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Annual Report and Accounts 2025
Big Yellow Group PLC
Building for the future...
Get some space in your life.
™
2 2025 Highlights
4 Building for the Future
6 Supporting Business Growth
8 Service and Security
10 Innovating Now
12 Our Nationwide Network
14 Chairman’s Statement
18 Strategic Report
18 Chief Executive’s Statement
20 Our Strategy
22 Our Investment Case
24 Our Key Performance Indicators
26 Operating Review
31 Portfolio Summary
33 Our Big Yellow Stores
38 Financial Review
44 Principal Risks and Uncertainties
57 Section 172 Statement
58 Environmental, Social and Governance Report
75 SGS Assurance Statement on the ESG Report
Contents
78 Governance Report
78 Executive Chairman’s Introduction
79 How We Are Structured
80 Directors, Officers and Advisers
83 Corporate Governance Report
90 Nominations Committee Report
94 Sustainability Committee Report
96 Remuneration Committee Report
120 Audit Committee Report
124 Directors’ Report
129 Statement of Directors’ Responsibilities in Respect
ofthe Annual Report and the Financial Statements
130 Financial Statements
130 Independent Auditor’s Report to the
Members ofBigYellow Group PLC
138 Consolidated Statement of Comprehensive Income
139 Consolidated Balance Sheet
140 Consolidated Statement of Changes in Equity
141 Consolidated Cash Flow Statement
142 Notes to the Financial Statements
179 Company Balance Sheet
180 Company Statement of Changes in Equity
181 Notes to the Financial Statements
185 Glossary
187 Ten Year Summary
The Report was approved by the Board of Directors on 19 May 2025
and signed on its behalf by:
Jim Gibson
Chief Executive Officer
John Trotman
Chief Financial Officer
We are the UK’s brand
leader in self storage, driven
by our portfolio of modern,
purpose-built stores in high
profile locations across the UK.
We are committed to growing a sustainable and responsible
business through innovation in our stores and with
a continual investment in our people to deliver
exceptional customer service.
Annual Report and Accounts 2025 Big Yellow Group PLC 1
Profit before tax
(4)
£203.9m (15%)
£241.0m
Cash flow from operating
activities(after net finance costs and
pre-working capital movements)
(3)
£111.9m +2%
£110.1m
Basic earnings per share
(4)
103.2p (19%)
127.1p
Financial metrics
Revenue
(4)
£204.5m +2%
£199.6m
Store revenue
(1)
£203.1m +3%
£19 7.1m
Like-for-like store revenue
(1,2,6)
£200.7m +2%
£196.2m
Store EBITDA
(1)
£143.2m 0%
£143.0m
2025 Highlights
Big Yellow has once again proved itself to be resilient with an 8% increase in adjusted
profit before tax.
Highlights
2025 2024
Statutory metrics
Adjusted profit before tax
(1,7)
£115.6m +8%
£107. 3m
Adjusted earnings per share
(1,8)
57.8p +3%
55.9p
Dividend final
23.8p +5%
22.6p
Dividend total
(4,5)
46.4p +3%
45.2p
Annual Report and Accounts 2025 Big Yellow Group PLC2
Highlights
– Store revenue growth of 3.0%, with like-for-like store revenue up
by2.3%, driven by increases in average achieved rents
– Like-for-like occupancy increase of 0.1 ppt to 79.1%
(March2024:79.0%). Closing occupancy up 0.4 ppts
– Average achieved net rent per sq ft increased by 3% year on year,
closing net rent up 3% from March 2024
– Like-for-like store operating cost increase fell from 10% in the first
half to 4% in the second half, averaging 7% for the year
– Overall store EBITDA was up £0.2 million compared to the prior year,
with the growth in revenue largely offset by the increase in store
operating costs
– Cash flow from operating activities (after net finance costs and
pre-working capital movements) increased by 2% to £111.9 million
– Adjusted profit before tax up 8% to £115.6 million, adjusted earnings
per share up 3% to 57.8p reflecting the dilutive impact of the equity
raise in October 2023
– A 3% increase in full year dividend to 46.4 pence per share in line with
adjusted eps growth
– Statutory profit before tax of £203.9 million, down from £241.0 million
in the prior year, due to a lower revaluation surplus in the year
Store maximum lettable area (“MLA”)
(1)
6,421,000 0%
6,419,000
Closing occupancy (sq ft)
(1)
5,056,000 +1%
5,029,000
Closing occupancy
(1)
78.7% +0.4 ppts
78.3%
– £4 million invested in the year on solar retro-fit, 78 stores now have
solar with a 29% increase in capacity in the year to 8.5 Megawatts.
Alldirectly owned stores will have EPCs of A+, A or B by the end of 2026
– Opened a new 65,000 sq ft freehold store in July 2024 in Farnham Road,
Slough, and closed the existing leasehold store, saving £0.4 million
annual rent. The new store achieved 81% occupancy at 31 March 2025,
and is trading at the same revenue as the previous store
– Acquired freehold sites in Leamington Spa and Coventry
(thelatterpost year end), taking the pipeline to 13 development
sites and one replacement store of approximately 1.0 million sq ft
(16% ofcurrent MLA), of which 10 are in, or within close proximity
to, London. 1.4 million sq ft of fully built vacant space is currently
available for future growth
– Planning consent granted for key London proposed stores at
WestKensington, Kentish Town (both at appeal) and Staples Corner;
wenow have 10 of our 14 pipeline stores with planning
– Disposal of land adjacent to our Battersea store for £30.9 million,
combined with post dividend cash flow, this largely offset capital
expenditure of £58.3 million; closing net debt £388.7 million
(2024:£385.4 million).
(1)
See note 33 for glossary of terms
(2)
Excluding Kings Cross (opened June 2023)
(3)
See reconciliation in Financial Review
onpage 41
(4)
Statutory metric
(5)
The dividend paid in the year is all
PropertyIncome Distribution (“PID”)
(6)
See reconciliation in Portfolio Summary
on page 32
(7)
See reconciliation in note 10
(8)
See reconciliation in note 12
Store metrics
Closing occupancy
like-for-like stores (%)
(1,2,6)
79.1% +0.1 ppt
79.0%
Average net rent per sq ft
(1)
£34.71 +3%
£33.64
Closing net rent per sq ft
(1)
£35.17 +3%
£34.14
Annual Report and Accounts 2025 Big Yellow Group PLC 3
Building for the Future
Our next generation of stores
The expansion of new stores is crucial for Big Yellow's future growth, especially in
London where site acquisition and development opportunities are scarce.
We are currently on site at nine projects, all of which are within the M25, orwithin
closeproximity. Once fully operational over the next three years, thesedevelopments
along with the other five sites in our pipeline, will add an additional 1,033,000 sq ft of
revenue-generating storage capacity.
Our new Wapping store is immediately adjacent to the existing
BigYellow Wapping store. It will have significant roadside visibility,
located on The Highway, just half a mile east of the Tower of London.
Tobacco Dock and London Dock, which are both currently undergoing
redevelopment to residential apartments, are close by.
The new store consists of 130,000 net sq ft of storage over
seven floors as well as flexi offices. We are targeting a BREEAM
accreditation of Excellent.
The site itself is in an area of historical interest, close to a main
Roman and Medieval thoroughfare. An archaeological dig was
undertaken in cooperation with Historic England, prior to any
construction starting. Although no physical historical foundations
have been found, many artefacts have been recovered and sent
away for dissemination.
A new central London store in Wapping
Artist's impression of our new Wapping store.
Annual Report and Accounts 2025 Big Yellow Group PLC4
Our development sites with
planningconsent
Location
Status
Staines,
London
Construction commenced
with store opening in July
2025. We are also developing
9 industrial units on the site
totalling 99,000 sq ft.
Queensbury,
London
Construction commenced
with store opening in
October 2025.
Wembley,
London
Construction commenced in
late 2024 with store opening
in March 2026.
Slough,
Bath Road
Construction commenced
with store opening in
spring 2026.
Epsom,
London
Construction commenced
with store opening in
summer 2026.
Staples Corner,
London
Construction commenced
with planned store opening
in summer 2026.
Kentish Town,
London
Demolition commenced,
with a planned store opening
in autumn 2026.
Wapping,
London
Construction commenced
with store opening in
late 2026.
West Kensington,
London
Demolition of existing
building to commence this
year, with a store opening
anticipated in summer 2028.
Newcastle
Planning consent granted,
vacant possession awaited.
Our eye-catching new
storeatStaples Corner
We are delighted to be building a new freehold store on the
site of a former car showroom. This will replace our current
leasehold Staples Corner location, where we have been
trading for 25 years.
This prominent new site is located close to the Brent Cross
Shopping Centre and next to the junction of the A5 and North
Circular. We have designed an iconic, landmark building for
this highly visible site.
We are excited about the eye-catching design of this new
store, which will comprise 135,000 sq ft of storage space
across five floors plus flexi offices. Planning was approved
in July 2024 and demolition and site clearance have already
been completed, with a view to the store opening in the
summer of 2026.
Artist's impression of our new Staples Corner store.
Annual Report and Accounts 2025 Big Yellow Group PLC 5
Without Big Yellow and our supportive business services, many start-ups
would struggle to get off the ground due to the few alternatives in finding
flexible space outside of traditional warehousing.
The growing number of small businesses, many of which are selling
online, have emerged across the UK, driven by today’s secure and reliable
payment systems and the growth of easy-to-use online marketplaces.
Our stores are the perfect place to run a business from. Business
owners can work directly from their storage rooms, managing their
stock, plugging in a laptop and printer to fulfil orders and dealing with
returns and exchanges. Many businesses also use their units for the
photography of stock for websites and live streaming to help market
themselves on social media.
Big Yellow is unmatched in terms of space and flexibility. With no long
leases and no business rates to pay, small business owners can upscale
or downscale and benefit from having deliveries accepted by store teams
when they are not around. Our onsite teams are also vital to support our
business customers with forklifting and arranging courier services too.
This is a crucial service which many of our competitors cannot offer this
growing audience.
Supporting Business Growth
Our unique service
Big Yellow provides a helping hand and acts as an incubator to many small businesses
across the UK. Whether they are just starting out or if they are well established and
outgrowing their current location, we provide a risk-free solution to help people set up
or expand their businesses.
Flexibility and low risk
No long term leases, store from one week, no business rates to pay.
Unrivalled security
Individually alarmed rooms, PIN access, 24 hour CCTV, staff on site
seven days aweek, perimeter fencing.
Business support services
Accepting deliveries, forklifting and arranging courier services.
Flexible access hours
Out of hours access for our business customers.
Free, large car parks and loading bays
Easy access for delivery lorries.
Dedicated office space
At 30 locations.
National Customer Service
For customers with multi-location requirements.
Annual Report and Accounts 2025 Big Yellow Group PLC6
I rented some retail space before
coming to Big Yellow and any
changes meant getting signatures
witnessed on lease agreements by
lawyers – it was more expensive and
more of a headache. Big Yellow is
way more convenient, cheaper
and easier in every way.”
Ben Russell, Owner, Rusbenja Pops
Working with Big Yellow means
that we have predictable monthly
overheads for storage and office
space. The business wouldn’t have
been able to grow in the same
way without Big Yellow.”
Joe Haycocks, MD, RSH Audio
Business storage success
with Big Yellow
Ben Russell's thriving business, Rusbenja Pops, sells around
2,500 Funko Pop vinyl collectibles monthly through various online
platforms. The company now employs three people and operates
almost entirely from Big Yellow. Rusbenja Pops currently occupies
650 square feet across two units, which serve as both mini
warehouse and office space.
Ben has transformed his storage into a complete business hub
by installing phone lines and Wi-Fi, enabling his team to handle
everything from inventory management to order fulfilment
and livestreaming to showcase his products. The entrepreneur
particularly values Big Yellow's security features, which include
PIN entry and individually alarmed rooms, giving him peace of
mindabout his inventory.
Ben appreciates that his Big Yellow storage space is reasonably
priced without hidden costs. "You don't have to worry about things
like electricity bills or business rates that come with leasing a
building or retail space," he notes. The flexibility of Big Yellow has
proven crucial for his growing business.
“It is the convenience and flexibility of Big Yellow which have been
awesome”, he says, “I rented some retail space before coming to
Big Yellow and any changes meant getting signatures witnessed
on lease agreements by lawyers – it was more expensive and way
more of a headache. Being at Big Yellow is way more convenient,
cheaper and easier in every way. It has been a godsend to us as
a small business.” Ben strongly recommends Big Yellow storage
space to other entrepreneurs: "To anyone interested in turning a
side hustle or hobby into a business, I would recommend taking
space so that work doesn't encroach on the rest of your life."
Annual Report and Accounts 2025 Big Yellow Group PLC 7
Unrivalled customer service
Recruiting the right people, a continuous investment in training and the
engaged culture of the business are critical to our continued success of
delivering unrivalled customer service. We are proud of our people who
put the customer at the heart of the business.
Our staff are onsite seven days a week and work hard to understand the
needs of our customers. We have over 27,700 Google Reviews averaging
4.7 and our customer surveys in the year have given us an outstanding
NPS score of 82.8. This genuine feedback is testament to the consistency
of our customer service.
Security matters
As the market leading self storage operator in the UK, we take the
security of our customers and their possessions seriously.
Our security protocols are regularly reviewed and we continue to invest
inthe security of our stores. Presently, this is through individually
alarmed rooms, PIN code access and digital CCTV monitored 24/7.
Secure,phone app access is also now being trialled at some of our
locations. We also restrict which customers have access to our sites
when no one is present.
We carry out identity checks on every new customer through our
onboarding process. Our store teams are vigilant and we are not
afraidtoturn away potential customers if things look suspicious.
Service and Security
Unrivalled customer service
Our friendly and helpful store teams deliver the very best standards in customer
service. This, coupled with our market leading security, are some of the key reasons
why people choose Big Yellow.
We love Big Yellow because we can
open more space or close space
down to suit our stocking profile at
different times of the year. The units
are totally secure and the staff offer
a fantastic service, not only to us,
but also to our visiting customers,
couriers and trading partners.”
Dan Humphries, Owner, Drumazon
Annual Report and Accounts 2025 Big Yellow Group PLC8
4.7 out of 5
Trustpilot: 4754 Reviews.
Rated “Excellent”
Exemplary customer feedback
82.8 NPS
Net Promoter Score
Customer at Big Yellow, Milton Keynes
The units of storage are very neat and the staff are extremely knowledgeable, friendly and helpful. From reservations
to booking in and storing. Everything was seamless without any hassle.The team were very helpful with their
impressive customer service skills. I totally would recommend Big Yellow Self Storage 100%.
Customer at Big Yellow, Brighton
Exceptional service from start to finish! The team at Big Yellow Self Storage has been incredibly efficient, professional
and attentive to all my needs. The facility is clean, secure and well-maintained, making it easy to access my
belongings whenever needed. Highly recommend Big Yellow Self Storage for their outstanding customer service
and reliable storage solutions!
Annual Report and Accounts 2025 Big Yellow Group PLC 9
Slough: leading the way in sustainability
and innovation
Largest rooftop solar
Big Yellow Slough, Farnham Road features a 200 kWp solar system, our
largest rooftop solar installation to date at any Big Yellow store. 78 of our
stores now have solar generation as part of our sustainability strategy.
Latest battery technology
The electricity generated from our solar panels charges our onsite
battery, which can store enough energy to power the store for ten hours
when the sun isn't shining. In addition, the extensive rooftop installation
reduces the need to purchase electricity from the grid.
Built-in sustainability
Like most Big Yellow stores, we have low energy LED lighting throughout
the store, EV charging points for customers and our store teams,
water-saving low flow taps and our packing materials are made of recycled
cardboard. Wehave also reduced single-use plastics where possible.
Biodiversity initiatives such as bat and bird boxes have been installed plus a
heart defibrillator to help save lives. Our receptions feature digital signature
pads to make our stores as paper-free as possible.
Smart access technology
At Slough, we are also testing an innovative phone-based access system.
Customers can use our dedicated mobile app to gain access to the main
gates, storage areas and lifts without having to enter their PIN codes.
Thiscontactless solution not only streamlines the customer experience
but also provides an additional layer of security.
Innovating Now
Future-proofing our stores
In July 2024, we opened our first newly built net zero facility in Slough, Farnham Road.
This features our largest solar PV installation on a Big Yellow store to date which has
helped it achieve a rare EPC rating of -9 A+.
Annual Report and Accounts 2025 Big Yellow Group PLC10
A battery storing rooftop solar energy at our Slough store.
Annual Report and Accounts 2025 Big Yellow Group PLC 11
We now have a portfolio of 109 modern and purpose-built stores, with a further
14inour development pipeline.
Our Nationwide Network
A London focus
We carefully select highly visible locations for our stores,
enhancing our industry-leading brand recognition across the UK.
London remains the cornerstone of our growth plan, with eight
of the nine current construction projects concentrated in the
capital. These new stores are scheduled to open in the next three
years, strengthening our metropolitan presence.
Poole
Oxford x2
Swindon
Guildford Slyfield
Guildford Central
Camberley
Reading
Slough
High Wycombe
Bracknell
Nottingham
Norwich
Brighton
Tunbridge Wells
Cheltenham
Southend
Chelmsford
Chester
Sheffield Parkway
Sheffield Westbar
Sheffield Hillsborough
Hull
Grimsby
Stockport
Manchester
Leeds
Liverpool South
Liverpool
Liverpool Aintree
Liverpool North
Morecambe
Edinburgh
Dundee
Newcastle
Canterbury
Cardiff
Gloucester
Bristol
Central
Bristol
Ashton Gate
Portsmouth
Exeter
Torquay
Hove
Stockton Central
Stockton South
Newcastle
Aberdeen
Plymouth
Sheffield Bramall Lane
Gateshead
Warrington
London
Colchester
Peterborough
Derby
Cambridge
Luton
Milton Keynes
Birmingham
Stoke-on-Trent
Macclesfield
Daventry
Leicester
Leamington Spa
Coventry
Battersea, November 2020
Wembley, March 2026Harrow, September 2022
Kings Cross, June 2023
Annual Report and Accounts 2025 Big Yellow Group PLC12
London
Poole
Oxford x2
Swindon
Guildford Slyfield
Guildford Central
Camberley
Reading
Slough
High Wycombe
Bracknell
Nottingham
Norwich
Brighton
Tunbridge Wells
Cheltenham
Southend
Chelmsford
Chester
Sheffield Parkway
Sheffield Westbar
Sheffield Hillsborough
Hull
Grimsby
Stockport
Manchester
Leeds
Liverpool South
Liverpool
Liverpool Aintree
Liverpool North
Morecambe
Edinburgh
Dundee
Newcastle
Canterbury
Cardiff
Gloucester
Bristol
Central
Bristol
Ashton Gate
Portsmouth
Exeter
Torquay
Hove
Stockton Central
Stockton South
Newcastle
Aberdeen
Plymouth
Sheffield Bramall Lane
Gateshead
Warrington
London
Colchester
Peterborough
Derby
Cambridge
Luton
Milton Keynes
Birmingham
Stoke-on-Trent
Macclesfield
Daventry
Leicester
Leamington Spa
Coventry
LONDON
Romford
Ilford
Dagenham
Barking
West Norwood
Balham
New Cross
Byfleet
Croydon
Orpington
Beckenham
Bromley
Sutton
Kingston
New Malden
Battersea
Kingston North
Kennington
Sheen
Fulham
Richmond
Twickenham x2
Hounslow
Chiswick
East Finchley
Bow
Edmonton
Enfield
Hanger Lane
Ealing
Gypsy Corner
West Molesey
Nine Elms
Camberwell
Kings Cross
Wembley
Harrow
Staines
West Kensington
Uxbridge
Hayes
Epsom
Kentish Town
Eltham
Wapping
Old Kent Road
North Finchley
Queensbury
Wandsworth
Tolworth
Watford
North Kensington
Staples Corner
Merton
KEY
85 Big Yellow stores (47 in London)
14 Big Yellow stores under
development (9 in London)
24 Armadillo stores (1 in London)
Annual Report and Accounts 2025 Big Yellow Group PLC 13
Financial results
We have delivered a resilient operating performance in the year to March,
with occupancy stabilised and further growth in net rents. This resulted
in a 3% increase in store revenue, and a return to adjusted eps growth for
the year.
We are pleased to have delivered a significant reduction in like-for-like
store operating expense inflation from 10% in the first half of the year to
4% in the second half. Additionally, given our flexible hedging strategy,
the Group has benefited from a 9% fall in annual interest expense from
the previous year.
Revenue for the year was £204.5 million (2024: £199.6 million), an
increase of 2%, with store revenue up 3%. Like-for-like store revenue
(which excludes new store openings) was up 2% driven by improvements
in average net rent. Store EBITDA was £143.2 million, an increase of
£0.2 million from the prior year (2024: £143.0 million).
The adjusted profit before tax in the year was £115.6 million up 8% from
£107.3 million in 2024. Adjusted earnings per share increased by 3% to
57.8p (2024: 55.9p), with the additional shares in issue following the
October 2023 placing impacting the first half of the year.
The Group’s cash flow from operating activities (after net finance costs
and pre-working capital movements) increased by £1.8 million (2%) to
£111.9 million for the year (2024: £110.1 million).
The Group’s statutory profit before tax was £203.9 million, a decrease
from £241.0 million in the prior year. There was a revaluation surplus for
the current year of £79.7 million, compared to a surplus of £131.2 million
in the prior year.
Development pipeline
During the year we opened a new 65,000 sq ft freehold store in Slough
and closed the existing leasehold store, saving £0.4 million annual rent.
The new store achieved 81% occupancy at 31 March 2025, and is trading
at the same revenue as the previous store. Slough Farnham Road is our
first net zero store, with a solar PV installation of 200 kWp (our largest
to date), with battery storage for the energy we generate, resulting in
an EPC rating of A+.
We have acquired two development sites since the last year end. In May
2024, in Leamington Spa for £3 million, that will also serve the university
town of Warwick, and in April 2025 in Coventry for £2.5 million.
We have been successful in achieving three key planning consents
inLondon during the year; at West Kensington, Kentish Town and
at Staples Corner. The store in West Kensington will be only the
second purpose-built self storage facility in the London Borough of
Hammersmith & Fulham, alongside our Fulham store, with Kentish Town
being the first purpose-built store in the London Borough of Camden.
These, along with the other sites in the pipeline, are very high-quality
locations, and will help consolidate our market-leading platform.
Wenowhave planning consent on 10 of our 14 development sites.
We are currently constructing nine new stores all in London or its
conurbation towns at an approximate cost of £161 million which can
comfortably be funded from cash flow, surplus asset sales and our
existing debt facilities.
The projected net operating income of the increase in our total capacity
of 1.0 million sq ft when stabilised, at today’s prices, is £32.5 million
representing an approximate 15% return on the incremental capital
deployed. If we include the replacement store at Staples Corner, due to
open in summer 2026, the proforma net operating income increases to
£36.6 million, a return of approximately 8.7% on the total development
cost of approximately £422 million, including land already acquired.
Thetotal cost to complete is £232 million.
Capital structure
It remains our view that elevated levels of debt over cycles destroys
value and hence our strategy is to maintain debt at modest levels.
TheGroup’s interest cover for the period (expressed as the ratio of
cashgenerated from operations pre-working capital movements
againstinterest paid) was 6.1 times (2024: 5.6 times), with the
Group’snet debt to EBITDA ratio now 3.1x (2024: 3.0x).
Net debt was £388.7 million at 31 March 2025 (2024: £385.4 million),
and the Group has undrawn committed facilities of £175 million.
Approximately 47% of our debt is fixed, with the balance floating, in line
with our hedging policy, and our current average cost of drawn debt is
5.0%, with any further cuts in interest rates benefitting next year.
The Group owns its assets largely freehold, representing some 99%
by value of our portfolio (including long leasehold stores) which has
shieldedus from the significant rise in industrial and warehouse rents
that has occurred over the last decade or more. We view rent liabilities as
quasi-debt. Following the closure of Farnham Road, Slough last summer
and Staples Corner in due course to a new freehold store, we expect our
total rent liability to fall to approximately £1.1 million per annum.
Dividends
The Group’s dividend policy is to distribute a minimum of 80% of full
year adjusted earnings per share. The final distribution of PID declared
is 23.8 pence per share. This brings the total distribution declared for
the year to 46.4 pence per share, an increase of 3% from the prior year
(2024:45.2p).
Big Yellow Group PLC (“Big Yellow”, “the Group” or “the Company”), the UK’s
brandleader in self storage, is pleased to announce its results for the year
ended 31 March 2025.
Chairman’s Statement
Annual Report and Accounts 2025 Big Yellow Group PLC14
Our people
As we announced last year, John Hunter joined the business as COO in
April 2024 and has made a very successful start to leading day-to-day
operations and I am pleased to confirm that John will be formally joining
the Board with effect from the Group’s AGM this July.
We believe that any successful business requires the creation of a
fully engaged employee culture, and this remains a key focus within
Big Yellow. Our resilient performance is a testament to our highly
committed and motivated employees who operate throughout the
business, whether in the stores or in head office.
Delivering outstanding customer service is a key success factor in our
historic and future growth. Our customer net promoter scores (“NPS”)
were an average of 82.8 (2024: 80.5) over the year and demonstrated
a further improvement on already high standards. NPS scores at those
levels are exceptionally unusual and reflect the strong culture within
thisbusiness.
On behalf of the Board, I would like to thank all our people for their
dedication and support, which has been instrumental in driving our
performance and sustained growth.
Outlook
We are pleased to have reported another set of results that are testament
to the underlying resilience of our business. We delivered another year
of revenue growth and achieved a return to growth in adjusted earnings
per share, even when considering the dilutive effects of the placing in
October 2023.
The elevated levels of macroeconomic uncertainty since the beginning of
April have impacted confidence and led to some softening of demand and
some loss of occupancy, however, rate growth materially outperformed
the same period last year resulting in revenue growth of 3% since the year
end. We expect our underlying store operating cost inflation to fall further
from the 4% seen in the second half of the year, notwithstanding the
impact of the recent rise in Employer’s National Insurance.
The Group maintains a low absolute level of debt, which allows flexibility
in our hedging strategy, with £210 million of floating rate debt, hence
we are, and expect to continue, benefiting from short-term interest
ratereductions.
Our decision a decade or so ago to develop the next phase of new stores,
with a focus on London, continues to bear fruit. Ten stores have opened in
the last five years, with three due to open this year and five the year after.
We are in the process of clearing the pre-start planning conditions on our
site in Kensington Olympia, following which we will commence demolition
of the existing building and construction of its replacement. This will be
the most important project the Group has embarked on, close to one of
the wealthiest and most densely populated areas of Central London.
We expect this next phase of store openings (eight of which are in
London) to make a material contribution to both revenue and earnings
inthe reasonably near future.
Our strategy remains much as it was 25 years ago; build the best quality
freehold stores in the best locations, with the highest barriers to entry,
focusing on operational excellence, with low debt to deliver compounding
growth in earnings and cash flow.
Nicholas Vetch CBE
Executive Chairman
19 May 2025
Annual Report and Accounts 2025 Big Yellow Group PLC 15
Trading
We are pleased to have delivered another year of revenue growth and
achieved a return to growth in adjusted earnings per share, even when
considering the dilutive effects of the placing in October 2023. The first
half of the year saw subdued activity levels as we navigated uncertainty
created by the general election and the resulting change in government.
However, we saw stronger trading in the second half, which resulted in a
recovery in like-for-like occupancy (up 0.1 ppt by March 2025).
We delivered rental growth, both to new and existing customers, albeit
moderated compared to the prior year. This resulted in closing net rent
growth of 3% in the year, which, based on a stable occupancy position,
translated into 3% growth in store revenue. After a period of inflationary
pressure on our cost base in recent years, we have seen underlying
increases in our operating costs moderate through the year, down to a
4% increase in the second half. If we look back over the past three years,
the business has navigated through the Russian invasion of Ukraine and
resultant energy crisis, high inflation and the impact on the cost of living,
higher interest rates and periods of political instability. Throughthis
three-year period, after absorbing increasing interest rates and operating
costs we delivered growth in revenue and adjusted profit of 19% and
adjusted earnings per share growth of 10%, the latter impacted by
the dilutive effect of the issue of new shares. This demonstrates the
resilience of our business and validates our continued investment in
further growth in our store portfolio.
We continue to see demand spread across a diverse set of drivers.
However, the largest driver of demand remains from domestic customers
renting storage space whilst moving home (41% of move-ins during the
year). We saw some increase in activity in our last quarter as house
buyers sought to complete their purchase prior to the changes to the
Stamp Duty thresholds from 1 April. We also saw an increase in move-ins
from business customers (up 2% year on year), many of whom are
online retailers or B2B traders looking for flexible mini-warehousing
for e-fulfilment. Demand from national customers (5% of our occupied
space) continues to be robust, with revenue growth of 11% year-on-year.
Businesses occupy 36% of our occupied space overall.
We are pleased to have delivered another year of revenue growth and achieved a
return to growth in adjusted earnings per share, even when considering the dilutive
effects of the placing in October 2023.
Chief Executive’s Statement
Investment in our operating
platformandsystems
Providing our customers with a safe and secure space for their
possessions is our core purpose. Accordingly, we continue to invest in
the technology and physical security of our stores, whilst recognising the
important role our store teams play in providing a reassuring presence
during normal opening hours. This is a dual approach to achieving an
accessible and secure environment for our customers.
In addition to physical security features, such as perimeter fencing,
keypad-controlled gates and lighting enabled by motion detectors,
we provide individually alarmed rooms, 24-hour CCTV and overnight
monitoring of our stores. We are increasingly using data and AI to help
detect unusual behavioural patterns that alert either our store teams
or our overnight monitoring service to suspicious activity. We continue
to restrict access outside of normal trading hours to approximately
15% of our customers, the majority of whom are business customers.
Mostof our customers are happy to access the store during normal
opening hours when our store teams are present. Our store teams play an
important role as the final check on who we accept into our buildings as
customers and importantly allow access to out of store opening hours.
We believe this is critical to maintaining the security of our stores, as it
cannot be replicated online.
We are trialling a mobile-based access system in three of our stores, as
an alternative to the traditional PIN code access system. Thisenables
customers to unlock gates and entry points to the store via their
Bluetooth enabled smartphone device. This has the potential to provide
a seamless and contactless experience and reduces the risk of PIN
codes being forgotten or misappropriated. Should this trial prove to
besuccessful, we will then roll this out to the wider store estate.
We continue to develop our website to drive the conversion of customers
seeking self storage (over 90% of customers come through our digital
channels), whilst enabling new customers to complete more and more of
their onboarding journey online. As in most retail and consumer service
businesses, there is a continuing trend of customers engaging digitally
with self storage operators. We continually work to identify friction
points in our online journeys, tackle these and thereby drive-up digital
conversion and engagement levels. This ensures our store teams are
focussed on dealing with any customer service issues and help drive
revenue from ancillary services in the store. For example, accepting
deliveries for business customers, packing material sales and optimising
contents cover are all revenue generating activities that rely on our store
teams to complete.
Annual Report and Accounts 2025 Big Yellow Group PLC16
We continue to automate operational tasks performed by our store
teams. We have developed our performance dashboard reporting to allow
our store managers to identify issues more easily and speed up decision
making. We have made improvements to our customer refund processes
and sped up the onboarding journey in store for new customers. We have
launched a new customer service platform, which aggregates customer
feedback, whether from our internal surveys or from external sources
(for example, Google and Trustpilot reviews). This allows us to easily see
trends in customer feedback and address any service delivery issues
even more promptly. Our use of an external data supplier to automatically
track competitor pricing has allowed us to become more efficient and
reactive to pricing adjustments. All of this has allowed us to operate more
efficiently, whilst focussing our store teams on value-adding activities.
We continue to review and invest in our cyber security platform.
We maintain our digital security standards by training our teams,
implementing best-of-breed products and technologies, enhancing
our policies and procedures, and fostering strategic partnerships.
Ourproactive approach helps us to stay ahead of potential threats
andvulnerabilities as we look to maintain the confidentiality, integrity,
and availability of our digital assets.
Our business model, combined
withcontinued investment in
ourmarket-leading brand, store
portfolioand operating platform,
hasonce again delivered a
resilientperformance over
thelast12 months.”
Annual Report and Accounts 2025 Big Yellow Group PLC 17
Strategic Report Governance Report Financial Statements
People
As ever, our continued progress as a business reflects the steadfast
commitment of our people who have worked extremely hard this year,
whether in head office or in our stores.
Over the past 12 months, the level of staff turnover and vacancies in the
business continues to be at relatively low levels. This is encouraging and
reflects the strong culture of the business, the loyalty this engenders and
our ability to attract and retain the talent we need to grow going forward.
The customer service and experience delivered by our store teams is a
differentiating success factor, particularly with those customers who
are regular users of our facilities. Our customer feedback comments
frequently refer to the excellent service delivered by specific team
members. We track our customer satisfaction levels through our
net promoter score, and our average over the year for move-ins and
move-outs was 82.8 (2024: 80.5), which demonstrates an improvement
on already very high levels of customer service.
We continue to review our store staffing structure and have not been
replacing certain positions when we see staff attrition. The continual
improvement in our digital journeys, along with automation and
improvement of in-store processes, has allowed us to safely achieve
annualised savings of £0.3 million in the year. This will help mitigate
theadditional £0.5 million cost from the increase in Employer's National
Insurance from April 2025 and we will continue to seek further reductions
in store staff headcount levels where these can be safely achieved.
However, as mentioned above, our store teams play an important role in
delivering great customer service, income from ancillary services and
maintaining the security of our stores. Whilst we continue to identify
opportunities to reduce headcount, our store team members will always
be required during our normal opening hours.
We continue to make improvements to our culture and practices in
respect of diversity, and these are set out in our latest Inclusivity
and Diversity Report, which is available on our corporate website.
OurDiversity and Inclusivity Committee continues to meet regularly,
and I am a standing member of the Committee. I believe diversity has a
positive impact on our performance and we want to ensure we have an
inclusive culture that attracts, retains and provides equal opportunity
toall our team members to drive forward our business.
Chief Executive’s Statement continued
Annual Report and Accounts 2025 Big Yellow Group PLC18
ESG
The Big Yellow Foundation helps support the rehabilitation of vulnerable
people into work. Our store teams raise funds by asking our customers
if they wish to donate to the Foundation at move-in and move-out.
Wealso generate donations from fundraising activities carried out by
our employees across the business. The Company matches all money
raised in this way. Through the generosity of our customers and the
efforts of our employees, we raised a record £444,000 in the year for
the Foundation and provided £345,000 of funding to our seven charity
partners. The total funding since the inception of the Foundation in 2018
now stands at £1.4 million.
We continue to provide free space to small local charities and community
organisations across our store estate. At present we support an average
of two charities per store this way. Our volunteering programme allows
our staff to give back to the community, with every member of staff
given one day a year to volunteer with one of our seven charity partners
or a charity of their choice. We also continue to provide 12-week work
placements in our stores to candidates from some of our Foundation
partner charities. These placements help improve confidence and work
chances for the candidates. Our store teams also enjoy working alongside
the candidates and find it rewarding to do so.
Our solar retrofit programme continues to go from strength to strength,
with our latest installation phase delivering to a further 12 stores and
1,621kWp capacity this year. This takes the total number of retrofitted
stores to 48 at a cost of £16.8 million to date. Our total solar capacity
across the estate is now 8.5 Megawatts, up from 0.7 Megawatts five
years ago.
As part of our solar strategy, we have installed a battery at our new
Slough Farnham Road store. It gives the store increased resilience
against energy cost inflation by storing and reusing energy generated
by the solar array on the store’s roof. In the nine months since opening,
67% of the energy generated onsite has been used by the Slough store
(compared to 24% across the estate), with an estimated payback on
the investment in just over nine years. We intend to further test the
performance and payback of this new initiative by installing combined
solar and battery at new stores opening this year and retrofitting
batteries at a further three stores in our current estate.
Additionally, we have started trialling lighting and heating efficiency
solutions across nine different stores to investigate further opportunities
to reduce our energy consumption and drive our emissions down.
Oncewe have evaluated the results from these trials, we will look to roll
out the successful solutions across more stores in the estate. We are
therefore making significant progress on our journey to self-generation
of our energy needs.
We continue to maintain an updated assessment of the performance
of our estate by recertifying our EPCs, even when certificates are in
date. We have updated 35 certificates to reflect the impact of our solar
installations and energy efficiency projects. We are now projected to
have all stores (bar one short leasehold) at A+, A or B by the end of 2026,
well ahead of the 2028 requirement.
Further detail, including progress on our Science Based Targets, is
included in the ESG Report.
Summary
Our business model, combined with continued investment in our
market-leading brand, store portfolio and operating platform, has
once again delivered a resilient performance over the last 12 months.
Weremain confident that this business can continue to deliver
compounding returns over the medium to long term.
Jim Gibson
Chief Executive Officer
19 May 2025
We remain confident that this
business can continue to deliver
compounding returns over the
medium to long term.”
Annual Report and Accounts 2025 Big Yellow Group PLC 19
Strategic Report Governance Report Financial Statements
Creating shareholder value
We continue to believe that the medium-term opportunity to create
shareholder value consists of driving revenue and cash flow from our
existing portfolio through continued investment in sustainability,
our people, culture, and digital operating and marketing platforms.
Inaddition, we aim to deliver external growth as new stores open through
continued investment in our development pipeline, and selectively
acquiring existing storage centres from smaller operators. As a REIT our
key financial objective is to produce sustainable returns for shareholders
through a relatively low leverage, low volatility, high distribution
business. In addition, any successful business must have an effective
sustainability strategy, particularly around climate change, and this
continues to be a key strategic focus for our business.
Real estate
A key plank of our strategy has been to build a portfolio of large
purpose-built freehold self storage centres, focussed on London, the
South East and other large urban conurbations. We believe that by owning
a predominantly freehold estate we are insulating ourselves against;
economic downturns as we operate at higher margins; adverse rent
reviews; and in the long-term possible redevelopment of key stores by the
landlord. It also provides us financing flexibility as rent is a form of gearing.
Approximately 60% of our current annualised store revenue derives from
within the M25; for London and the South East, the proportion of current
annualised store revenue is 75%. With our store development pipeline
largely in London and the South East, we would expect these proportions
to increase over the medium term.
New supply and competition is a key risk to our business model, hence
our weighting to London and its commuter towns, where barriers to entry
in terms of competition for land and difficulty around obtaining planning
are highest.
Our stores are on average 59,000 sq ft, compared to an industry average
of approximately 30,000 sq ft (source: UK Self Storage Association
2025 Annual Survey). The upside from filling our larger than average
sized stores is, in our view, only possible in large metropolitan markets.
Asour operating costs are relatively fixed, larger stores in bigger urban
conurbations, particularly London, drive higher revenues and higher
operating margins.
Capital structure
Following the Global Financial Crisis and the ensuing economic recession,
we have materially reduced the financial risk within the business and
diversified our sources of debt, whilst at the same time, increasing our
store platform by deploying significant capital investment. We measure
leverage by looking at our interest cover and that has increased from
1.9 times in 2008 to 6.1 times for the year ended 31 March 2025,
and our objective is to not let this fall below 5 times, compared to the
consolidated EBITDA covenant of 1.5 times. We also look at our debt
to EBITDA ratio, which is currently 3.1 times, and we seek to maintain
this in the range of three to four times. We manage this business on the
basis that an external economic shock could potentially happen at any
time. This is reinforced by the performance of the business during the
pandemic, where we delivered a strong trading performance whilst at
thesame time continuing to invest and expand.
Self storage demand drivers
Economic activity and change are key drivers of self storage demand and
are greatest in the larger urban conurbations, and in particular London
and the South East. The structural changes consisting of the conversion
of ex-industrial brownfield land to other uses, in particular residential;
the reduction in home ownership and increased proportion of those
choosing to rent; increasing density of living with new properties being
built with optimised living space and very little provision for storage;
will continue and will increase demand for our product. These changes
have resulted in a significant shortage of available warehousing space,
particularly in London. Self storage provides a convenient flexible
solution to businesses such as online retailers, importers and exporters,
service providers, the public sector, and marketing companies looking for
mini-warehousing space.
In addition to domestic customers taking space to declutter their homes,
our largest customer base is those using us short-term around an event,
such as moving home, refurbishment, inheritance, household formation,
separation, relocation, and students.
Our strategy from the outset has been to develop Big Yellow into the market-leading
self storage brand, delivering excellent customer service, investing in sustainability
and our market-leading operating platform and digital channels, with a great culture
and highly motivated employees. We concentrate on developing our stores in main
road locations with high visibility, where our distinctive branding generates high
awareness of Big Yellow.
Our Strategy
Annual Report and Accounts 2025 Big Yellow Group PLC20
Resilience
The location of our stores, brand, security, and most importantly
customer service, together with the diversity of use in our 73,000
occupied rooms, serve better than any lease contract in providing
income security.
The business proved to be relatively resilient, but not immune during
the Global Financial Crisis and recession of 2007 to 2009, with London
and the South East proving to be less volatile. Since 2020, the Group has
grown its revenue by 58%.
81% of our customers pay by direct debit, and our cash collection has
remained robust over recent years.
Digital execution
Leveraging our market-leading brand position to generate
newprospects, principally from our digital, mobile and
desktopplatforms;
Customer experience
Focusing on training, selling skills, and customer satisfaction
tomaximise prospect conversion and referrals;
Driving revenue
Growing occupancy and net rent to drive revenue optimally at
each store;
Cost control
Maintaining a focus on cost control, so revenue growth is
transmitted through to earnings growth;
Increasing footprint
Increasing the footprint of the Big Yellow platform principally
through new site development and where possible existing
primefreehold stores that meet our quality criteria;
Sustainability
Through our environmental initiatives, aim to create a more
sustainable business which will increase shareholder and
customer value in both the medium and long-term;
Social initiatives
Through our social initiatives, we support local charities with
free storage space and help vulnerable people get back into the
workplace through the Big Yellow Foundation;
Culture
Maintaining Big Yellow’s culture as an accessible, apolitical,
inclusive, non-hierarchical, socially responsible, and enjoyable
place to work;
Conservative capital structure
Maintaining a conservative capital structure in the business with
Group debt to EBITDA in the range of three to four times.
We focus on the following key areas:
58%
increase in revenue
since 2020
Annual Report and Accounts 2025 Big Yellow Group PLC 21
Strategic Report Governance Report Financial Statements
Attractive market dynamics
– Resilient through the Global Financial Crisis, the pandemic and the
recent energy crisis
– Flexible contracts allow rental growth in an inflationary environment
as demonstrated in the last three years
– Structural undersupply in larger cities over the medium to long term
– Awareness still remains relatively low, with only 40% to 50% having
reasonable or good knowledge of self storage
Our competitive advantage
– UK self storage industry’s most recognised brand with over 90% of
enquiries online
– Prominent mainly purpose-built stores on arterial or main roads,
withhigh visibility
– Continuous innovation and investment into our mobile and desktop
digital channels
– Strong customer satisfaction and NPS scores reflecting excellent
customer service
– 6.4 million sq ft UK footprint, with development pipeline of
1.0 million sq ft
– Primarily freehold estate concentrated in London and South East
andother larger urban conurbations
– Larger average store capacity – economies of scale, higher
operatingmargins
– Secure financing structure with strong balance sheet
– Continued significant investment in sustainability and our culture
In the twenty five years since flotation in May 2000, Big Yellow has delivered a
TotalShareholder Return (“TSR”), including dividends reinvested, of 12.1% per annum,
inaggregate 1,610.7% at the closing price of £9.32 on 31 March 2025. This compares
to4.1% per annum for the FTSE Real Estate Index and 5.4% per annum for the FTSE
AllShare Index over the same period. We feel this illustrates the power of compounding
ofconsistent incremental returns over the longer term.
Our values
Our Investment Case
How we deliver value
Helpfulness
Big Yellow exists to help people out and relieve pressure in their
lives. Weconstantly strive to make our customers’ lives easier.
Empathy
We always listen and put ourselves intheposition of the
individual we are serving, understanding how exactly
wecanlighten their load.
Flexibility
We are always flexible and adapt our service to best suit the
needs and the desires of our customers.
Innovativeness
We strive to innovate to help drive our business forward and
we never accept thestatus quo.
Integrity
We approach everything we do withacommitment to doing right.
This goes beyond our customers toinclude our people, local
communities and the environment.
Thiscompares to 4.1% per annum for the FTSE Real Estate Index.
In twenty five years Big Yellow has delivered a TSR of 12.1% per annum.
Annual Report and Accounts 2025 Big Yellow Group PLC22
High margins
Freehold assets for high operating margins and
operationaladvantage
Sustainable
Low technology and obsolescence product, maintenance
capexfully expensed
Adjusted eps
12%
Annual compound adjusted eps growth of 12% since 2004/5
Cash flow
13%
Annual compound cash flow growth of 13% since 2004/5
Dividend pay-out
80%
Dividend pay-out ratio of a minimum of 80% of adjusted eps
Conversion into quality returns
S
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Thiscompares to 4.1% per annum for the FTSE Real Estate Index.
Evergreen income streams
– 73,000 occupied rooms, with customers from a diverse base –
individuals, SMEs, and national customers
– 38% of customers in stores greater than two-year length of stay,
afurther 17% for one to two years
– Average length of stay for existing customers of 32 months,
forthe 55% of customers that have stayed for more than one year,
theaverage length of stay is 54 months
– Low bad debt expense (0.2% of revenue in the year)
Strong growth opportunities
– Opportunities to drive further occupancy growth
– Yield management as occupancy increases
– Densification of living and scarcity of flexible business warehouse
space drives demand
– Development pipeline of 1.0 million sq ft (16% of current MLA) to drive
further growth
– Conservative capital structure allowing further growth from
internalresources
12%
Annual compound
adjusted eps growth
since 2004/5
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Annual Report and Accounts 2025 Big Yellow Group PLC 23
Strategic Report Governance Report Financial Statements
Our Key Performance Indicators
The Group’s KPIs are shown in the charts below. The key performance indicators of our
stores are occupancy and net rent per sq ft, which together drive the revenue of the
business. These are key measures which are focused on by the Board and are reported
on a weekly basis.
Closing occupancy
5,056,000 sq ft
+20% over 5 years
Revenue
£204.5m
+51% over 5 years
Closing net rent per sq ft
£35.17
+23% over 5 years
Adjusted profit before tax
£115.6m
+55% over 5 years
50
70
90
110
130
150
170
190
210
135.2
171.3
188.8
199.6
25
27
29
31
33
35
37
2021 2022 2023 2024 2025
28.71
29.92
32.48
34.14
35.17
15.0
35.0
55.0
75.0
95.0
115.0
135.0
74.6
96.8
106.0
107.3
115.6
2021 2022 2023 2024 2025
(000 sq ft)
(£)
(£m)(£m)
3,000
3,500
4,000
4,500
5,000
5,500
2021 2022 2023 2024 2025
4,201
5,107
5,088
5,029
5,056
Annual Report and Accounts 2025 Big Yellow Group PLC24
Over the course of the past five years, revenue has increased
significantly; with particularly strong growth in 2022. The current year
has seen modest growth in occupancy, average rate and revenue.
Closing net rent per sq ft has increased by 23% over the past five years,
with growth of 3% in the year to 31 March 2025. We expect revenue
growth to be driven by a combination of occupancy increases and
growthin net achieved rent per sq ft.
Adjusted profit before tax and adjusted earnings per share (“eps”),
asdefined in note 33, which drive the distributions to shareholders
(asour dividend policy is to pay a minimum of 80% of adjusted earnings
as dividends) are also KPIs. The Group focuses on adjusted profit and
earnings measures as they give a clearer picture of the Group’s trading
performance without distortion from external factors such as property
valuations and the fair value of derivatives. We have delivered compound
adjusted eps and dividend growth of 7% over the past five years.
Compound adjusted eps growth since 2004/5 is 12%.
Adjusted earnings per share
57.8 pence
+36% over 5 years
Dividend per share
46.4 pence
+36% over 5 years
30.0
35.0
40.0
45.0
50.0
55.0
60.0
42.4
52.5
56.5
55.9
57.8
2021 2022 2023 2024 2025
0
5
10
15
20
25
30
35
40
45
50
34.0
42.0
45.2 45.2
46.4
2021 2022 2023 2024 2025
Net promoter score
82.8
Average of 80.8
over 5 years
Carbon intensity
4.3
(32%) over 5 years
50
55
60
65
70
75
80
85
90
82.9
78.9 78.9
80.5
82.8
2021 2022 2023 2024 2025
0
1
2
3
4
5
6
7
6.3
5.0
5.1
4.8
4.3
2021 2022 2023 2024 2025
Our non-financial KPIs are the net promoter scores we receive from our
customers and the carbon intensity of the Group’s business. The Group’s
net promoter score received from its customers during the year was 82.8
(2024: 80.5). We believe this overall score compares very favourably with
other consumer-facing businesses.
The Group has reduced its carbon intensity (our carbon emissions
divided by our average occupied space) by 32% over the past five years.
This has been achieved through investment in renewable technology,
roof mounted solar photo-voltaic systems, and LED lighting across the
Group’sportfolio.
(pence) (pence)
kgCO
2
e/1000m
2
Annual Report and Accounts 2025 Big Yellow Group PLC 25
Strategic Report Governance Report Financial Statements
The store platform and demand
Self storage demand is spread across a diverse set of drivers, and is
largely driven by need, with security, convenience, quality of product,
service and location being key factors. Awareness remains relatively
low compared to commoditised products, such as hotel rooms or airline
seats, albeit it is increasing slowly year-on-year with increased supply,
marketing expenditure and customer use. The majority of our domestic
customers are represented in ACORN profiled groups such as Flourishing
Capital, Up and Coming Urbanites, Exclusive Addresses, Prosperous
Professionals, Metropolitan Surroundings, Upmarket Families, Urban
Aspiring Flat Dwellers and Privately Renting Professionals in Flats.
Thelargest element of demand into our business each year is customers
who use us for relatively short periods driven by a need.
Of our move-ins during the year:
– customers renting storage space whilst moving represented
41% of move-ins during the year (2024: 41%), with homeowners
representing 25% and renters 16%;
– 12% of our customers who moved in took storage space as a spare
room for decluttering (2024: 12%);
– 35% of our customers used the product because some event had
occurred in their lives generating the need for storage; they may
be moving abroad for a job, have inherited possessions, are getting
together, or separating, are students who need storage during the
holidays, or homeowners developing into their lofts or basements
(2024: 36%);
– the balance of 12% of our new customer demand during the year
came from businesses (2024: 11%), who stay longer and represent
around 20% of our customers in store at any one time, occupying
36%of the space at 31 March 2025.
Of our overall occupied space today, customers who are longer stay
lifestyle users, decluttering into small rooms as an extension to their
accommodation, occupy 10% to 15% of our space; approximately 50%
of the space is customers using it for less than 12 months, for reasons
which are largely event driven, which could be inheritance, moving in
the owner occupied or rental sector, home improvements, travelling;
thebalance of 36% of our space is businesses.
Our business customer base is comprised of online retailers, B2B traders
looking for flexible mini-warehousing for e-fulfilment, service providers,
those looking to shorten supply chains, and businesses looking to
rationalise their other fixed costs of accommodation. For these customers,
who typically are looking for rooms which could be from 50 sq ft to 500 sq ft
in facilities that meet their operational requirements, the only supply in
big cities is from self storage providers. The average space occupied by
business customers at the year-end is 175 sq ft (2024: 177 sq ft).
Domestic customers occupy on average 59 sq ft (2024: 58 sq ft) and
pay on average 17% more in rent per sq ft than business customers
(2024: 17%), however business customers do stay longer, take more
space and represent around 32% of revenue (2024: 32%).
The pandemic accelerated many structural changes that were already
occurring, such as the move to online retailing and an increase in working
from home facilitated by technological advances. The deindustrialisation
of big cities with the conversion of commercial space into residential
and other uses, has led to a shortage of suitable flexible mini-warehouse
space from which to operate small scale storage and e-fulfilment,
particularly in London. These developments, along with businesses
increasingly seeking flexible office and storage space rather than longer
inflexible leases, we believe are long-term structural trends, which will
benefit our business going forward.
Operating Review
We now have a portfolio of 109 open and trading stores, with a current
maximum lettable area of 6.4 million sq ft, in line with last year.
Reasons people use Big Yellow
Residential owner-occupied
Residential rental sector
Student storage
Other
Business storage
Decluttering
Travelling
Home improvements
5%
6%
12%
12%
12%
12%
16%
25%
Residential owner-occupied
Residential rental sector
Student storage
Other
Business storage
Decluttering
Travelling
Home improvements
5%
6%
12%
12%
12%
12%
16%
25%
Annual Report and Accounts 2025 Big Yellow Group PLC26
From research we have previously carried out, a typical small business
using storage employs around three people and 60% of them are
early-stage businesses and for 50% of them this is their only space.
In addition, we have a dedicated national customers team for businesses
who wish to occupy space in multiple stores. These customers on
average occupy approximately 900 sq ft, paying £29,000 per annum,
and are billed and managed centrally. This area has performed strongly
inthe year with revenue up 11% compared to the prior year, making up
5%of occupied space.
Activity
Prospect numbers were down 3% on the prior year, however, our
conversion levels improved with move-ins down only 1% and move-outs
also down 1% on last year.
Occupancy across all 109 stores increased over the year by 27,000 sq ft
(2024: fall of 59,000 sq ft). Domestic occupied space increased
by 90,000 sq ft over the year. Business occupancy dropped 3% or
63,000 sq ft on 1.84 million sq ft occupied at the beginning of the year.
As we have experienced over the years, there are businesses who
outgrow us and move to their own accommodation, others cease
operations, some are seasonal, and we continue to replace any vacated
space with new move-ins from online traders, e-tailers and service
providers. We are not seeing any noticeable further softening in demand
from businesses, particularly in London.
The 77 Big Yellow same stores (see Portfolio Summary) are 80.9%
occupied compared to 81.7% at the same time last year. The eight
lease-up Big Yellow stores added 48,000 sq ft of occupancy over the
year to reach closing occupancy of 64.7%. The 24 Armadillo stores,
representing 10% of the Group’s revenue are 76.2% occupied, compared
to 74.3% at this time last year. Overall store occupancy was 78.7%
(2024:78.3%).
Occupancy
31March 2025
%
Occupancy
change in year
000 sq ft
Occupancy
31March 2025
000 sq ft
Occupancy
31March 2024
000 sq ft
77 established Big Yellow stores 80.9% (39) 3,932 3,971
8 lease-up Big Yellow stores 64.7% 48 357 309
24 Armadillo stores 76.2% 18 767 749
All 109 stores 78.7% 27 5,056 5,029
All stores are trading profitably at the EBITDA level.
Annual Report and Accounts 2025 Big Yellow Group PLC 27
Strategic Report Governance Report Financial Statements
Rental growth
We continue to manage pricing dynamically, taking account of room
availability, customer demand and local competition, with our pricing
model reducing promotions and increasing asking prices where individual
units are in scarce supply.
We continue to price competitively to win new customers and increase
rents to in-place customers on a range dependent on what they are
paying relative to the current asking price, and on average these were at
levels slightly ahead of wage inflation. It must be remembered that some
60% of our customers move-out within six months and therefore do not
receive any price increases.
New customers over the year paid on average 2% more than move-ins for
last year, and 4% less than customers moving out over the year. If we can
improve our relative occupancy performance, we would expect to see this
reverse and be an additional driver to revenue growth.
The average achieved net rent per sq ft increased by 3% compared to
the prior year, with closing net rent up 3% compared to 31 March 2024.
Thetable below shows the change in net rent per sq ft for the portfolio by
average occupancy over the year (on a non-weighted basis). The analysis
excludes our most recent store openings.
Average occupancy in the year
Net rent per sqft
growth from
April2024 to
March 2025
Net rent per sqft
growth from
April2023 to
March 2024
75% to 85% 3.3% 5.4%
85% to 90% 5.9% 5.5%
Above 90%
7.8%
6.9%
Marketing and operations
Our marketing strategy focuses on enhancing our market-leading brand
awareness further and leveraging it to maximise the cost-efficient
generation of enquiries, customer move-ins and user satisfaction across
our digital platforms. Our strong brand, combined with continued digital
investment and innovation, has enabled us to create a market-leading
website which delivers over 90% of our enquiries.
Our latest YouGov survey (published in May 2024) confirmed the
brand awareness of Big Yellow remained significantly ahead of other
UK operators in the sector. The survey shows our unprompted brand
awareness to be over four times higher than our nearest competitor
across the UK.
The Big Yellow website enables users to browse different room sizes,
obtain a price, reserve online and check-in online prior to arriving at the
stores, which are automated in terms of access once a customer moves in.
We understand our web users often struggle to determine what size
of storage they require. Our online size estimator features intuitive
animations and information to guide people toward making the right
choice. The online experience also allows customers to communicate
with us in real-time via Live Chat, WhatsApp, or Facebook Messenger.
Comprehensive online FAQs provide our users with another way to
address questions they may have about the service without needing
tocall us directly.
This is all essential because approximately 60% of our new prospects
have not used self storage before.
Operating Review continued
The seamless digital experience continues with our online check-in
platform. This enables customers to complete the majority of their move-in
process remotely. They can upload their photo and identity documents,
sign the full customer licence, set up authorised persons, complete their
storage inventory and establish a paperless Direct Debit – all accomplished
remotely. This online check-in capability has significantly reduced the time
our customers need to spend in our receptions when they move in.
We also provide the ability to purchase boxes and packing materials
through our online BoxShop store. These items can be home delivered or
made available through our Click and Collect service from stores, which
represents 77% of BoxShop transactions. Packing material sales and
other ancillary sales (excluding ELS) generated revenue of £5.1 million
inthe year (2024: £4.9 million).
Driving online traffic
Self storage is a consumer-facing business and the development of a strong
and sustainable brand is multi-layered. It requires consistency in product,
customer service and interaction at all touch points, particularly online.
Search engines are our most important acquisition tool, accounting for
the majority of traffic to our website. Our focus on gaining a competitive
advantage in search continues and our search engine optimisation
(“SEO”) efforts have helped us maintain high organic listings for popular
generic and local self storage-related search terms. This, in turn, drives
growth and cost efficiencies in acquiring new prospects.
Brand search terms are also a valuable driver of enquiries for Big Yellow and
help improve the efficiency of our cost per enquiry. In the past year, 47%
of all search engine paid clicks to our website originated from "Big Yellow"
brand searches. This clearly indicates that the brand is important in driving
higher levels of prospects and customer referrals, leading to improved
operational efficiencies. We have demonstrated this through significant
improvements in the performance of existing storage centres following
their acquisition, re-branding and assimilation into our business.
Search engine marketing remains our largest source of paid web traffic.
Ongoing website optimisation and an engaging user experience through
our digital platforms help ensure we maximise the conversion of these
web visits into enquiries and then customers.
Annual Report and Accounts 2025 Big Yellow Group PLC28
Digital display advertising enables us to regionally target audiences in
the market for self storage, raising consideration of the service and the
Big Yellow brand through engaging creatives. This year, we have also
started growing our strategic online partnerships with brands that have
similar audiences to ours. This will help further drive efficiencies in our
cost per customer.
Online customer reviews and social media
Supporting our values of putting the customer at the heart of our
business, our online customer reviews generate real-time feedback from
customers and provide positive word-of-mouth referrals to our website
visitors. Through our Big Impressions customer feedback programme,
weask our new customers to rate our service. With the users’ permission,
we then publish these independent customer reviews on the Big Yellow
website, which currently total over 56,000 averaging 4.8 out of 5.
The Big Impressions programme also generates customer feedback on
their move-in and move-out experience. These customer reviews and
mystery shop results are transparently accessible across the business
and help reinforce our focus on outstanding customer service. Over the
year, we have achieved an average net promoter score of 82.8, which is
avery strong consumer-facing benchmark result.
We also gain real-time customer feedback from over 27,700 Google
Reviews, averaging 4.7 out of 5. These help to enhance our visibility within
local search listings, conveying trust in the Big Yellow brand. Additionally,
we have over 4,750 reviews from the independent review site Trustpilot.
These reviews average a 4.7 out of 5 star rating, labelled as “Excellent”
on the Trustpilot ratings scale. We monitor our customer reviews and
respond where necessary for customer service reasons or to manage
ouronline reputation and improve our service offering.
Social media continues to complement our existing marketing channels.
Big Yellow actively posts content across LinkedIn, Instagram and Facebook
to raise awareness of our services and ESG activities. Thesesocial
channels are also used by customers to connect with us and are
monitored in real-time, enabling us to respond promptly to any enquiries.
TheBig Yellow LinkedIn platform is specifically used to communicate
company achievements, ESG initiatives and our company culture.
The Big Yellow YouTube channel allows web prospects to experience our
stores online through our video guides to self storage.
We will continue to invest in improving the customer experience and user
journey across all our digital marketing channels and in-store operations
to achieve higher levels of automation and, consequently, efficiencies in
the business.
AI
We continue to look for new opportunities to utilise AI and other emerging
technology to drive efficiency and improve our business. We are
currently leveraging a variety of AI tools to enhance our content creation
process using tools such as Microsoft CoPilot, ChatGPT, and Canva to
generate innovative ideas and content. These tools assist us in creating
training modules, drafting policies and procedures, and developing
engaging presentations and visuals. The integration of these AI tools has
significantly streamlined our workflow and boosted our productivity.
We've also been leveraging rules-based data manipulation and
automation techniques across various aspects of our operations,
such as our dynamic pricing system, prospect management, online
check-in, and the digital automation of all customer communications.
