## CT UK Capital and ## Income Investment ## Trust PLC ## Report and Accounts ## For the Year Ended ## 30 September 2025 Forward looking statements This document may contain forward looking statements with respect to the financial condition, results of operations and business of CT UK Capital and Income Investment Trust PLC. Such statements involve risk and uncertainty because they relate to future events and circumstances that could cause actual results to differ materially from those expressed or implied by forward looking statements. The forward looking statements are based on the Directors’ current view and on information known to them at the date of this document. Nothing should be construed as a profit forecast. ## Contents Overview Independent Auditor’s Report 60 Company Overview 2 Financial Highlights for the year ended 30 September 2025 3 Financial Report More Than Three Decades of Dividend Growth 4 Income Statement 65 Statement of Changes in Equity 66 Chair’s Statement 5 Balance Sheet 67 Statement of Cash Flows 68 | Strategic Report | Notes to the Accounts 69 | | --- | --- | | Fund Managers 9 | Ten Year Record (Unaudited) 85 | | Fund Manager’s Review 10 | Analysis of Ordinary Shareholders (Unaudited) 86 | The Fund Manager’s Investment Philosophy and Process 15 Purpose, Strategy and Business Model 18 Notice of Annual General Meeting 87 Key Performance Indicators 20 | Twenty Largest Holdings 22 | Other Information | | --- | --- | | Investment Portfolio by Sector 24 | Information for Shareholders 91 | | List of Investments 27 | How to Invest 92 | | Our Approach to Responsible Investment 28 | Alternative Performance Measures 94 | | Principal Risks and Future Prospects 32 | Glossary of Terms 96 | Promoting the Success of the Company – Section 172 statement 35 Policy Summary 37 Financial calendar Governance Report Fourth interim dividend for 2025 31 December 2025 Directors 40 | Directors’ Report 42 | Annual General Meeting 5 March 2026 | | | --- | --- | --- | | Corporate Governance Statement 47 | First interim dividend for 2026 | March 2026 | | Report of the Nomination and Remuneration Committee 50 | Interim results for 2026 announced May 2026 | | Directors’ Remuneration Report 51 Second interim dividend for 2026 June 2026 Report of the Audit and Risk Committee 54 Third interim dividend for 2026 September 2026 Report of the Management Engagement Committee 57 Final results for 2026 announced November 2026 Statement of Directors’ Responsibilities 58 Management and Advisers 59 Fourth interim dividend for 2026 December 2026 THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. If you are in any doubt about the action you should take, you are recommended to seek your own independent financial advice from your stockbroker, bank manager, solicitor, accountant or other independent financial adviser authorised under the Financial Services and Markets Act 2000 if you are in the United Kingdom or, if not, from another appropriately authorised financial adviser. If you have sold or otherwise transferred all your ordinary shares in CT UK Capital and Income Investment Trust PLC please forward this document, together with the accompanying documents, immediately to the purchaser or transferee or to the stockbroker, bank or agent through whom the sale or transfer was effected for transmission to the purchaser or transferee. If you have sold or otherwise transferred only part of your holding of shares, you should retain these documents. Report and Accounts 2025 | 1 ## Company Overview ## Consistently growing income from investing in some of the UK’s best businesses ### With an objective to secure long term capital and income growth from a portfolio consisting ### mainly of FTSE All-Share companies, we offer Shareholders a reliable income while at the same ### time seeking to grow the size of your investment. ### We have been searching out the very best of the UK’s large and medium sized businesses ### since 1992 to give our Shareholders access to a range of quality UK stocks in one place. ### We carefully identify companies that are growing and profitable today and have the sustainable ### foundations to be able to continue that profitable growth into the future. ### We choose to invest in companies we strongly believe in. Most of them generate much of their ### revenues outside the UK which means you benefit from international growth and diversification. ### Columbia Threadneedle Investments, and its predecessors, have managed the Company’s ### investments for over 33 