Annual Report
2014-2015
National
Theatre
Page 1 of 66
National
Theatre
Public Benefit Statement
The Royal National Theatre is a
company limited by guarantee, and a
registered charity. The liability of
members is limited to £1. It was
established
in
1963
for
the
advancement of education and, in
particular, to procure and increase
the appreciation and understanding
of the dramatic art in all its forms as
a memorial to William Shakespeare.
These objects are set out in the
governing document, which is its
Memorandum
and
Articles
of
Association,
and
have
been
developed into a set of aims and
objectives as described within the
this report on pages 8 and 19.
In developing the objectives for the year, and
in planning activities, the Trustees have
considered the Charity Commission’s general
guidance on public benefit including the
guidance on public benefit and fee charging.
The repertoire is planned so that across a full
year it will cover a wide range of theatre,
appealing to a broad audience. Particular
regard is given to ticket-pricing, affordability,
access and audience development, both
through the Travelex season and more
generally in the provision of lower price tickets
for all performances. Geographical reach is
achieved through touring and NT Live
broadcasts to cinemas in the UK and
overseas. The National Theatre also seeks to
develop
new
audiences
and
deepen
engagement through its NT Learning
programme and other activities, both on-site
and via the website.
The Annual Report is available to download at www.nationaltheatre.org.uk/annualreport
If you would like to receive it in large print, or you are visually impaired and would like a
member of staff to talk through the publication with you, please contact the Board Secretary
at the National Theatre.
The Royal National Theatre,
Upper Ground,
London.
SE1 9PX
+44 (0)20 7452 3333
Company registration number 749504.
Registered charity number 224223.
Registered in England.
Page 2 of 66
Financial Statements
FINANCIAL STATEMENTS
FOR THE 52 WEEKS ENDED 29 MARCH 2015
2
Public Benefit Statement
5
Structure, Governance and Management
7
Strategic Report
20
Trustees and Directors Report
28
Independent Auditors’ Report
30
Financial Statements
34
Notes to the Financial Statements
56
Reference and Administrative Details of the Charity, Trustees and
Advisors
In this document The Royal National Theatre is referred to as “the NT”, “the National”, and “the National
Theatre”.
Page 3 of 66
CURRENT BOARD MEMBERS
Board Members
John Makinson (Chairman)
Kate Mosse OBE (Deputy Chair)
Peter Bennett-Jones
Dame Ursula Brennan DCB
Dominic Casserley
Tim Clark
Howard Davies
Lloyd Dorfman CBE
Glenn Earle
Elizabeth Offord
Farah Ramzan Golant CBE
Ros Haigh
Alan Rusbridger
Clive Sherling
Executive
Director Rufus Norris
Executive Director Lisa Burger
Page 4 of 66
STRUCTURE, GOVERNANCE AND MANAGEMENT
Management of the National Theatre
The Board
The Board is the non-executive and unpaid governing body of the National. Board members are both
directors of the company and charity trustees and under company and charity law are responsible for
policy, administration and general control. The Board works with the Executive to ensure that the
National’s remit is fulfilled, its work remains of the highest quality and it is managed efficiently and costeffectively. The Board delegates to the Director the selection and staging of all productions and does not
interfere in repertoire decisions. Following its normal practice, an annual review of the year’s artistic
output was held in June 2014 with the Director, to reflect on the effectiveness of the artistic programme as
against the National’s remit. During 2014-15, the Board met six times, with the Executive present, to
ensure it was maintaining effective control over strategic, financial, organisational and compliance issues.
The Board received and considered regular reports from its Committees and subsidiary companies.
The Executive
The Director*, Nicholas Hytner (from April 2015 Rufus Norris), is formally responsible for furthering the
artistic reputation of the National and ensuring its efficient and effective management. He works closely
with the Executive Director, Lisa Burger (preceded by Nick Starr who left the organisation in October
2014). The Board appoints the Director and is directly involved in the appointment of the Executive.
During the year, Rufus Norris, the Director Designate, and Tessa Ross, the Chief Executive Designate,
worked alongside the existing Executive to ensure a smooth handover when Nicholas Hytner left the
organisation at the end of March 2015. Tessa Ross subsequently left the organisation in April 2015 and
Lisa Burger was appointed Executive Director. Tessa Ross continues to work with the NT on a
consultancy basis.
Associate Directors* and NT Associates
Nicholas Hytner was supported in making repertoire decisions by the National’s Associate Directors.
Rufus Norris has appointed a new team of Associate Directors.
*The term “Director” is a traditional title used at the National. Neither the Director, the Associate Directors
nor other members of the Executive, are directors under the Companies Act 2006.
Board Membership
The Board is chaired by John Makinson and a list of Board members at the date of this Report is listed on
page 4. Board members are appointed for an initial term of four years. Members may be appointed for a
second term of up to four years which is extended only in exceptional circumstances.
Board Committees and Subsidiary Companies
The membership of the Committees is listed on pages 56 & 57 of this Report and details of the
subsidiaries are set out in Note 23 to the financial statements.
Finance and Audit Committee
Members of the Finance and Audit Committee are appointed by and from the Board. Key responsibilities
are for Finance and Control, Audit and Risk. The Committee met five times during the year and also met
as the Remuneration Committee to set the remuneration of the Executive.
NT Future Fundraising and NT Future Project Committees
The Committees have responsibility for fundraising for the NT Future project and delivery of the building
works. The Committees comprise members of the Board, co-opted external members with particular
expertise, the Executive and members of Senior Management. Following the completion of the NT
Future project, both these committees have now been stood down.
The Nominations Committee
The Nominations Committee is appointed by and from the Board and reviews the structure, size and
composition of the Board and, in the light of that review, makes recommendations to the Board with
regard to the appointment of new members.
Page 5 of 66
Development Council
The Development Council assists in fundraising for the National. Its members, who are mainly co-opted
onto the Council, are appointed by the Board for a specified term. It meets at least three times a year and
reports regularly to the Board through its Chair, who is a member of the main Board.
For almost a decade Susan Chinn has chaired the Development Council and been instrumental in driving
the growth in fundraising over that time and during a period in which £50m was raised from private
sources for NT Future. She is succeeded as Chair by Elizabeth Offord.
Royal National Theatre Enterprises Limited (“RNTE”)
RNTE is a wholly-owned trading subsidiary responsible for the National’s trading activities. The National’s
Board appoints the directors of RNTE which comprise Board members, external experts and senior
members of staff responsible for the trading areas.
National Theatre Productions Limited (“NTPL”)
NTPL is a wholly-owned trading subsidiary of the National Theatre whose primary remit is responsibility
for the commercial exploitation of NT productions and the exploitation of rights in any production via
digital, broadcast or other media. The National’s Board appoints the directors of NTPL which comprise
Board members, external experts and senior members of staff. The commercial activities have
necessitated the creation of an additional subsidiary, National Theatre North America LLC (formerly
named War Horse US LLC).
National Theatre Staging Limited (NTSL)
NTSL, formerly NTPL Overseas Limited, is a wholly-owned trading subsidiary of the National Theatre,
NTPL Overseas Limited was a 100% owned subsidiary of NTPL at 30 March 2014. On 15 January 2015,
NTPL sold their £1 share to the National Theatre for £1. The company was subsequently renamed
National Theatre Staging Limited. NTPL Overseas Limited was dormant during 2014/15 and National
Theatre Staging Limited is also currently dormant. The subsidiary will be the vehicle for producing NT
productions at the South Bank and on tour.
Connected Charities
Details of Connected Charities are set out in Note 21 to the Financial Statements.
Executive Management at the National
The review of activities shows that the National has many facets. Each area has a Senior Manager who
reports to a member of the Executive who in turn report to the Board. In addition to a weekly meeting of
the Senior Management Team, efficient cross-departmental working is managed through a series of
groups meeting on a regular basis. The key decision-making groups include producing, planning, capital
projects, Enterprises and Health and Safety.
Communication is key and the National aims to engage all its employees and others working at the
National in its activities and achievements. All staff are invited to a weekly company meeting led by Rufus
Norris and Lisa Burger and information from these meetings and other new developments and policies
are available on the National’s intranet.
The National has a diversity action plan. All staff are required to cooperate with the National’s policies and
procedures to promote inclusivity and diversity but particular focus has been given to understanding why
the National’s workforce is not better representative of the UK population, what barriers if any there might
be and what measures might be taken to improve diversity. The Health and Safety team is closely
involved in the key risk areas of the organisation and advises and assists with health and safety aspects
of productions, special events, accident investigations and training.
Other Matters
Trustees’ Transactions
The trustees are not remunerated for their work as Trustees of the National Theatre. From time to time,
members of the Board or persons connected with them enter into transactions with the National in the
normal course of business of both parties. Such transactions are conducted on an arm’s length basis, on
normal commercial terms, and are in accordance with the specific provisions of clause 5 of the
Memorandum of Association. It is the Board’s policy that they should be disclosed to and approved by the
Board and disclosed in the financial statements.
Page 6 of 66
STRATEGIC REPORT
A. CHAIRMAN’S STATEMENT
This review appears on the cusp of two leaderships, referring back towards the extraordinary tenure of
Nicholas Hytner and Nick Starr, to whom I paid tribute in last year’s report, and looking forward to the
creative and commercial opportunities already being captured by their successors Rufus Norris and Lisa
Burger.
It is very early days but that delicate balance of change and continuity essential in any transition of
creative leadership is so far being achieved with huge success, as is evident from both the critical
response to our recent productions and the strength of our box office figures.
We are all aware, however, that the quality and breadth of the work on the NT’s stages are going from
strength to strength despite formidable financial challenges. Arts Council England has been both an
imaginative and a generous supporter of the National Theatre but it is working within the financial
constraints imposed by the current public spending climate. Realistically, we must expect some further
erosion in public subsidy over the life of this Government. The NT has been sheltered from the effect of
recent spending cuts by the remarkable buoyancy of our commercial box office income in general, and by
the War Horse phenomenon in particular. Yet this windfall will not sustain us forever. In September
2015, we celebrated the launch of a Mandarin production of War Horse in Beijing, to great public and
critical acclaim, and we have also announced that Joey’s seven year West End run will come to a close
early in 2016.
We will of course continue to do more with less and to bolster other sources of revenue. NT Live, our
groundbreaking live cinema initiative, is reaching an ever wider audience around the UK and
internationally, contributing as much to our public purpose as to our coffers. Taking all of this activity on
stages and screens together, the NT reached a paying audience of just over 4m people in the year under
review and nearly three quarters of that audience was in the UK.
A creative programme this big and bold would simply not be possible without the help of our supporters
and benefactors. Their generosity allows the NT to take risks and engage with new audiences, and
underwrites our commitment to education and learning. We will, without a doubt, depend even further on
their support in the years ahead, and we are grateful to all of them.
This same support has in the past two years delivered a building on the South Bank that is fit for every
purpose that we can envisage. The NT Future project, described in some detail elsewhere in this report,
has exceeded all our expectations and we owe a huge debt of gratitude to the legions of people who have
contributed in so many different ways to its success. I do, though, want to make special mention of Lisa
Burger, our Executive Director, who led the project to fruition with skill and tenacity.
I would also like to express the Board’s sincere thanks to Tessa Ross, who agreed to join the NT as its
Chief Executive, working in partnership with Rufus Norris, early in 2014. Sadly , Rufus and Tessa
concluded early in 2015 that the envisaged structure would not work effectively for the National Theatre,
and Tessa decided that she should stand down at that point. She made an important contribution to the
NT, both as a board member and during her time as an executive, and we wish her every success in the
future.
We have also said farewell over the past year to four directors – Susan Chinn, Aminatta Forna, Neil
MacGregor and James Purnell – who have helped the National Theatre in such a variety of ways over a
period of many years. I thank them all. Finally, we are delighted to welcome to the board Elizabeth
Offord and Alan Rusbridger. They join an organization filled with people of quite exceptional ability that,
despite all the visible challenge and change, feels confident in its performance and its purpose.
Page 7 of 66
B. OUR PURPOSE
The National Theatre is dedicated to the constant revitalisation of the great traditions of the British Stage
and to expanding the horizons of audiences and artists alike. In its three theatres on the South Bank in
London, it presents an eclectic mix of new plays and classics from the world repertoire with seven or eight
productions in repertoire at any one time. The National Theatre aspires to reflect in its repertoire the
diversity of the nation’s culture.
With a commitment to openness, wide reaching engagement and access for everyone, the National
shares its resources, energy and creativity with audiences and theatre-makers around the globe: using its
studio for research and development of new work, offering extensive learning and public engagement
programmes, touring and broadcasting in the UK and internationally, and creating innovative digital
content.
C. OUR VISION
The National Theatre strives to be a national centre of theatrical arts, central to the creative life of the
country and unmatched in the world for scale, range of repertoire and audience reach. It aspires to
produce the highest standards by attracting the best artists and staff and by providing an environment
which stimulates them to realise the fullest extent of their talents. Education and public engagement are
founding principles for the NT and are central to our vision of the future.
D. OUR STRATEGY
-
-
The Artistic Programme and Artistic Development. The NT presents a balanced artistic
programme, staging around 20 productions a year from the whole world of drama, with a specific
responsibility for the creation of new work and representing the widest range of voices.
Audiences. The NT is tireless in trying to reach more people, broaden our audiences and give them
an unparalleled experience.
Learning and Engagement. The NT aims to be an inspirational, internationally recognised resource
for lifelong learning about and through theatre.
Broadcast. The NT broadcasts a selection of its repertoire to cinemas in the UK and internationally.
Leadership. As a national theatre, the NT takes responsibility for fostering the health of the wider
British theatre.
Sustainability. The NT operates in a financially and environmentally responsible manner, whilst
striving to increase self-generated income.
Innovation. The NT actively considers the way in which it operates, and strives to innovate in all
areas of activity.
E. OUR ACHIEVEMENTS AND PERFORMANCE
i. Introduction
In 2014-15, the ticketed audience for National Theatre productions and broadcasts of NT Live in the UK
was 2.9m, 46% of whom were outside London. 4.1m tickets were sold globally. More people saw live
theatre performances regionally than saw performances at the South Bank. National Theatre productions
toured to 36 towns and cities across the UK, spending 82 weeks on the road, underlining the NT’s role as
a truly national company. In the financial year, incoming resources were £137.9m with £125.6m of
expenditure. Net assets at 29 March 2015 were £80.5m.
ii. Review
The National achieved a net surplus of £1.3m for the year, excluding NT Future income and expenditure
which is treated as a long term project and movements in any other long term restricted funds; inclusive
of these restricted project funds it generated a net surplus of £12.3m for the year. This position was
achieved due to capital fundraising support for NT Future and strong ticket sales at the NT, in the West
End and on tour and for NT Live. This was further supported by the part settlement of an insurance claim
relating to the collapse of the ceiling at the Apollo Theatre during a performance of The Curious Incident
of the Dog in the Night-Time back in December 2013.
Page 8 of 66
987 performances across 25 productions, of which 21 were new productions, were presented at the NT
on the South Bank during the year, attracting audiences of 723,993. Three UK touring productions
presented 663 performances across the UK and attracted audiences of 720,048.