Our access control reporting and alerts, based on significant data
from our stores, have been instrumental in enhancing our store audit
processes. Exception reporting is another area where we've seen great
improvements. Other examples in marketing would be translation AI,
optimisation of paid search and targeting of prospects.
Although services are provided by third parties, machine learning
AI forms the backbone of our cyber security and defence mechanisms.
It plays a crucial role in anti-malware efforts, firewalls, email
management, vulnerability testing, and Security Information and
Event Monitoring.
The above is by no means a complete summary of how AI is making
a difference to our business, but should provide an insight and it is
something that we will continue to invest in.
Over the year, we have achieved
anaverage net promoter score
of82.8, which is a very strong
consumer-facing benchmark result.”
Annual Report and Accounts 2025 Big Yellow Group PLC 29
Strategic Report Governance Report Financial Statements
Cyber security and IT infrastructure
Cyber security and IT infrastructure are vital for the Group's strategy
and operations. We have a robust framework covering risk, security,
compliance, innovation, and efficiency. Over the past year, we've
achieved significant results and progress, although as ever, we are
proactive in seeking new opportunities and overcoming new challenges.
We maintain our commitment to investing in and improving our
capabilities, ensuring we maintain our competitive edge.
We regularly evaluate our cyber risk and security status with
the help from both internal experts and external consultants.
MandatoryInformation Security and Data Protection training along
Development pipeline
An important aspect of our external growth is the development of new stores, particularly in London, where there are very few existing assets suitable
to be acquired.
Current development pipeline – with planning
Site Location Status Anticipated capacity
Staines, London
Prominent location on the Causeway Construction commenced with store opening in July 2025.
We are also developing 9 industrial units on the site totalling
99,000 sq ft.
70,000 sq ft
Queensbury, London
Prominent location off Honeypot Lane Construction commenced with store opening in October 2025. 72,000 sq ft
Wembley, London
Prominent location on Towers Business Park Construction commenced with store opening in March 2026. 73,000 sq ft
Slough Bath Road
Prominent location on Bath Road Construction commenced with store opening in spring 2026. 95,000 sq ft
Epsom, London
Prominent location on East Street Construction commenced with store opening in summer 2026. 59,000 sq ft
Staples Corner, London
Prominent location on North Circular Road Construction commenced with planned store opening in
summer2026.
Replacement for existing
leasehold store, additional
18,000 sq ft
Kentish Town, London
Prominent location on Regis Road Demolition commenced, with a planned store opening in
autumn2026.
70,000 sq ft
Wapping, London
Prominent location on the Highway, adjacent
toexisting Big Yellow
Construction commenced with store opening in late 2026. Additional 95,000 sq ft
West Kensington, London
Prominent location on Hammersmith Road Demolition of existing building to commence this year, with a
storeopening anticipated in summer 2028.
175,000 sq ft
Newcastle
Prominent location on Scotswood Road Planning consent granted, vacant possession awaited. 60,000 sq ft
Current development pipeline – without planning
Site Location Status Anticipated capacity
Old Kent Road, London
Prominent location on Old Kent Road Site acquired in June 2022. Planning application submitted in
October 2023, decision anticipated summer 2025.
75,000 sq ft
Leicester
Prominent location on Belgrave Gate,
CentralLeicester
Site acquired in June 2023. Planning application submitted in
November 2024.
58,000 sq ft
Leamington Spa
Prominent location on Queensway Site acquired in May 2024. Planning application submitted in
December 2024.
55,000 sq ft
Coventry
Prominent location on Sir Henry Parkes Road Site acquired in April 2025. 58,000 sq ft
Total – all sites 1,033,000 sq ft
Operating Review continued
withfrequent tests, such as penetration testing and phishing
simulations, help us ensure our systems and people are secure. This year,
our systems underwent a comprehensive external audit and achieved
IASME Cyber Assurance Levels 1 & 2, incorporating Cyber Essentials.
Additionally, wehave cyber insurance in place should a breach occur.
Our Data Compliance Officer oversees ongoing compliance with GDPR and PCI
DSS, along with Business Continuity and Crisis Communication management.
Our policies and procedures are regularly reviewed and benchmarked
against industry best practice. Our Infrastructure and Development teams
drive innovation and efficiencies throughout the Group.
Annual Report and Accounts 2025 Big Yellow Group PLC30
Portfolio Summary
March 2025 March 2024
Big Yellow
samestores
(1)
Big Yellow
lease-up Armadillo Total
Big Yellow
samestores
Big Yellow
lease-up Armadillo Total
Number of stores 77 8 24 109 77 8 24 109
At 31March:
Total capacity (sq ft) 4,863,000 552,000 1,006,000 6,421,000 4,859,000 552,000 1,008,000 6,419,000
Occupied space (sq ft) 3,932,000 357,000 767,000 5,056,000 3,971,000 309,000 749,000 5,029,000
Percentage occupied 80.9% 64.7% 76.2% 78.7% 81.7% 56.0% 74.3% 78.3%
Net rent per sq ft £37.56 £33.28 £23.74 £35.17 £36.43 £31.74 £22.98 £34.14
For the year:
REVPAF
(2)
£34.80 £23.34 £21.01 £31.63 £34.28 £18.41 £20.02 £30.71
Average occupancy 82.3% 62.1% 77.3% 79.8% 84.1% 51.8% 76.4% 80.2%
Average annual net rent psf £37.08 £32.82 £23.42 £34.71 £35.87 £31.10 £22.75 £33.64
£000 £000 £000 £000 £000 £000 £000 £000
Self storage income 148,335 11,262 18,226 177, 823 146,945 8,640 17,562 173,147
Other storage related income
(2)
19,195 1,607 2,861 23,663 18,682 1,221 2,651 22,554
Ancillary store rental income 1,576 17 45 1,638 1,375 17 19 1,411
Total store revenue 169,106 12,886 21,132 203,124 167,002 9,878 20,232 197,112
Direct store operating costs (43,606) (5,690) (8,269) (57,565) (39,722) (4,591) (7,517) (51,830)
Short and long leasehold rent
(3)
(2,145) (26) (206) (2,377) (2,102) (10) (169) (2,281)
Store EBITDA
(2)
123,355 7, 17 0 12,657 143,182 125 ,178 5,277 12,546 143,001
Store EBITDA margin 72.9% 55.6% 59.9% 70.5% 75.0% 53.4% 62.0% 72.5%
Deemed cost
£m £m £m £m
To 31March 2025 749.0 188.0 145.3 1,082.3
Capex to complete – 0.3 – 0.3
Total 749.0 188.3 145.3 1,082.6
(1)
We have changed the presentation of the portfolio summary this year, to show same stores and lease-up stores, rather than established and developing stores, and represented the comparative
information accordingly. This new approach is consistent with other listed self storage businesses. The Big Yellow same stores are those that have reached 85% occupancy during a previous financial
year. Should a store move categories in a year, we re-present the comparative information so the store is in the same category in both years. We opened a new freehold store at Slough Farnham Road
during the year. After transferring its customers to the new Farnham Road store, we closed our leasehold Slough Whitby Road store during the year. The occupancy, net rent and capacity at the balance
sheet date shows Slough Farnham Road within the same stores, as it was effectively a continuation of trade in a new location. The revenue and operating costs for the year for both stores are shown
within same stores.
(2)
See glossary in note 33.
(3)
Rent paid for six short leasehold properties and five long leasehold properties.
Annual Report and Accounts 2025 Big Yellow Group PLC 31
Strategic Report Governance Report Financial Statements
Portfolio Summary continued
The table below reconciles Store EBITDA to gross profit in the statement of comprehensive income.
Year ended 31March 2025
£000
Year ended 31March 2024
£000
Store EBITDA Reconciling items
Gross profit per
statement of
comprehensive
income Store EBITDA Reconciling items
Gross profit per
statement of
comprehensive
income
Store revenue/Revenue
(4)
203,124 1,371 204,495 197, 1 12 2,507 199,619
Cost of sales
(5)
(57,565) (4,561) (62,126) (51,830) (4,164) (55,994)
Rent
(3)
(2,377) 2,377 – (2,281) 2,281 –
Store EBITIDA 143,182 (813) 142,369 143,001 624 143,625
(4)
See note 3 of the financial statements, reconciling item is non-storage income.
(5)
See reconciliation in cost of sales section in Financial Review on page 39.
Reconciliation of APMs
The table below reconciles the reported figures above to the like-for-like metrics the Group reports:
Like-for-like revenue
Year ended
31March 2025
£000
Year ended
31March 2024
£000
Store revenue
(6)
203,124 19 7, 112
Less revenue from non like-for-like stores
(6)
(2,465) (905)
Like-for-like revenue
(6)
200,659 196,207
Like-for-like store occupancy
Year ended
31March 2025
Year ended
31March 2024
Store MLA (sq ft)
(6)
6,421,000 6,419,000
Less MLA from non like-for-like stores (sq ft)
(6)
(101,000) (101,000)
Like-for-like MLA (sq ft)
(6)
6,320,000 6,318,000
Store occupancy (sq ft)
(6)
5,056,000 5,029,000
Less occupancy from non like-for-like (sq ft)
(6)
(59,000) (36,000)
Like-for-like occupancy (sq ft)
(6)
4,997,000 4,993,000
Like-for-like occupancy (%)
(6)
79.1% 79.0%
(6)
See glossary in note 33.
Annual Report and Accounts 2025 Big Yellow Group PLC32
Our Big Yellow Stores
An unrivalled portfolio of stores across London, theSouth East
and other large metropolitan cities.
Slough Farnham Road, July 2024
MLA – 65,000 sq ft
Aberdeen, June 2022
MLA – 54,000 sq ft
Hove, March 2022
MLA – 58,000 sq ft
Hayes, January 2022
MLA – 73,000 sq ft
Uxbridge, June 2021
MLA – 54,000 sq ft
Battersea, November 2020
MLA – 70,000 sq ft
Bracknell, September 2020
MLA – 59,000 sq ft
Camberwell, July 2020
MLA – 75,000 sq ft
Manchester, May 2019
MLA – 60,000 sq ft
Wapping, July 2018
MLA – 31,000 sq ft
Harrow, September 2022
MLA – 82,000 sq ft
Kings Cross, June 2023
MLA – 105,000 sq ft
Kingston North, September 2022
MLA – 56,000 sq ft
Annual Report and Accounts 2025 Big Yellow Group PLC 33
Guildford Central, March 2018
MLA – 55,000 sq ft
Twickenham 2, April 2016
MLA – 22,000 sq ft
Nine Elms, April 2016
MLA – 65,000 sq ft
Cambridge, January 2016
MLA – 60,000 sq ft
Enfield, April 2015
MLA – 60,000 sq ft
Chester, February 2015
MLA – 69,000 sq ft
Oxford 2, July 2014
MLA – 35,000 sq ft
Gypsy Corner, April 2014
MLA – 70,000 sq ft
Chiswick, April 2012
MLA – 73,000 sq ft
New Cross, February 2012
MLA – 61,000 sq ft
Stockport, September 2011
MLA – 65,000 sq ft
Eltham, April 2011
MLA – 70,000 sq ft
Camberley, January 2011
MLA – 67,000 sq ft
High Wycombe, June 2010
MLA – 60,000 sq ft
Reading, December 2009
MLA – 62,000 sq ft
Sheffield Bramall Lane,
September 2009
MLA – 60,000 sq ft
Poole, August 2009
MLA – 55,000 sq ft
Nottingham, August 2009
MLA – 67,000 sq ft
Edinburgh, July 2009
MLA – 63,000 sq ft
Twickenham, May 2009
MLA – 73,000 sq ft
Liverpool, March 2009
MLA – 60,000 sq ft
Bromley, March 2009
MLA – 71,000 sq ft
Birmingham, February 2009
MLA – 60,000 sq ft
Sheen, December 2008
MLA – 64,000 sq ft
34 Annual Report and Accounts 2025 Big Yellow Group PLC34
Annual Report and Accounts 2025 Big Yellow Group PLC 35
Sheffield Hillsborough,
October 2008
MLA – 60,000 sq ft
Kennington, May 2008
MLA – 66,000 sq ft
Merton, March 2008
MLA – 70,000 sq ft
Fulham, March 2008
MLA – 138,000 sq ft
Balham, March 2008
MLA – 61,000 sq ft
Barking, November 2007
MLA – 64,000 sq ft
Ealing Southall, November 2007
MLA – 57,000 sq ft
Sutton, July 2007
MLA – 70,000 sq ft
Gloucester, December 2006
MLA – 50,000 sq ft
Edmonton, October 2006
MLA – 75,000 sq ft
Kingston, August 2006
MLA – 62,000 sq ft
Bristol Ashton Gate, July 2006
MLA – 61,000 sq ft
Finchley East, May 2006
MLA – 54,000 sq ft
Tunbridge Wells, April 2006
MLA – 57,000 sq ft
Bristol Central, March 2006
MLA – 64,000 sq ft
North Kensington, December 2005
MLA – 50,000 sq ft
Leeds, July 2005
MLA – 76,000 sq ft
Beckenham, May 2005
MLA – 71,000 sq ft
Tolworth, November 2004
MLA – 56,000 sq ft
Watford, August 2004
MLA – 64,000 sq ft
Swindon, April 2004
MLA – 53,000 sq ft
Orpington, December 2003
MLA – 64,000 sq ft
Byfleet, November 2003
MLA – 48,000 sq ft
Chelmsford, April 2003
MLA – 54,000 sq ft
Annual Report and Accounts 2025 Big Yellow Group PLC36
Ilford, November 2001
MLA – 58,000 sq ft
Cardiff, October 2001
MLA – 74,000 sq ft
Portsmouth, October 2001
MLA – 61,000 sq ft
Norwich, September 2001
MLA – 47,000 sq ft
Dagenham, July 2001
MLA – 51,000 sq ft
Wandsworth, April 2001
MLA – 72,000 sq ft
Luton, March 2001
MLA – 41,000 sq ft
Southend, March 2001
MLA – 57,000 sq ft
Staples Corner, March 2001
MLA – 112,000 sq ft
Romford, November 2000
MLA – 70,000 sq ft
Milton Keynes, September 2000
MLA – 60,000 sq ft
Cheltenham, April 2000
MLA – 50,000 sq ft
Hanger Lane, October 1999
MLA – 66,000 sq ft
Oxford, August 1999
MLA – 33,000 sq ft
Croydon, July 1999
MLA – 79,000 sq ft
Richmond, May 1999
MLA – 35,000 sq ft
Guildford Slyfield, June 2002
MLA – 55,000 sq ft
New Malden, May 2002
MLA – 81,000 sq ft
Hounslow, December 2001
MLA – 54,000 sq ft
Brighton, October 2002
MLA – 59,000 sq ft
Bow, November 2002
MLA – 132,000 sq ft
Colchester, December 2002
MLA – 54,000 sq ft
West Norwood, January 2003
MLA – 57,000 sq ft
Finchley North, March 2003
MLA – 62,000 sq ft
Canterbury
MLA – 35,000 sq ft
Daventry
MLA – 35,000 sq ft
Derby
MLA – 43,000 sq ft
Dundee
MLA – 39,000 sq ft
Exeter
MLA – 34,000 sq ft
Gateshead
MLA – 46,000 sq ft
Grimsby
MLA – 40,000 sq ft
Hull
MLA – 32,000 sq ft
Liverpool Aintree
MLA – 49,000 sq ft
Liverpool Bootle
MLA – 36,000 sq ft
Liverpool South
MLA – 50,000 sq ft
Macclesfield
MLA – 63,000 sq ft
Morecambe
MLA – 50,000 sq ft
Newcastle
MLA – 56,000 sq ft
Peterborough
MLA – 49,000 sq ft
Plymouth
MLA – 25,000 sq ft
Sheffield Parkway
MLA – 48,000 sq ft
Sheffield West Bar
MLA – 29,000 sq ft
Stockton Central
MLA – 43,000 sq ft
Stockton South
MLA – 41,000 sq ft
Stoke
MLA – 39,000 sq ft
Torquay
MLA – 33,000 sq ft
Warrington
MLA – 57,000 sq ft
West Molesey
MLA – 35,000 sq ft
Our Armadillo Stores
Armadillo is Big Yellow’s regional brand in smaller towns and cities with 24 largely freehold stores.
Annual Report and Accounts 2025 Big Yellow Group PLC 37
Strategic Report Governance Report Financial Statements
Financial Review
Revenue
Total revenue for the year was £204.5 million, an increase of £4.9 million
(2%) from £199.6 million in the prior year. The increase in revenue for
the year was impacted by lower rental income on our development
sites as we obtained vacant possession; store revenue growth for
the year was 3%. Like-for-like store revenue (see glossary in note 33)
for the year was £200.7 million, an increase of 2% from the prior year
(2024:£196.2 million).
In the prior year, we reported that revenue growth was highest in London
stores, with our south east commuter and regional stores delivering a
lower run-rate of revenue growth. In the current year, we have seen this
reverse, with our commuter and regional stores delivering higher revenue
growth than our London stores.
Included in store revenue is other storage related income, from the sale
of packing materials, insurance/enhanced liability service (“ELS”), and
storage related charges. This amounted to £23.7 million in the year
(2024: £22.6 million), an increase of 5%. This is ahead of the overall
store revenue increase after a focus on improving the average level of
ELS cover we sell to customers and improving the amount we charge for
add-on services.
The other revenue earned by the Group is tenant income on sites where
we have not started development.
Store operating costs have increased by £5.7 million (11%). The one-off
items in the current year relate to rates rebates received in the year, with
the prior year one-off items due to release of a provision for property
rates from the 2017 rating list and a reassessment of the Group’s bad
debt provision. Store operating costs before these one-off items have
increased by £4.4 million (8%) compared to the prior year. The additional
operating expense from new stores accounted for £0.5 million in the year.
The remaining increase is £3.9 million (7%), with commentary below:
Operating costs
Cost of sales principally comprise the direct store operating costs,
including store staff salaries, utilities, business rates, insurance, a full
allocation of the central marketing budget and repairs and maintenance.
We saw moderating operating cost increases in the second half of the
financial year. The like-for-like increase in store operating costs in the
first half of the year was 10%; for the second half this figure was 4%, with
an overall increase of 7% for the year. We are pleased to have significantly
reduced our operating cost inflation in the second half and are targeting
to achieve further improvement in the year ahead.
– Cost of sales has reduced with slightly lower packing material sales in
the year, and some savings on purchase costs.
– Staff costs have increased by £0.5 million (3%) with the salary review
of on average 4.8% (including a higher increase to those at the lower
end of the pay scale reflecting the rise in the national living wage).
This increase has been partly offset by savings on headcount, as we
drive efficiencies into the stores through automation.
– Our utilities expenditure continues to benefit from our investment
insolar.
The table below shows the breakdown of our store operating costs compared to the prior year:
Category
Year ended
31March
2025
£000
Year ended
31March
2024
£000 Change
% of store
operating
costs in
2025
Cost of sales 1,422 1,519 (6%) 2%
Staff costs 15,199 14,719 3% 26%
General & admin 1,646 1,534 7% 3%
Utilities 2,783 2,670 4% 5%
Property rates 20,856 18,153 15% 35%
Marketing 6,778 6,438 5% 11%
Repairs & maintenance 5,841 5,336 9% 10%
Insurance 3,394 3,323 2% 6%
Computer costs 1,193 1,031 16% 2%
Total before one-off items 59,112 54,723 8%
One-off items (1,547) (2,893) (46%)
Total per portfolio summary 57,565 51,830 11%
Annual Report and Accounts 2025 Big Yellow Group PLC38
– Property rates have increased by £2.7 million (15%). The causes of
this increase are the impact of new stores; the unwinding of taper
relief from the introduction of the 2023 listing, and inflation applied
to the multiplier which was set at 6.7%, based on the CPI print to
September 2023. The rates payable for the next financial year will
bebased off the CPI to September 2024, which was 1.7%.
– Our marketing expense for the year was up 5%, mainly due to
an increase in the PPC budget over the summer months to drive
additional prospects in a softer demand environment. The total
marketing spend represents 3.3% of revenue for the year.
– The repairs and maintenance expense has increased due to an
additional investment in security in our stores, and an increase in
solar panel maintenance costs, with higher numbers of stores now
with solar PVs.
– Computer costs have increased by £0.2 million (16%), which
reflectsadditional investment in systems to drive automation
across the business.
– The Group’s bad debt expense for the year was 0.2% of revenue,
inlinewith the prior year. The Group has not seen any deterioration
inits aged debtors’ profile over recent months.
The table below reconciles store operating costs per the portfolio
summary to cost of sales in the statement of comprehensive income:
Year ended
31March
2025
£000
Year ended
31March
2024
£000
Direct store operating costs per portfolio summary
(excluding rent) 57,565 51,830
Rent included in cost of sales (total rent payable is
included in portfolio summary) 1,593 1,784
Depreciation charged to cost of sales 530 569
Costs associated with closure of Slough leasehold store 694 –
Head office and other operational management costs
charged to cost of sales 1,74 4 1,811
Cost of sales per statement of comprehensive income 62,126 55,994
The Group incurred various costs associated with the closure of its
Slough leasehold store in the year, including the cost of transferring
customers to our new freehold Slough Farnham Road store, and the
strip-out of the building before returning it to the landlord. These costs
totalled £0.7 million and have been excluded from the Group’s adjusted
profit for the year, as they are a one-off item.
Store EBITDA
Store EBITDA for the year was £143.2 million, an increase of £0.2 million
from £143.0 million for the prior year (see Portfolio Summary). Theoverall
EBITDA margin for during the year was 70.5%, down from 72.5% in 2024,
due to the increase in store operating costs discussed above.
All stores are currently trading profitably at the Store EBITDA level.
Administrative expenses
Administrative expenses in the statement of comprehensive income
of £15.8 million were up £0.5 million (4%) compared to the prior year,
slightly ahead of average inflation.
Other income
In February 2022 the Group experienced a fire at our Cheadle store, which
resulted in a total loss to the store. We had insurance cover in place for both
the fit-out and four years loss of income. The Group settled the claim with
the insurers in the year and the resulting loss of income insurance proceeds
received during the financial year was £4.0 million, which is included in
other income (2024: £1.8 million). There will be no further amounts received
in respect of this claim in the year ending 31 March 2026.
In the prior year the Group received £4.7 million, being the insurance
proceeds for the fit-out of the Cheadle store. This amount was shown as
other income in 2024 but not included in the Group’s adjusted earnings
for that year, as it relates to capital expenditure.
Interest expense on bank borrowings
The gross bank interest expense for the year was £23.3 million, a
decrease of £2.4 million from the prior year, due to lower average debt
levels, following the placing in October 2023, partly offset by a slightly
higher average cost of debt following the increase in interest rates in
the prior year. The average cost of borrowing during the year was 5.7%
compared to 5.5% in the prior year. Our average cost of debt has now
started to fall following the reduction in interest rates from August 2024.
Capitalised interest has risen significantly as we build out the stores in
our development pipeline, and was £7.9 million, up from £3.3 million in
the prior year.
Total finance costs in the statement of comprehensive income reduced
to £15.9 million from £22.9 million in the prior year, due to the reduction
in interest payable and the increase in capitalised interest.
Annual Report and Accounts 2025 Big Yellow Group PLC 39
Strategic Report Governance Report Financial Statements
Profit before tax
The Group made a profit before tax in the year of £203.9 million,
compared to a profit of £241.0 million in the prior year. After adjusting for
the gain on the revaluation of investment properties and other matters
shown in the table below, the Group made an adjusted profit before tax in
the year of £115.6 million, up 8% from £107.3 million in 2024.
Profit before tax analysis
2025
£000
2024
£000
Profit before tax 203,854 241,035
Gain on revaluation of investment properties (79,667) (131,159)
Movement in fair value on interest rate derivatives (547) 2,146
Gain on disposal of non-current asset (8,754) –
Costs associated with closure of Slough leasehold store 694 –
Cheadle fit-out insurance proceeds – (4,723)
Adjusted profit before tax 115,580 107,299
The adjustments made to the Group’s profit before tax follow guidance
issued by EPRA, with additional Company specific adjustments made
to give readers a clearer underlying picture of the Group’s performance.
EPRA profit before tax is disclosed in note 10.
The movement in the adjusted profit before tax from the prior year is
illustrated in the table below:
£m
Adjusted profit before tax – year ended 31March 2024 10 7. 3
Decrease in gross profit (0.6)
Increase in administrative expenses (0.5)
Increase in other income 2.3
Decrease in net interest payable 2.5
Increase in capitalised interest 4.6
Adjusted profit before tax – year ended 31March 2025 115.6
Basic earnings per share for the year was 103.2p (2024: 127.1p) and
diluted earnings per share was 102.8p (2024: 126.4p). Diluted adjusted
earnings per share based on adjusted profit after tax was up 3% to 57.8p
(2024: 55.9p) (see note 12).
REIT status
The Group is a Real Estate Investment Trust (“REIT”) and therefore benefits
from a zero tax rate on its qualifying self storage earnings. TheGroup only
pays tax on the profits attributable to our residual business, comprising
primarily of the sale of packing materials and insurance.
REIT status gives the Group exemption from UK corporation tax on profits
and gains from its qualifying portfolio of UK stores. Revaluation gains on
developments and our existing open stores are exempt from corporation
tax on chargeable gains, provided certain criteria are met.
The Group has a rigorous internal system in place for monitoring
compliance with criteria set out in the REIT regulations. On a monthly
basis, a report on compliance with these criteria is issued to the
Executive. To date, the Group has complied with all REIT regulations,
including forward looking tests.
Taxation
There is a £2.5 million tax charge in the residual business for the year
ended 31 March 2025 (2024: £2.3 million). The current year tax charge is
partly offset in the income statement by an adjustment to the prior year
tax estimate of £0.5 million (2024: prior year adjustment of £1.1 million).
Dividends
The Board is recommending the payment of a final dividend of 23.8 pence
per share in addition to the interim dividend of 22.6 pence, giving a total
dividend for the year of 46.4 pence, an increase of 3% from the prior
year. The Group’s policy is to distribute a minimum of 80% of our adjusted
earnings per share in each reporting period.
REIT regulatory requirements determine the level of Property Income
Distribution (“PID”) payable by the Group. Based on the full year
distributable reserves for PID purposes, a PID of 46.4p pence per
share is payable (31 March 2024: 45.2 pence). The PID for the year to
31 March 2025 accounts for all of the declared dividend. The table below
summarises the declared dividend for the year:
Dividend (pence per share)
31March
2025
31March
2024
Interim dividend 22.6p 22.6p
Final dividend 23.8p 22.6p
Total dividend 46.4p 45.2p
Subject to approval by shareholders at the Annual General Meeting to
be held on 17 July 2025, the final dividend will be paid on 25 July 2025.
Theex-div date is 3 July 2025 and the record date is 4 July 2025.
Cash flow growth
The Group is strongly cash generative and draws down from its longer
term committed facilities as required to meet its obligations. The Group’s
cash flow from operating activities pre-working capital movements for
the year was £111.9 million, an increase of 2% from £110.1 million in
the prior year, with the growth in line with the increase in the Group’s
profitability in the year. These operating cash flows are after the ongoing
maintenance costs of the stores, which were on average approximately
£53,500 per store (2024: £49,000).
The Group’s net debt has increased slightly over the year to £388.7 million
(March 2024: £385.4 million).
There are distortive working capital items in the prior year, and therefore
the summary cash flow on the next page sets out the free cash flow
pre-working capital movements.
Financial Review continued
Annual Report and Accounts 2025 Big Yellow Group PLC40
Year ended
31March 2025
£m
Year ended
31March 2024
£m
Cash generated from operations pre-working capital movements 132.0 135.1
Net finance costs (21.5) (24.0)
Interest on obligations under lease liabilities (0.6) (0.6)
Loss of income insurance proceeds 4.0 1.6
Tax (2.0) (2.0)
Cash flow from operating activities pre-working capital movements 111.9 110.1
Working capital movements
2.6
(5.3)
Cash flow from operating activities 114.5 104.8
Capital expenditure (58.3) (30.9)
Disposal of non-current asset 30.6 5.4
Insurance proceeds on fit-out – 4.7
Cash flow after investing activities 86.8 84.0
Ordinary dividends (88.5) (85.3)
Issue of share capital 0.8 108.0
Payment of lease liabilities (1.8) (1.8)
Loan arrangement fees paid (0.6) (3.7)
Increase/(decrease) in borrowings 2.7 (100.2)
Net cash (outflow)/inflow (0.6) 1.0
The Group’s interest cover for the period (expressed as the ratio of cash
generated from operations pre-working capital movements against
interest paid) was 6.1 times (2024: 5.6 times). This is calculated per below:
31March
2025
£000
31March
2024
£000
Cash generated from operations pre working capital
movements (see note 26) 131,999 135,086
Interest paid per cash flow statement (21,657) (24,069)
Interest cover 6.1x 5.6x
In the year capital expenditure outflows were £58.3 million, up from
£30.9 million in the prior year. This capital expenditure was principally
on the construction of new stores, and the continued roll-out of our
solar retro-fit programme. We expect the amount of capital expenditure
to increase next year, as we continue the build out of our pipeline.
Thedisposal of non-current asset of £30.6 million relates to the
proceedsfrom the sale of land adjacent to our Battersea store.
The cash flow after investing activities was a net inflow of £86.8 million,
an increase of 3% from £84.0 million in the prior year.
Balance sheet
Property
The Group’s open stores and stores under development owned at
31 March 2025, which are classified as investment properties, have
allbeen valued individually by JLL.
The external valuation has resulted in an investment property asset
value of £2,992.7 million, comprising £2,784.6 million (93%) for the
freehold (including nine long leaseholds) open stores, £22.9 million
(1%) for the short leasehold open stores and £185.2 million (6%) for
thefreehold investment properties under construction.
Investment property
The open store portfolio has increased in value by £78.8 million (3%).
Thisincrease in value arises from improvements in the cap rates on
certain stores, and growth in the projected cash flows.
The weighted average exit capitalisation rate used in the valuations was
5.2% in the current year, compared to 5.4% in the prior year.
Analysis of property portfolio
Value at
31March
2025
£m
Revaluation
movement in
theyear
£m
Investment property 2,807.5 78.8
Investment property under construction 185.2 0.9
Investment property total 2,992.7 79.7
Annual Report and Accounts 2025 Big Yellow Group PLC 41
Strategic Report Governance Report Financial Statements
The table below provides a further breakdown of the open store valuations:
Mature Lease-up Armadillo
Freehold Leasehold Freehold Largely Freehold Total
Number of stores 73 4 8 24 109
MLA capacity (sq ft) 4,619,000 244,000 552,000 1,006,000 6,421,000
Valuation at 31March 2025 (£m) £2,269.3m £18.8m £270.9m £177.3m £2,736.3m
Value per sq ft £491 £77 £491 £176 £426
Net initial year one NOI yield 5.0% 17.2% 3.5% 5.9% 5.0%
The total store valuation in this table differs to the balance sheet due
to the non-self storage investment property that the Group owns, such
as the Harrow Industrial Scheme. The net initial year one NOI yield is
5.0% (2024: 5.2%). Note 15 contains more detail on the assumptions
underpinning the valuations.
Investment property under construction
The Group spent £55.3 million on investment property under
construction in the year, the majority of which was construction
expenditure, with the only site acquisition in the year being Leamington
Spa. Slough Farnham Road transferred to investment property during the
year as the store opened. There was a revaluation surplus of £0.9 million
on the investment property under construction in the year.
The projected net operating income of the increase in our total capacity
of 1.0 million sq ft when stabilised is £32.5 million representing an
approximate 15.3% return on the incremental capital deployed. On a
proforma basis at stabilisation, the projected net operating income for
the 13 new stores and one replacement store is £36.6 million, a return
of approximately 8.7% on the total development cost of £422 million,
including land already acquired.
Purchaser’s cost adjustment
As in prior years, we have instructed an alternative valuation on our
assets using a purchaser’s cost assumption of 2.75% (see note 15 for
further details) to be used in the calculation of our adjusted diluted net
asset value. This Red Book valuation based on the special assumption
of 2.75% purchaser’s costs, results in a higher property valuation at
31 March 2025 of £3.11 billion (£116 million higher than the value
recorded in the financial statements). This translates to 58.7 pence per
share. This revised valuation translates into an adjusted net asset value
per share of 1,355.6 pence (2024: 1,296.4 pence) after the dilutive effect
of outstanding share options.
Receivables
The Group’s bad debt expense in the year represented 0.2% of revenue
compared to 0.2% in the prior year, with 81% of our customer base paying
by direct debit (2024: 80%).
Net asset value
The adjusted net asset value is 1,355.6 pence per share (see note 13), an
increase of 5% compared to 1,296.4 pence per share at 31 March 2024.
The table below reconciles the movement:
Movement in adjusted net asset value £m
Adjusted
NAV pence per
share
31 March 2024 2,561.9 1,296.4
Adjusted profit after tax 113.6 57. 5
Equity dividends paid (88.4) (44.7)
Revaluation movements 79.7 40.3
Movement in purchaser’s cost adjustment 5.0 2.5
Other movements (e.g. share schemes,
gain on disposal) 10.3 3.6
31 March 2025 2,682.1 1,355.6
Financial Review continued
Annual Report and Accounts 2025 Big Yellow Group PLC42
Borrowings
Our financing policy is to fund our current needs through a mix of debt, equity, and cash flow to allow us to build out, and add to, our development
pipeline and achieve our strategic growth objectives, which we believe improve returns for shareholders. We aim to ensure that there are sufficient
medium-term facilities in place to finance our committed development programme, secured against the freehold portfolio, with debt serviced by
our strong operational cash flows. We maintain a keen watch on medium and long-term rates and the Group’s policy in respect of interest rates is to
maintain a balance between flexibility and hedging of interest rate risk.
The table below summarises the Group’s debt facilities at 31 March 2025, with a current average cost of debt of 5.0% (March 2024: 5.4%).
Debt Expiry Facility Drawn Cost
Aviva Loan September 2028 £152.5m £152.5m 3.4%
M&G loan (£35 million fixed at 4.5%, £85 million floating) September 2029 £120m £120m 6.4%
Revolving bank facility (Lloyds, HSBC, and Barclays, floating) December 2027 (option to extend for further year) £300m £125m 5.7%
Total Average term 3.5 years £572.5m £397.5m 5.0%
In addition to the facilities above, the Group has a $225 million credit
approved shelf facility with Pricoa Private Capital (“Pricoa”), to be drawn
in fixed sterling notes. The Group can draw the debt in minimum tranches
of £10 million over the next year with terms of between 7 and 15 years at
short notice, typically 10 days.
The Group’s £300 million RCF has incorporated Sustainability-linked KPIs
into the loan, which include annual pre-agreed targets and are based on:
– reductions in Scope 1 and 2 emissions;
– increase in solar generation capacity;
– total annual grants to Big Yellow Foundation charity partners; and
– the value of storage space provided free of charge to local charities
in our stores.
Performance against the KPIs is measured annually, with a margin
decrease or increase applied to the headline margin. We are pleased to
report that the Group met all the KPIs in the first year of the loan and is
therefore benefitting from a 5bps margin reduction on the RCF.
The Group was comfortably in compliance with its banking covenants at
31 March 2025. Further details of the Group’s covenants are provided in
note 19 of the accounts. The Group’s key financial ratios are shown in the
table below:
Metric
31 March
2025
31 March
2024
Net Debt / Gross Property Assets 13% 13%
Net Debt / Adjusted Net Assets 14% 15%
Net Debt / Market Capitalisation 21% 18%
Net debt to Group EBITDA ratio 3.1x 3.0x
Cash generated from operations pre-working capital
movements against interest paid 6.1x 5.6x
At 31 March 2025, the fair value on the Group’s interest rate derivatives
was a liability of £1.3 million. The Group does not hedge account its
interest rate derivatives. The fair value movements are eliminated from
adjusted profit before tax, adjusted earnings per share, and adjusted net
assets per share. Cash deposits are only placed with approved financial
institutions in accordance with the Group’s Treasury policy.
Share capital
The share capital of the Company totalled £19.7 million at 31 March 2025
(2024: £19.6 million), consisting of 196,714,696 ordinary shares of 10p
each (2024: 196,195,287 shares). 0.5 million shares were issued for the
exercise of options during the year at an average exercise price of £12.60
(2024: 0.3 million shares at an average price of £10.77).
The Group holds 0.9 million shares within an Employee Benefit Trust
(“EBT”). These shares are shown as a debit in reserves and are not
included in calculating net asset value per share.
Metric
2025
No.
2024
No.
Opening shares 196,195,287 184,265,973
Shares issued in placing – 11,640,212
Shares issued for the exercise of options 519,409 289,102
Closing shares in issue 196,714,696 196,195,287
Shares held in EBT (881,360) (1,098,686)
Closing shares for NAV purposes 195,833,336 195,096,601
96.9 million shares were traded in the market during the year ended
31 March 2025 (2024: 111.2 million). The average mid-market price of
shares traded during the year was £11.09 with a high of £13.36 and a low
of £8.71.
Annual Report and Accounts 2025 Big Yellow Group PLC 43
Strategic Report Governance Report Financial Statements
The section below details the emerging and principal risks and uncertainties that are considered to have the most material impact on the Group’s
strategy and objectives. These key risks are monitored on an ongoing basis by the Executive Directors and considered fully by the Board in its annual
risk review.
Risk and impact Mitigation Change during the year and outlook
Self storage market risk
There is a risk to the business that the
self storage market does not grow
in line with our projections, and that
economic growth in the UK is below
expectations, which could result in
falling demand and a loss of income.
Self storage is a relatively immature market in the UK compared to
other self storage markets such as the United States and Australia,
and we believe has further opportunity for growth. Awareness of self
storage and how it can be used by domestic and business customers
isrelatively low throughout the UK, although higher in London.
The rate of growth of branded self storage on main roads in good
locations has historically been limited by the difficulty of acquiring
sitesat affordable prices and obtaining planning consent.
Our performance during the past five years has been resilient with
revenue growing by 58% from £129.3 million in the year ended 31 March
2020 to £204.5 million for this year. We believe that this performance is
due to a combination of factors including:
– a high quality and growing portfolio of freehold properties delivering
higher operating margins;
– a focus on London and the South East and other large urban
conurbations, where the drivers in the self storage market are at
their strongest and the barriers to competition are at their highest;
– continuing innovation and automation;
– an inclusive and non-hierarchical culture with a highly engaged team;
– a focus on delivering the highest levels of customer service;
– delivering on our strong ESG commitments;
– the UK’s leading self storage brand, with high and growing public
awareness and online strength; and
– strong cash flow generation from a secure capital structure.
We have a large current storage customer base occupying
approximately 73,000 rooms spread across the portfolio of stores and
hundreds of thousands more who have used our stores over the years.
Inany month, customers move in and out at the margin resulting in
changes in occupancy. This is a seasonal business and typically we see
growth over the spring and the summer months, with the seasonally
weaker period being the winter months.
The past three financial years have seen a
challenging geopolitical and macroeconomic
backdrop, with the Russian invasion of Ukraine
in February 2022, the US regional banking crisis,
the collapse of Credit Suisse, the conflict in the
Middle East, the impact of rising inflation and
interest rates, and more recently the imposition
of tariffs by the United States.
Rising inflation and interest rates impacted
thecost of living in the UK, and the level
of housing transactions fell as the cost of
mortgages increased.
The Group’s activity levels have been impacted by
this backdrop during the year and move-ins were
down 1% compared to the prior year. The quarter to
September was impacted by consumer hesitancy
in the lead-up to the new government’s Budget.
Inflation has moderated over the past twelve
months and interest rates and mortgage costs
have started to fall, however the impact of the
proposed US tariffs has yet to fully play through.
We have seen some competitor openings in
theyear in our areas of operation, although the
overall level of penetration of self storage in the
UK remains significantly below that of the US
andAustralia.
Principal Risks and Uncertainties
The Directors have carried out a robust assessment of the emerging and principal
risksfacing the Group, including those that would threaten its business model, future
performance, solvency, or liquidity. The Group maintains a low appetite to risk, in line
with our strategic objectives of providing a low volatility, high distribution business.
Annual Report and Accounts 2025 Big Yellow Group PLC44
Risk and impact Mitigation Change during the year and outlook
Property risk
There is a risk that we will be unable
toacquire new development sites
which meet management’s criteria.
This would impact on our ability to
grow the overall store platform.
Changing climate and resulting
likelychanges to planning
restrictionswill narrow choice
ofavailable sites further.
The Group is also subject to the risk of
failing to obtain planning consents on
its development sites, and the risk of
a rising cost of development.
Planning approval is increasingly
dependent on Social or Environmental
enhanced features (e.g. social
enterprise at Battersea, BREEAM
standards, local planners demands
for green spaces) – adding cost
andcomplexity.
Our management has significant experience in the property industry
generated over many years and in particular acquiring property on main
roads in high profile locations and obtaining planning consents. We do
take planning risk where necessary, although the availability of land,
and competition for it makes acquiring new sites challenging.
Our in-house development team and our professional advisers
havesignificant experience in obtaining planning consents for
selfstorage centres.
We manage the construction of our properties very tightly, working
withan established professional team of external advisers and
sub-contractors who have worked with us for many years to our
Big Yellow specification.
We carried out an external benchmarking of our construction costs
and tendering programme during 2023, which reinforced our current
approach, but also gave some areas where further efficiencies and cost
savings can be achieved, which we have been implementing since then.
The Group has acquired 14 sites over the past six
years, taking its total pipeline to 14 sites which,
when opened, would expand the Group’s current
MLA by 16%.
The planning process remains difficult and to
achieve a planning consent can take anything
from eighteen months to three years.
Local planning policy is favouring residential
development over other uses, and we don’t
expect this to change given the shortage of
housing in the UK.
We have planning consent on 10 of the 14
development sites and are currently on site
atnine of these.
Valuation risk
The valuation of the Group’s
investment properties may fall
duetoexternal pressures or the
impact ofperformance.
Lack of transactional evidence in
the self storage sector leads to
moresubjective valuations.
The portfolio is diverse with approximately 73,000 rooms currently
occupied in our stores for a wide variety of reasons.
The valuations are carried out by independent, qualified external valuers
who have significant experience in the UK self storage industry.
The revaluation surplus on the Group’s open
store investment properties was £78.8 million in
the year (an uplift of 3%), due to an improvement
in cap rates following recent transactions in the
sector and growth in underlying cash flows used
in the valuations.
There have been several larger portfolio
transactions across Europe over the past four
years, notably including the acquisition of
Lok‘nStore by Shurgard, which completed in
August 2024 and there is a weight of institutional
money looking to invest in self storage.
There is significant headroom on our loan to
value banking covenants.
Annual Report and Accounts 2025 Big Yellow Group PLC 45
Strategic Report Governance Report Financial Statements
Risk and impact Mitigation Change during the year and outlook
Treasury risk
The Group may face increased
costsfrom adverse interest
ratemovements.
Our financing policy is to fund our current needs through a mix of debt,
equity, and cash flow to allow us to selectively build out the remaining
development pipeline and achieve our strategic growth objectives,
which we believe improve returns for shareholders. We have made it
clear that we believe optimal leverage for a business such as ours should
be a debt to EBITDA ratio in the range of 3 to 4 times and this informs our
management of treasury risk.
We aim to ensure that there are sufficient medium-term facilities in
place to finance our committed development programme, secured
against the freehold portfolio, with debt serviced by our strong
operational cash flows.
We have a fixed rate loan in place from Aviva Commercial Finance
Limited, with three and a half years remaining. The Group has a
£120 million loan from M&G Investments, which is repayable in 2029.
For our revolving credit facility, we borrow at floating rates of interest.
The Group has a $225 million credit approved shelf facility with Pricoa
Private Capital (“Pricoa”), to be drawn in fixed sterling notes. The Group
can draw the debt in minimum tranches of £10 million with terms of
between 7 and 15 years at short notice, typically 10 days.
Our policy is to maintain a flexible borrowing structure, with a long-term
average of approximately 50% of our total borrowings fixed, with the
balance floating. At 31 March 2025 47% of the Group’s total drawn
borrowings were fixed or subject to interest rate derivatives. The Group
reviews its current and forecast projections of cash flow, borrowing and
interest cover as part of its monthly management accounts. Inaddition,
an analysis of the impact of significant transactions is carried out
regularly, as well as a sensitivity analysis assuming movements in
interest rates and store occupancy on gearing and interest cover.
Thissensitivity testing underpins the viability statement below.
The Group regularly monitors its counterparty risk. The Group
monitors compliance with its banking covenants closely. During the
year it complied with all its covenants and is forecast to do so for the
foreseeable future.
The Bank of England base rate has started
to reduce during the year, with it currently
at 4.25%,down from 5.25% at the start of our
financial year.
53% of the Group’s drawn debt is floating, and
hence the Group has benefitted from these and
any future reductions in the base rate.
Debt providers currently remain supportive to
companies with a strong capital structure.
The Group’s interest cover ratio for the
year ended 31 March 2025 was 6.1 times,
comfortably ahead of our banking covenants,
asdisclosed in note 19.
We keep our hedging arrangements under
reviewand if the long-term cost of borrowing
fordurations of ten to twelve years falls, we
willconsider taking out more longer-term debt,
which would increase the weighting of the
fixedelement.
Tax and regulatory risk
The Group is exposed to changes
in the tax regime affecting the cost
of corporation tax, property rates,
VAT,Stamp Duty and Stamp Duty
LandTax (“SDLT”).
The Group is exposed to potential
taxpenalties or loss of its REIT
statusby failing to comply with
theREIT legislation.
We regularly monitor proposed and actual changes in legislation with the
help of our professional advisers, through direct liaison with HMRC, and
through trade bodies to understand and, if possible, mitigate or benefit
from their impact.
HMRC has designated the Group as having a low-risk tax status, and we
hold regular meetings with them. We carry out detailed planning ahead
of any future regulatory and tax changes using our expert advisers.
The Group has internal monitoring procedures in place to ensure that the
appropriate REIT rules and legislation are complied with. To date all REIT
regulations have been complied with, including projected tests.
The Group has seen a significant increase in its
property rates bill over recent years, with the
2023 rating list reflecting the rise in industrial
rents over the past few years, alongside higher
levels of CPI inflating our cost. The rating list for
2026 will be published in the next few months,
and the Group may experience a further increase
in cost from this.
The corporation tax rate increased in April 2023,
and there is a risk that tax rates will rise further
in the medium-term to fund the increased
government deficits that have arisen from
thepolicy response to the pandemic.
The Group has also experienced an increase in
cost from the recent rises in National Insurance
and the National Living Wage. We have sought
to mitigate the impact of these through
reductions in store headcount as we continue
ourinvestment in automation.
Principal Risks and Uncertainties continued
Annual Report and Accounts 2025 Big Yellow Group PLC46
Risk and impact Mitigation Change during the year and outlook
Human resources risk
Our people are key to our success and
as such we are exposed to a risk of
high staff turnover, and a risk of the
loss of key personnel.
We have developed a professional, lively, and enjoyable working
environment and believe our success stems from attracting and
retaining the right people. We encourage all our staff to build on their
skills through appropriate training and regular performance reviews.
Webelieve in an accessible and open culture and everyone at all levels
is encouraged to review, and challenge accepted norms, to contribute
tothe performance of the Group.
The Group carried out an engagement survey
of its employees during the prior year, which
showed very pleasing results of the level of
engagement of our teams.
We have listened to the feedback from our
employees raised during our engagement
survey and made several changes to the Group’s
operations, included reviewing and relaunching
our Bright Ideas Suggestion Scheme, reviewing our
salary bands for Store employees, and personal
safety training having been provided for all team
members within our stores. We also introduced a
new Employee Assistance Programme, re-trained
our Wellbeing Experts and set up a specific
Wellbeing sub-site on our Intranet.
We are carrying out a full engagement survey in
May 2025, and will report on the results of that in
next year’s annual report.
Brand and reputation risk
The Group is exposed to the risk of
a single serious incident materially
affecting our customers, people,
financial performance and hence our
brand and reputation, including the
risk of a data breach.
We have always aimed to run this business in a professional way,
which has involved strict adherence with all regulations that affect our
business, such as health and safety legislation, building regulations in
relation to the construction of our buildings, anti-slavery, anti-bribery,
and data regulations.
We also invest in cyber security (discussed below), and make an
ongoing investment in staff training, facilities management, and the
maintenance of our stores.
We work closely with our key suppliers to ensure a consistency of
service from them.
To ensure consistency of service and to understand the needs of our
customers, we send surveys to every customer who moves in and
moves out of the business. The results of the surveys and mystery
shops are reviewed to continuously improve and deliver consistent
performance throughout the business.
We experienced a fire caused by arson at our Armadillo Cheadle
storein2022. Our crisis response team worked effectively in
managingthe incident.
We maintain regular communication with our key stakeholders,
customers, employees, shareholders, and debt providers.
The Group has a crisis response plan which
was developed in conjunction with external
consultants to ensure the Group is well placed
toeffectively deal with a major incident.
Security risk
The Group is exposed to the risk of
the damage or loss of a store due to
vandalism, fire, or natural incidents
such as flooding. This may also cause
reputational damage.
The safety and security of our customers, their belongings, stores,
and our staff remains a key priority. To achieve this, we invest in
state-of-the-art access control systems, individual room alarms,
digital CCTV systems, intruder and fire alarm systems and the remote
monitoring of all our stores outside of our trading hours. We are the
onlymajor operator in the UK self storage industry that has every
roomin every Big Yellow store individually alarmed.
We have implemented customer security procedures in line with
advicefrom the Police and continue to work with the regulatory
authorities on issues of security, reviewing our operational procedures
regularly. The importance of security and the need for vigilance is
communicated to all store staff and reinforced through training and
routine operational procedures.
We have continued to run courses for all our staff
to enhance the awareness and effectiveness of
our procedures in relation to security.
We have further invested in security
improvements in our stores during the year.
We have also invested in additional automated
reports and alerts which notify our overnight
monitoring station and the operating team of
suspicious customer activity.
We regularly review and implement
improvements to our security processes
andprocedures.
Annual Report and Accounts 2025 Big Yellow Group PLC 47
Strategic Report Governance Report Financial Statements
Risk and impact Mitigation Change during the year and outlook
Cyber risk
High profile cyber-attacks and data
breaches are a regular staple in
today’s news. The results of any
breach may result in reputational
damage, fines, or customer
compensation, causing a loss
ofmarket share and income.
The Group receives specialist advice and consultancy in respect of cyber
security, and we have dedicated in-house monitoring and regular review
of our security systems. We also limit the retention of customer data to
the minimum requirement.
Policies and procedures are under regular review and benchmarked
against industry best practice by our consultants. These policies also
include defend, detect and response policies.
We don’t consider the risk to have increased more
for the Group than any other business; however,
we consider that the threats in the entire digital
landscape do continue to increase and evolve.
As such we have continued to invest in cyber
security upgrading or replacing components
asrequired.
Climate change
related risk
The Group is exposed to
climate-change related transition
and physical risks. Physical risks
may affect the Group’s stores and
may result in higher maintenance
and repair costs. Failing to transition
to a low carbon economy may cause
an increase in taxation, decrease
in access to loan facilities and
reputational damage.
The good working order of our stores is of critical importance to our
business model.
We visually inspect each of our stores at least once per annum and
planned and unplanned work is discussed immediately.
Maintenance requirements are discussed at budget reviews; proposals
are made to raise climate change related issues to the Board, who may
request more holistic adaptation work to be carried out.
The key mitigation strategy to address transitional risks is the delivery
of our Net Renewable Energy Positive Strategy and the Net Zero Scope
1 and Scope 2 Emissions Strategy. Our investment to decarbonise
our business over the next eight years is expected to mitigate fully
against taxation (carbon tax) risk and reputational risks (both investors
andcustomers).
Our Sustainability Committee, chaired by
a Non-Executive Director, has delivered an
ambitious strategic plan to 2032.
We appreciate that both physical and transition
risks are expected to materialise to lesser or
greater extents over the coming years and costs
may go up gradually, hidden within what may be
perceived as ‘natural variations’. Our focus and
strong governance will allow us to continue to
mitigate the effects.
Internal audit
The Group employs a Head of Store Compliance responsible for reviewing
store operational and financial controls. He reports to the Chief Financial
Officer and meets with the Audit Committee at least once a year.
Thisrole is supported by three other team members, enabling additional
work and support to be carried out across the Group’s store portfolio.
TheStore Compliance team visits each operational store at least once
every nine months to carry out a detailed store audit. These audits are
unannounced, and the Store Compliance team carry out detailed tests
on financial management, administrative standards, and operational
standards within the stores. Part of the store staff’s bonus is based
on the scores they achieve in these audits. The results of each audit
are reviewed by the Chief Financial Officer, the Chief Operating Officer,
the Financial Controller, and the Head of Store Operations. This is the
equivalent of an internal audit function for the Group’s store operations.
For the key business cycles conducted at the Group’s head office,
external consultants are used to review the Group’s controls
on a rotational basis. The consultants produce a report with
recommendations which is discussed with management and reviewed
by the Audit Committee. The cycles covered by this activity include
construction expenditure, treasury, taxation, and facilities management.
During the year, the Group implemented new software to enable us to better
capture risks and controls and implement a formal testing cycle ahead
of the new Corporate Governance Code. With the assistance of external
consultants, we performed a detailed walk through of key processes.
Wehave developed a detailed Risk and Controls Matrix in these areas and
documented the workflows. These are embedded in the software, and with
reference to best practice will highlight any risks we can further develop
controls around, or any controls that could be improved.
With the combination of the store internal audit process, the external
assessment of the key business cycles, and the new software to manage
and report on risks, the Audit Committee considers that this provides a
robust internal audit assessment for the Group.
Going concern
A review of the Group’s business activities, together with the factors
likely to affect its future development, performance and position are set
out in the Strategic Report. The financial position of the Group, its cash
flows, liquidity position and borrowing facilities are shown in the balance
sheet, cash flow statement and accompanying notes to the financial
statements. Further information concerning the Group’s objectives,
policies, and processes for managing its capital; its financial risk
management objectives; details of its financial instruments and hedging
activities; and its exposures to credit risk and liquidity risk can be found
in this Report and in the notes to the financial statements.
At 31 March 2025 the Group had available liquidity of approximately
£184 million, from a combination of cash and undrawn bank debt
facilities. The Group additionally has a $225 million credit approved shelf
facility with Pricoa Private Capital to be drawn in fixed sterling notes.
TheGroup can draw the debt in minimum tranches of £10 million with
terms of between 7 and 15 years at short notice, typically 10 days.
TheGroup is cash generative and for the year ended 31 March 2025,
had cash flow from operating activities (after net finance costs
and pre-working capital movements) of £111.9 million, with capital
commitments at the balance sheet date of £77.5 million. The Group
has net current liabilities at the balance sheet date and draws on its
Revolving Credit Facility (current headroom of £175 million) as required,
as it is inefficient for the Group to hold significant amounts of cash.
Principal Risks and Uncertainties continued
Annual Report and Accounts 2025 Big Yellow Group PLC48
The Directors have prepared cash flow forecasts for a period of
18months from the date of approval of these financial statements,
considering the Group’s operating plan and budget for the year ending
31 March 2026 and projections contained in the longer-term business
plan which cover the 18 month going concern assessment period.
After reviewing these projected cash flows together with the Group’s
and Company’s cash balances, borrowing facilities and covenant
requirements, and potential property valuation movements over that
period, the Directors believe that, taking account of severe but plausible
downsides, the Group and Company will have sufficient funds to meet
their liabilities as they fall due for that period.
In making their assessment, the Directors have carefully considered
the outlook for the Group’s trading performance and cash flows as a
result of the current economic environment, considering the trading
performance of the Group over the recent dislocations in the global
economy from Covid-19, the Russian invasion of Ukraine and the impact
of rising inflation. The Directors have also considered the performance
of the business during the Global Financial Crisis. The Directors modelled
several different scenarios, including material reductions in the Group’s
occupancy rates and property valuations, and assessed the impact of
these scenarios against the Group’s liquidity and the Group’s banking
covenants. The scenarios considered did not lead to breaching any of the
banking covenants, and the Group retained sufficient liquidity to meet its
financial obligations as they fall due.
Consequently, the Directors continue to adopt the going concern basis in
preparing the Group and Company financial statements.
Viability statement
The Directors have assessed the Group’s viability over a four-year period
to March 2029. This period is selected based on the Group’s long-term
strategic plan to give greater certainty over the forecasting assumptions
used. As in the assessment of going concern, the Directors have modelled
several different scenarios on the Group’s future prospects.
In making their assessment, the Directors took account of the Group’s
current financial position, including committed capital expenditure.
The Directors carried out a robust assessment of the emerging and
principal risks and uncertainties facing the business, their potential
financial impact on the Group’s cash flows, REIT compliance and financial
covenants and the likely effectiveness of the mitigating options detailed.
The Directors have assumed that funding for the business in the form
of equity, bank debt and debt provided by insurance companies will
be available in all reasonably plausible market conditions. Whilst the
eventual impact of the current economic environment on the Group is
uncertain, and may not be known for some time, the Group has a highly
cash generative business, good liquidity and has proved resilient in its
trading in recent years.
Based on this assessment the Directors have a reasonable expectation
that the Company and the Group will be able to continue operating and
meeting all their liabilities as they fall due to March 2029.
Climate-Related Risks andOpportunities
TCFD compliance statement
Big Yellow recognises the importance of addressing climate-related
risks and opportunities in our business operations and decision-making
processes. As such, we are committed to transparently disclosing
our approach ‘to managing climate-related risks and opportunities’
in alignment with the recommendations of the Task Force on
Climate-related Financial Disclosures (“TCFD”). Our disclosures are
consistent with ten of the eleven TCFD recommendations set out in the
report entitled ‘Recommendations of the Task Force on Climate-related
Financial Disclosures’ published in 2017 and updated in 2021 by the
TCFD. The area we are continuing to work on is in respect of our Scope
3 emissions disclosures. Our disclosures encompass all four pillars
outlined by the TCFD framework in line with the UK’s Financial Conduct
Authority Listing Rules. These are detailed below:
Pillar Disclosure Location
Governance Describe the Board’s oversight of
climate-related risks and opportunities
Governance
page 50
Describe management’s role in
assessingandmanaging climate-related
risksand opportunities
Governance
page 50
Strategy Describe the climate-related risks and
opportunities the organisation has identified
over the short, medium, and long-term
Strategy
page 50
Describe the impact of climate-related
risks and opportunities have had on the
organisation’s businesses, strategy and
financial planning
Strategy
page 51
Describe the resilience of the strategy, taking
into consideration different climate-related
scenarios, including a 2°C or lower scenario
Strategy
page 52
Risk
Management
Describe the organisation’s processes
foridentifying and assessing
climate-relatedrisks
Risk Management
page 55
Describe the organisation’s process for
managing climate-related risks
Risk Management
page 55
Describe how processes for identifying,
assessing, and managing climate-related
risks are integrated into the organisation’s
overall risk management
Risk Management
page 55
Metrics &
Targets
Disclose the metrics used by the organisation
to assess climate-related risks and
opportunities in line with its strategy and risk
management process
Metrics & Targets
page 55
Disclose Scope 1, Scope 2, and, if appropriate,
Scope 3 greenhouse gas (GHG) emissions,
and the related risks
Metrics & Targets
page 55
Describe the targets used by the
organisationto manage climate–related
risksand opportunities and performance
against targets
Metrics & Targets
page 55
Annual Report and Accounts 2025 Big Yellow Group PLC 49
Strategic Report Governance Report Financial Statements
Governance
Board oversight
Our Chief Executive has overall responsibility for climate-related risks
and opportunities. Ongoing oversight of climate-related issues is carried
out by our Sustainability Committee, chaired by our Non-Executive
Director for Sustainability, and attended by our Head of Sustainability
and the Executive Leadership Team. The Sustainability Committee meets
twice yearly.
The Board is updated on relevant aspects of our sustainability strategy
at each meeting. In addition, climate-related risk has been defined as a
‘principal risk’ and managed as part of our standard business risk process.
Management’s role
The Quarterly Environmental Committee has been tasked by the CEO with
assessing climate change risk exposure and to feed that back into the
Business Risk Process, the Sustainability Committee, where it intersects
with the Sustainability Strategy, and to the CEO. It will then be available
to the CEO, CFO and the Board for discussion. Outputs of the work will
be used to submit to external benchmarks and enhance ESG reporting.
Theprogress of the work on the TCFD is guided and monitored by the Head
of Sustainability who manages the Quarterly Environmental Committee.
As part of the existing business risk process, the Company assesses,
amongst other things, the impact the (temporary) loss of a store has
on the business. That loss could occur through any number of reasons;
the Environmental Committee will provide input into the business risk
process with climate-related specific risks and opportunities.
For more detail on our governance structure and management’s role in
assessing and managing climate-related risks and opportunities, please
see the link below. This is kept as an independent document as this is of
interest to some of our stakeholders separately from our annual report
and accounts.
https://corporate.bigyellow.co.uk/download_file/view/996/236
Strategy
In order to address this pillar, we have identified the material climate
related risks and opportunities, the impact they have on our business
and our response to them. We have considered both a high carbon
(RCP8.5) and low carbon (RCP 2.6) scenario over three different time
frames. Finally, we have described how we have incorporated climate
change resilience holistically into our organisation.
Identifying climate-related risks and opportunities over
our short, medium and long term time horizons.
