public to the story of Our Army • Objective 2: - Become the leading authority on the history of Our Army • Objective 3: - Safeguard and make accessible our collections and expertise to the widest possible audience • Objective 4: - Enable and support networks of military museums and heritage organisations in the UK • Objective 5 - (Primary Enabling Objective): Build greater financial resilience and sustainability

Values

Integrity, Rigour, Empathy, Creativity, Teamwork, Accessibility -4- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019 Outputs

The Museum’s main sponsor, the Army, provides Grant-in-Aid to NAvI for three reasons. Firstly, it wants to engage and inspire the public with the story of Our Army. Secondly, it expects NAM to support the education and research of those with an interest in British military history. Thirdly, it views NAM as a place where the historical provenance of the Army’s values and ethos are explained using history and the stories of those that have served. NAM fulfils its objects and meets the Army’s needs by providing two outputs:

• Output 1: Museum in London with free access to the public that tells the story of Our Army and the people who served in it.

• Output 2: Institutional historical research service that is accessible to the public.

Achievements, Objectives and Performance for the Year

The Council of the National Army Museum continues to believe that the most important objective for the Museum is to provide the widest possible access to its Collections both at the Chelsea and Stevenage sites and as part of outreach activities by its professional expert staff. Chelsea

The Museum at Chelsea has continued to be the focus of attention for the Management Team in an effort to increase visitor numbers and visitor related income. This has been helped by the success of the Museum’s first two charging temporary exhibitions:

• Special Forces: In the Shadows;

• Alfred Munnings: War Artist, 1918, this was an exhibition in collaboration with the Canadian War Museum, The Munnings Art Museum and generously supported by Juddmonte and the Beaverbrook Canadian Foundation

These very different exhibitions brought their own distinctive audiences some of whom were not natural visitors to the Museum. The Museum was extremely proud that Her Majesty, the Queen and their Royal Highnesses the Prince of Wales and the Duchess of Cornwall all visited the Munnings exhibition.

In addition to these large temporary exhibitions, the Museum also installed another exhibition space to accommodate smaller exhibitions in what is known as the Focus gallery. This gives support to the main galleries and temporary exhibitions with a fully comprehensive public programme of events and “pop up” exhibitions. One of these very well received small exhibitions was the display of Rory Lewis portraits and art from the Service Charity, Combat Stress who assist veterans by using art as a form of therapy.

The co-location of the Museum’s extensive archives adjacent to the Templer Study Centre allows the excellent study centre staff and team of volunteers to provide the level of service required by our readers. This has been further enhanced by the provision of an “online” booking service which allows readers to search for subject matter, order it for a specific time and be allocated a study area.

The learning offer has greatly expanded since last year with many of our former schools returning and new ones booking both taught and self-guided sessions.

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The Collections storage site has shown an increase in visitors who by appointment, wish to view and study the collection. Work has continued on location, cataloguing and consecration to the collection. The transfer of the Grenadier Guards archive to NAM has brought with it a fantastic study opportunity. -5- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCW YEAR ENDED 31ST MARCH 2019

Key Risks and Reserves

The operational budget for the NAM for 2018-19 before depreciation of assets was £8.lm the majority of which is funded annually via Grant-in-Aid (GiA) from its Sponsor Department - MOD.

The risks to the Museum are regularly reviewed by the Senior Management Team and the Performance, Audit & Risk Assurance Committee (PA&RA). Previously it was recognised that the greatest risk to the Museum was the level of settlement of the Final Account for the redevelopment project. With the majority of this Final Account having been settled this risk is now significantly reduced.

The main recognised risk and albeit, of a lower-likelihood is now the withdrawal of MOD/GiA funding. The Museum remains largely funded from GiA from the MOD. There are no indications from the Sponsor Department that this option is being considered and the Museum has received repeated assurances of ongoing funding and as such the Museum expects to be in a position where it can continue to operate effectively and grow. The removal of this funding and, if no alternative funding was secured, would have immediate consequences for the Museum, resulting in its closure within a three-month period.

However, and recognising this second risk, the Museum’s Reserves Policy has been developed in accordance with guidance from the Charity Conmiission detailed in its publication ‘Charity Reserves: building resilience’ and to meet the requirements of SORP 2015 (FRS 102). This policy recognises the cost of closure, including external contracts, local authority rates, utilities, staff salaries (including redundancy costs for those staff not paid via MoD). This policy assumes that those staff currently on analogous terms to Civil Service pay and conditions and currently paid through MoD, would continue to be funded through to closure by the Sponsor Department, this would include the liability for any redundancy costs. The intention of Council once the redevelopment Final Account has been settled, is to build the Museum’s Unrestricted Reserves to £1,000,000.

Current Position

Restricted Reserves

NAM currently holds a Restricted Reserve, excluding land and buildings and heritage assets, of £681,000 to support specific elements of acquisition, care or display of collections or specific projects supporting educational, research or outreach activity.

Unrestricted Reserves

The current cash and cash equivalent value of Unrestricted Reserves shows a deficit of £154,000 reducing from a deficit of749,000 at the end of the previous year, an improvement of £595,000 over the year.

Level of Reserves

The Museum, once the redevelopment Final Account is settled, will seek to raise its Unrestricted Reserves to £1,000,000.

The current plans for trading and fundraising include the raising of significant funds each year to help achieve this. The driving of audiences and associated spend per head will in turn increase the trading profit. The Museum has recently commenced charging for some temporary exhibitions.

Based on budgeted trading profit and obtaining Charity Commission approval for the reclassification of part of its Restricted Funds the Museum expects to reach this level of Unrestricted Reserves within five years. -6- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

The Director as Accounting Officer has the delegated authority to utilise both Unrestricted and Restricted Reserves for opportunities or issues that arise within the year.

Oversight

The Council of NAM, via its PA&RA Committee, reviews the level of funds in both Restricted and Unrestricted Reserves four times a year. The Policy is reviewed annually at the Council’s autumn meeting, prior to the Business Plan for the following year being finalised.

It is the NAIvI Council’s view that this Reserves Policy will provide the Museum with adequate financial stability and the means for it to meet its charitable objectives and operational expenditure for at least three months. Assessment of Going Concern

The National Army Museum is a going concern for the foreseeable future. This is evidenced by the support it has received historically and continues to receive with its allocation of GiA. Further evidence of support is contained in the Triennial Review which was published on gth February 2017. This review recognises the Service Museums support of the heritage objectives of the MoD and recommends their retention as ENDPBs/NDPBs. The revised Financial Framework document agreed between NAM and the Sponsor Department on change of Director in 2018 further evidences the Sponsors continuing support. The Museum has also received its GiA control total for the 20 19-20 financial year.