NT Future, the project to transform our facilities, progressed throughout the year and many areas of the
project, including the Dorfman Theatre, the Clore Learning Centre, the Sherling High-Level Walkway and
the Max Rayne Production Centre successfully opened to the public. The NT’s northeast corner has been
transformed with the opening of a new bar and café and the new Sackler Entrance Pavillion opens up
views into the theatre from the riverside. Pledged funding towards the £83m fundraising target fell just
£0.5m short of its total target at the end of the year, with £26.7m being spent on project expenditure.
Performances have continued as normal throughout the year with the temporary performance space, The
Shed, replacing the Cottesloe during its refurbishment. However, the building works have inevitably
impacted on operating costs and trading income.
The opening of the Clore Learning Centre in September 2014 has transformed the National’s approach to
education, embedding it at the heart of the building. New programmes for schools, 16-21 year olds,
families and adult learners have been launched, drawing on the skills of artists and staff from across the
NT to open up all aspects of theatre making from playwriting to design and technical skills. In the first six
months, attendances were 8,951 across 150 projects, varying from an hour’s talk to a 10 week course.
NT Live continued to expand with 600 cinemas now in the UK. Catchment predictions show that 36
million adults live within 12 minutes drive of an NT cinema. This is approximately 68% of the population.
The NT continues to partner with other theatres, including two productions from the Young Vic: A
Streetcar Named Desire and A View From The Bridge.
The funding received from the Arts Council is vitally important to maintain the innovation and accessibility
of which the NT is proud. This income is also multiplied several times over in order to vastly expand the
reach of the NT beyond the South Bank. Arts Council funding was held at the same level as the prior
year, at £17.6m. This represents 15% of the income received by the NT with the remainder coming from
Box Office, Commercial Transfers, Fundraising and Trading.
Income from commercial transfers has significantly increased to offset the impact of the real term cut
(25.9% since 2010-11) in Arts Council funding and delivered £5m net earnings in 2014/15 which were
used in full to support activity at the NT. Over the last few years £7.5m of income from commercial
transfers has been used to seed fund NT Future, with £1.7m being used to finance the Shed and £1m
funding the Inside Out Festival. It is positive to be able to report this success and diversification of
income, but it must be remembered that this income source is not guaranteed.
The Trustees have reviewed the financial outlook and, whilst acknowledging the risk surrounding box
office income and earnings from commercial transfers, consider the recent financial performance and
level of reserves to indicate that the National will be able to continue to operate on a going concern basis.
Page 9 of 66
iii Audiences
The table below shows the five year trend of attendances.
National Theatre paid attendances (thousands)
Olivier
Lyttelton
Dorfman / Cottesloe
Temporary Theatre
West End
UK Touring
International Touring
Other
Total
NT Attendance as % of capacity
Number of performances:
Olivier
Lyttelton
Dorfman / Cottesloe
Temporary Theatre
West End
UK Touring
International Touring
Other
Total
2014/15
2013/14
2012/13
2011/12
2010/11
361
250
59
28
710
720
775
25
2,928
364
269
75
778
392
869
32
2,779
342
314
103
705
97
770
16
2,347
353
286
108
630
63
8
1,448
355
285
104
408
79
2
1,233
86%
86%
90%
90%
92%
2014/15
2013/14
2012/13
2011/12
2010/11
364
311
173
139
951
663
725
54
3,380
339
360
369
1,005
251
727
98
3,149
339
394
325
409
96
476
61
2,100
357
391
368
421
70
50
1,657
343
373
373
414
98
2
1,603
29% of all attendees to the NT at the South Bank were first-time bookers and a total of 159,201 under18s and college groups attended performances at the NT and in the West End.
Half-price tickets for under-18s continued to be available for all productions outside the Travelex season
and the tickets sold represented a discount of £2.8m against average ticket price. Membership of the
Entry Pass scheme providing discounted tickets for under-25s grew by 1.8% to 47,915 people.
The major access initiative continued to be the Travelex scheme. £15 tickets were made available for all
productions at the NT during the year.
19,727 concessionary tickets were sold to disabled people and their companions for NT productions in
London where we provided 37 captioned performances, two sign language interpreted performances, 36
audio-described performances, 26 touch tours and three relaxed performances.
On tour in the UK there were 35 audio described performances, 35 touch tours, 27 captioned
performances and 27 sign language interpreted performances. In an expansion of the relaxed
performance provision there were two relaxed screenings of NT Live.
A new scheme to widen access to tickets using contemporary trends, Friday Rush Tickets, was
announced in April 2014. At least 10 tickets per performance, priced at £20, are released at 1pm for all
performances the following week.
The NT’s rolling audience insight programme forms the backbone of the organisations research function.
Audiences are surveyed post booking and post visit to understand motivations for attendance,
experience, reactions to work, demographics, and lifestyle. The ability to spot trends is invaluable in
evaluating success and informing future planning, and will inform the audiences plan for 2016-18.
Page 10 of 66
An extensive project focussing on UK NT Live audiences was undertaken. Additionally, geo-demographic
data was crossed with industry data to analyse success in reaching non-theatre attending audiences.
iv The Artistic Programme and Artistic Development
Number of productions
(new in brackets):
Olivier
Lyttelton
Dorfman
Temporary Theatre / Cottesloe
2014/15
2013/14
2012/13
2011/12
2010/11
8
9
3
5
(7)
(8)
(3)
(3)
8
8
17
(6)
(6)
(12)
9
10
7
(6)
(7)
(5)
8
11
8
(7)
(9)
(7)
7
9
9
(6)
(6)
(9)
25
(21)
33
(24)
26
(18)
27
(23)
25
(21)
There were 25 productions in repertoire at the National during the year.
In addition to the 21 new productions built and staged at the National, there were productions of War
Horse at the New London and on tour in the UK, North America, Berlin and Holland, and of Curious
Incident at the Gielgud, on Broadway and on a UK Tour. In addition to a UK touring production of One
Man, Two Guvnors, the National transferred Great Britain to the West End for a limited run as well as
Elephantom which played during the day at the New London Theatre.
The Studio has continued to play a vital role in initiating, developing and generating much of the work that
has been presented on the National’s stages over the year. Breadth of form is matched by the wide
network of artists with whom we have worked. Alongside NT repertoire work is a commitment to support
both emerging and established UK artists and companies, which this year included Birmingham Rep,
Bristol Old Vic, the National Theatre of Wales and the New Vic in Stoke. 64 workshops took place
involving theatre-makers of all kinds.
PRODUCTIONS OPENING IN 2014-15
A SMALL FAMILY BUSINESS
Alan Ayckbourn
Director Adam Penford
Designer Tim Hatley
Lighting Designer Paul Anderson
Music Grant Olding
Fight Director Alison De Burgh
Sound Designer Gareth Fry
Company Voice Work Jeannette Nelson
Staff Director Daniel Raggett
Olivier 8 April 2014
THE SILVER TASSIE
Sean O’Casey
Director Howard Davies
Set Designer Vicki Mortimer
Costume Designer John Bright
Lighting Designer Neil Austin
Music Stephen Warbeck
Movement Director Scarlett Mackmin
Sound Designer Paul Groothuis
Fight Director Terry King
Company Voice Work Kate Godfrey
Dialect Coach Charmian Hoare
Staff Director Will Wrightson
Lyttelton 23 April
Page 11 of 66
Special Relationships Productions
YELLOW FACE
David Henry Hwang
Director Alex Sims
Designer Lily Arnold
Lighting Designer Joshua Carr
Sound Designer Isobel Waller-Bridge
Associate Director Zachary James
Temporary Theatre 8 May
Temporary Theatre Partner Neptune Investment Management
A 1927 Production
THE ANIMALS AND CHILDREN TOOK TO THE STREETS
Writer and Director Suzanne Andrade
Film, Animation & Design Paul Barritt
Costume Esme Appleton & Sarah Munro
Music Lillian Henley
Animation Assistant Derek Andrade
Producer Jo Crowley
Lyttelton 23 May 2015
(previously at the Cottesloe in December 2011 & Lyttelton in December 2012)
HOTEL
Polly Stenham
Director Maria Aberg
Designer Naomi Dawson
Lighting Designer David Holmes
Sound Designer Alex Caplen
Fight & Movement Director Kate Waters
Associate Designer Lucy Sierra
Company Voice Work Jeannette Nelson
Dialect Coach Daniele Lydon
Staff Director Holly Race Roughan
Temporary Theatre 5 June
Temporary Theatre Partner Neptune Investment Management
GREAT BRITAIN
Richard Bean
Director Nicholas Hytner
Designer Tim Hatley
Video Design 59 Productions
Lighting Designer Neil Austin
Music Grant Olding
Sound Designer Paul Arditti
Company Voice Work Kate Godfrey
Associate Director Alex Brown
Story Consultant Clive Coleman
Lyttelton 30 June
Theatre Royal Haymarket 9 September
MEDEA
Euripides, in a new version by Ben Power
Director Carrie Cracknell
Designer Tom Scutt
Lighting Designer Lucy Carter
Choreographer Lucy Guerin
Music Will Gregory & Alison Goldfrapp
Sound Designer Gregory Clarke
Fight Director Owain Gwynn
Company Voice Work Jeannette Nelson & Daniele Lydon
Staff Director Ned Bennett
Olivier 21 July
Page 12 of 66
Landmark Productions and Galway International Arts Festival
BALLYTURK
Enda Walsh
Director Enda Walsh
Designer Jamie Vartan
Lighting Designer Adam Silverman
Sound Designer Helen Atkinson
Composer Teho Teardo
Lyttelton 16 September
A co-production with the National Theatre of Scotland
And the Edinburgh International Festival
THE JAMES PLAYS
James I: The Key Will Keep The Lock
James II: Day of the Innocents
James III: The True Mirror
Rona Murray
Director Laurie Sansom
Designer Jon Bausor
Lighting Designer Philip Gladwell
Movement Director Neil Bettles
Music J I & J III Paul Leonard-Morgan, J II Will Gregory
Sound Designers J I & J II Christopher Shutt, J III Nick Sagar
Puppetry Director Mervyn Millar
Puppet Designer Mervyn Millar for Significant Object Ltd
Fight Directors Rachel Bown-Williams & Ruth Cooper-Brown of RC-Annie Ltd
Associate/Staff Director Amanda Gaughan
Associate Designer Jean Chan
Associate Lighting Designer Rob Casey
Associate Sound Designer (JI & JII) Nick Sagar
Performing Music Director Alasdair Macrae
Company Voice Work Jeannette Nelson
Olivier 25 September
Sponsored by Travelex
The Public Theatre Production
HERE LIES LOVE
Concept & Lyrics David Byrne
Music David Byrne & Fatboy Slim
Additional Music Thomas Gandey & José Luis Pardo
Director Alex Timbers
Choreographer Annie-B Parson
Set Designer David Korins
Costume Designer Clint Ramos
Lighting Designer Justin Townsend
Sound Designers M L Dogg and Cody Spencer
Projection Designer Peter Nigrini
Music Supervisor Kimberly Grigsby
Collaborating Music Producer Justin Levine
Music Editor Matt Stine
Associate Director Andrew Scoville
Associate Choreographer Elizabeth Dement
UK Music Director Theo Jamieson
Associate Set Designer Amanda Stephens
Associate Costume Designer Christopehr Vergara
Associate Lighting Designer Jake DeGroot
Associate Sound Designer Tony Gayle
Fight Director Kate Waters
Company Voice & Dialect Work Jeannette Nelson & Daniele Lydon
Assistant Choreographer (London) Steve Kirkham
Staff Director Elle While
Assistant Director/Choreographer (NY) Richard J Hinds
Casting Director Pippa Ailion CDG
Dorfman 13 October
Page 13 of 66
Dorman Theatre Partner Neptune Investment Management
Revival of 2014 production
ROMEO AND JULIET
William Shakespeare
In a version for young audiences by Ben Power
Director Bijan Sheibani
Designer Becs Andrews
Lighting Designer Paul Knott
Music Soumik Datta
Choreographer Aline David
Sound Designer Mike Winship
Company Voice Work Kate Godfrey
Assistant Director Rikki Henry
Temporary Theatre 29 October
Supported by: The Ingram Trust, The Archie Sherman Charitable Trust, Behrens Foundation, Ernest Cook Trust, Mohamed S. Farsi Foundation,
Goldsmiths’ Company Charity, Jill and David Leuw, Mulberry Trust, Newcomen Collett Foundation, St Olave's and St Saviour's Schools Foundation,
Royal Victoria Hall Foundation, The Topinambour Trust.
DV8 Physical Theatre
JOHN
Conceived and directed by Lloyd Newson
Creative Associate Hannes Langolf
Assistant to the Director David Grewcock
Choregraphy Lloyd Newson with the performers
Set & Costume Design Anna Fleischle
Lighting Design Richard Godin
Sound Design Gareth Fry
Lyttelton 4 November
Sponsored by Travelex
BEHIND THE BEAUTIFUL FOREVERS
David Hare
Based on the book by Katherine Boo
Produced in association with Scott Rudin
Director Rufus Norris
Designer Katrina Lindsay
Lighting Designer Paule Constable
Sound Designer Paul Arditti
Video Designer Jack Henry James
Fight Director Kate Waters
Company Voice Work Jeannette Nelson & Daniele Lydon
Dialect Coach Zabarjad Salam
Staff Director Emily Lim
Olivier 18 November
Sponsored by Travelex
3 WINTERS
Tena Štivičić
Director Howard Davies
Designer Tim Hatley
Lighting Designer James Farncombe
Music Dominic Muldowney
Projection Designer Jon Driscoll for cinelumina
Sound Designer Mike Walker
Movement Director Jack Murphy
Fight Director Terry King
Company Voice Work Kate Godfrey
Staff Director Mel Hillyard
Lyttelton 3 December
TREASURE ISLAND
Robert Louis Stevenson
Adapted by Bryony Lavery
Page 14 of 66
Director Polly Findlay
Designer Lizzie Clachan
Lighting Designer Bruno Poet
Music & Sound Dan Jones
Songs John Tams
Fight Director Bret Yount
Movement Jack Murphy
Illusionist Chris Fisher
Music Supervisor Matthew Scott
Music Director Theo Jamieson
Comedy Consultant Clive Mendus
Creative Associate Carolina Valdés
Company Voice Work Jeannette Nelson & Daniele Lydon
Staff Director Sam Caird
Olivier 10 December
Sponsored by Royal Bank of Canada
DARA
Adapted by Tanya Ronder
from Shahid Nadeem’s play
originally performed by Ajoka Theatre, Pakistan
Director Nadia Fall
Designer Katrina Lindsay
Lighting Designer Neil Austin
Music Niraj Chag
Movement Director Liam Steel
Sound Designer Carolyn Downing
Fight Director Kate Waters
Company Voice Work Kate Godfrey
Vocal Music Director Japjit Kaur
Staff Director Ola Ince
Associate Sound Designer Ed Ferguson
Production Consultant Anwar Akhtar
Lyttelton 27 January 2015
THE HARD PROBLEM
Tom Stoppard
Director Nicholas Hytner
Designer Bob Crowley
Lighting Designer Mark Henderson
Sound Designer Paul Arditti
Music JS Bach
Music Supervisor Matthew Scott
Company Voice Work Jeannette Nelson
Staff Director Zachary James
Dorfman 28 January
Dorman Theatre Partner Neptune Investment Management
MAN AND SUPERMAN
Bernard Shaw
Director Simon Godwin
Designer Christopher Oram
Lighting Designer James Farncombe
Video Designer Luke Halls
Music Michael Bruce
Movement Director Jonathan Goddard
Sound Designer Christopher Shutt
Illusionist Darren Lang
Company Voice Work Jeannette Nelson & Daniele Lydon
Dialect Coach Kate Godfrey
Staff Director Alice Hamilton
Lyttelton 25 February
Page 15 of 66
RULES FOR LIVING
Sam Holcroft
Director Marianne Elliott
Designer Chloe Lamford
Lighting Designer Neil Austin
Music Adrian Sutton
Sound Designer Ian Dickinson
Fight Director Kate Waters
Company Voice Work Jeannette Nelson
Staff Director Melanie Spencer
Dorfman 24 March
Dorman Theatre Partner Neptune Investment Management
v. NT Live and touring
The NT continued to reach wider audiences who cannot come to the theatre in London through live
broadcast into cinemas, touring and its overseas productions.