Big Yellow has assessed the 10 main risk themes defined by the TCFD
framework in our ‘Managing Climate Risk and Opportunities’ document
Managing_Climate_Related_Risks_and_Opportunities_2022.pdf
(https://corporate.bigyellow.co.uk/application/files/9616/5235/3338/
Managing_Climate_Related_Risks_and_Opportunities_2022.pdf). The 10
topics are: Current regulation; Emerging Regulation; Technology; Legal;
Market; Reputation; Acute physical; Chronic physical; Upstream and
Downstream. Using CDP terminology, seven of the TCFD climate-related
risk themes are assessed as ‘relevant, always included’ (in bold); two are
assessed as ‘relevant, sometimes included’; and one is assessed as ‘not
relevant, included’.
Climate-related risks are broken down into Physical and Transitional
risksand are prioritised based on the potential severity of their impact
onthe business. The below table illustrates carbon scenario, time periods
and the importance of the risks identified by the CSR department and
Environmental Committee.
We have assessed the physical risks through the use of a physical
climate risk assessment platform. The platform uses climate model
outputs to assess the exposure level against a variety of climate
hazards. We have used the platform to determine the potential financial
impact of the same climate hazards, and the resultant impact informs
the below table for physical risks.
Within the platform we have used the SSP1 (RCP 2.6) scenario for the
resultant impact materiality for our risk themes in the table below, this
scenario relates to +2°C of warming and assumes that emissions rise in
the short term and then stabilise as the world focuses on sustainable
development and emitted carbon reduces.
Defining timeframes
Our climate risk modelling is based on standard scientific time
horizons: 2021–2040 (short-term), 2041–2060 (medium-term), and
2081–2100 (long-term), consistent with global scenario analysis
frameworks. Thesehave been mapped to our internal business planning
cycles (2025–2030, 2031–2040, and 2041+) to support meaningful
integration of climate-related risks and opportunities into investment
decision-making and strategic planning. While our business planning
does not currently extend to the 2081–2100 period, we have used
long-term climate modelling to inform resilience thinking and high-level
risk exposure over the life cycle of long-lived assets.
TCFD/Climate Tool Timeframe Definition
Mapped Business
PlanningPeriod
Short-term
(2021–2040)
Emerging transition risks 2025–2030 & 2031–2040
Medium-term
(2041–2060)
Escalating transition/
physical risks
2041–2050 (earliest
long-term plan)
Long-term
(2081–2100)
Major physical
riskexposure
Beyond business
planninghorizon
Principal Risks and Uncertainties continued
Annual Report and Accounts 2025 Big Yellow Group PLC50
Defining impact in financial terms
To assess and prioritise climate-related risks and opportunities, we have
developed a financial impact rating framework with defined monetary
thresholds. These thresholds have been calibrated to reflect the scale
and nature of our operations, providing a consistent basis for evaluating
materiality across a range of scenarios. We classify financial impacts
as low (up to £250,000), medium (£251,000 to £1 million), and high
(£1 million to £5 million), based on potential direct and indirect effects
on revenue, costs, or asset value. These thresholds align with our internal
financial planning, risk appetite, and historic variance levels, ensuring
that identified risks and opportunities are meaningful to our business
context and support informed decision-making.
Defining overall impact boundaries
To assess the significance of climate-related risks and opportunities, we
apply a combined view of potential financial and business impacts over
short-, medium-, and long-term time horizons. Impacts are classified into
four categories: negligible, low, medium, and high, based on the scale
of disruption or opportunity they represent to our operations, financial
performance, and strategic objectives.
This framework allows us to prioritise risks and opportunities by
considering both the likelihood and magnitude of impact across different
timeframes, ensuring our climate resilience planning is proportionate and
forward-looking.
Negligible – impact is minimal or not expected to result in any meaningful
environmental, social, or financial consequences.
Low – impact is limited in scope or scale, with only minor implications for
the business or affected stakeholders. It may be monitored but does not
require strategic intervention.
Medium – impact is notable and may influence operational, reputational,
or regulatory outcomes. It warrants active management and integration
into risk and opportunity assessments.
High – impact is significant, likely to influence decision-making,
financial performance, or stakeholder expectations. It requires ongoing
management and is material to strategy and reporting.
Risk Type Description Risk Theme Scenario
Potential Materiality
(1)
For visibility
Short-Term Medium-Term Long-Term Strategic Response
Physical Risks
Heat Stress Increase in energy costs due
to increased cooling needs.
Chronic
physical
RCP 2.6
Installation of solar systems and energy
efficiency measures across the estate
reduce dependency on the grid.
Temperature
Variability
Increase in maintenance
costs following higher
extreme usage.
Chronic
physical
RCP 2.6
(3)
Refurbing our stores to ensure air
conditioning units are properly sized for
ourreception areas.
Precipitation
hydrological variability
Risk of more frequent roof
leaks from faulty gutters.
Chronic
physical
RCP 2.6
Annual gutter maintenance reduces risk
of leaks.
Cold Wave Increased energy needs in
heating reception areas and
office spaces.
Acute
physical
RCP 2.6
Installation of solar systems, battery
systems and energy efficiency measures
across the estate reduce dependency on
the grid.
Flooding
(2)
Increase surface flooding
damaging subterranean floors.
Acute
physical
RCP 4.5 Flood attenuation tanks for new built stores.
Importance:
Negligible Low Medium High
(1)
Short-term is determined to be from 2021 to 2040, Medium-term from 2041 to 2060 and Long-term 2081 to 2100.
(2)
Flood risk uses scenario RCP 4.5 as the models for scenarios RCP 2.6 is not available. RCP 4.5 represents a +2.5°C business as usual scenario where the sustainable development and progress
continues but not to the extreme. This scenario also uses different timeframes to the RCP 2.6 with short term up to 2030, medium term 2031 to 2050 and long term 2051 to 2080.
(3)
The UK experiences a climate oscillation in the Medium-term (2041 to 2060) which significantly reduces the impact of the temperature variability risk. Climate oscillations such as the Atlantic
Multidecadal Oscillation (“AMO”) have a long-term cycle of 20-40 years and can amplify or mask long-term global warming trends.
Annual Report and Accounts 2025 Big Yellow Group PLC 51
Strategic Report Governance Report Financial Statements
Principal Risks and Uncertainties continued
Climate-related risks: Physical Risks
Using this platform both flooding and increased heat stress will likely
have some financial impact on Big Yellow. It may also have a reputational
impact if stored goods are affected and an indirect financial cost through
rising insurance premiums.
Heat stress
The platform determines heat stress through increases in the yearly
average of daily maximum air surface temperature.
Across both scenarios a +2°C (RCP 2.6) and +4°C (RCP 8.5) scenarios,
all of our stores may experience heat stress in all three-time horizons.
The financial impact for longer periods of hot weather could come from
a range of impacts, such as increase in use of ventilation/cooling,
heat damage to goods being stored, detrimental impact on immediate
neighbourhoods through urban island heat effects and community
pressure to address heat issues.
Temperature variability
We have used the system to determine which of our sites are exposed to
temperature variability and the possible resultant financial impact.
Across both a +2°C (RCP 2.6) and +4°C (RCP 8.5) scenario, the majority
of Big Yellow stores have a medium exposure to varying temperatures.
The financial impact of varying temperatures would mainly come from
increased maintenance of cooling/heating units. This is projected to have
a low financial impact on the business. The UK experiences a climate
oscillation in the Medium-term (2041 to 2060) which significantly
reduces the impact of the temperature variability risk. Climate
oscillations such as the Atlantic Multidecadal Oscillation (“AMO”) have
along-term cycle of 20-40 years and can amplify or mask long-term
global warming trends.
Cold wave/frost
The platform determines the impact of cold waves/frost through
the variation in yearly number of days when minimum air
surfacetemperature (2m temperature) is below 0°C following
theIPCCAR6WGIformula.
In a +2-degree scenario 55 stores are predicted to experience 1-2 months
of temperatures below 0°C in the short term, dropping to 29 stores in the
long term as temperatures increase. The main financial impact would
come from the increased energy needs in heating reception areas and
office spaces. This financial impact is expected to be low as our energy
demands decrease over time.
Flooding
Flood risk damage is modelled within the platform under a +2-3°C
(RCP4.5) scenario to test the resilience of the strategy.
We have enhanced our approach to flood risk assessment by adopting
a more comprehensive platform that considers a wider range of factors
beyond traditional flood zone classifications. As a result, the number
of our stores identified as being at risk of flooding has been updated
to reflect this improved methodology. The scenario applied to model
flood risk uses different time frames; as a result up to 2030 we have
only two stores which are at a high risk of damage due to flooding, in the
longer term this increases to nine stores which may experience high
levels of damage due to flooding. This risk is mitigated as five of the nine
stores contain measures to minimise impacts, such as flood defences
and attenuation tanks. We anticipate that we will be monitoring the
adequacies of these measures going forward.
The financial impact of flooding could come from a range of impacts, such
as damage to goods stored on the ground and basement floors, the cost of
unblocking drains, clearing up large scale flooding, and for stores near coastal
areas corrosion-related damage to the building due to saltwater intrusion.
Precipitation variability
To determine the impact of precipitation variability the platform uses
variation in the precipitation mean to determine the risk.
In a +2°C scenario four Big Yellow stores are rated as extreme exposure
tochanging precipitation and 52 stores highly exposed to this risk,
however the financial impact is low, leaving the resultant impact as
minor. The financial impact from this is in the more frequent maintenance
of the building infrastructure that is exposed to a large amount of rain
falling over shorter time frames, such as roofs, gutters, and signage.
Annual Report and Accounts 2025 Big Yellow Group PLC52
Risk Type Description Risk Theme Scenario
Potential Materiality
Short-Term Medium-Term Strategic Response
Transitional Risks
Stranded Assets Assets no longer complaint
with future regulations.
Market
We will continue to monitor emerging regulations to ensure
our stores remain compliant.
Reputational Risk Affecting stakeholder trust
andmarket position.
Reputation
We will continue to update and deliver on our strategy.
Increase in carbon/
emission taxation
&fines
Exposure to taxation
increases.
Current
regulation
We will continue to reduce our Scope 1 & 2 emissions.
Building Standards Increase in standards,
especially for buildings.
Emerging
regulation
We will continue to monitor emerging regulations to ensure
our stores remain compliant.
Scope 3 reporting A significantly higher
financialreporting burden
including Scope 3.
Emerging
regulation
We have invested in a new platform to manage Scope 3
reporting.
Importance:
Negligible Low Medium High
Climate related risks: Transition Risks
There are a number of consequences of changing climate that the
Sustainability Committee deems likely to occur:
– a focus on electrification and decarbonisation;
– an increase in carbon / emission taxation and fines (unlikely that
there will be significant incentives);
– an increase in standards, especially for buildings;
– a significantly higher financial reporting burden including Scope 3; and
– the introduction of a price of carbon.
The Environmental Committee has proposed, and the Sustainability
Committee agrees, that decarbonising our business is important to
allow us to:
A. avoid the risk of “stranded assets”;
B. maximise the opportunity to invest at the right time, optimising costs;
C. minimise carbon / emission taxation; and
D. provide EV charging pods for our staff and customers in all new stores.
Stranded assets
The risk of ‘stranded assets’ is a focus for investors and so becomes a
material concern to us. This has been part of our risk process considered
throughout the year by the Environmental committee as well as the
Board and the risk management review. We have a clear plan to improve
the efficiency of our buildings working on the continual upgrade of all
EPCs across the estate. 94% of the estate is currently at a B or above, and
we will have all directly owned stores at a B or above by 2028. We also
undertake CRREM analysis to identify potential stranded assets which
we target for efficiency measures and refurbishment.
Reputational risk
We believe that not tackling these physical and transitional risks head
on has a real potential of damaging our reputation. In the process of
undergoing a double materiality assessment last year we have had
this reinforced with climate related topics featuring in four of the nine
material topics.
Increase in carbon/emission taxation
An increase in carbon/emission taxation and fines is likely to occur
overthe longer term. We are continuously horizon scanning for
changesin regulation.
Financial reporting burden
There has been a substantial change in the reporting regulations in
the EUover the past 12 months. We have made the decision to align
ourselves with these reporting requirements. Although they are not
mandatory for Big Yellow, we have made the decision to align with the
CSRD so that our reporting is comparable to our European REIT peers.
Annual Report and Accounts 2025 Big Yellow Group PLC 53
Strategic Report Governance Report Financial Statements
Principal Risks and Uncertainties continued
Growth in demand for renewable energy
Big Yellow are investing heavily into the retrofit of renewable energy
across our estate with solar being installed on all roofs that can feasibly
hold the weight of panels. All new stores will have at least 100kWp of solar
installed with the roof space being maximised with solar where possible.
Growth in solar and battery markets driven by decarbonisation
The successful completion of our battery pilot has allowed us to learn
from the issues that arose. We have a project plan that will allow us to
couple batteries with solar generation across the estate, reducing our
resilience on the national grid further, whilst at the same time continuing
to decarbonise our activities.
Transition away from fossil fuelled heating and Natural Gas
Our Sustainability strategy sets out how we intend to deliver a
decarbonised business. The work to move away from gas boilers has
seen a further six boilers removed this year. The remaining two stores will
have their heating swapped to electric over the next two financial years.
Resource Efficiency
To continue our progress towards our SBT of 70% reduction of our
FY2019/20 Scope 1 & 2 emissions by 2032, we are deploying a range
of lighting and heating controls to improve the energy efficiency and
operation of our stores.
Growth of EV transport market
We believe this is becoming an even stronger consumer preference, and
we only use renewable energy at our stores and provide EV charging pods
for our staff and customers.
Impact of climate-related risks and opportunities
haveonthe organisation’s businesses, strategy and
financial planning
Both physical and transition risks are expected to materialise to a lesser
or greater extent over the coming years and costs may go up gradually,
hidden within what may be perceived as ‘natural variations’.
The initial view was to establish a ‘trigger’ metric that will prompt the
Group to review current measures taken and therefore allow for strategic
decision-making if thresholds are exceeded.
On discussing how this may work on an operational level, we felt that our
current processes in place are sufficient to maintain a close watch on
increasing costs driven by climate change.
We deem our current understanding of the inherent physical risks to our
assets and the unique features of each of our stores to be more than
enough to manage future changes.
Physical risk planning process – identifying emerging
issues through visual inspection and half yearly
budgetreviews
The Executive Directors visually inspect each of our stores at least once
per annum; they are usually accompanied by the Head of Estates and
Facilities, and planned and unplanned work is discussed immediately.
The budgeting process then allows the CFO as well as Head of Estates
and Facilities to prioritise both planned and unplanned maintenance.
The budget review by the Financial Controller looks at planned costs
compared to historic years and where costs are changing year on year.
This is the point at which trends may be identified and proposals are
made to raise climate change related issues to the Board, who may
charge the Environmental Committee to identify such a solution.
Climate related opportunities
Opportunities, arising from risks explored above, are also identified where possible and integrated within the Company’s strategic and financial
planning. Our internal processes and scenario analysis also identify possible climate-related opportunities – these are listed in the table below.
Short-term is determined to be from 2021 to 2040, Medium-term from 2041 to 2060 and Long-term 2081 to 2100.
Climate-related Opportunity Company Response
Potential Materiality For visibility
Short-Term Medium-Term Long-Term
Growth in demand for renewable energy Investment into retrofitting existing stores with PV systems.
Aim for all new stores to be fitted with minimum 100kWp PV system.
Purchasing 100% renewable energy.
Growth in solar and battery markets driven
bydecarbonisation
Investing in battery energy storage systems.
Investing into retrofitting existing stores with batteries.
Transition away from fossil fuelled heating
andNatural Gas
Investing into retrofitting existing gas boilers with Heat pumps.
Resource Efficiency Deploying energy efficiency measures throughout our stores.
Growth of EV transport market Deploying electric vehicle chargers for all new stores.
Importance:
Negligible Low Medium High
Annual Report and Accounts 2025 Big Yellow Group PLC54
Transitional risk planning process – identifying issues via
our internal and external Sustainability community
The Head of Sustainability or the Environmental Committee or the
Non-Executive Director for Sustainability may identify aspects that
could pose a risk to the Group and they may raise these either at
the Environmental Committee or at the Sustainability Committee.
Specificrisks, such as those connected to Planning for our future
storeopening programme, may be integrated into the standard
BusinessRisk process.
Where we identify that a larger scale change needs to be considered,
such as replacing gas heating with electric or battery retrofits, this will
beassessed either by the Environmental Committee or if significant
extra budget is required, at the Board level Sustainability Committee.
Risk Management
Identification, assessment and management of
climate-related risks
Big Yellow has a rigorous system of risk management and internal control
which includes the identification and assessment of climate-related
risks. As detailed earlier in this document we have mapped out our
ten risk themes and categorised them as transitional or physical.
Understanding and quantifying the impact these could have on our
business, strategy and financial planning has been considered.
For more detail on our governance structure and management’s role in
assessing and managing climate-related risks and opportunities, please
see the link below. This is kept as an independent document as this is of
interest to some of our stakeholders separately from our annual report
and accounts.
https://corporate.bigyellow.co.uk/download_file/view/996/236
Metrics and Targets
Disclosure of metrics to assess climate related risks
andopportunities.
We have created a broad range of environmental metrics and targets with
the intention of enabling our stakeholders to make informed decisions.
The full comprehensive list has been compiled in response to the full
Double Materiality Assessment that has been conducted this year.
For full information and detail about our targets, metrics including Scope
1, 2 and 3 GHG emissions please see our full ESG report.
Metrics
The metrics found below are taken from the Double Materiality Assessment
results and are those that are relevant to the main risk themes defined by
the TCFD framework detailed at the beginning of the report.
Climate-related risk metrics
Aspect KPI 23-24 24-25 Target
Regulation EPCs at least a B 70 stores, 64% 103 stores, 94% All directly owned stores EPCs to B or
above by 2028
Acute Physical – flooding % of stores built in year with flood attenuation tanks 100% 100% 100%
Chronic physical –
Precipitation hydrological
variability
Investment in roof and gutter works to mitigate risks
from water ingress
New for 2024-25 £425,000 £1 million per annum to 2028
Climate-related opportunities metrics
Aspect KPI 23-24 24-25 Target
Transitioning to a low
carbon economy
% of total energy from renewable energy generation
(1)
26% 39% 100% + by 2030
Investment in retrofitting activities to drive
decarbonisation (approximately)
(2)
£6.0m
(2)
£4.5m
(2)
£2m per annum to 2028
% of electricity purchased from renewable sources
(market-based)
100% 100% 100%
Greenhouse Gas (GHG) emissions intensity from
building energy consumption (Scope 1 & 2) –
tCO
2
e/CLA(m
2
)
3.8 3.4 As per our Sustainability Strategy
Greenhouse Gas (GHG) emissions intensity from
Scope3 – tCO
2
e/CLA (sq ft)
0.0021 Scope 3 calculations
to be published with
half year results
As per our Science Based Targets
Market opportunities Deploy electric vehicle charging pods for customers
and employees at each newly built store
2 x 7KWh chargers
atone store
4 x 7KWh chargers
atone store
At least 1 per store
(1)
We have updated this indicator to include total energy as the sum of import grid use, solar used and gas used
(2)
Figure includes removal of gas boilers, retrofitting of solar installations all energy efficiency related projects and PHEV
Annual Report and Accounts 2025 Big Yellow Group PLC 55
Strategic Report Governance Report Financial Statements
Disclosure of Scope 3 emissions
The Group is currently in the process of calculating its Scope 3 emissions
for the year ended 31 March 2025, which is currently a time-consuming
and largely manual process. We have procured new software which
we will be implementing in the year ending 31 March 2026 which will
assist in producing more timely Scope 3 emissions data. We intend to
publish our Scope 3 data for the year ended 31 March 2025 with our
half year results. For this reason, we consider ourselves to not be in full
compliance with the TCFD requirements at this stage.
Targets
Targets to manage climate-related
risksandopportunities.
Emissions
We have set out our full pathway for all Scope 1, 2 and 3 Emissions by
2032 in our Sustainability Strategy.
In order to achieve our emissions reductions commitments, we have set
a number of sub-targets that need to be achieved along our pathways.
These are summarised in our annual ESG report, as well as in the
Directors’ Report.
In order to track progress against our science-based targets, we have our
Scope 3 footprint calculated annually starting with the calculation for the
year ended 31 March 2023. For more information on this please refer to
our Benchmarks and Standards section in the Full ESG Report.
EPCs
94% of EPCs for our store portfolio are in the ‘Green’ range, i.e. an A+, A, B
rating. We have 5 stores at a C rating either waiting for solar to be installed
or that are leasehold, and the responsibility rests with the landlord.
Thefinal store with an EPC rating of D is due for renovation in 2025-26.
100% of our stores are covered by an Energy Performance Certificate.
EPC by Number of Stores
We aim to achieve a good balance between disclosing our risks and any
mitigating actions we are taking and protecting commercially sensitive
information. We trust this section achieves this balance; for any further
questions, please contact csr@bigyellow.co.uk.
EPC Certified – C: 5
EPC Certified – A: 30
EPC Certified – B: 67
EPC Certified – A+: 6
EPC Certified – D: 1
Principal Risks and Uncertainties continued
Annual Report and Accounts 2025 Big Yellow Group PLC56
In performing this Section 172 requires a Director to have regards among
other matters to:
– the likely consequences of any decision in the long-term;
– the interests of the Company’s employees;
– the need to foster the Company’s business relationships with
suppliers, customers and others;
– the impact of the Company’s operations on the community and the
environment;
– the desirability of the Company maintaining a reputation for high
standards of business conduct; and
– the need to act fairly with members of the Company.
The Directors give careful consideration to the factors set out above in
discharging their duties under section 172. The Board’s obligations under
Section 172 are considered at Board meetings within each relevant
section of the Board pack. The stakeholders we consider in this regard
are our employees, our customers, our shareholders, our suppliers, and
the environment. The Board recognises that building strong relationships
with our stakeholders will help us to deliver our strategy in line with our
long-term values and operate the business in a sustainable way.
The Board regularly receives reports from management on issues
concerning customers, the environment, suppliers, employees, and
investors, which it takes into account in its discussions and in its
decision-making process under Section 172.
Stakeholder engagement
The Board is committed to effective engagement with all of our key
stakeholders. The importance of each matter may differ to each
stakeholder group, and hence the Group seeks to understand the
relevant interests and priorities of each stakeholder Group, and to have
regard to these in its decision making. The Board does acknowledge
that not every decision that it makes will necessarily result in a positive
outcome for all stakeholders.
Information on interaction with our key stakeholders is included in the
Corporate Governance Report on pages 83 to 89.
Further information
You can read further information on stakeholder engagement and our
approach to S172 in the following places:
Employees
Chief Executive’s Statement (page 18)
ESG Report (page 67)
Governance (page 89)
Customers
Chief Executive's Statement (page 18)
Operating Review (page 26)
Governance (page 88)
Suppliers
ESG Report (page 72)
Governance (page 88)
Investors
Chairman’s Statement (page 14)
Chief Executive's Statement (page 19)
Our Strategy (page 20)
Our Investment Case (page 22)
ESG Report (page 74)
Environment
Chief Executive's Statement (page 19)
ESG Report (pages 58 to 74)
Long-term
Chairman's Statement (page 14)
Chief Executive's Statement (page 18)
Our Strategy (page 20)
Our Investment Case (page 22)
Risk Management (page 44)
Viability Statement (page 49)
Section 172 Statement
Section 172 of the Companies Act 2006 requires a Director of a Company to act in the
way they consider, in good faith, would be the most likely to promote the success of the
Company for the benefit of its members as a whole.
Annual Report and Accounts 2025 Big Yellow Group PLC 57
Strategic Report Governance Report Financial Statements
Environmental, Social and
Governance Report
Big Yellow Group PLC (“Big Yellow”) is committed to responsible and sustainable
business practices.
Introduction
The Big Yellow Board recognises that corporate social responsibility
(“CSR”) – when linked to clear commercial objectives will create a more
sustainable business and increase shareholder and customer value,
in both the medium and long term. People, Planet and Profit need to be
aligned to make a sustainable business.
Big Yellow seeks to meet the demand for self storage from businesses
and private individuals by providing the storage space for their
commercial and/or domestic needs, whilst aiding local employment
andcontributing to the local community.
Our CSR Policy covers all of Big Yellow’s activities, which now includes
109 trading stores and 14 proposed stores in the development
pipeline, as both an operator and a developer of self storage facilities.
We recognise that our operations can have significant economic,
environmental, and social impacts. We are therefore committed to
assessing our Environmental Social & Governance (“ESG”) risks and
opportunities, taking appropriate steps to mitigate negative impacts
and,where possible, enhance positive impacts for the benefit of our
business, our stakeholders, and our local environment.
The governance of our sustainability activities is delivered by the Board
level Sustainability Committee, chaired by Non-Executive Director,
Heather Savory. For an update on the activities of the Committee please
see the Sustainability Committee Report on page 94. Heather, along
with the Board, oversees the sustainability agenda delivered by the
Environmental Committee and the Head of Sustainability.
The outcome of operating responsibly is the social value that we create
and the long-term resilience of our business when faced with external
pressures and changes, such as a changing climate and a changing
political and legislative environment.
Our full ESG Report and the relevant sections within our Annual Reports
and Accounts (the Directors’ Report and the ESG section) have been
prepared in accordance with the Companies (Directors’ Report) and
Limited Liability Partnerships (Energy and Carbon Report) Regulations
2018 implementing the Streamlined Energy and Carbon Reporting
(“SECR”) requirements. The Greenhouse Gas (“GHG”) section of the
ESG report has been reported in accordance with the WRI/WBCSD GHG
Protocol – a Corporate Accounting and Reporting Standard.
Our health and safety reporting are stated in accordance with the UK
Health and Safety Executive guidance. You can read more about our
business model on page 22.
Annual Report and Accounts 2025 Big Yellow Group PLC58
1. ESG executive summary
1.1 CEO introduction
This year, we have built on the insightful work from our Double Materiality
Assessment in 2024. This appraisal analyses both how a company's
activities impact the environment and society (impact materiality),
and how the company is influenced by sustainability issues (financial
materiality). This assessment provided a framework to focus our efforts
and broaden the topics we examine in depth. This, in turn, has led to the
procurement and implementation of a new data management system.
With this new system, we now have far better visibility of the impacts our
projects and investments are having. Continuing our journey of Corporate
Sustainability Reporting Directive (“CSRD”) alignment, as we committed
last year, we've increased the scrutiny level of our audited data and we
are now more confident in the quality and reliability of the data we hold.
An important project this year has been the successful installation of a
second pilot battery at our Slough Farnham Road store. It gives our new
store in Slough Farnham Road increased resilience against energy cost
inflation by storing and reusing energy generated by the solar array
on the store’s roof. The percentage of generated energy used onsite is
24% across the estate but is 67% for Slough. With the data available to
date, we believe this investment will pay back in just over nine years.
Weintendto build new stores with combined solar and battery. Weare
also considering retrofitting a further three stores. This will give us
a portfolio of seven stores in which to assess the performance and
returnson investment from which to inform our strategy going forward.
We have removed all gas appliances from our owned freehold store
estate, which leaves just two leasehold stores with gas appliances.
Wehave now started an investigation into new solutions to keep driving
our energy consumption and emissions down. We've successfully
trialled10 solutions across nine different stores, achieving an
aggregated energy saving of 17%.
Our solar retrofit programme continues to go from strength to strength,
with Phase 4 delivering a further 12 stores and 1,621kWp capacity this
year. This takes the total number of retrofitted stores to 48 at a cost of
£16.8 million, increasing our total capacity to 8.5MWp* at 31 March 2025.
We have continued to recertify our EPCs, even where certificates remain
in date, to maintain an updated assessment of the energy performance of
our estate. As market expectations and investor scrutiny around building
efficiency intensifies, updated EPCs provide an up-to-date, reliable
indicator of our portfolio’s environmental credentials. This proactive
approach enhances transparency, demonstrates our commitment to
high-performing assets, and supports informed decision-making for
stakeholders focused on sustainable investment. We have updated 35
certificates this year to reflect the great work our projects team have
achieved with solar installations and energy efficiency projects, all of
which have improved from Cs to Bs or above. We are projecting to have all
(bar one short leasehold) of our stores at A+, A or B by the end of 2026.
Annual Report and Accounts 2025 Big Yellow Group PLC 59
Strategic Report Governance Report Financial Statements
In 2022, we released our current sustainability strategy, setting
out ambitious yet achievable plans. This year, we've completed the
vast majority of the pathway actions, allowing us to reflect on our
achievements and focus on what is important moving forward. At Board
level, our Sustainability Committee, chaired by Heather Savory, is pleased
with the progress made. The Board’s planned future commitments and
investments reflect our belief that environmentally based decisions are
good sustainable decisions as part of the business's longevity.
The Big Yellow Foundation has had its most successful year to date,
with £345,000 donated to our seven charity partners, all focused on
rehabilitating vulnerable young people and adults into meaningful work.
Since its inception in 2018, the Foundation has donated £1.4 million to
this cause.
We continue to provide free space to small local charities and community
organisations across our network. This year, this amounts to a total of
£870,000* in donated space at current rents. Our volunteering programme
allows our staff to give back to the community, with every member of staff
given one day a year to volunteer with one of our seven charity partners or
a charity of their choice. This year, 11% of employees volunteered.
At Big Yellow, we embrace the Environmental and Social pillars of our ESG
initiatives. Each action we take is not just about making a difference in
the environment; it's about fostering stronger, more vibrant communities
in the local neighbourhoods of our stores. We are not only doing the right
thing, but making a real, tangible impact for the local environment and
all our stakeholders. I would like to thank everyone involved with these
initiatives throughout the business.
Jim Gibson
Chief Executive Officer
19 May 2025
* Denotes values externally assured by SGS
Environmental, Social andGovernance Report continued
1.2 Climate Change and our business
lookingforward
We have a well-established strategy which we have been working towards
since 2021. Building on this by setting Science-Based Targets (“SBTs”)
last year, this year we have gone a step further. The announcement of the
CSRD for EU businesses has given us the opportunity to consider our own
reporting structure. Although we are not obligated to report under the
CSRD, we want our stakeholders to be able to compare us with our Real
Estate Investment Trust (“REIT”) and self storage peers with ease. We can
also see the benefit of the transparent approach the directive has taken,
and with these factors in mind, we have aligned ourselves to the directive.
The biggest activity in this area has been to undertake a Double
Materiality Assessment in the year ended 31 March 2024 to understand
how the material topics for the business have changed since the last
materiality assessment. This time we have looked both at the impact of
the environment on the business as well as the impact the business has
on our local environment.
Please see section “Materiality and Materiality Assessments” for more detail.
1.3 Sustainability performance overview
Last year, we completed our Double Materiality Assessment and reviewed
our ongoing Key Performance Indicators (“KPIs”). We focused on the
most critical areas for us. The table below shows our progress against 14
KPIs during the year ended 31 March 2025. These KPIs are derived from
various topics discussed in our report and are related to both the CSRD
topic (where appropriate) and the UN Sustainable Development Goals
(“UNSDGs”). While we align with the CSRD, compliance is not required
since we have no assets in the EU. We’ve identified appropriate KPIs
for seven of our nine material topics. The remaining two are covered in
our ESG Report or Annual Report. Risk Management falls under our Task
Force on Climate-Related Financial Disclosures (“TCFD”) section, and
Management Site Acquisition & Growth Strategy is discussed in the Our
Buildings section of this document.
Annual Report and Accounts 2025 Big Yellow Group PLC60
UN SDG Topic CSRD KPI Progress
Our Environment
Scope 1&2 emissions Energy Management 70% reduction to 948 tCO
2
e by 2032 2,009 tCO
2
e* 36% reduction
frombaseline
Total installed solar Renewable Energy Total installed capacity increase to
11,479 kWp by March 2028
8,545kWp*74% progress
towardstarget
Scope 3 / embodied carbon Carbon Management Emissions data quality improvement KPI being discussed with revolving
credit facility lenders
Our People
Turnover of full-time staff Maintain turnover below average UK
retail levels
(1)
of 33%
14.5%
A staff training KPI Increase year on year of total hours
trained, both male and female
17,542, a 37% reduction in hours
(2)
Our Communities
Free space donation to local charities Access & Affordability Trajectory in line with targets in
revolving credit facility
£869,944* exceeding this
year’starget
Customer donations & matched funds Raise a minimum of £220k a year £394,878 *
Our Buildings
Estate EPCs Sustainable Self Storage Design Have all stores achieve a B or above
by 2028
103* stores (94%) with a B or
aboverating
Biodiversity Average Biodiversity Net Gain
(“BNG”)
(3)
per new store of over 10%
Slough Farnham Road 284% net gain
Our Suppliers
Prompt payment Pay 95% of invoices within 60 days 99.96% paid within 60 days
Our Health, Safety & Information Security
Staff annual incident rate AIIR to stay lower than industry
(4)
category average of 1,169
0 (no reportable injuries in the year)
Information security breaches Cyber & Data Security Maintain a minimal level of high risk
reportable breaches
Achieved – 0 high risk reportable ICO
incidents in the year*
Our Governance
ESG related LTIP vesting criteria –
solar retrofit
Board Ownership & Responsibility Retrofitting solar panels on 40
stores by 2025
48* stores retrofitted to date
ESG related LTIP vesting criteria –
green loan debt facility
Board Ownership & Responsibility 30-50% of the Group’s total debt
facilities being green loans by 2025
67%* of the Group’s total debt
facilities at 31 March 2025 are
greenloans
* Denotes values externally assured by SGS.
(1)
UK Retail levels of 33% – ONS Employee turnover levels and rates by industry section, UK.
(2)
Reductions in training hours due to training delivery optimisation – more being delivered online rather than in person.
(3)
BNG is a mandatory planning requirement that all developers must deliver a minimum BNG of 10% This means a development will result in more or better-quality natural habitat than there was
beforedevelopment.
(4)
Industry – Warehousing and support activities for transportation. SIC 52 – HSE Work-related non-fatal injuries to employees in Great Britain by detailed industry.
For our climate related risk and opportunity metrics, please see the TCFD section on page 49.
Annual Report and Accounts 2025 Big Yellow Group PLC 61
Strategic Report Governance Report Financial Statements
Environmental, Social andGovernance Report continued
2. Our governance
Environmental responsibilities
Our ESG Policy sets out the aspects of what we manage. Our ESG Policy
Standard and our web content provide further information on how we
manage the impact of our business on society and the local environment,
to control our risks and manage our opportunities in a sustainable manner.
Reporting compliance
Our full ESG Report and the relevant sections within our Annual Reports
and Accounts (Directors’ Report and ESG section) have been prepared
in accordance with the Companies (Directors’ Report) and Limited
Liability Partnerships (Energy and Carbon Report) Regulations 2018
implementing the Streamlined Energy and Carbon Reporting (“SECR”)
requirements. The GHG section of the ESG report has been reported in
accordance with the WRI/WBCSD GHG Protocol – A Corporate Accounting
and Reporting Standard.
Fines, notifications, penalties or settlements
There were no fines, notifications, penalties, or settlements received by
the Company that are relevant to sustainability during the years ended
31 March 2025 and 31 March 2024.
Approach
Our ESG reporting is broken down into seven topics: governance,
environment, people, communities, buildings, suppliers, and
Health & Safety and information security. Within these sections we
have pulled out the more material information ensuring all topics
highlighted by our Double Materiality Assessment in 2023 are covered.
A comprehensive set of KPIs have been created to all material topics and,
where we feel further KPIs may be insightful, we have provided these too,
including a brief narrative to explain variances where applicable.
In the environment chapter we have provided a specific section on
energy, emissions, water, and waste, reporting against all environmental
European Public Real Estate Association (“EPRA”) indicators (and GRI
where relevant). Having achieved ‘Gold’ status in terms of transparency
and quality of our reporting last year we continue to present our data in
this format.
All the changes we make to our reporting are tabled in our Basis of
Reporting document.
Benchmarking and standards
We use the detail in this ESG Report to participate in external/industry
benchmarks, such as the annual Carbon Disclosure Project (“CDP”), the
Global Real Estate Sustainability Benchmark (“GRESB”) and FTSE4Good
to engage with our other Ethical Investors.
The GRESB and CDP benchmarks inform our investor community of our
general ESG performance, our governance approach, risk management
protocols and a range of other indicators that give reassurance that our
business is ‘sustainable’.
There have been significant changes in the questionnaire structure
and scoring methodology for GRESB and CDP between 2023 and 2024
so our CDP scores for 2023 and 2024 are not directly comparable.
Bothbenchmarks evolve each year to reflect rising industry standards
and investor expectations. We have also queried the initial score we
achieved as we do not feel some of our actions have been correctly
assessed. As a result, we do not yet have a 2024 CDP score. The current
appeal process with CDP is due to completed by July 2025.
We are aware of the limitations we face with taking part in benchmarks
designed for traditional Real Estate organisations rather than self
storage but value the opportunity to be transparent and are committed
tocontinued participation.
Assurance of data
We have commissioned SGS United Kingdom Ltd to carry out independent
assurance of our Greenhouse Gas emissions disclosures and other select
voluntary disclosures. Thirteen have now been assured at a reasonable
level of assurance with the remaining nine being assured to a limited
level according to the International Organisation for Standardization’s
(2006) ISO 14064-3 for select indicators for the financial year ended
31 March 2025.
The full assurance statement is published in our ESG Report 2024-25.
Weare continuously growing in confidence in our data sets, this increase
in a reasonable level of assurance is a continuation of the transition of all
KPIs so that we can align with the CSRD.
Annual Report and Accounts 2025 Big Yellow Group PLC62
3.2 Big Yellow Sustainability Strategy
In a constantly developing landscape, we are faced with a number of
variables in delivering the NREP Strategy through to 2032; and moving
forward we intend to report our progress on an annual basis as part of
our ESG Report. We have taken the decisions to update the strategy this
year, broadening it out to cover a wider range of ESG topics and capturing
some of the material topics from our CSRD reporting. A copy of the new
Sustainability Strategy can be found at https://corporate.bigyellow.
co.uk/index.php/sustainability/strategy.
Our original Net Renewable Energy Positive strategy was first published
in 2021, we have made great progress against the targets we set
ourselves in this, overachieving on several of the commitments.
Following a review of the existing strategy, the Sustainability Committee has
approved budgets to deliver a number of key programmes. TheCompany
has tackled six initiatives to ensure the delivery of the strategy is on track.
The headlines are below with further detail later in the report:
A. Solar Generation: deliver retrofitting of 36 stores that currently do not
have solar. This commitment has been further extended to cover all
suitable roofs on the estate. Exceeded. 48 stores now retrofitted.
This commitment has been further extended to cover all suitable roofs
on the estate.
B. Science-Based Targets: our Science-Based Targets have been set and
externally verified by the SBTi. Complete
C. Storage Batteries: two batteries installed. Complete
D. Estate Decarbonisation: gas boiler replacement programme
completed: six gas boilers removed, four with electric boilers in the
year; leaving only two leasehold stores still with gas. Complete
E. Sustainable Construction: the Sustainability Committee reviewed
the upfront investment the Company made to ensure all newly
constructed stores were aligned with the retrofitted stores. From our
Kingston North development onwards, all new stores will be equipped
with the optimal capacity in the range 50kWp-200kWp subject to
suitability of store roofs. Complete
F. Embodied Carbon of our construction projects: this is now being
considered and assessed at RIBA 2+, 4 and 6 on a project-by-project
basis. On track
We have created a number of environmental communications
to helpourcustomers understand what we are doing and why.
These include our Big Yellow Green campaign with a short video
(https://www.bigyellow.co.uk/green/) of the various sustainability
features on our estate. During our customers’ online journey, we have
several ESG facts on holding screens to share the detail. In all our solar
stores there are displays showing how much energy has been generated
in the store that day rather than bought from the grid. We also use social
media to share our sustainability messaging. We understand this is
important to customers and so we want to share our journey with them.
3.1 Highlights
– We now have 8.5MWp of solar generating capacity across
78of our stores*.
– Despite the opening of a new store and electrification
of store heating in six stores, our absolute Scope 1 & 2
emissions have reduced.
– We have had REGO accreditation for an additional 16 of our
solar installations to enable us to sell the REGO certificates
with our solar export.
– We have installed a battery at our new Slough Farnham
Roadstore.
– We completed an energy efficiency pilot, saving 17% in
theyear.
3. Our environment
A battery storing rooftop solar energy at our Slough store.
Annual Report and Accounts 2025 Big Yellow Group PLC 63
Strategic Report Governance Report Financial Statements
Environmental, Social andGovernance Report continued
Long Term Solar Electricity Generation
0
1,000
2,000
3,000
4,000
5,000
6,000
2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 2024/252023/24
94
113
134
209
286
314
358
343
329
450
578
665
865
1,688
4,831
3,396
Solar Generation (MWh)
Financial benefits of solar generation
Having generated nearly 5 million kWh of power on our stores this year,
we have saved over £600,000 in grid electricity bills. Once an export
connection is established, which takes some time after the panel
installation is complete, we are also able to sell any unused power back
to the grid. Below is a summary of this year’s financial benefits from our
solar generation. This year as well as our Feed in Tariff (“FiT”) payments
we have REGO accreditation for our stores. This means that we can
receive certificates for every megawatt of electricity generated on our
sites, adding another revenue stream to the business. This year we
have managed to secure accreditation for 57 stores. This has generated
additional revenue of £42,000.
Year ended 31March 2021
2024
restated
(1)
2025
Solar generation (MWh) 681 3,396 4,831*
Store solar use (MWh) 391 2,564
(1)
2,975*
Displaced grid energy savings (£)
(2)
£93,116 £438,447 £621,570
PPA payments (£)
(3)
– £91,510 £159,374
FiT payments (£)
(4)
£108,951 £134,761 £122,409
REGO payments (£) New 2024 £5,764 £42,301
Total savings (£) £202,067 £670,482
(5)
£945,654
* Denotes values externally assured by SGS.
(1)
Store solar use amended due to meter comms issues resolved post year end.
(2)
Supplied UK Network displaced electricity savings = solar generated kWh x 23.8p Grid kWh
charges for any power generated up to 30 September 2024 and the price of 18.5p/kWh from
our new energy contract which started on 1 October 2024.
(3)
The process of setting up PPAs once a solar installation is complete can take some time, so
the split of used compared to exported does change over time.
(4)
March 2025 FiT payments have been estimated using March 2024 data as current year not
available until Q2.
(5)
Q4 FiT payment amended with actual data rather than estimated data.
3.3 Energy
Our portfolio of stores with roof-mounted solar PV installations generates low carbon electricity that is monitored for performance and generates
financial payments from the energy companies that we export to. We now have 78 stores with a total of 8.5MWp* that generate renewable solar
electricity, with 13 new systems commissioned this year.
Annual Report and Accounts 2025 Big Yellow Group PLC64
Long-term electricity use
Despite increasing store numbers, our long-term electricity use remains relatively stable. This is because new stores coming on board are more
energy efficient and built to our updated sustainable construction standards, using the best technology available and come ready equipped with
solar PV installations. This has been furthered by our investment in retrofitted solar across the estate. The proportion of solar used in store has
grownsubstantially in recent years. The graph below shows that increase over the last six years, highlighting the impact of our retrofit programme:
11,500
12,000
12,500
13,000
13,500
14,000
14,500
0%
10%
20%
30%
40%
50%
60%
13,184
12,510
13,312
13,633
13,976
12,833
Total Store Energy Consumed Solar generated percentage of Total Energy Consumed
2019/20 2020/21 2021/22 2023/24
restated
2024/252022/23
Total Store Energy and Solar Generated
3.4 Emissions
In addressing the environmental impacts of our operations, we recognise the significance of emissions management as a key component of our
Sustainability Strategy. We are committed to minimising our carbon footprint and mitigating the effects of climate change.
Absolute Scope 1 & 2 Greenhouse Gas Emissions
The UK government has made several commitments on the behalf of UK companies to reduce emissions, primarily aimed at addressing climate change
and achieving net-zero greenhouse gas emissions by 2050. In addition to the government commitment, we have made a further Science Based Target
commitment to reduce our Scope 1 & 2 emissions by 70% of our FYE 2020 baseline by 2032. The following graph shows our absolute Scope 1 & 2
emissions reduction since our baseline year in yellow. The red line shows a projection of what is needed to hit our Science Based Target by 2032.
Theyellow bars show the emission levels over the past six years under the straight trajectory from our baseline year to our target to show that to
datewe have done more than the minimum needed year-on-year to meet our target.
SBT Absolute Scope 1 & 2 Trajectory
For further information about our emissions and for all mandatory SECR and GHG reporting please refer to the Directors’ Report on page 124.
0
500
1,000
1,500
2,000
2,500
3,000
3,500
2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032
Absolute Scope 1&2 emissions (TCO
2
e)
Scope 1&2 emissions Scope 1&2 trendline
Annual Report and Accounts 2025 Big Yellow Group PLC 65
Strategic Report Governance Report Financial Statements
3.5 Water
We benchmark our water usage against the Better Building Partnership’s
(“BBP”) Real Estate Environmental Benchmarks (Water). Specifically,we
use the ‘Water Benchmarks – Enclosed Shopping Centres’ category,
focusing on ‘Water Intensity’ (litres/m² CPA/year). Our water
consumption remains significantly lower than BBP’s ‘Good Practice’ –
at39 (18,154 m³ of water / 469,681 m² occupied space).
This year we are still benefiting from the £3,000 annual savings
identified in last year’s water charges and secured competitive supply
contracts audit. Ongoing leak identification and repairs continue to save
£17,000 per year. This year we have also begun implementing remotely
read meters to enhance visibility and detect future leaks; to date these
have been installed at 16 of our stores.
3.6 Waste
Our main source of waste is from the operational activities of our stores.
Our store staff apply best practice waste segregation for general and mixed
dry recyclable materials. Also, our waste contractor provides further waste
segregation and recycling services post collection. We report waste for
our store portfolio but the occupied office space at our head office site is
excluded as waste collection there is our landlord’s responsibility.
Since the instruction of our new waste contractors, we have far better
oversight of our waste data with a much better handle on the quantities of
waste generated as well as their processing route. Our contractor now gives
us clear monthly collection data with associated emission information.
Thisimproves our emissions reporting and enables us to focusour efforts
on waste reduction where possible.
3.7 Resources use
As we are looking towards other potential opportunities, we are likely to
focus our efforts on other areas of our business, such as paper use and
will report on individual initiatives over time.
Avoidance of unnecessary material helps to reduce carbon emissions;
minimise waste going to landfill and demonstrates our commitment to
sustainability. We have around 13 key processes that still involve the
printing of paper, which we are trying to address by finding acceptable
and compliant online solutions. We have graded each process by
difficulty in terms of finding an alternative solution and intend to work
our way through these over the next few years to reduce our paper
consumption as much as possible.
Most of our products are perfect for re-use or recycling – we have
amended our online Box Shop to make the composition of individual
products clearer, under the heading ‘Environmental Attributes’ and we
have introduced a ‘Your bit’ section to inform customers if products can
be recycled.
Our longstanding relationship with Treepoints allows us to give back a
little, for every box bought on our online Box Shop Treepoints plant a tree
for us. Although there will be a positive carbon impact for this event,
accounting for it can be difficult and not all that accurate, so we do not
count the carbon for this process. We do this because it is the right thing
to do and goes some way to replacing some of the trees used in our box
making process.
Our customer move-ins are paper-free which saves approximately
800,000 pieces of paper each year.
Environmental, Social andGovernance Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC66
4.1 Highlights
Recruitment and retention
– Produced a recruitment film, to demonstrate all aspects of
store roles and responsibilities, as well as the culture and
benefits of working for Big Yellow.
– Updated our talent and retention training, to improve
retention of existing team members, develop interviewing
skills and successfully onboard new team members.
– Developed the Our Culture section of the website, to offer
prospective candidates a better insight into what it is like to
work at Big Yellow.
Benefits
– Enhanced our healthcare benefits by introducing Vitality as
our new healthcare provider, implementing a healthcare cash
plan and switching providers to expand our eyecare benefits.
4. Our people
We are dedicated to providing outstanding customer service by fostering
a positive work environment and empowering our people. Our approach
focuses on attracting, retaining, and inspiring talented individuals who
demonstrate integrity. We invest heavily in training to maintain high
standards of service while supporting career development for our team
members. Emphasising personality over qualifications, our inclusive and
diverse recruitment process ensures we select the right fit. We promote a
culture of collaboration, offering benefits such as bonus schemes, share
incentives, and acknowledging exceptional achievements through our
Recognition Points Scheme.
We are constantly striving to enhance our work environment and the
benefits of being part of Big Yellow. Our recruitment and retention
highlights reflect the progress that we have made over thepast year.
Annual Report and Accounts 2025 Big Yellow Group PLC 67
Strategic Report Governance Report Financial Statements
5.1 Highlights
– Big Yellow’s community investment for the year, delivered
via free space, was £869,944*.
– Our employees raised £7,380, which was matched by
Big Yellow totalling £14,760 donated to the Foundation.
– Big Yellow enabled the Foundation to deliver 14 successful
and enriching work placements by welcoming candidates
into our stores, in partnership with Back Up Trust, Breaking
Barriers, Down’s Syndrome Association, Street League and
Working Chance.
– We offered a permanent position in our Cardiff store
to a young man with Down’s Syndrome following the
successful completion of his extended work placement.
Additionally,wewelcomed a woman on a work placement
at our Gypsy Corner store a permanent position through our
partnership with Working Chance.
– We continue to support The Big Yellow Inner City Schools
Rugby Programme in partnership with Southwark Rugby
Club. The initiative introduces rugby to children from
disadvantaged backgrounds attending urban schools
where the sport is not usually offered. Now involving 12
local secondary schools, it promotes teamwork, fitness
andhealthy competition.
– We support and provide studio space to the London
Children’s Ballet (“LCB”), a renowned charity that makes
ballet accessible to children from challenged backgrounds
through its outreach and performance opportunities.
– We continue to support Headlong Theatre Company, an
organisation committed to producing high-calibre theatre
productions that engages with diverse audiences.
*Denotes values externally assured by SGS
5. Our communities
Our communities are made up of all the people who work and store in
our facilities and everyone who lives around us. Our aim is to positively
contribute to the local communities of our stores through community
investments and engagement as well as with our Big Yellow Foundation.
We do this in a number of ways, through free space provided at each
store to local charities, fundraising by our employees with Big Yellow
matching the funds raised by their endeavours and partnering with the
Foundation’s charity partners.
Environmental, Social andGovernance Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC68
5.2 Community investments
Free space donated for community or charity use £869,944*
Total employee Big Yellow Foundation fundraising & Big Yellow
matched funds £14,760
Foundation matched funds from customer donations £394,878*
Total Community Investment £1,279,582
Notes to the table:
Definition of free space: space given to the charitable organisation completely for free for the whole
of their stay during the reporting period.
* Denotes values externally assured by SGS
Our commitment is clear: for every customer move-in, Big Yellow donates
a minimum of £1. Our store teams encourage customers to join us in
supporting the Foundation. This year, we have pledged a total minimum
donation of £220,000. If donations fall short, Big Yellow will top up the
difference to ensure the Foundation receives the full amount.
5.3 Work placements at Big Yellow
Our work placement programme, in collaboration with the Big Yellow
Foundation, began in July 2021. It is designed to provide meaningful
work experience opportunities for individuals with disabilities or those
excluded from mainstream employment for a variety of reasons.
These motivated individuals often face unique barriers to employment.
Our placements offer a supportive and structured environment where
they can build essential skills, grow in confidence and, ideally, move
towards long-term employment that meets their individual needs.
Big Yellow works closely with the Foundation and selected charity partners
to deliver these placements. Notable outcomes from 2024/25 include:
– One woman who uses a wheelchair, referred by Back Up Trust, is
currently completing a placement at our Watford store. She is the
first wheelchair user we have been able to accommodate in-store
which is an important milestone in our journey towards greater
accessibility and inclusion.
– Two individuals supported by Breaking Barriers completed
placements at our Nine Elms and Stockport stores.
– One young man with Down’s Syndrome, referred by the Down’s
Syndrome Association, progressed to a permanent role following an
extended placement in our Cardiff store.
– Four young people referred by Street League completed placements
at our Dundee, Leeds and Liverpool Edge Lane stores, with additional
support provided at our Liverpool store.
– Four women referred by Working Chance undertook placements
at our Portsmouth, Milton Keynes, Gypsy Corner and Sheffield
Hillsborough stores. The individual placed at Gypsy Corner is now a
permanent member of the team following an extended placement.
5.4 Big Yellow Foundation
The Foundation’s annual report and accounts are available on the charity
commission website.
Learn more about our partners and the Big Yellow Foundation on our website
https://corporate.bigyellow.co.uk/index.php/big-yellow-foundation.
Big Yellow, along with our customers and employees, provides the income
for the Foundation. Our Steering Committee meets quarterly to raise
funds and promote the Foundation to our stakeholders.
The Foundation is our main vehicle for community programs that benefit
both customers and employees. In the year ended 31 March 2025,
the Foundation paid out £345,199 to its seven charity partners.
Mostgrants are unrestricted funds, supporting essential needs for these
organisations. Beyond Trustees and the Steering Committee, Big Yellow
also contributes in-kind donations, financial services, and secretariat
support to the Foundation Board of Trustees.
The Foundation has filed its annual report and accounts, which can be
found on the charity commission website.
Big Yellow and our customers and employees provide the income to the
Big Yellow Foundation. The Big Yellow Foundation Steering Committee,
who meet on a quarterly basis, determines how best to raise funds, and
promote the Foundation to our employees, customers, and suppliers.
The Foundation is Big Yellow’s main vehicle to deliver a consistent
customer and employee facing community programme.
In addition to the Trustees’ time and the Steering Committee’s time,
Big Yellow furthermore supports the Big Yellow Foundation with
donationsin kind, by providing financial and accountancy services
plusthe secretariat to the Big Yellow Foundation Board of Trustees.
Annual Report and Accounts 2025 Big Yellow Group PLC 69
Strategic Report Governance Report Financial Statements
6. Our buildings
Our buildings are one of the core parts of our business. Without our
storage facilities we would have no business. We take pride in the
buildings we design, and significant environmental consideration goes
into each of our new stores, from the acquisition of land through to the
opening and operation of a new store. Although we have been sharing
our progress on this for several years, we now feel that this has become
material enough to be discussed as a topic in its own right.
6.1 Highlights
– There are currently 14 sites in our property pipeline.
– We have achieved planning permission on 10 of our pipeline
developments so far.
– We have improved EPC scores across the estate.
– This year’s new store – Slough Farnham Road is:
– Expected to achieve BREEAM Very Good
– 43/45 on the Considerate Constructor Scheme
– A+ rated EPC
– Fitted with a Battery Energy Storage System
6.2 Acquisitions
There are 14 sites in our current development pipeline. Prior to the
acquisition of each of these sites several environmental considerations
are made. Once a potential new site has been identified, satisfying a
number of initial business criteria, including development yield, the
Group will undertake a number of inspections. These inspections include,
but are not limited to, flood risk assessments, conservation and canal
assessments, contamination surveys and, daylight analysis. Future self
storage developments also assess the potential impact on adjoining
properties, the current use and heritage of the site, and the surrounding
residences and businesses that may become neighbours and the
potential impact on the local highways network.
We have developed a number of thresholds that need to be met in
order for us to proceed with a purchase. We prioritise brownfield
redevelopment and infill sites whenever feasible, never developing on
greenfield sites to preserve valuable ecosystems. Our design process
incorporates principles of sustainable urban planning, such as compact
development, green infrastructure, and biodiversity enhancement, to
create vibrant and resilient stores.
6.3 Planning
Once the procurement of the site has been completed the process of
preparing for the planning application begins. The planning process
varies across the country, but common threads run through all
applications. These include highways assessments drainage surveys,
habitat surveys to inform our biodiversity net gain plan, air quality
assessments and travel plans, to name just a few.
Urban regeneration is a key focus of our planning efforts. We seek
to revitalise urban areas, enhancing community connectivity and
liveability. Our stores aim to create an inclusive space that contributes
to the social, economic, and environmental well-being of the surrounding
area. As part of the planning process, we must demonstrate to the
planning department the local economic benefits of the self storage
facility in terms of job creation, business opportunities, and local
economic development.
Environmental, Social andGovernance Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC70
Biodiversity net gain
We are committed to achieving biodiversity net gain in all our
developments. By enhancing green spaces through green walls and
roofs, creating additional wildlife habitats, and planting hedgerows
and trees, we strive to increase biodiversity value beyond the
pre-development baseline. Our aim is to leave a positive legacy by
conserving and enhancing natural ecosystems for future generations.
As part of the Ecology Report conducted at pre-planning for the Slough
Farnham Road site 828 units were recorded. Although these 828
units were removed a further 2,354 units were planted and recorded
on completion of the store to deliver a biodiversity net gain. With an
additional 2,354 units deemed to be created an overall post-development
score of 284% of the pre-development score was awarded. We were
awarded an exemplary credit for this as part of BREEAM certification.
6.4 Design
We design our stores to prioritise energy efficiency and sustainability
by incorporating green building standards and best practices into our
designs. Big Yellow has set an external minimum commitment of BREEAM
Very Good, as standard for all new builds, even where local planning does
not demand a specific standard. A number of our stores have been built to
BREEAM Excellent standard.
As part of this commitment, we consider optimising building orientation,
including high-performance insulation, implementing energy-efficient
lighting systems, and integrating renewable energy technologies
where feasible. Our goal is to minimise energy consumption, reduce
greenhouse gas emissions, and enhance the long-term sustainability
ofour properties.
6.5 Construction
During the construction of our stores, where possible, we select
sustainable materials with low environmental impact, such as concrete
with increased aggregate and recycled content, recycled steel, and
non-toxic materials. Additionally, we implement construction practices
that minimise waste generation, optimise material use, and prioritise
responsible sourcing and disposal.
We have been required to complete Whole Life Cycle Assessments
(“WLCA”) at RIBA Stages 2 and 4. This year we have decided to take
this analysis a step further, by engaging our lifecycle consultants to
complete full WLCAs at both RIBA stage 4 (detailed design) and RIBA
stage 6 (post practical completion). We are making a commitment to
reduce our embodied carbon in future construction and will be able to use
the findings in these reports to find real world opportunities for carbon
saving measures in future building designs.
6.6 Store sustainability and greenstoreportfolio
Along with the environmental consideration of our new stores we also
take pride in the ongoing sustainability of our whole estate. We share the
details of this in our full ESG report in the appendix, which details all of
the environmental credentials of each of our stores. We are continuously
upgrading our older buildings through the removal of gas and upgrading
of lighting as examples. We have been retrofitting solar to our stores for
a number of years and at the end of a successful second phase of our
battery pilot on our Slough Bath Road store, we will be able to start to
deliver battery storage alongside our solar installations.
Energy Performance Certificates
This year we have conducted a large EPC recertification programme
to ensure the EPC scores reflect the investment that has been made
across the estate in generation and energy efficiency. We now have
103stores*, or 94% with a B or better Energy Performance Certificates.
This year we are also able to boast, for the first time, six A+ EPC scores.
This represents the highest possible performance under the UK’s Energy
Performance Certificate framework. These stores generate more energy
than they consume using the solar panels on their roofs.
* Denotes values externally assured by SGS
Annual Report and Accounts 2025 Big Yellow Group PLC 71
Strategic Report Governance Report Financial Statements
7.3 Supply chain risk
Our confidential Whistleblowing Helpline was used once in the last financial
year, a thorough investigation was conducted and satisfactorily concluded.
7.4 Supply chain engagement
Regular meetings are held between suppliers and their Big Yellow contact.
Appropriate external tendering is carried out for any new suppliers.
On anti-corruption and anti-bribery matters, we expect all our suppliers
to be compliant with the Modern Slavery Act and we work closely with
our suppliers to promote best practice. We have previously engaged
with suppliers we had identified as being within potentially high-risk
categories and carrying out audits of their compliance with these
regulations and providing support to them. During the year we continued
our work with our suppliers on supply chain ethics. No material issues
were noted, albeit we have been working with them during the year to
improve standards further.
We intend to continue to provide updates as part of our UK Modern
Slavery Act Statement.
7. Our suppliers
Big Yellow recognises that it can have a significant impact on its suppliers
and that its suppliers can represent an important asset to help Big Yellow
to deliver its own environmental and social responsibilities.
We manage our suppliers on a decentralised basis, with each Department
Head overseeing the onboarding, contracting and in-life management
of their suppliers. Many of our suppliers have become trusted partners,
having worked with us for many years.
In addition, our construction partners source a broad variety of materials
from companies all over the world on our behalf. Whilst these goods are
not sourced directly by us, some may be specified by us. We place great
value on using recycled materials in our construction process and these
are procured in accordance with our guidelines.
7.2 Supplier payment performance
We measure our payment performance to our suppliers on a quarterly
basis. Prompt payment is especially important to our smaller suppliers,
who may not have the cash flow to manage with very long payment terms.
Year ended 31March 2023 2024 2025
Within 30 days 89% 92% 92.5%
Between 30 and 60 days 10% 8% 7.2%
Over 60 days 1% 0% 0.4%
Average time to pay an invoice 24 days 23 days 23 days
7.1 Highlights
– Our confidential Whistleblowing Helpline was used once
in the last financial year, a thorough investigation was
conducted and satisfactorily concluded.
– We have updated our spend-based Scope 3 Footprint
assessment for 2023-24.
– We continue to deliver strong payment performance:
– We paid 92.5% of invoices within 30 days and 7.2%
between 30 and 60 days.
– Our average time to pay an invoice was 23 days.
Environmental, Social andGovernance Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC72
8. Our Health & Safety and
information security
Big Yellow recognises the importance of maintaining high standards of
Health & Safety for our customers, staff, contractors, and any visitors to
our stores.
8.1 Highlights
– There were no “Fatal Injuries, Notices or Prosecutions” in any
part of our operations during the year ended 31 March 2025.