PERFORMANCE ANALYSIS

Objective 1:

Connect the British Public to the Story of Our Army

1.1.1 Refining Museum Gallery Displays

The feedback received from the public makes it clear that a degree of refinement is needed to the current galleries and public spaces to better inspire and connect the public to the history of Our Army. The Director and Assistant Director (Collections and Programmes) are working on this refmement.

Resources are constrained and limit the degree of work that can be conducted in-year to improve the current displays and increase the impact of the Museum on visitors; £10,000 was set aside for these tasks within the Collections and Exhibitions expenditure. The priorities for 20 18-19 were:

• Refine certain displays (e.g. Northern Ireland, cap-badge display in Army gallery), the labelling of some objects (e.g. recruiting objects) and certain backdrops (e.g. the Ethics walls in Battle Gallery).

• Display objects and paintings from the collection on the floor balcony and in the Boardroom so that they reflect the richness of Our Army’s heritage and have an impact on our guests.

1.1.2 Maximising Museum Footfall

In order to have maximum public impact the Museum in 2018-19, agreed to develop and pursue a broad public offer that is balanced in its appeal to different generations and levels of knowledge. The Museum no longer bases its programme around annual themes, such as Security or Gender, but rather a variety of distinct projects which taken together will offer something to a broad spectrum of the British public, the community with strong links to Our Army and the global audience with an interest in military history. -7- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

The offer now is both physical, based on and off-site, and digital, harnessing our existing website, digital collection and growing social media presence. The coherence of what is offered is achieved by faithfully linking what we do to our Mission and Values. The programme has been developed pragmatically from the bottom up seizing opportunities offered by external high-profile events and anniversaries (e.g. Commonwealth Heads of Government (CHOG) or the WW1 Centenary). We continue to partner with others, e.g. Commonwealth War Graves Commission. NAM will be proactive in identifiing and attracting specific specialist groups to visit the Museum.

1.1.2.1 Anny and Veteran Groups: By working with the Army, regimental associations and veterans groups, NAM aims to attract visitors through organised group tours. In 2018-19 Army and Veteran Groups attracted 2,057 visitors.

1.1.2.2 Schools: NAM’s curriculum-linked schools programme offers exciting ways for children from Key Stage 1 to 5 to engage with inspiring stories from the collection. Workshops have been developed to fit the requirements of the National Curriculum, while exploring inspiring stories about Our Army from the collection using real and replica artefacts to help connect pupils with the past. History and humanities-focussed workshops reinforce the importance of understanding the relationship between the story of Our Army and society today. New Science Technology Engineering and Maths (STEM) workshops have become one of the most popular offers since re-opening, and new workshops will help position NAM as an important STEM provider in London. We attracted 8,768 school visitors in 2018-19.

1.1.2.3 Other Groups: We attract additional visitors through offering guided tours to other organisations, such as University Alumni Groups or other Museum Friends organisations.

1.1.2.4 Family Activities: We organise weekend family activities once a month (such as ‘tank wars’). We attracted 9,866 visitors from Family Activities in 2018-19.

1.1.2.5 Special Events: NAM organised special events around the 1 Anniversary of the Armistice which attracted 4,888 visitors.

.1.2.6 Special Exhibitions:

This year NAM piloted the combination of a major exhibition alongside a minor exhibition, supported with continuing development of our Explore series of digital military history content. The longer-term ambition is to hold 2 major exhibitions per year, each of 2450m and 3 smaller ones of .250m The major exhibitions will alternate, between a ‘three-dimensional’ exhibition, comprising images, objects and interactives, which will run from early April to the end of October every year, and a ‘two-dimensional’ exhibition based around paintings and prints from within the collection or from the National Museum Network; these will run from late November to early March and create a space that can be exploited for corporate hire during the November to March period. A four-year programme of exhibitions, and a rolling planning process, was developed and in place in October 2018 to allow systematic fundraising efforts to commence.

During this reporting year, the Special Forces exhibition ran from April to October and attracted 15,112 visitors with overall attendance for the exhibition run at 17,519 with a visitor conversion rate of 12%. Income was £67,590 for the April — October period and total income £81,000 including gift aid donations. The exhibition attracted a largely adult audience with 83% of tickets purchased by visitors aged over 16. Visitors were primarily from London, accounting for 51% of the audience. The most common motivation for visiting the exhibition was an interest/connection to Special Forces. The overall rating for the exhibition was 9/10 with 95 % of visitors stating that they would recommend the exhibition. The special exhibitions programme allowed the Museum to begin a programme of installation and changes of large objects linked with both the exhibition and public and programme. This has included the installation of a Coyote

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the of -16- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019 4.4.1 Army Review of Heritage Strategy

NAM hosted the Army Review of Heritage Strategy, led by Lt Gen (Ret’d) Andrew Graham. NAM worked alongside AMOT and Home Command in support of this review which is due to be published in the summer/autumn of 2019. 4.4.2 Support to Regimental and Corps Museums The Museum continues to support regimental colleagues working alongside MOD Home Command museums and the Army Museums Ogilby Trust. NAM hosted the AMOT Conference in October 2018 and will continue to provide flexi-desk space for AMOT at NAM. As part of the Museum’s support to the Regimental Museum community NAM dealt with approximately 25 enquiries per month and visited 30 museums in 2018-19. On a case-by-case basis, we will continue to act as expert advocates for Regimental and Corps Museums applying for and supporting grant applications. This is currently averaging one application a month.