NT Live grew its distribution in the UK and internationally, adding 10 new territories and expanding
partner productions, including two sold-out Young Vic productions and a co-production with DV8. There
were 8 NT Live broadcasts during the year to audiences of 0.7m in 600 UK venues and audiences of
0.5m overseas.
The National co-produced London Road, its first feature film adaptation, and will distribute it through NT
Live to almost 300 cinemas, a huge release for a British independent film.
Three NT productions on tour in the UK, War Horse, The Curious Incident of the Dog in the Night-Time
and One Man Two Guvnors visited 36 UK cities and spent 82 weeks on the road. Internationally, War
Horse played in Berlin, Japan, toured the Netherlands and opened in Antwerp in April 2015. Curious
Incident opened on Broadway, going on to win five Tony Awards, including Best Play. As part of the
strategic partnership with the National Theatre of China, a Chinese language production of War Horse
opened in Beijing in September 2015 before touring.
Touring Trends
1,600
1,400
1,200
Tickets sold ('000)
1,000
No of performances
800
No of touring weeks
600
400
200
2010-11
Page 16 of 66
2011-12
2012-13
2013-14
2014-15
vi Awards
During the year the National Theatre has won a series of awards
The 50+ Awards 2014
Best 50+ Theatrical Show: Gold: War Horse
2014 Group Travel Awards
Best Live Stage/Theatrical Performance: War Horse
2014 Blueprint Awards
Best Sustainable Project: The Shed by Haworth Tompkins
2014 UK Event Awards
Small Venue of the Year: The Deck
2014 Logo TV New Now Next Awards (US)
Best New Broadway Production: The Curious Incident of the Dog in the Night-Time
Best New Broadway Lead Actor : Alex Sharp for The Curious Incident of the Dog in the NightTime
2014 Writers’ Guild Awards
Best Play: James I by Rona Munro
2014 Falstaff Awards (playshakespeare.com)
Best Principal Performance, Female: Kate Fleetwood for Goneril in King Lear
Best Director: Sam Mendes for King Lear
2014 Evening Standard Awards
Best Play: The James Plays by Rona Munro
Beyond Theatre Award: Here Lies Love
2014 Whatsonstage.com Awards
Best Actress in a Play: Billie Piper for Great Britain
2014 Fleur du Cap Theatre Awards (South Africa)
Best Puppetry Design: Adrian Kohler and Basil Jones for War Horse
2014-15 New York Outer Critics’ Circle Awards
Outstanding New Broadway Play: The Curious Incident of the Dog in the Night-Time
Outstanding Director of a Play: Marianne Elliott for Curious Incident
Outstanding Set Design: Bunny Christie for Curious Incident
Outstanding Lighting Design: Paule Constable for Curious Incident
Outstanding Actor in a Play: Alex Sharp for Curious Incident
2015 Drama League Awards (New York)
Outstanding Production of a Broadway or Off-Broadway Play: The Curious Incident Of the Dog in
the Night-Time
2015 RIBA London Awards
NT Future by Haworth Tompkins
2015 Drama Desk Awards (New York)
Outstanding Play: Simon Stephens,The Curious Incident of the Dog in the Night-Time
Outstanding Actor in a Play: Alex Sharp for The Curious Incident of the Dog in the Night-Time
Outstanding Director of a Play: Marianne Elliott for The Curious Incident of the Dog in the NightTime
Outstanding Lighting Design: Paule Constable for The Curious Incident of the Dog in the NightTime
Outstanding Projection Design: Finn Ross for The Curious Incident of the Dog in the Night-Time
Outstanding Sound Design in a Play: Ian Dickinson (for Autograph) for The Curious Incident of
the Dog in the Night-Time
Page 17 of 66
2015 Tony Awards (New York)
Best Play: The Curious Incident of the Dog in the Night-Time
Best Performance by an Actor in Leading Role in a Play: Alex Sharp for The Curious Incident of
the Dog in the Night-Time
Best Scenic Design of a Play: Bunny Christie and Finn Ross for The Curious Incident of the Dog
in the Night-Time
Best Lighting Design of a Play: Paule Constable for The Curious Incident of the Dog in the NightTime
Best Direction of a Play: Marianne Elliott for The Curious Incident of the Dog in the Night-Time
2015 RIBA National Awards
National Theatre (NT Future) by Haworth Tompkins
vii. Learning and Engagement
The opening of the Clore Learning Centre placed the NT’s work with children and young people at the
heart of the theatre. This has enabled the extension of the primary and secondary schools programmes
and the introduction of a new focus on Further Education, a diverse programme for 16-21 year olds and
regular family activity. New secondary and FE projects have focused on technical, craft and production
skills and explored the NT archive resources, while new primary programmes support theatre-making and
performances in schools at Key Stage 1 and 2. The 16-21 programme offers both skills-development and
creative opportunities. The first year target to involve 100 schools new to the NT was exceeded in six
months, with 129 schools participating.
The NT continues to develop the skills of teachers and practitioners. The first annual Drama Teachers’
conference led by senior artists at the NT attracted 121 teachers from across the UK and this year saw
the first in-depth facilitation skills course for BAME artists.
The Learning programme reaches beyond the NT with growth in numbers taking part in Connections,
education work linked to the Curious Incident tour and a developing network across London youth and
community organisations to target diverse participants for our 16-21 and community programmes. The
new schools streaming service, On Demand in Schools, was announced in January 2015 and has
attracted more than 1,900 subscriptions from teachers. The NT has also been active in the development
of the new Drama GCSE and A level, consulting with DfE, Ofqual and exam boards.
There were over 2.5 million downloads and streams of free digital content surrounding NT productions
and theatre craft, an increase of 2.3 million on prior year figures. A digital publishing arm is being built that
will drive engagement through content and has potential to be a new source of revenue. On site, the
Lyttleton Lounge allows audiences to stream rights-restricted content from Archive over a private wireless
network in curated exhibitions.
viii Financial Sustainability
Exclusive of restricted capital and project funding, the National Theatre achieved a close to break-even
position of £1.3m on its operating activities. The NT’s current level of activity is heavily dependent on the
funding received from the Arts Council for its core activities, which in 2014-15 was £17.6m.
In order to ensure financial sustainability, the National has a rolling three year business plan which looks
in detail at potential challenges as well as opportunities for the organisation.
Over the past five years the NT has coped with cuts to its ACE funding and has been able to deliver
activity growth by increasing its commercial transfer earnings. The recognised challenge for the NT is
that the pipe-line of productions which have the capacity to extend beyond the South Bank is very
uncertain. The strategy over the next three years is to reduce budgeted dependency on this income
stream whilst continuing to consider the potential for further commercial exploitation of all shows
presented at the NT to both extend our reach and provide much needed funding to support core activity.
The business plan also includes a diversification strategy focussing principally on growing fundraising but
also anticipating earnings growth from NT Live and on-site retail trading following the investment in new
bars and cafes. In addition, the cost base and activity plans are reviewed constantly, ensuring value for
money whilst delivering the breadth of work and reach that the National is keen to deliver.
Page 18 of 66
ix Environmental Sustainability
The National Theatre recognises that, as one of the world’s major production theatre companies, its
activities have significant and wide-ranging environmental impacts and that it has a responsibility to
minimise those impacts. As an organisation, the National Theatre also aspires to lead by example within
the theatre sector. This is demonstrated by the Theatre’s NT Future project which is seeing the
organisation’s energy use cut by around 20% by undertaking initiatives to maintain a downward trend of
carbon reduction.
In 2014/15, the organisation achieved a 60% recycling rate. The NT has a zero-to-landfill policy which
means that all waste is re-used. General waste is taken to an energy-from-waste facility where it is
incinerated and the energy generated is put back into the National Grid.
FUTURE PLANS
The National Theatre strives to be a national centre of theatre arts, with education and public
engagement being the founding principles that are central to the vision for the future. To this end, the NT
sets specific objectives for the following financial year, to be worked on alongside the core objectives for
the organisation. Progress against the 2014-15 objectives is reviewed throughout this document.
2015-16 Objectives
The following objectives have been set for the 2015-16 financial year






To present a diverse and popular repertoire to reach the widest possible audience of around 25
productions at the South Bank.
To continue to explore new ways of making theatre at the highest level and to encourage
collaborative practices, including partnerships with other theatres nationally and internationally.
To develop the NT’s New Work department, to grow our support and encouragement to writers and
artists in developing work for our stages alongside other theatre-makers.
To develop our use of the new facilities of the Clore Learning Centre and Max Rayne Centre to allow
us to engage with young people and theatre makers in new ways, providing a space for sharing
ideas and practices.
To continue to develop digital content of the highest quality working across on-line and broadcast
platforms, with particular focus on developing our digital learning offer and accessibility of
productions to schools.
The continued transition of the new leadership of Rufus Norris and Lisa Burger.
Page 19 of 66
TRUSTEES AND DIRECTORS REPORT
FINANCIAL REVIEW
Set out below is a summary statement of income and expenditure. It combines the National’s unrestricted
income and expenditure with short term project expenditure funded by earmarked donations (restricted
funds) and the element of the regular ACE grant which has been restricted to capital expenditure (£1.9m).
It excludes NT Future income and expenditure which is treated as a long term project, as well as
movements in any other long term restricted funds.
2015
£m
2014
£m
Income
Box Office - NT South Bank
Box Office - on tour in the UK & in the West End
Box Office - International
NT Live
Trading and other income
Fundraising
18.6
40.8
14.0
6.1
13.0
7.4
16%
35%
12%
5%
11%
6%
18.3
35.9
3.8
6.7
11.2
6.5
18%
36%
4%
7%
11%
7%
ACE grants
17.8
15%
17.5
17%
117.7
100%
99.9
100%
36.3
39.3
11.0
10.6
1.9
11.9
1.8
0.9
32%
34%
10%
9%
2%
10%
2%
1%
36.5
32.6
4.1
9.1
1.9
10.7
1.6
0.8
37%
34%
4%
9%
2%
11%
2%
1%
Expenditure
Production costs – NT South Bank
Production costs – on tour in the UK & in the West End
Production Costs – International
NT Learning, NT Live and Public Engagement
Research
Trading
Fundraising
Irrecoverable VAT
Governance
0.2
113.9
100%
0.2
-
97.5
100%
The NT makes an annual transfer to the Buildings and Equipment Fund of £2.5m to fund routine capital purchases.
Net result after transfers
Page 20 of 66
1.3
PRINCIPAL FUNDING SOURCES
The National maintains a balance between self-generated income – box office, fundraising, exploitation of
National Theatre productions in UK and internationally, catering and front of house trading – and public
subsidy from Arts Council England (ACE).
Fundraising, 6%
ACE, 15%
Trading & other
income, 11%
NT Live, 5%
Box office
International, 12%
Box office at NT,
16%
Box office on tour &
West End, 35%
Box Office Income
Box office income on the South Bank as well as income from the West End runs of War Horse and
Curious Incident and UK tours of War Horse, One Man, Two Guvnors and The Curious Incident of the
Dog in the Night Time together with international productions of War Horse and Curious Incident, as well
as other UK transfers and NT Live represented 68% of the National’s total income.
Arts Council England Funding
The core revenue grant for 2014-15 was £15.7m and in addition £1.9m of the core grant was received in
the form of a capital grant for regular major building maintenance. This element was therefore restricted
as long term income and has been fully utilised for capital expenditure in the year.
The total grant of £17.6m is £0.1m higher than the amount received in the previous year. However since
2010-11, the grant has been cut by £2.1m, a real terms reduction of 25.9%.
During the year, the NT received a further £8.6m from the Arts Council’s Capital Lottery Fund and £1.5m
from the Heritage Lottery Fund towards NT Future building works. This takes the amount received to
date to £17.6m of the total Lottery funding of £20m.
Fundraising
The development department had a strong year raising £20.2m for NT Future as well as £8.1m for
revenue activity, of which £0.6m was in relation to commercial promotion and is recorded within RNTE.
Page 21 of 66
Trading and Other Income
Trading operations, including catering, bookshop, programmes, car park, costume hire and commercial
promotion, are conducted through the National’s wholly-owned subsidiary Royal National Theatre
Enterprises Limited. The car park is operated under a franchise and the new Green Room restaurant is
operated by the National but under a joint arrangement with Coin Street Community Builders. All the other
businesses are operated directly by the National.
Due to the continued impact of NT Future works, several trading areas, including the Lyttelton Bookshop
and the Mezzanine, were not able to trade for the full financial year and access to other areas was
significantly disrupted. As a result, the total profit before the management charge payable to the National
was £1.3m compared to £1.7m in the prior year.
Other income included bank interest receivable and income from education activities.
The National Theatre continues to benefit from its culturally-exempt VAT status, which means that there
is no VAT on ticket income at the National Theatre but that a proportion of VAT on expenditure is
irrecoverable.
REVENUE EXPENDITURE
Production Costs
Production expenditure at the National Theatre, in the West End and on tour represented 76% of total
expenditure for the year which can be analysed as follows:
Touring, 0%
Writers,
Directors and
Designers,
14%
Performance
Running, 29%
Planning and
Direction, 18%
Production
Build, 22%
Actors and
Musicians, 17%
NT Learning and Public Engagement
Total spend for the year for the NT Learning (Education) programme was £2.4m. £0.4m was covered by
fundraising, £0.5m generated through ticket and fee income and the remainder covered by core funding.
Page 22 of 66
Spend for other public engagement activities was £8.1m. This included £6.8m for NT Live and £0.5m for
Digital Projects.
Research and Development
Expenditure on research and development totalled £1.9m, including £1.1m expenditure in the NT Studio.
