Notes to the Consolidated Financial Statements continued

For the year ended 31 March 2023

The Group’s investments in Bicycle Therapeutics plc and Centessa Pharmaceuticals plc, which are listed on Nasdaq, are classified as Level 1. All of the Group’s other investments are in unquoted companies or partnerships. If one or more of the significant inputs to the fair value is not based on observable market data, the instrument is included as Level 3. As a result, the Group classifies all its unquoted investments as Level 3 and these investments are held at fair value in accordance with the investments policy in Note 3.

The Audit Committee and Board review the investment valuation process, and resultant fair values, at least twice a year in line with the Group’s reporting dates. The valuation of investments is prepared by the investment team, and reviewed by the Executive Directors, before being submitted to the Audit Committee and Board for approval. The fair value profile of investments is summarised as follows:

If the fair value of the Group’s investments varied by +/-10%, the profit for the year would change by +/- £32.7 million (2022: +/- £39.8 million).

Following the year end, the Group invested a further £0.4 million in investments held at fair value.

There is no ultimate controlling party.