In 20 18-19 the Museum organised 17 training courses which included:

• Regimental Curators Course, two week-long courses in London, in April and in October; • GDPR training, three courses, two in London, one in York, in March; • Conservation Hazards, two courses, one in London in May, one in Edinburgh in June; • Collections move training, one course in London in July; • Emergency response training, one course in London in August; • Reconsidering Ethnographic collections (joint course with National Museums Scotland) in London, in September; • Modes (Collections Management System) training, one course in London in September; • Project Argus training, one course in London in September; • Ad Lib (Collections Management System) training, one course in Edinburgh in September; • Firearms in Museums training, two one-day courses in London and Leeds, both in November. 4.4.3 Networks The Museum established local network hubs for museums. The Museum encourages each network to initiate at least one joint project within the next year and NAM assists with project planning, coordinating and seeking funding. Recent activity within these hubs includes: • Wales and West Military Museums Network: Carried out an advocacy project amongst seventeen-member museums. NAM provided a textile conservation training programme;

• London Military Museums Network: Initiated a project to employ a Conservation Officer to work with all member museums for a contracted period of two years (an initial scoping project has been delivered towards this goal);

• Northern Military Museums Fomm: Was split into two distinctive geographical networks, North East and North West. NAM facilitated a social-media training course, and a video coaching project;

• Corps Museums Network: This group ran a collections condition survey with seven of its members; • Association of Scottish Military Museums: Supported by NAM this hub successfully applied for National Recognition status from Museums Galleries Scotland (MGS) as a Collection of National Significance;

• Eastern Military Museums Network: Has been established; its initial projects will be a resilience fund application and trustee training courses for its members; • Southern Army Museums: Has been established. -17- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

. NAM and AMOT are currently in discussion with the military museums in Northern Ireland to initiate a cross border Irish military museums network. Once this is established, we will have achieved regional military museum networks covering the whole of the UK.

4.4.4 Digitisation

Digital photography of existing collections is now being programmed with over 1,000 Indian Army badges from the Field Marshal Sir John Chapple collection being photographed this year, ahead of being placed online. The Museum has also digitised 200 oral histories in the past year.

Objective 5: Build greater financial resilience and sustainability (Primary Enabling Objective)

5.5.1 Fundraising

The Development Team reviewed the strategy for exhibition funding after the success of the Mumiings exhibition. It was decided that building a pipeline of Corporate Partners from the Defence Industry would be a more reliable and sustainable funding stream than pursuing exhibition sponsorship. The pipeline is based on signees of the Armed Forces Covenant and more specifically the companies that are members of the Defence Growth Partnership.

Exhibition tickets and associated events are now among the benefits to be enjoyed by our Corporate Partners. In this reporting period the team raised £65,000 for the successful Munnings and WRAC exhibitions.

5.5.2 Trading

Trading income totalled £789,000.

Retail income was driven by increases in spend per head (SPH) and conversion with SPH growing to £1.19 (24% increase) and conversion increasing to 9% (13% increase). The focus on books and book launch activities saw the book category increase to 30% of retail shop sales. Ethibition ranges supported growth with both Special Forces and Alfred Munnings exhibition related product accounting for 25% of sales.

Play Base occupancy saw a slight decline this year to 57% of capacity. Pricing structure remained consistent throughout the year with different pricing structures for online and in venue purchasing. The booking fee introduced for online purchases assisted in driving income and year on year revenues increased by 13% in spite of decreased occupancy. Overall visitors to Play Base for the year were 68,842 (29% of total visitors to the Museum).

Birthday Parties were a successful income stream this year, generating income of £113,000, an increase of over 50%. Volume and average party spend saw year on year increases. The average party value increased by 27% with the introduction of new catering packages as well as introducing larger spaces for parties and additional Play Base sessions to upgrade the offering.

Utilisation of our spaces for venue hire increased this year with use increasing by 212% and income by 54%. We have established ourselves within Our Army and the wider military charity network. With use of the Museum by these groups representing 28% of the total utilisation.

5.5.3 IT Systems

Due to resource constraints brought about by the need to finalise payment for the Museum redevelopment, IT investment was reduced below the “normal” levels this year and spending was confined to maintenance and sustainment of existing IT infrastructure and software systems. NAM continued to customise by department, Salesforce (its Customer Relationship Management System) to ensure the system meets the needs of individual departments and complies with GDPR.

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on its -19- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

As mentioned elsewhere in this report the Collections Conservation Management Plan, will continue to be progressed in line with the commitment to the care of the collections and this along with the review of the project Business and Sustainability Plan and existing Strategic Plan, will be used to inform the Strategic Plan for 20 19-24. Targets and Key Performance Indicators

Summarised below is the performance of the Museum against some key performance indicators over the last three years.

I 2016-17 2016-17 I 2017-18 2017-18 2018-19 I 2018-19 I Measure I I I I Budget Budget I Actual Actual I Budget Actual Access

Number of visitors 57,000 2,000 261,000 233,000 257,000 235,000 Website visits 880,000 575,000 1,000,000 824,000 915,000 1,444,000 Social media 8,000,000 4,851,000 8,000,000 8,624,000 8,600,000 15,050,000 impressions

Number of outreach 180,000 101,038 60,000 61,000 61,000 49,000 participants Visitor Satisfaction

% of visitors who would recommend a n/a 96% n/a 93% n/a 94% visit Stories of Our Army are relevant n/a n/a n/a 69% n/a 74% to_me Feels like a 21st Century Museum n/a n/a n/a 93% n/a 96%

Would visit the n/a n/a n/a 86% n/a 86% Museum again

J C W MACIEJEWSKI DSO MBE GENERAL SIR RICHARD SHIRREFF KCB CBE DIRECTOR ANI) ACCOUNTING OFFICER CHAIRMAN, ON BEHALF OF COUNCIL

National Army Museum 6tti 6t15 1 January 2020 1 January 2020 -20- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

ACCOUNTABILITY REPORT CORPORATE GOVERNANCE REPORT DIRECTOR’S REPORT Members of Council At a Privy Council Meeting on 8thi July 2009, Her Majesty The Queen approved amendments to the Royal Charter of the National Army Museum. In line with para 7(2) of the amended Royal Charter, vacancies in the Membership occurring after the coming into effect of the amended Royal Charter are filled by persons nominated by the Council and approved by the Army Board. Para 8(1) of the amended Royal Charter states that the Chairman of the Council of the National Army Museum shall be nominated by the Council from among its Members and shall hold office (unless he or she shall earlier resign) for the residue of the period for which he or she has been appointed a Member. The relevant clause relating to the appointment of Members of Council is as follows: “7(1) The Membership of the Council shall be such number of persons as the Council shall from time to time determine being not more than twelve nor fewer than five”. The Council has chosen to subscribe to the principles of the Commissioner for Public Appointments Code of Practice for Public Appointments Procedures. In particular, Members of the Council have affirmed their commitment to the Principles of Public Life. Register of Interests