– There were no high risk reportable Information Security
breaches this year.*
* Denotes values externally assured by SGS
Health & Safety
Our Health & Safety Committee reviews policies, risk assessments,
performance, and records on a quarterly basis. The Policies cover
twodistinct areas – our routine store operations and our fit-out
construction activities.
The Health & Safety Committee discuss and review any issues reported
from our regular meetings held at Bagshot (our head office), Maidenhead
(our distribution warehouse), the stores and our construction sites.
Our Health & Safety Policy states that all employees have a responsibility
for Health & Safety, but that managers have special responsibilities.
The responsibilities of our CEO are to keep the Board advised on Health
& Safety issues and to ensure compliance with the Policy in respect of
Construction (via the Construction Director) and store operations (via
the Head of Facilities and Head of Store Operations). Externally, other
interested stakeholders include the Health & Safety Executive (“HSE”)
and Local Government Authorities.
Data Protection and Information Governance
Big Yellow is committed to upholding information security and
protectingpersonal data. Our Data Compliance Officer and the Head of IT
ensure that staff are adequately trained in UK GDPR, data protection and
information security.
We are certified to IASME Cyber Assurance Level 2 which is the highest
level of certification for this qualification.
Our library of policies on UK GDPR and information security are reviewed
and updated on an annual basis to ensure they remain relevant, fit for
purpose and, in the ever-changing world of data protection legislation and
technological advances, legally accurate.
The Group disclosed one minor information security breach in the past
year in the interest of accountability and transparency. The ICO regarded
this as no further action and were satisfied with our response. We have
not had any high-risk reportable breaches in the year*. We have cyber
insurance in place in the event a breach should occur in the future.
* Denotes values externally assured by SGS
9. Benchmarks and standards
We have a number of Benchmarks and standards that we submit each year. Below is a summary of this year’s rankings
Report 2021/22 score 2022/23 score 2023/24 score
GRESB 86%
4/5 gold stars
89%
5/5 gold stars
85%
4/5 gold stars
EPRA Gold Gold Gold
CDP B A- TBC*
FTSE4Good 3.1 3 3.1
ISS C with Prime status C with Prime status C with Prime status
MSCI A BBB BBB
* We are currently in discussions with CDP about the 2024 score – appeals process expected to completed by July 2025
There are a number of factors that have impacted our MSCi score, including the way we disclose some of our metrics. We have completed a full review
ofour ESG content to ensure that we use the language MSCi are looking for in their review.
We have updated our risk and opportunities assessment as part of our commitment to implement the TCFD recommendations – for more information,
please see the ‘Managing Risks and Opportunities’ section.
For Construction activities, we also sign up to BREAAM standards and the Considerate Constructor Scheme (“CCS”); Slough Farnham Road is expecting
aVery Good rating with a CCS score of 43/45.
Annual Report and Accounts 2025 Big Yellow Group PLC 73
Strategic Report Governance Report Financial Statements
10. Legislation
Big Yellow has obligations under several regimes and regulations, namely:
– The Companies (Directors’ Report) and Limited Liability Partnerships
(Energy and Carbon Report) Regulations 2018 (“SECR”);
– EU Energy Efficiency Directive, The UK Energy Savings Opportunities
Scheme (“ESOS”);
– Energy Performance Certificate (“EPCs”) – please see ‘asset list &
green store portfolio’ section in the full ESG report for more information.
11. Our stakeholders
This year, the Board of Directors has set out in the Governance section
of our Annual Report and Accounts an overview of engagement activities
with our key stakeholder groups. These are identified as (1) our
employees, (2) our shareholders, (3) our customers, (4) our suppliers
and (5) our communities. Please note that in our ESG Stakeholder
assessment we also name ‘the Environment’ as well as local and national
Government as further stakeholder groups, and their needs and our
engagement activities are set out here.
As mentioned earlier we have undertaken a double materiality
assessment last year which has included engagement with all of
our stakeholder groups, through tailored questionnaires followed by
interviews with a number of the stakeholders. These have been used
to get into the detail of the questions answered in the questionnaire
stage. We have been able to get a detailed understanding of what our
stakeholders feel to be material both from the point of view of how the
environment impacts Big Yellow but also how Big Yellow impacts its
immediate environment and communities. Ten material topics were
identified through the process. These are included at the beginning of
thisreport and in detail in the full ESG report.
Investors
The GRESB and CDP benchmarks inform our investor community of our
general ESG performance, our governance approach, risk management
protocols and a range of other indicators that give reassurance that our
business is ‘sustainable’.
For more information on these benchmarks, please see the ‘Benchmarks,
Legislation and Standards’ section above.
We have seen a shift in the level of environmental detail our investors
are interested in. This is one of the reasons we have decided to align
ourselves with the CSRD. We have also conducted CRREM pathway
analysis from the year ended 31 March 2025 to give ourselves and our
investors as much transparency about the impact our sustainability
andenvironmental efforts are having on our estate.
The Directors run a programme of face-to face investor engagement
activities by holding roadshows following annual and interim reporting
cycles and attend investor conferences and other ad-hoc meetings with
investors, both in the UK and internationally.
We also provide specific information on request to other investor
benchmarks, where available.
Scope of emission Coverage of baseline Type of target 2020 baseline 2032 target % 2032 target
Scope 1 & 2 100% absolute 3,160 tCO
2
e -70% 948 tCO
2
e
Scope 3 78% intensity 3.3 kgCO
2
e /sq ft -61.1% 1.3 kgCO
2
e /sq ft
Our Progress
To date we have been mainly focusing on our Scope 1 & 2 reductions with a big drive for gas removal and an increase in onsite solar generation. Thisis
shown in our results last year, with our Scope 1 & 2 absolute figures reducing. We are making steady progress towards our Scope 1 & 2 SBT. We are
now looking towards what we can focus on next year. Once we have removed gas from the estate we will need to focus our efforts in a new area of
improvement for the estate.
Our Scope 3 figures are an intensity target. This means that any emissions that are generated through the construction of new storage space are
somewhat abated by the increased square footage created, however when we invest in improving our existing stores, through, for example, adding solar
and associated roof works, this has a negative impact on our Scope 3 emissions.
We have started the process of calculating our Scope 3 emissions for this year. We intend to report our Scope 3 results at the half year when we have a
full understanding of the calculations and emissions conversion factors.
Our commitment
Big Yellow Group PLC commits to:
– reduce absolute Scope 1 and 2 GHG emissions 70% by FY2032 from
aFY2019 base year.
– reduce Scope 3 GHG emissions from purchased goods and services,
capital goods, and fuel and energy related activities by 61.1% per
square foot within the same time frame.
9.1 Science-Based Targets
Science-Based Targets (“SBT”) have increased in popularity as a way of
businesses showing genuine commitment to reducing their emissions
and impact on the wider world. The process of target verification is a
rigorous one, completed by qualified individuals at the Science-Based
Targets initiative. The process has multiple stages of scrutiny with each
calculation and target pathway considered. We have now had our targets
externally verified. Our public commitment is as follows:
Environmental, Social andGovernance Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC74
Nature of the assurance/verification
SGS United Kingdom Ltd (hereinafter referred to as SGS) was
commissioned by Big Yellow Group PLC (hereinafter referred to as
Big Yellow) to conduct an independent assurance of selected KPIs
included in the report ‘Sustainability Report 2024/25’ (herein referred
toas the report).
Intended users of this
assurance statement
This Assurance Statement is provided with the intention of informing all
of Big Yellow Group PLC’s Stakeholders.
Responsibilities
The information in the Report and its presentation are the responsibility
of the directors and the management of Big Yellow Group PLC, and SGS
has not been involved in the preparation of any of the material included
in the Report. Our responsibility is to express an opinion on the text, data,
graphs and statements within the scope of verification with the intention
to inform all of the Big Yellow Group PLC’s stakeholders.
Assurance standards, type
and level ofassurance
In obtaining a ‘reasonable’ and ‘limited’ level of assurance as indicated
against each KPI in this engagement, we have used the guidance
provided through the ISAE3000 (Revised, International Standard
on Assurance Engagements) Assurance Engagements Other than
AuditsorReviews of Historical Financial Information and standard
EN ISO14064-3:2019 Specification with guidance for the validation and
verification of Greenhouse Gas assertions, to establish conformance
withthe requirements of the applicable reporting criteria.
Scope of assurance and reporting criteria
The scope of the assurance included evaluation of quality, accuracy and
reliability of specified performance information as detailed below:
Reporting Criteria – GHG & Environmental KPIs
1 GHG Protocol – A Corporate Accounting & Reporting Standard.
Reporting Criteria – Social & Governance KPIs
1 None selected
Assurance Statement
SGS United Kingdom Ltd’s report on selected KPIs pertaining to sustainability activities
in the sustainability report 2024/25 of Big Yellow Group PLC for the review period
1April 2024 to 31 March 2025
Specified performance information
and disclosures included in scope
The scope of the assurance included data only for the following KPIs:
GHG & Environmental KPIs – reasonable level of assurance
FY2024/25
– Total installed renewables capacity (kW)
– Number of solar retrofit stores between 2022-2025
– Estate EPCs with a B or above
– Absolute carbon dioxide emissions (tCO
2
e) (Store and non-store
portfolio) – location-based
– Absolute carbon dioxide emissions (tCO
2
e) (Store and non-store
portfolio) – market-based
– Store water supply and treatment (tCO
2
e)
– Store waste disposal (tCO
2
e)
– Store electricity consumption (MWh)
– Like for like store electricity consumption (MWh)
– Total store fuel consumption (MWh)
– Like for like total fuel energy consumption (MWh)
– Total amount of direct and indirect energy used in yr by current
lettable area (MWh/m
2
/year)
– GHG intensity by current lettable area (location-based, store and
non-store) (tCO
2
e/m
2
/year)
– Total direct GHG emissions (Store & Non-store) (tCO
2
e)
– Indirect GHG emissions (Scope 2) (Store) (tCO
2
e)
Annual Report and Accounts 2025 Big Yellow Group PLC 75
Strategic Report Governance Report Financial Statements
Social & Governance Indicators
FY2024/25
Community investment data:
– KPI – Free space donated for community or charity use (reported
value, an equivalence of £869,944.00) – Limited level of assurance.
– KPI – Foundation matched funds from customer donations – raise
a minimum of £220,000 a year (reported value, £394,878.18) –
Reasonable level of assurance.
Sustainability linked funding:
– % of groups total debt facilities being green loans (67%) – Limited
level of assurance
Information security:
– Reportable information security breaches (‘0’ reportable) – Limited
level of assurance
Assurance methodology
GHG & Environmental KPIs
CO
2
emissions from own operations and value chain were
verified at a reasonable level of assurance according to standard
EN ISO14064-3:2019 Specification with Guidance for the Validation and
Verification of Greenhouse Gas Assertions, to establish conformance
with the requirements of Big Yellow’s reporting methodology as stated
in its ‘Basis of Reporting 2024/25’ and the WRI/WBCSD GHG Protocol –
ACorporate Accounting and Reporting Standard (‘The WRI/WBCSD GHG
Protocol’), within the scope of the verification. The materiality required
of the verification was considered by SGS to be below 5%, based on the
needs ofthe intended user.
The engagement included verification of emissions from anthropogenic
sources of greenhouse gases included within the organisation’s
boundary and meeting the requirements of Big Yellow’s ‘Basis of
Reporting 2024/25’ and the WRI/WBCSD GHG Protocol. The organisational
boundary was established following the operational control approach.
– Description of activities: Self Storage services
– Location/boundary of the activities: United Kingdom
– Physical infrastructure, activities, technologies and processes of the
organisation: Self Storage stores and administrative offices
– GHG sources, sinks and/or reservoirs included:
– Scope 1 – stationary combustion, mobile combustion and
fugitive emissions;
– Scope 2 – purchased electricity and solar generation;
– Scope 3 – FERA, water and waste.
– Types of GHGs included: CO
2
, N2O, CH4, HFCs (PFCs, SF6 and NF3
areexcluded)
– Directed actions: none
Social & Governance KPIs
The assurance comprised a combination of:
– Preliminary research and desk based reviews.
– Remote interviews with the head of sustainability, data compliance
officer, financial accountant, the managers with responsibility for
risk assessment, control, and reporting processes associated with
the KPIs, metrics, and disclosures.
– Extended scrutiny around KPIs assured at a ‘reasonable’ level of
assurance including bank reconciliation evidence.
– Remote interviews with the managers responsible for internal data
collection for each KPI.
– Document review of relevant management systems, policies and
procedures.
– Remote interrogation of and testing of relevant data collection
systems and procedures, including interviews with relevant data
analysts and data accuracy checking.
– Final data verification checks to ensure KPI data is accurate and
aligns with expectations.
– Reviewing Report content against our findings and making
recommendations for improvement.
Verification was conducted upon all KPIs within the verification scope
as an evaluation of historical data and information to determine
whether the reported KPI data is materially correct and conforms to the
criteria described above. SGS’ approach is risk-based, drawing on an
understanding of the risks associated with modelling KPI information and
the controls in place to mitigate these risks. Our examination included
assessment, on a sample basis, of evidence relevant to the voluntary
reporting of KPIs, including emission information. The procedures
performed in a limited assurance engagement vary in nature and timing
from, and are less in extent than for, a reasonable assurance engagement.
Consequently, the level of assurance obtained in a limited assurance
engagement is substantially lower than the assurance that would have
been obtained had a reasonable assurance engagement been performed.
Assurance Statement continued
Annual Report and Accounts 2025 Big Yellow Group PLC76
Limitations and mitigations
Financial data drawn directly from independently audited financial
accounts has not been checked back to source as part of this assurance
process. Note here any other specific limitations for the assurance
engagement and actions taken to mitigate those limitations.
Statement of independence
andcompetence
The SGS Group of companies is the world leader in inspection, testing and
verification, operating in more than 140 countries and providing services
including management systems and service certification; quality,
environmental, social and ethical auditing and training; environmental,
social and sustainability report assurance. SGS affirm our independence
from Big Yellow Group PLC, being free from bias and conflicts of interest
with the organisation, its subsidiaries and stakeholders.
In conducting assurance engagements, SGS is governed by the ‘SGS Code
of Conduct’ and the ‘Assurance Ethical Code SAGSP2’, which has been
established with the requirements of the IESSA (International Ethics
Standard for Sustainability Assurance), which is founded on fundamental
principles of integrity, objectivity, professional competence and due
care, confidentiality and professional behaviour.
At SGS assurance quality control is governed through the Sustainability
Assurance Global Systems Procedure (SAGSP). This quality management
system compliments the requirements of ISAEs and are designed
to be as demanding as quality control requirements stipulated by
ISO17029:2019, and the ISQM1.
The assurance team was assembled based on their knowledge,
experience and qualifications for this assignment, and comprised
auditors registered with relevant bodies. The assurance team comprised
of; Lead Assurance Practitioners / Assessors – Indika Edussuriya, Laura
Berns, and Technical Reviewers – Finn Han & Abdullah Buhidma.
Findings and conclusions
Assurance/verification opinion
GHG & Environmental KPIs
Big Yellow provided the GHG assertion based on the requirements of its
‘Basis of Reporting 2024/25’ and the WRI/WBCSD GHG Protocol. The GHG
information for the period 1st April 2024 to 31st March 2025 disclosing
gross emissions of 2,674 metric tonnes of CO
2
equivalent (Location-Based)
and 718 metric tonnes of CO
2
equivalent (Market-Based) are verified by SGS
to a reasonable level of assurance, consistent with the agreed verification
scope, objectives, and criteria. Please note the emissions from non-store
water consumption and waste disposal are excluded.
Verified emissions by Scope are as follows:
Scope 1 (store and non-store): 53 tCO
2
e
Scope 2 – Location-based (store and non-store): 1,956 tCO
2
e
Scope 2 – Market-based (store and non-store): 0 tCO
2
e
Scope 3 – Category 3 (FERA) (store and non-store): 651 tCO
2
e
Scope 3 – Water and Waste (excludes non-store facilities): 14 tCO
2
e
SGS concludes with reasonable assurance that the presented KPIs and
CO
2
equivalent assertion is materially correct and is a fair representation
of the KPI and CO
2
equivalent data and information and is prepared
following the requirements of Big Yellow’s ‘Basis of Reporting 2024/25’
and the WRI/WBCSD GHG Protocol.
We planned and performed our work to obtain the information,
explanations, and evidence that we considered necessary to provide a
reasonable level of assurance that the CO
2
equivalent emissions for the
period 1 April 2024 to 31 March 2025 are fairly stated. This statement shall
be interpreted with the CO
2
equivalent assertion of Big Yellow as a whole.
Social & Governance KPIs
On the basis of the methodology described and the verification work
performed, nothing has come to our attention that causes us to believe that
the specified performance information included in the scope of assurance
is not fairly stated and has not been prepared, in all material respects, in
accordance with the reporting criteria. Overall, the communication and
presentation of information is appropriate to the size of the business, and
its ESG impacts, risks and opportunities. We believe that the organisation
has chosen an appropriate level and scope of assurance for this stage in
their reporting.
Signed:
For and on behalf of SGS United Kingdom Ltd
Liz Moran
Business Manager
Frimley, Surrey,
14 May 2025
www.sgs.com
Annual Report and Accounts 2025 Big Yellow Group PLC 77
Strategic Report Governance Report Financial Statements
Dear Shareholder,
I am pleased to present the Corporate Governance Report for
2025. This report should be read in conjunction with the report
on pages 83 to 89, which set out how we have complied with
the UK Corporate Governance Code in 2025.
As outlined in my report on pages 14 to 15, 2025 has seen
revenue, cash flow and adjusted profit and adjusted earnings
per share all up on the prior year.
Governance
The Board believes that the effective delivery of the
Company’s strategy requires the underpinning of strong
corporate governance. The governance of the Group is
supported by a robust structure which allows for constructive
debate and challenge by its members. This allows the
Directors to make effective decisions.
Engagement with our stakeholders
The Board is conscious that there are a number of
stakeholders in our business and considers the interests
ofeach of our stakeholder groups in its discussions.
We have a comprehensive investor relations programme
in place, with the Executive team carrying out a significant
number of meetings with our shareholders during the year.
The Non-Executive Directors engage with our shareholders as
appropriate. Independent feedback on presentations by the
Executive Board Directors to major shareholders is provided to
the Non-Executive Directors on a regular basis.
The culture of the business is a key part of our success. In the
year to 31 March 2025, the Executive Board Directors have
continued to visit each of the Group’s stores and maintain a
flat, apolitical, non-hierarchical culture within the business.
We continue to monitor the Net Promoter Score that we receive
from our customers, which remains at a very high level of 82.8
(2024: 80.5).
Looking ahead
Following our performance this year, our attention for
the coming year is focussed on continuing to drive
the operating performance of the business to deliver
shareholder value. We will continue to invest in our
Big Yellow Foundation and its partner charities and also
work with local charities throughout our network assisting
with space which they need to deliver their programmes.
We will continue to focus on delivering attractive long-term
shareholder returns, behaving responsibly to our
stakeholders including employees, customers, suppliers,
and the community, and appropriately managing risk.
Nicholas Vetch CBE
Executive Chairman
19 May 2025
Executive Chairman’s Introduction
Annual Report and Accounts 2025 Big Yellow Group PLC78
How We Are Structured
The Board has overall responsibility for the manner in which
theCompanyrunsitsaffairs:
Position Responsible for More information
The Board
Nicholas Vetch
Executive Chairman
− setting the strategic direction of the business
− setting the culture and values of Big Yellow
− overseeing the internal control system of the Group and its
riskmanagement
− approving the annual business plan for the Group
− approving site and store acquisitions and major items of
capitalexpenditure
− approving the Group’s financing structure
− ensuring a positive dialogue with our stakeholders is maintained
Executive Directors
− implementing the Group’s business plan and strategy
− managing the risk of the business
− focussing on financial performance
Page 84
Nomination Committee
− reviewing the structure, size and composition of the Board
− succession planning for Directors and other senior Executives
− promoting diversity
Pages 90 to 93
Audit Committee
− overseeing the Group’s financial reporting
− overseeing the Group’s internal control framework and risk
managementprocess
− overseeing the relationship with the external auditor and monitoring
theirindependence
Pages 120 to 123
Remuneration Committee
− setting, reviewing and recommending the policy on the remuneration
oftheExecutive Directors
− overseeing the senior management team and general workforce
remuneration approach
− monitoring the implementation of the Remuneration policy
− overseeing the alignment of reward, incentives and culture
Pages 96 to 119
Sustainability Committee
− overseeing the Group’s sustainability framework and strategy
− monitoring sustainability performance
− providing guidance on emerging environmental issues, including
environmental risk, and their impact on the Group’s business
− overseeing the Group’s ESG reporting, including external audit/
assurancemechanisms
Pages 94 to 95
Annual Report and Accounts 2025 Big Yellow Group PLC 79
Financial StatementsGovernance ReportStrategic Report
Directors, Officers and Advisers
Executive Directors
Nicholas Vetch CBE
Executive Chairman
Appointment to the Board
Nicholas was a co-founder of Big Yellow in
September 1998 and held the position of CEO until
July 2003, when he became Executive Chairman.
Jim Gibson
Chief Executive Officer
Appointment to the Board
Jim was a co-founder of Big Yellow in September
1998, initially as Finance Director and he was
subsequently appointed Chief Executive in
July2003.
John Trotman
Chief Financial Officer
Appointment to the Board
John joined Big Yellow in June 2007 and was
appointed to the Board in September 2007.
Background and relevant experience
Prior to Big Yellow, Nicholas was joint Chief Executive of
Edge Properties plc, which he co-founded in 1989, was
subsequently listed on the Official List of the London
Stock Exchange in 1996 and then sold to Grantchester
Properties plc in 1998. Nicholas was appointed a
Commander of the British Empire (“CBE”) in the 2023
New Year’s Honours List.
Other appointments
Nicholas is a Trustee of the Royal Drawing School,
and the Ukrainian Sponsorship Pathway UK, and a
Non-Executive Director of Conduit Holdco Limited.
Committee Membership
None.
Skills and contribution
The Company under Nicholas Vetch’s leadership has
an outstanding track record for delivering consistently
strong returns and share price outperformance.
Nicholas, along with his co-founder Jim Gibson,
developed the strategy of the business and this
continues to this day. He is also responsible for leading
the property team and has over 35 years’ experience
working within the UK property sector. Further details
on Nicholas’ contribution to the business is included in
the annual report on page 83.
Background and relevant experience
Jim is a Chartered Accountant by background
having trained with Arthur Andersen & Co. where he
specialised in the property and construction sectors,
before leaving in 1989. He was Finance Director of
Heron Property Corporation Limited and then Edge
Properties plc which he joined in 1994. Edge Properties
was listed on the Official List of the London Stock
Exchange in 1996 and then sold to Grantchester
Properties plc in 1998.
Other appointments
Jim is a Non-Executive Director and shareholder
of AnyJunk Limited, a Non-Executive Director and
shareholder of CityStasher Limited, an investor in
MobySelf Storage, a Brazilian Self Storage business,
and an investor in Swift Storage, Queensland,
Australia.He is the Chairman of Trustees of the
London Children’s Ballet, and a Trustee of the
Bede’sDevelopment Foundation.
Committee Membership
None.
Skills and contribution
Jim has been with Big Yellow since its formation,
and along with his co-founder Nicholas Vetch, has
been instrumental in developing the strategy of the
business. He leads the day-to-day running of the
business and brings substantial knowledge of self
storage to the Board, which is invaluable to Big Yellow
as it continues to grow. As CEO, the Board believes
Jim has demonstrated outstanding leadership and
drive, notably in managing the business through the
recent geo-political uncertainties. He will continue to
be instrumental in maintaining Big Yellow’s market-
leading position.
Background and relevant experience
John is a Chartered Accountant having trained with
Deloitte LLP, where he specialised in the real estate
sector and self storage. On leaving Deloitte in 2005,
John worked for a subsidiary of the Kajima Corporation
until he joined Big Yellow.
Other appointments
None.
Committee Membership
None.
Skills and contribution
John brings strong financial experience to the Group
from his 18 years with Big Yellow and prior to that
in his previous roles. As CFO, in addition to dealing
with the traditional aspects of the role, John is
involved in strategy, and in all aspects of the day-
to-day operations of the business. He has extensive
knowledge of the self storage sector.
Annual Report and Accounts 2025 Big Yellow Group PLC80
N
Nominations Committee
A
Audit Committee
R
Remuneration Committee
S
Sustainability Committee Committee Chair
Committee key
Non-Executive Directors
Dr Anna Keay OBE
Non-Executive Director
N
A
R
S
Appointment to the Board
Anna joined the Board inMarch2018.
Background and relevant experience
Anna has been CEO of the Landmark Trust since 2012,
operating a portfolio of 200 historic buildings let for
holidays. She has a PhD from London University,
starting her career at Historic Royal Palaces and from
2002 to 2012 she was Curatorial Director of English
Heritage. She was a trustee of Leeds Castle Foundation
from 2009 to 2016 and was a Governor and Chair of the
Buildings and Projects Committee at Bedales School
until November 2021.
She writes and broadcasts widely, presenting on
history and buildings for Channel 4.
Other appointments
Anna is a Trustee of the Royal Collection Trust,
aDirector of Architrave Historical Services and
oftheLundy Company.
Committee Membership
Member of Audit, Nominations, Remuneration and
Sustainability Committees. Anna is the designated
Non-Executive Director for workforce engagement.
Skills and contribution
Anna, as a historian, and with significant experience
in the third sector, adds another dimension to the
Board alongside her operational experience from her
current role as CEO of the Landmark Trust. In her role as
the designated Non-Executive Director for workforce
engagement, she has worked closely with the HR team
in all aspects of employee engagement reporting back
to the Board on a regular basis.
Background and relevant experience
Vince was the Global Managing Partner Audit for
Deloitte. He previously held a number of senior
leadership roles within Deloitte including as a member
of the UK Board of Partners and of the Global Executive
Group and the UK Executive Group before his retirement
from Deloitte in May 2015.
Other appointments
Vince is also a Non-Executive Director and Chair of
the Audit Committee of Forterra plc, a Non-Executive
Director of Target Healthcare REIT plc, and a Trustee of
the Ruth Strauss Foundation.
Committee Membership
Senior Independent Non-Executive Director, Chair of
the Nominations Committee and Member of the Audit,
Remuneration and Sustainability Committees.
Skills and contribution
Vince has many years of financial and commercial
experience gained from his leadership roles at Deloitte,
which he brings to his role as Senior Independent
Non-Executive Director.
Vince Niblett
Senior Independent
Non-Executive Director
N
A
R
S
Appointment to the Board
Vince was appointed to the Board inJune 2017.
Background and relevant experience
Laela has 18 years' experience in corporate finance
and is currently the Finance Director of Consumer
Converged at Virgin Media O2. She was previously
the Chief Financial Officer of OpenClassrooms, an
online educational platform, the Group Chief Financial
Officer of MotorK, a venture-backed software as a
service tech scale-up, which subsequently listed on
Euronext Amsterdam, the Group CFO of VistaJet, the
global private jet operator (now part of Vista Global),
and before that worked in Structured Finance for BNP
Paribas. She is a graduate of the Institut d'Etudes
Politiques de Paris (Sciences-Po) and the London
School of Economics.
Other appointments
Laela also currently serves as a Trustee of the British
Library, where she is Chair of the Audit Committee and
sits on the Remuneration Committee.
Committee Membership
Chair of Audit Committee and Member of Nominations,
Remuneration and Sustainability Committees.
Skills and contribution
Laela has significant corporate and financial
experience in high growth businesses. She is the Chair
of the audit committee, which involves monitoring
KPMG LLP as auditors to the Company, and meeting
with the external valuers of the Company. She has
maintained close dialogue with the external auditors
and the senior finance team throughout the year.
Laela Pakpour Tabrizi
Non-Executive Director
N
A
R
S
Appointment to the Board
Laela was appointed to the Board inJuly 2020.
Annual Report and Accounts 2025 Big Yellow Group PLC 81
Financial StatementsGovernance ReportStrategic Report
Background and relevant experience
Heather was Vice President of Engineering and
Operations for 3Dlabs, a high-tech start-up delivering
the world's first semiconductor 3D-graphics
accelerators for consumer devices and moved on into
leadership and advisory roles for high-tech UK SMEs.
Heather then worked in various senior government
roles including as Director General for Data Capability at
the Office for National Statistics which she modernised
through a cross-organisation digital, data and
workforce transformation. She was also co-Chair of
the United Nations Global Working Group on Big Data,
developing innovative global data solutions to assist
with the measurement and delivery of the United
Nations 2030 Agenda for Sustainable Development.
Other appointments
Heather serves as a Non-Executive Director of
the UK House of Lords Information Authority, as a
Non-Executive Director on the Ministry of Justice Audit
and Risk Assurance Committee, as a Trustee of the
Ukrainian Sponsorship Pathway Charity (USPUK) and
on several Not-for-Profit Advisory Boards.
Committee Membership
Chair of the Sustainability Committee, Member of Audit,
Nominations and Remuneration Committees.
Skills and contribution
Heather brings a track record on sustainability to
Big Yellow, following her work with the UN. She has a
wealth of experience in the private and public sectors.
Heather Savory
Non-Executive Director
N
A
R
S
Appointment to the Board
Heather joined the board of the BigYellow in
March2021.
Company Secretary
and registeredoffice
Shauna Beavis
2 The Deans
Bridge Road
Bagshot
Surrey
GU19 5AT
Company Registration No.
03625199
Bankers
Aviva Commercial Finance Limited
Barclays Bank plc
HSBC Bank plc
Lloyds Bank plc
M&G Investments Limited
Pricoa Private Capital
Solicitors
CMS Cameron McKenna Nabarro Olswang LLP
Fladgate LLP
Lester Aldridge LLP
Shoosmiths LLP
Slaughter and May
Financial advisers
and stockbrokers
Barclays Bank plc
J P Morgan Cazenove
Statutory Auditor
KPMG LLP
Chartered Accountant and Statutory Auditors
Valuers
Jones Lang LaSalle
Background and relevant experience
Michael is a former Managing Director of LGV Capital,
a private equity firm. He has a particular focus on the
healthcare and business services sectors. Past roles
include as a Non-Executive Director, and chair of the
Remuneration Committee, of Helical plc.
Other appointments
Through his company, Ebbtide Partners, which he
started in 2009, Michael acts as a consultant/director
to, and investor in, private companies. He has been the
Chair of Home REIT plc since January 2024.
Committee Membership
Chair of the Remuneration Committee and Member of
Audit, Nominations, and Sustainability Committees.
Skills and contribution
Michael has a wealth of experience in the private
equity sector, with a focus on high growth businesses,
and as Chair of the Remuneration Committee has
led the consultation with shareholders on the new
remuneration policy this year.
Michael O’Donnell
Non-Executive Director
N
A
R
S
Appointment to the Board
Michael joined the board of the BigYellow in
September 2021.
Directors, Officers and Advisers continued
N
Nominations Committee
A
Audit Committee
R
Remuneration Committee
S
Sustainability Committee Committee Chair
Committee key
Annual Report and Accounts 2025 Big Yellow Group PLC82
Introduction
The Board also takes account of the Corporate Governance guidelines of
institutional shareholders and their representative bodies.
The Board continues to monitor external governance developments and
in particular, oversees the Company’s preparations to ensure compliance
with, and effective reporting against, the new UK Corporate Governance
Code, which was published by the FRC in January 2024. The new Code will
first apply to the Company in its financial year beginning on 1 April 2025.
At Big Yellow, we aim to create a culture in which integrity, openness and
fairness are rewarded.
We continue to review the composition of the Board to ensure that it
has the appropriate skills, knowledge, and balance for the effective
stewardship of the Company. The Board has overall responsibility for
themanner in which the Company runs its affairs.
Statement of compliance with the Code
Throughout the year ended 31 March 2025, the Company has been in
compliance with the Code provisions set out in section 1 of the 2018 UK
Corporate Governance Code, with the exception of Provision 19 in that the
Executive Chairman of the Company has served in position for longer than
the recommended period of nine years.
Chairman’s position
During the year ended 31 March 2020, which was the Company’s first
operating under the principles of the new UK Corporate Governance
Code, Richard Cotton (then Senior Independent Non-Executive Director)
and Vince Niblett (current Senior Independent Non-Executive Director)
consulted with a number of the Company's largest shareholders about
the length of Nicholas Vetch's tenure as Executive Chairman (21 years),
which is in contravention of the UK Corporate Governance Code. It is
advised as governance best practice that the Chairman should serve
for a maximum of nine years. It is the view of the Board that it is in the
Company's best interest for Nicholas Vetch to continue as Executive
Chairman for the foreseeable future.
In arriving at this conclusion, the Non-Executive Directors have carefully
considered the leadership position that Nicholas Vetch fulfils in the
Company and also his leadership of the property team. Moreover, they
looked at the governance checks and balances, which are, in their
opinion, strong and effective. It is recognised that having a founder
Director in post as Chairman for considerably longer than advised, needs
justification and the reasons detailed below should inform shareholders
that this has been given very thorough scrutiny.
1. The Company under Nicholas Vetch’s leadership has an outstanding
track record for delivering consistently strong returns and share price
outperformance. In the twenty five years since flotation in May 2000,
Big Yellow has delivered a Total Shareholder Return (“TSR”), including
dividends reinvested, of 12.1% per annum, in aggregate 1,610.7% at
the closing price of £9.32 on 31 March 2025. This compares to 4.1%
per annum for the FTSE Real Estate Index and 5.4% per annum for the
FTSE All Share index over the same period. He has been an integral
part of the business since inception.
2. Big Yellow has a strong culture, which has benefited from stable and
consistent leadership of the business.
3. The Board has five independent NEDs who have a wide range of
corporate experience and provide effective challenge to the Chairman
and the other Executive Directors, which was endorsed by the external
appraisal undertaken by Simon Robertson Associates in 2023.
4. The Board has separate committees for Audit, Nomination,
Remuneration and Sustainability, each of which are chaired by a
Non-Executive Director, and we have a Senior Independent Director
who is considered important in sharing the role of Chairman’s duties.
Specific examples of the board discussion include examination and
engagement in the acquisition of new sites, funding decisions, and
the Group’s net zero carbon plan.
5. As a Board, we have contingency plans in place in the event one of the
Executive Directors cannot fulfil their responsibilities, with a matrix
of who would step in to cover their roles. Considerable thought has
been given by the Board to succession, which has been approached
in the context of a very successful senior team of whom the majority
have been in post since the Company was listed in 2000. More detail
is provided in the Nominations Committee Report.
The Board has been encouraged by the support of its major independent
shareholders as it chooses to explain rather than comply with the Code on
this issue.
The FRC has made it clear in its guidance that departures from the Code
are acceptable, specifically stating in a guidance paper the following:
“The Code establishes best practice, but importantly it offers flexibility.
This flexibility is an opportunity, not a threat; it allows boards to take
a thoughtful approach to governance. Where companies depart from
the Provisions of the Code they need to provide clear and compelling
explanations for why the approach taken is the right one for the particular
circumstances of the Company.” (Source: FRC Review of Corporate
Governance Reporting November 2020). The Company believes that the
reasons set out above for Nicholas Vetch serving as Executive Chairman
do provide that clear and compelling explanation.
Corporate Governance Report
The Company is committed to the principles of corporate governance contained in the
UK Corporate Governance Code issued by the Financial Reporting Council in 2018.
Annual Report and Accounts 2025 Big Yellow Group PLC 83
Financial StatementsGovernance ReportStrategic Report
Corporate Governance Report continued
Statement about applying the principles
ofthe Code
The Company has applied the principles set out in the Code, including
boththe main principles and the supporting principles, by complying
withthe Code as reported above. Further explanation of how the
principles and supporting principles have been applied is set out below
and in the Nominations Committee Report, the Remuneration Report,
andthe AuditCommittee Report.
Leadership
The Board’s role is to provide entrepreneurial leadership of the Company
within a framework of prudent and effective controls which enables risk
to be assessed and managed.
Chairman and Chief Executive
The division of responsibilities between the Chairman and the Chief
Executive has been agreed by the Board and encompasses the following
parameters:
– the Chairman’s role is to provide continuity, experience, governance,
and strategic advice, while the Chief Executive provides leadership,
drives the day-to-day operations of the business, and works with the
Chairman on overall strategy;
– the Chairman, working with the Senior Independent Non-Executive
Director, is viewed by investors as the ultimate steward of the
business and the guardian of the interests of all the shareholders;
– the Board believes that the Chairman and the Chief Executive work
together to provide effective and complementary stewardship;
– the Chairman:
– takes overall responsibility for the composition and capability of
the Board;
– takes overall executive responsibility for the property
development team; and
– consults regularly with the Chief Executive and is available on a
flexible basis for providing advice, counsel, and support to the
Chief Executive.
– the Chief Executive:
– manages the CFO and COO and the Group’s day-to-day activities;
– prepares and presents to the Board strategic options for growth
in shareholder value;
– sets the operating plans and budgets required to deliver agreed
strategy; and
– ensures that the Group has in place appropriate risk management
and control mechanisms.
The Directors believe it is essential for the Group to be led and controlled
by an effective Board that provides entrepreneurial leadership within
a framework of sound controls which enables risk to be assessed and
managed. The Board is responsible for setting the Group’s strategic aims,
its values and standards and ensuring the necessary financial and human
resources are in place to achieve its goals. The Board ensures that its
obligations to shareholders and other stakeholders are understood and
met. The Board also regularly reviews the performance of management.
Effectiveness
Composition of the Board
The Nominations Committee is responsible for reviewing the Board
Composition and makes recommendations to the Board on the
appointment of Directors. There are presently five independent
Non-Executive Directors on the Board, with Vince Niblett being the Senior
Independent Director. The Company complies with the UK Corporate
Governance Code in that at least half of the Board, excluding the Chair,
iscomprised of independent Non-Executive Directors.
All of the Non-Executive Directors bring considerable knowledge,
judgement, and experience to Board deliberations. Non-Executive Directors
do not participate in any of the Company’s share option or bonus schemes
and their service is non-pensionable. The Non-Executive Directors are
encouraged to communicate directly with Executive Board Directors
between formal Board meetings. The Non-Executive Directors meet at
least once a year without the Executive Board Directors being present.
The Non-Executive Directors scrutinise the performance of management
in meeting agreed goals and objectives and monitor the reporting of
performance. They are required to satisfy themselves on the integrity
of the financial information and that financial controls and systems of
risk management are robust and defensible. They are responsible for
determining appropriate levels of remuneration for Executive Board
Directors and have a prime role in appointing and, where necessary,
removing Executive Board Directors, and in succession planning.
The tenure of the independent Non-Executive Directors at 31 March 2025
is set out below:
Changes to the Board and its Committees
There have been no changes to the composition of the Board and its
Committees during the year.
0 1 2 3 4 5 6 7 8
3.6
4.1
4.8
7.1
7.8
Michael O’Donnell
Heather Savory
Laela Pakpour Tabrizi
Anna Keay
Vince Niblett
Annual Report and Accounts 2025 Big Yellow Group PLC84
The board and its committees
Standing committees of the Board
The Board has Audit, Remuneration, Nominations and Sustainability
Committees, each of which has written terms of reference. They deal
clearly with the authorities and duties of each Committee and are formally
reviewed annually. Copies of these terms of reference are available
on the Company’s website. Each of these Committees is comprised of
Independent Non-Executive Directors of the Company who are appointed
by the Board on the recommendation of the Nominations Committee.
Other members of the senior leadership team attend Board meetings
oninvitation.
The Board meets approximately once every two months to discuss a
whole range of significant matters including strategic decisions, major
asset acquisitions and performance. A procedure to enable Directors to
take independent professional advice if required has been agreed by the
Board and formally confirmed by all Directors.
There is a formal schedule of matters reserved for the Board’s attention
including the approval of Group strategy and policies; major acquisitions
and disposals, major capital projects and financing, Group budgets and
material contracts other than in the normal course of business. The Board
also considers matters such as cyber security, reputational risks, and
other non-financial risks as part of its review of the Group’s risk register.
At each Board meeting, the latest available financial information is
produced which consists of detailed management accounts with the
relevant comparisons to budget. A current trading appraisal is given by
the Executive Board Directors.
Attendance at meetings of the individual Directors at the Board Meetings that they were eligible to attend is shown in the table below:
Director Position Number of meetings attended
Jim Gibson Chief Executive Officer
Anna Keay Non–Executive Director
Vince Niblett Non–Executive Director
Michael O’Donnell Non–Executive Director
Laela Pakpour Tabrizi Non–Executive Director
Heather Savory Non–Executive Director
John Trotman Chief Financial Officer
Nicholas Vetch Executive Chairman
attended absent not applicable
All the Committees are authorised to obtain legal or other professional
advice as necessary; to secure, where appropriate, the attendance of
external advisers at its meetings and to seek information required from
any employee of the Company in order to perform its duties.
The Chair of each Committee reports the outcome of the meetings to the
Board. The Company Secretary is secretary to each Committee.
Information and professional development
All Directors are provided with detailed financial information throughout
the year. On a weekly basis they receive a detailed occupancy
report showing the performance of each of the Group’s open stores.
Management accounts are circulated to the Executive monthly and a
detailed Board pack is distributed a week prior to each Board meeting.
All Directors are kept informed of changes in relevant legislation and
changing commercial risks with the assistance of the Company’s external
advisers where appropriate. All Directors have access to the advice of the
Company Secretary on governance matters.
The professional development requirements of Executive Board Directors
are identified and progressed as part of each individual’s annual appraisal.
All new Directors are provided with a full induction programme on joining
the Board.
Non-Executive Directors are encouraged to attend seminars and
undertake external training at the Company’s expense in areas they
consider to be appropriate for their own professional development.
Eachyear, the programme of senior management meetings is tailored
toenable meetings to be held at the Company’s stores. During the year,
the Executive Board Directors made visits to all the Group’s stores.
Annual Report and Accounts 2025 Big Yellow Group PLC 85
Financial StatementsGovernance ReportStrategic Report
Corporate Governance Report continued
Accountability
Risk management and internal control
The Group operates a rigorous system of risk management and internal
control, which is designed to ensure that the possibility of misstatement
or loss is kept to a minimum. There is a comprehensive system in place
for financial reporting and the Board receives a number of reports to
enable it to carry out these functions in the most efficient manner.
Theseprocedures include the preparation of management accounts,
forecast variance analysis and other ad hoc reports. There are clearly
defined authority limits throughout the Group, including those matters
which are reserved specifically for the Board.
The Board has established a continuous process for identifying,
evaluating, and managing the significant risks the Group faces and for
determining the nature and extent of the significant risks it is willing to
take in achieving its strategic objectives. The Board regularly reviews the
process, which has been in place from the start of the year to the date of
approval of this report and which is in accordance with the FRC’s guidance
on risk management, internal control and related reporting that was
issued in September 2014. The Board is also responsible for the Group’s
system of internal control and for reviewing its effectiveness. Such a
system is designed to manage rather than eliminate the risk of failure
to achieve business objectives and can only provide reasonable and not
absolute assurance against material misstatement or loss.
The Board regularly reviews the effectiveness of the Group’s risk
management and internal control systems. In anticipation of the revised
requirements set out in the 2024 UK Corporate Governance Code, which
take effect for accounting periods beginning on or after 1 January 2025
(with Provision 29 coming into effect for periods commencing on or after
1 January 2026), the Group has taken proactive steps during the year to
enhance its risk management and internal control framework.
The Board, supported by the Audit Committee, has overseen a
structuredprogramme of work to strengthen the Group’s internal controls
environment. This programme has focused on ensuring the Group is
well-positioned to meet the Code’s enhanced expectations around the
effectiveness of internal controls and the associated Board declaration.
The Board’s monitoring covers all controls, including financial, operational
and compliance controls and risk management. It is based principally
on reviewing reports from management to consider whether significant
risks are identified, evaluated, managed, and controlled and whether
any significant weaknesses are promptly remedied and indicate a need
for more extensive monitoring. The Board has also performed a specific
assessment for the purpose of this annual report. This assessment
considers all significant aspects of risk management and internal control
arising during the period covered by the report, including the work carried
out by the Group’s Store Compliance team. The Audit Committee assists
the Board in discharging its review responsibilities.
A formal risk identification and assessment exercise has been carried
out resulting in a risk framework document summarising the key risks,
potential impact and the mitigating factors or controls in place. The key
risks the Group faces are detailed on pages 44 to 48. The Board has a
stated policy of reviewing this risk framework at least once a year or in the
event of a material change. Therisk identification process also considered
significant non-financial risks.
During the reviews in the year, the Directors:
– challenged the framework to ensure that the list of significant risks
tobusiness objectives is still valid and complete;
– considered new and emerging risks to business objectives and
included them in the framework if significant;
– ensured that any changes in the impact or likelihood of the risks are
reflected in the risk framework; and
– ensured that there are appropriate action plans in place to address
unacceptable risks.
The results of this exercise have been communicated to the Board
andthe Audit Committee. This was in the form of a summary report
whichincluded:
– a prioritised summary of the key risks and their significance;
– any changes in the list of significant risks or their impact and
likelihood since the last assessment;
– new or emerging risks that may become significant to business
objectives in the future;
– progress on action plans to address significant risks; and
– any actual or potential control failures or weaknesses during the
period (including “near misses”).
During the course of its review of the risk management and internal
control systems, the Board has not identified, nor been advised of
any failings or weaknesses which it has determined to be significant,
consistent with the prior year. Therefore, a confirmation in respect of
necessary actions has not been considered appropriate.
All management are encouraged to stay abreast of all technical and other
competitive advances that could impact the business.
Going concern
The Group’s activities, and a fair review of the business, are included
in the Strategic Report on pages 18 to 48. The financial position of the
Group, including its cash flow, liquidity, and committed debt facilities are
discussed in the Financial Review on pages 38 to 43.
The Directors have a reasonable expectation that the Group and Company
have adequate resources to continue operations for the foreseeable
future. They have therefore continued to adopt the going concern basis
inpreparing the financial statements.
Engagement with stakeholders
The long-term success of our business is dependent on the way we
work with our various stakeholders. The table below shows our key
stakeholder groups, how we engage with them, and how the results of
this engagement are reported up to the Board and influence the decision
making with the business. Not all the information is reported directly to
the Board, however it informs business-level decisions with an overview
of developments being reported on a regular basis to the Board.
The Board has identified a number of key stakeholders which it seeks to
engage with on a regular basis. The key stakeholders are our employees,
our shareholders, our customers, our suppliers, and our communities.
Annual Report and Accounts 2025 Big Yellow Group PLC86
Stakeholder Group Form of engagement How this influenced the Board during the year
Our employees
We carried out an engagement survey of our staff in May 2023,
which showed a very pleasing engagement score of 88% and a
response rate of 92%. Our next survey is being carried out in
May 2025, and we will report on the results of that in next
year’s annual report.
The Directors have continued to visit every store in the
portfolio over the course of the year.
Further detail is provided below on how Anna Keay, the
designated Workforce Engagement Director has carried
outherrole during the year.
We are dedicated to providing outstanding customer service by
fostering a positive work environment and empowering our people.
Our approach focuses on attracting, retaining, and inspiring talented
individuals who demonstrate integrity. We invest heavily in training
to maintain high standards of service, while supporting career
development for our team members. Emphasising personality
overqualifications, our inclusive and diverse recruitment process
ensures we select the right fit. We promote a culture of collaboration,
offering benefits such as bonus schemes, share incentives, and
acknowledging exceptional achievements through our Recognition
Points Scheme.
We are constantly striving to enhance our work environment and
thebenefits of being part of Big Yellow. During the past year this
hasincluded, enhancing our healthcare benefits, introducing and
training all managers on a new Disability Support Policy, training
team members to mentor people with convictions, as well as
additional Inclusivity and Diversity Experts. We have also further
enhanced communication across the business, with monthly
business and regular people updates / recognition of achievements.
The number of employees completing apprenticeships has
continued to grow across the business. We’ve also revamped
ourinduction training programme to provide better support for new
team members, incorporating a buddy system and Learning and
Development Experts. Peer-to-peer training has been a central focus
this year, fostering stronger relationships between Head Office and
the stores. Additionally, we’ve placed a greater emphasis on internal
succession by reviewing and enhancing our development
discussions and performance management processes.
There is further detail on how the Board engage with our people on
page 89.
Our shareholders
The Company has an active dialogue with its shareholders
through a programme of investor meetings which include
formal presentation of the full and half year results.
TheExecutive Board Directors have participated in a number
ofinvestor conferences and meetings during the year.
Duringthe year ended 31 March 2025, the Chief Executive
andother Executive Board Directors carried out
267 meetingswith UK and overseas institutional
shareholdersand potential investors. These meetings
comprised group and individual presentations.
The Board also welcomes the interest of private investors
andbelieves that, in addition to the Annual Report and the
Company’s website, the Annual General Meeting is an ideal
forum at which to communicate with investors and the
Boardencourages their participation.
The Board receives regular feedback on investor perceptions about
the Company. After each set of results, key investors are interviewed
on their perceptions of the performance of the business and
management. The findings are reviewed by the Board. At each Board
Meeting, the Board is updated on any shareholder meetings that
have taken place, and any views expressed, or issues raised by the
shareholders in these meetings.
Annual Report and Accounts 2025 Big Yellow Group PLC 87
Financial StatementsGovernance ReportStrategic Report
Corporate Governance Report continued
Stakeholder Group Form of engagement How this influenced the Board during the year
Our customers
The Group sends surveys to all customers who have moved in
and moved out of the business. A high response rate is received
to these surveys, which show a net promoter score of 82.8
(2024: 80.5).
The net promoter scores are reported to the Board at each Board
meeting and any recurring themes highlighted to allow discussion
around the approach to our customers.
The Directors discuss net promoter scores and customer feedback
with store teams on their regular visits to the Group’s stores.
The net promoter scores achieved from our customers are used as
one of the metrics in the bonus plan of the Executive Board Directors.
Our suppliers
Regular meetings are held between suppliers and their
Big Yellow contact. Appropriate external tendering is carried
out for any new suppliers.
On anti-corruption and anti-bribery matters, we expect all our
suppliers to be compliant with the Modern Slavery Act and we
work closely with our suppliers to promote best practice.
During the prior year we engaged with suppliers we had
identified as being within potentially high-risk categories and
carrying out audits of their compliance with these regulations
and providing support to them.
The Board annually approves the Group’s Modern Slavery statement.
The Group was previously a member of the Prompt Payment Code,
supporting our smaller suppliers with on time payments. This is
being replaced by the Fair Payment Code next year, which the Group
will participate in.
During the year we continued our work with our suppliers on supply
chain ethics. No material issues were noted, albeit we have been
working with them during the year to improve standards further.
Our communities
We demonstrate Big Yellow’s culture and commitment to our
communities through the work of the Big Yellow Foundation
which aims to help vulnerable people lead better lives, working
in partnership with several charities.
Big Yellow matches any donations from our customers at
move-in and move-out. We also match any funds raised by our
employees and allow each member of our team one paid day
per year for volunteering.
We also support approximately 200 local charities with free or
discounted space throughout our network.
The Board receives regular updates regarding the Foundation’s
activities. The Board endorses the culture of giving back time to
support these charities and the financial commitment made
byBig Yellow.
Jim Gibson, CEO, is the Chair of the Trustees of the Big Yellow Foundation.
Our environment
We engage relevant subject matter experts to assess the impact
our business has in the first instance as part of the planning
andconstruction process. Our partners perform detailed
assessments on likely impacts on land, water, biodiversity, air
quality and other key aspects. It is our aim tonot just minimise
any negative aspects, but also ‘listen’ carefully and enhance
where possible, through the installation of green roofs or bird
orbat nesting boxes for example. Weextensively report on our
operational impacts, such as energy consumption, carbon
emissions, waste we create and water we use as part of our
FullESG Report and have systems and processes in place to
manage material aspects, such as energy.
The Board receives regular updates on our environmental
performance and activities.
The Board endorses the Group’s commitment to investing at
allstages of our stores’ lifespan to ensure our impact on the
environment is minimised. It signs off on the budgets to deliver
solarinstallations and electric vehicle charging pods for example.
The Board established a formal Sustainability Committee in 2020
chaired by Non-Executive Director Heather Savory.
Annual Report and Accounts 2025 Big Yellow Group PLC88
Employee relations and companyculture
Our teams are a key resource of the business. From the start we have
always aimed to create a culture which is accessible, apolitical, inclusive,
non-hierarchical, socially responsible, and very importantly, an enjoyable
place to work. We believe in the employees benefiting from the success
of the business. All staff are eligible for an annual bonus; a Sharesave
scheme is open to all employees; and the Company’s Long Term Incentive
Plan is provided to a significant number of employees.
The Executive Board Directors spend a considerable amount of time
meeting with the Group’s employees and visit every store at least once a
year. We recognise the value of the culture of the business and these visits
create an opportunity for it to be cascaded from the boardroom. The Group’s
Non-Executive Directors also participate in some of these visits, allowing
them to develop and maintain a greater insight into the business, producing
an informed and higher quality Board discussion on employee matters.
The Group carries out regular engagement surveys of its staff and
carried out a full survey in May 2023. These surveys tell us what
our staff value about the business and the importance of continued
personal development. Detailed action plans are created following these
engagement surveys and a number of changes to the way we operate
have been made as a result of these surveys. The level of employee
engagement evidenced by these surveys remained very high. We are
carrying out our next survey in May 2025 and will report on the results in
next year’s Annual Report.
Regular training is provided to the Group’s employees, and detailed
courses are provided to allow employees to further their careers and seek
promotion opportunities within the business.
The Board has, in conjunction with the work of the Audit Committee,
reviewed the whistleblowing policies that are in place for the Group’s
employees. There have been no significant issues raised under the
Group’s whistleblowing arrangements during the financial year.
Workforce Engagement Director
The Code requires that the Board should understand the views of its
key stakeholders, with a particular reference to engagement with the
workforce. Specifically, it states that for engagement with the workforce,
one or a combination of the following methods should be used:
– A Director to the main Board should be appointed from the workforce;
– A formal workforce advisory panel should report to the Board; and / or
– A designated Non-Executive Director should sit on the workforce
advisory panel.
A designated Non-Executive Director, Anna Keay, has been chosen as the
primary method of workforce engagement for Big Yellow.
She oversees and is responsible for the following:
– involvement in the Workforce Engagement Group discussions and
occasional attendance at Workforce Engagement Group meetings;
– involvement in key employee project groups where for example
employee views are sought on the business or policy and
proceduralchanges;
– maintaining an awareness of the suggestions made under the
Company’s Bright Ideas Scheme to include key trends and awards made;
– along with all the Company’s Non-Executive Directors, participation
on store tours (pre-planned visits to individual stores);
– along with all the Company’s Non-Executive Directors attending the
Annual Sales Conference;
– provision of feedback to the Board on the bi-annual employee
engagement survey, with assistance from the Human Resources
team and our survey partner;
– receiving detailed feedback from the Executive Board Directors on
their interaction with employees;
– regular meetings with the Head of HR to discuss employee relations
and issues;
– annual face-to-face sessions with groups of employees in different
areas of the business to hear views and concerns;
– acting as an alternative contact to whom employees can report
confidential matters and raise concerns under the Company’s
Whistleblowing Policy; and
– reporting back to the Board and Non-Executive Directors on the above.
Annual Report and Accounts 2025 Big Yellow Group PLC 89
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Committee members
and attendance
Member
Number
of meetings
attended
Vince Niblett – Chair and Senior IndependentDirector
Anna Keay – Member
Michael O’Donnell – Member
Laela Pakpour Tabrizi – Member
Heather Savory – Member
attended
absent
not applicable
Nominations Committee Report
The Committee is responsible for reviewing the Composition of the Board. It also
makesrecommendations for membership of the Board and considers succession
planning for Directors. The Committee is also responsible for evaluating Board and
Committee performance.
Introduction
The Nominations Committee is responsible for reviewing the structure,
size and composition of the Board and giving consideration to succession
planning for Directors and other senior Executives. Where changes
are required, it is also responsible for the identification, selection and
proposal to the Board for approval of persons suitable for appointment
or reappointment to the Board, whether as Executive or Non-Executive
Directors and to seek approval from the Remuneration Committee of
the remuneration and terms and conditions of service of any proposed
Executive Director appointment. The Chair of the Committee reports to
the Board as appropriate to enable the Board as a whole to agree the
appointments of new Directors. The Committee meets at least once a year
and otherwise as required and as determined by its members.
The terms and conditions of appointment for the Non-Executive Directors
are available for inspection at the Company’s Head Office during normal
working hours. They are also available for inspection at the Company’s AGM.
Board performance evaluation
During 2023, the effectiveness of the Board and its Committees was
evaluated by Simon Robertson Associates LLP (“SRA”). Simon Robertson
Associates have no other business relationship with the Group or any
of the Company’s Directors. SRA met each Director individually, the
Company Secretary, many of the senior management team and certain
external advisers to the Company. They also attended Board and
Committee meetings, with the results of the evaluation presented to the
full Board.
There had been three new NED appointments and a new SID.
Consequently, the dynamics of the Board have altered but SRA noted that
it operates just as effectively, with the new NEDs strengthening skills and
experience, particularly around the ESG agenda. SRA was positive about
the implementation of recommendations made following the last review.
Annual Report and Accounts 2025 Big Yellow Group PLC90
Findings
The overall conclusion was that the Board operates with a high degree
of efficiency, with a good level of leadership and in a way that promotes
honest discussion and healthy debate. High-priority business is
unanimously recognised and given the appropriate allocation of time for
detailed discussion. This does not detract from other tabled business
which is well covered; conversations are straightforward and substantive.
SRA was complimentary of the comprehensive approach to governance,
noting that the Board is appropriately structured and balanced, with
its Committees both well-defined and purpose-driven. SRA noted that a
distinct entrepreneurial culture and set of values are evident at Board
level, a sentiment echoed by others who were part of the review process.
SRA’s main recommendations were:
– consider internal deep-dive exercises on risk management
systems and financial controls to test the robustness of
currentprocesses;
– continue open dialogue around Board evolution to help with
succession planning;
– nurture board dynamics through opportunities for the Board to
meet independently of main meetings; and
– restructure the NEDs induction process to allow for a more
extensive introduction to senior management and continue the
NEDs education and visibility around the business.
Current year board evaluation
During the current year, the Senior Independent Director led an internal
evaluation of the Board’s performance. This consisted initially of a round
table discussion on the Board’s performance. The Senior Independent
Director then sent a detailed questionnaire to each member of the Board
asking them to assess the effectiveness of the Board and its discussions,
and to raise any suggestions for improvement. As part of this review
the recommendations from SRA in 2023 were revisited to ensure these
had been implemented. The Senior Independent Director provided a
paper summarising the results of these exercises to the Board. It was
considered that the Board was operating effectively, with some minor
areas identified for improvement.
Director evaluation
During the current year, the Executive Chairman evaluated the performance
of the other Executive Board Directors, and the performance of the Chairman
was evaluated by the Senior Independent Non-Executive Director. It was
considered that the individuals were operating effectively, with appropriate
procedures put in place for minor areas identified for improvement.
Succession planning
It is a key responsibility of the Committee to advise the Board on
succession planning. The Committee ensures that any future changes
inthe Board’s composition are foreseen and effectively managed.
The Board comprises a team of three Executive Board Directors,
two of whom were co-founders of the Company, complemented by
Non-Executive Directors who have wide business experience and skills as
well as a detailed understanding of the Group’s philosophy and strategy.
The Executive Board Directors have worked together for a significant
length of time. Continuity of experience and knowledge, particularly
of self storage, within the executive team is important in a long-term
focussed business such as Big Yellow.
The team has confirmed individually and collectively that they all remain
committed to the business for the foreseeable future. Each Executive
has a significant personal financial interest in the Company. The risk of
unforced succession within the business is therefore low.
Given the financial interest of each member of the team in the
Company,any planned change in the team in the medium-term (e.g. upon
retirement) will be staggered to ensure there is not significant disruption
to the overall team.
The Directors work closely together across the various departments
that each manages, and so each carries knowledge of the way the whole
business operates and would be able to take over the running of that
department in the short-term should a vacancy arise. Equally important
is the strength of the Senior Management team within the business.
The majority of department heads have worked for the business
for a substantial period of time and are highly capable individuals.
TheCommittee has confidence that they would be able to step up if
thereis agap in the Executive Director team at any point.
In the event of unforeseen changes, the Committee ensures that
management and oversight of the Group’s business and long-term
strategy will not be affected.
The Committee also addresses the development and continuity of
the Senior Management team below Board level and has considered
succession planning for this team during the year. The Committee also
considers the succession planning for Non-Executive Directors being
cognisant of when the nine year terms expire for each Non-Executive.
Annual Report and Accounts 2025 Big Yellow Group PLC 91
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Nominations Committee Report continued
Big Yellow Executive team
Big Yellow operates with a leadership team of fifteen, comprising of
threeExecutive Board Directors, supported by twelve key executives
within the business. The Group does not have a formal Executive
Committee or formal Operating Board, as a more flexible approach to
theday-to-day management of the business is used within a relatively
flat management structure.
In addition to the three Executive Board Directors, the other members
of the Executive team cover finance, sales and marketing, operations,
facilities, construction, property acquisitions, human resources,
information technology and digital security, and ESG.
The business is run through small sub-groups of decision-making
committees, which meet regularly throughout the year around
particularkey delivery areas which contribute to our growth and success.
