Canal Boat - - Canal Boat News -

The Canal & River Trust’s com­mer­cial in­vest­ments pro­duced a fi­nan­cial re­turn that was ahead of in­fla­tion and bet­ter than the mar­ket bench­mark – and the Trust has man­aged its prop­erty in line with its poli­cies and plans as agreed with the Gov­ern­ment when CRT was set up in 2012. These are the con­clu­sions of the an­nual re­port by the Pro­tec­tor, whose role is to mon­i­tor CRT’s com­pli­ance with its 2012 Grant Agree­ment with the Gov­ern­ment.

Most of CRT’s com­mer­cial as­sets are in prop­erty: £657.9m worth of prop­erty brought in a to­tal re­turn of 10.6 per­cent (com­pared to the mar­ket re­turn of 10 per­cent), split roughly 50/50 be­tween rental in­come and in­creased cap­i­tal value. Non-prop­erty in­vest­ments (which CRT moved into a few years ago as a way of di­ver­si­fy­ing) did less well, at 5 per­cent (com­pared with the mar­ket re­turn of 7.5 per­cent), but this only ac­counts for a rel­a­tively small pro­por­tion of CRT’s port­fo­lio, and Pro­tec­tor Mal­colm Naish blames the ap­par­ently poorer per­for­mance on cur­rency fluc­tu­a­tions. Over­all, the Pro­tec­tor con­cludes that “CRT have man­aged the as­sets in ac­cor­dance with the Group In­vest­ment Pol­icy”, which is in line with the Grant Agree­ment.

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