Support Costs
Support costs cover expenditure on front of house staff responsible for contact with the audience;
marketing, box office and press; management and maintenance of the building including insurance and
energy costs; and finance, HR and IT. These costs are allocated against the activities listed above. Costs
increased by £1.3m to £16.8m in the year primarily due to increased expenditure around building
operations and IT resources as the building entered the final completion stages of the NT Future project.
Capital Expenditure
Total capital expenditure for the year (excluding NT Future) was £3.9m. This spend includes several
major projects, including the new website development and services layer, furnishing the new Green
Room Restaurant, Fire alarm panel replacement, Centralised data storage replacement and the
scheduling system redevelopment.
Capital expenditure in relation to NT Future totalled £25.9m in 2014-15 (2013-14 £21.6m) with both
Phase A and Phase B and the Technical and Environmental Master Plans nearing completion.
The annual transfer from the operations fund to the designated funds for capital was £2.5m in line with
the transfer made in 2013-14. Irrecoverable VAT capitalised in the year was £0.9m (2013-14 £0.9m).
RESERVES AND OTHER FINANCIAL POLICIES
Unrestricted Operations Fund
The policy for budgeting annual income and expenditure is directed towards enabling the National to
continue its current level and quality of activity. In order to avoid accumulating a deficit, the National
seeks each year to match income and expenditure, whilst taking into account the level of grant receivable
from the Arts Council.
The unrestricted reserves target increased to £5m in recognition of the volatility of box office revenue and
the knock-on impact of a reduction in box office attendance on catering profits and fundraising, and the
risk of future cuts in public funding. Unrestricted reserves as at March 2015 of £3.9m fall short of this
target level; the intention is to reach this target over the next three years.
Buildings and Equipment Designated Fund
The policy is to ensure that sufficient money is set aside in the reserve so that over a three-year period
the National is able to maintain and renew the building in accordance with its rolling capital plan.
Expenditure planned beyond 2014-15 is in excess of the sum which could be reasonably anticipated to be
covered from recurring surpluses and fundraising sources; however this is being addressed within NT
Future.
NT Future Designated Fund
In addition to the new building and refurbishment works, the NT Future project includes two strands to
address the essential technical and infrastructure works to be completed in the next five years: the
Technical Master Plan and the Environmental and Engineering Master Plan.
NT Future capital project work will generate irrecoverable VAT which will be covered by the VAT
repayments received in 2010-11 and designated to offset this cost.
Restricted Funds
These are funds which have been earmarked by the donor for specific purposes within the overall aims of
the organisation. The funds are analysed between long-term and short-term – long-term being mostly for
capital purposes, including NT Future, and short-term for project activity, as set out in note 18 of the
accounts. Short term funds will be spent in full in the next 18 months. The balance on the long-term
capital funds represents funds received from donors to purchase fixed assets less the depreciation
charged on an annual basis. Over time, these reserves will reduce to zero as the assets are fully
depreciated.
Page 23 of 66
Investment Policy
The policy is to hold investments in liquid funds so they are available to meet predicted cash-flow needs.
In selecting suitable cash deposits the policy is to maximise the return and maintain low transaction costs
whilst ensuring high levels of capital security by minimising credit risk and interest rate risk. The policy
was reviewed by the Finance and Audit Committee in 2014/15 and deposits and interest rates are
reviewed each time the Finance and Audit Committee meets. At 29 March 2015, the cash deposits were
spread between four major clearing banks and CCLA. The bank interest earned for the year was £0.04m
(2013-14 £0.2m) reflecting the expenditure during the year on NT future and fact that cash was on instant
access rather than long term deposits.
Creditor Payment Policy
It is the National’s policy to pay creditors in accordance with terms of payment agreed at the start of
business with each supplier.
C. INTERNAL CONTROL AND RISK MANAGEMENT
The Trustees are responsible for ensuring the National Theatre has effective risk management and
control systems in place. Agreed processes are in place by which the Trustees review, identify and
assess major risks and agree with management the controls that already are, or will be, put in place to
manage those risks. The details form part of the Risk Register, which Trustees review on a regular basis.
Senior management has responsibility for managing resources, monitoring performance and establishing
and maintaining effective internal control systems. The system of internal control and risk management is
designed to:



Identify and prioritise strategic and operational risks to the achievement of the National Theatre’s
aims and objectives;
Evaluate the likelihood of those risks being realised and their potential impact; and
Manage these risks efficiently, effectively and economically.
The Trustees are satisfied that appropriate internal control systems and risk management processes are
in place.
The key components of the National Theatre’s risk management include:







A three year strategic plan and annual budget approved by the Trustees, against which progress is
reported regularly, including monthly financial reporting of results;
Regular consideration by the Trustees of financial results and variance from budgets;
Delegation of authority and segregation of duties;
Senior management review of key strategic and operational risks on a regular basis. Consideration is
given to progress on mitigating actions, new and emerging risks, and opportunities.
The Internal Auditor reviews risks and internal controls on a regular basis and reports findings to the
Finance and Audit Committee.
The Trustees review the National Theatre’s risk register on a regular basis.
Clear policies on health and safety and safeguarding children and vulnerable adults to ensure
compliance with statutory requirements.
The system is designed to manage rather than to eliminate the risks faced by the National Theatre and it
must be recognised that such a system can provide only reasonable and not absolute assurance.
PRINCIPAL RISKS AND UNCERTAINTIES
The National Theatre faces the following principal risks and challenges:



Balancing its artistic and audience development objectives with commercial considerations
necessary to ensure continued financial viability in the current public funding climate.
The risk of further cuts to its public funding which would have an adverse effect on its current activity
levels.
Ensuring sufficient annual surpluses are generated from primary and secondary trading to allow for
the maintenance and renewal of its existing facilities and operating assets to continue to meet its
artistic production and audience needs.
Page 24 of 66
Financial Risk Management
The following statements summarise the Board’s policy in managing identified forms of financial risk.
Price risk: Payments to employees or individuals represent 37% of total expenditure at the National and
higher levels of inflation represent a risk as 15% of the National’s income, which comes from the Arts
Council, has fallen for the past three years and is not expected to reach 2010-11 levels in the next two
years. The National has freedom over its ticket pricing, and ticket income represents 62% of revenue.
However the aim is to limit ticket price increases to no more than inflation and hold the lowest ticket price
at an accessible level as this has been found to be the best way of maximising revenue and increasing
access.
Credit risk: Risk on amounts owed to the charity by its customers is low as payment for ticket sales and
operations through the trading subsidiary are mostly settled at point of purchase.
Liquidity risk: The National has no long-term borrowings.
Interest rate cash flow risks: The National places surplus funds on short-term deposit split between four
major clearing banks and CCLA. Interest rates available on longer term deposits are kept under review
but longer term deposits will only be made for specific major project funds where the term of the deposit
matches the anticipated cash flow requirement.
Property Interests
The National has a lease of its building on the South Bank site from Arts Council England for a term
expiring in March 2138. The Building is Grade 2* listed. The freehold of the Old Vic Annexe (the Studio),
The Cut, London SE1 is owned by the National and this building was listed in March 2006. The Studio
building has been provided as security in the form of a 30 year legal mortgage in relation to a grant for
refurbishment of the Studio.
In 2012, a fixed and floating charge lasting 30 years was provided as security for the potential repayment
obligations under a grant of £17.5m from Arts Council England for the NT Future project. In addition, in
2013 a fixed and floating charge lasting 25 years will be provided as security for the potential repayment
obligations under a grant of £2.5m from Heritage Lottery Fund for the NT Future project.
Page 25 of 66
STATEMENT OF TRUSTEES’ RESPONSIBILITIES IN RESPECT OF THE ANNUAL REPORT AND
THE FINANCIAL STATEMENTS
The trustees (who are also directors of Royal National Theatre for the purposes of company law) are
responsible for preparing the Trustees’ Annual Report (including the Strategic Report) and the financial
statements in accordance with applicable law and United Kingdom Accounting Standards (United
Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year which give a
true and fair view of the state of affairs of the charitable company and the group and of the incoming
resources and application of resources, including the income and expenditure, of the charitable group for
that year. In preparing these financial statements, the trustees are required to:





select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
make judgments and estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material
departures disclosed and explained in the financial statements; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume
that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records that disclose with reasonable
accuracy at any time the financial position of the charitable company and enable them to ensure that the
financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the
assets of the charitable company and the group and hence for taking reasonable steps for the prevention
and detection of fraud and other irregularities.
In so far as the trustees are aware:


there is no relevant audit information of which the charitable company’s auditor is unaware; and
the trustees have taken all steps that they ought to have taken to make themselves aware of any
relevant audit information and to establish that the auditor is aware of that information.
The trustees are responsible for the maintenance and integrity of the corporate and financial information
included on the charitable company’s website. Legislation in the United Kingdom governing the
preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Trustees Indemnities
As permitted by the Articles of Association, the Trustees have the benefit of an indemnity which is a
qualifying third party indemnity provision as defined by Section 234 of the Companies Act 2006. The
indemnity was in force throughout the last financial year and is currently in force. The Company also
purchased and maintained throughout the financial year Trustees’ and Officers’ liability insurance in
respect of itself and its Trustees.
Statement on disclosure of information to the auditors
In so far as the trustees are aware:


there is no relevant audit information of which the charitable company’s auditor is unaware; and
the trustees have taken all steps that they ought to have taken to make themselves aware of any
relevant audit information and to establish that the auditor is aware of that information.
The trustees are responsible for the maintenance and integrity of the corporate and financial information
included on the charitable company’s website. Legislation in the United Kingdom governing the
preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Auditors
PricewaterhouseCoopers LLP will continue in office as auditors of the Charity for the next financial year.
The Strategic Report and Trustees and Directors Report were approved by the Board of Directors and
authorised for issue on 28 September 2015 and signed on its behalf by
John Makinson
Chairman
28 September 2015
Page 26 of 66
INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS AND TRUSTEES OF THE ROYAL
NATIONAL THEATRE
Report on the financial statements
Our opinion
In our opinion, The Royal National Theatre’s group financial statements and parent charitable company
financial statements (the “financial statements”):



give a true and fair view of the state of the group’s and of the parent charitable company’s
affairs as at 29 March 2015 and of the group’s incoming resources and application of
resources, including its income and expenditure and the group’s cash flows for the 52
weeks then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted
Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.
What we have audited
The Royal National Theatre’s group financial statements and parent charitable company financial
statements comprise:




the balance sheets as at 29 March 2015;
the group statement of financial activities (including an income and expenditure account) for
the 52 weeks then ended;
the group cash flow statement for the 52 weeks then ended; and
the notes to the financial statements, which include a summary of significant accounting
policies and other explanatory information.
The financial reporting framework that has been applied in their preparation is applicable law and United
Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
In applying the financial reporting framework, the trustees have made a number of subjective judgements,
for example in respect of significant accounting estimates. In making such estimates, they have made
assumptions and considered future events.
In our opinion the information given in the Trustees’ Annual Report, including the Strategic Report, for the
financial year for which the financial statements are prepared is consistent with the financial statements.
Other matters on which we are required to report by exception
Adequacy of accounting records and information and explanations received
Under the Companies Act 2006 we are required to report to you if, in our opinion:



we have not received all the information and explanations we require for our audit; or
adequate 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 financial statements are not in agreement with the accounting
records and returns.
We have no exceptions to report arising from this responsibility.
Trustees’ remuneration
Under the Companies Act 2006 we are required to report to you if, in our opinion, certain disclosures of
trustees’ remuneration specified by law are not made. We have no exceptions to report arising from this
responsibility.
Responsibilities for the financial statements and the audit
Our responsibilities and those of the trustees
As explained more fully in the Trustees’ Responsibilities Statement, the trustees are responsible for the
preparation of the financial statements and for being satisfied that they give a true and fair view.
Page 27 of 66
Our responsibility is to audit and express an opinion on the financial statements in accordance with
applicable law and ISAs (UK & Ireland). Those standards require us to comply with the Auditing Practices
Board’s Ethical Standards for Auditors.
This report, including the opinions, has been prepared for and only for the charity’s members and trustees
as a body in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and for no other purpose.
We do not, in giving these opinions, accept or assume responsibility for any other purpose or to any other
person to whom this report is shown or into whose hands it may come save where expressly agreed by
our prior consent in writing.
What an audit of financial statements involves
We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) (“ISAs
(UK & Ireland)”). 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. This includes an assessment of:



whether the accounting policies are appropriate to the group’s and the parent charitable
company’s circumstances and have been consistently applied and adequately disclosed;
the reasonableness of significant accounting estimates made by the trustees; and
the overall presentation of the financial statements.
We primarily focus our work in these areas by assessing the directors’ judgements against available
evidence, forming our own judgements, and evaluating the disclosures in the financial statements.
We test and examine information, using sampling and other auditing techniques, to the extent we
consider necessary to provide a reasonable basis for us to draw conclusions. We obtain audit evidence
through testing the effectiveness of controls, substantive procedures or a combination of both.
In addition, we read all the financial and non-financial information in the Annual Report to identify material
inconsistencies with the audited financial statements and to identify any information that is apparently
materially incorrect based on, or materially inconsistent with, the knowledge acquired by us in the course
of performing the audit. If we become aware of any apparent material misstatements or inconsistencies
we consider the implications for our report.
Nicholas Boden (Senior Statutory Auditor)
for and on behalf of PricewaterhouseCoopers LLP
Chartered Accountants and Statutory Auditors
London
September 2015
Page 28 of 66
GROUP STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING AN INCOME AND EXPENDITURE
ACCOUNT)
for the 52 weeks ended 29 March 2015
Unrestricted Funds
Incoming resources
Incoming resources from
generated funds:
Voluntary income
Activities for generating funds
Investment income
Incoming resources from
charitable activities
TOTAL incoming resources
Resources expended
Costs of generating funds:
Costs of generating voluntary
income
Costs of commercial activities
Charitable activities
Governance costs
TOTAL resources expended
52 Weeks
ended
30 March
2014
Operations
Designated
Total
Total
£m
£m
£m
£m
£m
£m
23
21.9
24.4
-
-
1.4
0.2
-
22.1
-
45.4
24.6
-
47.6
11.3
0.2
2(c)
67.9
-
-
-
67.9
65.0
18
114.2
-
1.6
22.1
137.9
124.1
23
3(a)
3(b)
(1.8)
(26.2)
(84.1)
(0.2)
(1.3)
-
(1.6)
-
(10.4)
-
(1.8)
(26.2)
(97.4)
(0.2)
(1.6)
(10.7)
(90.9)
(0.2)
18
(112.3)
(1.3)
(1.6)
(10.4)
(125.6)
(103.4)
1.9
(1.3)
-
11.7
12.3
20.7
(0.6)
2.5
-
(1.9)
-
-
1.3
1.2
-
9.8
12.3
20.7
Note
2(a)/(b)
Net incoming / (outgoing)
resources before transfers
Transfers
Restricted Funds
Long
Projects
Term
52
Weeks
ended
29 March
2015
18
Net movement in funds
Reconciliation of funds
Fund balances brought forward at
31 March
18
2.6
17.0
0.2
48.4
68.2
47.5
Fund balances carried forward
at 30 March
18
3.9
18.2
0.2
58.2
80.5
68.2
All incoming resources and resources expended are derived from continuing activities.