Thesecommittees are attended by members across the leadership team
and other employees as required. All of these meetings are also attended
by at least one of the Executive Board Directors, and in many cases more
than one Executive Director. All strategic and acquisition decisions are
made at the PLC Board level and then the Committees implement and
take the detailed decisions to drive operational performance and deliver
growth. There are also specific thematic executive committees, such as
an Environmental Committee and a Health and Safety Committee.
Gender identity reporting under
LR9.8.6R(9) and LR9.8.6R(10)
All aspects of diversity, including gender are considered at every levelof
recruitment. All appointments to the Board are made on merit. The Board’s
policy states that the Board seeks a composition with the right balance
of skills and diversity to meet the demands of the business. The listing
rules set out a target of 40% representation of the Board as women.
TheCompany at 31 March 2025 had 38% of the Board as women, and
this requirement will be an important consideration in future board level
appointments. The listing rules also target Boards to have at least one
woman in the roles of Chair, Senior Independent Director ("SID") and/or
as CEO or CFO. It is our intention to have at least one woman in one of the
defined roles above by the end of our next financial year.
Gender diversity of the Board, Key Executives and Company at
31 March 2025 is set out below:
Number
of board
members
% of
the board
Number
of senior
positions
(CEO, CFO,
SID and
Chair)
Number in
executive
management
Percentage
of executive
management
Men 5 62.5% 4 7 58%
Women 3 37.5% 5 42%
Not specified/
prefer not to say
The data in the table was collected via written submissions completed by
each relevant individual within scope of the reporting requirements set
out in Listing Rule 9.8.6R(10).
100
70
80
90
60
30
40
50
20
0
10
Board Key
Executives
Board
and Key
Executives
All
employees
42%
5
58%
7
40%
8
60%
12
45%
217
55%
268
Female
Male
62%
5
38%
3
Annual Report and Accounts 2025 Big Yellow Group PLC92
Ethnic background identity reporting
under LR9.8.6R(9) andLR9.8.6R(10)
As at 31 March 2025, being the relevant reference date for the purposes
of Listing Rule 9.8.6R(9)(a), two of the Board’s eight members identified
as non-white (25%), exceeding the target set in the Listing Rules and the
Parker Review.
Number
of board
members
% of
the board
Number
of senior
positions
(CEO, CFO,
SID and
Chair)
Number in
executive
management
Percentage
of executive
management
White British
or other White
(including
minority-white
groups) 6 75% 3 11 100%
Mixed/Multiple
Ethnic Groups 1 12.5% 1
Asian/Asian
British
Black/African/
Caribbean/Black
British
Other ethnic
group, including
Arab 1 12.5%
Not specified/
prefer not to say
The data in the table was collected via written submissions completed by
each relevant individual within scope of the reporting requirements set
out in Listing Rule 9.8.6R(10).
External appointments
On making new appointments, the Board takes into account the other
demands on a Director’s time. Prior to any appointment, significant
commitments are disclosed with an indication of the time involved.
Anyadditional external appointments are only undertaken with prior
approval of the Board. The Group’s Executive Board Directors may not
take on more than one non-executive Directorship within a FTSE 350
company or other significant and time-consuming appointment.
Directors standing for re-election
All of the Directors will retire in accordance with the UK Corporate
Governance Code and will offer themselves for re-election at the Annual
General Meeting.
Following a performance appraisal process, the Board has concluded that
the Directors retiring are effective, committed to their roles and operate
as effective members of the Board.
The Board, on the advice of the Committee, therefore recommends the
re-election of each Director standing for re-election. Full biographical
details of each Director are available on page 80.
Vince Niblett
Nominations Committee Chair
19 May 2025
Annual Report and Accounts 2025 Big Yellow Group PLC 93
Financial StatementsGovernance ReportStrategic Report
Committee members
and attendance
Member
Number
of meetings
attended
Heather Savory – Chair
Anna Keay – Member
Vince Niblett – Member
Michael O’Donnell – Member
Laela Pakpour Tabrizi – Member
attended
absent
not applicable
Introduction
The Sustainability Committee is responsible for:
– overseeing the Group’s sustainability framework and strategy;
– monitoring the sustainability performance;
– providing guidance on emerging environmental issues, including
environmental risks, and their impact on the Group’s business; and
– overseeing the Group’s ESG reporting, including external audit and
assurance mechanisms.
The Sustainability Committee has determined its scope as:
– material, covering all environmental aspects of Big Yellow’s business,
i.e. the ‘E’ in ESG; and
– comprehensive, from energy to waste, considered in order of their
impact on the business.
The scope of the Sustainability Committee excludes:
– social and personnel aspects of ESG, which the Big Yellow Board
considers elsewhere, under the guidance of Non-Executive Director
Anna Keay; and
– governance aspects of ESG which are considered directly by the
Big Yellow Board.
Sustainability Committee Report
Annual Report and Accounts 2025 Big Yellow Group PLC94
Overview
The Sustainability Committee meets twice a year: in September and
in March, attended by all Big Yellow Board Members and the Head
ofSustainability.
The Head of Sustainability and the delivery of Big Yellow’s Sustainability
Strategy are supported through an executive-level, cross-disciplinary
Environmental Committee of Big Yellow staff, with external experts called
in to assist as and when required.
Big Yellow’s Sustainability Strategy was first published in 2021, setting
out pathways to become Net Renewable Energy Positive by 2030 and
working towards Science-Based Targets for emissions reductions by
2032. An updated version will be published this year.
The Sustainability Committee commends the excellent progress made
against the Sustainability Strategy during 2024-25.
Big Yellow now has two Science-Based Targets set and verified by the
Science-Based Target initiative (SBTi). These have been put in place to
help us decarbonise our Scope 1, 2 and 3 activities.
In addition to the work to gain formal approval for the Science-Based
Targets this year we have also seen:
– strong progress on the Solar Retrofit programme – now standing
at 48 retrofit installations, which contribute to a total generating
capacity of over 8.5 Megawatts across 78 stores;
– completion of the Battery Pilot – a second phase of the pilot has been
completed successfully, with further substantial savings seen at
Slough Farnham Road; and
– completion of a series of Energy Efficiency pilot projects to inform the
roll out of further energy efficiency measures across the estate in the
coming years.
This year we have continued to work to understand our Scope 3 emissions.
We have carried out multistage Life Cycle Assessments of our construction
activities and, moving forward, we are committed to having our Scope 3
footprint externally calculated and verified. The information we gather from
these activities will be used to understand how our design decisions impact
our carbon emissions and influence future construction specifications.
I am pleased to confirm that Big Yellow is continuing to deliver well against
its Sustainability Strategy, whilst maintaining a flexible approach in
light of new developments in the sustainability space. The business is
continually seeking to innovate and make the best of new opportunities
as they arise in its work to meet the long-term targets of the strategy.
Heather Savory
Sustainability Committee Chair
19 May 2025
Annual Report and Accounts 2025 Big Yellow Group PLC 95
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Attendance at Remuneration
Committee meetings
Attendance at meetings of the individual Directors at the
Remuneration Committee Meetings that they were eligible
toattend is shown in the table below:
Committee members
and attendance
Member
Number
of meetings
attended
Michael O’Donnell – Chair
Anna Keay – Member
Vince Niblett – Member
Laela Pakpour Tabrizi – Member
Heather Savory – Member
attended
absent
not applicable
This report has been prepared by the Remuneration Committee and approved by
theBoard. It has been prepared in accordance with Schedule 8 of the Large and
Medium-size Companies and Groups (Accounts and Report) (Amendment)
Regulations2013 (the “Regulations”).
Introduction
The report is divided into three main sections:
– The Annual Statement – which summarises the remuneration
outcomes in the year ended 31 March 2025 and how the
Remuneration Policy will be operated in the year ending
31 March2026;
– The Remuneration Policy Report – which sets out the proposed
Remuneration Policy which will be put to shareholders for approval
atthe 2025 AGM; and
– The Annual Report on Remuneration – which sets out how the
Committee intends to operate the Remuneration Policy for the year
ending 31 March 2026, the link between Company performance and
remuneration and payments and awards made to the Directors in
respect of the year just ended.
The Companies Act 2006 requires the auditor to report to the shareholders
on certain parts of the Remuneration Report and to state whether, in
their opinion, those parts of the report have been properly prepared
in accordance with the Regulations. The parts of the Annual Report on
Remuneration that are subject to audit are indicated in the report.
Remuneration Committee Report
Annual Report and Accounts 2025 Big Yellow Group PLC96
The Committee and its Work During the Year
Committee Chair: Michael O’Donnell
Current Committee members: Vince Niblett, Anna Keay, Laela Pakpour Tabrizi and Heather Savory
Terms of Reference: https://corporate.bigyellow.co.uk/investors/corporate-governance
The Committee met three times during the year under review. The Committee’s main activities during the year ended 31 March 2025
(full details are set out in the relevant sections of this report) included:
– Agreeing Executive Director base salary increases from 1 April 2025;
– Agreeing the cash annual bonus awards for the year ended 31 March 2024 and setting the targets for the year ended
31 March 2025;
– Agreeing the deferred annual bonus plan awards for the year ended 31 March 2024 and setting the targets for the year ended
31 March 2025;
– Reviewing the EPS and Total Shareholder Return (“TSR”) performance targets and determining the percentage vesting for the
2021 LTIP awards which vested in 2024;
– Reviewing the CEO Pay Ratio calculations and disclosures;
– Reviewing the Company’s Gender Pay calculations and disclosures;
– Reviewing the Company’s Ethnicity Pay calculations and disclosures; and
– Reviewing the 2024 AGM voting results and considering shareholder feedback received.
In addition, the Committee has considered how the current and proposed Policy and practices are consistent with the six factors set
out in Provision 40 of the UK Corporate Governance Code:
Clarity
Our Policy is understood by our senior executive team and is clearly articulated to our shareholders and representative bodies
(bothon an ongoing basis and when changes are proposed).
Simplicity
The Committee is mindful of the need to avoid overly complex remuneration structures which can be misunderstood and deliver
unintended outcomes. Therefore, a key objective of the Committee is to ensure that our executive remuneration policies and
practices continue to be straightforward to communicate and operate.
Risk
Our Policy has been designed to ensure that inappropriate risk-taking is discouraged and will not be rewarded via: (i) the balanced use
of annual and long-term pay which employ a blend of financial, non-financial and shareholder return targets; (ii) the significant role
played by equity in our incentive plans; and (iii) malus/clawback provisions.
Predictability
Our incentive plans are subject to individual caps, our share plans are also subject to market standard dilution limits.
Proportionality
There is a clear link between individual awards, delivery of strategy and our long-term performance. In addition, the significant role
played by incentive/‘at-risk’ pay, together with the structure of the Executive Board Directors’ service contracts, ensures that poor
performance is not rewarded.
Alignment to culture
Our executive pay policies are fully aligned to Big Yellow’s culture through the use of metrics in both the annual bonus, deferred bonus
and LTIP that measure how we perform against our KPIs.
Annual Report and Accounts 2025 Big Yellow Group PLC 97
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Remuneration Committee Report continued
Annual Statement
Dear Shareholder
I am pleased to present the Directors’ Remuneration Report for the year
ended 31March 2025.
Performance, Decisions and Reward Outcomes
for the year ended 31March 2025
The business conditions and performance of the Group in the year ended
31 March 2025 are described more fully in the Chairman’s Statement and
the Operating and Financial Review of this Annual Report. In summary:
– The business of the Group performed resiliently despite the current
economic headwinds;
– Big Yellow remains the clear UK brand leader in self storage and
delivered growth in revenue, cash flow and adjusted profit for the
sixteenth year in a row;
– Revenue, operating cash flow and adjusted profit before tax
increased 2%, 2% and 8% respectively; and
– Dividends are up by 3% on the prior year.
Payments made to the Executive Board Directors under the cash annual
bonus plan for the year ended 31 March 2025 amounted to 9.8% of salary
(out of a maximum of 25% of salary), based on performance against
pre-set targets for occupancy, store profitability, store audits and
customer satisfaction. The targets set, and the out-turn, were identical
tothe average bonus awarded across the stores and head office.
Awards made to the Executive Board Directors under the deferred annual
bonus plan for the year ended 31 March 2025 amounted to 64.1% of
salary (out of a maximum of 125% of salary), based on performance
against financial and non-financial performance targets linked to the
business plan.
In respect of the Long Term Incentive Plan (“LTIP”) awards granted in
2021, which vested in July 2024, three-year EPS and TSR performance
resulted in 100% of awards vesting.
Further details of the targets, and performance against the targets, for
cash and deferred annual bonus plans and share award vesting levels are
set out in the Annual Report on Remuneration.
Operation of the Policy and use of discretion
The Remuneration Policy operated as intended for the year ended
31 March 2025, and no discretion was applied.
Policy review
As the current Remuneration Policy approved by shareholders in 2022
is reaching the end of its three-year life, the Committee has carried out a
detailed review of the Policy and consulted with Big Yellow Group’s major
shareholders and the main representative bodies.
On the basis that our strategy remains unchanged, no changes are
proposed in respect of the Policy structure or quantum. We are, however,
proposing one minor change to annual bonus deferral. The Big Yellow
annual bonus is split into two parts as follows:
– Cash – up to 25% of salary is aligned with the workforce annual bonus
(measured against store performance, through occupancy growth,
store profitability, store audits and customer satisfaction scores); and
– Deferred Bonus Plan – up to 125% of salary measured against financial,
operational, real estate and strategic measures which is deferred into
shares for 3 years. Vesting is subject to continued employment.
Noting that the proportion of Big Yellow’s annual bonus that is deferred
into shares (125% out of 150% of salary) is significantly greater than
typical sector practice and the recent change to the Investment
Association (“IA”) principles, the Committee wishes to reduce the level
ofdeferral where shareholding guidelines have been met.
As such, if an Executive Director has met the 200% of salary shareholding
guideline (which is the case for the current Executive Directors), two
thirds of this part of the bonus will be delivered in shares which vest
immediately, while one third will be deferred into shares for 3 years.
Where an Executive Director has not met the shareholding guidelines, all
of this part of the bonus (or such part between one third and 100% of the
bonus as required to meet the shareholding guideline) will be deferred
into shares for three years as per current practice.
The level of cash potential for Big Yellow’s annual bonus will continue to be
below sector/FTSE 250 norms, and the Committee is comfortable that the
proposed change follows the spirit of the IA’s Principles of Remuneration
while still proving significant alignment with shareholders.
Implementing the Policy for the
Year Ending 31March 2026
Base salary
The Committee continues to operate a policy of targeting base salaries
“close to (but generally just below) median” although current base
salary levels are well below the market level for a FTSE 250 company of
Big Yellow’s size and complexity.
From 1 April 2025, Executive Director salary levels were increased by 2%
which was in line with the increase across the wider workforce (albeit a
proportion of lower paid team members received a higher increase).
Chief Executive
(Jim Gibson)
Executive
Chairman
(Nicholas Vetch)
Chief Financial
Officer
(John Trotman)
From 1 April 2024 £509,725 £434,425 £376,500
From 1 April 2025 £519,925 £443,125 £384,050
% increase 2% 2% 2%
Annual Report and Accounts 2025 Big Yellow Group PLC98
Pension and benefits
Pension provision for the Executive Directors will continue at 6% of
salary, which is in line with the pension offered to the general workforce.
Benefitprovision will remain unchanged (private fuel, private medical
insurance, permanent health insurance, life assurance and relocation
allowances, where relevant).
Annual bonus
Annual bonus potential will continue to be capped at 150% of salary for the
year ending 31 March 2026.
Up to 25% of salary will continue to be aligned to the workforce annual
bonus (measured against store performance, through occupancy growth,
store profitability, store audits and customer satisfaction scores).
Anybonus earned under this part will be payable in cash, following the
year ending 31 March 2026.
The remaining 125% of salary will continue to be measured against financial,
operational, real estate and strategic targets measured over the financial
year ending 31 March 2026. Any award under this part will be delivered in
Big Yellow shares in line with the Directors’ Remuneration Policy.
LTIP
The LTIP will continue to operate in its current form with the award potential
at up to 200% of salary (albeit award levels will remain below market in
value terms given the below market salary levels). As per the 2024 LTIP
awards, 80% of awards will be measured against Earnings Per Share (“EPS”)
and relative Total Shareholder Return (“TSR”) and 20% will be based on ESG
related performance metrics. Details of the proposed targets for the 2025
LTIP awards are set out in the Annual Report on Remuneration.
Shareholding guidelines – in employment
The guideline to build and maintain a holding of at least 200% of salary
in shares of the Company will continue to apply and has been met by
all of the current Executive Board Directors. Where a newly appointed
Executive Director does not meet the 200% of salary ‘in employment’
shareholding guideline in the future, 100% of the net of tax shares which
vest under any discretionary share award are to be retained.
Shareholding guidelines – post employment
The post-cessation shareholding guideline whereby Executive Directors
will need to retain shares equal to 100% of the shareholding guideline
(orthe actual number of shares held against the guideline if the guideline
is not met at cessation) up until the second anniversary of cessation will
continue to apply.
Conclusion
I hope that, at the AGM on 17 July 2025, you will support the resolution on
the remuneration paid to the Directors in the last financial year, and the
implementation of the new Remuneration Policy for the forthcoming year.
I would like to extend my thanks to my fellow colleagues on the
Committee for their support and work in 2024/25.
Michael O’Donnell
Chair of the Remuneration Committee
19 May 2025
Directors’ Remuneration Policy
This section of the Remuneration Report contains the Company’s
Directors’ Remuneration Policy (the “Policy”) which governs the
Company’s approach to remuneration.
It is the policy of the Company to ensure that the executive remuneration
packages are designed to attract, motivate, and retain Directors of a high
calibre and reward the executives for enhancing value to shareholders.
As a result, a substantial element of the remuneration of the Executive
Board Directors is structured to be dependent on the performance of
the Company. The policy aims to support a performance culture where
there is appropriate reward for the achievement of strong Company
performance without creating incentives which will encourage excessive
risk-taking or unsustainable Company performance.
Policy scope
The Policy applies to the Executive Board Directors and
Non-Executive Directors.
Policy duration
The current Directors’ Remuneration Policy Report was approved by a
binding shareholder vote at the AGM on 21 July 2022. A new Remuneration
Policy is being put to shareholders for approval at the forthcoming AGM.
Policy changes
On the basis that our strategy remains unchanged, no changes are
proposed in respect of the Policy structure or quantum.
We are, however, proposing one minor change to annual bonus deferral.
The Big Yellow annual bonus is split into two parts as follows:
– Cash – up to 25% of salary is aligned with the workforce annual bonus
(measured against store performance, through occupancy growth,
store profitability, store audits and customer satisfaction scores); and
– Deferred Bonus Plan – up to 125% of salary measured against financial,
operational, real estate and strategic measures which is deferred into
shares for 3 years. Vesting is subject to continued employment.
Noting that the proportion of Big Yellow’s annual bonus that is deferred
into shares (125% out of 150% of salary) is significantly greater than
typical sector practice and the recent change to the Investment
Association (“IA”) principles, the Committee wishes to reduce the level
ofdeferral where shareholding guidelines have been met.
As such, if an Executive Director has met the 200% of salary shareholding
guideline (which is the case for the current Executive Directors), two
thirds of this part of the bonus will be delivered in shares which vest
immediately, while one third will be deferred into shares for 3 years.
Where an Executive Director has not met the shareholding guidelines,
allof this part of the bonus (or such part between one third and 100% of
the bonus as required to meet the shareholding guideline) will be deferred
into shares for three years as per current practice.
While the level of cash potential for Big Yellow’s annual bonus will continue
to be below sector/FTSE 250 norms, the Committee is comfortable
that the proposed change follows the spirit of the IA’s Principles of
Remuneration while still proving significant alignment with shareholders.
Annual Report and Accounts 2025 Big Yellow Group PLC 99
Financial StatementsGovernance ReportStrategic Report
Remuneration Committee Report continued
Summary Policy table (Executive Board Directors)
The main components of the Directors’ Remuneration Policy, and how they are linked to and support the Company’s business strategy are
summarised below:
Executive Board Directors
Purpose and link
tostrategy Operation Maximum potential value
Performance conditions
andassessment
Base salary
To provide competitive
fixed remuneration that
will attract and retain
key employees and
reflect their experience
and position in
theCompany.
Base salary is normally set annually on 1 April.
When considering any increases to base salaries
in the normal course (as opposed to a change in
role or responsibility), the Committee will take
intoconsideration:
– level of skill, experience, scope of responsibilities
and performance;
– business performance, economic climate, and
market conditions;
– pay and employment conditions of employees
throughout the Group, including increases
provided to staff;
– inflation; and
– increases provided to Executive Board Directors
in comparable companies (although such data
would be used with caution).
Salaries are typically set after
considering the salary levels in
companies of a similar size and
complexity in the FTSE 250.
Our overall policy is normally to target
salaries at close to (but generally just
below) median levels.
Base salaries are intended to increase
in line with inflation and general
employee increases in salary.
Higher increases may apply if there is
a change in role, level of responsibility
or experience or if the individual is new
to the role.
There is no maximum salary cap
inplace.
None
Annual bonus
The annual bonus
aligns reward to
key Group strategic
objectives and
drives short-term
performance.
Executive Board Directors participate in an annual
performance-related bonus scheme.
Up to 25% of salary will be paid in cash.
If shareholding guidelines are met: Up to 125% of salary
will be payable against the Deferred Bonus targets with
two thirds awarded in shares which vest immediately
and one third awarded in shares which vest after three
years subject to continued employment.
If shareholding guidelines are not met: Up to 125% of
salary payable against the Deferred Bonus targets
with 100% awarded in shares which vest after three
years subject to continued employment.
Dividend equivalents may be payable on deferred
share awards.
The annual bonus plan rules contain clawback and
malus provisions.
150% of salary. Assessed annually
and determined by the
Committee based on
financial, strategic and/
or personal performance
against the Group’s
business plan for each
financial year.
Long Term
Incentive Plan
The Long Term
Incentive Plan aligns
Executive Director
interests with those
of shareholders and
rewards value creation.
Awards are made annually to the Executive Board
Directors (and certain senior managers who are in a
position to significantly influence the performance
of the Group) in the form of nil-paid options.
The awards granted under the Long Term Incentive
Plan are subject to performance conditions to be
met over a performance period of three years.
Dividend equivalents may be payable on LTIP awards
during the vesting period, to the extent awards vest.
The LTIP contains malus and clawback provisions.
A two year post vesting holding period applies to LTIP
awards granted to Executive Directors following the
2018 AGM.
200% of salary, albeit actual award
levels may be lower.
Vesting under the LTIP
will be based on financial,
share-price, strategic
and/or ESG related
performance measures.
Annual Report and Accounts 2025 Big Yellow Group PLC100
Purpose and link
tostrategy Operation Maximum potential value
Performance conditions
andassessment
Pension
To provide competitive
levels of retirement
benefit.
Contribution made into Executive Director’s personal
pension plan, or a cash supplement of equivalent
value paid in lieu of pension contribution.
Workforce aligned
(currently 6% of salary)
None
Other benefits
To provide competitive
levels of employment
benefits.
Benefits include:
– Private fuel;
– Private medical insurance;
– Permanent health insurance;
– Company car via salary sacrifice;
– Life assurance of four times base salary; and
– Relocation allowances (where relevant).
Other benefits may be provided where appropriate.
The type and level of benefits provided is reviewed
annually to ensure they remain market competitive.
Maximum opportunity is the total cost
of providing the benefits. There is no
monetary cap on benefits.
None
Shareholding
policy – in
employment
To ensure that
Executive Board
Directors’ interests are
aligned with those of
shareholders over a
longer time horizon.
Requirement to build and maintain a holding of
shares in the Company, through retaining at least
100% of post-tax shares vesting in discretionary
share-based incentive plans if this guideline has not
been met.
200% of salary. N/A
Shareholding
policy – post
employment
Requirement to retain shares equal to 100% of the
shareholding guideline (or the actual number of
shares held against the guideline if the guideline
is not met at cessation) up until the second
anniversary of cessation.
Own shares purchased and share awards granted
prior to the 2021 AGM are excluded from the
post-cessation guideline.
All Employee
Scheme
To encourage share
ownership by all
employees. This allows
them to align their
interests with those of
investors and to share
in the long-term success
of the Company.
Executive Board Directors may participate in any
HMRC tax favoured all employee arrangements.
In line with the prevailing HMRC limits. None
Annual Report and Accounts 2025 Big Yellow Group PLC 101
Financial StatementsGovernance ReportStrategic Report
Remuneration Committee Report continued
Notes to the policy table
The key principle for the short and long-term incentives is to provide a strong link between reward and individual and Group performance to align the
interests of Executive Board Directors with those of shareholders.
1. Annual bonus performance measures and targets
Annual bonuses for the Executive Board Directors are based on:
– 25% of salary cash bonus: the average of the stores’ performance against their quarterly targets providing direct alignment of the Directors’
bonuses to performance (and the bonus levels) of the staff. The four Key Performance Indicators used to assess store performance are occupancy
growth, store profitability, store audits and customer satisfaction. Store targets are set every quarter and an average of the four quarters is taken.
– 125% of salary deferred share bonus: measured against pre-set financial, operational, real estate, strategic and ESG-related targets.
2. Long Term Incentive Plan performance measures and targets
Performance metrics and targets for LTIP awards will provide a direct link between the incentive for the Executive Board Directors and the long-term
value created for shareholders. The main two performance metrics, which may be supplemented by strategic and/or ESG-related metrics are:
– Relative TSR against the constituents of the FTSE Real Estate Index, given that Big Yellow’s historic performance has been closely aligned to the
performance of this Index.
– Adjusted EPS figure as reported in the audited results of the Group for the last complete financial year ending before the start of the performance
period and the last complete financial year ending before the end of the performance period.
3. Malus and clawback
The cash annual bonus, deferred annual bonus plan and LTIP include malus and clawback provisions.
Malus is the adjustment of outstanding deferred bonus and LTIP awards as a result of the occurrence of one or more of the circumstances listed below.
The adjustment may result in the value being reduced to zero. Malus will apply for the three year period from grant to vesting for the deferred bonus and
LTIP awards.
Clawback is the recovery of payments/vestings under the cash bonus and LTIP as a result of the occurrence of one or more circumstances listed below.
Clawback will apply for three years post payment of a cash bonus/grant of deferred share awards and three years post vesting for LTIP awards.
The circumstances in which malus and clawback could apply are as follows:
– discovery of a material misstatement resulting in an adjustment in the audited consolidated accounts of the Company;
– the assessment of any performance target or condition in respect of an award was based on error, or inaccurate or misleading information;
– the discovery that any information used to determine the amount of an award was based on error, or inaccurate or misleading information;
– corporate failure or the occurrence of an insolvency event;
– action or conduct of an award holder which, in the reasonable opinion of the Board, amounts to fraud or gross misconduct; and
– events or behaviour which have led to the censure of the Company by a regulatory authority or have had a significant detrimental impact on the
reputation of any Group Company.
4. Discretion
The Committee has discretion in several areas of policy as set out in this report. The Committee may also exercise operational and administrative
discretion under relevant plan rules approved by shareholders as set out in those rules. In addition, the Committee has the discretion to amend policy
with regard to minor or administrative matters where it would be, in the opinion of the Committee, disproportionate to seek or await shareholder approval.
In certain circumstances, the Committee will be required to exercise its discretion, taking into consideration the particular circumstances of an
Executive Director’s departure and/or the recent performance of the Company in determining the specific level of payments to be made.
In addition to the discretion under the terms of the annual bonus plan (both cash and deferred shares) and LTIP, the Committee has discretion to
determine whether an individual is classified as a “good leaver”.
It should be noted that it is the Committee’s policy to only apply its discretion if the circumstances at the time are, in its opinion, sufficiently exceptional,
and to provide a full explanation to shareholders where discretion is exercised. The Committee does not currently intend to amend or waive any
performance conditions.
Annual Report and Accounts 2025 Big Yellow Group PLC102
5. Differences in remuneration policy for all employees
All employees are currently entitled to base salary, benefits, pensions, and the Sharesave Scheme. Additionally, all employees are eligible for annual
bonuses with the maximum opportunity available based on the seniority and responsibility of the role held.
The Company’s LTIPs are granted to a number of key team members within Head Office, the area manager team and also to store managers.
Illustrations of application of Remuneration Policy
The graphs below seek to demonstrate how pay varies with performance for the Executive Board Directors based on the current Remuneration Policy.
The assumptions used in determining the level of pay out under given scenarios are as follows:
Scenario Description
Fixed Pay
Chief Executive Executive Chairman Chief Financial Officer
Base salary (from 1 April 2025) £519,925 £443,125 £384,050
Estimated Benefits £5,000 £5,000 £2,000
Pension (% of salary) 6% 6% 6%
On-target
50% of annual bonus award being paid and 50% vesting of the LTIP.
Maximum
100% of annual bonus award being paid (i.e. 150% of salary) and 100% vesting of the LTIP
(i.e. 200% of salary, albeit actual awards levels may be lower).
Maximum Plus 50%
share price growth
As per the Maximum scenario but assuming 50% share price growth on LTIP awards.
Chief Executive Executive Chairman Chief Financial Officer
£3,000
£2,500
£2,000
£1,000
£1,500
£0
£500
Minimum Target Maximum Maximum
with share
price growth
£556,121
£1,465,989
£2,375,858
£2,895,783
28%
33% 27%
35%
44% 36%
18%
100% 37% 23% 19%
Share price growth
LTIP
Annual Bonus
Fixed Pay
Minimum Target Maximum Maximum
with share
price growth
£409,093
£1,081,181
£1,753,268
£2,137,318
27%
33% 26%
36%
44% 36%
19%
100% 37% 23% 19%
Minimum Target Maximum Maximum
with share
price growth
£474,713
£1,250,181
£2,025,650
£2,468,775
27%
33% 27%
36%
43% 36%
17%
100%
37% 23% 19%
Annual Report and Accounts 2025 Big Yellow Group PLC 103
Financial StatementsGovernance ReportStrategic Report
Summary Policy table (Non-Executive Directors)
Objective and link
to the strategy Operation Maximum potential value
Performance conditions
and assessment
Fees
To attract Non-Executive
Directors with the
requisite skills and
experience.
Fee levels are normally reviewed annually
inMarch.
The Non-Executive Director fee structure is a
matter for the full Board.
Non-Executive Directors may be entitled to
benefits relating to travel and office support
and such other benefits as may be considered
appropriate.
Fee levels are normally set at broadly median
levels for comparable roles at companies of a
similar size and complexity within the FTSE 250.
Fees are normally intended to increase in line
with inflation.
N/A
Non-Executive Directors’ fees comprise of a base fee, with an additional fee for Committee Chairs, the Senior Independent Non-Executive Director and
the Employee Representative Director.
Approach to recruitment remuneration of Executive Directors
The table below summarises our key policies with respect to recruitment remuneration:
Salary and
benefits
– Set by reference to market and taking account of individual experience and expertise in the context of the role.
– Salary would also be set with reference to the salary of any departing Executive Director and the remaining Executive Board Directors.
– The Executive Director would be eligible to receive benefits in line with Big Yellow Group’s benefits policy as set out in the remuneration policy
table–this includes either a contribution to a personal pension scheme or cash allowance in lieu of pension benefits in line with the policies set
outinthe policy table.
Maximum
variable
incentive
– Annual bonus of up to 150% of base salary.
– Long term incentive plan award of equivalent to 200% of base salary.
Sign-on
payments
– The Company does not provide sign-on payments to Executive Board Directors.
Share
buy-outs
– Any previous outstanding share awards which the Executive Director holds which would be forfeited on cessation of his or her previous employment
may be compensated.
– Where this is the case, the general principle is that the outstanding award will be valued based on the consideration of the following factors:
– The proportion of the performance period completed on the date of the Director’s cessation of employment;
– The performance conditions attached to the vesting of the incentives and the likelihood of them being satisfied; and
– Any other terms and conditions having a material impact on their value.
– The valuation will be conducted using a recognised valuation methodology by an independent party and the equivalent ‘fair value’ may be awarded
as a one-off LTIP on date of joining under the Company’s existing long-term incentive plan. To the extent that this is not possible, a bespoke
arrangement will be used.
– To ensure effective retention of the Executive Director upon recruitment, any new award will be granted subject to performance conditions and
vesting may be over the same period as those forfeited from the previous employer or a new three year period.
– The exact terms will be determined by the Remuneration Committee on a case-by-case basis taking into account all relevant factors.
Relocation
policies
– In instances where the new Executive Director is relocating from one work location to another, the Company may provide, as a one-off or otherwise,
arelocation allowance as part of the Director’s relocation benefits.
– The level of the relocation package will be assessed on a case-by-case basis but will take into consideration any cost of living differences, housing
allowance and schooling.
Remuneration Committee Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC104
Service contracts
The Company’s policy on Directors’ service contracts is that they should be on a rolling basis without a specific end-date providing for one year’s notice.
All Executive Board Directors have contracts which reflect this policy.
The Non-Executive Directors do not have service contracts with the Company. Their appointments are governed by letters of appointment
whichare available for inspection on request at the Company’s registered office and which will be available for inspection at the Company’s AGM.
Eachappointment is for a period of up to three years, although the continued appointment of all Directors is put to shareholders at the AGM on an
annualbasis. In addition, the appointment is terminable by either party giving notice of three months.
Payments for loss of office
Element Approach
Salary and
benefits
Salary and benefits may be paid in lieu of notice. In cases where a contract is terminated other than on the terms of the service contract, the Company
will seek to mitigate any damages payable.
There will be no compensation for normal resignation or in the event of termination by the Company due to misconduct.
Annual bonus
If the individual is a good leaver, any bonus will be paid/awarded on a pro-rata basis in respect of the period from the start of the financial year.
Deferred share awards would normally vest at the normal vesting date (although may vest at the date of cessation).
A good leaver is defined as an individual ceasing employment due to ill-health, disability, redundancy, or retirement or in any other circumstances which
the Committee permits.
A bad leaver is an Executive Director who does not fall within the category of “good leaver” and bad leavers will forfeit any entitlement to a bonus
payment in respect of the current financial year or any completed financial year in respect of which the bonus has not been paid at the cessation date.
Long term
incentives
(LTIP)
A proportion of the LTIP awards held by good leavers will vest at the Committee’s discretion determined by taking into account whether, and to what
extent, any performance conditions have been satisfied and the length of time the LTIP award has been held at the date of cessation of employment.
The LTIP awards will not normally vest until the end of the performance period with performance tested at that time, although exceptionally such awards
may, at the discretion of the Committee, vest at cessation of employment.
A good leaver is defined as an individual ceasing employment as a result of ill-health, injury, disability, redundancy, retirement, or the sale out of the
Group of his employing business or any other reason which the Committee in its absolute discretion permits.
A bad leaver is an Executive Director who does not fall within the category of good leaver, and bad leavers will forfeit any unvested awards.
Other
The Group may meet relocation and other incidental expenses on termination of employment, the fees of legal or other professional advisers,
outplacement, compensation in respect of statutory rights under relevant employment protection legislation and accrued but untaken holiday. It may
also elect to continue to provide certain benefits rather than making payment in lieu of the benefit in question.
Statement of consideration of shareholders’ views
The views of our shareholders are very important to the Committee, and we actively consulted with our major shareholders and the main representative
bodies to help formulate the current Remuneration Policy.
Any consultations on remuneration with shareholders and representative bodies will usually be led by the Chair of the Remuneration Committee.
The Remuneration Committee also considers shareholder feedback received in relation to the AGM each year at its first meeting following the relevant
AGM. This feedback, as well as any additional feedback received during any other meetings with shareholders throughout the year, is then considered as
part of the Company’s annual review of remuneration policy.
The Remuneration Committee notes that shareholders do not speak with a single voice, but we engage with our largest shareholders to ensure
we understand the range of views which exist on remuneration issues. When any material changes are proposed to the Remuneration Policy, the
Remuneration Committee Chair will consult major shareholders in advance and will offer a meeting to discuss these.
Annual Report and Accounts 2025 Big Yellow Group PLC 105
Financial StatementsGovernance ReportStrategic Report
Shareholder voting
The Company has an annual advisory vote from shareholders on its Remuneration Report, and a binding vote on its Remuneration Policy when a
new policy is proposed. The Group is committed to ongoing shareholder dialogue and takes an active interest in voting outcomes. Where there are
substantial votes against resolutions in relation to Directors’ remuneration, the reasons for that voting will be sought and any actions in response
willbedetailed here. There have been no significant issues raised by shareholders in respect of remuneration in the year.
The table below shows the advisory vote on the 2024 Remuneration Report at the AGM held on 18 July 2024, and the binding vote on the Remuneration
Policy at the AGM held on 21 July 2022.
Votes for % Votes Against % Votes withheld
2024 Remuneration Report 161,186,557 96.1% 6,597,202 3.9% 1,267,821
2022 Remuneration Policy 146,535,231 97. 9 % 3,210,946 2.1% 2,662,664
Annual Report on Remuneration
This section of the Remuneration Report contains details of how the Directors’ Remuneration Policy will be implemented for the year ending 31 March
2026 and how it was implemented during the year ended 31 March 2025.
Implementing the Policy for the Year Ending 31March 2026
Base salary
The Committee continues to operate a policy of targeting base salaries “close to (but generally just below) median” although current base salary levels
are well below the market level for a FTSE 250 company of Big Yellow’s size and complexity.
From 1 April 2025, Executive Director salary levels were increased by 2% which was in line with the increase across the wider workforce (albeit a
proportion of lower paid team members received a higher increase).
Chief Executive
(Jim Gibson)
Executive
Chairman
(Nicholas Vetch)
Chief Financial
Officer
(John Trotman)
From 1 April 2024 £509,725 £434,425 £376,500
From 1 April 2025 £519,925 £443,125 £384,050
% increase 2% 2% 2%
Pension & benefits
Pension provision for the Executive Directors will continue at 6% of salary, which is in line with the pension offered to the general workforce.
Benefitprovision will remain unchanged (private fuel, private medical insurance, permanent health insurance, life assurance, company car via
salarysacrifice, and relocation allowances, where relevant).
Annual bonus
Annual bonus potential will continue to be capped at 150% of salary for the year ending 31 March 2026.
Up to 25% of salary will continue to be aligned to the workforce annual bonus (measured against store performance, through occupancy growth, store
profitability, store audits and customer satisfaction scores). Any bonus earned under this part will be payable in cash, following the year ending
31 March 2026.
The remaining 125% of salary will be measured against financial, operational, real estate and strategic targets measured over the financial year ending
31 March 2026. Any award under this part will be delivered in Big Yellow shares in line with the Directors’ Remuneration Policy.
Remuneration Committee Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC106
LTIP
The LTIP will continue to operate in its current form and the targets for the 2025 LTIP awards are as follows:
Weighting
Threshold
(25% of this part of an award vests,
other than for adjusted EPS where 0%
vests at threshold)
Maximum
(100% of this part of an award vests)
Adjusted EPS 50% 2% p.a. 6% p.a.
Relative TSR 30% Median Upper Quintile
Installation of solar and batteries at the Group’s stores 10% Install solar panels on 12 stores,
and batteries on 8 stores
Install solar panels on 20 stores
and batteries on 12 stores
Energy efficiency retro-fit project 10% 45 of the Group’s stores having
the energy efficiency retro-fit
programme installed
60 of the Group’s stores having
the energy efficiency retro-fit
programme installed
In respect of the adjusted eps target range for these awards, the target for the 2024 awards was set at a minimum of 4% per annum (with 25% of the
award vesting), increasing pro rata to 9% per annum growth (100% vesting). In setting this year’s targets the Committee has taken into account the
current macroeconomic climate, the Group’s business plan and market expectations of Big Yellow’s performance. In addition, as shareholders are
aware the Company has embarked on a significant investment plan over the next three years and is currently on site at nine developments. These store
openings will provide a short term drag on earnings. Noting the change to the targets this year, the Committee has reduced the level of threshold vesting
from 25% to 0% for this part of the award. No changes have been made to the TSR or ESG vesting schedules. The Committee will revisit the adjusted eps
target range in advance of the 2026 LTIP awards to ensure it reflects prevailing conditions.
Shareholding guidelines – in employment
The guideline to build and maintain a holding of at least 200% of salary in shares of the Company will continue to apply and has been met by all of the
current Executive Board Directors. Where an Executive Director has not met the 200% of salary ‘in employment’ shareholding guideline, the Committee
requires 100% of the net of tax discretionary share awards which vest to be retained until the shareholding guideline is met.
Shareholding guidelines – post employment
Executive Directors are required to retain shares equal to 100% of the shareholding guideline (or the actual number of shares held against the guideline
if the guideline is not met at cessation) up until the second anniversary of cessation.
Non-Executive Directors
Non-Executive Director base fees for the year ending 31 March 2026 have been increased by 2% (in line with the general workforce increase) to
£49,100. The increment for Committee Chairs and additional responsibilities has also been increased by 2% to £12,175 for the year ending 31 March
2026. These increases took effect from 1 April 2025.
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Single total figure of remuneration (Audited)
The table below sets out the single total figure of remuneration and breakdown for each Executive Director paid in the year ended 31March 2025.
Fixed pay
Salary
£
Taxable benefits
1
£
Pensions
2
£
Total fixed pay
£
2025 2024 2025 2024 2025 2024 2025 2024
Nicholas Vetch 434,425 417,700 9,426 5,999 26,066 25,062 469,917 4 48,761
Jim Gibson 509,725 490,100 13,468 8,502 30,584 29,406 553,777 528,008
John Trotman 376,500 362,000 2,998 2,154 22,590 21,720 402,088 385,874
Total 1,320,650 1,269,800 25,892 16,655 79,240 76,188 1,425,782 1,362,643
Variable pay Total pay
Annual bonus – cash
£
Annual
bonus – deferred
£
Long term incentive
3
£
Total variable pay
£ £
2025 2024 2025 2024 2025 2024 2025 2024 2025 2024
Nicholas Vetch 42,574 35,505 278,304 280,903 325,881 370,645 646,759 6 8 7, 0 53 1,116,676 1,135,814
Jim Gibson 49,953 41,659 326,543 329,592 382,367 436,494 758,863 807,745 1,312,640 1,335,753
John Trotman 36,897 30,770 241,195 243,445 282,433 324,428 560,525 598,643 962,613 984,517
Total 129,424 107,934 846,042 853,940 990,681 1,131,567 1,966,147 2,093,441 3,391,929 3,456,084
(1)
Taxable benefits comprise medical cover, permanent health insurance, life insurance, company car via salary sacrifice, and private fuel usage.
(2)
The Directors receive a cash supplement in lieu of their full pension contributions.
(3)
The values shown in long-term incentives in the current year are the LTIP award granted in 2021 which vested on 22 July 2024 to 100% of its maximum value and is valued using the share price on that
date of £11.80.
The average salary increase across the Group in the year was 4.8%.
Cash Annual Bonus Plan awards – cash (25% of salary maximum)
The policy of the Company is that the cash bonus paid to the Executive Board Directors is the same as the average of the bonus awards (as a % of salary)
paid to all the Group’s stores on achieving their targets during the course of the year. It is an important part of the Group’s culture that the Executive
team are rewarded with the same level of annual bonus as the average for all staff.
In respect of the year under review, and in line with the average bonus as a percentage of salary paid across the stores the Executive Board Directors
received a cash bonus of 9.8% of salary (out of a maximum of 25% of salary).
Overview of the staff (and Executive Director) cash bonus scheme
The staff bonus scheme is designed on a quarterly basis, to reward each store with a bonus of up to 25% of their quarterly salary, made up of the
following four key elements set out below.
Following feedback received from our shareholders on previous remuneration reports to increase the disclosure around the annual bonus, we have
shown the average annual distribution of performance against target for each of the bonus measures across our stores and the corresponding average
pay-out as a percentage of salary which directly corresponds to the bonus percentage pay-out for the Executive Board Directors. The individual store
targets have not been disclosed as it would be impractical and commercially sensitive to disclose the targets for every one of our stores in this report.
Remuneration Committee Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC108
The average performance against the four key targets and the associated bonus reward for the stores totalling 9.8% were as follows:
1. Occupancy
Stores that have recently opened receive occupancy targets on a quarterly basis, and their performance against this occupancy target contributes to
their bonus. The bonus awarded to each store increases as the store moves further ahead of target. No bonus is awarded if the store fails to meet its
target. The significant majority of the Group’s stores are bonused solely on profitability. The weighted average bonus paid to the newly opened stores for
performance against occupancy targets was 0.4% of salary for the year.
2. Profitability
Each store is set a quarterly target for profitability. The weighting of the contribution of these metrics to the bonus varies based on store occupancy,
with higher occupied stores having a higher weighting towards their performance against their profitability target.
The bonus awarded to each store increases as the store moves further ahead of target. The performance distribution of the stores’ performance against
their individual targets are provided below.
Performance against target Below target
0 to 1% ahead
of target
1 to 2% ahead
of target
2 to 3% ahead
of target
>3% ahead
of target Total
No of stores 60 19 15 8 7 109
Average bonus paid 0.5% 6.2% 13.6% 17. 9 % 18.9% 5.6%
The weighted average bonus paid to stores for performance against profitability targets is therefore 5.6% of salary for the year.
3. Store audits
Stores receive a bonus if they receive a certain audit score based on visits carried out by the Group’s store compliance team. There were 102 instances
of stores receiving an audit bonus score across the year, leading to a weighted average bonus paid to the stores of 1.8% of salary.
4. Customer satisfaction
Stores are rewarded based on two elements of customer satisfaction, net promoter scores and individual customer service awards. The awards based
on net promoter scores are summarised in the table below:
NPS score <75 >75 Total
No of stores 21 88 109
Average bonus paid 0% 2.5% 2.0%
The weighted average bonus paid to stores for performance against net promoter scores is therefore 2.0% of salary for the year.
Summary
The bonus received by the stores against their targets in the year is summarised as follows:
Category
Actual %
weighting for
category
Average % of
salary bonus paid
across stores
1. Occupancy 0.4% 4.1%
2. Profitability 5.6% 57. 1 %
3. Store audits 1.8% 18.4%
4. Customer satisfaction 2.0% 20.4%
Total 9.8% 100%
In line with the Remuneration Policy an award of 9.8% of salary has therefore also been paid to the Executive Board Directors for the year, which equated
to the following payments:
Nicholas Vetch £42,574
Jim Gibson £49,953
John Trotman £36,897
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Deferred Annual Bonus Plan awards – deferred shares (125% of salary maximum)
The Group operates a deferred annual bonus plan. The Remuneration Committee sets targets at the start of the financial year across a broad range of
financial and non-financial targets. The targets and the performance against them in the year is shown in the table below:
Sliding scale targets (60% weighting):
Pay-out 0% 100% Performance Pay-out
1. Revenue
Weight: 25% <£208m >£215m Revenue for the year was £204.5million, an increase of 2% from the prior year. 0%
2. Adjusted Earnings per share
Weight: 25% <56.0p >60.0p Adjusted earnings per share for the year was 57.8p, an increase of 3% from the prior year. 45%
3. Staff Turnover
Weight: 5% >22 <16 The Group’s staff turnover for the year was 14.5% 100%
4. Net promoter score
Weight: 5% <70 >80 The Group’s net promoter score for the year was 82.8 (2024:80.5) 100%
Other targets (40% weighting):
Fail Pass
Pay-out 0% 100% Actual performance Pay-out
5. Property Acquisitions
Weight: 10% Acquire at least two new sites for the Group during the year, either
through new site acquisitions, or through the purchase of existing
self storage centres, which complement the existing portfolio and
which are consistent with the Group’s strategy and long-term plans.
The Group acquired a development site in
Leamington Spa during the year, and subsequent to
the year end acquired a site in Coventry.
50%
6. Planning
Weight: 10% Obtain planning consent on at least two of the Group’s development
sites during the year, consistent with the strategy to continue to add
high quality capacity to the Group’s existing open store portfolio.
The Group has obtained planning consent
during theyear on its development sites at West
Kensington, Kentish Town and Staples Corner
(thefirst two at appeal).
100%
7. Disposal of Battersea
Weight 5% Complete the sale of the Battersea retail units during the year. The land at Battersea was sold in September 2024 for
a total consideration of £30.9 million.
100%
8. Harrow
Weight: 5% Lease up 8 of the 11 units of the Harrow Industrial Scheme by
31 March 2025.
This target was not met during the year. 0%
9. Foundation
Weight 5% Raise sufficient funds through our store network and matched
contributions from the Group sufficient to provide grants of a
minimum of £210,000 to our partner charities.
The income raised through fundraising, matching
donations, customer donations, move-in donations
and gift-aid enabled us to provide grants of £345,000
to our seven charity partners over the year.
100%
Remuneration Committee Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC110
Summary table
The performance against each target, and its contribution to the deferred bonus payable is summarised in the table below:
Target % achieved Weighting
Contribution to
plan vesting (%)
Revenue 0% 25% 0%
Earnings per share 45% 25% 11.25%
Staff turnover 100% 5% 5%
Net promoter score 100% 5% 5%
Property acquisitions 50% 10% 5%
Planning 100% 10% 10%
Disposal of Battersea 100% 5% 5%
Harrow 0% 5% 0%
Foundation 100% 10% 10%
Total 100% 51.25%
The above performance assessment of 51.25% translates into a 64.1% award, of the 125% maximum potential. In addition to performance against the
targets detailed above, the Committee has also reviewed the stakeholder experience in respect of the year ended 31 March 2025. Based on this review,
the Committee considers the 64.1% of maximum award level to be appropriate.
The value of award for each of the Executive Board Directors is shown below:
Director Value of award
Nicholas Vetch £278,304
Jim Gibson £326,543
John Trotman £241,195
The number of shares will be calculated by reference to the closing share price on the date of grant, which will be after the Company’s Preliminary
Announcement in May 2025. The awards will vest three years after the date of grant of each award.
Long Term Incentive Plan (“LTIP”) awards (Audited)
The awards granted under the LTIP are subject to performance conditions to be met over a performance period of three years. There is no retesting of
performance conditions and, if they are not satisfied, the awards will lapse.
The performance conditions applicable to the LTIP which vested in the year, which relate to EPS and TSR, are set out below. The Committee assessed the
extent to which the EPS and TSR performance condition has been satisfied for the 2021 award which vested in 2024, with the following results:
Condition Weighting
Threshold Performance
required
Maximum Performance
Required
LTIP value for meeting
threshold and maximum
performance (% salary) Performance achieved Vesting %
Adjusted eps growth 50% Adjusted EPS growth
4%perannum
Adjusted EPS growth
8%per annum
25% to 100% 10.6% growth per annum 100%
Relative TSR 50% Median of comparator
group of real estate
companies
Upper quartile of the
comparator group
25% to 100% 11
th
out of 48 in comparator
group of companies in the FTSE
Real Estate Index
100%
Total 100% 100%
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The vesting of the 2021 LTIP award in 2024, equated to the following value for the Executive Board Directors based on the share price at the date of vesting:
Director Shares Awarded
Shares vested
(based on 100%
vesting) Value at Vesting
Nicholas Vetch 27, 617 27, 617 £325,881
Jim Gibson 32,404 32,404 £382,367
John Trotman 23,935 23,935 £282,433
LTIP awards granted in year ended 31March 2025 (Audited)
The table below sets out the details of the long-term incentive awards granted in the year ended 31 March 2025 where vesting will be determined
according to the achievement of performance conditions that will be tested in future reporting periods.
Director Award Type
Awards as a %
of salary
Face value
of award
(1)
Percentage of award
vesting at threshold
performance
Maximum percentage
of face value that
could vest
Performance
Period end date
Performance
conditions
Nicholas Vetch
Annual cycle of
awards over nil
cost options
200% of salary £868,850
25% 100% 18 July 2027
Adjusted EPS growth,
relative TSR, ESG
performance
Jim Gibson 200% of salary £1,019,450
John Trotman 150% of salary £564,750
(1)
The face value of the award is calculated using the average share price three days prior to the grant date of 18 July 2024 (average share price of £12.25).
The performance conditions applicable to the awards granted in July 2024 are set out below:
Condition Weighting
Threshold Performance
required
Maximum Performance
Required
LTIP value for meeting
threshold and max
performance (% salary) Basis for measurement
Relative TSR 30% Median of comparator
group of real estate
companies
Upper quintile of the
comparator group
25% to 100% The average of the Group’s closing mid-market share
price over the three months preceding the start of
the performance period and preceding the end of the
performance period will be used, including dividends
re-invested.
Adjusted EPS 50% Adjusted average
annual compound
EPSgrowth of 4%
Adjusted average
annual compound
EPSgrowth of 9%
25% to 100% The adjusted EPS figure reported in the audited results
of the Group for the last complete financial year ending
before the start of the performance period and the last
complete financial year ending before the end of the
performance period will be used.
Fitting of solar panels
on the Group’s estate
10% Fitting of solar
panelson 30 of
theGroup’s stores
Fitting of solar
panelson 40 of
theGroup’s stores
25% to 100% Based on the number of completed fits over the
awardperiod.
Proportion of Group’s
external debt facilities
that are green loans
10% 30% of the Group’s
totaldebt facilities
being green loans
50% of the Group’s
totaldebt facilities
being green loans
25% to 100% Based on the Group’s external debt facilities at
31 March 2027.
Sharesave Scheme
The Group’s Sharesave Scheme is open to all UK employees (including Executive Board Directors) with a minimum of six months’ service and meets UK
HMRC requirements, thus giving all eligible employees the opportunity to acquire shares in the Company in a tax efficient manner. All of the Executive
Board Directors participated in the scheme during the financial year. The details of the Sharesave scheme options are shown on page 114.
Pension entitlements
The Company pays pension contributions into the Executive Board Directors’ personal pension plans or makes a cash contribution in lieu of pension
contributions. They do not participate in any defined benefit scheme. For the year ended 31 March 2025, the Company contribution was 6% of salary for
the Executive Board Directors, in line with the contribution for the Company’s employees.
Remuneration Committee Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC112
Board Changes (Audited)
There were no board changes during the year. No payments:
– of money or any other assets were made to any former Director of the Company in the financial year ended 31 March 2025 in respect of qualifying
services as a Director (2024: no payments); and
– were made to any Director in respect of loss of office during the financial year ended 31 March 2025 (2024: no payments).
Non-Executive Directors (Audited)
The table below sets out the single total figure of remuneration and breakdown for each Non-Executive Director paid in the year ended 31 March 2025.
2025
£
2024
£
Anna Keay 60,060 57, 75 0
Vince Niblett 72,020 69,250
Michael O’Donnell 60,060 57, 75 0
Laela Pakpour Tabrizi 60,060 57, 75 0
Heather Savory 60,060 57, 75 0
Total 312,260 300,250
Non-Executive Directors received no taxable benefits for the year ended 31 March 2025.
Statement of Directors’ shareholding (Audited)
The Executive Board Directors are required to build and maintain a holding of two times base salary. These requirements have been met by all Executive
Board Directors throughout the year. Non-Executive Directors are not subject to a shareholding requirement. Details of the Directors’ interests in shares
are set out below (all interests are beneficial interests).
The table below shows, in relation to each Director, the total number of shares and share options in which they have an interest at 31 March 2025:
Executive Director
Share ownership
requirement
(multiple of
salary)
Share ownership
requirements
met
Holding as
multiple of March
2025 salary
Beneficially
owned shares
LTIP awards
subject to
performance
conditions
Deferred bonus
plan awards
Unexercised LTIP
options
Unexercised
Sharesave
options
Options
exercised in the
financial year
Nicholas Vetch 2x Yes 140 x 6,520,548 2 0 7, 29 0 99,316 62 ,716 1,697 133,409
Jim Gibson 2x Yes 34x 1,848,062 243,220 116,531 73,587 848 152,594
John Trotman 2x Yes 6x 242,896 134,736 156,326 54,354 1,962 4 4,713
Non-Executive Directors’ shareholdings (Audited)
Non-Executive
Beneficially
owned shares
Michael O’Donnell 9,000
Vince Niblett 3,000
Anna Keay –
Laela Pakpour Tabrizi –
Heather Savory –
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Directors’ share awards (Audited)
To provide further context on the shareholding of the Executive Board Directors, options in respect of ordinary shares for Directors who served in the
year are as below:
Name
Date option
granted Scheme
No. of shares
under option
at 31March
2024
Granted
during the
year
Exercised
during the
year
(1)
Lapsed
during the
year
No. of shares
under option
at 31March
2025
Exercise
price
Market price
at date of
exercise
Date from whichfirst
exercisable Expiry Date
Nicholas Vetch 19 July 2018 LTIP 20,035 – (20,035) – – nil p 1324.9p 19 July 2021 18 July 2028
23 May 2019 DBP 30,519 – (30,519) – – nil p 1241.4p 23 May 2022 22 May 2029
19 July 2019 LTIP 30,548 – (30,548) – – nil p 1324.9p 19 July 2022 18 July 2029
15 June 2020 DBP 20,691 – (20,691) – – nil p 1241.4p 15 June 2023 14 June 2030
5 August 2020 LTIP 35,099 – – – 35,099 nil p – 5 August 2023 4 August 2030
22 July 2021 DBP 31, 616 – (31,616) – – nil p 1324.9p 22 July 2024 21 July 2031
22 July 2021 LTIP 2 7, 617 – – – 27, 617 nil p – 22 July 2024 21 July 2031
8 June 2022 DBP 34,442 – – – 34,442 nil p – 8 June 2025 7 June 2032
21 July 2022 LTIP 58,103 – – – 58,103 nil p – 21 July 2025 20 July 2032
8 August 2022 SAYE 1,697 – – – 1,697 1060.3p – 8 August 2025 8 February 2026
20 July 2023 DBP 41, 216 – – – 41, 216 nil p – 20 July 2026 19 July 2033
20 July 2023 LTIP 78,243 – – – 78,243 nil p – 20 July 2026 19 July 2033
21 May 2024 DPB – 23,658 – – 23,658 nil p – 21 May 2027 20 May 2034
18 July 2024 LTIP – 70,944 – – 70,944 nil p – 18 July 2027 17 July 2034
Jim Gibson 19 July 2018 LTIP 22,261 – (22,261) – – nil p 1324.9p 19 July 2021 18 July 2028
23 May 2019 DBP 33,910 – (33,910) – – nil p 1241.4p 23 May 2022 22 May 2029
19 July 2019 LTIP 34,912 – (34,912) – – nil p 1324.9p 19 July 2022 18 July 2029
15 June 2020 DBP 23,647 – (23,647) – – nil p 1241.4p 15 June 2023 14 June 2030
5 August 2020 LTIP 41,183 – – – 41,183 nil p – 5 August 2023 4 August 2030
1 March 2021 SAYE 996 – (996) – – 903.2p 1264.0p 1 April 2024 1 October 2024
22 July 2021 DBP 36,868 – (36,868) – – nil p 1324.9p 22 July 2024 21 July 2031
22 July 2021 LTIP 32,404 – – – 32,404 nil p – 22 July 2024 21 July 2031
8 June 2022 DBP 40,412 – – – 40,412 nil p – 8 June 2025 7 June 2032
21 July 2022 LTIP 68,174 – – – 68,174 nil p – 21 July 2025 20 July 2032
8 August 2022 SAYE 848 – – – 848 1060.3p – 8 August 2025 8 February 2026
20 July 2023 DBP 48,360 – – – 48,360 nil p – 20 July 2026 19 July 2033
20 July 2023 LTIP 91,805 – – – 91,805 nil p – 20 July 2026 19 July 2033
21 May 2024 DPB – 27, 75 9 – – 27, 759 nil p – 21 May 2027 20 May 2034
18 July 2024 LTIP – 83,241 – – 83,241 nil p – 18 July 2027 17 July 2034
John Trotman 19 July 2018 LTIP 16,537 – (16,537) – – nil p 1324.9p 19 July 2021 18 July 2028
23 May 2019 DBP 25,190 – – – 25,190 nil p – 23 May 2022 22 May 2029
19 July 2019 LTIP 26,184 – (26,184) – – nil p 1324.9p 19 July 2022 18 July 2029
15 June 2020 DBP 17, 7 35 – – – 17, 73 5 nil p – 15 June 2023 14 June 2030
5 August 2020 LTIP 30,419
– – – 30,419 nil p – 5 August 2023 4 August 2030
1 March 2021 SAYE 1,992 – (1,992) – – 903.2p 1264.0p 1 April 2024 1 October 2024
22 July 2021 DBP 27, 329 – – – 27, 32 9 nil p – 22 July 2024 21 July 2031
22 July 2021 LTIP 23,935 – – – 23,935 nil p – 22 July 2024 21 July 2031
8 June 2022 DBP 29,850 – – – 29,850 nil p – 8 June 2025 7 June 2032
21 July 2022 LTIP 37, 7 6 6 – – – 37, 7 6 6 nil p – 21 July 2025 20 July 2032
20 July 2023 DBP 35 ,719 – – – 35 ,719 nil p – 20 July 2026 19 July 2033
20 July 2023 LTIP 50,857 – – – 50,857 nil p – 20 July 2026 19 July 2033
21 May 2024 DPB – 20,503 – – 20,503 nil p – 21 May 2027 20 May 2034
18 July 2024 LTIP – 46,113 – – 46,113 nil p – 18 July 2027 17 July 2034
10 July 2024 SAYE – 1,962 – – 1,962 945.1p – 1 September 2027 1 March 2028
(1)
The aggregate gains made by Directors for the year ended 31 March 2025 on share options totals £4,247,000 (2024: £nil).
Remuneration Committee Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC114
Performance and pay
The graph below shows the Group’s performance, measured by TSR, compared with the performance of the FTSE All Share Real Estate Index and the
FTSEAll Share Index for the period since flotation. The FTSE All Share Real Estate Index is used for the assessment of the Company’s LTIP.
