Contents Foreword by the Chairman of the Board of Governors 1 Vice-Chancellor’s Executive Summary 4 Operating and Financial Review Operating Review 6 Strategic Planning and Reporting 16 Financial Review 17 Financial Risk Management 21 Report of the Board of Governors and Corporate Governance Statement 22 Independent Auditor’s Report to the Board of Governors 28 Financial Statements Consolidated and University Statement of Comprehensive Income 30 Consolidated and University Statement of Changes in Reserves 31 Consolidated and University Balance Sheet 32 Consolidated Cash Flow Statement 33 Statement of Principal Accounting Policies 34 Notes to the Financial Statements 39 Summary of HM Government of Gibraltar Expenditure 46 Academic Board 47 University Executive Team 48 Key Advisory Groups 48 Foreword by the Chairman of the Board of Governors Strategy (and Brexit) We look forward to continue working with HM support and dedicate resources to attract the Government of Gibraltar as we navigate, most right people to our institution whilst also An important responsibility of the Board is to crucially, through the challenges of Brexit. We focusing on the further development of our review and approve the strategic direction of the also recognise the need for the University to existing team. University as mapped out by the Vice-Chancellor. align its offerings with Gibraltar’s economic We plan to release our first Strategic Plan in development and societal needs. I close this short statement by thanking Lord September 2017 and will reflect, and take Luce, our Chancellor, for his wisdom and support account of, the Board’s preliminary As noted in the Financial Review, HM during this first year. considerations of the impact of Brexit. This and Government of Gibraltar has financially other matters relating to strategy are discussed supported the University by means of grants and further in the Strategic Planning and Financial the transfer of land. Whilst the financial support Review reports. is expected to continue, albeit at a gradually Jose Julio Pisharello decreasing level, the Board is committed in Chairman of the Board of Governors Academic Board adopting measures that enable the University to 3 February 2017 become, and remain, self-financing in as short a The University is fortunate in having an period of time as possible. Academic Board composed of highly respected senior international university leaders. As noted Local partnerships and key advisory groups I am delighted to introduce the first Annual that the University develops its offerings in a in the Operational Review, Academic Board’s The executive team at the University has Report and Financial Statements of the University sensible and coherent manner without remit extends beyond guardianship of the developed valuable partnerships and community of Gibraltar. compromising on quality standards. academic standards of the University to outreach programmes with key advisory groups encompass areas such as quality learning that will help shape the learning opportunities Governance and Statutory Obligations Board composition and diversity processes, student learning experience and available at our institution. I am delighted by the governance of processes associated with results of such interactions. The Board will In this inaugural period of the University the I am truly honoured in chairing a board of academic life at the University. I take this support the further development of such Board has focused its efforts in establishing governors composed of such highly regarded and opportunity to thank its members for their engagement to ensure that the University strong foundations for governance and academic reputable individuals. It has been a real privilege. valuable contributions during the course of this remains relevant and part of the fabric of structures and in developing effective risk Whilst the present composition has served us crucial inauguration year. community life and learning. management and internal control frameworks. well, I recognise the importance of further developing a Board whose size, skills and Working with our Stakeholders Our people We have adopted a Code of Practice and other diversity meets the needs of the University and On behalf of the Board I would like to thank the mechanisms consistent with the University’s its strategic plans. This view is shared by my HM Government of Gibraltar support executive team, led by the Vice-Chancellor, and mission and statutory obligations for ensuring fellow Governors. The Board’s composition has The Board formally noted its “appreciation for everyone at the University for their tremendous institutional autonomy and respect for the recently been increased with the appointment of the singular vision and contribution of the Hon. hard work and dedication in achieving numerous principles of academic freedom. The Corporate the Chairperson of Academic Board. This has Gilbert Licudi in leading the project to establish milestones during this challenging inaugural year. Governance Statement provides further provided a valuable gateway between Academic the University of Gibraltar from its inception, information on this. Board and Board of Governors. The Board will culminating in the University’s opening on 21 As we continue to develop the University there look at further increasing its composition and September 2015”. is a need to recruit additional people. We will All these mechanisms are essential to ensure diversity. Foreword by the Chairman of the Board of Governors (cont.) Strategy (and Brexit) We look forward to continue working with HM support and dedicate resources to attract the Government of Gibraltar as we navigate, most right people to our institution whilst also An important responsibility of the Board is to crucially, through the challenges of Brexit. We focusing on the further development of our review and approve the strategic direction of the also recognise the need for the University to existing team. University as mapped out by the Vice-Chancellor. align its offerings with Gibraltar’s economic We plan to release our first Strategic Plan in development and societal needs. I close this short statement by thanking Lord September 2017 and will reflect, and take Luce, our Chancellor, for his wisdom and support account of, the Board’s preliminary As noted in the Financial Review, HM during this first year. considerations of the impact of Brexit. This and Government of Gibraltar has financially other matters relating to strategy are discussed supported the University by means of grants and further in the Strategic Planning and Financial the transfer of land. Whilst the financial support Review reports. is expected to continue, albeit at a gradually Jose Julio Pisharello decreasing level, the Board is committed in Chairman of the Board of Governors Academic Board adopting measures that enable the University to 3 February 2017 become, and remain, self-financing in as short a The University is fortunate in having an period of time as possible. Academic Board composed of highly respected senior international university leaders. As noted Local partnerships and key advisory groups I am delighted to introduce the first Annual that the University develops its offerings in a in the Operational Review, Academic Board’s The executive team at the University has Report and Financial Statements of the University sensible and coherent manner without remit extends beyond guardianship of the developed valuable partnerships and community of Gibraltar. compromising on quality standards. academic standards of the University to outreach programmes with key advisory groups encompass areas such as quality learning that will help shape the learning opportunities Governance and Statutory Obligations Board composition and diversity processes, student learning experience and available at our institution. I am delighted by the governance of processes associated with results of such interactions. The Board will In this inaugural period of the University the I am truly honoured in chairing a board of academic life at the University. I take this support the further development of such Board has focused its efforts in establishing governors composed of such highly regarded and opportunity to thank its members for their engagement to ensure that the University strong foundations for governance and academic reputable individuals. It has been a real privilege. valuable contributions during the course of this remains relevant and part of the fabric of structures and in developing effective risk Whilst the present composition has served us crucial inauguration year. community life and learning. management and internal control frameworks. well, I recognise the importance of further developing a Board whose size, skills and Working with our Stakeholders Our people We have adopted a Code of Practice and other diversity meets the needs of the University and On behalf of the Board I would like to thank the mechanisms consistent with the University’s its strategic plans. This view is shared by my HM Government of Gibraltar support executive team, led by the Vice-Chancellor, and mission and statutory obligations for ensuring fellow Governors. The Board’s composition has The Board formally noted its “appreciation for everyone at the University for their tremendous institutional autonomy and respect for the recently been increased with the appointment of the singular vision and contribution of the Hon. hard work and dedication in achieving numerous principles