A Statement of Total Recognised Gains and Losses is not required as all gains and losses are included in the Statement of Financial Activities.
There is no difference between the net income for the year and its historical cost equivalent. Accordingly no separate income and expenditure
statement has been presented.
Page 29 of 66
BALANCE SHEETS
Company Registration Number: 749504
Group
as at 29
March
Company
as at 29
March
Group
as at 30
March
Company
as at 30
March
2015
2015
2014
2014
Note
£m
£m
£m
£m
Tangible fixed assets
11
74.3
74.3
53.4
53.4
Investments
12
0.2
0.2
0.2
0.2
74.5
74.5
53.6
53.6
Fixed assets
Total fixed assets
Current assets
Stocks
13
0.5
0.1
0.5
0.1
Cost of productions not yet opened
14
0.6
0.6
1.3
0.6
Debtors
15
10.3
11.0
7.9
9.2
Cash at bank and in hand
16
13.8
10.5
20.0
18.9
25.2
22.2
29.7
28.8
(19.0)
(16.6)
(15.1)
(14.2)
6.2
5.6
14.6
14.6
80.7
80.1
68.2
68.2
17
(0.2)
(0.2)
-
-
18/19
80.5
79.9
68.2
68.2
Operations fund
18/19
3.9
3.3
2.6
2.6
Designated funds
18/19
18.2
18.2
17.0
17.0
22.1
21.5
19.6
19.6
Total current assets
Creditors: amounts falling due
one year
within
17
Net current assets
Total assets less current liabilities
Creditors: amount falling due
in over one year
NET ASSETS
Represented by:
Total unrestricted funds
Restricted funds
18/19
58.4
58.4
48.6
48.6
TOTAL FUNDS
18/19
80.5
79.9
68.2
68.2
The Notes on pages 33 to 55 constitute part of the financial statements.
The financial statements were approved by the Board of Trustees on 28 September 2015 and signed on its behalf by:
John Makinson
Chair
Page 30 of 66
Howard Davies
Trustee
GROUP CASH FLOW STATEMENT
Note
Net cash inflow from operating activities
i
Group
52 Weeks
ended
29 March
52 Weeks ended
2015
2014
£m
£m
23.0
23.8
-
0.3
(29.2)
(25.9)
2
11.0
(4.2)
9.2
Returns on investments
Interest received
Capital expenditure and financial investment
Purchase of tangible fixed assets
Group
30 March
Management of liquid resources
Decrease in short term deposits
(Decrease)/increase in cash in the year
16
ii
i NET CASH INFLOW FROM OPERATING ACTIVITIES
Net incoming resources before transfers
Depreciation and amortisation charge
Loss on disposals
2015
2014
£m
£m
12.3
20.7
8.7
4.2
0.2
-
(1.0)
-
Investment income
-
(0.2)
Net operating income
20.2
24.7
-
0.3
Increase in tax credit receivable
Decrease in stock
Decrease in work in progress
Increase in debtors (less tax credit receivable)
Decrease in creditors (less capital accruals)
Net cash inflow from operating activities
Page 31 of 66
0.7
(0.2)
(1.4)
(0.9)
3.5
(0.1)
23.0
23.8
GROUP CASH FLOW STATEMENT
ii ANALYSIS OF NET CASH RESOURCES
As at 30
March 2014
£m
Cashflow
£m
As at 29
March 2015
£m
18.0
2.0
(4.2)
(2.0)
13.8
-
20.0
(6.2)
13.8
2015
£m
2014
£m
(4.2)
(2.0)
9.2
(11.0)
Movement in net funds in the year
(6.2)
(1.8)
Net funds at 30 March 2014
20.0
21.8
Net funds at 29 March 2015
13.8
20.0
Cash
Short term deposits
16
16
TOTAL
iii RECONCILIATION OF NET CASHFLOW TO MOVEMENT IN NET FUNDS
(Decrease)/increase in cash in the year
Cash (outflow) from increase in liquid resources
Page 32 of 66
16
16
Notes to the Financial Statements
1
PRINCIPAL ACCOUNTING POLICIES
The following accounting policies have been applied consistently in dealing with items which are considered material in
relation to the financial statements.
A
BASIS OF PREPARATION
The financial statements have been prepared on the going concern basis, under the historical cost convention and in
accordance with applicable United Kingdom accounting standards, the Companies Act 2006, the Charities Act 2011, and the
recommendations of the Statement of Recommended Practice "Accounting and Reporting by Charities" (“the SORP”) issued in
March 2005. The Charity has adapted the Companies Act formats to reflect the Charities SORP and the special nature of its
activities.
A separate statement of financial activities and income and expenditure account are not presented for the Charity itself as
permitted by Section 408 of the Companies Act 2006 and paragraph 397 of SORP 2005. The net income of the company for
the year was £12.3m (2014: £19.3m).
The principal accounting policies adopted in the preparation of the financial statements are set out below.
B
BASIS OF CONSOLIDATION
The Group financial statements consolidate those of The Royal National Theatre (“the National” or “the NT”) and its wholly
owned non-charitable subsidiaries (as set out in note 23) on a line by line basis in accordance with FRS 2. The results of
Royal National Theatre Enterprises Limited, National Theatre Productions Limited, National Theatre Staging Limited, National
Theatre North America LLC (formally War Horse US LLC) and Curious Incident Broadway LP have been included in the group
statement of financial activities throughout the year.
Transactions and balances outstanding between the entities are eliminated on consolidation.
During 2013/14, the National entered into a contractual arrangement with Cuba Pictures (London Road) Limited, to engage in
joint activities in relation to making and distributing the feature film ‘London Road’. The National has a 50% interest in the
arrangement with the remaining interest of 50% held by Cuba Pictures (London Road) Limited. The results of Cuba Pictures
(London Road) Limited have not been consolidated as they are immaterial to the group.
The National Theatre has taken advantage of the exemption given by Financial Reporting Standard 8, Related Party
Disclosures, from disclosing transactions with its wholly owned subsidiaries.
C
FUND ACCOUNTING
Unrestricted funds are those funds which can be used for any charitable purpose at the discretion of the trustees; designated
funds are those funds which have been set aside by the trustees for particular purposes; restricted funds may only be used in
accordance with the specific wishes of donors.
The expendable endowment fund is held in long term restricted funds. Under the terms of donation this will be converted at
the trustees’ discretion into expendable income at the end of the 20 year term.
D
INCOMING RESOURCES
All incoming resources are included in the Statement of Financial Activities when the Charity has legal entitlement, there is
reasonable certainty over receipt and the amount of income can be quantified with reasonable accuracy.
Voluntary Income
Voluntary income comprises all incoming resources from sponsorships, donations, legacies, grants, membership subscriptions.
Voluntary income is recognised in the appropriate fund on a receivable basis and when any conditions for receipt are met.
Income in respect to the NT Future project is recognised on a cash basis. Any income from connected charities is recognised
at the point at which the amount payable is confirmed.
Where the donor imposed conditions require that the resource is expended in a future accounting year, income is recorded as
deferred income at the balance sheet date.
Income from individual membership schemes eligible for Gift Aid is recognised in full on receipt. Corporate and Advance
Membership income is apportioned over the year of the subscription and the element relating to a future year is recorded as
deferred income at the balance sheet date.
Gift Aid is included in the financial statements based on amounts recoverable at the balance sheet date.
Page 33 of 66
Notes to the Financial Statements
Goods and services received in kind, where material, are included within ‘Voluntary Income’ and under the appropriate
expenditure heading, depending on the nature of goods and services provided. These are recognised at an estimated value to
the charity at the time of receipt.
Activities for Generating Funds
Activities for generating funds comprise:
 income generated by Royal National Theatre Enterprises Limited from trading activities;
 royalty and profit share income generated by other National Theatre subsidiaries from the commercial exploitation of
the NT’s productions overseas.
Income is recognised on a receivable basis.
Incoming Resources from Charitable Activities
Incoming resources from charitable activities comprises:
Box office income:
 income from performances at the South Bank;
 income from touring activities (excluding grants); and
 ticket sales for productions which have transferred to the West End under direct NT management.
All other income:
 income from NT Learning performances, NT Live ticket income, events and workshops;
 exploitations and rights, advance members subscription and other sundry income.
Box office income and income generated by NT Learning projects and NT Live is recognised in the Statement of Financial
Activities on maturity of the performance or event. Advance bookings comprise ticket sales for future performances.
Income from exploitations and rights, and other income, is recognised on a receivable basis. Income from advance members is
recognised on a straight line basis over the year of subscription.
Investment Income
Investment income comprises interest receivable on cash balances and short-term deposits.
E
RESOURCES EXPENDED
All expenditure is accounted for on an accruals basis and is classified under the relevant activity within the Statement of
Financial Activities.
Resources expended which relate directly to the National’s charitable objectives are analysed between:




performances at the South Bank or elsewhere under direct management;
performances on tour;
NT Learning (education and participation work) and Public Engagement (including Archive, NT Live, Inside Out, Platforms,
Foyer Music and Digital); and
research and development (including the NT Studio and commissioning costs).
Resources expended which form part of the Group’s trading activities and commercial exploitations are separately disclosed as
costs of commercial activities.
The costs of generating voluntary income represent the costs of securing sponsorship and donations including the costs of
providing membership benefits.
Governance costs include the costs of the Legal Counsel and associated support, board expenses, internal audit and external
audit fees.
Support costs relating to a single activity are allocated directly to that activity. Where support costs relate to several activities,
they have been apportioned as set out in note 3(c). Staff canteen costs are shown net of contributions.
Provision has been made, where appropriate, for expenses where a present obligation exists at the balance sheet date in
accordance with the requirements of FRS 12.
F
LEASE OF THE NATIONAL
The National holds a lease on its building from its freeholder, Arts Council England, at a peppercorn rent. This lease expires in
2138. Under the terms of the lease, the National is responsible for maintaining the fabric of the building and its mechanical and
electrical equipment. In order to meet this obligation, funds are transferred from the National’s own resources, namely the
operations fund, to a building and equipment fund (see note 18).
Page 34 of 66
Notes to the Financial Statements
G
FIXED ASSETS AND DEPRECIATION
Fixed assets are held at cost less accumulated depreciation within the relevant fund. Only assets over £2,000 are capitalised.
Depreciation is provided on a straight line basis to write off the assets over their anticipated useful economic lives and is
charged to the relevant fund as follows:
Freehold land & buildings
Leasehold improvements
Equipment
50 years (excluding land, which is not depreciated)
5 years, 10 years and 20 years
3 years, 5 years and 10 years
A full year’s depreciation is charged in the first period in which the asset is ready for use.
Included in the above are three new asset classes which were added during the year due to the capitalisation of NT Future
works. The new asset classes are 5 years and 20 years for Leasehold improvements and 5 years for Equipment.
The carrying values of tangible fixed assets are reviewed for impairment when events or changes in circumstances indicate the
carrying value may not be recoverable.
Assets within work in progress are not depreciated until they are brought into use.
H
STOCKS
Stocks held by the National’s trading subsidiary comprises catering, bookshop and programme supplies for resale. Other stock
(“production stock”) comprises consumables for use in the making of sets and costumes.
All stock is valued at the lower of cost and net realisable value. Cost is based on the latest purchase price for catering,
bookshop and programme stock, and on actual cost for production stock.
I
COSTS OF NEW PRODUCTIONS NOT YET OPENED
The cost of materials for new productions and associated creative team fees are carried forward on the balance sheet until
they are expensed on the date of the press night performance. Internal labour and rehearsal costs are expensed as incurred.
J
OPERATING LEASES
Rentals payable under operating leases are charged to the Statement of Financial Activities on a straight line basis over the
term of the lease.
K
PENSIONS
The National offers a stakeholder scheme to its employees and contributes to defined contribution schemes for certain of its
other employees (see note 9). These costs are expensed in the Statement of Financial Activities as they become payable.
L
TAXATION
The National is a culturally exempt organisation under Schedule 9 of the VAT Act 1994 and during the year VAT returns have
been submitted on a culturally exempt basis. Irrecoverable VAT is charged against the cost of charitable activities, where it is
incurred. Irrecoverable VAT on capital expenditure has been capitalised and will be written off over the life of the assets. The
National is a registered charity and therefore is not liable to income tax and corporation tax on income and gains derived from
its charitable activities as it falls within the various exemptions available to registered charities.
The National’s UK subsidiaries pay any taxable profits to the charity under Gift Aid.
National Theatre North America LLC pays a profit distribution to the National. The National has received dispensations in the
US to be treated as a charity and as such, there is no corporation tax charge on the distribution.
M
FOREIGN CURRENCIES
Transactions in foreign currencies undertaken during the year have been translated at the prevailing rate of exchange at the
date of the transaction. Non-monetary assets are recorded at the prevailing rate of exchange at the date of the original
transaction. Monetary assets and liabilities in foreign currencies are translated at rates of exchange prevailing at the balance
sheet date.
Foreign exchange differences incurred in respect of overseas operations are recorded in the Statement of Financial Activities
within the charitable activity income or expenditure for the year in which they are incurred.
Page 35 of 66
Notes to the Financial Statements
The results of foreign operations consolidated within the Group financial statements are translated using the temporal method
described above. Any exchange gains or losses are accounted for in the Statement of Financial Activities.
Page 36 of 66
Notes to the Financial Statements
2
INCOMING RESOURCES
(a) Voluntary income – analysis by fund type
Unrestricted Funds
Restricted Funds
52 Weeks
ended
52 Weeks
ended
29 March
2015
30 March
2014
Operations
Designated
Projects
Long Term
Total
Total
£m
£m
£m
£m
£m
£m
15.7
-
-
-
15.7
15.0
-
-
0.3
12.0
12.3
10.2
15.7
-
0.3
12.0
28.0
25.2
0.7
-
0.4
-
1.1
0.8
NT Learning
-
-
0.4
-
0.4
0.3
Public Engagement
-
-
-
-
-
0.3
Research & development
-
-
0.1
-
0.1
0.1
Long Term Projects
-
-
0.2
-
0.2
-
NT Live
-
-
-
-
-
-
NT Future
-
-
-
10.1
10.1
16.4
General activity
5.5
-
-
-
5.5
4.5
Total other
6.2
-
1.1
10.1
17.4
22.4
21.9
-
1.4
22.1
45.4
47.6
Donations,
subscriptions
& legacies
Grants
2015
Total
2014
Total
£m
£m
£m
£m
£m
-
-
28.0
28.0
25.2
Arts Council England:
Revenue grant
Capital and other grants
(including Lottery)
Total Arts Council
Performances
TOTAL voluntary income
(b) Voluntary income – analysis by income type
Sponsorship
Arts Council England
Performances
0.7
-
0.4
1.1
0.8
NT Learning
Public Engagement
Research & development
NT Future
0.3
0.2
-
0.1
-
0.1
10.1
0.4
0.3
10.1
0.3
0.3
0.1
16.4
General activity
1.7
3.8
-
5.5
4.5
TOTAL other
2.9
3.9
10.6
17.4
22.4
TOTAL voluntary income
2.9
3.9
38.6
45.4
47.6
Page 37 of 66
Notes to the Financial Statements
Income of £0.6m (2014: £0.6m) in relation to commercial promotion is recognised in Activities for Generating Funds. In total,
the fundraising department raised £8.1m (2014: £6.0m) in annual giving and £5.1m (2014: £16.4m) for NT Future. The
National received total Gifts in Kind of £1.1m during the year (2014: £0.5).