CEO Remuneration
The table below sets out the details of remuneration of the CEO over the past ten financial years.
Year
CEO single figure
of total remuneration
(£)
Annual bonus (cash)
pay-out % against maximum
of25% of salary
Annual bonus (deferred)
pay-out % against maximum
of125% of salary
Long term incentive
weighted average
vestingrates against
maximum opportunity
%
2025 1,312,640 39.2% (9.8% of salary) 51.25% (64.1% of salary) 100%
2024 1,335,753 34% (8.5% of salary) 53.8% (67.25% of salary) 95%
2023 1,543,941 39.6% (9.9% of salary) 88.85% (110.6% of salary) 90.1%
2022 1,380,532 41.2% (10.3% of salary) 95.4% (119.25% of salary) 61.6%
2021 1,393,490 62.8% (15.7% of salary) 95% (118.75% of salary) 83.6%
2020 1,136,633 37.2% (9.3% of salary) 47.5% (59.4% of salary) 100%
2019 1,182,482 40.8% (10.2% of salary) 81.875% (102.3% of salary) 100%
2018 2,178,066 51.6% (12.9% of salary) n/a 95%
2017 850,619 40% (10% of salary) n/a 100%
2016 988,811 48% (12% of salary) n/a 100%
The single figure of remuneration for 2018 is higher than in other years due to the vesting of the three year Long Term Bonus Performance Plan in that
year delivering a reward of £1,343,995 (93.33% vesting) for the three year period ended in that year.
FTSE All Share Index
Big Yellow Group
FTSE 350 Real Estate Index
Source: Datastream
at 31 March 2025
1,610.7%
(12.1% p.a.)
172.8%
(4.8% p.a.)
266.9%
(5.4% p.a.)
0
500
1,000
1,500
3,000
2,000
2,500
2000 2002 2005 2007 2010 2012 2015 2017 2022 20252020
Annual Report and Accounts 2025 Big Yellow Group PLC 115
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Percentage change in the Director remuneration
The table below compares the percentage change in each Director’s annual remuneration (i.e. salary/fees, benefits, and annual bonus) with the
remuneration of Big Yellow Group employees.
% Change from 2019/2020 to
2020/2021
% Change from 2020/2021 to
2021/2022
% Change from 2021/2022 to
2022/2023
% Change from 2022/2023 to
2023/2024
% Change from 2023/2024 to
2024/2025
Salary/
Fee Benefits Bonus
Salary/
Fee Benefits Bonus
Salary/
Fee Benefits Bonus
Salary/
Fee Benefits Bonus
Salary/
Fee Benefits Bonus
Nicholas Vetch 5% (13%) 78% 4% 3% (30%) 4% (6%) 0% 5% 28% (10%) 4% 57% 20%
Jim Gibson 8% 9% 81% 4% 6% (30%) 4% 17% 0% 5% 11% (10%) 4% 58% 20%
John Trotman 6% (26%) 79% 4% 18% (30%) 4% 10% 0% 5% 2% (10%) 4% 39% 20%
Adrian Lee 4% 9% 76% 3% 11% (30%) n/a n/a n/a 5% n/a n/a 4% n/a n/a
Anna Keay 2% n/a n/a 3% n/a n/a 4% n/a n/a 5% n/a n/a 4% n/a n/a
Vince Niblett 2% n/a n/a 3% n/a n/a 23% n/a n/a 5% n/a n/a 4% n/a n/a
Michael O’Donnell n/a n/a n/a n/a n/a n/a n/a n/a n/a 5% n/a n/a 4% n/a n/a
Laela Pakpour Tabrizi n/a n/a n/a 3% n/a n/a 9% n/a n/a 5% n/a n/a 4% n/a n/a
Heather Savory n/a n/a n/a 3% n/a n/a 4% n/a n/a 5% n/a n/a 4% n/a n/a
Average employees 3% 2% 74% 2% 2% (29%) 5% 5% 1% 5.6% 21% (9%) 4.8% 13% 21%
Where a Director has not served on the Board for the full financial year, “n/a” is shown in the salary/fee column of the above table.
CEO pay ratio
The data shows how the CEO’s single figure remuneration for the year ended 31 March 2025 (as taken from the single figure remuneration table) compares
to equivalent single figure remuneration for full-time equivalent UK employees, on a Group basis, ranked at the 25th, 50th and 75th percentile.
Year Method
25
th
percentile
pay ratio
Median
pay ratio
75
th
percentile
pay ratio
2025 Option A 45 to 1 39 to 1 28 to 1
2024 Option A 50 to 1 42 to 1 28 to 1
2023 Option A 55 to 1 49 to 1 31 to 1
2022 Option A 58 to 1 50 to 1 36 to 1
No components of pay and benefits have been omitted for the purpose of the above calculations. Option A was selected given that this method
of calculation was considered to be the robust approach in respect of gathering the required data. The underlying quartiles for salary and total
remuneration numbers for full-time equivalent UK employees are set out below. The CEO’s remuneration in each year includes LTIPs that have vested
(but not yet been exercised); for employees the total pay includes proceeds from LTIP exercises, rather than vested LTIPs.
Salary Total pay and benefits
Year 25
th
%tile Median 75
th
%tile 25
th
%tile Median 75
th
%tile
2025 £25,563 £29,037 £39,749 £29,057 £33,809 £47,108
2024 £24,375 £28,392 £38,251 £26,876 £31,864 £47,516
2023 £23,005 £26,790 £ 37, 4 4 0 £28,148 £31,398 £48,746
2022 £21,278 £24,669 £34,445 £23,535 £27,286 £38,098
Remuneration Committee Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC116
Statement of consideration of employment conditions elsewhere in the Group
The Committee reviews the reward and retention of the whole employee population periodically throughout the year to ensure that it can attract and
retain top talent. Consideration is given to the general basic salary increase, remuneration arrangements and employment conditions. Furthermore, the
annual cash bonus awarded to Executive Board Directors is directly linked to the bonuses awarded to all staff.
The Directors are invited to be present at this review of the proposals for salary increase for the employee population generally and on any other
changes to remuneration policy within the Company. The information presented at this review is taken into consideration when setting the pay levels
of the executive population. Additionally, the Committee has guidelines for the grant of all LTIP awards across the Company and responsibility for
approving the total annual bonus cost of the Company.
The Company, through the Workforce Engagement Non-Executive Director, invited employees to comment on the remuneration of Directors during
the year, and has engaged with the workforce to explain how executive remuneration aligns with the wider Company pay policy. When considering
remuneration levels to apply, the Committee takes into account base pay increases, bonus payments and share awards made to the Company’s
employees generally.
Relative importance of spend on pay
The graph below sets out the relative importance of spend on pay in the year ended 31 March 2025 and 31 March 2024 compared with other
disbursements from profit, being the distributions to shareholders and retained earnings (comprehensive gain for the year less dividends).
Gender and ethnicity pay
The Group has reported on its gender pay gap for April 2024. The full report can be found on our investor relations website http://corporate.bigyellow.
co.uk/investors.aspx. The Group’s mean gender pay gap was 20% (2023: 24%), with a median gap of 4% (2023: 3%). Excluding Executive Board Directors,
the mean gender pay gap falls to 9% (2023: 10%) with a median gap of 4% (2023: 3%). The reduction in the mean gap is due to a greater representation of
women in the upper quartile, which has increased to 35% in April 2024 compared to 31% in April 2023. All staff are paid equally according to job role.
The Group has also analysed its ethnicity pay for April 2024. The Group’s mean ethnicity pay gap was 5% (2023: 6%), with a median gap of 7% (2023: 4%).
Our Median Ethnicity Pay Gap has increased as we have recruited fewer new employees for the year 2024, compared to 2023. All staff are paid equally
according to job role.
We believe that diversity and inclusion are key to a successful and sustainable business, and we are committed to creating a culture where all team
members can be themselves, feel empowered to succeed and deliver a customer experience that is second to none. We encourage and enable all
employees, regardless of their gender, race, background, or any other characteristics, to reach their full potential as we believe that having a diverse
workforce with fair representation is strategically important and generates value to our stakeholders.
In the year we have continued to collect ethnicity data to better understand the ethnic mix of our workforce. To date, 99% of our team have volunteered
their ethnicity data. This data indicates that 21% of Big Yellow’s team members belong to a Black, Asian, Mixed or other ethnic group, compared with
18.3% of people who make up this group in the UK (2021 census data).
180,000
£000s
80,000
120,000
140,000
160,000
60,000
40,000
20,000
0
Total employee
pay (including
Directors)
Profit distributed
by way of
dividend
Retained
earnings
2%
3%
(26%)
2024
2025
Annual Report and Accounts 2025 Big Yellow Group PLC 117
Financial StatementsGovernance ReportStrategic Report
Over the last 12 months we have continued the work of our Inclusivity and Diversity Committee, actively listening to feedback from our colleagues
across the business to drive change and improve awareness. Here are just some of our key achievements during this time:
Policy and Strategy
– In line with our strategy of improving our brand awareness and recognition as an employer of different diverse groups, we have continued to include
posts on Facebook and LinkedIn throughout the year relating to our culture, religious festivals / celebrations, LGBTQ+, gender and mental health.
– We improved the communication and awareness of the work we are doing in relation to Inclusivity and Diversity and Wellbeing throughout the
Company through our new Company Intranet which has specific Inclusivity and Diversity and Wellbeing sub-sites.
– We launched two new policies, Recruiting People with Convictions, to support people with convictions to return to work and Work Placements for
People with Convictions, to support the rehabilitation of people who are serving a conviction.
– We introduced a new Employee Assistance Programme to provide counselling and advice and support on a range of issues including health
relationships, caring responsibilities, and work related matters.
Recruitment / Talent
– Our Big Yellow Foundation supports seven charities who work with vulnerable adults to help find them sustainable employment. During the year we
provided 14 work placements within our Finance Department and stores.
– The number of females promoted internally has remained high at 59% in 2025 (2024: 64%).
– The proportion of our female Store Managers remained stable at 33% (2024: 34%).
– 42% of new starters in our stores in the year ended 31 March 2025 were of an ethnic minority group (2024: 33%).
– 21% of our team members in stores are over 50, an increase from 19% in 2024.
Learning and Development
– We ran a series of Recruiting People with Convictions Workshops via Working Chance, one of our Foundation Charity Partners, which just under 150
of our managers attended.
– Our Neurodiversity Workplace Assessor has attended additional dyslexia and dyscalculia training to enable them to provide further support to our
neurodiverse team members.
– We re-trained our Wellbeing Experts with Mental Health First Aid England, to ensure that they maintain their knowledge and skills to provide support
to team members as required.
Whilst our Gender Pay Gap is reducing on a gradual basis and we will continue to work to reduce it further, we recognise that it would be unrealistic to
close this gap quickly, given that all three of the Executive Directors are male and two of them were founders of the business over 25 years ago.
We have however, made significant progress in relation to inclusion and diversity initiatives over the last three years and will continue to challenge our
thinking around how we recruit new skills and manage and develop existing talent going forward.
We will continue to drive change via our Inclusivity and Diversity Committee and through listening to feedback from our people.
Our future initiatives include developing new recruitment policies for people with convictions and disabilities and providing training for our hiring
managers and mentors. We will continue to use social media to develop our brand recognition as a truly inclusive and diverse employer. We will also be
retraining our Wellbeing Experts to enable them to carry on providing support to team members with physical and mental health conditions.
We will continue to work with our seven Big Yellow Foundation charity partners to help vulnerable people such as ex-offenders, refugees, ex-service
personnel and people living with disabilities to find employment and create a better future for themselves. We also intend to create a programme of
volunteering opportunities through which our team members can support the charities themselves, for which they will be given time off during their
working day.
Remuneration Committee Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC118
Advisers to the Remuneration Committee
In undertaking its responsibilities, the Committee seeks independent external advice as necessary. FIT Remuneration Consultants LLP have been
advisers to the Committee since 2017. The Committee is comfortable that the FIT team provides independent remuneration advice to the Committee and
does not have any other connections with Big Yellow that may impair their independence. FIT is a founding member and signatory of the Code of Conduct
for Remuneration Consultants, details of which can be found at www.remunerationconsultantsgroup.com.
During the year, FIT provided independent advice on a wide range of remuneration matters including on the renewal of the Company’s LTIP plan.
FIT provides no other services to the Company. The fees paid to FIT in respect of work carried out for the year under review were £32,000 (ex VAT).
Approval
This policy report was approved by the Board of Directors on 19 May 2025 and signed on its behalf by
Michael O’Donnell
Remuneration Committee Chair
Annual Report and Accounts 2025 Big Yellow Group PLC 119
Financial StatementsGovernance ReportStrategic Report
Committee members
and attendance
Member
Number
of meetings
attended
Laela Pakpour Tabrizi – Chair
Anna Keay – Member
Vince Niblett – Member
Michael O’Donnell – Member
Heather Savory – Member
attended
absent
not applicable
The Audit Committee is appointed by the Board from the Non-Executive Directors of the
Company. The Audit Committee’s terms of reference include all matters indicated by
Disclosure Guidance and Transparency Rule 7.1, the UK Corporate Governance Code,
and the new FRC ethical standard.
Introduction
The terms of reference are considered annually by the Audit Committee
and are then referred to the Board for approval. The terms of reference
are available on the Company’s website. https://corporate.bigyellow.
co.uk/investors/corporate-governance
The Audit Committee is responsible for:
– monitoring the integrity of the financial statements of the Group
and any formal announcements relating to the Group’s financial
performance and reviewing significant financial reporting
judgements contained therein;
– reviewing the Group’s internal financial controls and the Group’s
internal control and risk management systems, including
consideration of the need for an internal audit function;
– making recommendations to the Board, for a resolution to be put
to the shareholders for their approval in general meetings, on
the appointment of the external auditor, and the approval of the
remuneration and terms of engagement of the external auditor;
– assessing and challenging estimates and judgements included
within the financial statements;
– reviewing and monitoring the external auditor’s independence
andobjectivity and the effectiveness of the audit process, taking
into consideration relevant UK professional and regulatory
requirements; and
– ensuring the external auditor only provides those services permitted
by the Ethical Standard of the FRC.
The Audit Committee is required to report its findings to the Board,
identifying any matters on which it considers that action or improvement
is needed, and make recommendations on the steps to be taken.
This year the Committee has continued to focus on the narrative
reporting and corporate governance disclosures in the Annual Report.
The Committee was asked by the Board to review the statement by
the Directors that the Annual Report presents a fair, balanced, and
understandable view of the Group’s position and performance, strategy,
and business model. The Committee also reviewed the Group’s going
concern and viability statements.
Audit Committee Report
Annual Report and Accounts 2025 Big Yellow Group PLC120
All Audit Committee members are expected to be financially literate.
Furthermore, the Audit Committee structure requires the inclusion of
one financially qualified member (as recognised by the Consultative
Committee of Accountancy Bodies). Vince Niblett, as a Fellow of the
Institute of Chartered Accountants of England and Wales and Laela Pakpour
Tabrizi as an experienced Finance Director, currently carrying out that role
at Consumer Converged at Virgin Media O2, fulfil that requirement.
The Group provides an induction programme for new Audit Committee
members and ongoing training to enable all of the Committee members
to carry out their duties. The induction programme covers the role of the
Audit Committee, its terms of reference and expected time commitment
by members and an overview of the Group’s business, including the
main business and financial dynamics and risks. New Committee
members also meet some of the Group’s staff. Ongoing training includes
attendance at formal conferences, internal company seminars and
briefings by external advisers.
Meetings
The Audit Committee is required to meet three times per year and has an
agenda linked to events in the Group’s financial calendar. The agenda is
predominantly cyclical and is therefore approved by the Audit Committee
Chair on behalf of her fellow members. Each Audit Committee member
has the right to require reports on matters of interest in addition to the
cyclical items.
The Audit Committee invites the Chief Executive, Chief Financial Officer,
Financial Controller, and senior representatives of the external auditor
to attend its meetings in full, although it reserves the right to request
any of these individuals to withdraw. The Committee meets as required
with the external auditor without the Executive Board Directors or senior
management present. Other senior management are invited to present
such reports as are required for the Committee to discharge its duties.
Overview of the actions taken by the Audit
Committee to discharge its duties
Since the beginning of the financial year the Audit Committee has:
– reviewed published financial information including the year-end
results, Annual Report, half year results and the Quarterly Trading
Statements, including review of Alternative Performance Measures
used by the Group;
– considered whether the Annual Report provides a fair, balanced,
and understandable view of the Group’s position and performance,
strategy, and business model;
– assessed and concluded on the Group’s viability statement and
thegoing concern assessment for the annual and half yearly
financial statements;
– considered the output from the Group-wide process used to identify,
evaluate, and mitigate risks;
– reviewed the effectiveness of the Group’s internal controls and
disclosures made in the annual report and financial statements on
this matter, and considered the impact of the new Combined Code
and the BEIS review on the Group;
– reviewed and agreed the scope of the audit work to be undertaken by
the external auditor;
– agreed the fees to be paid to the external auditor for their audit of the
financial statements and review of the half-yearly report;
– considered and agreed the approach of performing Directors’
valuations of investment properties for the half-year report;
– undertaken an assessment of the qualification, expertise and
resources, and independence of the external auditor and the
effectiveness of the audit process;
– considered the audit partner and audit firm rotation;
– undertaken an evaluation of the performance of the external auditor
and assessed its effectiveness;
– held discussions with the auditors on key judgements;
– considered the need for an internal audit function;
– considered the FRC ethical standard governing non-audit services
and audit committees;
– reviewed the arrangements for “whistleblowing” by employees
to ensure that there is a consistent policy in the Group to enable
employees to voice concerns particularly in respect of possible
financial reporting improprieties. A whistleblowing policy is included
in the employee handbook and there is an external whistleblowing
monitoring service;
– met the Group’s external valuers and considered their competence
and independence;
– met the Group’s Store Compliance Manager;
– reviewed the Audit Committee’s Report; and
– reviewed its own effectiveness.
Annual Report and Accounts 2025 Big Yellow Group PLC 121
Financial StatementsGovernance ReportStrategic Report
Audit Committee Report continued
The Committee also concluded that the annual report and financial
statements, taken as a whole, are fair, balanced, and understandable and
provide the information necessary for shareholders to assess the Group's
position and performance, strategy, and business model.
External auditor
The Audit Committee is responsible for the development, implementation,
and monitoring of the Group’s policy on external audit. The policy assigns
oversight responsibility for monitoring the independence, objectivity,
and compliance with ethical and regulatory requirements to the Audit
Committee, and day-to-day responsibility to the Chief Financial Officer.
The policy states that the external auditor is jointly responsible to the
Board and the Audit Committee and that the Audit Committee is the
primary contact.
To fulfil its responsibility regarding the independence of the external
auditor, the Audit Committee reviewed:
– the external auditor’s plan for the current year, noting the role of the
senior statutory audit partner, who signs the audit report and who, in
accordance with professional rules, has not held office for more than
five years, and any changes in the key audit staff;
– the arrangements for day-to-day management of the audit relationship;
– a report from the external auditor describing their arrangements to
identify, report and manage any conflicts of interest; and
– the overall extent of non-audit services provided by the external
auditor, in addition to its case-by-case approval of the position of
non-audit services by the external auditor.
Audit rotation
During 2016 following a robust tender process, the Committee appointed
KPMG LLP as auditors, with effect from the year ended 31 March 2018.
Aspart of the tender process, the Committee reviewed KPMG’s proposals
for the audit and determined that they had an appropriate plan in place
to carry out an effective audit. KPMG confirmed to the Committee that it
maintained appropriate internal safeguards to ensure its independence and
objectivity. Anna Jones is the current audit partner, and this is the fourth
year that she has been the signatory to the Group’s financial statements.
The Company’s policy is to rotate audit partners every five years, and to
tender its audit to include new firms at least every ten years.
The Company complies with the requirements of the Statutory Audit
Services for Large Companies Market Investigation (Mandatory Use of
Competitive Tender Processes and Audit Committee Responsibilities)
Order 2014 and the Code. To comply with the Order the Company intends
to conduct a formal tender process for audit services during the financial
year ending 31 March 2027, so that should a new firm be appointed,
they will be able to shadow KPMG during the audit of the 31 March 2027
financial statements.
Financial reporting and significant
financial judgements
The Committee reviews all financial information published by the Group in
year-end and half-year financial statements, including the presentation
and disclosure of the financial information. It also considers the
appropriateness of the accounting policies adopted by the Group and the
accounting judgements made by management in the preparation of the
financial information.
The Committee has considered whether the Annual Report for the year
ended 31 March 2025 provides a fair, balanced, and understandable
view of the Group’s position and performance, strategy, and business
model and whether it provides the necessary information to enable
shareholders and prospective shareholders to assess the Group’s
position and performance, strategy, and business model. The Committee
is satisfied that the Annual Report for the year ended 31 March 2025
provides a fair, balanced, and understandable view and includes the
necessary information as set out above. The Committee has confirmed
this to the Board, whose statement is included in the Statement of
Directors’ Responsibilities on page 129.
The Committee focuses on matters it considers important in their impact
on the reported results of the Group, and on matters where there is a high
degree of complexity and/or judgement.
The critical accounting estimate that the Committee focuses on at the
reporting date is the valuation of the investment property portfolio.
This is carried out by independent external valuers, but by its nature
it is subjective, with significant judgement applied to the valuation,
particularly given the lack of transactional evidence for prime self
storage assets. The Chair of the Committee met the external valuers
to discuss the valuations, review the key judgements, and discussed
whether there were any disagreements with management. This year
the Committee reviewed and challenged the valuers on the cap rates,
rental growth assumptions and stabilised occupancy levels, to agree on
the appropriateness of the assumptions adopted. The Committee also
met with the external valuers and satisfied itself on their independence,
their quality control processes (including peer partner review) and
qualifications to carry out the valuations. Management also have
processes in place to review the external valuations. In addition, the
external auditor use valuation specialists to review the valuations and
report its findings and conclusions to the Audit Committee.
The Committee has also considered a number of other judgements
made by management in the preparation of the financial statements.
The Committee has concluded that there are not significant levels of
judgements involved.
There has been no change to the other key judgement included in
the financial statements, which is that the Group’s stores should be
accounted for as Investment Property.
Management has reported to the Audit Committee that it is satisfied that
it is not aware of any material misstatements in the financial statements.
Based on the above, the Committee concluded that the financial
statements appropriately apply the key estimates and critical
judgements, in respect of the disclosures and the amounts reported.
Annual Report and Accounts 2025 Big Yellow Group PLC122
Annual auditor assessment
The Audit Committee has adopted a formal framework in its review of
the effectiveness of the external audit process and audit quality which
include the following areas:
– the arrangements for ensuring the external auditor’s independence
and objectivity;
– the senior statutory auditor and the audit team;
– the external auditor’s fulfilment of the agreed audit plan and
variations from the plan;
– the quality of the formal audit report to shareholders;
– the effectiveness of the external audit process, taking into
consideration relevant UK professional and regulatory requirements;
– the robustness and perceptiveness of the auditor in his handling of
the key accounting and audit judgements; and
– the content of the external auditor’s comments on control
improvement recommendations.
Regard is paid to the nature of, and remuneration received, for other
services provided by KPMG LLP to the Group and, inter alia, confirmation
is sought from them that the fee payable for the annual audit is adequate
to enable them to perform their obligations in accordance with the scope
of the audit. The only non-audit service provided is the auditors’ review of
the half year report.
Non-audit work
The Group’s policy on external audit sets out the categories of non-
audit services which the external auditor will and will not be allowed to
provide to the Group, including those that are pre-approved by the Audit
Committee and those which require specific approval before they are
contracted for, subject to de minimis levels. The Group’s non-audit policy
reflects the Ethical Standard on Non-Audit Services which came into
effect on 15 March 2020. The Committee’s policy is that the auditors will
not be asked to carry out non-audit work with the exception of the half
year review and regulatory and bank required reporting.
More generally, the auditors may not provide a service which places
them in a position where they may be required to audit their own work.
Specifically, they are precluded from providing services relating to
bookkeeping, financial information system design and implementation,
appraisal or evaluation services, actuarial services, any management
functions, taxation advisory services, investment banking services,
legalservices unrelated to the audit or advocacy services.
In respect of the year ended 31 March 2025, the auditor’s remuneration
comprised £641,000 for audit work and £65,000 for other work, solely
relating to the interim review. Over a three year rolling period, the level of
non-audit fees is below the audit fee, with non-audit fees representing
11% of audit fees in 2024 and 11% in 2023.
Risk management and
internal control
The Committee and the Board reviewed the internal control processes of
the business and the Group’s risk register during the year. The risks and
uncertainties facing the Group, and its internal control processes are
considered in the Strategic Report on page 44.
The Committee remains focused on ensuring that finance and risk
capability is appropriate to the scale of the business, whilst also
acknowledging an increasingly regulated environment. As the UK’s
regulatory landscape continues to evolve, the Committee will continue to
monitor developments from the review led by the Department for Business
and Trade into restoring trust in audit and corporate governance, and the
impact the recommendations may have on the Group. Inparticular, the
Committee will spend time working with management to prepare to report
on the updated UK Corporate Governance Code, published by the FRC
in January 2024, with particular attention to the changes introduced in
respect of audit, risk and internal control.
Internal audit
The Committee has considered the Board’s view that, given the
relatively straightforward nature of the Group’s business and the control
environment in place, no formal internal audit function is required.
TheGroup has a store compliance team, which effectively carries out an
internal audit role for the Group’s stores, visiting each store at least once
every nine months. This provides the Committee comfort over the store
related aspects of the Group’s business. The Committee meets with the
Store Compliance Manager as required, and at least once a year.
Additionally, on a regular cycle, the Board appoints external consultants
to assess specific business areas of risk and provide a report to the Board
and the Committee on this area. The cycles covered by this activity include
construction expenditure, treasury, taxation, and facilities management.
This gives the Committee comfort over the controls over key business
cycles within the Company.
With the combination of the store internal audit and the external
assessment of the key business cycles, the Committee considers
thatthis provides a robust internal audit assessment for the Group.
Overview
As a result of its work during the year, the Audit Committee has concluded
that it has acted in accordance with its terms of reference and has
ensured the independence and objectivity of the external auditor.
The Chair of the Audit Committee will be available at the Annual General
Meeting to answer any questions about the work of the Committee.
Approved by the Audit Committee and signed on its behalf by:
Laela Pakpour Tabrizi
Audit Committee Chair
19 May 2025
Annual Report and Accounts 2025 Big Yellow Group PLC 123
Financial StatementsGovernance ReportStrategic Report
The Directors present their annual report on the affairs of the Group, together with the
audited financial statements and auditor’s report for the year ended 31 March 2025.
The Report on Corporate Governance on pages 83 to 89 forms part of this report.
Details of significant events since the balance sheet date are included
in note 25 to the financial statements. An indication of likely future
developments in the business of the Company is included in the
strategicreport.
Included in note 18 are the Group’s financial risk management objectives
and policies and an indication of the Group’s exposure to certain risks.
Those elements of that note form part of this report and are incorporated
by reference.
Dividends
The Directors are recommending the payment of a final dividend of
23.8 pence per share for the year (2024: 22.6 pence per ordinary
share). An interim dividend of 22.6 pence per share was paid in the year
(2024:22.6 pence per share).
All of the 46.4 pence per share payable for the year is a Property
IncomeDistribution.
Subject to approval by shareholders at the Annual General Meeting to
be held on 17 July 2025, the final dividend will be paid on 25 July 2025.
TheEx-div date is 3 July 2025 and the Record date is 4 July 2025.
From April 2018 dividend tax credits have been replaced by an annual
£2,000 tax-free allowance on dividend income across an individual’s
entire share portfolio. Above this amount, individuals will pay tax on their
dividend income at a rate dependent on their income tax bracket and
personal circumstances. The Company will continue to provide registered
shareholders with a confirmation of the dividends paid by Big Yellow
Group PLC, and this should be included with any other dividend income
received when calculating and reporting total dividend income received.
It is the shareholder’s responsibility to include all dividend income when
calculating any tax liability.
Directors’ Report
SECR and Mandatory GHG Reporting
The Companies (Directors’ Report) and Limited Liability Partnerships
(Energy and Carbon Report) Regulations 2018 (‘SECR’) came into force
on 1 April 2019 and apply to companies with financial years starting on
orafter 1 April 2019.
The 2018 Regulations define what must be included in the Directors’
Report, namely:
– Annual Greenhouse Gas (“GHG”) emissions from activities for
which the Company is responsible including combustion of fuel and
operation of any facility, such as such as our flexi-office gas heating,
reception area air conditioner coolant replacement, one Company van
diesel fuel use emissions and fit-out ‘diesel’ use emissions (assuming
qualifying fit-out activities have taken place during the year);
– Annual emissions from the purchase of electricity, heat, steam or
cooling by the Company for its own use, such as the electricity for our
stores and construction fit-out activities;
– Underlying global energy use;
– Previous year’s figures for energy use and GHG;
– At least one intensity ratio metric;
– Energy efficiency action taken; and
– Methodology used.
Voluntary GHG emissions, from our waste and water supply chains, are
assessed as ‘not material’. We will also retain the practice of reporting
ourprevious few years of performance to show longer term trends.
The ‘Market-based emissions’ reported here reflect the emissions
associated with the electricity tariff we have purchased; whereas
‘Location-based emissions’ are emissions associated with the UK grid
and applies the required DEFRA conversion factors. Where we have not
indicated market-based or location-based figures, location-based can
beassumed.
Please note, our operations are solely based in the UK, and we therefore
will be reporting a single geographical scope – UK and offshore area only.
Annual Report and Accounts 2025 Big Yellow Group PLC124
a) Data
Year ended
31 March 2024
(restated*) 31 March 2025
GHG scope 1 total tonnes CO
2
e Total Scope 1 Emissions (location-based) store and non-store 115.1 52.9
GHG scope 2 total tonnes CO
2
e Total Scope 2 Emissions (location-based) store and non-store 2,136.9 1,956.5
GHG scope 2 total tonnes CO
2
e Total Scope 2 Emissions market-based store and non-store 0.0 0.0
Total GHG scope 1 & 2
Total tonnes CO
2
e Total Scope 1& 2 Emissions (location-based) store and non-store 2,252.0 2,009.4
Total GHG scope 1 & 2
Total tonnes CO
2
e Total Scope 1 & 2 Emissions (market-based) store and non-store 115.1 52.9
kgCO
2
e/ revenue (£000s) – location-based
GHG emissions intensity from building energy consumption 11.3 9.8
kgCO
2
e/ revenue (£000s) – market-based
GHG emissions intensity from building energy consumption 0.6 0.3
kgCO
2
e/ Occupied space (1,000m
2
)
GHG emissions intensity from building energy consumption (scope 1 and 2 location-based) 4.8 4.3
kgCO
2
e/ CLA (1,000m
2
)
GHG emissions intensity from building energy consumption (scope 1 and 2 location-based) 3.8 3.4
Energy data
Underpinning Scope 1 and 2 emissions data (kWh) 10,939,300 9,656,425
*Please note:
Regarding restating each year, the last 3 months of our emissions data is reported using the prior year’s conversion factors, due to an emission factor publication lag – we operate on a ‘best available data’
principle and will therefore restate each year.
Regarding Market based emissions, we purchase REGO backed 100% renewable energy, so are able to provide both location-based and market-based CO
2
e emissions. The three location-based intensity
metrics are calculated from the location-based Scope 1 & 2 totals. The one market-based intensity metric is calculated from the market-based Scope 1 & 2 totals.
We have previously reported on specific Scope 3 categories. The Group is currently in the process of calculating its full Scope 3 emissions for the year ended 31 March 2025, and we intend to publish our
Scope 3 data for the year ended 31 March 2025 with our half year results (see further commentary on page 56.
b) Methodology for Calculating Emissions
Scope 1
Gas
Data collection: Big Yellow gas data – and some of our Armadillo gas data
– is metered and automatically transmitted into our energy and emission
reporting platform, UL360. Gas use for the remaining stores with gas is
obtained from supplier invoices and manually uploaded onto UL360.
This process is part of the assurance work undertaken by SGS each year.
Any gaps are accrued.
Calculations: Our software platform, UL360, contains our consumption
data as well as the current DESNZ emission factors. These are used to
calculate emissions automatically when our reports are produced.
Our annual data straddles two emission factor years; as soon as the
latest factors are released, our partners ensure Envizi contains the most
up to date set and this is applied against the relevant data set.
Scope 1
Van
Data collection: our maintenance manager records any miles driven
to service our stores. The data is collected quarterly and sent to our
partners for uploading into UL360. UL360 commutes the mileage data
into emissions.
Calculations: km travelled x emission conversion factor for a diesel
average van (up to 3.5 tonnes) in km/kgCO
2
e / 1000 to convert to tCO
2
e.
In the reporting period we switched to a hybrid vehicle and thus the
calculation was updated.
Calculations: km travelled x emission conversion factor for a PHEV
average van (up to 3.5 tonnes) in km/kgCO
2
e / 1000 to convert to tCO
2
e.
Scope 1
Fit-out diesel
Data collection: diesel consumption used on our fit-out construction
projects is collected manually by the construction team and reported
weekly in the Construction Fit-Out report. The final report for the financial
year is used to assess the overall diesel consumption during the year.
Calculation: the total diesel consumption in litres converted to kWh using
the gross CV kWh/litre for Diesel (average biofuel blend) x emission
conversion factor in kWh (Gross CV)/kgCO
2
e for a Diesel (average biofuel
blend) / 1000 to convert to tCO
2
e.
As we are not the principal contractor for the fit-out at our new store
Slough Farnham Road, the emissions reported for this year is 0tCO
2
e.
Annual Report and Accounts 2025 Big Yellow Group PLC 125
Financial StatementsGovernance ReportStrategic Report
Scope 2
Location-based, electricity
Data collection: Big Yellow electricity data – and most of our Armadillo
electricity data – is metered and automatically transmitted into our
energy and emission reporting platform, UL360. Electricity used for
the remaining stores is obtained from supplier invoices and manually
uploaded onto UL360. This process is part of the assurance work
undertaken by SGS each year. Any gaps are accrued.
Calculations: Our software platform, UL360, contains our consumption
data as well as the current DESNZ emission factors. These are used
to calculate emissions automatically when reports are produced.
Ourannual data straddles two emission factor years; as soon as the
latest factors are released, our partners ensure UL360 contains the
mostup to date set and this is applied against the relevant data set.
Scope 2
Market-based, electricity
Data collection: the same as for location-based electricity.
Calculations: instead of applying the location-based emission factors,
we manually set electricity emissions at 0 as we have been purchasing
100% Rego backed electricity since 1 October 2019. For total Scope 1 & 2
emissions, market-based, we set Scope 2 at 0 and Scope 1 the same as
per above.
Scope 3
We have previously reported on specific Scope 3 categories. The Group is
currently in the process of calculating its full Scope 3 emissions for the
year ended 31 March 2025, and we intend to publish our Scope 3 data
for the year ended 31 March 2025 with our half year results (see further
commentary on page 56).
c) Energy Efficiency Measures
Background
We have a long-standing strategy of pro-actively managing our energy
consumption and seeking to become an ever more efficient business.
Wehave reported progress over the years both in our Annual Reports
as well as in our standalone annual ESG Reports; all these are available
online in our Investor and Sustainability sections respectively.
Although most of the lighting upgrades to LED was completed, a small
number of ‘mop-up’ LED activities continue to take place, especially
where we have not been able to gain access to customers’ units to
execute the changeover.
All other stores’ electricity meters and gas meters are fitted with HH
automatic meter readers; the data is available to us via an externally
hosted platform and used by the internal Environmental Committee to
review our performance on a quarterly basis.
Three years ago, we commenced a programme to remove the gas
central heating and hot water boilers at a number of our stores with
the aim of decarbonising our business by 2030. We have removed gas
from our owned estate and as a result we have focused our efforts on
energy efficiency to ensure the continued reduction of our scope 1 & 2
emissions. A pilot of energy efficiency solutions has been completed this
year. We've successfully trialled 10 solutions across 9 stores, achieving
an aggregated energy saving of 17%.
We have retrofitted 36 Big Yellow stores that currently do not have
solar with solar systems. We have also committed to expanding this
programme to cover all stores that are able to hold solar, to date we have
48 retrofitted systems meaning we have installed 7.0MWp of solar as
part of the retrofit programme.
The one new store that were opened during the year (Slough Farnham
Road) was fitted with a 195kWp solar installation.
Directors’ Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC126
Most recent ESOS assessment findings
&resultingactions
We have completed our ESOS Phase 3 assessment and submitted our
Action Plan. The assessment has continued to emphasise the limited
amount of potential energy saving measures we are able to undertake.
Our independent ESOS assessor recommendations have remained similar
to that of our Phase 2 assessor; we have continued to focus on increasing
our Solar PV estate in line with our sustainability strategy.
During the year, we have installed solar systems at 13 stores:
– One newly built store, with a total installed capacity of 195kWp
– 12 stores were retrofitted with solar totalling a capacity of 1,621kWp
During the year, we have generated 4,831 MWh of solar energy (an
increase of 42% from the previous year), thereby (a) reducing our energy
demand from the grid by the kWh we are using on site and (b) increasing
the grid’s renewable mix by exporting part of our energy as the size of our
solar installations exceed our demand.
Capital structure
Details of the authorised and issued share capital, together with details
of the movements in the Company’s issued share capital during the year
are shown in note 22. The Company has one class of ordinary shares
which carry no right to fixed income. Each share carries the right to one
vote at general meetings of the Company.
There are no specific restrictions on the size of a holding nor on the
transfer of shares, which are both governed by the general provisions of
the Articles of Association and prevailing legislation. The Directors are not
aware of any agreements between holders of the Company’s shares that
may result in restrictions on the transfer of securities or on voting rights.
Details of employee share schemes are set out in note 23, and details of
shares held by the Company’s Employee Benefit Trust are set out in note 22.
No person has any special rights of control over the Company’s share
capital and all issued shares are fully paid.
With regard to the appointment and replacement of Directors, the
Company is governed by its Articles of Association, the Corporate
Governance Code, the Companies Acts and related legislation.
TheArticles themselves may be amended by special resolution of
theshareholders. The powers of Directors are described in the Report
onCorporate Governance on page 83.
There are a number of agreements that take effect, alter, or terminate
upon a change of control of the Company such as commercial contracts,
bank loan agreements, property lease arrangements and employee
share plans. The Directors are not aware of any agreements between the
Company and its Directors or employees that provide for compensation
for loss of office or employment that occurs because of a takeover bid.
During the year the Company issued 519,409 shares to satisfy the
exercise of share options (2024: 289,102).
Directors
The Directors of the Company who served throughout the year and to the
date of approval of the financial statements were as follows:
Jim Gibson Chief Executive Officer
Anna Keay Non-Executive Director
Vince Niblett Senior Independent Director
Michael O’Donnell Non-Executive Director
Heather Savory Non-Executive Director
Laela Pakpour Tabrizi Non-Executive Director
John Trotman Chief Financial Officer
Nicholas Vetch Executive Chairman
The Company’s policy is that all Directors who are seeking re-election will
be put forward to a shareholder vote at each Annual General Meeting.
Biographical details of the Executive and Non-Executive Directors
standing for re-election are set out on page 80.
Directors’ indemnities
The Company purchases liability insurance covering the Directors and
officers of the Company and its subsidiaries, which remains in force at
the date of these accounts.
Political contributions
No political donations were made by the Company in either the current
orpreceding financial year.
Substantial shareholdings
The Company had been notified, in accordance with Chapter 5 of
the Disclosure Guidance and Transparency rules, of the following
voting rights as a shareholder of the Company at 31 March 2025
and15May2025.
No. of ordinary shares
31March 2025
Percentage of
votingrights and
issuedshare capital
31March 2025
No. of ordinary shares
15 May 2025
Percentage of
votingrights and
issuedshare capital
15 May 2025
Blackrock Inc 20,235,809 10.3% 20,452,662 10.4%
Resolution Capital 16,106,373 8.2% 16,422,867 8.4%
The Vanguard Group Inc 10,616,820 5.4% 10,693,805 5.4%
MFS Investment Management 8,212,288 4.2% 7, 7 97, 37 0 4.0%
CPP Investment Board 7,370,532 3.7% 7,370,532 3.7%
T Rowe Price 7,066,486 3.6% 7, 641 ,75 5 3.9%
Cohen & Steers Inc 6,275,137 3.2% 6,354,707 3.2%
The interest of the Directors in the share capital of the Company is shown on page 113 of the Remuneration Report.
Annual Report and Accounts 2025 Big Yellow Group PLC 127
Financial StatementsGovernance ReportStrategic Report
Purchase of own shares
The Company was granted authority at the AGM in 2024 to purchase its
own shares up to a total aggregate value of 10% of the issued nominal
capital. That authority expires at this year’s AGM and a resolution will
be proposed for its renewal. During the year the Company made no
purchases of its own shares.
Suppliers and customers
Details on how the Group engages with Suppliers, Customers, and others
in business relationships with the Company can be found on page 88.
Employee consultation
The Group seeks to ensure employee commitment to its objectives in
a number of ways. Strategic changes are communicated directly to all
staff who are encouraged to address queries to the Executive Directors.
The Directors’ executive meetings are frequently held in stores and
in addition Directors and senior management visit the stores on a
regular basis. Furthermore, there are regular team briefings at store
level to provide employees with information about the performance
of and initiatives in their store. A wide range of information is also
communicated across the Group’s Intranet, including the e-publication
ofthe Group’s financial results and all press releases, and regular
updates from each Department.
As discussed in the Corporate Governance Report, the Board has
appointed a designated Non-Executive Director, Anna Keay, to act as the
primary method of workforce engagement for Big Yellow in accordance
with the Corporate Governance Code.
Employees are encouraged to participate in the Group’s performance
through Employee Share Schemes and performance related bonuses.
50% of eligible employees participate in the Group’s Sharesave Scheme.
The Group’s recruitment policy is committed to promote equality, judging
neither by race, nationality, religion, age, gender, disability, sexual
orientation, nor political opinion and to treat all stakeholders fairly.
Disabled employees
Applications for employment by disabled persons are always fully
considered, bearing in mind the aptitudes of the applicant concerned.
Inthe event of members of staff becoming disabled every effort is made
to ensure that their employment with the Group continues and that
appropriate training is arranged. It is the policy of the Group that the
training, career development and promotion of disabled persons should,
as far as possible, be identical to that of other employees.
Human Rights
Big Yellow respects Human Rights and aims to provide assurance to
internal and external stakeholders that we are committed to human
rights and the principles of the Universal Declaration of Human Rights.
We are committed to creating and maintaining a positive and professional
work environment that reflects and respects the basic rights of freedom
to lead a dignified life, free from fear or want, and where stakeholders
are free to express their independent beliefs. Our employment policies
and practices reflect a culture where decisions are made solely on the
basis of individual capability and potential in relation to the needs of
thebusiness.
Modern Slavery Act
The Group is committed to ensuring that there is no modern slavery or
human trafficking in our supply chains or in any part of our business.
Our Anti-slavery Policy reflects our commitment to acting ethically and
with integrity in all our business relationships and to implementing and
enforcing effective systems and controls to ensure slavery and human
trafficking is not taking place anywhere in our supply chains. Our policy is
published in full on our website.
Auditor
In accordance with Section 489 of the Companies Act 2006, a resolution
for the re-appointment of KPMG LLP as auditor of the Company is to be
proposed at the forthcoming Annual General Meeting.
Disclosure of information to auditor
The Directors who held office at the date of approval of this Directors’
Report confirm that, so far as they are each aware, there is no relevant
audit information of which the Company’s auditor is unaware; and each
Director has taken all the steps that he/ she ought to have taken as a
Director to make himself/ herself aware of any relevant audit information
and to establish that the Company’s auditors is aware of that information.
This confirmation is given and should be interpreted in accordance with
s418 of the Companies Act 2006.
Approved by the Board of Directors and signed on behalf of the Board
Shauna Beavis
Company Secretary
19 May 2025
Directors’ Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC128
Statement of Directors’ Responsibilities in Respect
of the Annual Report and the Financial Statements
The Directors are responsible for preparing the Annual Report and the
Group and parent Company financial statements in accordance with
applicable law and regulations.
Company law requires the Directors to prepare Group and parent
Company financial statements for each financial year. Under that law they
are required to prepare the Group financial statements in accordance
with UK-adopted international accounting standards and applicable law
and have elected to prepare the parent Company financial statements in
accordance with UK accounting standards and applicable law, including
FRS 101 Reduced Disclosure Framework.
Under company law the Directors must not approve the financial
statements unless they are satisfied that they give a true and fair view of
the state of affairs of the Group and parent Company and of the Group’s
profit or loss for that period. In preparing each of the Group and parent
Company financial statements, the Directors are required to:
– select suitable accounting policies and then apply them consistently;
– make judgements and estimates that are reasonable, relevant, and
reliable and, in respect of the parent Company financial statements
only, prudent;
– for the Group financial statements, state whether they have been prepared
in accordance with UK-adopted international accounting standards;
– for the parent Company financial statements, state whether
applicable UK accounting standards have been followed, subject
to any material departures disclosed and explained in the parent
Company financial statements;
– assess the Group and parent Company’s ability to continue as a
goingconcern, disclosing, as applicable, matters related to going
concern; and
– use the going concern basis of accounting unless they either intend
to liquidate the Group or the parent Company or to cease operations,
or have no realistic alternative but to do so.
The Directors are responsible for keeping adequate accounting
records that are sufficient to show and explain the parent Company’s
transactions and disclose with reasonable accuracy at any time the
financial position of the parent Company and enable them to ensure that
its financial statements comply with the Companies Act 2006. They are
responsible for such internal control as they determine is necessary
to enable the preparation of financial statements that are free from
material misstatement, whether due to fraud or error, and have general
responsibility for taking such steps as are reasonably open to them to
safeguard the assets of the Group and to prevent and detect fraud and
other irregularities.
Under applicable law and regulations, the Directors are also responsible
for preparing a Strategic Report, Directors’ Report, Directors’
Remuneration Report and Corporate Governance Statement that
complieswith that law and those regulations.
The Directors are responsible for the maintenance and integrity of the
corporate and financial information included on the Company’s website.
Legislation in the UK governing the preparation and dissemination of
financial statements may differ from legislation in other jurisdictions.
In accordance with Disclosure Guidance and Transparency Rule (“DTR”)
4.1.16R, the financial statements will form part of the annual financial
report prepared under DTR 4.1.17R and 4.1.18R. The auditor’s report on
these financial statements provides no assurance over whether the annual
financial report has been prepared in accordance with those requirements.
Responsibility statement of the Directors
in respect of the annual financial report
We confirm that to the best of our knowledge:
– the financial statements, prepared in accordance with the applicable
set of accounting standards, give a true and fair view of the assets,
liabilities, financial position and profit or loss of the Company and the
undertakings included in the consolidation taken as a whole; and
– the strategic report includes a fair review of the development and
performance of the business and the position of the issuer and the
undertakings included in the consolidation taken as a whole, together
with a description of the principal risks and uncertainties that they face.
We consider the annual report and accounts, taken as a whole, is fair,
balanced and understandable and provides the information necessary for
shareholders to assess the Group’s position and performance, business
model and strategy.
This responsibility statement was approved by the Board of Directors on
19 May 2025 and is signed on its behalf by:
Jim Gibson John Trotman
Chief Executive Officer Chief Financial Officer
Annual Report and Accounts 2025 Big Yellow Group PLC 129
Financial StatementsGovernance ReportStrategic Report
1. Our opinion is unmodified
We have audited the financial statements of Big Yellow Group PLC
(“theCompany”) for the year ended 31 March 2025 which comprise the
Consolidated Statement of Comprehensive Income, Consolidated Balance
Sheet, Consolidated Statement of Changes in Equity, Consolidated
Cash Flow Statement, Company Balance Sheet, Company Statement
of Changes in Equity, and the related notes, including the accounting
policies in note 2 and 29.
In our opinion:
– the financial statements give a true and fair view of the state of the
Group’s and of the parent Company’s affairs as at 31 March 2025 and
of the Group’s profit for the year then ended;
– the Group financial statements have been properly prepared in
accordance with UK-adopted international accounting standards;
– the parent Company financial statements have been properly
prepared in accordance with UK accounting standards, including
FRS101 Reduced Disclosure Framework; and
– the financial statements have been prepared in accordance with the
requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on
Auditing (UK) “ISAs (UK)” and applicable law. Our responsibilities are
described below. We believe that the audit evidence we have obtained
is a sufficient and appropriate basis for our opinion. Our audit opinion is
consistent with our report to the audit committee.
We were first appointed as auditor by the shareholders on 20 July 2017.
The period of total uninterrupted engagement is for the eight financial
years ended 31 March 2025. We have fulfilled our ethical responsibilities
under, and we remain independent of the Group in accordance with, UK
ethical requirements including the FRC Ethical Standard as applied to
listed public interest entities. No non-audit services prohibited by that
standard were provided.
Overview
Materiality:
group financial statements
as a whole
£22.4m (2024: £20.4m)
0.74% (2024: 0.70%) of total assets
Key audit matters vs 2024
Recurring risks
Valuation of Investment Property,
including Investment Property
UnderConstruction
Recoverability of amounts owed
byGroup undertakings (Parent
company only) 
2. Key audit matters:
our assessment of risks
of material misstatement
Key audit matters are those matters that, in our professional judgement,
were of most significance in the audit of the financial statements and
include the most significant assessed risks of material misstatement
(whether or not due to fraud) identified by us, including those which
had the greatest effect on: the overall audit strategy; the allocation of
resources in the audit; and directing the efforts of the engagement team.
We summarize below the key audit matters (unchanged from 2024),
indecreasing order of audit significance, in arriving at our audit opinion
above, together with our key audit procedures to address those matters
and, as required for public interest entities, our results from those
procedures. These matters were addressed, and our results are based
on procedures undertaken, in the context of, and solely for the purpose
of, our audit of the financial statements as a whole, and in forming our
opinion thereon, and consequently are incidental to that opinion, and we
do not provide a separate opinion on these matters.
Independent Auditor's Report to the
Members of Big Yellow Group PLC
Annual Report and Accounts 2025 Big Yellow Group PLC130
The risk Our response
Valuation of
Investment Property,
including Investment
Property under
Construction
Investment Property
£2,807.5 million;
(2024: £2,718.5m)
Investment Property
Under Construction
£185.2 million;
(2024: £146.5m)
Refer to page 122
(Audit Committee
Report), page 148
(accounting policy)
and pages 159 to 163
(financial disclosures).
Subjective valuation:
Investment property valuation is subjective and
inherentlyjudgemental in nature and therefore results
inarisk of error.
Investment property values are calculated using actual
and subjective assumptions inputs such as store
occupancy, future growth in net rent, discount rates and
exit capitalisation rates for investment property and in
addition, capital expenditure forecasts for investment
property under construction.
The Group engages an external valuer to apply
professional judgement concerning market conditions
andfactors impacting individual properties.
The investment market for prime self storage is subject
toinherent uncertainty due to the low volume of
comparable transactions.
The effect of these matters is that, as part of our risk
assessment, we determined that the value of investment
properties including investment property under
construction has a high degree of estimation uncertainty,
with a potential range of reasonable outcomes greater
than our materiality for the financial statements as a
whole, and possibly many times that amount.
We consider the fraud risk relating to valuation of
Investment Property including Investment Property under
Construction has reduced compared to FY24 due to the
cumulative evidence identified in relation to utilisation
of third-party independent valuers and the limited
opportunity for management to materially manipulate
theinputs into the valuation.
Disclosure quality:
The financial statements (note 15) disclose the sensitivity
estimated by the Group.
The Directors’ assessment of the extent of the
disclosureis based on an evaluation of the inherent
risksto the valuation.
The risk for our audit is whether or not those disclosures
adequately address the uncertainties within the valuation.
Our procedures included:
– Assessment of accounting policy application: We assessed whether the valuation,
presentation and disclosure of Investment Properties and Investment Property
under Construction is in accordance with the Group accounting policy and applicable
accounting standards.
– Assessment of valuer’s credentials: With the assistance of our valuation specialist
we assessed the external valuer’s qualifications and expertise and read its terms
of engagement with the Group to determine whether there were any matters that
might have affected their independence and objectivity or may have imposed scope
limitations upon their work.
– Methodology choice: With the assistance of our valuation specialist we read the
external valuation report which covers 100% of the investment properties (including
those under construction) and assessed whether the valuation approach was in
accordance with the Royal Institution of Chartered Surveyors (RICS) standards and
suitable for use in determining the value for the purpose of the financial statements.
– Personnel interview: We met with the external valuer, the Group’s senior Management
and the audit committee chair with our own internal valuation specialists to discuss
the valuation process, key assumption inputs such as occupancy, future growth in net
rent, exit capitalisation rates for investment property, capital expenditure forecasts for
investment property under construction and discount rates, and the rationale behind
significant or unusual valuation movements during the year.
– Our sector experience: With the assistance of our valuation specialist we used our
knowledge of the entity, our experience of the real estate industry and observed
industry norms when assessing the key assumptions and the significant or unusual
valuation movements and, for investment property under construction, we considered
the judgement made by the Directors and external valuers for planning risk for
non-consented sites.
– Data provided to the valuer: We tested the accuracy of information used to generate
key inputs to the valuation such as store occupancy and net rental income by testing
asample of rooms rented back to contract and cash receipts.
– Independent re-calculation: Using our own internally produced model and the external
valuer and Directors’ inputs we assessed the accuracy of the valuation as produced by
the external valuer.
– Tests of detail: For investment property under construction we agreed a sample of
costs incurred to date to third party supporting information. For cost to complete
we compared forecasts, supplied to the valuer, to third party estimates and where
appropriate third party contracts. We also obtained evidence that planning permission
had been granted for those development sites for which this was applicable. In addition,
for a sample of properties under construction our internal valuation specialist assessed
the assumptions inputs and their application in line with the valuation methodology.
– Assessed valuation changes: We critically assessed the changes between the draft
external valuation report subject to Director review, and the final external valuation
report including tie through to the financial statements, to ensure changes were
appropriately substantiated.
– Assessed transparency: We assessed whether the group’s disclosure about the
sensitivity of the valuation of investment properties to changes in key assumptions
adequately reflect the related risks
We performed the detailed tests above rather than seeking to rely on any of the Group’s
controls because our knowledge of the design of these controls indicated that we would
not be able to obtain the required evidence to support reliance on controls.
Our results
– We found the valuation of investment properties, and investment properties under
construction and the disclosure of the associated level of uncertainty to be acceptable
(2024: acceptable).
Annual Report and Accounts 2025 Big Yellow Group PLC 131
Financial StatementsGovernance ReportStrategic Report
The risk Our response
Recoverability of
amounts owed by
Group undertakings
(Parent company only)
£697.2 million;
(2024:£765.4 million)
Refer to page 149
(accounting policy)
and page 184
(financialdisclosures).
Low risk, high value:
The carrying amount of amounts owed by Group
undertakings represents 94% (2024: 95%) of the
company’s total assets at 31 March 2025.
Their recoverability is not at a high risk of material
misstatement or subject to significant judgement.
However, due to their materiality in the context of the
parent Company financial statements, this is considered
to be the area that had the greatest effect on our overall
parent Company audit.
We performed the tests below rather than seeking to rely on any of the parent Company’s
controls because the nature of the balance is such that we would expect to obtain audit
evidence primarily through the detailed procedures described.
Our procedures included:
– Tests of detail: We assessed 100% of amounts owed by Group undertakings to identify,
with reference to the relevant debtors’ balance sheet, whether they have a positive net
asset value and therefore coverage of the debt owed, as well as assessing whether
those debtors’ companies have historically been profit making.
Our results
– We found the conclusion that there is no impairment of the amounts owed by Group
undertakings balance to be acceptable (2024: acceptable)
Independent Auditor's Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC132
3. Our application of materiality and an
overview of the scope of our audit
Materiality for the Group financial statements as a whole was set at
£22.4million (2024: £20.4 million), determined with reference to a
benchmark of total assets of which it represents 0.74% (2024: 0.70%).
Materiality for the parent Company financial statements as a whole was
set at £7.9 million (2024: £8.4 million), determined with reference to a
benchmark of Company total assets, of which it represents 1% (2024: 1%).
In line with our audit methodology, our procedures on individual
account balances and disclosures were performed to a lower threshold,
performance materiality, so as to reduce to an acceptable level the risk
that individually immaterial misstatements in individual account balances
add up to a material amount across the financial statements as a whole.
Performance materiality was set at 75% (2024: 75%) of materiality for
the financial statements as a whole, which equates to £16.8 million
(2024:£15.3 million) for the Group and £5.92 million (2024: £6.3 million)
for the parent Company. We applied this percentage in our determination
of performance materiality because we did not identify any factors
indicating an elevated level of risk.
We agreed to report to the Audit Committee any corrected or uncorrected
identified misstatements exceeding £1.12 million (2024: £1 million) and
in addition to other identified misstatements that warranted reporting on
qualitative grounds.
In addition, we applied a materiality of £4.9 million (2024: £4.7 million) to
Revenue, Cost of Sales, Admin Expenses, Finance costs, Trade receivables,
Cash, Deferred Income (part of account caption accruals and deferred
income), trade payables and other payables (2024: all balances and
classes of transactions impacting adjusted profit before tax as reconciled
to profit before tax in note 10 of the financial statements) for which we
believe misstatement of a lesser amount than materiality for the financial
statements as a whole could be reasonably expected to influence the
Company’s members’ assessment of the financial performance of the
Group. In relation to these balances, we applied performance materiality
of £3.67 million (2024: £3.5 million) and we agreed to report to the Audit
Committee any corrected or uncorrected identified misstatements
exceeding £245k (2024: £230k), in addition to other identified
misstatements that warranted reporting on qualitative grounds.
Impact of controls on our audit
We identified the finance system and the billing system to be the main IT
systems relevant to our audit. We didn’t plan to rely on general IT controls
having considered the efficiency and effectiveness of approaches to
gaining the appropriate audit evidence in the context of the nature of the
organisation and balances, and considering control deficiencies identified.
We tested operating effectiveness and placed reliance on manual
controls in some areas of the audit such as cash. However, as we did
not rely on IT controls we performed substantive procedures over
journals and revenue. A direct testing approach was taken to assessing
the completeness and reliability of system information used in those
manual controls and where we performed substantive procedures that
utilised data from the IT systems. In the other areas of the audit a fully
substantive approach was performed.
Overview of the scope of our audit
The Group team performed the audit of the Group as a single component.
The audit was performed using the materiality and performance
materiality levels set out above.
£22.4m
Whole financial statements
materiality
(2024: £20.4M)
£16.8m
Whole financial statements
performance materiality
(2024: £15.3m)
£1.1m
Misstatements reported
to the audit committee
(2024: £1m)
Total assets
£2,991m (2024: £2,908m)
Group materiality
£22.4m (2024: £20.4m)
Total assets
Group materiality
Group revenue
100
100%
(2024: 100%)
Group profit before tax
100
100%
(2024: 100%)
Group total assets
Full scope audit performed at Group level for 2025
100
100%
(2024: 100%)
Annual Report and Accounts 2025 Big Yellow Group PLC 133
Financial StatementsGovernance ReportStrategic Report
4. The impact of climate change
on our audit
In planning our audit, we have considered the potential impact of
risksarising from Group’s business and its financial statements.
Further information is provided in the Group’s strategic report
(pages 49 to 56), the environmental, social and governance report
(pages 58 to 74) and the corporate governance report (pages 83 to 89)
which have been incorporated into the 2025 Annual Report.
Climate change risks and opportunities have had a limited impact on
theGroup.
As part of our audit we performed a risk assessment of the impact of
climate change risk on the Group’s Financial statements and our audit
approach. This included making enquiries to understand management's
assessment of the potential impact of climate change risk on the Group's
financial statements including their risk assessment process.
We also read the climate related information in the front half of the Annual
Report and considered consistency with the financial statements and our
audit knowledge.
On the basis of our risk assessment, we concluded that the risk of
climate change to the financial statements was not significant when we
considered the nature of the assets and relevant contractual terms. As a
result, there was no material impact from this on our key audit matters.
5. Going concern
The Directors have prepared the financial statements on the going
concern basis as they do not intend to liquidate the Group or the
Companyor to cease their operations, and as they have concluded
that the Group’s and the Company’s financial position means that
this is realistic. Theyhave also concluded that there are no material
uncertainties that could have cast significant doubt over their ability
to continue as a going concern for at least 18 months from the date of
approval of the financial statements (“the going concern period”).
We used our knowledge of the Group, its industry, and the general
economic environment to identify the inherent risks to its business
modeland analysed how those risks might affect the Group’s and
Company’s financial resources or ability to continue operations over
thegoing concern period. The risk that we considered most likely
to adversely affect the Group’s and Company’s available financial
resourcesand metrics relevant to debt covenants over this period were:
– The impact of macro economic trends on customer activity,
particularly customer occupancy rates.
We considered whether this risk could plausibly affect the liquidity
andcovenant compliance in the going concern period by assessing the
Directors’ sensitivities over the level of available financial resources and
covenant thresholds indicated by the Group’s financial forecasts taking
account of severe, but plausible adverse effects that could arise from this
risk individually and collectively.
Our procedures also included:
– Critically assessing assumptions in base case and downside
scenarios relevant to covenant metrics, in particular in relation to
customer performance (namely occupancy rates and net rent levels)
by comparing to historical trends in severe economic situations and
overlaying knowledge of the entity’s trading performance to date,
historical accuracy in budgeting and our knowledge of the entity and
the sector in which it operates.
– We inspected confirmations from the lender on the level of committed
financing, the associated covenant requirements and restrictions on
the use of funds.