years, outperforming its Benchmark over that period. The Manager’s ### results have driven the increase in dividend every year since the launch of the Company, ### through the market’s ups and downs. ### We are an “AIC Dividend Hero” in recognition of 32 consecutive years of increased annual ### dividends. ### Our Ongoing Charges figure of 0.66% represents very good value for Shareholders. ### Whether you are looking for regular income now, or to reinvest your dividends for ### long term growth, we believe that CT UK Capital and Income Investment Trust ### can play an important part in your investments. ## Visit our website at ctcapitalandincome.co.uk DIVIDEND ### HERO Registered in England and Wales with company registration number 02732011. Legal Entity Identifier: 21380052ETTRKV2A6Y19 Potential investors are reminded that the value of investments and the income from them may go down as well as up and investors may not receive back the full amount invested. Tax benefits may vary as a result of statutory changes and their value will depend on individual circumstances. CT UK Capital and Income Investment Trust is suitable for retail investors in the UK, professionally advised private clients and institutional investors who seek growth over the longer term in capital and income, and who understand and are willing to accept the risks and rewards of exposure to equities. 2 | CT UK Capital and Income Investment Trust PLC Overview Chair’s StatementOverview Auditor’s Report ## Financial Highlights ## for the year ended 30 September 2025 Strategic Report Governance Report Financial Report Notice of Meeting ### Ordinary dividends – 32nd Dividend Yield ## 13.00p 3.9% ### consecutive annual increase ### The annual dividend yield for | Dividends for the year | the Company is 3.9% (2024: | | --- | --- | | represent a 4.0% (2024: 2.9%) | 3.7%) based on the paid and | | increase on the prior year | proposed dividends for the | | (2024: 12.50p), our thirty- | 2025 financial year and the | | second consecutive annual | share price as at 30 September | | rise. | of 337.0p (2024: 334.0p). | ### Net Asset Value per share Share price total return* ## 5.9% 4.9% ### total return* ### The share price total return | The Net Asset Value per share | for the year was 4.9% (2024: | | --- | --- | | total return for the year was | 16.6%). The share price as | | 5.9% (2024: 18.4%). This is in | at 30 September 2025 was | | comparison to the Benchmark | 337.0p (2024: 334.0p). | ### FTSE All-Share Index which ### returned 16.2% (2024: 13.4%). ### Shares ended the year at a ## (4.0)% ### discount* of 4.0% (2024: 2.9%) ### The shares traded at an average ### discount to NAV of 3.8% (2024: ### 3.8%) over the year. Other Information * See Alternative Performance Measures on pages 94 and 95 for explanation Report and Accounts 2025 | 3 # More Than Three Decades of Dividend Growth by investing in top UK businesses The Company has increased its annual dividend paid to Shareholders every year since 1993. This is despite facing diverse challenges including the UK recession of the early 1990s, the Asian Financial Crisis, the September 11 attack on the New York World Trade Centre, the Global Financial Crisis, COVID-19 and more recently the ongoing war in Ukraine. A key feature of the structure of an investment trust is that it allows companies such as ours to accumulate a Revenue Reserve from undistributed income in good years and then to draw down from it when circumstances are more challenging. The Board knows that Shareholders appreciate a steadily rising dividend and, for example, during COVID-19, chose to pay dividends to Shareholders in two years that were not fully covered by annual earnings. Over that time, an initial investment of £1,000 in CT UK CAPITAL AND INCOME INVESTMENT TRUST has yielded £2,631 in gross income, assuming dividends had not been reinvested. This compares to just £1,145 paid out on the FTSE ALL-SHARE INDEX based on the annual dividend yield, and £1,229 earned from a SAVINGS ACCOUNT paying the Bank of England base rate over the same period. Dividend Progression since launch in September 1992 ![img-0.jpeg](img-0.jpeg) Cumulative income received by Shareholders from a £1,000 investment at launch in September 1992 ![img-1.jpeg](img-1.jpeg) ### AIC Dividend Hero Companies which have consistently grown their annual dividend for over twenty years are classed by the AIC as Dividend Heroes. Our Company is one of a small group of investment trusts which have achieved this standard. The Board is proud