A Register of Interests is maintained for Members of Council. This may be inspected on request at the Museum by prior appointment with the Director. No matters are noted in this Register which have given rise to specific conflicts with regard to Council’s management responsibilities. Members of Council Members of Council who served during the reporting period were as follows:

General Sir Richard Shirreff KCB CBE (Chair) Mr Patrick Aylmer Dr Jonathan Boff Mrs Judith Donovan CBE Mr John Duncan The Right Honourable The Lord Hamilton of Epsom — retired 1StNovember 2018 Lieutenant General Sir Simon Mayall Mr Guy Perricone Dr Paul Schreier Ms Jessica Spungin Mrs Sabine Vandenbroucke Mr William Wells -21- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

Recruitment, Appointment and Training of Council Members New Members of Council are sought through national channels with applicants being interviewed by members of Council assisted by external assessors. Appointments are then approved by the Army Board. All new members receive information as laid down by the Charity Commission. They also visit the Museum for induction training provided by the Director and other members of staff.

Organisation Structure and Decision-Making Process

The overall direction and operation of the NAM is vested in the Council of the Museum. The Council of the National Army Museum consists of up to twelve Members who serve for an initial period of three years from the date of their nomination.

The NAM Council has established a number of committees for specific purposes and to ensure the effective conduct of business. In 2018 the NAM Council agreed to address the areas of responsibility of these Committees. The result of that work is the following revised list of committees:

Collections & Research Cornniittee -formerly Acquisition & Disposal

Performance, Audit, & Risk and Assurance Committee — formerly Audit & Risk Assurance

Building for the Future Committee Note: This Committee, due to the completion of the redevelopment with just snagging to be signed off was discontinued in 2018 with responsibility for the closedown of the Final Account passed to the Performance, Audit & Risk Assurance Committee reporting to the NAM Council.

Remuneration & Appointments Committee

The full Council has approved the terms of reference of each of these committees and, where it is practical, members do not sit on more than two committees.

The day-to-day operations are controlled by the Director of NAM with the assistance of the Senior Management Team. The following were the members of the Management Team during the year:

Mr Justin Maciejewski DSO MBE Director Mr Mike O’Connor OBE Deputy Director (Operations and Resources) Mr Ian Maine Assistant Director (Collections and Programmes formerly Collections) Ms Teresa Scott Assistant Director (Human Resources) Ms Dawn Watkins (NAMTL) Assistant Director (Enterprise formerly Commercial & Visitor Experience)

In 2018 the NAM Senior Management Team was reconfigured to better suit the on-going needs of the Museum. Regular meetings of the SMT take place, together with meetings involving heads of department and subject specialists, to ensure the smooth running of the NAM, with reference to the Museum’s Mission Statement and Purpose, Strategic Plan, Business Plan and the Museum’s Risk Management Policy & Matrix of Risks. -22- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

Personal Data Loss

All staff carry out Data Protection Act training as part of their induction and e-learning programme. The Museum has identified one personal data related incident during 2018-19. An incident is defined as a loss, unauthorised disclosure or insecure disposal. Protected personal data is information that links an identifiable living person with information about them which, if released, would put the individual at significant risk of harm or distress; the definition includes sources of information that because of the nature of the individuals or the nature, source or extent of the information, is treated as protected personal data by the Museum. The Museum worked on compliance with General Data Protection Regulations which became effective from May 2018 and has in place the necessary actions to ensure that the Museum is well placed with regard to compliance to minimise risk to the Museum.

STATEMENT OF COUNCIL’S AND ACCOUNTING OFFICER’S RESPONSIBILITIES

Under Section 30(3) of the National Heritage Act 1983 and law applicable to charities in England and Wales, the Council is required to prepare financial statements for each financial year which give a true and fair view of the National Army Museum’s financial activities and of its financial position at the end of the year.

In preparing financial statements, that give a true and fair view, the Accounting Officer and Council are required to:

• Observe the accounts direction issued by the Secretary of State in compliance with Charity Law, including the relevant accounting and disclosure requirements, and apply suitable accounting policies on a consistent basis;

• Make judgements and estimates on a reasonable basis;

• State whether applicable accounting standards and statements of recommended practice as set out in the Government Financial Reporting Manual have been followed, and disclose and explain any material departures in the financial statements;

• Prepare the financial statements on the going concern basis, unless it is inappropriate to presume that the charity will continue in operation.

Under law applicable to charities in England and Wales, the Council is responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the charity and which enable the Council to ensure that the financial statements comply with the applicable law. The Council is also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Secretary of State has appointed the Director, the senior full time Museum official, as the Accounting Officer for the National Army Museum, Their relevant responsibilities as Accounting Officer, including their responsibility for the propriety and regularity of Parliamentary funded (Grant-in-Aid) finances for which they are answerable, for the keeping of proper records and safeguarding of the National Army Museum’s assets are set out in the Non-Departmental Bodies’ Accounting Officer’s Memorandum issued by the Treasury and published in ‘Managing Public Money’.

The Accounting Officer confirms that, as far as he is aware, there is no relevant audit information of which the Museum’s auditor are unaware, and that all steps have been taken to make himself aware of relevant audit information and to make this available to the Museum’s auditors.

The Accounting Officer confirms that the annual report and accounts as a whole are fair, balanced and understandable and that he takes personal responsibility for the annual report and accounts and the judgements required for determining that they are fair, balanced and understandable. -23- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

GOVERNANCE STATEMENT

This Governance Statement sets out the arrangements for the governance of the NAM, including the Council and Committee structure for the Members. It specifically shows how the organisation identifies and manages key risks and provides the assurance from the Chairman of the NAM Council and Accounting Officer previously contained in the Statement on Internal Control.

The Governance Framework

The NAM is a charity registered with the Charity Commission (registration number 237902) governed in accordance with its Royal Charter originally issued.

The Museum is a national museum and Executive Non-Departmental Public Body (ENDPB) obliged to comply with HM Treasury financial reporting requirements set out in the Financial Reporting Manual and the guidance contained in Managing Public Money. There is a Financial Framework document in place that defines the arrangements between the Museum and its Sponsor Department - the Ministry of Defence, relating to the receipt of Grant-in-Aid and the conditions for its expenditure.

The NAM Council and the Committee Structure

The NAM is governed by the NAM Council under the chairmanship of General Sir Richard Shirreff KCB CBE. The Charities Act 2011 requires the Council Members to exercise proper stewardship over the Museum and to take care of its collections.