(c) Total incoming resources from charitable activities
National Theatre box office
Olivier
Lyttelton
Temporary Theatre
Dorfman
West End Commercial Transfers
UK Touring
NT Live
UK Touring
Other box office
International Touring
NT Learning
Exploitation and rights
Other income
TOTAL incoming resources from charitable activities
All income from charitable activities is unrestricted.
Touring income includes co-production and touring fees where appropriate.
Page 38 of 66
2015
Total
£m
2014
Total
£m
9.1
7.1
0.4
1.9
24.3
16.6
10.2
6.5
1.1
20.2
16.1
59.4
54.1
6.1
0.1
7.1
1.9
0.1
6.2
9.1
0.2
0.4
0.2
1.5
0.6
0.4
0.1
0.7
2.3
1.8
67.9
65.0
Notes to the Financial Statements
3
RESOURCES EXPENDED
(a) Costs of charitable activities
Unrestricted
Operations
Direct
Support
£m
£m
Performances:
National Theatre
West End Commercial
Transfers
UK Touring
International Touring
NT Learning & Public Engagement
NT Future
Research & development
Depreciation excluding that directly
related to assets used in
performances
Asset disposals and other charges
to the buildings and equipment fund
Non recoverable VAT *
TOTAL costs of charitable
activities
Unrestricted Unrestricted
Operations Designated
Total
£m
£m
2015
Total
2014
Total
Long term
£m
£m
£m
Restricted
Project
25.2
10.2
35.4
-
0.9
-
36.3
36.4
17.6
14.4
0.4
1.9
1.8
-
19.5
16.2
0.4
-
-
-
19.5
16.2
0.4
26.3
9.5
0.9
57.6
13.9
71.5
-
0.9
-
72.4
73.1
8.4
1.4
1.5
0.4
9.9
1.8
-
0.6
0.1
3.2
-
10.5
3.2
1.9
9.1
1.6
1.9
67.4
15.8
83.2
-
1.6
3.2
88.0
85.7
-
-
-
1.3
-
7.2
8.5
4.2
0.9
-
0.9
-
-
-
0.9
0.2
0.8
0.9
-
0.9
1.3
-
7.2
9.4
5.2
68.3
15.8
84.1
1.3
1.6
10.4
97.4
90.9
2015
2014
Project
Long term
Total
Total
£m
Further analysis of expenditure by fund type is given in Notes 4, 5 and 6.
* Under cultural exemption, the National is not able to fully recover input VAT.
(b) Governance costs
Governance Costs
Unrestricted
Unrestricted
Unrestricted
Operations
Operations
Designated
Restricted
Direct
Support
Total
£m
£m
£m
£m
£m
£m
£m
-
0.2
-
-
-
0.2
0.2
0.2
Included within Governance costs are the auditors’ remuneration which consists of the group audit fee of £49k (2014 £48k)
and fees for tax compliance and non–audit services due to PricewaterhouseCoopers of £17k (2014 £11k) .
Page 39 of 66
Notes to the Financial Statements
(c) Analysis of support costs
2015
Total
2014
Total
£m
£m
0.6
1.0
1.6
5.3
0.5
0.2
3.1
1.2
1.2
0.7
0.1
10.2
1.9
1.8
1.5
0.4
9.6
2.1
0.6
1.2
0.4
3.5
6.0
6.3
15.8
13.9
3.5
6.4
6.9
16.8
15.5
Promotion
Trading operations
Charitable activities:
Performances:
National Theatre
West End Commercial Transfers
UK Touring
International Touring
NT Learning & Public Engagement
Research & development
Total support costs
£m
Theatre
operations
£m
Support
services
£m
-
0.4
1.8
0.7
0.6
0.3
0.1
Promotion comprises Marketing and Press. Theatre Operations comprises Front of House, Building Services, Insurance,
Cleaning and Security. Support Services comprises Finance, IT, HR, Pensions, and Staff Canteen net of cost recoveries of
£0.5m (2014: £0.6m).
Support costs relating to trading activities are included in costs of trading operations (Note 23).
Support costs are allocated using the following bases:
For Marketing, Front of House, Finance, and IT – Management review of estimated usage
Human Resources – Headcount
Building Services – Management review of estimated space usage
Page 40 of 66
Notes to the Financial Statements
4
ANALYSIS OF EXPENDITURE ON PERFORMANCES BY FUND TYPE
National Theatre:
Capitalisation & running costs
Workshops & stages
Producing & direction
The Shed
West End Commercial Transfers
UK Touring
International Touring
TOTAL expenditure
5
2015
Total
2014
Total
£m
£m
0.9
-
15.6
12.7
8.0
-
17.1
12.5
6.8
-
-
0.9
36.3
36.4
19.5
16.1
0.5
-
-
19.5
16.1
0.5
26.3
9.5
0.9
36.1
-
-
36.1
36.7
71.5
-
0.9
72.4
73.1
Unrestricted
Operations
£m
Designated
Direct Costs
£m
Restricted
Projects
£m
14.7
12.7
8.0
-
-
35.4
ANALYSIS OF EXPENDITURE ON NT LEARNING AND PUBLIC ENGAGEMENT BY FUND TYPE
2015
Total
2014
Total
£m
£m
Unrestricted
Operations
£m
Designated
Direct Costs
£m
Restricted
Projects
£m
Connections
Primary education & early years
Secondary & further education
Training & development
Education Endowment Fund
Digital & other (including department costs)
0.5
0.2
0.1
0.1
0.1
1.1
-
0.1
0.1
0.1
0.6
0.3
0.1
0.1
0.1
1.2
0.4
0.3
0.2
0.1
0.8
TOTAL NT Learning expenditure
2.1
-
0.3
2.4
1.8
NT Live
Inside Out (including Watch This Space)
Platforms & Foyer Music
Archive
Access
Digital & other initiatives
6.8
0.2
0.1
0.1
0.1
0.5
-
0.1
0.1
0.1
6.8
0.3
0.1
0.1
0.2
0.6
6.2
0.1
0.2
0.2
0.1
0.5
TOTAL Public Engagement
7.8
-
0.3
8.1
7.3
TOTAL NT Learning & Public Engagement
expenditure
9.9
-
0.6
10.5
9.1
Page 41 of 66
Notes to the Financial Statements
6
ANALYSIS OF EXPENDITURE ON RESEARCH AND DEVELOPMENT BY FUND TYPE
Unrestricted
7
Restricted
2015
Total
2014
Total
Operations
£m
Projects
£m
Long Term
£m
£m
£m
NT Studio
1.0
0.1
-
1.1
1.1
Commissioning new scripts
Associates and other
0.5
0.3
-
-
0.5
0.3
0.5
0.3
TOTAL expenditure
1.8
0.1
-
1.9
1.9
Group
2015
£m
2014
£m
Wages and salaries
Social security costs
Other pension costs
42.4
3.1
1.4
41.5
4.2
1.2
46.9
46.9
2015
Number
2014
Number
314
391
263
39
62
73
25
31
236
441
225
42
63
71
25
31
1,198
1,134
STAFF COSTS AND NUMBERS
Average monthly full time equivalents employed in the year: *
Artistic
Technical and production
Trading and front of house
Education, touring, NT Studio and other projects
Marketing and box office
Support services
Engineering
Fundraising
* All staff are employed by the National Theatre and the cost of their employment is recharged to the NT’s subsidiaries where
relevant.
Page 42 of 66
Notes to the Financial Statements
STAFF COSTS AND NUMBERS (cont’d)
7
The number of employees with emoluments greater than £60,000 was as follows:
2015
Number
2014
Number
£60,000-£70,000
£70,001-£80,000
£80,001-£90,000
£90,001-£100,000
£100,001-£110,000
£110,001-£120,000
£120,001-£130,000
£130,001-£140,000
24
4
2
4
1
1
1
23
7
3
1
1
1
-
£140,001-£150,000
£150,001-£160,000
£160,001-£170,000
£170,001-£180,000
1
1
1
1
38
39
Pension contributions of £0.2m (2014: £0.2m) were made to defined contribution schemes for the above members of staff
during the year.
8
TRUSTEES’ EMOLUMENTS
No trustees of the company received any remuneration during the year or in the previous year. Expenses for travel and
entertainment totalling £7,820 (2014: £401) were incurred by two trustees wholly and necessarily on the National's business
and were reimbursed during the year. Trustees are offered two tickets for each production to enable them to carry out their
duties.
9
PENSION CONTRIBUTIONS
The National makes payments to defined contribution schemes which are available to all permanent employees on completion
of their probationary year. The charge for the year was £1.4m (2014: £1.2m) with £0.3m (2014: £0.1m) payable at the balance
sheet date.
10
TAXATION
The National's charitable activities fall within the exemptions afforded by Part 11 Corporation Taxes Act 2010. The trading and
commercial subsidiaries, Royal National Theatre Enterprises Limited, National Theatre Productions Limited and National
Theatre Staging Limited, passes profits on which tax would be payable to the National under a Gift Aid arrangement.
Accordingly, there is no corporation tax charge in these financial statements. Similarly, because of the Gift Aid, there is no
difference in the net movement in funds for the National and the Group as a whole.
The National will be submitting two Theatre Tax credit claims to HMRC in relation to productions qualifying for the scheme
during 2014/15. A provision for the total expected tax credits receivable of £1.0m has been included in unrestricted income.
National Theatre North America LLC pays a profit distribution to the National. The National has received dispensations in the
US to be treated as a charity and as such, there is no corporation tax charge on the distribution.
Page 43 of 66
Notes to the Financial Statements
11
TANGIBLE FIXED ASSETS – Group and Company
Freehold
Land &
Buildings
Leasehold
Improvements
(20 years)
Leasehold
Improvements
(10 years)
Leasehold
improvements
(5 years)
Equipment
(10 years)
Equipment (5
years)
Equipment (3
years)
Work in
Progress (NT
Future)
Work in
Progress
(Other)
Total
£m
£m
£m
£m
£m
£m
£m
£m
£m
£m
6.6
-
34.8
-
0.2
-
34.8
40.5
1.2
118.1
Additions
-
-
-
-
-
-
-
25.9
3.9
29.8
Disposals
-
-
(0.3)
-
-
-
(0.4)
-
-
(0.7)
Transfers from
work in progress
-
56.0
0.9
0.2
4.5
2.2
4.3
(64.9)
(3.2)
-
6.6
56.0
35.4
0.2
4.7
2.2
38.7
1.5
1.9
147.2
0.8
-
32.9
-
-
-
31.0
-
-
64.7
0.1
2.8
0.4
0.1
0.5
0.4
4.4
-
-
8.7
-
-
(0.2)
-
-
-
(0.3)
-
-
(0.5)
0.9
2.8
33.1
0.1
0.5
0.4
35.1
-
-
72.9
As at 29 March
2015
5.7
53.2
2.3
0.1
4.2
1.8
3.6
1.5
1.9
74.3
As at 30 March
2014
5.8
-
1.9
-
0.2
-
3.8
40.5
1.2
53.4
Cost
As at 30 March
2014
As at 29 March
2015
Accumulated Depreciation
As at 30 March
2014
Charge for year
Disposals
As at 29 March
2015
Net book value
Page 44 of 66
Notes to the Financial Statements
NOTE 11 CONTINUED
Freehold land and buildings include NT Studio land at a cost of £0.7m (2014: £0.7m) and the NT Studio building
refurbishment at a cost of £5.7m (2014: £5.7m). The Studio building has been provided as security in the form of a 30
year legal mortgage in relation to a grant for refurbishment of the Studio, of £0.9m from Arts Council England in 2010.
The mortgage is 14% of the cost of the NT Studio land and building (excluding the NT Studio car park land).
In 2012 a fixed and floating charge lasting 30 years was provided as security for the potential repayment obligations
under a grant of £17.5m from Arts Council England for the NT Future project.
12
INVESTMENTS
Expendable endowment (20-year gilt)
Group
2015
Company
2015
Group
2014
Company
2014
£m
£m
£m
£m
0.2
0.2
0.2
0.2
In 2008, the Charity invested £200,000 into a 20-year gilt in accordance with the terms of a donation received from a
long-term benefactor. At the end of the 20-year term, the capital sum (£166,000) will become available for use by the
National Theatre. Interest on the gilt accrues to the Theatre on a received basis. The initial premium on the gilt is
amortised over the life of the gilt. The trustees believe that the carrying value of the investments is supported by their
underlying net assets.
See Note 23 for details of investments in subsidiary undertakings.
13
STOCKS
Group
2015
£m
Company
2015
£m
Group
2014
£m
Company
2014
£m
Goods for resale
0.4
-
0.4
-
Consumable items
0.1
0.1
0.1
0.1
0.5
0.1
0.5
0.1
Group
2015
£m
Company
2015
£m
Group
2014
£m
Company
2014
£m
Curious – UK Tour
0.1
0.1
-
-
War Horse – International
Other Commercial Transfers
0.1
-
0.1
-
0.2
0.2
National Theatre
0.4
0.4
0.4
0.4
-
-
0.7
-
0.6
0.6
1.3
0.6
14
COST OF PRODUCTIONS NOT YET OPENED
London Road (film)
Page 45 of 66
Notes to the Financial Statements
15
DEBTORS
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income
16
Company
2015
£m
Group
2014
£m
Company
2014
£m
2.4
1.6
6.3
1.8
2.2
1.3
5.7
2.4
0.7
4.8
2.4
1.8
0.6
4.4
10.3
11.0
7.9
9.2
Group
2015
£m
Company
2015
£m
Group
2014
£m
Company
2014
£m
13.8
-
10.5
-
18.0
2.0
16.9
2.0
13.8
10.5
20.0
18.9
Group
2015
£m
Company
2015
£m
Group
2014
£m
Company
2014
£m
1.0
1.1
3.8
10.7
1.2
1.2
0.7
1.1
3.8
8.8
1.0
1.2
0.6
1.1
2.8
9.1
1.4
0.1
0.5
1.1
2.8
8.8
0.9
0.1
19.0
16.6
15.1
14.2
CASH AT BANK AND IN HAND
Cash and bank balances
Short-term deposit
17
Group
2015
£m
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
Taxation and social security
Advance bookings
Other creditors and accruals
Deferred income – all utilised in the year
Provisions
CREDITORS: AMOUNTS FALLING DUE IN MORE THAN ONE YEAR
Other creditors and accruals
Page 46 of 66
Group
2015
£m
Company
2015
£m
Group
2014
£m
Company
2014
£m
0.2
0.2
-
-
0.2
0.2
-
-
Notes to the Financial Statements
18
FUNDS
Balance as
at 30 March
2014
£m
Income
£m
Expenditure
£m
Transfers
£m
Balance as
at 29 March
2015
£m
2.6
114.2
112.3
(0.6)
3.9
9.9
7.0
0.1
-
0.4
0.8
0.1
2.5
-
9.5
8.7
-
TOTAL Designated funds
17.0
-
1.3
2.5
18.2
TOTAL Unrestricted funds
19.6
114.2
113.6
1.9
22.1
RESTRICTED: Project funds
NT LEARNING
Connections
Primary & Early Years
-
0.1
0.1
0.1
0.1
-
-
Secondary & Further Education
Other
-
0.2
0.2
-
-
0.1
0.1
-
0.1
0.1
-
-
Productions
-
0.9
0.9
-
-
Touring
-
-
-
-
-
RESEARCH & DEVELOPMENT
Studio projects
-
0.3
0.1
-
0.2
0.2
1.6
1.6
-
0.2
32.3
9.7
1.3
-
10.1
10.1
1.9
7.6
2.5
0.2
-
(1.9)
34.8
17.3
1.1
-
Studio refurbishment fund
Expendable endowment
4.9
0.2
-
0.1
-
-
4.8
0.2
TOTAL Long term funds
48.4
22.1
10.4
(1.9)
58.2
TOTAL Restricted funds
48.6
23.7
12.0
(1.9)
58.4
68.2
137.9
125.6
-
80.5
UNRESTRICTED:
Operations fund *
Designated:
NT Future
Building and equipment fund
Front of house capital fund
The Temporary Theatre
PUBLIC ENGAGEMENT
Watch This Space
Other
PERFORMANCE
TOTAL Project funds
RESTRICTED: Long term funds
NT Future fund
ACE NT Future fund
ACE Lottery fund
ACE Capital fund
TOTAL FUNDS
Page 47 of 66
Notes to the Financial Statements
£m
* Analysis of unrestricted funds held between parent and subsidiaries:
Unrestricted retained surplus held by the Charity
Unrestricted retained surplus/deficit held by trading subsidiaries
Group unrestricted operations fund
3.3
0.6
3.9
DESIGNATED FUNDS
NT Future Fund
Expenditure against this fund in the year was costs associated with the NT Future project which were not capitalised,
primarily decant costs and staff salaries.