that the Company is an AIC Dividend Hero and it is our intention to extend this record of continuous growth in annual dividend. ![img-2.jpeg](img-2.jpeg) 4 | CT UK Capital and Income Investment Trust PLC Chair's Statement # Chair's Statement "The Company's long-term income delivery for Shareholders remains compelling: £1,000 invested in 1992 has generated £2,631 in dividends, compared to £1,145 from the FTSE All-Share. The Board recognises that Shareholders want the Company to continue to pay reliable and increasing dividends. It remains firmly our intention to continue to build on this record of dividend growth." Nicky McCabe, Chair Dear Shareholder, I am pleased to write to you as Chair, having taken over from Jane Lewis on her retirement from the Board at the Annual General Meeting earlier this year. I would like to thank Jane for her hard work, enthusiasm and wise insight during her time as Chair and for her tenure on the Board before that. **Income Level and Growth – 32 consecutive years of dividend increases, an above inflation dividend payout, resulting in a yield of 3.9%** This is the 32nd year that the Board is declaring an increased dividend for the Company. Our fourth quarter dividend will be 4.15 pence per share, resulting in a dividend of 13.0 pence for the full year. As a consequence, the Company's shares will yield 3.9%. Our annual dividend has increased by 4.0%, ahead of the rate of CPI for the year to September of 3.8%. The fourth quarter dividend of 4.15 pence per share will be paid on 31 December 2025 to Shareholders on the register on 12 December 2025. The ex-dividend date will be 11 December 2025. The Company's long-term income delivery for Shareholders remains compelling: £1,000 invested in 1992 has generated £2,631 in dividends, compared to £1,145 from the FTSE All-Share. The Board recognises that Shareholders want the Company to continue to pay reliable and increasing dividends. It remains firmly our intention to continue to build on this record of dividend growth, which is supported both by the strength of our Revenue Reserve and now our former Share Premium Account – more on this below. Together, these two reserves amount to almost £152 million, compared to the cost last year of our dividend of £12.6 million. To that end, following the approval by Shareholders at this year's Annual General Meeting ("AGM"), the Company successfully completed a court process to cancel the Company's sizeable share premium account on 4 July 2025. Converting the Share Premium Account to a distributable reserve has provided us with the significant pool of reserves to fund dividends, share buybacks and other returns of capital, as described above. Why was this important? In recent years, the UK stock market has become a more challenging place from which to generate steady and growing income. There are two reasons for this. First, companies have become less tied to the principle of maintaining and growing their dividends. Computershare, who looks after the shareholder registers of Report and Accounts 2025 | 5 Chair's Statement ![img-3.jpeg](img-3.jpeg) 900 UK companies, states that dividends for the third quarter of 2025 As many of you know, one of the oldest adages in investing is that time were down 1.4% year on year and forecasts that total UK dividends in the market is more important than trying to time the market. Many for 2025 will fall by 2.3%. Secondly, many companies are increasingly of our Shareholders have been with us since inception, and I thank you returning capital to shareholders via share buy-backs sometimes as a for investing with us. The team at Columbia Threadneedle Investments replacement to dividends. It is estimated that 160 UK companies are have seen many investment cycles since our launch, and have now running share buy-back programmes. considerable experience navigating difficult conditions, not least the boom in the share prices of Technology, Media and Telecommunication Against this background, our income from investments increased by (TMT) companies during the late 1990s, the Global Financial Crisis of 3.0% during the year, a creditable result. The increase in net revenue to 2007-09 and the impact of Covid. Each of those produced volatility in Shareholders on a per share basis, after reduced borrowing costs and share prices and initially disappointing returns for Shareholders, but fewer shares in issue, was 8.5%. with firm conviction and a dedication to the investment process on each occasion there was a subsequent strong recovery in