The Director of the Museum is the Accounting Officer responsible to Parliament for the day-to-day management of the Museum as set out in Chapter 3 of Managing Public Money. Each Accounting Officer has received full induction and access to all records to satisfy themselves on the Governance and the Financial Statements of the Museum.

Council Members are appointed by the NAIVICouncil and approved by the Army Board. They are appointed for a term of three years and can be appointed for a further term of equivalent length. The NAM Council may appoint nominated external members to serve on specific committees to supplement the experience of Main Council Members. The nominated external members offer a level of expertise and independence that the Council members may not have.

Full minutes of all NAM Council and Committee meetings are maintained and the attendance of Council Members are recorded therein. Copies of NAIVICouncil minutes are published on the NAM website.

The NAM Council Members receive induction training under the direction of the Director and are encouraged to familiarise themselves with the Museum’s operations through work in committees where they are supported by the Museum’s divisional Assistant Directors. Additionally, all Members of Council received trustee training from the Museum’s legal advisors early in their tenure.

The NAM Council met on four scheduled occasions during 2018—19.Listed below are the Council Members and their attendance at Council meetings: -24- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

Meetings whilst Post Name MemberlMeeting Attendance

Chair General Sir Richard Shirreff KCB CBE 4/4 Members Mr Patrick Aylmer 4/4 Dr Jonathan Boff 4/2 Mrs Judith Donovan CBE 4/3 Mr John Duncan 4/4 The Right Honourable The Lord Hamilton of Epsom 3/3 Lieutenant General Sir Simon Mayall 4/2 Mr Guy Perricone 4/4 Dr Paul Schreier 4/4 Ms Jessica Spungin 4/4 Mrs Sabine Vandenbroucke 4/4 Mr William Wells 4/4

A register of Members’ relevant interests is maintained and is the first item on the Agenda at all meetings of the Council and committees. Members are required to declare the fact that if they have an interest, pecuniary or otherwise, in any matter being considered by the Council. In this period no such interests were declared.

NAM Council Committees

The revised Committees are listed below with their membership and attendance at meetings. The full Council has approved the terms of reference of each of these committees and, where it is practical, members do not sit on more than two committees.

Performance, Audit, & Risk and Assurance Committee

During 2018 - 19 the Performance Audit & Risk Assurance (PA&RA) Committee had four meetings. The Committee members and their attendance at the meetings are listed below:

Meetings whilst Post Name Member/Meeting Attendance Chair Mr Patrick Aylmer 4/4 Members Mr John Duncan from 11 July 2018 4/2 Mr Guy Perricone 4/4 Mrs Sabine Vandenbroucke 4/4 Mr Robin Grimston from 11 July 2018 4/3

The Committee scrutinised the draft Annual Accounts for 2017-18 and recommended them for approval by NAM Council. They selected the Internal Audit topics and reviewed the reports produced by the Internal Auditors. Additionally, at their November meeting, they were briefed on the Performance Awards for the previous reporting period, which were in line with MoD guidance. After the disbandment of the BftF Committee, the Committee assumed the responsibility of completing the closure of the redevelopment Final Account. The Committee reviews the Risk matrix at each meeting. -25- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

Collections & Research Committee This held two planned meetings during 2018-19. Listed below are the members of the Committee and their attendance at the meetings:

Meetings whilst Post Name Member/Meeting Attendance Chair Lieutenant General Sir Simon Mayall from 26 April 2018 2/2 Members Mr John Duncan from 24 April 2018 2/1 Dr Jonathan Boff 2/2 Mrs Sabine Vandenbroucke 2/2 Professor William Philpott 2/2

The Committee reviewed the Collections Audit and the recommendations from the Internal Audit. They also reviewed the Collections Policy.

Building for the Future Committee Meetings whilst Post Name Member/Meeting Attendance Chair Brigadier Douglas Erskine Crum 6/6 Members General Sir Richard Shirreff 6/4 Mr William Wells 6/5 Mr Keith Baldwin 6/5 The Rt Hon The Lord Hamilton of Epsom 6/5

Remuneration & Appointments Committee This Committee had no meetings during 2018-19. The Committee members are listed below:

General Sir Richard Shirreff KCB CBE (Chair) Ms Jessica Spungin Mr William Wells NAMTL

National Army Museum Trading Limited (NAMTL) is the established trading arm of the Museum. Its Board consists of six directors. The Board updates the NAM Council on its accounts and decisions made. Decisions taken by this company remain the responsibility of the Directors of NAMTL. NAM Council Members’ Performance. The principal achievements of the Museum during the year are highlighted elsewhere in the Financial Statements, NAM Council Minutes and Business Plan. The Director attends meetings of the Army Heritage Committee where he reports on the plans of the NAM. Additionally, meetings were held with the Sponsor Department including Director Army Resources and the Chief Accountant Army Resources. These meetings are reported to the full NAM Council. Additionally, Army Resources are invited to attend NAM Council meetings to update the Council on matters affecting the Museum and to receive assurance on governance and the use of GiA.

NAM Council minutes are circulated to all Council Members with routine papers for all Council meetings. Committee chairs brief all NAM Council meetings and highlight any matters of particular concern. There is a wide range of information and data (financial and otherwise) routinely available to Council Members, including management accounts. The Director works closely with the Deputy Director and the Head of Finance to refine the financial information supplied to Council. Members are satisfied that the information is available both on time and in a format that enables the Members to exercise proper oversight of the Museum. -26- NATIONAL ARMY MUSEUM TRUSTEES REPORT AND REPORT OF COUNCIL YEAR ENDED 31ST MARCH 2019

Review of Effectiveness of Internal Control

To meet the responsibilities above, the NAM has in place a system of internal control. A framework contained within the Financial Procedures Manual due to be updated in Autumn 2019, which all staff employed at the NAM must sign up to, supports the system of financial control. Access to the Museum’s accountancy system is restricted to the role of the individual. Levels of access are password protected which expire and must be renewed every thirty days. All staff receive regular training on the Bribery Act, Data Protection Act and copies of these policies can be found on the NAM Intranet and as part of the induction procedure and Staff Handbook. An liformation Asset Group responsible for all information assets has been established which reports annually to NAM Council via the PA&RA Committee. During this reporting period this group has focussed on the requirements of GDPR to ensure NAM compliance with the legislation due to come into effect May 2018. The Agenda and minutes for this Committee are briefed to all departments by their divisional report.