– We have challenged the Directors’ assessment of the refinancing of
loans due for expiry within the going concern period and considered
the liquidity of the Group in a severe but plausible downside should no
new facilities be obtained.
– We considered whether the going concern disclosure in note 2 to
the financial statements gives a full and accurate description of the
Directors’ assessment of going concern, including the identified risks,
dependencies, and related sensitivities.
Our conclusions based on this work:
– we consider that the Directors’ use of the going concern basis
of accounting in the preparation of the financial statements
isappropriate;
– we have not identified, and concur with the directors’ assessment
that there is not, a material uncertainty related to events or
conditions that, individually or collectively, may cast significant
doubt on the Group or Company's ability to continue as a going
concern for the going concern period;
– we have nothing material to add or draw attention to in relation to
the Directors’ statement in note 2 to the financial statements on
the use of the going concern basis of accounting with no material
uncertainties that may cast significant doubt over the Group and
Company’s use of that basis for the going concern period, and we
found the going concern disclosure in note 2 to be acceptable; and
– the related statement under the UK Listing Rules set out on
pages48 to 49 is materially consistent with the financial statements
and our auditknowledge.
However, as we cannot predict all future events or conditions and as
subsequent events may result in outcomes that are inconsistent with
judgements that were reasonable at the time they were made, the above
conclusions are not a guarantee that the Group or the Company will
continue in operation.
Independent Auditor's Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC134
6. Fraud and breaches of laws and
regulations – ability to detect
Identifying and responding to risks of material
misstatement due to fraud
To identify risks of material misstatement due to fraud (“fraud risks”)
we assessed events or conditions that could indicate an incentive or
pressure to commit fraud or provide an opportunity to commit fraud.
Ourrisk assessment procedures included:
– Enquiring of Directors, the audit committee, and the store compliance
function and inspection of policy documentation as to the Group’s
high-level policies and procedures to prevent and detect fraud,
including the Group’s channel for “whistleblowing”, as well as whether
they have knowledge of any actual, suspected or alleged fraud.
– Inspecting Board and audit committee minutes.
– Considering remuneration incentive schemes and performance
targets for directors and management including the adjusted
EPS target, LTIP scheme (long term incentive plan), SAYE scheme
(employee share save scheme) and deferred bonus plan.
– Using analytical procedures to identify any unusual or
unexpectedrelationships.
We communicated identified fraud risks throughout the audit team and
remained alert to any indications of fraud throughout the audit.
As required by auditing standards, we perform procedures to address the
risk of management override of controls, in particular the risk that Group
management may be in a position to make inappropriate accounting
entries and the risk of bias in accounting estimates and judgements such
as the valuation of investment property and investment property under
construction. On this audit we do not believe there is a fraud risk related
to revenue recognition because there are limited judgemental aspects to
the Group’s low value, high volume revenue streams. We did not identify
any additional fraud risks.
We performed procedures including:
– Identified journal entries to test based on high risk criteria and
obtained and corroborated supporting documentation for the
identified entries. These included those posted to the investment
property and investment property under construction account, those
posted to seldom used accounts, those with narrative containing
certain key words, those posted to the cash and borrowings and
unexpected revenue and expense pairings.
– Assessed whether the judgements made in making accounting
estimates are indicative of a potential bias including assessing
fair value of investment property and investment property under
construction for bias.
Identifying and responding to risks of material
misstatement due to non-compliance with laws
and regulations
We identified areas of laws and regulations that could reasonably be
expected to have a material effect on the financial statements from our
general commercial and sector experience and through discussion with
the Directors and other management (as required by auditing standards)
and discussed with the Directors and other management the policies and
procedures regarding compliance with laws and regulations.
As the Group is regulated, our assessment of the risks involved gaining
an understanding of the control environment including the entity’s
procedures for complying with regulatory requirements.
We communicated identified laws and regulations throughout our team
and remained alert to any indications of non-compliance throughout
theaudit.
The potential effect of these laws and regulations on the financial
statements varies considerably.
Firstly, the Group is subject to laws and regulations that directly
affectthefinancial statements including financial reporting legislation
(includingrelated companies legislation), distributable profits legislation,
Real Estate Investment Trust (REIT) legislation and taxation legislation,
and we assessed the extent of compliance with these laws and regulations
as part of our procedures on the related financial statement items.
Secondly, the Group is subject to many other laws and regulations
wherethe consequences of non-compliance could have a material effect
on amounts or disclosures in the financial statements, for instance
through the imposition of fines or litigation. We identified the following
areas as those most likely to have such an effect: health and safety,
anti-bribery, employment law, data protection laws, building safety
legislation and certain aspects of company legislation recognising the
financial and regulated nature of the Company’s activities and its legal
form. Auditingstandards limit the required audit procedures to identify
non-compliance with these laws and regulations to enquiry of the
Directors and inspection of regulatory and legal correspondence, if any.
Therefore, if a breach of operational regulations is not disclosed to
us or evident from relevant correspondence, an audit will not detect
thatbreach.
Context of the ability of the audit to detect fraud
or breaches of law or regulation
Owing to the inherent limitations of an audit, there is an unavoidable
risk that we may not have detected some material misstatements in
the financial statements, even though we have properly planned and
performed our audit in accordance with auditing standards. For example,
the further removed non-compliance with laws and regulations is from the
events and transactions reflected in the financial statements, the less
likely the inherently limited procedures required by auditing standards
would identify it.
In addition, as with any audit, there remained a higher risk of
non-detection of fraud, as these may involve collusion, forgery,
intentional omissions, misrepresentations, or the override of internal
controls. Our audit procedures are designed to detect material
misstatement. We are not responsible for preventing non-compliance
orfraud and cannot be expected to detect non-compliance with all laws
and regulations.
Annual Report and Accounts 2025 Big Yellow Group PLC 135
Financial StatementsGovernance ReportStrategic Report
7. We have nothing to report on the other
information in the Annual Report
The Directors are responsible for the other information presented in
the Annual Report together with the financial statements. Our opinion
on the financial statements does not cover the other information and,
accordingly, we do not express an audit opinion or, except as explicitly
stated below, any form of assurance conclusion thereon.
Our responsibility is to read the other information and, in doing so,
consider whether, based on our financial statements audit work, the
information therein is materially misstated or inconsistent with the
financial statements or our audit knowledge. Based solely on that work
we have not identified material misstatements in the other information.
Strategic report and Directors’ report
Based solely on our work on the other information:
– we have not identified material misstatements in the strategic report
and the Directors’ report;
– in our opinion the information given in those reports for the financial
year is consistent with the financial statements; and
– in our opinion those reports have been prepared in accordance with
the Companies Act 2006.
Directors’ remuneration report
In our opinion the part of the Directors’ Remuneration Report to be audited
has been properly prepared in accordance with the Companies Act 2006.
Disclosures of emerging and principal risks
andlonger-term viability
We are required to perform procedures to identify whether there is a
material inconsistency between the Directors’ disclosures in respect of
emerging and principal risks and the viability statement, and the financial
statements and our audit knowledge.
Based on those procedures, we have nothing material to add or draw
attention to in relation to:
– the Directors’ confirmation within the Viability Statement on page49
that they have carried out a robust assessment of the emerging and
principal risks facing the Group, including those that would threaten
its business model, future performance, solvency andliquidity;
– The principal risks and uncertainties disclosures describing these
risks and how emerging risks are identified, and explaining how they
are being managed and mitigated; and
– the Directors’ explanation in the Viability Statement of how they have
assessed the prospects of the Group, over what period they have
done so and why they considered that period to be appropriate, and
their statement as to whether they have a reasonable expectation
that the Group will be able to continue in operation and meet its
liabilities as they fall due over the period of their assessment,
including any related disclosures drawing attention to any
necessaryqualifications or assumptions.
We are also required to review the Viability Statement, set out on page49
under the UK Listing Rules. Based on the above procedures, we have
concluded that the above disclosures are materially consistent with the
financial statements and our audit knowledge.
Our work is limited to assessing these matters in the context of only the
knowledge acquired during our financial statements audit. As we cannot
predict all future events or conditions and as subsequent events may
result in outcomes that are inconsistent with judgements that were
reasonable at the time they were made, the absence of anything to report
on these statements is not a guarantee as to the Group’s and parent
Company’s longer-term viability.
Corporate governance disclosures
We are required to perform procedures to identify whether there is a
material inconsistency between the directors’ corporate governance
disclosures and the financial statements and our audit knowledge.
Based on those procedures, we have concluded that each of the
followingis materially consistent with the financial statements and
ouraudit knowledge:
– the Directors’ statement that they consider that the annual report
and financial statements taken as a whole is fair, balanced and
understandable, and provides the information necessary for
shareholders to assess the Group’s position and performance,
business model and strategy;
– the section of the annual report describing the work of the Audit
Committee, including the significant issues that the audit committee
considered in relation to the financial statements, and how these
issues were addressed; and
– the section of the annual report that describes the review of
theeffectiveness of the Group’s risk management and internal
control systems.
We are required to review the part of the Corporate Governance Statement
relating to the Group’s compliance with the provisions of the UK Corporate
Governance Code specified by the UK Listing Rules for our review.
We have nothing to report in this respect.
Independent Auditor's Report continued
Annual Report and Accounts 2025 Big Yellow Group PLC136
8. We have nothing to report on the
othermatters on which we are required
toreport by exception.
Under the Companies Act 2006, we are required to report to you if, in
ouropinion:
– adequate accounting records have not been kept by the parent
Company, or returns adequate for our audit have not been received
from branches not visited by us; or
– the parent Company financial statements and the part of the
Directors’ Remuneration Report to be audited are not in agreement
with the accounting records and returns; or
– certain disclosures of Directors’ remuneration specified by law are
not made; or
– we have not received all the information and explanations we require
for our audit.
We have nothing to report in these respects.
9. Respective responsibilities
Directors’ responsibilities
As explained more fully in their statement set out on page 129, the
Directors are responsible for: the preparation of the financial statements
including being satisfied that they give a true and fair view; such internal
control as they determine is necessary to enable the preparation of
financial statements that are free from material misstatement, whether
due to fraud or error; assessing the Group and parent Company’s ability
to continue as a going concern, disclosing, as applicable, matters related
to going concern; and using the going concern basis of accounting unless
they either intend to liquidate the Group or the parent Company or to
cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities
Our objectives are to obtain reasonable assurance about whether the
financial statements as a whole are free from material misstatement,
whether due to fraud or error, and to issue our opinion in an auditor’s
report. Reasonable assurance is a high level of assurance, but does not
guarantee that an audit conducted in accordance with ISAs (UK) will
always detect a material misstatement when it exists. Misstatements can
arise from fraud or error and are considered material if, individually or in
aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of the financial statements.
A fuller description of our responsibilities is provided on the FRC’s website
at www.frc.org.uk/auditorsresponsibilities.
The Company is required to include these financial statements in
an annual financial report prepared under Disclosure Guidance and
Transparency Rule 4.1.17R and 4.1.18R. This auditor’s report provides
noassurance over whether the annual financial report has been prepared
in accordance with those requirements.
10. The purpose of our audit work and
towhom we owe our responsibilities
This report is made solely to the Company’s members, as a body,
inaccordance with Chapter 3 of Part 16 of the Companies Act 2006.
Ouraudit work has been undertaken so that we might state to the
Company’s members those matters we are required to state to them
in anauditor’s report and for no other purpose. To the fullest extent
permitted by law, we do not accept or assume responsibility to anyone
other than the Company and the Company’s members, as a body, for
ouraudit work, for this report, or for the opinions we have formed.
Anna Jones (Senior Statutory Auditor)
for and on behalf of KPMG LLP, Statutory Auditor
Chartered Accountants
2 Forbury Place
33 Forbury Road Reading
RG1 3AD
19 May 2025
Annual Report and Accounts 2025 Big Yellow Group PLC 137
Financial StatementsGovernance ReportStrategic Report
2025 2024
Note£000£000
Revenue
3
204,495
1 99,6 1 9
Cost of sales
(62, 1 26)
(5 5,994)
Gross profit
1 42,369
1 43,6 2 5
Administrative expenses
(1 5,76 3)
(1 5,2 1 9)
Operating profit before fair value changes on property assets
126,606
12 8 , 4 0 6
Gain on the revaluation of investment properties
14a,15
79,66 7
13 1 , 1 5 9
Gain on disposal of non-current asset
14a
8 ,75 4
–
Operating profit
2 1 5,02 7
2 5 9,56 5
Other income
3
4,047
6,5 1 7
Investment income
– interest receivable
7
1 61
45
– fair value movement on derivatives
547
–
Finance costs
– interest payable
8
(15,92 8)
(22,946)
– fair value movement on derivatives
8
–
(2,1 46)
Profit before taxation
203,8 54
2 41 , 0 3 5
Taxation
9
(1,9 63)
(1,2 02)
Profit for the year (attributable to equity shareholders)
5
2 01 , 8 9 1
2 39,8 33
Total comprehensive income for the year (attributable to equity shareholders)
201 , 8 91
2 39,8 33
Basic earnings per share
12
1 03.2p
1 2 7. 1 p
Diluted earnings per share
12
1 02.8p
1 26.4p
Adjusted earnings per share are shown in Note 12.
All items in the statement of comprehensive income relate to continuing operations.
The accompanying notes on pages 142 to 186 form part of the financial statements.
Consolidated Statement of Comprehensive Income
Year ended 31 March 2025
Annual Report and Accounts 2025 Big Yellow Group PLC138
Consolidated Balance Sheet
31 March 2025
2025 2024*
Note£000£000
Non-current assets
Investment property
14a
2,807 ,53 5
2,7 1 8,5 2 5
Investment property under construction
14a
1 85,22 5
1 46,48 5
Right-of-use assets
14a
1 5,65 1
17, 1 5 2
Plant, equipment, and owner-occupied property
14b
3,8 1 3
3,8 70
Intangible assets
14c
1, 433
1 ,433
Investment
14d
588
588
3,0 1 4,24 5
2,8 88,0 53
Current assets
Inventories
437
486
Trade and other receivables
16
5,822
4 , 873
Cash and cash equivalents
8,765
9,3 56
1 5,02 4
1 4 , 71 5
Total assets
3,029,2 69
2,90 2,7 68
Current liabilities
Trade and other payables
17
(52,1 09)
(44, 1 53)
Borrowings
19
(3,483)
(3,3 1 7)
Obligations under lease liabilities
21
(1,85 7)
(2,25 3)
(5 7 ,449)
(49, 7 2 3)
Non-current liabilities
Borrowings
19
(389,769)
(3 86,3 7 1)
Obligations under lease liabilities
21
(1 5,222)
(1 6,4 7 4)
Derivative financial instruments
18c
(1,283)
(1,8 30)
(40 6,2 7 4)
(404 ,6 7 5)
Total liabilities
(463, 72 3)
(45 4,398)
Net assets
2,565,546
2,448,3 70
Equity
Share capital
22
1 9,67 1
1 9,62 0
Share premium account
398,44 4
3 9 7, 6 8 6
Reserves
2,1 47 ,43 1
2,03 1,06 4
Equity shareholders’ funds
2,565,546
2,448,3 70
The financial statements were approved by the Board of Directors and authorised for issue on 19 May 2025. They were signed on its behalf by
Jim Gibson John Trotman
Director Director
Company Registration No. 03625199
The accompanying notes on pages 142 to 186 form part of the financial statements.
* two balances have been netted down in the prior year balance sheet, see notes 16 and 17.
Annual Report and Accounts 2025 Big Yellow Group PLC 139
Governance ReportStrategic Report Financial Statements
Share Other non-Capital
Sharepremiumdistributable redemption Retained Own
capitalaccountreservereserveearningsshares Total
£000£000£000£000£000£000£000
At 1 April 2024
1 9,6 20
3 97, 6 8 6
7 4,950
1, 795
1 ,95 5,3 1 6
(997)
2,448,3 70
Total comprehensive income for the year
–
–
–
–
2 01 , 8 9 1
–
2 01 , 8 91
Issue of share capital
51
75 8
–
–
–
–
809
Dividend
–
–
–
–
(88,3 7 9)
–
(88 ,3 7 9)
Use of own shares to satisfy share options
–
–
–
–
(1 98)
19 8
–
Credit to equity for equity-settled
share-based payments
–
–
–
–
2,85 5
–
2,85 5
At 31 March 2025
1 9,67 1
398,44 4
7 4,950
1 ,79 5
2,07 1,485
(799)
2,565,546
The other non-distributable reserve arose in the year ended 31 March 2015 following the placing of 14.35 million ordinary shares.
The issue of share capital is net of expenses.
Year ended 31 March 2024
Share Other non-Capital
Sharepremiumdistributable redemption Retained Own
capitalaccountreservereserveearningsshares Total
£000£000£000£000£000£000£000
At 1 April 2023
18 , 4 27
2 90,8 5 7
7 4,950
1,79 5
1 ,7 9 7, 43 6
(1,0 1 9)
2,1 8 2,446
Total comprehensive income for the year
–
–
–
–
2 3 9,8 33
–
2 39,8 33
Issue of share capital
1, 19 3
1 06,82 9
–
–
–
–
1 08,0 22
Dividend
–
–
–
–
(86,0 1 3)
–
(86,0 1 3)
Use of own shares to satisfy share options
–
–
–
–
(22)
22
–
Credit to equity for equity-settled
share-based payments
–
–
–
–
4,08 2
–
4 ,082
At 31 March 2024
1 9,6 20
3 97, 6 8 6
7 4,950
1, 795
1 ,95 5,3 1 6
(997)
2,448,3 70
The accompanying notes on pages 142 to 186 form part of the financial statements.
Consolidated Statement of Changes in Equity
Year ended 31March 2025
Annual Report and Accounts 2025 Big Yellow Group PLC140
2025 2024
Note£000£000
Cash generated from operations
26
1 34,6 23
1 29,8 2 6
Bank interest paid
(2 1,65 7)
(2 4,06 9)
Interest on obligations under lease liabilities
(55 7)
(5 7 5)
Interest received
14 2
45
Loss of income insurance proceeds
4,047
1,56 1
Tax paid
(2,02 4)
(1,996)
Cash flows from operating activities
114 , 57 4
10 4 , 79 2
Investing activities
Purchase of non-current assets
(58,2 58)
(30,9 1 0)
Disposal of non-current asset
30,59 1
5,400
Insurance proceeds on fit-out
–
4 , 72 2
Cash flows from investing activities
(27 ,667)
(2 0,7 88)
Financing activities
Issue of share capital
809
1 08,022
Payment of lease liabilities
(1,8 16)
(1,8 29)
Equity dividends paid
(88 ,542)
(8 5,2 5 9)
Loan arrangement fees paid
(63 2)
(3,7 5 2)
Increase/(decrease) in borrowings
26b
2,683
(1 00, 1 59)
Cash flows used in financing activities
(87 ,498)
(82,9 77)
Net (decrease)/increase in cash and cash equivalents
(5 91)
1 , 027
Opening cash and cash equivalents
9,356
8 , 329
Closing cash and cash equivalents
8,7 65
9,3 56
The accompanying notes on pages 142 to 186 form part of the financial statements.
Consolidated Cash Flow Statement
Year ended 31 March 2025
Annual Report and Accounts 2025 Big Yellow Group PLC 141
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
1. General information
Big Yellow Group PLC is a Company incorporated in the United Kingdom under the Companies Act 2006, with registration number 03625199,
and limited by shares. The address of the registered office is 2 The Deans, Bridge Road, Bagshot, Surrey, GU19 5AT. The nature of the Group’s
operations and its principal activities are set out in note 4 and in the Strategic Report on pages 18 to 30.
2. Significant accounting policies
Basis of preparation of financial statements
The Group financial statements have been prepared in accordance with UK-adopted international accounting standards.
The Group financial statements consolidate those of the Company and its subsidiaries (together referred to as the “Group”).
The accounting policies adopted are consistent with those of the previous financial year.
The financial statements are presented in Sterling, being the currency of the primary economic environment in which the Group operates.
Unless otherwise stated, figures are rounded to the nearest thousand.
The Company has adopted the following new accounting standards in these financial statements:
Amendments to IAS 1 (Classification of Liabilities as Current or Non-current and Non-current Liabilities with Covenants) from 1 January 2024.
The amendments apply retrospectively. The Amendments clarify certain requirements for determining whether a liability should be classified
as current or non-current and require new disclosures for non-current loan liabilities that are subject to covenants within 12 months after the
reporting period. There has been no material impact on the financial statements of adopting this standard.
Amendments to IFRS 16 (Lease Liability in a Sale and Leaseback) from 1 January 2024. The amendments apply retrospectively.
The Amendments require a seller-lessee to include variable lease payments when it measures a lease liability arising from a sale-and-leaseback
transaction. Subsequent to initial recognition, the seller-lessee is required to apply the general requirements for subsequent accounting of the
lease liability such that it recognises no gain or loss relating to the right of use it retains. There has been no material impact on the financial
statements of adopting this standard.
Amendments to IAS 7 and IFRS 7 (Supplier Finance Arrangements) from 1 January 2024. The amendments introduce new disclosures to help
users of the financial statements to assess the effects of supplier finance arrangements on an entity’s liabilities, cash flows and liquidity risk.
There has been no material impact on the financial statements of adopting this standard.
With the exception of IFRS 18 – Presentation and Disclosure in Financial Statements, new accounting standards, amendments to standards
and IFRIC interpretations which have been published but are not yet effective, were either not relevant or are not expected to have a material
impact on the Group’s results or net assets. IFRS 18 introduces new requirements for the presentation and disclosure of information in financial
statements, pending UK endorsement. The standard will influence how information is reported, particularly in the income statement, and may
also affect the level of detail disclosed in the notes to the financial statements. The Group is currently evaluating the impact of the standard
which applies for accounting periods beginning on, or after, 1 January 2027 and will apply to comparative information.
Annual Report and Accounts 2025 Big Yellow Group PLC142
2. Significant accounting policies continued
Basis of accounting
The financial statements have been prepared on the historical cost basis, except for the revaluation of investment properties and derivative
financial instruments. Historical cost is generally based on the fair value of the consideration given in exchange for the assets. The principal
accounting policies adopted, which have been applied consistently to the results, other gains and losses, assets, liabilities, and cash flows of
entities included in the consolidated financial statements in the current and preceding year, are set out below:
Going concern
A review of the Group’s business activities, together with the factors likely to affect its future development, performance and position are set
out in the Strategic Report. The financial position of the Group, its cash flows, liquidity position and borrowing facilities are shown in the balance
sheet, cash flow statement and accompanying notes to the financial statements. Further information concerning the Group’s objectives, policies,
and processes for managing its capital; its financial risk management objectives; details of its financial instruments and hedging activities; and
its exposures to credit risk and liquidity risk can be found in this Report and in the notes to the financial statements.
At 31 March 2025 the Group had available liquidity of approximately £184 million, from a combination of cash and undrawn bank debt facilities.
The Group additionally has a $225 million credit approved shelf facility with Pricoa Private Capital to be drawn in fixed sterling notes. The Group
can draw the debt in minimum tranches of £10 million with terms of between 7 and 15 years at short notice, typically 10 days. The Group is
cash generative and for the year ended 31 March 2025, had cash flow from operating activities (after net finance costs and pre-working capital
movements) of £111.9 million, with capital commitments at the balance sheet date of £77.5 million. The Group has net current liabilities at the
balance sheet date and draws on its Revolving Credit Facility (current headroom of £175 million) as required, as it is inefficient for the Group to
hold significant amounts of cash.
The Directors have prepared cash flow forecasts for a period of 18 months from the date of approval of these financial statements, taking into
account the Group’s operating plan and budget for the year ending 31 March 2026 and projections contained in the longer-term business plan
which cover the 18 month going concern assessment period. After reviewing these projected cash flows together with the Group’s and Company’s
cash balances, borrowing facilities and covenant requirements, and potential property valuation movements over that period, the Directors
believe that, taking account of severe but plausible downsides, the Group and Company will have sufficient funds to meet their liabilities as they
fall due for that period.
In making their assessment, the Directors have carefully considered the outlook for the Group’s trading performance and cash flows as a result of
the current economic environment, taking into account the trading performance of the Group over the recent dislocations in the global economy
from Covid-19, the Russian invasion of Ukraine and the impact of rising inflation. The Directors have also considered the performance of the
business during the Global Financial Crisis. The Directors modelled several different scenarios, including material reductions in the Group’s
occupancy rates and property valuations, and assessed the impact of these scenarios against the Group’s liquidity and the Group’s banking
covenants. The scenarios considered did not lead to breaching any of the banking covenants, and the Group retained sufficient liquidity to meet
its financial obligations as they fall due.
Consequently, the Directors continue to adopt the going concern basis in preparing the Group and Company financial statements.
Annual Report and Accounts 2025 Big Yellow Group PLC 143
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
2. Significant accounting policies continued
Basis of consolidation
The consolidated financial statements incorporate the financial statements of the Company and entities controlled by the Company made up to
31 March each year. Control is achieved where the Company has the power to direct the relevant activities of an investee entity so as to obtain
benefits from its activities.
The Group consolidates the financial results and balance sheets of Big Yellow Group PLC and all of its subsidiaries at the year-end using
acquisition accounting principles. All intra-group transactions, balances, income, and expenses are eliminated on consolidation.
Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those
used by the Group. The results of subsidiaries acquired or disposed of during the year are included in the statement of comprehensive income
from the effective date of acquisition or up to the effective date of disposal, as appropriate.
The acquisition of subsidiaries is accounted for using the acquisition method. The cost of the acquisition is measured at the aggregate of the
fair values, at the date of exchange, of assets given, liabilities incurred or assumed, and equity instruments issued by the Group in exchange for
control of the acquiree. Any costs directly attributable to the business combination are recognised in the statement of comprehensive income.
The acquiree’s identifiable assets, liabilities and contingent liabilities that meet the conditions for recognition under IFRS 3 are recognised at their
fair value at the acquisition date, except for non-current assets (or disposal groups) that are classified as held for sale in accordance with IFRS 5
Non-Current Assets Held for Sale and Discontinued Operations, which are recognised and measured at the lower of their carrying amount and fair
value less costs to sell (excluding investment property which is measured at fair value).
Intangible assets
Intangible assets acquired in a business combination and recognised separately from goodwill are initially recognised at their fair value at their
acquisition date (which is typically regarded as their cost). Subsequent to their initial recognition, intangible assets with indefinite useful lives
are carried at cost less accumulated impairment losses. Intangible assets with finite useful lives that are acquired separately are carried at cost
less accumulated amortisation and accumulated impairment losses. Amortisation is recognised on a straight line basis over their estimated
useful lives. The estimated useful life and amortisation method are reviewed at the end of each reporting period with the effect of any changes
in estimate being accounted for on a prospective basis.
Annual Report and Accounts 2025 Big Yellow Group PLC144
2. Significant accounting policies continued
Revenue recognition
Revenue represents amounts derived from the provision of services which fall within the Group’s ordinary activities after deduction of trade
discounts and any applicable value added tax. Self storage income is recognised over the period for which the storage room is occupied by the
customer on a straight-line basis. Any future revenue is recognised as deferred income at the balance sheet date. The opening offer discount
of 50% off for up to 8 weeks is spread evenly over the term of the discount period.
Other storage related income comprises:
– packing material sales are recognised at the point of sale, as there is no further ongoing performance obligation beyond the point of sale; and
– enhanced liability service income which is recognised on a straight-line basis over the period a customer occupies their room. The Group
recognises ELS income as a principal, as the ELS contract is between the Group and the customer.
Under the Group’s ELS policy, routine customer claims (with an individual customer limit of £100,000) under the policy are settled by the Group
directly, but in the event of a major loss, the Group has third party insurance in place which will pay the aggregate customer claims to the extent
that they exceed £250,000.
The Group recognises non-storage income, which is principally rental income from tenants of properties awaiting development, on a straight-line
basis over the period in which it is earned.
Borrowings
Interest-bearing loans and overdrafts are initially measured at fair value, net of direct issue costs. Premiums payable on settlement or
redemption and direct issue costs are accounted for on an accruals basis in the statement of comprehensive income using the effective
interest rate method and are added to the carrying value amount of the instrument to the extent that they are not settled in the period in
which they arise. Borrowings are subsequently held at amortised cost.
Finance costs and income
All borrowing costs are recognised in the statement of comprehensive income in the period in which they are incurred, unless the costs are
incurred as part of the development of a qualifying asset, when they will be capitalised. Commencement of capitalisation is the date when the
Group incurs expenditure for the qualifying asset, incurs borrowing costs and undertakes activities that are necessary to prepare the assets for
their intended use when it is probable that they will result in future economic benefits to the entity and the costs can be measured reliably. In the
case of suspension of activities during extended periods, the Group suspends capitalisation. The Group ceases capitalisation of borrowing costs
when substantially all of the activities necessary to prepare the asset for use are complete, typically when a store opens.
Interest income is accrued on a time basis, by reference to the principal outstanding and the effective interest rate applicable, which is the rate
that exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset’s net carrying amount.
The Group classifies finance costs and income as operating cash flow in the cash flow statement.
Annual Report and Accounts 2025 Big Yellow Group PLC 145
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
2. Significant accounting policies continued
Debt modification
A change in debt carried at amortised cost that is considered substantial is accounted for as an extinguishment, which means that the original
debt is derecognised, with any gain or loss recorded in the statement of comprehensive income, and a new financial liability recorded based
on the new terms. If the change is not considered to be substantial (substantial is defined as a change in the net present value of the cash
flows of more than 10%), the original debt remains on the books and any modification gain or loss arising will be recognised in the statement
of comprehensive income.
Operating profit
Operating profit is stated after gains and losses on surplus land, movements on the revaluation of investment properties and before the share of
results of associates, investment income and finance costs.
Taxation
The Group is a REIT and as a result does not pay UK corporation tax on the profits and gains from its qualifying rental business in the UK provided
that it meets certain conditions. Non-qualifying profits and gains of the Group are subject to corporation tax as normal. The tax expense
represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from the net profit as reported in the statement of
comprehensive income because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items
that are never taxable or deductible. The Group’s liability for current tax is calculated using tax rates that have been enacted or substantively
enacted by the balance sheet date.
Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the
financial statements and the corresponding tax bases used in the computation of taxable profit and is accounted for using the balance sheet
liability method. Deferred tax liabilities are generally recognised for taxable temporary differences and deferred tax assets are recognised to the
extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilised. Such assets and
liabilities are not recognised if the temporary differences arise from goodwill or from the initial recognition (other than in a business combination)
of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
Deferred tax liabilities are recognised for taxable temporary differences arising on investments in subsidiaries and associates except where
the Group is able to control the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the
foreseeable future.
The carrying amount of deferred tax assets is reviewed at each balance sheet date and reduced to the extent that it is no longer probable that
sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax is calculated at the tax rates substantively enacted at the balance sheet date that are expected to apply in the period when the
liability is settled, or the asset is realised. Deferred tax is charged or credited in the statement of comprehensive income, except when it relates
to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities,
and when the deferred tax assets and liabilities have been levied by the same taxation authority on either the same taxable entity or different
taxable entities which intend either to settle current tax liabilities on a net basis or to realise the assets and settle the liabilities simultaneously
in each future period in which significant amounts of deferred tax liabilities or assets are expected to be settled or recovered.
Annual Report and Accounts 2025 Big Yellow Group PLC146
2. Significant accounting policies continued
Leases
The Group recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of-use asset is initially measured at
cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, less
any lease incentives received.
The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the
useful life of the right-of-use asset or the end of the lease term. The estimated useful lives of right-of-use assets are determined on the same
basis as those of property and equipment. In addition, the right-of-use asset is periodically reduced by impairment losses, if any, and adjusted
for certain remeasurements of the lease liability.
The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using
the interest rate implicit in the lease, or if that rate cannot be readily determined, the Group’s incremental borrowing rate. Generally, the Group
uses its incremental borrowing rate as the discount rate.
Lease payments included in the measurement of the lease liability comprise the following:
– fixed payments, including in-substance fixed payments;
– variable lease payments that depend on an index or rate, initially measured using the index or rate at the commencement date;
– amounts expected to be payable under a residual value guarantee; and
– the exercise price under a purchase option that the Group is reasonably certain to exercise, lease payments in an optional renewal period if
the Group is reasonably certain to exercise an extension option, and penalties for early termination of a lease unless the Group is reasonably
certain not to terminate early.
The lease liability is measured at amortised cost using the effective interest method. It is remeasured when there is a change in future lease
payments arising from a change in an index or rate, if there is a change in the Group’s estimate of the amount expected to be payable under a
residual value guarantee, or if the Group changes its assessment of whether it will exercise a purchase, extension, or termination option.
Where the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset or is
recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.
Alternative Performance Measures (APMs)
The Group uses a number of APMs to monitor the performance of the business. Adjusted profit before tax and adjusted earnings per share are the
Group’s primary profit measures and reflect underlying profit by excluding capital and non-recurring items such as revaluation movements, gains
or losses on the disposal of properties and the fair value movement of interest derivatives in accordance with EPRA guidelines. In addition, the
Group adjusts for items such as refinancing costs and insurance proceeds on the fit-out of stores.
These adjusted measures should not be considered in isolation from, or as substitutes for, or superior to the financial measures prepared in
accordance with IFRS.
Annual Report and Accounts 2025 Big Yellow Group PLC 147
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
2. Significant accounting policies continued
Plant, equipment, and owner occupied property
All property, plant, and equipment, not classified as investment property, is carried at historic cost less depreciation and any recognised
impairment loss.
Depreciation is charged so as to write off the cost or valuation of assets, other than land and investment properties, less any residual value over
their estimated useful lives, using the straight-line method, on the following bases:
Freehold property 50 years
Leasehold improvements over period of the lease
Plant and machinery 10 years
Motor vehicles 4 years
Fixtures and fittings 5 years
Computer equipment 3 to 5 years
The gain or loss arising on the disposal or retirement of an asset is determined as the difference between the sales proceeds and the carrying
amount of the asset and is recognised in the statement of comprehensive income.
Investment property
The criteria used to distinguish investment property from owner-occupied property is to consider whether the property is held for rental
income and/or for capital appreciation. Where this is the case, the Group recognises these owned or leased properties as investment properties.
Investment property is initially recognised at cost and revalued at the balance sheet date to fair value as determined by professionally qualified
external valuers. In accordance with IAS 40, investment property held as a leasehold is stated gross of the recognised right-of-use liability.
Gains or losses arising from the changes in fair value of investment property are included in the statement of comprehensive income for the
period in which they arise. In accordance with IAS 40, as the Group uses the fair value model, no depreciation is provided in respect of investment
properties including integral plant.
Leasehold properties are classified as investment properties and included in the balance sheet at fair value. The obligation to the lessor for the
buildings element of the leasehold is included in the balance sheet at the present value of the minimum lease payments at inception and is shown
within note 21. Note 21 does also include leases which are not classified as investment properties.
When the Group redevelops an existing investment property for continued future use as investment property, the property remains an
investment property measured at fair value and is not reclassified.
Investment property under construction
Investment property under construction is initially recognised at cost and revalued at the balance sheet date to fair value as determined by
professionally qualified external valuers.
Gains or losses arising from the changes in fair value of investment property under construction are included in the statement of comprehensive
income in the period in which they arise.
Annual Report and Accounts 2025 Big Yellow Group PLC148
2. Significant accounting policies continued
Impairment of assets
At each balance sheet date, the Group reviews the carrying amounts of its assets (excluding investment property and derivative financial
instruments which are carried at fair value) to determine whether there is any indication that those assets have suffered an impairment loss.
If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
The recoverable amount is the higher of an asset’s net selling price and its value-in-use (i.e. the net present value of its future cash flows
discounted at the Group’s average pre-tax interest rate that reflects the borrowing costs and risk for the asset).
Inventories
Inventories, representing the cost of packing materials, are stated at the lower of cost and net realisable value.
Financial instruments
Financial assets and financial liabilities are recognised on the Group’s balance sheet when the Group becomes a party to the contractual
provisions of the instrument. Financial assets at fair value through profit and loss (“FVTPL”) are stated at fair value, with any gains or losses
arising on re-measurement recognised in the statement of comprehensive income. The net gain or loss recognised in the statement of
comprehensive income incorporates any dividend or interest earned on the financial asset and is included in the ‘other gains and losses’ line
item in the statement of comprehensive income.
A – Derivative financial instruments
The Group’s activities expose it primarily to the financial risks of interest rates. The Group uses interest rate swap contracts to hedge these
exposures. The Group does not use derivative financial instruments for speculative purposes. The use of financial derivatives is governed by
the Group’s policies approved by the Board of Directors. The policy in respect of interest rates is to maintain a balance between flexibility and
the hedging of interest rate risk.
Derivatives are initially recognised at fair value and are subsequently reviewed at each balance sheet date. The fair value of interest rate
derivatives at the reporting date is determined by discounting the future cash flows using the forward curves at the reporting date and the
credit risk inherent in the contract.
Changes in the fair value of derivative financial instruments are recognised in the statement of comprehensive income as they arise. The Group
has not adopted hedge accounting.
B – Financial assets
Trade receivables and debt securities issued are initially recognised when they are originated. All other financial assets and financial liabilities
are initially recognised when the Company becomes a party to the contractual provisions of the instrument.
A financial asset (unless it is a trade receivable without a significant financing component) or financial liability is initially measured at fair value
plus, for an item not at FVTPL, transaction costs that are directly attributable to its acquisition or issue. A trade receivable without a significant
financing component is initially measured at the transaction price.
On initial recognition, a financial asset is classified as measured at: amortised cost; FVOCI – debt investment; FVOCI – equity investment;
or FVTPL.
Financial assets are not reclassified subsequent to their initial recognition unless the Company changes its business model for managing
financial assets in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in
the business model.
Annual Report and Accounts 2025 Big Yellow Group PLC 149
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
2. Significant accounting policies continued
A financial asset is measured at amortised cost if it meets both of the following conditions:
– it is held within a business model whose objective is to hold assets to collect contractual cash flows; and
– its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal
amount outstanding.
A debt investment is measured at FVOCI if it meets both of the following conditions:
– it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and
– its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal
amount outstanding.
On initial recognition of an equity investment that is not held for trading, the Company may irrevocably elect to present subsequent changes in
the investment’s fair value in OCI. This election is made on an investment-by-investment basis.
All financial assets not classified as measured at amortised cost or FVOCI as described above are measured at FVTPL. This includes all derivative
financial assets.
Subsequent measurement and gains and losses
Financial assets at FVTPL – these assets (other than derivatives designated as hedging instruments) are subsequently measured at fair value.
Net gains and losses, including any interest or dividend income, are recognised in profit or loss.
Financial assets at amortised cost – these assets are subsequently measured at amortised cost using the effective interest method.
The amortised cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognised in
profit or loss. Any gain or loss on derecognition is recognised in profit or loss.
Debt investments at FVOCI – these assets are subsequently measured at fair value. Interest income calculated using the effective interest
method, foreign exchange gains and losses and impairment are recognised in profit or loss. Other net gains and losses are recognised in OCI.
On derecognition, gains and losses accumulated in OCI are reclassified to profit or loss.
Equity investments at FVOCI – these assets are subsequently measured at fair value. Dividends are recognised as income in profit or loss unless
the dividend clearly represents a recovery of part of the cost of the investment. Other net gains and losses are recognised in OCI and are never
reclassified to profit or loss.
C – Impairment of financial assets
Loss allowances for trade receivables are always measured at an amount equal to lifetime expected credit losses (“ECLs”). When determining
whether the credit risk of a financial asset has increased significantly since initial recognition and when estimating ECLs, the Company
considers reasonable and supportable information that is relevant and available without undue cost or effort. This includes both quantitative
and qualitative information and analysis, based on the Company’s historical experience and informed credit assessment and including
forward-looking information. The Company considers a financial asset to be in default when the borrower is unlikely to pay its credit obligations
to the Company in full.
Annual Report and Accounts 2025 Big Yellow Group PLC150
2. Significant accounting policies continued
Measurement of ECLs
ECLs are a probability-weighted estimate of credit losses. Credit losses are measured as the present value of all cash shortfalls (i.e. the
difference between the cash flows due to the entity in accordance with the contract and the cash flows that the Company expects to receive).
ECLs are discounted at the effective interest rate of the financial asset.
Write-offs
The gross carrying amount of a financial asset is written off (either partially or in full) to the extent that there is no realistic prospect of recovery.
D – Cash and cash equivalents
Cash and cash equivalents comprises cash on hand and demand deposits, and other short-term highly liquid investments that are readily
convertible to a known amount of cash and are subject to an insignificant risk of changes in value. The carrying amounts of these assets
approximate to the fair value.
E – Financial liabilities and equity
Financial instruments issued by the Company are treated as equity only to the extent that they meet the following two conditions:
a) they include no contractual obligations upon the Company to deliver cash or other financial assets or to exchange financial assets or financial
liabilities with another party under conditions that are potentially unfavourable to the Company; and
b) where the instrument will or may be settled in the Company’s own equity instruments, it is either a non-derivative that includes no obligation
to deliver a variable number of the Company’s own equity instruments or is a derivative that will be settled by the Company exchanging a fixed
amount of cash or other financial assets for a fixed number of its own equity instruments.
To the extent that this definition is not met, the proceeds of issue are classified as a financial liability. Where the instrument so classified takes
the legal form of the Company’s own shares, the amounts presented in these financial statements for called up share capital and share premium
account exclude amounts in relation to those shares.
Financial liabilities are classified as measured at amortised cost or FVTPL. A financial liability is classified as at FVTPL if it is classified as
held-for-trading, it is a derivative or it is designated as such on initial recognition. Financial liabilities at FVTPL are measured at fair value and
net gains and losses, including any interest expense, are recognised in profit or loss. Other financial liabilities are subsequently measured at
amortised cost using the effective interest method. Interest expense and foreign exchange gains and losses are recognised in profit or loss.
Any gain or loss on derecognition is also recognised in profit or loss.
Retirement benefit costs
Pension costs represent contributions payable to defined contribution schemes and are charged as an expense to the statement of
comprehensive income as they fall due. The assets of the schemes are held separately from those of the Group.
Annual Report and Accounts 2025 Big Yellow Group PLC 151
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
2. Significant accounting policies continued
Share-based payments
The Group issues equity-settled share-based payments to certain employees. These are measured at fair value at the date of grant. The fair
value determined at the grant date of the share-based payment is expensed on a straight-line basis over the vesting period, based on the Group’s
estimate of shares that will eventually vest.
Fair value is measured by use of the Black-Scholes model and excludes the effect of non-market-based vesting conditions. The expected life
used in the model has been adjusted, based on management’s best estimate, for the effects of non-transferability, exercise restrictions, and
behavioural considerations. At each balance sheet date, the Group revises its estimate of the number of equity instruments expected to vest
as a result of the effect of non-market-based vesting conditions. The impact of the revision of the original estimates, if any, is recovered in the
statement of comprehensive income such that the cumulative expense reflects the revised estimate with a corresponding adjustment to
equity reserves.
For cash-settled share-based payments, a liability is recognised for the goods or services acquired, measured initially at the fair value of the
liability. At each balance sheet date until the liability is settled, and at the date of settlement, the fair value of the liability is re-measured, with
any changes in fair value recognised in the statement of comprehensive income for the year.
Climate change
In preparing the financial statements, the Directors have considered the impact of climate change, particularly in the context of the climate
change risks identified in the Sustainability section of the Strategic Report and the Group’s stated target of a 70% reduction in Scope 1 and 2
emissions against the 2019/20 baseline by 2032. These considerations did not have a material impact on the financial reporting judgements
and estimates in the current year. This reflects the conclusion that climate change is not expected to have a significant impact on the Group’s
short-term or medium-term cash flows including those considered in the going concern and viability assessments, the valuation of the Group’s
investment property portfolio, the carrying value of non-current assets and the estimates of future profitability used in our assessment of the
recoverability of deferred tax assets.
Critical accounting estimates and judgements
In the application of the Group’s accounting policies, which are described above, the Directors are required to make judgements, estimates
and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and
associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ
from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in
which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both
current and future periods.
Estimate of fair value of Investment Properties and Investment Property under Construction (critical accounting estimate)
The Group’s self storage centres and stores under development are valued using a discounted cash flow methodology which is based on
projections of net operating income. The Group employs expert external valuers, JLL, who report on the values of the Group’s stores on an annual
basis. The principal assumptions underlying the estimation of the fair value are those related to: stabilised occupancy levels; expected future
growth in storage rents; capitalisation rates; and discount rates. For investment property under construction, the Group estimates the total
costs to complete the construction of each store based on its latest assessment of costs for each development, which is based off the most
recent market evidence the Group obtains from tender returns and discussion with key suppliers. JLL also consider climate change in their
valuations, and the impacts that this could have on each of the Group’s investment properties. A more detailed explanation of the background
and methodology adopted in the valuation of the Group’s investment properties is set out in note 15 to the financial statements.
The Directors have also considered a number of other judgements made in the preparation of the financial statements. The Directors have
concluded that there are not significant levels of judgements involved.
Annual Report and Accounts 2025 Big Yellow Group PLC152
3. Revenue
Analysis of the Group’s operating revenue can be found below and in the Portfolio Summary on page 31.
2025 2024
£000 £000
Open stores
Self storage income
17 7, 823
173,147
Enhanced liability service income
18,563
17, 64 9
Packing materials income
2,815
2,854
Other income from storage customers
2,285
2,051
Ancillary store rental income
1,638
1,411
Total store revenue
203,124
19 7, 112
Non-storage income
1,371
2,507
Total revenue
204,495
199,619
Non-storage income derives principally from rental income earned from tenants of properties awaiting development.
The Group has also earned other income of £4.0 million in the year (2024: £6.5 million). This relates to insurance proceeds for loss of income
following the destruction of the Group’s Cheadle store by fire in 2022, with the claim having been settled with the insurers in the current
year (2024: £1.8 million). This has been included in the Group’s adjusted profit before tax for the year as it is current period earnings, and the
income the insurance proceeds are replacing would have also been included in the Group’s adjusted profit before tax for the year. The balance
of £4.7 million in the prior year is the insurance proceeds for the fit-out of the Cheadle store.
The Group has considered IFRS 17 in respect of our sale of the Enhanced Liability Service, and concluded any impact from IFRS 17 would
be immaterial.
4. Segmental information
IFRS 8 requires operating segments to be identified on the basis of internal reports about components of the Group that are regularly reviewed by
the Chief Executive to allocate resources to the segments and to assess their performance. Given the nature of the Group’s business, there is one
segment, which is the provision of self storage and related services.
Revenue represents amounts derived from the provision of self storage and related services which fall within the Group's ordinary activities after
deduction of trade discounts and value added tax. The Group’s non-current assets, revenue and profit before tax are attributable to one activity,
the provision of self storage and related services. These all arise in the United Kingdom in the current year and prior year.
Annual Report and Accounts 2025 Big Yellow Group PLC 153
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
5. Profit for the year
a) Profit for the year has been arrived at after charging/(crediting):
2025 2024
Note £000 £000
Depreciation of plant, equipment, and owner-occupied property
14b
837
864
Depreciation of interest in leasehold properties
1,624
1,707
Gain on the revaluation of investment property
(79,667)
(131,159)
Cost of inventories recognised as an expense
1,310
1,411
Employee costs
6
25,826
25,250
b) Analysis of auditor’s remuneration:
2025 2024
£000 £000
Fees payable to the Company’s auditor for the audit of the Company’s annual accounts
587
539
Fess payable to the Company’s auditor for the subsidiaries’ annual accounts
54
54
Total audit fees
641
593
Audit related assurance services – interim review
65
64
Total non-audit fees
65
64
Total audit and non-audit fees paid to KPMG LLP
706
657
6. Employee costs
The average monthly number of full-time equivalent employees (including Executive Directors) was:
2025 2024
Number Number
Sales
396
402
Administration
63
62
459
464
At 31 March 2025 the total number of Group employees was 485 (2024: 503). The average number of employees for the year was 496
(2024: 504).
2025 2024
£000 £000
Their aggregate remuneration comprised:
Wages and salaries
19,138
18,647
Social security costs
2,981
1,692
Other pension costs
852
829
Share-based payments
2,855
4,082
25,826
25,250
Details of Directors’ Remuneration is given on pages 96 to 119. The Directors are the employees assessed as key management personnel.
Annual Report and Accounts 2025 Big Yellow Group PLC154
7. Investment income
2025 2024
£000 £000
Bank interest receivable
161
45
Fair value movement on derivatives
547
–
Total investment income
708
45
8. Finance costs
2025 2024
£000 £000
Interest on bank borrowings
23,269
25,624
Capitalised interest
(7,898)
(3,254)
Interest on obligations under lease liabilities
557
575
Other interest payable
–
1
Total interest payable
15,928
22,946
Fair value movement on derivatives
–
2,146
Total finance costs
15,928
25,092
Annual Report and Accounts 2025 Big Yellow Group PLC 155
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
9. Taxation
As a REIT, the Group does not pay UK corporation tax on the profits and gains from its qualifying rental business in the UK provided that it meets
certain conditions. Non-qualifying profits and gains of the Group are subject to corporation tax as normal. The Group monitors its compliance with
the REIT conditions. There have been no breaches of the conditions to date.
2025 2024
UK current tax £000 £000
–
Current year
2,504
2,270
–
Prior year
(541)
(1,068)
1,963
1,202
A reconciliation of the tax charge is shown below:
2025 2024
£000 £000
Profit before tax
203,854
241,035
Tax charge at 25% (2024 – 25%) thereon
50,964
60,259
Effects of:
Revaluation of investment properties
(19,917)
(32,790)
Other permanent differences
(8)
111
Utilisation of brought forward losses
–
(284)
Profits from the tax-exempt business
(28,535)
(25,026)
Current year tax charge
2,504
2,270
Prior year adjustment
(541)
(1,068)
Total tax charge
1,963
1,202
The prior year adjustment arose due to prudent assumptions made during the assessment of the corporation tax provision for the prior year
accounts. On completion of the tax computations for the year, the actual charge for the year ended 31 March 2024 was £0.5 million lower than
had been provided in the accounts (2024: £1.1 million lower).
At 31 March 2025 the Group has unutilised tax losses from the non-REIT taxable business of £34.2 million (2024: £33.1 million) available for
offset against certain types of future taxable profits. All losses can be carried forward indefinitely. The losses have not been recognised as a
deferred tax asset, as there is no certainty over their future use.
10. Adjusted profit
2025 2024
£000 £000
Profit before tax
203,854
241,035
Gain on revaluation of investment properties
(79,667)
(131,159)
Gain on disposal of non-current asset
(8,754)
–
Change in fair value of interest rate derivatives
(547)
2,146
EPRA adjusted profit before tax
114,886
112,022
Cheadle fit-out insurance proceeds
–
(4,723)
Costs associated with closure of Slough leasehold store
694
–
Adjusted profit before tax
115,580
107,299
Tax
(1,963)
(1,202)
Adjusted profit after tax
113,617
106,097
Adjusted profit before tax which excludes gains and losses on the revaluation of investment properties, changes in fair value of interest rate
derivatives, net gains and losses on disposal of investment property, and material non-recurring items of income and expenditure have been
disclosed as, in the Board’s view, this provides a clearer understanding of the Group’s underlying trading performance.
Annual Report and Accounts 2025 Big Yellow Group PLC156
11. Dividends
2025 2024
£000 £000
Amounts recognised as distributions to equity holders in the year:
Final dividend for the year ended 31 March 2024 of 22.6p (2023: 22.9p) per share.
44,135
41,939
Interim dividend for the year ended 31 March 2025 of 22.6p (2024: 22.6p) per share.
44,244
44,074
88,379
86,013
Proposed final dividend for the year ended 31 March 2025 of 2 3.8p (2024: 22.6p) per share.
46,608
44,135
Subject to approval by shareholders at the Annual General Meeting to be held on 17 July 2025, the final dividend will be paid on 25 July 2025.
The ex-div date is 3 July 2025 and the record date is 4 July 2025.
The Property Income Distribution (“PID”) payable for the year is 46.4 pence per share (2024: 45.2 pence per share).
12. Earnings per share
Year ended 31 March 2025
Year ended 31 March 2024
Earnings Shares Pence per Earnings Shares Pence per
£m million share £m million share
Basic
201.9
195.6
103.2
239.8
188.7
127. 1
Dilutive share options
–
0.8
(0.4)
–
1.1
(0.7)
Diluted
201.9
196.4
102.8
239.8
189.8
126.4
Adjustments:
Gain on revaluation of investment properties
(79.7)
–
(40.6)
(131.2)
–
(69.1)
Gain on disposal of non-current asset
(8.7)
–
(4.5)
–
–
–
Change in fair value of interest rate derivatives
(0.6)
–
(0.3)
2.2
–
1.1
EPRA earnings
112.9
196.4
57. 4
110.8
189.8
58.4
Cheadle fit-out insurance proceeds
–
–
–
(4.7)
–
(2.5)
Costs associated with closure of Slough leasehold store
0.7
–
0.4
–
–
–
Adjusted – diluted
113.6
196.4
57. 8
106.1
189.8
55.9
Adjusted – basic
113.6
195.6
58.1
106.1
188.7
56.2
The calculation of basic earnings is based on profit after tax for the year. The weighted average number of shares used to calculate diluted
earnings per share has been adjusted for the conversion of share options.
EPRA earnings and adjusted earnings per ordinary share have been disclosed to give a clearer understanding of the Group’s underlying
trading performance.
Annual Report and Accounts 2025 Big Yellow Group PLC 157
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
13. Net assets per share
EPRA’s Best Practices Recommendations guidelines for Net Asset Value (NAV) metrics are EPRA Net Tangible Assets (NTA), EPRA Net
Reinstatement Value (NRV) and EPRA Net Disposal Value (NDV).
EPRA NTA is considered to be most consistent with the nature of Big Yellow’s business which provides sustainable long-term progressive returns.
EPRA NTA is shown in the table below. This measure is further adjusted by the adjustment the Group makes for purchaser’s costs, which is the
Group’s Adjusted Net Asset Value (or Adjusted NAV).
Net assets per share are equity shareholders’ funds divided by the number of shares at the year end. The shares currently held in the Group’s
Employee Benefit Trust are excluded from both net assets and the number of shares. Adjusted net assets per share include the effect of those
shares issuable under employee share option schemes and the effect of alternative valuation methodology assumptions (see note 15).
Year ended 31 March 2025
Year ended 31 March 2024
Equity Equity
attributable attributable
to ordinary to ordinary
shareholders Shares Pence per share shareholders Shares Pence per share
£000 £000 £000 £000 £000 £000
Basic NAV
2,565,546
195,833,336
1,310.1
2,448,370
195,096,601
1,255.0
Share and save as you earn schemes
584
2,022,198
(13.6)
2,019
2,515,556
(15.0)
Diluted NAV
2,566,130
197,855,534
1,297.0
2,450,389
197,612,157
1,240.0
Fair value of derivatives
1,283
–
0.6
1,830
–
0.9
Intangible assets
(1,433)
–
(0.7)
(1,433)
–
(0.7)
EPRA NTA
2,565,980
197,855,534
1,296.9
2,450,786
197,612,157
1,240.2
Valuation methodology assumption (see note 15) (£000)
116,110
–
58.7
111,095
–
56.2
Adjusted NAV
2,682,090
197,855,534
1,355.6
2,561,881
197,612,157
1,296.4
Annual Report and Accounts 2025 Big Yellow Group PLC158
14. Non-current assets
a) Investment property, investment property under construction and right-of-use assets
Investment
Investment property under Right-of-use
property construction assets Total
£000 £000 £000 £000
At 31 March 2023
2,449,640
260,720
18,148
2,728,508
Additions
13,705
15,126
604
29,435
Transfer on opening
115,166
(115,166)
–
–
Reclassification from plant, equipment and owner-occupied property
–
60
–
60
Disposal
(5,400)
–
–
(5,400)
Revaluation
145,414
(14,255)
–
131,159
Depreciation
–
–
(1,600)
(1,600)
At 31 March 2024
2,718,525
146,485
17, 15 2
2,882,162
Additions
14, 955
55,280
101
70,336
Transfer on opening
17, 39 4
(17,394)
–
–
Disposal
(22,152)
–
(112)
(22,264)
Revaluation (see note 15)
78,813
854
–
79,667
Depreciation
–
–
(1,490)
(1,490)
At 31 March 2025
2,807,535
185,225
15,651
3,008,411
The right-of-use assets represent the present value of minimum lease payments for leasehold properties that meet the definition of IAS 40
and are accounted for as investment properties – see note 21 for further details of the obligations under lease liabilities. The fair value of the
leasehold properties (including long leaseholds), on which the Group pays rent, of £72.3 million (2024: £78.4 million) is included within the
investment property total.
The transfer on opening during the year is our Slough Farnham Road store moving from investment property under construction to
investment property.
The disposal in the prior year is the proceeds from a land swap transaction at our Kings Cross store realising the Group £5.4 million. The disposal
of investment property in the current year was the sale of land adjacent to our Battersea store for £30.9 million for residential development.
The gain on disposal of non-current assets is shown in the comprehensive statement of income and has been excluded from the Group’s adjusted
profit before tax for the year.
The income from self storage accommodation earned by the Group from its investment property is disclosed in note 3. Direct operating expenses,
which are all applied to generating rental income, arising on the investment property in the year are disclosed in the Portfolio Summary on
page 31. Included within additions is £7.9 million of capitalised interest (2024: £3.3 million), calculated at the Group’s average borrowing cost
for the year of 5.7%. 96 of the Group’s investment properties are pledged as security for loans, with a total external value of £2.39 billion.
The difference between additions to investment property above and the purchase of non-current assets in the cash flow statement is principally
due to capitalised interest of £7,898,000 and payables relating to our construction programme at the balance sheet date of £4,104,000.
Annual Report and Accounts 2025 Big Yellow Group PLC 159
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
14. Non-current assets continued
b) Plant, equipment, and owner-occupied property
Fixtures, fittings
Freehold Leasehold Plant and Motor & office Right of use
property improvements machinery vehicles equipment assets Total
£000 £000 £000 £000 £000 £000 £000
Cost
At 31 March 2023
2,406
59
647
32
1,691
875
5 ,710
Reclassification to investment property
under construction
(60)
–
–
–
–
–
(60)
Retirement of fully depreciated assets
–
–
(133)
–
(686)
–
(819)
Additions
23
–
255
–
516
131
925
At 31 March 2024
2,369
59
769
32
1, 521
1,006
5,756
Retirement of fully depreciated assets
–
–
(98)
(32)
(560)
–
(690)
Additions
80
–
79
40
722
–
921
Disposals
–
–
(7)
–
(15)
–
(22)
At 31 March 2025
2,449
59
743
40
1,668
1,006
5,965
Depreciation
At 31 March 2023
(682)
(20)
(210)
(32)
(340)
(423)
(1,707)
Retirement of fully depreciated assets
–
–
133
–
686
–
819
Charge for the year
(50)
(4)
(181)
–
(629)
(134)
(998)
At 31 March 2024
(732)
(24)
(258)
(32)
(283)
(557)
(1,886)
Retirement of fully depreciated assets
–
–
98
32
560
–
690
Charge for the year
(51)
(3)
(176)
(6)
(601)
(134)
(971)
Disposals
–
–
4
–
11
–
15
At 31 March 2025
(783)
(27)
(332)
(6)
(313)
(691)
(2,152)
Net book value
At 31 March 2025
1,666
32
411
34
1,355
315
3,813
At 31 March 2024
1,637
35
511
–
1,238
449
3,870
c) Intangible assets
The intangible asset relates to the Big Yellow brand, which was acquired through the acquisition of Big Yellow Self Storage Company Limited in
1999. The carrying value remains unchanged from the prior year as there is considered to be no impairment in the value of the asset. The asset
has an indefinite life and is tested annually for impairment or more frequently if there are indicators of impairment.
d) Investment
The Group has a £0.6 million investment in Doncaster Security Operations Centre Limited, a company which provides out-of-hours monitoring and
alarm receiving services, including for the Group’s stores. The investment is carried at cost and tested annually for impairment.
Annual Report and Accounts 2025 Big Yellow Group PLC160
15. Valuation of investment property
Revaluation on
Deemed cost deemed cost Valuation
£000 £000 £000
Freehold (including long leasehold)
At 31 March 2024
1,078,305
1,608,045
2,686,350
Transfer from investment property under construction
18,681
(1,287)
17, 39 4
Disposals
(22,152)
–
(22,152)
Movement in year
14,741
88,302
103,043
At 31 March 2025
1,089,575
1,695,060
2,784,635
Leasehold
At 31 March 2024
20,898
11,277
32,175
Movement in year
214
(9,489)
(9,275)
At 31 March 2025
21,112
1,788
22,900
Total investment property
At 31 March 2024
1,099,203
1,619,322
2,718,525
Transfer from investment property under construction
18,681
(1,287)
17, 39 4
Disposals
(22,152)
–
(22,152)
Movement in year
14, 955
78,813
93,768
At 31 March 2025
1,110,687
1,696,848
2,807,535
Investment property under construction
At 31 March 2024
178,761
(32,276)
146,485
Transfer to investment property
(18,681)
1,287
(17,394)
Movement in year
55,280
854
56,134
At 31 March 2025
215,360
(30,135)
185,225
Valuation of all investment property
At 31 March 2024
1,277,964
1,587,046
2,865,010
Disposals
(22,152)
–
(22,152)
Movement in year
70,235
79,667
149,902
At 31 March 2025
1,326,047
1,666,713
2,992,760
The Group has classified the fair value investment property and the investment property under construction within Level 3 of the fair value
hierarchy. There has been no transfer to or from Level 3 in the year.