absolute and Review of the Last Year: A strategic mid-cap orientation, relative performance. The team will be working hard to achieve that and with a focus on high quality companies the Fund Manager’s Review discusses the year’s market conditions and The UK stock market rose considerably over the last year, well ahead provides a greater analysis of performance and attribution of returns. of the rate of economic growth and inflation. However, in a similar way to the Magnificent Seven in the US market, the gains in the UK market Alongside this, the Board is working with Columbia Threadneedle were largely concentrated in a small number of large cap stocks. This Investments to enhance our marketing to existing and new has proven to be a difficult background for our Fund Manager, as he Shareholders. In particular, we will be looking to broaden our appeal to has always had a strategic mid-cap orientation. Whilst the share prices people who invest for the long term via the retail platforms. To that end, of many of the very largest UK companies rose strongly - the FTSE we have a broad mix of skills on the Board to work with the Manager, All-Share Index rose by 16.2% - the FTSE Mid 250 index and FTSE on behalf of our Shareholders. Smaller Companies Index have risen by a more modest 8.1% and 8.9% respectively. By comparison, our Net Asset Value (“NAV”) per share Fund Manager Succession and our share price rose by 5.9% and 4.9% respectively. While an Our long-serving Fund Manager, Julian Cane, will step down from absolute rise for our Shareholders, this is clearly a disappointing result managing the Company with effect from 1 January 2026 and will be versus the overall UK market. We did have a strongly positive year for succeeded by Dominic Younger. absolute and relative returns for the year to 30 September 2024, but our underperformance this year inevitably impacts our long-term record Julian has been the Company’s Fund Manager for a remarkable 28 as well. years. During this period the NAV total return of the Company has been 535% and the share price total return 567%, both outperforming the | Performance over 1 year: | | Performance over 25 years: | | | --- | --- | --- | --- | | NAV per share total return +5.9%, FTSE All-Share +16.2% | | NAV per share total return +323.5%, FTSE All-Share +298.2% | | | | 120 | | 540 | 500 115 460 420 110 380 340 105 300 100 260 220 95 180 140 90 100 | 85 | | | 60 | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | Sep 25Jul 25May 25Mar 25Jan 25Nov 24Sep 24 | Sep 00 | | Sep 05 Sep 10 Sep 15 | | Sep 20 | Sep 25 | | | CT UK Capital and Income - share price total return* | | | CT UK Capital and Income - share price total return* | | | | | | | CT UK Capital and Income - NAV per share total return* | | | CT UK Capital and Income - NAV per share total return* | | | | | | | FTSE All-Share – total return | | | FTSE All-Share – total return | | | | | | Source: Refinitiv Eikon Rebased to 100 at 30 September 2024 | | | Source: Refinitiv Eikon | | | Rebased to 100 at 30 September 2000 | | | *See Alternative Performance Measures on pages 94 and 95 for explanation. 6 | CT UK Capital and Income Investment Trust PLC Chair's Statement Benchmark FTSE All-Share Index which returned 528%. Alongside this, the Company's annual dividend increased 189%, compared to 123% for the FTSE All-Share Index and 100% for the rate of CPI. In recognition of the 32 consecutive years of increased annual dividends the Company is an AIC Dividend Hero and there are only 13 investment trusts with a longer record of annual dividend increases. The Board would like to record its thanks to Julian for his commitment to the long-term success of the Company and wishes him well for the future. Julian will remain with Columbia Threadneedle Investments as a senior member of the UK Equity team, ensuring a smooth handover of responsibilities. Dominic Younger, who joined Columbia Threadneedle Investments in 2013, is a fund manager on the UK Equities team and has worked alongside Julian managing the firm's UK Equity Income strategies since 2021. Dominic is currently lead portfolio manager of the CT UK Monthly Income Fund and the CT Monthly Extra Income Fund. Dominic holds a BA (Hons) in History from Newcastle University. He also holds the Chartered Financial Analyst designation and the Investment Management Certificate. The Board looks forward to working with Dominic and the wider Columbia Threadneedle Investments team. The Company's investment policy and objective will remain unchanged. #### Share