Additionally, the Senior Management Team (SMT) reviews budgets and cost centres on a monthly basis to ensure that the spend profile is maintained and any anomalies are accounted for. To support the system, additional input is received from independent internal and external audit. Internal Auditors

The Museum’s current internal auditors, BDO (formerly Moore Stephens) who work to the Public Sector Internal Audit Standards and provide an independent opinion on the matters subject to review through the internal audit programme. The NAM, along with the other major service Museums will work together in 2019 to tender for a framework agreement on Internal Audit to hopefully reduce costs for this service through economies of scale.

The Museum has a Risk Matrix to support its management of risk in the “normal” operations of the Museum. This Risk Matrix is used to identify the work to be undertaken by the internal auditors. Council’s PA&RA Committee signs off the work programme and the same committee receives the internal auditors report at its end of year meeting.

The risks contained in the Risk Matrix have also been taken into account in the development of the Museum’s strategic direction (through a process of cross-referencing between the specific risks and the principal strategic objectives) was thereby mitigating some or all of those risks.

The PA&RA Committee decided to carry out initial audits on only two specific topics; Collections Review and GDPR during the reporting period. The Internal Auditors felt that as there were only two topics that they were unable to give an overall assurance on the internal controls. This was explained to the Committee.

The overall findings from both of these audits was generally satisfactory.

The Internal Auditors also provide an annual report to the PA&RA on the key areas of risk reviewed to the Accounting Officer and the NAM Council on the work performed in the year. External Auditors

The external auditor of the Museum is the National Audit Office (NAO) on behalf of the Comptroller and Auditor General. The accounts are consolidated with the accounts of the NAM’s trading subsidiary (NAMTL) who are audited by Kreston Reeves LLP. The NAO is invited to attend the regular meetings of the PA&RA Committee which includes the “end of year” presentation of the Consolidated Accounts where it discusses their findings with the Committee. Risk Management

A Risk Management Statement has been drawn up with reference to the FIIVITreasury Publication - Risk Management Assessment Framework (2009), JSP 462 (April 2017) Financial Management and Charging Policy Manual, and the Cabinet Office & HM Treasury publication, YourDelivery Strategy (September 2001).

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employer

(2017-18

reflect

and

Trust 4

DIRECTOR 16th J

NAM Expenditure

Administration Expenditure Long-term

Impairment

Depreciation

There have NAM

Events

Collection Premises Other

funded Staff These

made

are

Controls

in Part

The

addition a

January

prepared

separate

of not

during MACIEJEWSKI

total costs to

has are

procedures

considerations

and

from

the

the been

and

costs

operating maintenance GiA

ANT)

promotion for

2020 NAM expenditure

and

the

over Management the

and

for

contingent

remote

bank

procedures

reported

and

2016

Museum’s is

impairment

the Museum’s

the ACCOUNTING loss

used

received

help

account.

other

expenditure

GiA

and

contingent

last

DSO

(Subject

elsewhere

ensure to

liabilities,

2015

disposal

trends

five

are

for

cover

Team

closure.

additional

other

reversal

MBE

the

in financial

was that

place TRUSTEES

the

liabilities

coupled

to of

last

resources.

OFFICER reduced

GiA this

Audit)

gifts,

salaries

these

five

GiA

2014-15

2015-16 2016-17

2017-18

2018-19

years NATIONAL

GiA

YEAR

ensure

with

fees,

financial

that

financial

appropriately

for

with

REPORT

£‘OOO

regular

2019

staff require charges the

over

6,903

3,685

1,074

only

(649)

reported

ENDED

853 472

894

574

monthly

purchase

years

paid

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allowable

reporting

notification

million

directly

managed

AND

being

(1,192) £‘OOO

2018

ARMY

6,649 losses

3,544 reporting

31ST

-34-

the

973 901

783 694 of

946

Heritage

a REPORT

£000

financial

expenditure

year

5,740

5,929 and

5,906 7,219 7,084

MARCH

follows:

the

and

GENERAL

MOD

14,688

£‘OOO

MUSEUM

2017

7,659

special

3,250

1,443 1-EM

PA&RA

actual

935 that 482

504

415

Assets

statements CHAIRMAN,

result Treasury.

whilst

there

2019

payments

expenditure

COIJNCIL

incurred £000

SIR 2016

Committee.

5,968

2,918

the

797

420 437

£126,000.

804 592

temporary

RICHARD

0 remaining

summarised

overspend

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and

£000

2015

this

5,948

3,162

576

454

BEHALF

410

638

708

National

cost

anticipated

6th

account.

GiA

0 SH1RREFF

further January

savings

GiA

follows:

received

Army

Annual

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2020

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KCB

Museum

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that

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In Accountability

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independent

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authorities

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Government

•

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preparation

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opinion,

purposes

opinion:

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described

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financial

notes,

of the

and

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require

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required

financial

OF my

Statements

audit

regularity

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financial

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intended

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PARLIAMENT

conclude

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all

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and statements

statements

govern

nothing in

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statements from

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draw

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group’s I

accordance

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going

report.

have

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AND

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Parliament

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that respects

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and

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date

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UK.

that

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comply

whether

the

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NATIONAL

YEAR

are

accounting

true

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and

approval

and

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statements

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income

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described

staff

evidence

future

its

properly

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auditor’s

the

with

AUDITORS’

incoming

opinion.

2000.

ENDED Kingdom

respects.

material

and

financial

fair

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information

and

accordance

events

THE

the

policies.

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I prepared

the

management’s view

in The

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expenditure

have

report Financial

National

Standards

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Museum’s

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resources

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financial

uncertainty

COMPTROLLER

31ST

Accounting

-35-

financial

transactions

fulfilled

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conclusions

conditions

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the

with

reports

REPORT Kingdom’.

Sheets,

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Army

the

MARCH

Reporting

financial

accordance

on the

state

recorded

statements.

the

ability and

MUSEUM

statements

our

financial

Auditing

use

exists

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Standards

ethical

the

application

recorded

sufficient

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other

having

are

the

reporting

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disclosures

Council’s

the

2019

based

continue

cause

with

statements

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group’s

the

requirements

(ISAs)

responsibilities

comprise:

going

been

AND

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financial

and

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conclude

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framework

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Report

audited.

events

(UK)

as resources

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appropriate

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Charities

AUDITOR

year

entity

financial

section

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the

Kingdom

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going

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ended

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Consolidated

financial

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basis

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conditions

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for

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concern

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statements

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material

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2011

GENERAL

those

of has

provide

Statement

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have

certificate.