The Group’s freehold and leasehold investment properties have been valued at 31 March 2025 by external valuers, Jones Lang LaSalle (“JLL”).
The Valuation has been prepared in accordance with the version of the RICS Valuation – Global Standards (incorporating the International
Valuation Standards) and the UK national supplement (“the Red Book”) current as at the valuation date. The valuation of each of the investment
properties and the investment properties under construction has been prepared on the basis of either Fair Value or Fair Value as a fully equipped
operational entity, having regard to trading potential, as appropriate.
The valuation has been provided for financial reporting purposes and as such, is a Regulated Purpose Valuation as defined in the Red Book.
In compliance with the disclosure requirements of the Red Book, JLL have confirmed that:
– this is JLL’s fourth annual valuation for these purposes on behalf of the Group;
– JLL do not provide other significant professional or agency services to the Group;
– in relation to the preceding financial year of JLL, the proportion of the total fees payable by the Group to the total fee income of the firm is less
than 5%; and
– the fee payable to JLL is a fixed amount per asset and is not contingent on the appraised value.
Annual Report and Accounts 2025 Big Yellow Group PLC 161
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
15. Valuation of investment property continued
The self storage properties have been valued on the basis of Fair Value as fully equipped operational entities, having regard to trading potential.
Due to the specialised nature and use of the buildings the approach is to adopt a profits method of valuation in an explicit Discounted Cash Flow
calculation and then consider the results in the context of recent comparable evidence of transactions in the sector.
The profits method requires an estimate of the future cash flow that can be generated from the use of the building as a self storage facility,
assuming a reasonably efficient operator. Judgements are made as to the trading potential and likely long term sustainable occupancy.
Stable occupancy depends upon the nature of demand, size of property and nearby competition, and allows for a reasonable vacancy rate to
enable the operator to sell units to new customers. The cash flow runs for an explicit period of 10 years, after which it is capitalised at an all
risks yield which reflects the implicit future growth of the business, or a hypothetical sale. This is a valuer’s shortcut: maintaining the cash flow
into perpetuity would provide the same result. The comparison with recent transactions requires the evidence to be considered in terms of the
multiple on net operating profit (or EBITDA/EBITDAR), value per square foot, yield profile etc and then adjusted to reflect differences in location,
building factors, tenure, trading maturity and trading risk.
This mirrors the typical approach of purchasers in the self storage market. However, in view of the relatively limited availability of comparable
market evidence this requires a degree of valuer judgment. In particular, most of the transactions have comprised share sales due to the nature
of the asset class and the terms of those transactions have mostly been kept confidential between the parties.
Portfolio Premium
JLL’s valuation report confirms that the properties have been valued individually but that if the portfolio was to be sold as a single lot or in
selected groups of properties, the total value could differ. JLL state that in current market conditions they are of the view that there could be
a portfolio premium.
Assumptions
A. Net operating income is based on projected revenue received less projected operating costs, which include a management fee to take
account of central/head office costs. The initial net operating income is calculated by estimating the net operating income in the first
12 months following the valuation date.
B. The net operating income in future years is calculated assuming either straight-line absorption from day one actual occupancy or
variable absorption over years one to five of the cash flow period, to an estimated stabilised/mature occupancy level. In the valuation
the assumed stabilised occupancy level for the 109 trading stores (both freeholds and leaseholds) open at 31 March 2025 averages 87%
(31 March 2024: 88%). The projected revenues and costs have been adjusted for estimated cost inflation and revenue growth.
C. The future rental growth incorporated into the valuation averages 2.3% per annum (2024: 2.5% per annum).
D. The capitalisation rates applied to existing and future net cash flow have been estimated by reference to underlying yields for asset types
such as industrial, distribution and retail warehousing, yields for other trading property types such as student housing and hotels, bank
base rates, ten-year money rates, inflation and the available evidence of transactions in the sector. The valuation included in the accounts
assumes rental growth in future periods. The net initial yield for the 109 stores is 5.0% (31 March 2024: 5.2%). The weighted average exit
capitalisation rate adopted (for both freeholds and leaseholds) is 5.2% (31 March 2024: 5.4%).
E. The future net cash flow projections (including revenue growth and cost inflation) have been discounted at a rate that reflects
the risk associated with each asset. The weighted average annual discount rate adopted (for both freeholds and leaseholds) is
6.7% (31 March 2024: 7.1%).
F. Purchaser’s costs of 6.8% have been adopted reflecting current progressive Stamp Duty Land Tax rates.
Short leasehold
The same methodology has been used as for freeholds, but the exit capitalisation rate is adjusted to reflect the unexpired lease term at exit.
The average unexpired term of the Group’s five short leasehold properties is 11.4 years (31 March 2024: 10.4 years unexpired).
Annual Report and Accounts 2025 Big Yellow Group PLC162
15. Valuation of investment property continued
Sensitivities
As noted in ‘Significant judgements and key estimates’ on page 152, self storage valuations are complex, derived from data which is not widely
publicly available and involve a degree of judgement. For these reasons we have classified the valuations of our property portfolio as Level 3
as defined by IFRS 13. Inputs to the valuations, some of which are ‘unobservable’ as defined by IFRS 13, include capitalisation yields, stable
occupancy rates, and rental growth rates. The existence of an increase of more than one unobservable input would augment the impact on
valuation. The impact on the valuation could be mitigated by the inter-relationship between unobservable inputs moving in opposite directions.
For example, an increase in stable occupancy may be offset by an increase in yield, resulting in no net impact on the valuation. A sensitivity
analysis showing the impact on the investment property valuation of changes in yields and stable occupancy is shown below:
Impact of a change in Impact of a change in stabilised
capitalisation rates occupancy assumption
25 bps decrease
25 bps increase
1% increase
1% decrease
2025
4.9%
(4.5%)
1.0%
(1.1%)
2024
4.8%
(4.4%)
0.9%
(1.0%)
A sensitivity analysis has not been provided for a change in the rental growth rate adopted as there is a relationship between this measure and
the discount rate adopted. So, in theory, an increase in the rental growth rate could give rise to a corresponding increase in the discount rate and
the resulting value impact would be limited.
Investment properties under construction
JLL have valued the stores in development adopting the same methodology as set out above but on the basis of the cash flow projection
expected for the store at opening and after allowing for the outstanding costs to take each scheme from its current state to completion and full
fit-out. JLL have allowed for holding costs and construction contingency, as appropriate. Three of the schemes valued do not yet have planning
consent and JLL have reflected the planning risk in their valuation. The cost to complete for the investment property under construction amounts
to £218.2 million (2024: £214.4 million).
Valuation assumption for purchaser’s costs
The Group’s investment property assets have been valued for the purposes of the financial statements after deducting notional weighted
average purchaser’s cost of 6.8% on the net value, as if they were sold directly as property assets. The valuation is an asset valuation which
is entirely linked to the operating performance of the business. The assets would have to be sold with the benefit of operational contracts,
employment contracts and customer contracts, which would be very difficult to achieve except in a corporate structure. This approach follows
the logic of the valuation methodology in that the valuation is based on a capitalisation of the net operating income after allowing a deduction
for operational cost and an allowance for central administration costs. Sale in a corporate structure would result in a reduction in the assumed
Stamp Duty Land Tax but an increase in other transaction costs reflecting additional due diligence resulting in a reduced notional purchaser’s
cost of 2.75% of gross value. All the significant sized transactions that have been concluded in the UK in recent years were completed in a
corporate structure. The Group therefore instructed JLL to carry out an additional valuation on the above basis, and this results in a higher
property valuation at 31 March 2025 of £3,108.9 million (£116.1 million higher than the value recorded in the financial statements) translating
to 58.7 pence per share. We have included this revised valuation in the adjusted diluted net asset calculation (see note 13).
Valuer rotation
On 19 October 2023 the RICS published guidelines on a new time-limited, mandatory rotation cycle for regulated purposes valuations. Rules are
effective from 1 May 2024, and require, after a two-year transition period, a valuation firm to be rotated after 10 consecutive years of valuing
a given asset. These guidelines match our existing voluntary policy of 10 yearly valuation rotation, therefore our planned valuer rotation cycle
remains unchanged.
Annual Report and Accounts 2025 Big Yellow Group PLC 163
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
16. Trade and other receivables
31 March 31 March
2025 2024*
£000 £000
Current
Trade receivables
1,580
1,007
Other receivables
505
312
Prepayments and accrued income
3,737
3,554
5,822
4,873
* – the prior year trade receivables balance has been reduced by £5,243,000 with an equal adjustment to deferred income to remove amounts that relate to post year end activity.
Trade receivables are net of a bad debt provision of £622,000 (2024: £579,000). The Directors consider that the carrying amount of trade and
other receivables approximates their fair value.
Trade receivables
The Group does not typically offer credit terms to its customers, requiring them to pay in advance of their storage period and hence the Group
is not exposed to significant credit risk. A late charge of 10% is applied to a customer’s account if they are more than 10 days overdue in their
payment. The Group provides for receivables on a specific basis. There is a right of lien over the customers’ goods, so if they have not paid within
a certain time frame, we have the right to sell the items they store to recoup the debt owed. Trade receivables that are overdue are provided for
based on estimated irrecoverable amounts determined by reference to past default experience.
For individual storage customers, the Group does not perform credit checks, however this is mitigated by the fact that these customers are
required to pay in advance, and also to pay a deposit ranging from one week to four weeks’ storage income. Before accepting a new national
customer, the Group uses an external credit rating to assess the potential customer’s credit quality and defines credit limits by customer.
There are no customers who represent more than 5% of the total balance of trade receivables.
Included in the Group’s trade receivables balance are debtors with a carrying amount of £771,000 (2024: £782,000) which are past due at
the reporting date for which the Group has not provided as there has not been a significant change in credit quality and the amounts are still
considered recoverable. The average age of these receivables is 15 days past due (2024: 18 days past due).
The creation and release of credit loss allowances have been included in cost of sales in the income statement.
The Group measures the loss allowance for the trade receivables at an amount equal to lifetime expected credit loss. The expected credit losses
on trade receivables are estimated using a provision matrix by reference to past default experience of the debtor.
The Group writes off a trade receivable when there is information indicating that the debtors are in severe financial difficulty and there is no
realistic prospect of recovery, e.g. when the debtor has been placed under liquidation or has entered into bankruptcy proceedings.
The following table details the risk profile of trade receivables based on the Group’s provision matrix:
Annual Report and Accounts 2025 Big Yellow Group PLC164
16. Trade and other receivables continued
Year ended 31 March 2025
Not past due
<31 days
31-45 days
>45 days
Total
Expected credit loss rate (%)
2.0%
33.5%
34.7%
50.0%
28.2%
Gross carrying amount (£000)
814
468
72
848
2,202
Lifetime ECL (£000)
(16)
(157)
(25)
(424)
(622)
Net trade receivables at 31 March 2025
798
311
47
424
1,580
Year ended 31 March 2024
Not past due
<31 days
31-45 days
>45 days
Total
Expected credit loss rate (%)
3.3%
43.3%
25.4%
52.8%
36.5%
Gross carrying amount (£000)
(restated)
457
155
63
911
1,586
Lifetime ECL (£000)
(15)
(67)
(16)
(481)
(579)
Net trade receivables at 31 March 2024
442
88
47
430
1,007
The above balances are short term and therefore the difference between the book value and the fair value is not significant. Consequently, these
have not been discounted.
Movement in the credit loss allowance
2025 2024
£000 £000
Balance at the beginning of the year
579
1,070
Amounts provided/(released) in year
326
(192)
Amounts written off as uncollectible
(283)
(299)
Balance at the end of the year
622
579
The concentration of credit risk is limited due to the customer base being large and unrelated. Accordingly, the Directors believe that there is no
further credit provision required in excess of the credit loss allowance.
17. Trade and other payables
31 March 2025 31 March 2024*
£000 £000
Current
Trade payables
9,006
2,437
Other payables
14,624
18,166
Accruals and deferred income
28,479
23,550
52,109
44,153
* – the prior year deferred income balance has been reduced by £5,243,000 with an equal adjustment to trade receivables to remove amounts that relate to post year end activity.
The Group has financial risk management policies in place to ensure that all payables are paid within the credit terms. The Directors consider the
carrying amount of trade and other payables and accruals and deferred income approximates fair value. The main items within other payables are
VAT, customer deposits and withholding tax on the PID.
The Group invoices its customers in advance, and hence any deferred income balance primarily relates to amounts paid by customers for
rental periods beyond the balance sheet date. The Group’s deferred income balance at 31 March 2025 was £13.1 million, an increase of 5% from
31 March 2024 (£12.5 million).
Within trade payables is £4,104,000 of invoices relating to the Group’s construction programme (2024: £394,000).
Annual Report and Accounts 2025 Big Yellow Group PLC 165
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
18. Financial instruments
The Group manages its capital to ensure that entities in the Group will be able to continue as going concerns while maximising the return to
stakeholders through the optimisation of the debt and equity balance. The capital structure of the Group consists of debt, which includes the
borrowings disclosed in note 19, cash and cash equivalents and equity attributable to equity holders of the parent, comprising issued capital,
reserves and retained earnings.
With the exception of derivative instruments which are classified as a financial liability at fair value through the statement of comprehensive
income, financial liabilities are categorised under amortised cost. The Group has the following classes of financial assets:
– Trade and other receivables – trade receivables are initially recognised at transaction price. Other receivables are initially recognised at
fair value. Subsequently these assets are measured at amortised cost using the effective interest method, less provision for expected
credit losses.
– Cash and cash equivalents – cash and cash equivalents represent only liquid assets with maturity of 90 days or less. Bank overdrafts
that cannot be offset against other cash balances are shown with borrowings in current liabilities on the balance sheet. Cash and cash
equivalents are also classified as amortised cost. They are subsequently measured at amortised cost. Cash and cash equivalents include
cash in hand, deposits at call with banks, and other short term highly liquid investments with original maturities of three months or less.
Exposure to credit and interest rate risks arise in the normal course of the Group’s business. Derivative financial instruments are used to manage
exposure to fluctuations in interest rates but are not employed for speculative purposes.
A. Balance sheet management
The Group’s Board reviews the capital structure on an ongoing basis. As part of this review, the Board considers the cost of capital and the risks
associated with each class of capital. The Group seeks to have a conservative gearing ratio (the proportion of net debt to equity). The Board
considers at each review the appropriateness of the current ratio in light of the above. The Board is currently satisfied with the Group’s
gearing ratio.
The gearing ratio at the year-end is as follows:
2025 2024
£000 £000
Debt
(397,451)
(394,768)
Cash and cash equivalents
8,765
9,356
Net debt
(388,686)
(385,412)
Balance sheet equity
2,565,546
2,448,370
Net debt to equity ratio
15.2%
15.7%
B. Debt management
The Group currently borrows through a senior term loan, secured on 61 self storage assets, a loan with Aviva Commercial Finance Limited secured
on a portfolio of 20 self storage assets, a £120 million loan from M&G Investments Limited secured on a portfolio of 15 self storage assets.
The Group also has a $225 million shelf facility available from Pricoa Private Capital (see note 19). Borrowings are arranged to ensure an
appropriate maturity profile and to maintain short-term liquidity. Funding is arranged through banks and financial institutions with whom the
Group has a strong working relationship.
C. Interest rate risk management
The Group is exposed to interest rate risk as entities in the Group borrow funds at both fixed and floating interest rates. The risk is managed
by the Group by maintaining an appropriate mix between fixed and floating rate borrowings, and by the use of interest rate swap contracts.
Hedging activities are evaluated regularly to align with interest rate views and defined risk appetite; ensuring optimal hedging strategies are
applied, by either positioning the balance sheet or protecting interest expense through different interest rate cycles.
Annual Report and Accounts 2025 Big Yellow Group PLC166
18. Financial instruments continued
At 31 March 2025 the Group had one interest rate derivative in place – £35 million fixed at 4.5% (excluding the margin on the underlying debt
instrument) until September 2029.
Under interest rate swap contracts, the Group agrees to exchange the difference between fixed and floating rate interest amounts calculated
on agreed notional principal amounts. Such contracts enable the Group to mitigate the risk of changing interest rates on the fair value of issued
fixed rate debt held and the cash flow exposures on the issued variable rate debt held. The fair value of interest rate swaps at the reporting date
is determined by discounting the future cash flows using the curves at the reporting date and the credit risk inherent in the contract and is
disclosed below. The average interest rate is based on the outstanding balances at the end of the financial year.
The £35 million interest rate swap settles on a three-monthly basis. The floating rate on the interest rate swap is three month SONIA. The Group
settles the difference between the fixed and floating interest rate on a net basis.
The Group does not hedge account for its interest rate swaps and states them at fair value, with changes in fair value included in the statement
of comprehensive income. A reconciliation of the movement in derivatives is provided in the table below:
2025 2024
£000 £000
At 1 April
(1,830)
316
Fair value movement in the year
547
(2,146)
At 31 March
(1,283)
(1,830)
The interest rate derivative liability is shown within non-current liabilities at the year end, as the interest rate derivative expires in 2029. The
tables below reconcile the opening and closing balances of the Group’s finance related liabilities for the current and prior year:
Financial
liabilities
Financial liabilities measured measured at
at amortised cost fair value
Obligations under Interest rate
Loans lease liabilities derivatives Total
£000 £000 £000 £000
At 1 April 2024
(394,768)
(18,727)
(1,830)
(415,325)
Cash movement in the year
(2,683)
1,816
–
(867)
Lease variations
(168)
–
–
(168)
Fair value movement
–
–
547
547
At 31 March 2025
(17,079)
(397,451)
(1,283)
(415,813)
The difference between the loans balance above and the balance sheet is loan arrangement fees of £4,199,000.
Annual Report and Accounts 2025 Big Yellow Group PLC 167
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
18. Financial instruments continued
Financial liabilities
Financial liabilities measured measured at
at amortised cost fair value
Obligations under Interest rate
Loans lease liabilities derivatives Total
£000 £000 £000 £000
At 1 April 2023
(494,927)
(19,696)
316
(514,307)
Cash movement in the year
100,159
1,829
–
101,988
Lease variations
–
(860)
–
(860)
Fair value movement
–
–
(2,146)
(2,146)
At 31 March 2024
(394,768)
(18,727)
(1,830)
(415,325)
The difference between the loans balance above and the balance sheet is loan arrangement fees of £5,080,000.
D. Interest rate sensitivity analysis
In managing interest rate risks the Group aims to reduce the impact of short-term fluctuations on the Group’s earnings, without jeopardising
its flexibility. Over the longer term, permanent changes in interest rates may have an impact on consolidated earnings. At 31 March 2025, it is
estimated that an increase of 0.25 percentage points in interest rates would have reduced the Group’s adjusted profit before tax and net equity
by £525,000 (2024: reduced adjusted profit before tax by £510,000) and a decrease of 0.25 percentage points in interest rates would have
increased the Group’s adjusted profit before tax and net equity by £525,000 (2024: increased adjusted profit before tax by £510,000).
The sensitivity has been calculated by applying the interest rate change to the variable rate borrowings, net of interest rate swaps, at the
year end.
The Group’s sensitivity to interest rates has increased slightly during the year, following the increase in the amount of floating rate debt.
The Board monitors closely the exposure to the floating rate element of our debt.
E. Cash management and liquidity
Ultimate responsibility for liquidity risk management rests with the Board of Directors, who have built an appropriate liquidity risk management
framework for the management of the Group’s short, medium, and long-term funding and liquidity management requirements. The Group
manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities by continuously monitoring forecast
and actual cash flows and matching the maturity profiles of financial assets and liabilities. Included in note 19 is a description of additional
undrawn facilities that the Group has at its disposal to further reduce liquidity risk.
Short term money market deposits are used to manage liquidity whilst maximising the rate of return on cash resources, giving due consideration
to risk.
F. Foreign currency management
The Group does not have any foreign currency exposure.
G. Credit risk
The credit risk management policies of the Group with respect to trade receivables are discussed in note 16. The Group has no significant
concentration of credit risk, with exposure spread over 73,000 occupied rooms in our stores.
The credit risk on liquid funds is limited because the counterparties are banks with high credit-ratings assigned by international
credit-rating agencies.
Annual Report and Accounts 2025 Big Yellow Group PLC168
18. Financial instruments continued
H. Financial maturity analysis
In respect of interest-bearing financial liabilities, the following table provides a maturity analysis for individual elements.
Less than One to Two to More than
Total one year two years five years five years
2025
Maturity
£000 £000 £000 £000 £000
Debt
Aviva loan
152,451
3,483
3,658
145,310
–
M&G loan payable at variable rate
85,000
–
–
85,000
–
M&G loan fixed by interest rate derivatives
35,000
–
–
35,000
–
Bank loan payable at variable rate
125,000
–
–
125,000
–
Total
397,451
3,483
3,658
390,310
–
Less than One to Two to More than
Total one year two years five years five years
2024
Maturity
£000 £000 £000 £000 £000
Debt
Aviva loan
155,768
3,317
3,483
148,968
–
M&G loan payable at variable rate
85,000
–
–
–
85,000
M&G loan fixed by interest rate derivatives
35,000
–
–
–
35,000
Bank loan payable at variable rate
119,000
–
–
119,000
–
Total
394,768
3,317
3,483
2 67, 9 68
120,000
I. Fair values of financial instruments
The fair values of the Group’s cash and short-term deposits and those of other financial assets equate to their book values. Details of the Group’s
receivables at amortised cost are set out in note 16. The amounts are presented net of provisions for doubtful receivables, and allowances for
impairment are made where appropriate. Trade and other payables, including bank borrowings, are carried at amortised cost. Obligations under
lease liabilities are included at the present value of their minimum lease payments. Derivatives are carried at fair value.
For those financial instruments held at valuation, the Group has categorised them into a three-level fair value hierarchy based on the priority of
the inputs to the valuation technique in accordance with IFRS 7. The hierarchy gives the highest priority to quoted prices in active markets for
identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). If the inputs used to measure fair value fall within
different levels of the hierarchy, the category level is based on the lowest priority level input that is significant to the fair value measurement of
the instrument in its entirety. The fair value of the Group’s outstanding interest rate derivatives, as detailed in note 18C, have been estimated
by calculating the present value of future cash flows, using appropriate market discount rates, representing Level 2 fair value measurements as
defined by IFRS 7. There are no financial instruments which have been categorised as Level 1 or Level 3. The fair value of the Group’s debt equates
to its book value.
Annual Report and Accounts 2025 Big Yellow Group PLC 169
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
18. Financial instruments continued
J. Maturity analysis of financial liabilities
The contractual maturities based on market conditions and expected yield curves prevailing at the year-end date are as follows:
Trade and other Interest rate Borrowings and Obligations under
payables swaps interest lease liabilities Total
2025 £000 £000 £000 £000 £000
From five to twenty years
–
–
–
20,315
20,315
From two to five years
–
(485)
429,640
3,067
432,222
From one to two years
–
(232)
28,528
1,878
30,174
Due after more than one year
–
(717)
458,168
25,260
482,711
Due within one year
23,630
(131)
23,465
1,878
48,842
Total
23,630
(848)
481,633
2
7,
13 8
531,553
Trade and other Interest rate Borrowings and Obligations under
payables swaps interest lease liabilities Total
2024 £000 £000 £000 £000 £000
From five to twenty years
–
(98)
124,225
20,784
144,911
From two to five years
–
(1,089)
309,503
3,247
311,661
From one to two years
–
(195)
30,000
2,279
32,084
Due after more than one year
–
(1,382)
463,728
26,310
488,656
Due within one year
20,603
106
24,520
2,279
47,508
Total
20,603
(1,276)
488,248
28,589
536,164
Annual Report and Accounts 2025 Big Yellow Group PLC170
18. Financial instruments continued
K. Reconciliation of maturity analyses
The maturity analysis in note 18J shows non-discounted cash flows for all financial liabilities including interest payments. The table below
reconciles the borrowings column in note 19 with the borrowings and interest column in the maturity analysis presented in note 18J.
Unamortised Borrowings
Borrowings Interest borrowing costs and interest
2025 £000 £000 £000 £000
From five to twenty years
–
–
–
–
From two to five years
390,310
35,131
4,199
429,640
From one to two years
3,658
24,870
–
28,528
Due after more than one year
393,968
60,001
4,199
458,168
Due within one year
3,483
19,982
–
23,465
Total
397,451
79,983
4,199
481,633
Unamortised Borrowings
Borrowings Interest borrowing costs and interest
2024 £000 £000 £000 £000
From five to twenty years
120,000
3,673
552
124,225
From two to five years
267, 9 68
37,007
4,528
309,503
From one to two years
3,483
26,517
–
30,000
Due after more than one year
391,451
67, 197
5,080
463,728
Due within one year
3,317
21, 203
–
24,520
Total
394,768
88,400
5,080
488,248
Annual Report and Accounts 2025 Big Yellow Group PLC 171
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
19. Borrowings
31 March 31 March
2025 2024
Secured borrowings at amortised cost £000 £000
Current liabilities
Aviva loan
3,483
3,317
3,483
3,317
Non-current liabilities
Bank borrowings
125,000
119,000
Aviva loan
148,968
152,451
M&G loan
120,000
120,000
Unamortised loan arrangement costs
(4,199)
(5,080)
Total non-current borrowings
389,769
386,371
Total borrowings
393,252
389,688
The weighted average interest rate paid on the borrowings during the year was 5.7% (2024: 5.5%).
The Group has £175 million in undrawn committed bank borrowing facilities at 31 March 2025, which expire after between two and three years
(2024: £181 million expiring after between two and three years).
The Group has a £152.5 million fixed rate loan with Aviva Commercial Finance Limited, expiring in September 2028. The loan is secured over a
portfolio of 20 freehold self storage centres. The annual fixed interest rate on the loan is 3.3%. The loan has an amortising element of £7.5 million
which runs to April 2027.
The Group has a secured £300 million Sustainability-linked revolving bank facility with Lloyds, HSBC and Barclays expiring in December 2027,
with a margin of 1.25%. The Group has the option to extend the facility by a further one-year term through to December 2028, subject to
lender approval.
The Group has a £120 million loan with M&G Investments Limited, with a bullet repayment in September 2029. The loan is secured over a portfolio
of 15 freehold self storage centres.
In addition to the facilities above the Group has a $225 million credit approved shelf facility with Pricoa Private Capital (“Pricoa”), to be drawn in
fixed sterling notes. The Group can draw the debt in minimum tranches of £10 million over the next year with terms of between 7 and 15 years at
short notice.
The movement in the Group’s loans are shown net in the cash flow statement as the bank loan is a revolving facility and is repaid and redrawn
each month. The movement has been shown net in the cash flow statement. The other Group loans are not revolving, and any movements in
those loans are disclosed in a footnote to note 26b.
The Group was in compliance with its banking covenants at 31 March 2025 and throughout the year. As stated in the going concern review,
we forecast compliance with our covenants going forward. We therefore do not consider it likely that these loans would become repayable within
12 months. The principal covenants are summarised in the table below:
Covenant
Covenant level
At 31 March 2025
Consolidated EBITDA to net finance costs
Minimum 1.5x
6.1x
Consolidated net tangible assets
Minimum £500m
£2,565.5m
Bank loan interest cover
Minimum 1.75x
9.0x
Net debt to EBITDA ratio
Maximum 8x
3.1x
Aviva loan interest service cover ratio
Minimum 1.5x
6.4x
Aviva loan debt service cover ratio
Minimum 1.2x
3.9x
M&G interest cover
Minimum 1.5x
2.8x
The Consolidated EBITDA covenant is calculated by dividing the consolidated EBITDA generated by the Group’s stores by the Group’s consolidated
net finance costs.
The bank loan interest cover, the Aviva loan interest service cover ratio and the M&G interest cover covenants are calculated by dividing the
EBITDA generated by each loan’s security pool by the interest payable for each loan for each defined time period. The Aviva loan debt service
cover ratio is calculated by taking the EBITDA generated by the Aviva security pool and dividing by the Aviva loan interest payable and facility
amortisation. The Aviva and M&G loans consolidated net tangible assets covenant is a minimum of £250 million.
Annual Report and Accounts 2025 Big Yellow Group PLC172
19. Borrowings continued
Interest rate profile of financial liabilities
Weighted average
Weighted average Period for which period until
Total Floating rate Fixed rate interest rate the rate is fixed maturity
£000 £000 £000 £000 £000 £000
At 31 March 2025
Gross financial liabilities
397,451
210,000
18 7, 451
5.0%
3.6 years
3.5 years
At 31 March 2024
Gross financial liabilities
394,768
204,000
190,768
5.4%
4.6 years
4.2 years
All monetary liabilities, including short-term receivables and payables are denominated in sterling. The weighted average interest rate
includes the effect of the Group’s interest rate derivatives. The Directors have concluded that the carrying value of borrowings approximates
to its fair value.
Narrative disclosures on the Group’s policy for financial instruments are included within the Strategic Report and in note 18.
20. Deferred tax
Deferred tax assets in respect of share based payments £0.2 million (2024: £0.1 million), corporation tax losses £6.5 million (2024: £6.2 million),
capital allowances in excess of depreciation £0.1 million (2024: £0.1 million) and capital losses £2.1 million (2024: £2.1 million) in respect of
the non-REIT taxable business have not been recognised as it is not considered probable that sufficient taxable profits will arise in the relevant
taxable entity. The unused tax losses can be carried forward indefinitely.
21. Obligations under lease liabilities
Present value of minimum
Minimum lease payments lease payments
2025 2024 2025 2024
£000 £000 £000 £000
Amounts payable under lease liabilities:
Within one year
1,878
2,279
1,857
2,253
Between one and five years inclusive
4,945
5,526
4,533
5 ,112
Greater than five years
20,315
20,784
10,689
11,362
27,13
8
28,589
17, 0 79
18,727
Less: future finance charges
(10,059)
(9,862)
Present value of lease liabilities
17, 07 9
18,727
All obligations under lease liabilities are denominated in sterling. Interest rates are fixed at the contract date. All leases are on a fixed repayment
basis and no arrangements have been entered into for contingent rental payments. The carrying amount of the Group’s lease obligations
approximates their fair value.
Annual Report and Accounts 2025 Big Yellow Group PLC 173
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
22. Share capital
Called up, allotted, and fully paid
2025 2024
£000 £000
Ordinary shares of 10 pence each
Movement in issued share capital
19,671
19,620
Number of shares at 31 March 2023
184,265,973
Issues of shares – placing
11,640,212
Exercise of share options – Share option schemes
289,102
Number of shares at 31 March 2024
196,195,287
Exercise of share options – Share option schemes
519,409
Number of shares at 31 March 2025
196,714,696
The share capital of the Company consists only of fully paid ordinary shares with a nominal (par) value of £0.10 per share. There are no
restrictions on the ability of shareholders to receive dividends, nor on the repayment of capital. All ordinary shares are equally eligible to receive
dividends and the repayment of capital in accordance with the Company’s Articles of Association and represent one vote at shareholders’
meetings of the Company.
At 31 March 2025 options in issue to Directors and employees were as follows:
Number of Number of
Date option Option price per Date on which the ordinary shares ordinary shares
Granted
ordinary share
Type of option
Date first exercisable
exercise period expires 2025 2024
21 July 2015
nil p
LTIP
21 July 2018
21 July 2025
239
989
22 July 2016
nil p
LTIP
22 July 2019
21 July 2026
1,415
1,415
2 August 2017
nil p
LTIP
2 August 2020
2 August 2027
2,320
9,217
24 July 2018
nil p
LTIP
24 July 2021
24 July 2028
1,552
53,697
19 July 2019
nil p
LTIP
19 July 2022
19 July 2029
16,824
148,587
5 August 2020
nil p
LTIP
5 August 2023
5 August 2030
101,814
189,504
1 March 2021
903.2p
SAYE
1 April 2024
1 October 2024
–
7 7, 3 9 5
22 July 2021
nil p
LTIP
22 July 2024
22 July 2031
130,662
285,440
21 July 2022
nil p
LTIP
21 July 2025
21 July 2032
412,863
425,523
8 August 2022
1060.3p
SAYE
1 September 2025
1 March 2026
45,660
57, 665
20 July 2023
nil p
LTIP
20 July 2026
19 July 2033
570,838
590,931
1 August 2023
891.5p
SAYE
1 September 2026
1 March 2027
65,553
79,382
18 July 2024
nil p
LTIP
18 July 2027
17 July 2034
548,499
–
10 July 2024
945.1p
SAYE
1 September 2027
1 March 2028
80,726
–
1,978,965
1,919,745
Own shares
The own shares reserve represents the cost of shares in Big Yellow Group PLC purchased in the market and held by the Big Yellow Group PLC
Employee Benefit Trust, along with shares issued directly to the Employee Benefit Trust. 881,360 shares are held in the Employee Benefit Trust
(2024: 1,098,686), and no shares are held in treasury.
Annual Report and Accounts 2025 Big Yellow Group PLC174
23. Share-based payments
The Company has three equity share-based payment arrangements, namely an LTIP scheme (with approved and unapproved components), an
Employee Share Save Scheme (“SAYE”) and a Deferred Bonus Plan. The Group recognised a total expense in the year related to equity-settled
share-based payment transactions of £2,855,000 (2024: £4,082,000).
Equity-settled share option plans
Since 2004 the Group has operated an Employee Share Save Scheme (“SAYE”) which allows any employee who has more than six months service
to purchase shares at a 20% discount to the average quoted market price of the Group shares at the date of grant. The associated savings
contracts are three years at which point the employee can exercise their option to purchase the shares or take the amount saved, including
interest, in cash. The scheme is administered by Globalshares.
On an annual basis since 2004 the Group awarded nil-paid options to senior management under the Group’s Long Term Incentive Plan (“LTIP”).
The awards are conditional on the achievement of challenging performance targets as described on page 112 of the Remuneration Report.
The weighted average share price at the date of exercise for options exercised in the year was £12.60 (2024: £10.77).
2025 2024
LTIP scheme No. of options No. of options
Outstanding at beginning of year
1,705,303
1,350,147
Granted during the year
566,193
678,088
Lapsed during the year
(41,171)
(72,932)
Exercised during the year
(443,299)
(250,000)
Outstanding at the end of the year
1,787,026
1,705,303
Exercisable at the end of the year
254,826
403,409
The weighted average fair value of options granted during the year was £1,708,000 (2024: £1,564,000).
Participants pay the nominal value of the shares when exercising options under the LTIP scheme.
Options outstanding at 31 March 2025 had a weighted average contractual life of 8.0 years (2024: 7.8 years).
Annual Report and Accounts 2025 Big Yellow Group PLC 175
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
23. Share-based payments continued
2025 2024
Weighted average Weighted average
2025 exercise price 2024 exercise price
Employee Share Save Scheme (“SAYE”) No. of options (£) No. of options (£)
Outstanding at beginning of year
214,442
£9.41
196,661
9 .71
Granted during the year
86,354
£9.45
82,656
8.91
Forfeited during the year
(32,747)
£9.63
(25,773)
9.99
Exercised during the year
(76,110)
£9.01
(39,102)
9.47
Outstanding at the end of the year
191,939
£9.54
214,4 42
9.41
Exercisable at the end of the year
–
–
–
–
Options outstanding at 31 March 2025 had a weighted average contractual life of 2.0 years (2024: 1.7 years).
The inputs into the Black-Scholes model for the options granted during the year are as follows:
LTIP
SAYE
Expected volatility
n/a
26%
Expected life
3 years
3 years
Risk-free rate
0%
4.08
Expected dividends
4.1%
5.5%
Expected volatility was determined by calculating the historical volatility of the Group’s share price over the year prior to grant.
Deferred bonus plan
The Executive Directors receive awards under the Deferred Bonus Plan. This is accounted for as an equity instrument. The plan was set up in
July 2018. The vesting criteria and scheme mechanics are set out in the Directors’ Remuneration Report.
24. Capital commitments
At 31 March 2025 the Group had £77.5 million of amounts contracted but not provided in respect of the Group’s properties (2024: £3.9 million of
capital commitments).
25. Events after the balance sheet date
In April 2025 the Group acquired a development site in Coventry for £2.5 million.
Annual Report and Accounts 2025 Big Yellow Group PLC176
26. Cash flow notes
a) Reconciliation of profit after tax to cash generated from operations
2025 2024
Note £000 £000
Profit after tax
201,891
239,833
Taxation
1,963
1,202
Other income
3
(4,047)
(6,517)
Investment income
(708)
(45)
Finance costs
15,928
25,092
Operating profit
215,027
259,565
Gain on the revaluation of investment properties
14a, 15
(79,667)
(131,159)
Gain on disposal of non-current asset
14a
(8,754)
–
Depreciation of plant, equipment, and owner-occupied property
14b
837
864
Depreciation of right-of-use assets
14a,14b
1,701
1,734
Employee share options
6
2,855
4,082
Cash generated from operations pre working capital movements
131,999
135,086
Decrease in inventories
49
10
Increase in receivables
(1,024)
(1,650)
Increase/(decrease) in payables
3,599
(3,620)
Cash generated from operations
134,623
129,826
b) Reconciliation of net cash flow movement to net debt
2025 2024
Note £000 £000
Net (decrease)/increase in cash and cash equivalents in the year
(591)
1,027
Cash flow from (increase)/decrease in debt financing
1
(2,683)
100,159
Change in net debt resulting from cash flows
(3,274)
101,186
Movement in net debt in the year
(3,274)
101,186
Net debt at the start of the year
(385,412)
(486,598)
Net debt at the end of the year
18A
(388,686)
(385,412)
(1)
Made up of a net increase of £6.0 million in the RCF facility and repayments of the Aviva facility of £3.3 million (2024: Made up of a net decrease of £97.0 million in the RCF facility and
repayments of the Aviva facility of £3.2 million).
Annual Report and Accounts 2025 Big Yellow Group PLC 177
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
27. Related party transactions
Transactions between the Company and its subsidiaries, which are related parties, have been eliminated on consolidation and are not disclosed
in this note.
Key management personnel remuneration
Key management personnel are made up of our Executive and Non-Executive Directors, and the Group’s COO. The remuneration of the key
management personnel of the Group, is set out below in aggregate. Further information on the remuneration of individual Directors is found
in the audited part of the Directors’ Remuneration Report on pages 108 to 114.
31 March 2025 31 March 2024
£000 £000
Short term employee benefits
2,146
1,959
Post-employment benefits
99
90
Share-based payments
1,836
2,267
4,081
4,316
AnyJunk Limited
Jim Gibson is a Non-Executive Director and shareholder in AnyJunk Limited. During the year AnyJunk Limited provided waste disposal services
to the Group on normal commercial terms, amounting to £25,000 (2024: £17,000). At 31 March 2025 a balance of £3,000 was included in trade
payables for amounts owing to AnyJunk Limited (2024: £nil).
London Children’s Ballet
The Group signed a Section 106 agreement with Wandsworth Council relating to the development of our Battersea store, which required the Group
to provide cultural space to Wandsworth Borough Council. In 2021, the Group granted a twenty year lease over this space to London Children’s
Ballet at a peppercorn rent, who in turn have agreed to enter into a Social Agreement with Wandsworth Borough Council coterminous with the
lease. Jim Gibson is the Chairman of Trustees of the London Children’s Ballet. London Children’s Ballet rent storage space from the Group on
normal commercial terms, amounting to £4,000 during the year (2024: £4,000). The Group sponsored a London Children’s Ballet development
programme during the year, amounting to £8,000 (2024: £8,000).
Doncaster Security Operations Centre Limited (“DSOC”)
The Group has invested £588,000 in DSOC. DSOC provided alarm and CCTV monitoring services to the Group under normal commercial terms
during the year, amounting to £358,000 (2024: £319,000). At 31 March 2025 a balance of £nil was included in trade payables for amounts owing
to DSOC (2024: £95,000).
Treepoints Limited
Jim Gibson is a Non-Executive Director and an investor in City Stasher Limited, which in turn has a minority investment in Treepoints Limited.
Treepoints Limited provided offsetting tree planting services in respect of our online packing material sales, under normal commercial terms
during the period, amounting to £2,000 (2024: £2,000). At 31 March 2025 and 31 March 2024 there were no amounts included in trade payables
for amounts owing to Treepoints Limited.
Ukrainian Sponsorship Pathway UK
Nicholas Vetch and Heather Savory are trustees of a charity called Ukrainian Sponsorship Pathway UK (“USPUK”) to help Ukrainians displaced by
the war to travel to the UK as part of the “Homes for Ukraine” scheme. The charity has set up offices in Warsaw and Krakow and is one of the few
that has been recognised for this purpose by the UK Government. In the prior year the Board approved a donation of £50,000 (2025: £nil).
In the current year, the Group has provided free office space to USPUK worth £10,000 (2024: £nil).
Landmark Trust and Ruth Strauss Foundation
Dr Anna Keay is the CEO of the Landmark Trust and Vince Niblett is a Trustee of the Ruth Strauss Foundation. During the year the Company
provided free storage to the Landmark Trust and the Ruth Strauss Foundation with a total value of £10,000 (2024: £9,000).
No other related party transactions took place during the years ended 31 March 2025 and 31 March 2024.
Annual Report and Accounts 2025 Big Yellow Group PLC178
Company Balance Sheet
Year ended 31March 2025
Note
2025
£000
2024
£000
Non-current assets
Plant, equipment, and owner-occupied property 30a 1,534 1,608
Investment in subsidiary companies 30b 42,022 39,167
Amounts owed by Group undertakings 31 697,204 765,420
740,760 806,195
Current assets
Trade and other receivables 31 962 912
Cash and cash equivalents 1 1
963 913
Total assets 741,723 807,108
Current liabilities
Trade and other payables 32a (7,303) (7,680)
Amounts owed to Group undertakings 32a (15,683) (43,068)
Obligations under lease liabilities (16) (30)
(23,002) (50,778)
Non-current liabilities
Obligations under lease liabilities – (16)
Bank borrowings 32b (121,948) (115,359)
(121,948) (115,375)
Total liabilities (144,950) (166,153)
Net assets 596,773 640,955
Equity
Share capital 22 19,671 19,620
Share premium account 398,444 3 97, 6 8 6
Reserves 28 178,658 223,649
Equity shareholders’ funds 596,773 640,955
The Company reported a gain for the financial year ended 31 March 2025 of £40.5 million (2024: loss of £0.9 million). The financial statements and the
income statement were approved by the Board of Directors and authorised for issue on 19 May 2025. They were signed on its behalf by:
Jim Gibson John Trotman
Director Director
Company Registration No. 03625199
The accompanying notes form part of the financial statements.
Annual Report and Accounts 2025 Big Yellow Group PLC 179
Governance ReportStrategic Report Financial Statements
Company Statement of Changes in Equity
Year ended 31March 2025
Share capital
£000
Share premium
account
£000
Other non-
distributable
reserve
£000
Capital
redemption
reserve
£000
Retained
earnings
£000
Own shares
£000
Total
£000
At 1 April 2024 19,620 397, 6 86 74,950 1,795 147, 901 (997) 640,955
Total comprehensive gain for the year – – – – 40,533 – 40,533
Issue of share capital 51 758 – – – – 809
Dividend – – – – (88,379) – (88,379)
Use of own shares to satisfy share options – – – – (198) 198 –
Credit to equity for equity-settled
share-based payments – – – – 2,855 – 2,855
At 31 March 2025 19,671 398,444 74,950 1,795 102,712 (799) 596,773
The Company’s share capital is disclosed in note 22.
The own shares balance represents amounts held by the Employee Benefit Trust (see note 22).
Year ended 31 March 2024
Share capital
£000
Share premium
account
£000
Other non-
distributable
reserve
£000
Capital
redemption
reserve
£000
Retained
earnings
£000
Own shares
£000
Total
£000
At 1 April 2023 18,427 290,857 74,950 1,795 230,735 (1,019) 615 ,745
Total comprehensive loss for the year – – – – (881) – (881)
Issue of share capital 1,193 106,829 – – – – 108,022
Dividend – – – – (86,013) – (86,013)
Use of own shares to satisfy share options – – – – (22) 22 –
Credit to equity for equity-settled
share-based payments – – – – 4,082 – 4,082
At 31 March 2024 19,620 397, 6 86 74,950 1,795 147, 901 (997) 640,955
The accompanying notes form part of the financial statements.
Annual Report and Accounts 2025 Big Yellow Group PLC180
28. Gain/(loss) for the year
As permitted by section 408 of the Companies Act 2006, the statement of comprehensive income of the Company is not presented as part of
these financial statements. The gain for the year attributable to equity shareholders dealt with in the financial statements of the Company was
£40.5 million (2024: loss of £0.9 million).
29. Basis of accounting
These financial statements were prepared in accordance with Financial Reporting Standard 101 Reduced Disclosure Framework (“FRS 101”).
In preparing these financial statements, the Company applies the recognition, measurement and disclosure requirements of UK-adopted
international accounting standards (“Adopted IFRSs”), but makes amendments where necessary in order to comply with Companies Act 2006
and has set out below where advantage of the FRS 101 disclosure exemptions has been taken:
– Cash Flow Statement and related notes;
– Comparative period reconciliations for plant, equipment and owner-occupied property and investment properties;
– Disclosures in respect of transactions with wholly owned subsidiaries;
– Disclosures in respect of capital management;
– The effects of new but not yet effective IFRSs; and
– Disclosures in respect of the compensation of Key Management Personnel.
As the consolidated financial statements include the equivalent disclosures, the Company has also taken the exemptions under FRS 101
available in respect of the following disclosures:
– IFRS 2 Share-Based Payments in respect of group settled share-based payments; and
– Certain disclosures required by IFRS 13 Fair Value Measurement and the disclosures required by IFRS 7 Financial Instrument Disclosures.
The financial statements have been prepared on the historic cost basis except that derivative financial instruments are stated at fair value.
The Company’s principal accounting policies are the same as those applied in the Group financial statements.
The parent Company financial statements present information about the Company as a separate entity and not about its Group.
Going concern
See note 2 for the review of going concern for the Group and the Company.
Investment in subsidiaries
These are recognised at cost less provision for any impairment.
Bank borrowings
This is the Revolving Credit Facility Loan which is held by the Company. Please see note 19 for further information.
IFRIC 11, IFRS 2 Group and Treasury Share Transactions
The Company makes equity settled share-based payments to certain employees of certain subsidiary undertakings. Equity settled share-based
payments that are made to the employees of the Company’s subsidiaries are treated as increases in equity over the vesting period of the award,
with a corresponding increase in the Company’s investments in subsidiaries, based on an estimate of the number of shares that will eventually
vest. This is the only addition to investment in subsidiaries in the current year.
Annual Report and Accounts 2025 Big Yellow Group PLC 181
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
30. Non-current assets
a) Plant, equipment, and owner-occupied property
Freehold property
£000
Leasehold
improvements
£000
Fixtures,
fittings & office
equipment
£000
Right-of-use
assets
£000
Total
£000
Cost
At 31 March 2024 2,243 46 9 177 2,475
Additions – – – – –
At 31 March 2025 2,243 46 9 177 2,475
Accumulated depreciation
At 31 March 2024 (723) (9) (4) (131) (867)
Charge for the year (45) (1) (1) (27) (74)
At 31 March 2025 (768) (10) (5) (158) (941)
Net book value
At 31 March 2025 1,475 36 4 19 1,534
At 31 March 2024 1,520 37 5 46 1,608
b) Investments in subsidiary companies
Investment
in subsidiary
undertakings
£000
Cost
At 31 March 2024 39,167
Additions 2,855
At 31 March 2025 42,022
The additions in the year relate to the capitalisation of share-based payments in accordance with IFRS 2.
The Directors assessed the carrying value of the investment in subsidiary undertakings for indicators of impairment. There were no indications
of impairment.
Annual Report and Accounts 2025 Big Yellow Group PLC182
30. Non-current assets continued
The Group’s subsidiaries are all wholly-owned, the Group holds 100% of the voting power and the companies are incorporated, registered, and
operate in England and Wales. The registered office of all subsidiaries is 2 The Deans, Bridge Road, Bagshot, Surrey, GU19 5AT. All subsidiaries are
included in the consolidated accounts. The subsidiaries at 31 March 2025 are listed below:
Name of subsidiary Principal activity
Apollo Self Storage Limited Self storage
Armadillo Self Storage Limited Self storage
Armadillo Self Storage 2 Limited Self storage
Armadillo Storage Holding Company Limited Dormant
Armadillo Storage Holding Company 2 Limited Dormant
Armadillo Storage One Limited Holding Company
.Big Yellow Self Storage (GP) Limited General Partner
.Big Yellow Self Storage Company Limited Self storage
Big Yellow (Battersea) Limited Self storage
The Big Yellow Construction Company Limited Construction management
The Big Yellow Holding Company Limited Dormant
Big Yellow Limited Partnership Self storage
Big Yellow Nominee No. 1 Limited Dormant
Big Yellow Nominee No.2 Limited Dormant
Big Yellow Self Storage Company 1 Limited Dormant
Big Yellow Self Storage Company 2 Limited Dormant
Big Yellow Self Storage Company 3 Limited Dormant
Big Yellow Self Storage Company 4 Limited Dormant
Big Yellow Self Storage Company A Limited Self storage
Big Yellow Self Storage Company M Limited Self storage
Big Yellow (Wapping 2) Limited Self storage
BYRCO Limited Property management
BYSSCO A Limited Dormant
BYSSCO Limited Self storage
The Last Mile Company Limited Holding Company
Quickstore Storage Limited Self storage
In addition, the Group has a 100% interest in Pramerica Bell Investment Trust Jersey, a trust registered in Jersey, its registered office is
FirstIsland House, Peter Street, St Helier, Jersey, Channel Islands, JE2 4SP.
Audit exemption statement
All subsidiary undertakings of Big Yellow Group PLC are included in the consolidated Financial Statements of the Group. The subsidiary
undertakings noted below are exempt from the Companies Act 2006 (the ‘Act’) requirements relating to the audit of their individual accounts
byvirtue of Section 479A of the Act, as Big Yellow Group PLC has guaranteed the liabilities of them under Section 479C of the Act. The members
ofthese companies have not required them to obtain an audit of their financial statements for the year ended 31 March 2025:
Name of subsidiary Principal activity
Apollo Self Storage Limited Big Yellow Nominee No.2 Limited
Armadillo Self Storage Limited Big Yellow Self Storage Company 1 Limited
Armadillo Self Storage 2 Limited Big Yellow Self Storage Company 2 Limited
Armadillo Storage Holding Company Limited Big Yellow Self Storage Company 3 Limited
Armadillo Storage Holding Company 2 Limited Big Yellow Self Storage Company 4 Limited
Armadillo Storage One Limited Big Yellow (Wapping 2) Limited
.Big Yellow Self Storage (GP) Limited BYRCO Limited
Big Yellow (Battersea) Limited BYSSCO Limited
The Big Yellow Construction Company Limited BYSSCO A Limited
The Big Yellow Holding Company Limited The Last Mile Company Limited
Big Yellow Nominee No. 1 Limited Quickstore Storage Limited
Annual Report and Accounts 2025 Big Yellow Group PLC 183
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
30. Non-current assets continued
Under paragraph 7 of SI 2008 No 569 Big Yellow Limited Partnership is exempt from the requirement under paragraph 4 of that SI to prepare their
annual accounts and reports, and have them audited, on the basis that the partnership is dealt with on a consolidated basis in the consolidated
financial statements of the Company.
31. Trade and other receivables
31 March
2025
£000
31 March
2024
£000
Non-current
Amounts owed by Group undertakings 697,204 765,420
Current
Prepayments and accrued income 962 912
Amounts owed by Group undertakings are unsecured. The Company recharges its external interest cost to its subsidiaries. Amounts owed
by Group undertakings have historically had immaterial levels of bad debt, and the Directors have assessed for Expected Credit Losses and
concluded that it is immaterial and has therefore not been recognised.
32A. Trade and other payables
31 March
2025
£000
31 March
2024
£000
Current (all due within one year)
Other payables 6,936 7, 10 2
Amounts owed to Group undertakings 15,683 43,068
Accruals and deferred income 367 578
22,986 50,748
Amounts owed to Group undertakings are repayable on demand and accrues interest bi-annually at a rate of 1.25% over the Bank of England base
rate during the period, based on the average outstanding balance during the period.
32B. Bank borrowings
31 March
2025
£000
31 March
2024
£000
Bank loan 125,000 119,000
Unamortised loan arrangement costs (3,052) (3,641)
121,948 115,359
Annual Report and Accounts 2025 Big Yellow Group PLC184
33. Glossary
Absorption
The rate of growth in occupancy assumed within the external property valuations from the current occupancy level to
the assumed stable occupancy level.
Adjusted earnings
The IFRS profit after taxation attributable to shareholders of the Company excluding investment property revaluations,
one-off items of income and costs, gains/losses on investment property disposals and changes in the fair value of
financial instruments.
Adjusted earnings growth
The increase in adjusted eps year-on-year.
Adjusted NAV
EPRA NTA adjusted for an investment property valuation carried out at purchasers’ costs of 2.75%, see note 13.
Adjusted earnings per share
Adjusted earnings divided by the average number of shares in issue during the financial year, see note 12.
Adjusted Profit Before Tax
The Company’s pre-tax EPRA earnings measure with additional Company adjustments, see note 10.
APMs
Additional performance measures that help financial statement users to better understand the Group’s performance
and position.
Average net achieved rent per sq ft
Storage revenue divided by average occupied space over the financial year.
Average occupancy
The average space occupied by customers divided by the MLA expressed as a %.
Average rental growth
The growth in average net achieved rent per sq ft year-on-year.
BREEAM
An environmental rating assessed under the Building Research Establishment’s Environmental Assessment Method.
Cap rates
The exit capitalisation rates used in the external investment property valuation.
Carbon intensity
Carbon emissions divided by the Group’s average occupied space.
Closing net rent per sq ft
Annual storage revenue generated from in-place customers divided by occupied space at the balance sheet date.
Closing occupancy %
The space occupied by customers divided by the MLA at the balance sheet date expressed as a %.
Closing occupancy sq ft
The space occupied by customers at the balance sheet date in sq ft.
Committed facilities
Available undrawn debt facilities plus cash and cash equivalents.
Consolidated EBITDA
Consolidated EBITDA calculated in accordance with the terms of the Group’s Revolving Credit Facility Agreement.
Debt
Long-term and short-term borrowings, as detailed in note 19, excluding lease liabilities and debt issue costs.
Earnings per share (eps)
Profit for the financial year attributable to equity shareholders divided by the average number of shares in issue during
the financial year.
EBITDA
Earnings before interest, tax, depreciation, and amortisation.
EPRA
The European Public Real Estate Association, a real estate industry body. This organisation has issued Best Practice
Recommendations with the intention of improving the transparency, comparability, and relevance of the published
results of listed real estate companies in Europe.
EPRA earnings
The IFRS profit after taxation attributable to shareholders of the Company excluding investment property revaluations,
gains/losses on investment property disposals and changes in the fair value of financial instruments.
EPRA earnings per share
EPRA earnings divided by the average number of shares in issue during the financial year, see note 12.
EPRA NTA per share
EPRA NTA divided by the diluted number of shares at the year end.
EPRA net tangible asset value (EPRA NTA)
IFRS net assets excluding the mark-to-market on interest rate derivatives, deferred taxation on property valuations
where it arises, and intangible assets. It is adjusted for the dilutive impact of share options.
Equity
All capital and reserves of the Group attributable to equity holders of the Company.
Gross property assets
The sum of investment property and investment property under construction.
Gross value added
The measure of the value of goods and services produced in an area, industry, or sector of an economy.
Interest cover
The ratio of operating cash flow divided by interest paid (before working capital movements, exceptional finance costs,
capitalised interest, and changes in fair value of interest rate derivatives). This metric is provided to give readers a clear
view of the Group’s financial position.
Like-for-like store operating costs
Store operating costs excluding one-off items and the operating costs of a store opened in the preceding or current
financial year.
Like-for-like occupancy
Excludes the closing occupancy of new stores acquired, opened, or closed in the current financial year in both the
current financial year and comparative figures. In 2025this excludes Kings Cross. We previously excluded Armadillo
from the like-for-like occupancy metrics but are now including these stores to show the occupancy performance of all
the Group’s like-for-like trading stores.
Like-for-like store revenue
Excludes the impact of new stores acquired, opened or stores closed in the current or preceding financial year in both
the current year and comparative figures. In 2025 this excludes Kings Cross.
Annual Report and Accounts 2025 Big Yellow Group PLC 185
Governance ReportStrategic Report Financial Statements
Notes to the Financial Statements
Year ended 31March 2025
33. Glossary continued
LTV (loan to value)
Net debt expressed as a percentage of the external valuation of the Group’s investment properties.
Maximum lettable area (MLA)
The total square foot (sq ft) available to rent to customers.
Move-ins
The number of customers taking a storage room in the defined period.
Move-outs
The number of customers vacating a storage room in the defined period.
NAV
Net asset value.
Net debt
Gross borrowings less cash and cash equivalents.
Net initial yield
The forthcoming year’s net operating income expressed as a percentage of capital value, after adding notional
purchaser’s costs pre administrative expenses.
Net operating income
Store EBITDA after an allocation of central overhead.
Net operating income on stabilisation
The projected net operating income delivered by a store when it reaches a stable level of occupancy.
Net promoter score (NPS)
The Net Promoter Score is an index ranging from –100 to 100 that measures the willingness of customers to
recommend a company’s products or services to others. The Company measures NPS based on surveys sent to
allitsmove–ins and move–outs.
Net Renewable Energy Positive Our strategy as set out in https://corporate.bigyellow.co.uk/index.php/sustainability/strategy.
Net rent per sq ft
Storage revenue generated from in place customers divided by occupancy.
Net Zero Strategy
The Group’s published strategy to have Net Zero Scope 1 and 2 Emissions.
Non like-for-like stores
Stores excluded from like–for–like metrics, as they were acquired, opened or closed in the current or preceding
financial year. In 2025 this excludes Kings Cross.
Occupancy
The space occupied by customers divided by the MLA expressed as a %.
Occupied space
The space occupied by customers in sq ft.
Other storage related income
Packing materials, insurance, and other storage related fees.
Pipeline
The Group’s development sites.
Property Income Distribution (PID)
A dividend, generally subject to withholding tax, that a UK REIT is required to pay from its tax–exempt property rental
business, and which is taxable for UK–resident shareholders at their marginal tax rate.
REGO
Renewable Energy Guarantees of Origin.
REIT
Real Estate Investment Trust. A tax regime which in the UK exempts participants from corporation tax both on UK rental
income and gains arising on UK investment property sales, subject to certain conditions.
REVPAF
Total store revenue divided by the average maximum lettable area in the year.
Store EBITDA Store earnings before interest, tax, depreciation, and amortisation, see reconciliation in the portfolio summary on
page 31.
Store revenue
Revenue earned from the Group’s open self storage centres.
TCFD
Task Force on Climate Related Financial Disclosure.
Total shareholder return (TSR)
The growth in value of a shareholding over a specified period, assuming dividends are reinvested to purchase additional
units of shares.
Annual Report and Accounts 2025 Big Yellow Group PLC186
2025
£m
2024
£m
2023
£m
2022
£m
2021
£m
2020
£m
2019
£m
2018
£m
2017
£m
2016
£m
Results
Revenue 204.5 199.6 188.8 171. 3 135.2 129.3 125 .4 116.7 109.1 101.4
Operating profit before gains
and losses on property assets 126.6 128.4 120.0 106.6 81.5 80.0 76.7 70.9 65.3 59.9
Cash flow from operating
activities 114.6 104.8 112.0 10 7. 1 76.7 73.6 72.2 63.0 55.9 55.5
Profit before taxation 203.9 241.0 75.3 698.9 265.8 93.4 126.9 134.1 99.8 112.2
Adjusted profit before taxation 115.6 10 7. 3 106.0 96.8 74.6 71. 0 67. 5 61.4 54.6 49.0
Net assets 2,565.5 2,448.4 2,182.4 2,184.4 1,453.9 1,163.9 1,123.9 981.1 890.4 829.4
Diluted adjusted earnings
per share 57.8p 55.9p 56.5p 52.5p 42.4p 42.1p 41.4p 38.5p 34.5p 31.1p
Declared total dividend
per share 46.4p 45.2p 45.2p 42.0p 34.0p 33.8p 33.2p 30.8p 27.6p 24.9p
Key statistics
Number of stores open** 109 109 108 105 78 75 74 74 73 71
Store MLA (000 sq ft) 6,421 6,419 6,292 6,098 4,930 4,688 4,622 4,631 4,551 4,464
Sq ft occupied (000)** 5,056 5,029 5,088 5,107 4,201 3,781 3,810 3,730 3,551 3,363
Occupancy (decrease)/
increase in year (000 sq ft)* 27 (59) (19) 906 420 (29) 80 179 188 185
Closing net rent per sq ft** £35.17 £34.14 £32.48 £29.92 £28.71 £28.15 £27.28 £26.74 £26.03 £25.90
Number of occupied rooms** 73,000 73,000 73,000 73,000 62,000 56,500 56,000 55,000 52,500 50,000
Average number of employees
during the year** 459 464 465 427 370 361 347 335 329 318
* the occupancy growth in 2015, 2017, 2022 and 2023 includes the acquisition of existing stores
** from 2022 this includes the Armadillo stores, which the Group acquired the remaining 80% of which it did not previously own on 1 July 2021
Ten Year Summary
Annual Report and Accounts 2025 Big Yellow Group PLC 187
Governance ReportStrategic Report Financial Statements
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Annual Report and Accounts 2025 Big Yellow Group PLC188
Big Yellow Group PLC
2 The Deans, Bridge Road, Bagshot, Surrey GU19 5AT
01276 470190 info@bigyellow.co.uk
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