Price discount to NAV During the year, the share price has traded from Net Asset Value per share to a discount of 5%, with the shares in a narrower range of 3% to 5% for over six months of the year. The Board is keen to make sure the share price does not trade at prices that are too detached from the underlying NAV per share and the Company can buy-back its own Share price discount to NAV over one year (%)* ![img-4.jpeg](img-4.jpeg) Source: Columbia Threadneedle Investments *See Alternative Performance Measures on pages 94 and 95 for explanation. shares (if the discount between the share price and the NAV per share is too great) and to issue shares (if they are trading at a sufficient premium to the NAV). Our share buy-back programme was active throughout the year and bought back a total of 4.2 million shares at an average discount of 4.1%. This is very similar to the amount bought back in the previous year. Buying back these shares added 0.2% to the NAV. At the forthcoming AGM, the Board will again ask Shareholders to renew its authorities to issue shares at a premium and buy-back at a discount. This should assist the Board in continuing to protect the discount to NAV at which the Company's shares may trade. #### Gearing Throughout the year, we have borrowed funds to invest in our portfolio. The amounts borrowed were reduced from £28 million to £15 million at year-end, as funds were raised by reducing a number of stocks, and taking a slightly more cautious view of investment markets. #### Costs The Board aims to run the Company as efficiently as possible, and our cost ratio remains competitive at 0.66% of net assets. Expenses rose over the year in absolute terms, but remained steady as a percentage of average net assets. Paying for portfolio management is the Company's largest expense and this is directly related to the value of the assets. Although NAV per share increased during the year, total assets decreased as a result of share buy-backs and our reduction in gearing. #### ESG Consideration of Environmental, Social and Governance ("ESG") issues has long been an integral part of the investment process for our investment manager, and Columbia Threadneedle Investments has one of the largest and longest-established teams dedicated to such issues. There is a detailed commentary on pages 28 to 31 which explains Columbia Threadneedle Investment's ESG policies and how these have been implemented within our portfolio. #### Directorate Change At the AGM in March 2025 it was announced that following Jane's departure, John Blowers would join the Board. John has experience of direct to consumer marketing through his time as a former marketing and managing director at Interactive Investor, and has a deep investment trust knowledge. We look forward to John working with Dunke, a fellow board member, on widening our appeal to new and existing personal Shareholders. Report and Accounts 2025 | 7 Chair's Statement AGM Although at the headline level the UK stock market has performed We would be delighted if you could join us at the AGM to be held at well over the last year, the concentration of these returns amongst 12.30pm on 5 March 2026 at the offices of Columbia Threadneedle a small number of companies has left many other companies Investments, Cannon Place, 78 Cannon Street, London, EC4N 6AG. trading at attractive valuations. There seems little doubt that there This will be followed by a presentation by Dominic Younger, on the is considerable opportunity in the UK stock market, but the negative Company and its investment portfolio. sentiment around the UK economy has attached itself to much of the stock market, leading to uncertainty holding back greater strength from For Shareholders who are unable to attend, any questions they a wide number of companies. may have regarding the resolutions proposed at the AGM or the performance of the Company can be directed to a dedicated email The Board considers your Company is well placed to continue to deliver account, ctukagm@columbiathreadneedle.com, by Thursday 26 further dividend growth and to take advantage of opportunities within February 2026. We will endeavour to address as many of these the UK stock market to deliver attractive returns to Shareholders in questions at the meeting as possible. In addition, the meeting will be future. I would like to thank Shareholders for their continuing support recorded and will be available to view on the Company’s website, and we look forward to introducing you to Dominic Younger at our