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Standard

statements

accordance year

accounting

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Note

been

obtained

for

continue

and

that

standards

been

Statement

uncertainty

then

conform

2019

Museum’s

applied

period

Secretary

may Accepted

basis

and

2016.

applied

and

‘Audit

ended;

Those

or,

under

audit

with

as and,

cast

are

for

the

1 THE -36- NATIONAL ARMY MUSEUM AUDITORS’ REPORT YEAR ENDED 31ST MARCH 2019

Responsibilities of the Trustees/Board and Accounting Officer As explained more fully in the Statement of Council’s and Accounting Officer’s Responsibilities, the Council and the Accounting Officer are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Auditor’s responsibilities for the audit of the financial statements

My responsibility is to audit, certify and report on the financial statements in accordance with the Government Resources and Accounts Act 2000.

An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs (UK), I exercise professional judgment and maintain professional scepticism throughout the audit. I also:

• identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the group’s and the National Army Museum’s internal control.

• evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

• obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. I am responsible for the direction, supervision and performance of the group audit. I remain solely responsible for my audit opinion.

I communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.

In addition, I am required to obtain evidence sufficient to give reasonable assurance that the income and expenditure reported in the financial statements have been applied to the purposes intended by Parliament and the financial transactions conform to the authorities which govern them.

•

-ii.

Victoria National

SW1W

Comptroller

Gareth

157-197

Report

Matters

In misstated.

Opinion information,

inconsistent

responsibility my

express information

The

Other

have

•

• auditor’s

•

Council

nothing

opinion:

9SP

Information

Davies

the

branches

the statements;

agreement

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statements. the

course opinion

Buckingham

Council; in with

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any

have

observations

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fmancial

parts

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with

other

included

Secretary

and

form

report

light

and

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based

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report

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the

Auditor

required

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with

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thereon.

report

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visited

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financial

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audit,

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given

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staff;

year

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that

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have

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have

and

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NATIONAL

Report

YEAR

records

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parts not

are

financial

identified

following

fact.

for

understanding

made

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performed,

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responsible

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the

thereon.

and I

AUDITORS’

and

been

ENDED

have

and

and,

Report

the under

financial

knowledge

and

statements.

Report

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compliance

matters

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returns;

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ARMY

conclude

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31ST

-37-

connection

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statements

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which

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obtained

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inconsistent

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REPORT

so,

group

with

report

MARCH

statements

misstatements

other

consider

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that

report

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audited

require

and

does

but

with

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Resources

information.

there

the

this

Treasury’s

the

does

not

whether

2019

are

have

audit

for

you

regard.

for parent

Report

any

cover

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prepared

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my a

if,

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and

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otherwise

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The

Accounts

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properly

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other

provide

its

other

the

other

opinion:

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consistent

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environment

respect

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22nd

financial

information

financial

appears

not

prepared

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Act

Report

January

positive

been

with

2000;

with

audited

statements,

obtained

statements

and

received

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and

consistency

2020

accordance

materially

comprises

Report

this

are

fmancial

financial

not

from other

and

the

not

in of

The

None

and

Total

Net

RECONCILATION

Transfers

Gains/(losses)

Other

Net

Operating

TOTAL

Charitable

Raising

TOTAL

Expenditure Other

Trading

Investments

Donations

Income

Other Grant-in-Aid

losses

movement

(losses)!

Statement

income/(expenditure)

funds

recognised

funds

activities

and

the

between

activities

surplus/(deficit)

brought

and

for

carried

gains

endowments

Museum’s

on:

legacies

the

revaluation

funds

gains/(losses):

forward

funds

Financial

forward

year

investments

FUNDS

CONSOLIDATED

are

from:

activities

The

included

fixed

Activities

notes

assets

were

above.

for

acquired

pages

NATIONAL

YEAR

the

NOTE

Charity

STATEMENT

ENDED

discontinued 58

______

Unrestricted

alone

form

Funds

£‘OOO

ARMY

31ST

63,919

62,741

-38-

part

1,178

1,308

6,597

1,308 5,293

7,905

1,304

7,897

7,108

(180)

7,084

detailed

789

of 8

during

MARCH

these

FINANCIAL

MUSEUM

Restricted

Funds

the

£‘OOO

financial

note 43,308

43,445

(137)

(213)

(104)

year.

(101)

306

297

180

205

2019

197

126

(3)

8 0

All

Total

statements

the

2018/19

ACTIVITIES

107,227

106,186

£‘OOO

financial

1,041

1,204

6,903

5,590

1,207

8,110

1,313

8,102 (163)

7,305

Funds

7,210

the

789

(3)

Museum’s

Total

2017/18

statements.

106,186

104,456

£‘OOO

1,730

6,649

1,590

5,246

1,592

8,241

1,403

8,234

7,678

Funds

7,345

140

549

333

(2)

recognised gains

DIRECTOR

The

Total

Restricted

Restricted Total Unrestricted

Unrestricted RESERVES

TOTAL

more Amounts CREDITORS:

(LIABILITIES)

NET one

Amounts

CREDITORS: CURRENT

Cash

Investments Debtors

Stocks CURRENT Heritage

Tangible

W FIXED

financial

MACIEJEWSKI

year

Restricted

CURRENT

Unrestricted

than

bank

ASSETS

NET

assets

AND

falling

Revaluation Funds assets

falling

one

Revaluation Funds

statements

LIABILITIES

ASSETS

and

ASSETS

The

year

ACCOUNTING

Funds

due

ASSETS/

Funds

notes

hand

DSO

after

within

were

MBE

pages

approved

OFFICER

NOTE

10/11

12b

13 12a

CONSOLIDATED

NATIONAL

YEAR

67,108 39,975

£‘OOO

1,539

(904)

the

468

240

697

form

134

Council

Group

ENDED

107,227

fundamental 43,308

41,233

63,919

107,083

63,745

£‘OOO

2,075

(491)

174

635

ARMY

2019

31ST

-39-

l 6

BALANCE

67,108 39,975

£‘OOO

January

1,459

(868)

395

240

CHAIRMAN, part

GENERAL

824

MARCH

Charity

MUSEUM

107,183

2020

43,308

41,233

63,875

107,083

63,701

the

£‘OOO

2,075

(491)

SHEET

174

591

these

SIR

2019

and

RICHARD

signed

financial

(1,797)

40,192

66,993

BEHALF £‘OOO

1,487

243

500 571

173

Group

106,186

43,445

41,157

SHIRREFF

statements 107,185

62,741

62,617

its

£‘000

2,288

(689)

(310)

124

behalf

COUNCIL

2018

(1,697)

40,192

66,993

by: £‘OOO

KCB

1,452

475

734 243

Charity

CBE

106,251

43,445

41,157

107,185

62,806

62,682

£‘OOO

2,288

(689)

(245) 124

Net Increase!