£nil (2014: £nil) was transferred from the operations fund for the development of the NT Future project.
Buildings and Equipment Fund
The buildings and equipment fund is a designated fund set aside by the Board in order to enable monies to be made
available over a three year year for the renewal and maintenance of the National's buildings and mechanical and
electrical equipment in accordance with its lease and obligations under Lottery funding.
£0.6m (2014: £0.6m) was transferred from the operations fund and £1.9m (2014: £1.9m) was transferred from the ACE
Capital Fund into the buildings and equipment fund during the year. The expenditure for the current year represents
depreciation on assets acquired through this fund and the £2.5m transferred was used to fund the refurbishment of the
Drum Revolve, the Pillinger pump and Dorfman Theatre dimmers.
Front of House Capital Fund
The expenditure in the year represents depreciation on assets acquired through this fund.
The Temporary Theatre
The Temporary Theatre opened in March 2012 and was originally planned to operate whilst the Cottesloe Theatre was
closed. Planning permission has now been extended with The Temporary Theatre remaining open until 2017.
RESTRICTED FUNDS: PROJECT FUNDS
These represent funds made available for projects generally completed within two years or activities funded on an annual
basis.
NT Learning and Public Engagement Projects
The NT Learning and Public Engagement Project Fund represents restricted funding and related expenditure, for
participation projects and training initiatives, along with funds received in support of activities in the external public spaces
at the NT and various access, archive and digital initiatives.
NT Studio Projects
The NT Studio projects fund represents restricted funding for activity at the NT Studio, including new writing and directing
initiatives.
Page 48 of 66
Notes to the Financial Statements
RESTRICTED FUNDS: LONG-TERM FUNDS:
Long-term funds represent funds used for capital or where there is an expectation that the fund will be used over the
longer term.
NT Future Fund
£10.1m was received in the year as grants and donations for the NT Future project. Expenditure was £7.6m and
represents depreciation on NT Future assets.
ACE NT Future Fund
£10.1m was received in the year from Arts Council England for the NT Future project. Expenditure was £2.5m and
represents depreciation on NT Future assets and direct project expenditure.
ACE Lottery Fund
The expenditure in the year represents depreciation on assets acquired through this fund.
ACE Capital Fund
A £1.9m (2014: £1.9m) grant was received in the year for capital expenditure from Arts Council England. This was fully
spent during the year on fixed assets which have an unrestricted use and as such is transferred to the Buildings and
Equipment Fund.
Studio Refurbishment Fund
This fund was created to support a major refurbishment of the NT Studio, completed in 2008. The balance reflects future
depreciation on the assets acquired through this fund.
Page 49 of 66
Notes to the Financial Statements
19
ANALYSIS OF NET ASSETS BETWEEN FUNDS
Total net
assets as at
29 March
2015
£m
Total net assets
as at
30 March
2014
£m
Tangible
fixed assets
£m
Cash
£m
Other net
assets /
(liabilities)
£m
-
11.7
(7.8)
3.9
2.6
UNRESTRICTED:
Operations fund
Designated:
NT Future
9.5
-
-
9.5
9.9
Building and equipment fund
Front of house capital fund
Temporary Theatre
6.0
-
2.7
-
-
8.7
-
7.0
0.1
15.5
2.7
-
18.2
17.0
15.5
14.4
(7.8)
22.1
19.6
NT LEARNING & PUBLIC ENGAGEMENT
Connections
Other NT Learning & Public Engagement
-
-
-
-
0.2
RESEARCH & DEVELOPMENT
Studio projects
-
0.2
-
0.2
-
TOTAL Project funds
-
0.2
-
0.2
0.2
35.5
17.3
(0.7)
-
-
34.8
17.3
32.3
9.7
ACE Lottery fund
Studio refurbishment fund
Expendable endowment
1.1
4.9
-
(0.1)
-
0.2
1.1
4.8
0.2
1.3
4.9
0.2
TOTAL Long term funds
58.8
(0.8)
0.2
58.2
48.4
58.8
(0.6)
0.2
58.4
48.6
74.3
13.8
(7.6)
80.5
68.2
TOTAL Designated funds
TOTAL Unrestricted funds
RESTRICTED: Project funds
RESTRICTED: Long term funds
NT Future fund
ACE NT Future fund
TOTAL Restricted funds
TOTAL FUNDS
Page 50 of 66
Notes to the Financial Statements
20
CAPITAL COMMITMENTS: GROUP AND COMPANY
2015
£m
2014
£m
0.2
0.2
1.4
4.6
2.1
-
0.7
0.2
0.2
0.6
Metalwork
External Works
Olivier Fly System
Technical Equipment and services
0.4
1.3
0.1
2.9
0.2
-
Phase C Foyer Refurbishment
Other NT Future
0.3
0.4
0.4
Other commitments:
Excelnet Redevelopment Phase 1
CAFM Software
Asbestos removal
0.1
0.2
0.2
-
Website development project
Drum works
Other commitments (<100k)
0.2
0.7
0.8
0.6
Approved and contracted
4.2
14.8
NT Future related commitments:
Fitting out
Mechanical and Electrical services
Building work
Cladding
Steelwork
Roofing work
Logistics
The amount payable within one year is £4.2m (2014: £14.8m).
Page 51 of 66
Notes to the Financial Statements
21
CONNECTED CHARITIES AND OTHER RELATED PARTY TRANSACTIONS
Connected Charities
Royal National Theatre Foundation
The Royal National Theatre Foundation has objects related to those of the National and makes grants to the NT from
time to time. The foundation has 12 trustees, three of whom have a direct connection to the NT.
The National Theatre entered into a joint arrangement in March 2012 to create a new Education endowment fund
within the Royal National Theatre Foundation to further the NT’s national remit in terms of education. A legacy
campaign has been launched by the NT and all unrestricted legacies directed to the NT will in future go to the Royal
National Theatre Foundation. It has been agreed with the Foundation that this arrangement should be simplified and
made more flexible in terms of the operation and accessibility of the endowment fund; and extended so as to enable
donors to indicate that their legacies be specifically directed to a broader range of NT activities and needs (premises,
new work, productions in general, as well as learning) or to NT’s general purposes. Pending utilisation of the funds so
directed, the donations will be held in appropriately named sub-funds of the endowment fund.
During the year, the NT received legacy income of £109,534 (2014: £25,000) which will be paid to the Royal National
Theatre Foundation.
A pledge of £200,000 was made during the year towards the production of ‘Here Lies Love’, which opened the new
Dorfman Theatre. A pledge of £93,125 was also made during this financial year towards the National Theatre’s Digital
Publications project. The first instalment of £46,625 was paid in March 2015 and the second instalment is expected to
be paid during 2015/16. The Foundation also made benevolent grants to members and former members of the staff
and company.
American Associates of the Royal National Theatre
The American Associates of the Royal National Theatre is an independent s.501c3 not-for-profit charity registered in
New York. In the year, $3.9m (2014: $2.6m) was due to the NT.
Other Related Party Transactions
Lloyd Dorfman is a trustee of the Dorfman Foundation and a trustee of the National Theatre. In 2010/11, the
Foundation pledged a leadership gift of £10m for the NT Future project. During the period £2.7m (2014: £2.9m) was
paid to the National Theatre, being the final instalment of the gift. Lloyd Dorfman is also the Founder, President and a
major shareholder of Travelex, sponsors of the National Theatre £15 Travelex season.
During the year, 7 Trustees attended the National Theatre’s Fast Forward gala, a fundraising event specifically for NT
Future. These Trustees donated a total of £34,200 in addition to the cost of their tickets.
The National has a limited power to enter into transactions with its Trustees. This power is in its governing document,
the Memorandum of Association, and it is limited by conditions which protect the interests of the National as a charity.
See Note 23 for details of transactions with subsidiaries.
Page 52 of 66
Notes to the Financial Statements
22
OPERATING LEASE COMMITMENTS: GROUP AND COMPANY
At 29 March 2015 the National was committed under non-cancellable operating leases to make the following payments
during the next year:
2015
£m
2014
£m
Property leases which expire within one to two years
0.1
0.3
Property leases which expire within two to five years
-
-
Property lease commitments relate to lease contracts for the rental of properties at Kennington Park, London SW9.
23
SUBSIDIARIES & JOINT ARRANGEMENTS
All subsidiaries have coterminous year ends with the parent company.
As at 29 March 2015, The National had an interest in the following subsidiary undertakings and joint arrangements:
Organisation
Name
Country of
Incorporation
Royal National
Theatre
Enterprise
Limited
UK
National
Theatre
Productions
Limited
Nature of
Business
Class of
share capital
held
Issued Share
Capital
Parent
company
interest
Consolidation
Method
Trading
activities
Ordinary
2 x £1 Ord
Shares
100%
Yes
(Line-by-line)
UK
Commercial
exploitation of
productions
Ordinary
2 x £1 Ord
Shares
100%
Yes
(Line-by-line)
National
Theatre
Staging
Limited+
UK
Commercial
exploitation of
productions
Ordinary
1 x £1 Ord
Share
100%
Yes
(Line-by-line)
National
Theatre North
America LLC*
US
Commercial
exploitation of
productions
Ordinary
2 x $1 Ord
Shares
100%
Yes
(Line-by-line)
NT War Horse
LP*
US
Commercial
exploitation of
productions
N/A
N/A
55.35%
(Indirect
holding)
Yes
(Proportionate)
Curious
Incident
Broadway LP**
US
Commercial
exploitation of
productions
N/A
N/A
50% (Indirect
holding)
Yes
(Line-by-line)
+NTPL Overseas Limited (incorporated on 16 December 2011) was a 100% owned subsidiary of National Theatre Productions Limited as at 30
March 2014. On 15 January 2015, National Theatre Productions Limited sold their £1 share to the National Theatre for £1. The company was
subsequently renamed National Theatre Staging Limited. NTPL Overseas Limited was dormant during 2014/15 and National Theatre Staging
Limited is also currently dormant.
* The National Theatre is the sole Managing Member of National Theatre North America LLC. National Theatre North America LLC is the sole
General Partner for NT War Horse LP which represents a joint arrangement between National Theatre North America LLC and National Angels.
**The National Theatre is the sole Managing Member of National Theatre North America LLC. National Theatre North America LLC is one of two
General Partner for Curious Incident Broadway LP which represents a joint arrangement between National Theatre North America LLC and
Wombat Crossing 2 LLC. National Theatre North America LLC holds the casting vote in any decisions made and so controls the LP. Therefore in
accordance with FRS 2, it has been consolidated as a subsidiary undertaking.
Page 53 of 66
Notes to the Financial Statements
23
SUBSIDIARIES & JOINT ARRANGEMENTS (cont’d)
The financial results for the year were:
Royal National
Theatre
Enterprises
Limited
National Theatre
Productions
Limited
National
Theatre
Staging
Limited
National Theatre
North America
LLC
Curious
Incident
Broadway LP
Total**
Total**
2015
2014
2015
2014
2015
2014
2015
2014
2015
2014
2015
2014
£m
£m
£m
£m
£m
£m
£m
£m
£m
£m
£m
£m
9.7
9.8
2.1
1.1
-
-
0.5
0.4
12.3
-
24.6
11.3
(10.1)
(10.0)
(3.7)
(0.5)
-
-
(0.2)
(0.2)
(12.2)
-
(26.2)
(10.7)
(0.4)
(0.2)
(1.6)
0.6
-
-
0.3
0.2
0.1
-
(1.6)
0.6
0.9
0.8
1.4
-
-
-
-
-
0.5
-
2.8
0.8
-
-
0.2
-
-
-
-
-
-
-
0.2
-
0.5
0.6
-
0.6
-
-
0.3
0.2
0.6
-
1.4
1.4
(0.5)
(0.6)
-
(0.6)
-
-
(0.3)
(0.2)
-
-
(0.8)
(1.4)
Retained in the
subsidiary
-
-
-
-
-
-
-
-
0.6
-
0.6
-
Net Assets /
(Liabilities)
-
-
-
0.6
-
0.6
-
Activities for
generating funds:
Trading operations
Cost of trading
operations+
Net Surplus
Add back
consolidation
adjustments
Tax on profit on
ordinary activities
Net Surplus for the
year
Gift aid/Profit
distribution due to
parent company
-
-
-
** The financial results for NT War Horse LP are immaterial and have therefore not been detailed above.
+Included in cost of trading operations are administration expenses charged by the National Theatre as follows:
Entity
Basis
Payments to National Theatre
2015 (£m)
2014 (£m)
Turnover (11%)
0.9
1.2
National Theatre Productions Limited
Usage
0.2
0.5
National Theatre North America LLC
Usage
-
0.1
National Theatre Staging Limited
Usage
-
-
Curious Incident Broadway LP
Usage
-
-
1.1
1.8
Royal National Theatre Enterprises Limited
Page 54 of 66
Notes to the Financial Statements
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, TRUSTEES, COMMITTEE
MEMBERSHIP AND ADVISERS FOR THE YEAR 30.03.2014 – 29.03.2015
Board Members
John Makinson (Chairman)
Kate Mosse OBE (Deputy Chair)
Peter Bennett-Jones
Dame Ursula Brennan DCB
Dominic Casserley
Susan Chinn CBE (Resigned 31 March 2015)
Tim Clark
Howard Davies
Lloyd Dorfman CBE
Glenn Earle
Aminatta Forna (Resigned 2 February 2015)
Farah Ramzan Golant CBE
Ros Haigh
Neil MacGregor (Resigned 1 June 2015)
James Purnell (Resigned 23 June 2015)
Clive Sherling
Finance & Audit Committee
Howard Davies (Chair)
Dame Ursula Brennan
Tim Clark
Ros Haigh
Lloyd Dorfman CBE
John Makinson
Clive Sherling
Royal National Theatre Enterprises Board
Ros Haigh (Chair)
Alex Bayley
Lisa Burger
Farah Ramzan Golant CBE
Mark Hix
Karen Jones
John Langley
Robyn Lines
Geoffrey Matthews
Kate Mosse
Nick Starr
National Theatre Productions Ltd (NTPL)
Peter Bennett-Jones (Chair)
Lisa Burger
Tim Clark
Chris Harper
Robin Hawkes
André Ptaszynski
Tessa Ross
David Sabel
Nick Starr
Page 55 of 66
Notes to the Financial Statements
NT Future Fundraising Committee
Clive Sherling (Chair)
Susan Chinn
Tim Clark
David Hall
John Makinson
Glenn Earle
NT Future Project Committee
John Makinson
Dominic Casserley
Tim Clark
Lloyd Dorfman CBE
Glenn Earle (Chair)
Ros Haigh
Alan Leibowitz
Clive Sherling
Nominations Committee
Tim Clark (Chair)
Peter Bennett Jones
Kate Mosse
James Purnell
Development Council
Susan Chinn (Chair)
Clive Sherling (Vice Chair)
Graham Barker
Royce Bell
Dr Neil Brener
Sarah Brener
Russ Carr
Tim Clark
Simon Dingemans
Charles Dorfman
David Hall
Caroline Hoare
Rosie Hytner
Elizabeth Offord
Oliver Pawle
Charlotte Warshaw
Charlotte Weston
Honorary Council
Sir David Bell
Tony Bloom
Dr David Cohen CBE
Justin Dowley
David Dutton
Michael Gee
Michael Grade CBE
Robert Norbury
Oliver Prenn
Lois Sieff OBE
Max Ulfane
Edgar Wallner
Page 56 of 66
Notes to the Financial Statements
Executive
Director Rufus Norris
Executive Director Lisa Burger
Chief Executive Tessa Ross (Resigned 30 April 2015)
Director Nicholas Hytner (Resigned 01 April 2015)
Executive Director Nick Starr (Resigned 31 October 2014)
Bankers
Coutts & Co
440 Strand, London WC2R 0QS
Auditors
PricewaterhouseCoopers LLP
7 More London Riverside
London SE1 2RT
*The term “Director” is a traditional title used at the National.
Neither the Director, the Associate Directors, nor other members of the Executive are directors under the Companies Act,
2006
NT Heads of Department at 29 March 2015
Artistic Administration
Robin Hawkes
Broadcast & Digital
David Sabel
Casting
Wendy Spon
Commercial Operations
Robyn Lines
Development
John Rodgers
Engineering
Kieron Lillis
External Relationships & Partnerships
John Langley
Finance
Kate Barraball
General Counsel
Peter Taylor
Human Resources
Tony Peers
Information Technology
Joe McFadden
Learning
Alice King-Farlow
Marketing
Alex Bayley
Music
Matthew Scott
NT Studio
Laura Collier
Planning
Jo Hornsby
Platforms & WTS
Angus MacKechnie
Press
Lucinda Morrison
Print & Publications
Lyn Haill
Technical & Production
Page 57 of 66
Notes to the Financial Statements
Mark Dakin
Mark Davies
Sacha Milroy
Technical Producer
Katrina Gilroy
Voice
Jeannette Nelson
Associate Producer
Pádraig Cusack
NT Productions
Chris Harper
Ros Brooke-Taylor
NT America
Tim Levy
PERFORMERS 2014-15
The Acting Company
Hiran Abeysekera
Vivienne Acheampong
T’Jai Adu-Yeboah
Mike Aherne
Lace Akpojaro
Gareth Aled
Geraldine Alexander
Esh Alladi
Christine Allado
James Alper
Suzanne Andrade
Sarah Annis
Antony Antunes
Sue Appleby
Esme Appleton
Nathalie Armin
Lee Armstrong
Rosie Armstrong
Pal Aron
Peter Ash
Chris Ashby
Emily Aston
Gia Macuja Atchison
Kristin Atherton
Vanessa Babirye
Laure Bachelot
James Backway
Raj Bajaj
Jasmyn Banks
Tracy Bargate
Cameron Barnes
Elliot Barnes-Worrell
Neal Barry
Emma Barton
Mark Bautista
Tom Beard
Charlotte Beaumont
Stephen Beckett
Taylor Benjamin
Philip Bertioli
Adam Best
Sheena Bhattessa
Page 58 of 66
Notes to the Financial Statements
Oliver Birch
KM Drew Boateng
Ross Boatman
Nicholas Bishop
Lucy Black
Claudie Blakley
Tony Boncza
Lee Boggess
Sam Bond
Caroline Bowman
Ken Bradshaw
Lorna Brown
Ricco Godfrey Brown
Joanna Burnett
Graham Butler
Peter Cadden
Daniel Cahill
Anthony Calf
Robert Calvert
Hayley Canham
Vivien Carter
Daniel Casey
Abby Cassidy
Faye Castelow
Gabriel Castillo
Gemma Chan
Gavinder Singh Chera
Lauren Chia
Ashley Chin
Tia-Lana Chinapyel
Oliver Chris
Adrian Christopher
Vera Chok
William Chubb
Christopher Chung
Matthew Churcher
Clare Clifford
Michaela Coel
Emmanuella Cole
Nisa Cole
Clare Louise Connolly
Daniel Coonan
Clare-Louise Cordwell
John Cormack
Matt Costain
Matthew Cottle
Jonathan Coy
Alasdair Craig
Ali Craig
Naomi Cranston
Sophie Crawford
Jim Creighton
Dermot Crowley
Laura Cubitt
Joe Darke
Arthur Darvill
Alicia Davies
Matthew Lloyd Davies
Nicholas Delvalle
Angela de Castro
Page 59 of 66
Notes to the Financial Statements
Harry de Moraville
Simon Desborough
Rudi Dharmalingam
Christopher Dickins
Drew Dillon
Benjamin Dilloway
Hasan Dixon
Jo Dockery
Paul Dodds
James Donovan
Emilio Doorgasingh
Darren Douglas
Charlotte Dubery
Blythe Duff
James Duncan
Heather Dutton
Michael Dylan
Vincent Ebrahim
Julius Ebreo
Nick Elliott
Derek Elroy
David Emmings
Susan Engel
George Evans
Joe Evans
Henry Everett
Patsy Ferran
Jim Andrew Ferrer
Ralph Fiennes
Nick Figgis
Deborah Findlay
Owen Findlay
Siobhan Finneran
David Fleeshman
Brendan Fleming
Patrick Fleming
Nick Fletcher
Daniel Flynn
Keiran Flynn
Matthew Flynn
Matt Forbes
Peter Forbes
Adam Foster
Bob Fox
Alan Francis
Andrew Fraser
Christian From
Jason Furnival
Sartaj Garewal
Kieran Garland
Ian Garside
Eoin Geoghegan
Debra Gillett
Robert Glenister
Thomas Gilbey
Colm Gormley
Ermira Goro
Sophie Gråbøl
Edward Grace
Gawn Grainger
Page 60 of 66
Notes to the Financial Statements
Oliver Grant
Amy Griffiths
Adrian Grove
Owen Guerin
Hermione Gulliford
Amanda Hadingue
Colin Haigh
Ian Hallard
Edward Hancock
Finn Hanlon
Gillian Hanna
Mariam Haque
Lucas Hare
James Harkness
Elliot Harper
Rhiannon Harper-Rafferty
Tom Rhys Harries
Susan Harrison
Nicholas Hart
Mark Hayden
Karl Haynes
Adam Henderson Scott
Nick Hendrix
Karen Henthorn
Jo Herbert
Sarah Higgins
Rosie Hilal
Steven Hillman
Dominic Hodson
Hazel Holder
Pernilla Holland
Ian Houghton
Li-Tong Hsu
Donnla Hughes
Michael Humphreys
Stephanie Hyam
Damson Idris
Julia Innocenti
Gina Isaac
Mark Jackson
Daisy Jacob
Elan James
Joshua James
Thusitha Jayasundera
Tendayi Jembere
Joshua Jenkins
Simon Jenkins
Corey Johnson
Garth Johnson
Linford Johnson
Dean John-Wilson
Alex Jordan
Indira Joshi
Emily Joyce
Miles Jupp
Scott Karim
Richard Katz
Lena Kaur
Christine Kavanagh
Andrew Keay
Page 61 of 66
Notes to the Financial Statements
Mary Keegan
Chris Kelham
Aidan Kelly
Gordon Kennedy
Stephen Kennedy
Roberta Kerr
Muzz Khan
Nicholas Khan
Rebecca Killick
Ferdinand Kingsley
Barbara Kirby
Daniel Kobbina
Ranjit Krishnamma
Gerald Kyd
Stuart Laing
Fred Lancaster
David Langham
Jason Langley
Hannes Langolf
Tom Larkin
James Laurenson
Maria Lawson
John Leader
Jane Leaney
Jamie Lee-Morgan
Nicholas le Prevost
Avye Leventis
Nyron Levy
Tim Lewis
Kok-Hwa Lie
Nigel Lindsay
Jonathan Livingstone
Dylan Llewellyn
Andrew London
Brian Lonsdale
Jack Loxton
Nicholas Lumley
Helena Lymbery
Helen MacFarlane
Alasdair Macrae
John McAndrew
Lucia McAnespie
Aidan McArdle
James McArdle
Frances Mayli McCann
Shaun McCourt
Helen McCrory
Joel McDermott
Tony McGeever
Penelope McGhie
Jayne McKenna
Sean McKenzie
Rebecca McKinnis
Aoife McMahon
Tim McMullan
Jodie McNee
Jonny Magnanti
Alexandra Maher
Stephen Mangan
Manjeet Mann
Page 62 of 66
Notes to the Financial Statements
Ben Mansfield
Ann Marcuson
David Mara
Simon Markey
Kate Marlais
Beth Marshall
Amy Marston
Caroline Martin
Daisy Maywood
Nikita Mehta
Natalie Mendoza
Aaron Jan Mercado
Christy Meyer
Jordan Mifsud
Chris Milford
Gary Mitchinson
Iain Mitchell
Miles Mitchell
Thomas Mittelheuser
Anjli Mohindra
Bunmi Mojekwu
Damien Molony
Gerard Monaco
Alex Moran
Katherine Moraz
Rona Morison
Catherine Morris
Victoria Moseley
Deirdre Mullins
Mikel Murfi
Cillian Murphy
Ben Murray
Ntonga Mwanza
Emily Mytton
Simon Nagra
Aaron Neil
David Nellist
Suzanne Nixon
Tom Norman
Jonathan Nyati
Sam O’Mahoney
Joseph O'Malley
Norman Pace
Tia Palamathanan
Roxanne Palmer
Will Palmer
Alastair Parker
Umar Pasha
Ronak Patani
Bharti Patel
Jude Pearce
Rueben Pearce
Lewis Peploe
Davina Perera
Clare Perkins
Billie Piper
George Potts
Alex Price
Lucy Punch
Prasanna Puwanarajah
Page 63 of 66
Notes to the Financial Statements
Ronan Raftery
Pehrr Ramrakhyani
Yuyu Rau
Mark Rawlings
Adrian Rawlins
Stephen Rea
Joseph Richardson
Lucy Robinson
Judith Roddy
John Rogan
Abram Rooney
Anneika Rose
Andrew Rothney
Dominic Rowan
Mark Rowley
Sophie Rundle
Jonah Russell
Nick Sampson
Roy Sampson
Tim Samuels
Bebe Sanders
Jack Sandle
Danny Sapani
Martin Sarreal
Markus Schabbing
John Schwab
Maggie Service
Kevin Shen
Jan Shepherd
Joe Shire
Kellie Shirley
Chook Sibtain
Alisdair Simpson
Paul Simpson
Gurjeet Singh
Jamie Sives
Paul Sockett
Mitesh Soni
Petra Söör
Gay Soper
Gavin Spokes
Kiruna Stamell
Ben Starr
David Sterne
Paul Stocker
Lisa Stevenson
Julian Stolzenberg
Stephanie Street
Clemmie Sveaas
Gavin Swift
Meera Syal
Alice Sykes
Naomi Tadevossian
Michael Taibi
Sharon Tarbet
Liya Tassisa
James Alexander Taylor
Samuel Taylor
Nicolas Tennant
Parth Thakerar
Page 64 of 66
Notes to the Financial Statements
Ben Thompson
Emma Thornett
Harriet Thorpe
Simeon Truby
Martin Turner
Tony Turner
Peter Twose
Tim Van Eyken
Rupert Vansittart
Zubin Varla
Indira Varma
Anjana Vasan
David Verrey
Olivia Vinall
Richard Vorster
Josie Walker
Niky Wardley
Patrick Warner
Lowri Walton
Daisy Waterstone
Eloise Webb
Martin Wenner
Andrew Westfield
Toby Wharton
Cath Whitefield
Scarlet Wilderink
Joseph Wilkins
Jessica Williams
Shaun Williamson
Victoria Willing
Sam Wilmott
Arthur Wilson
Kyron Wilson
Roger Wilson
Tom Wilton
Susan Wokoma
Simon Wolfe
Fiona Wood
Gary Wood
Tracey Ann Wood
Vivien Wood
Andrew Woodall
Sarah Woodward
Jane Wymark
Andi Xhuma
Julie Yammanee
Miles Yekinni
Sargon Yelda
Sunny Yeo
David Yip
Assad Zaman
Shane Zaza
The Show Musicians
Robert Ames
Corin Buckeridge
Alan Brown
Joby Burgess
Sarah Crisp
Page 65 of 66
Notes to the Financial Statements
Neil Crossley
Kaviraj Singh Dhadyalla
Patrick Dodds
Zands Duggan
Tom Ellis
Chris Fish
Christian Forshaw
Thomas Gould
Matthew Gunner
Simon Haram
Richie Hart
Richard Harwood
Felix Higginbottom
Theo Jamieson
Robin Jeffrey
Nawazish Khan
Torquil Munro
Adam Pleeth
Colin Rae
Llinos Richards
Vikaash Sankadecha
Oliver Seymour-Marsh
Magnus Metha
Andrew Simmonds
Billy Stookes
Fraser Tannock
Alan W Taylor
Judith Templeman
Philip Murray Warson
Ian Watson
Kate Wilkinson
Ben Woodgate
Page 66 of 66