AGM. www.ctcapitalandincome.co.uk shortly thereafter. In addition, the AGM and Fund Manager presentation will be broadcast Nicky McCabe live on the Investor Meet Company platform. This broadcast is open Chair to all existing and potential Shareholders to view. Questions can be 3 December 2025 submitted pre-event via the Investor Meet Company dashboard up until 9.00am on 4 March 2026. Investors can sign up to Investor Meet Company for free and add to meet CT UK Capital and Income Investment Trust plc via https://www.investormeetcompany.com/ct-uk- capital-and-income-investment-trust-plc/register-investor. Investors who already follow CT UK Capital and Income Investment Trust plc on the Investor Meet Company platform will automatically be invited. To ensure that your votes will count, I would encourage all Shareholders especially those that cannot attend in person to complete and submit their Form of Proxy or Form of Direction in advance of the AGM. Outlook Although the immediate economic, political and geopolitical situations continue to appear challenging, as we have repeatedly seen, these situations often do not have a great bearing on stock market returns. There is certainly scope for improvement and any positive change could be well received by the UK stock market. UK inflation is now widely expected to have peaked, and this should allow the Bank of England to make further interest rate cuts over the next 12 months or so, allowing UK interest rates to get closer to the rates seen in Europe. The recent Budget has been well received by bond markets and this in turn may help to reduce bond yields, by lowering the additional premium demanded by holders of UK Government bonds compared to European sovereign bonds. Lower interest rates and bond yields should provide support both to the UK economy and also to the UK stock market. 8 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report ## Fund Managers ## On 1 January 2026, Julian Cane, the Company’s Fund Manager since 1997, will step down. He will ## be succeeded by Dominic Younger. Julian will remain with Columbia Threadneedle Investments as a ## senior member of the UK Equity team ensuring a smooth handover of responsibilities. Strategic Report Governance Report Financial Report Notice of Meeting | Julian Cane, Fund Manager | Dominic Younger, Fund Manager is a | | --- | --- | | is a Director and Fund Manager in the | portfolio manager on the UK Equities team. | | UK Equities team. He joined Columbia | He joined Columbia Threadneedle in 2013 | | Threadneedle through the acquisition of BMO | and works on the UK Equity Income strategy. | | GAM (EMEA) in 2021, having previously been | With effect from 1 January 2026, he will | | with BMO (and its predecessor companies) | be the Fund Manager for CT UK Capital | | since 1993. He became the Fund Manager | and Income Investment Trust PLC. Dominic | | for CT UK Capital and Income Investment | is lead portfolio manager of the CT UK | | Trust in 1997 and will step down on | Monthly Income Fund and the CT Monthly | | 1 January 2026. Prior to joining the group, | Extra Income Fund. He previously worked in | | he worked for Mitsubishi Bank in Corporate | client portfolio management in the UK equity | | Finance and Treasury. Julian has an MA | team. Dominic holds a BA (Hons) in History | | degree in Economics from the University of | from Newcastle University. He also holds | | Cambridge and passed the examinations | the Chartered Financial Analyst designation | | of the Institute of Investment Management | as well as the Investment Management | | and Research before it merged with the CFA | Certificate. | Society. Other Information Report and Accounts 2025 | 9 # Fund Manager's Review "While we wouldn't want to make an explicit forecast for the market Index, we do firmly believe there are many shares with very attractive valuations, particularly outside of the largest companies. We anticipate as the potential of these medium- and smaller-sized companies becomes more widely appreciated that future returns should be attractive. Our dividend payments to shareholders are well underpinned by the reserves we have and the dividends we receive from our investee companies, from which we are seeing reasonable levels of growth." Julian Cane, Fund Manager ![img-5.jpeg](img-5.jpeg) Q What dividend will be paid to Shareholders this year and how sustainable is it? A The full year dividend will be 13.0p per share, a yield of 3.9%. This year's dividend has increased by 4.0%, ahead of the rate of