(Increase)/decrease

Transfer

(Increase)!decrease

Donated Heritage

Loss/(profit)

Impairment

Interest Depreciation Adjustments

per

Net

Reconciliation

period

Cash

reporting Cash

period Change

Net

Cash Repayments

Cash

Net Proceeds

Purchase

Cash

Net

Cash

cash

analysis

the

income/(expenditure)

cash

inflows

and

flows

payable

statement

between

heritage

assets

provided

(decrease)

provided

provided of

from of

provided

cash

period

and

cash

from

heritage from

tangible

charges from

for:

from

disposals

cash

sale

the

impairment

borrowing

equivalents

assets

and

funds

net

financing

investing

operating

new

disposal

The

and

financial

assets

debtors

cash assets

stocks

(used

creditors

income/(expenditure)

tangible

(used

borrowing

(used

notes

cash

equivalents

for

donation reversal

in)

activities:

in)

activities:

in)

equivalents

fixed

the

activities)

the

assets

operating

financing

investing

operating

pages

reporting

end

beginning

CONSOLIDATED

assets

the

activities

NATIONAL

activities

YEAR

activities

given

period

reporting

net

the

form

cash

(as

ENDED

note

flow

fundamental

CASH

from

of Unrestricted

ARMY

31ST

the -40-

1,018

operating

1,308

(132)

(201)

(180)

financial

Funds

(154)

(749)

1,018

(412)

£‘OOO

153

FLOW

595

(11)

MARCH

part

MUSEUM

activities Restricted

statements.

STATEMENT

(194)

(578)

these

(649)

1,492

(104)

Funds

(630)

(436) 180

733

141

(256)

£‘OOO

(180)

(194)

862

2019

0 0

financial

2018/19

1,204

(126)

(649)

Funds

824

(412)

(447)

141 (256)

£‘OOO

(191)

886

Total

708

743

(35)

824

0 0

statements

(4,442)

2017/18

1,624

1,590

(831)

(105)

1,189

(398)

1,000

Funds

(446)

(157)

(458)

(30)

£‘OOO

897 (105) (353)

(831)

Total

743

843

4 0 0

NAM (g)

The

measured is

(1)

Grants

they

Other

spent.

where an

Grant-in-Aid

(e)

Incoming

The

(d)

The

financial

will

The

(c)

The Limited

Trading

Consolidated

(b)

transaction NAM

Republic The

Practice

(a) The

statements

recognised

unrestricted

Museum

are

Expenditure

Trustees

Other

financial

Consolidated

financial

has

revenue

financial

Donations

Incoming principal

Grant-in-Aid Basis

Going

for

Basis

ACCOUNTING

meets

receivable,

reliably.

allocated

Limited.

statements.

applicable

the

resources

Voluntary

of value

are

derives

is Ireland

Concern

purchase

line grants

than statements

the

statements

financial

fund

Consolidation

statements

recorded

Preparation

the as

accounting

the

Resources

and

payment

definition

unless

Donated

Statement

its follows:

adequate

unless

has

statement Museum

are

including

voluntary

(FRS

The

line

Charitable

expenditure

Legacies

Income

charities

included

statements

been

POLICIES

have

relates

of otherwise

assumption

basis.

fixed

they

have

102)

services

National

policies

for

are

awarded

received

been of

Heritage

relate

income

Financial

and

public

(effective

been

the

gross

preparing

content

financial

activities

public

the

have

stated

prepared

heritage

and

Museum’s

adopted,

Army

charitable

relies

NOTES

prepared

for

sector

general basis.

without

from

Lottery

been

facilities

benefit

that

Activities

grant

1St

activities

their

Museum

specific

assets

the

donations,

January

this

funder NATIONAL

YEAR

prepared

judgements

the

operations

the

for

Fund

activities in

needs.

relevant

entity

accounts

level

are

going

continuation

accordance

deduction

expenditure

are

and

purpose

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where

grants

included

2015)—

credited

THE

under

finance

ENDED

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legacies,

concern

accounting

funding

respect

and

have

there

are

the

NAM

such

accordance

of Limited

FRS

(Charities

FINANCIAL

with

part

credited

following key

expenditure.

Sheet

basis

considered

gifts

income

a future Ministry

will

ARMY

102.

31ST without

restricted

-41-

Accounting

sources

evidence

the

policy

the

used

and

include

exist

NAM’s

charity

Assets

SORP

accounting

purchase

with

the

based

areas

monies incoming

MARCH in

notes.

significant

for

grounds

fund

consolidation

Defence

the

MUSEUM

period

operations

(FRS

the

of on

and

estimation

and

entitlement,

STATEMENTS

results

Financial

activity: placed

within

management’s

foreseeable

periods,

its

liabilities

resources

Reporting

exhibits

102))

that

funding

restrictions

wholly

2019

twelve and

incoming

current

and

uncertainty

are

donation

Reporting

support

net

receipt

are

owned

future.

which

guidance

those

months

redevelopment

assets

the

and

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initially

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similar

Charities:

resources

earlier

for

boxes

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case

subsidiary,

Standard

NAM’s

probable

from

the

placed

issued

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the

level

they

recognised

sources

period

Statement

when

the

preparation

the

are

their

of by

for

overall

applicable

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and

date

NAM

Museum. Army

I-I.M.

how

the

deferred.

ended

receivable.

market

its

foreseeable

funding

activities.

the

Museum Treasury.

historical

amount

receipt

approval 31

Army

Recommended

funds

value. The

March

regarded

the

income

Museum

can

financial

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support

Except

can

future.

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