British Land : Annual Report and Accounts 2021

Places

People

Prefer

Annual Report and Accounts 2021

112 Report of the Nomination Committee

116 Report of the Audit Committee​

122 Directors' Remuneration Report

144 Directors' Report and additional disclosures

147 Directors' responsibilities statement

The accounting policies used are otherwise consistent with those contained in the Group's previous Annual Report and Accounts for the year ended 31 March 2020. The Group's interests in joint ventures and funds are shown as a single line item on the income statement and balance sheet and all subsidiaries are consolidated at 100%.

Management considers the business principally on a proportionally consolidated basis when setting the strategy, determining annual priorities, making investment and financing decisions and reviewing performance. This includes the Group's share of joint ventures and funds on a line-by-linebasis and excludes non-controllinginterests in the Group's subsidiaries. The financial key performance indicators are also presented on this basis. Refer to the Financial review for a discussion of the IFRS results. We supplement our IFRS figures with

CONTENTS

Strategic Report

1. Places People Prefer
2. 2021 Key figures
3. Investment case
4. Our portfolio

1. Chairman's Statement

1. Chief Executive's Review

1. How we deliver value

1. Vision
2. The priorities for our business

1. Our development pipeline

1. Market drivers

1. Our key performance indicators

1. Stakeholder engagement

1. People and culture

1. Sustainability

48 Task Force on Climate-Related Financial Disclosures (TCFD)

52 Streamlined Energy and Carbon Reporting (SECR)

1. Non-financialreporting disclosure​

1. Performance Review

1. Financial Review

1. Financial policies and principles

78 Managing risk in delivering our strategy

82 Principal risks

88 Viability statement

Corporate Governance	Financial Statements
90	Board of Directors​	149	Report of the auditors
93	Governance at a glance	160	Primary statements and notes
94	Chairman's introduction	211	Company balance sheet
96	Governance Review	223	Supplementary disclosures
101	Key investor relations activities
	during the year	Other Information
102	Key themes for the year
229	Other information (unaudited)
103	Board activity
104	Stakeholder engagement statement​	235	Sustainability performance
108	Workforce engagement statement		measures
237	Ten year record
110	Report of the Corporate Social
238	Shareholder information
	Responsibility Committee

Presentation of financial information

The financial statements for the year ended 31 March 2021 have been prepared on the historical cost basis, except for the revaluation of properties, investments classified as fair value through profit or loss and derivatives. 'The financial statements are prepared in accordance with the International Financial Reporting Standards ('IFRS') and the relevant legal provisions as required by the Companies Act 2006. In addition to complying with IFRS, the consolidated financial statements also comply with international financial reporting standards adopted pursuant to Regulation (EC) No 1606/2002 as it applies in the European Union. In the current financial year the Group has adopted a number of minor amendments to standards effective in the year issued by the IASB, none of which have had a material impact on the Group.

non-GAAP measures, which management uses internally. IFRS measures are labelled as such. See our supplementary disclosures which start on page 223 for reconciliations, and the glossary found at britishland.com/glossary.

Integrated reporting

We integrate social and environmental information throughout this Report in line with the International Integrated Reporting Framework. This reflects how sustainability is incorporated into our placemaking strategy, governance and business operations.

Our industry-leading sustainability strategy is a powerful tool to deliver lasting value for all our stakeholders.

This Report was signed off by the Board on 25 May 2021.

5 British Land Annual Report and Accounts 2021

Places People Prefer

Our purpose is to create and manage outstanding places which deliver positive outcomes for all our stakeholders on a long term, sustainable basis.

We do this by understanding the evolving needs of the people and the organisations who use our places and the communities who live around them.

This year has demonstrated the importance of our purpose like never before. The deep connections we have created between our customers, communities, partners and people have endured, helping us navigate a unique year.

Visit britishland.com for more information

100 Liverpool Street

British Land Annual Report and Accounts 2021

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2021 KEY FIGURES
Underlying EPS		Dividend per share	Total accounting return
18.8p		15.04p	(15.1)%
2020: 32.7p		2020: 15.97p	2020: (11.0)%
IFRS EPS		EPRA NTA per share	GRESB rating
(111.2)p		648p	5*
2020: (110.0)p		2020: 773p
Underlying Profit		IFRS net assets	Average embodied carbon in developments
£201m		£5,983m	640kg CO2e per sqm
2020: £306m		2020: £7,147m
IFRS loss after tax		Senior unsecured credit rating	Beneficiaries from our
			community programmes
£(1,083)m		A	23,024
2020: £(1,114)m		2020: A

100 Liverpool Street

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INVESTMENT CASE

1.	The scale and quality	Assets under management	Total floor space
£12.7bn	21.5m sq ft
of our portfolio
	Our Campuses provide modern, sustainable
	space in great buildings with an engaging
	public realm. Retail & Fulfilment focuses
	on our retail parks and urban logistics which
	are aligned to the growth of convenience
	and online shopping.
	Read about our places on pages 4-5
	Our operational
2. expertise	Net zero carbon by	Expertise in our team
2030	613 people

Our expertise across investment, development, asset management, financing and sustainability enabled us to navigate a challenging year and pursue growth and value opportunities.

Read about our people on pages 26-27 and 36-39

3. Aligned to growth and value opportunities

Our strategy is aligned to growth areas and value opportunities. We are leveraging our competitive strengths to invest behind two strategic themes, our Campuses and Retail & Fulfilment.

Read more about our strategy on pages 14-27

Retail & Fulfilment portfolio	London campuses
53%	100+
retail parks	acres

4. developmentAttractive	pipeline	9.3m sq ft	32.0%
		Development pipeline	Loan to value

and financial strength

Our development pipeline includes opportunities on our portfolio which we supplement through acquisition. We have a strong balance sheet and work with partners to mitigate risk and accelerate returns.

Read about our pipeline of developments on pages 20-21

British Land Annual Report and Accounts 2021

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