CPI for the year to September of 3.8%. We know our shareholders like our regular and growing dividend with the growth ahead of the rate of inflation since launch in 1992. This has included periods of severe market disruption and substantial cuts in dividends from the stock market generally. It is very much our intention to continue to grow the dividend, through a combination of stock selection and judicious use of reserves. OSB Group was the largest contributor to our income last year and despite starting the year with a high dividend yield of 8.4%, it increased the dividend by 4.9% during the year. Legal and General and Phoenix were the next two largest dividend payers, also high yielders and their dividends grew by 4.1% and 2.6% respectively. LondonMetric Property increased its dividend to shareholders by 14.6% following its merger with LXI REIT, while ICG increased its dividend by 5.1%; these were our fourth and fifth largest dividend payers. This is to illustrate it is possible to find companies with attractive and growing dividend yields. We believe it is important to find companies where the dividends are supported by operational strength and a strong balance sheet in order to make the dividends sustainable and growing over time. Q What has happened to dividend payments from UK companies more generally? A The latest data from Computershare shows dividend payments from the UK's listed companies have been fairly static, and that in the third quarter of 2025 total dividend payments were down 1.4% year on year. This figure includes special dividends, and excluding these, on an underlying, constant-currency basis, there was a decline of 0.6%. Medium and long-term dividend growth from the UK stock market as a whole has also been pedestrian. Total dividends expected to be paid in 2025 are £87.2bn, a decline of 4.9% over the last 3 years and a decline of 14.8% compared to 2019 (the peak year of dividend payments, pre-Covid). Over nine years, dividends have increased by a total of 2.8%, well below both the rate of inflation and our own dividend growth to shareholders. Slow dividend growth from the market is not because companies are performing poorly. Instead many companies are doing buy-backs in 10 CT UK Capital and Income Investment Trust PLC Strategic Report preference to paying dividends; share buy-backs are now estimated in companies which we believe have better dividend growth potential Chair’s StatementOverview Auditor’s Report to account for about 40% of all shareholder distributions. Although than average. these are cash payments out of the investee company, they do not flow to all shareholders, so cannot be counted as dividend receipts. Share buy-backs are expected to remain popular with companies for sound reasons. Buy-backs provide an efficient route for companies to return capital to shareholders, and, depending on the valuation ## Q What do we expect the market’s dividend of the shares, most buy-backs are earnings accretive, while the ## performance to be in the future? actual purchase should be supportive of the share price. When the Strategic Report Governance Report Financial Report Notice of Meeting A Computershare expects a slight deterioration in dividend payments valuations of many UK companies are so undemanding, this makes in the UK, with total payments forecast to be down 2.3% for 2025 logical sense, but it does provide a more difficult background against compared to 2024. We broadly agree with this forecast, although we which to grow our natural income. expect your portfolio to do better than this as we focus on investing Table A: Absolute performance of stocks held during the year Portfolio Average Total Return to the Portfolio Average Total Return to the 10 Strongest share prices Weight (%) Investee Company (%) 10 Weakest share prices Weight (%) Investee Company (%) Babcock International 1.1 183.8 Burford Capital 3.4 -9.7 St. James's Place 1.0 76.2 Diageo 0.8 -10.2 Burberry Group 0.5 66.6 Pets At Home 0.6 -12.1 OSB Group 5.9 56.7 Hikma Pharmaceuticals 0.2 -14.9 British American Tobacco 1.7 53.3 International Paper 0.2 -21.7 BT Group 1.7 45.8 Ibstock 1.6 -23.3 Coca-Cola HBC 0.7 44.6 XP Power 1.0 -28.1 M&G 0.7 33.4 FDM Group 0.1 -40.3 Phoenix Group 2.2 32.5 WPP 1.0 -48.7 DS Smith 0.6 27.6 Vistry Group 2.6 -50.5 Source: Columbia Threadneedle Investments Table B: Relative to the Benchmark Index | | | | | | | Total | | | | | | | | | Total | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | Portfolio | | | Average | | Return | Contribution | | | Portfolio | | | Average | | Return | Contribution | | | | Average | | | Weight | | to the | To Relative | | | Average | | | Weight | | to the | To Relative | | | Top 10 | Weight | | Relative to | | Company | | Performance | | Bottom 10 | Weight | | Relative to | | Company | | Performance | | | Contributors | | (%) | the Index (%) | | | (%) | | (%) | Contributors | | (%) | the Index (%) | | | (%) | | (%) | OSB Group 5.9 5.8 56.7 1.8 WPP 1.0 0.7 -48.7 -0.6 | Babcock | | Intermediate Capital | | | --- | --- | --- | --- | | | 1.1 0.9 183.8 0.9 | | 5.9 5.7 4.0 -0.6 | | International | | Group | | Diageo 0.8 -1.2 -10.2 0.7 Ibstock 1.6 1.6 -23.3 -0.6 Glencore 0.0 -1.6 0.0 0.7 Barclays 0.0 -1.8 0.0 -0.7 London Stock 0.0 -2.2 0.0 0.6 BAE Systems 0.0 -1.9 0.0 -0.7 Exchange Group LondonMetric Haleon 0.0 -1.3 0.0 0.4 4.3 4.1 -5.2 -0.8 Property DS Smith 0.6 0.4 27.6 0.3 Burford Capital 3.4 3.4 -9.7 -0.9 St. James's Place 1.0 0.8 76.2 0.3 Rolls-Royce Holdings 0.0 -2.6 0.0 -1.8 BT Group 1.7 1.3 45.8 0.3 HSBC Holdings 0.0 -6.2 0.0 -2.1 Other Information Coca-Cola HBC 0.7 0.4 44.6 0.3 Vistry Group 2.6 2.5 -50.5 -2.7 Source: Columbia Threadneedle Investments Report and Accounts 2025 | 11 # Q How will the increase in distributable reserves help protect our Company's dividends? A Over the years, we have built up our Revenue Reserve to help smooth our dividend payments. As a result of the Revenue Reserve, and our conversion of the Share Premium Account to a distributable reserve in the summer, we have a very significant safety-net from which the Company can draw to maintain and increase our dividend payments to Shareholders. # Q Turning to capital returns, what was behind the rise in stock markets around the world? A The FTSE All-Share Index rose 16.2% last year, while many other international stock markets also recorded substantial gains. The highest profile of these was the US S&P 500 which gained 17.6% and the US Nasdaq 100, which gained 23.9%, while the Japanese Nikkei 225 gained 20.8%. Although there are rational reasons for the markets' gains, not least growing expectations of lower interest rates and strengthening economies, other more speculative forces are also at work. The US stock market is now dominated by the so-called Magnificent Seven, the seven largest quoted companies in that country. The valuations of those companies have surged on the theme of AI – Alternative Intelligence – and all the hoped-for revenue and profits this may bring them. These seven companies alone now represent over 36% of the US stock market, an extremely high level of concentration, and hence they have a disproportionate impact on the performance of the US market. Whilst not unprecedented, there is an increasing number of seasoned investors who are comparing the current situation to the boom of the Technology, Media and Telecommunications ("TMT") sectors during the late 1990s. Then company valuations rose ahead of the widespread expansion of the internet and mobile telecoms. The subsequent bust from 2000 onwards reflected the reality that actual revenues and profits are often much more difficult to achieve than the initial promoters thought. Although the UK market has no direct beneficiaries from the enthusiasm for AI, it too became a very concentrated market last year in performance terms, with a handful of large companies and sectors driving much of the rise, and most other companies making much more limited headway. At the forefront of the UK market's surge were the Aerospace & Defence companies such as Rolls-Royce and BAE, and the large retail Banks (all of which are in the FTSE 100 Index), with the rise in those share prices for outstripping the vast majority of other companies. This can be partly illustrated by observing the performance gap between the FTSE 100, FTSE 250 and FTSE Small Companies Indices and by noting that the median company in the FTSE All-Share Index rose by 5.5%. The rise of the UK stock market clearly did not relate to the UK economy itself. As we and others have long noted, the UK stock market is not a proxy for the UK economy, which endured another year of low growth, rising by only 1.1%. Share prices also shrugged off the continuing rise in geopolitical tensions and worsening fiscal deficits across much of the developed world but the persistence of inflation may have encouraged investors to look for some inflation protection, which equities have historically been better able to provide than bonds or cash. This is also likely to be behind the surge in value of gold and bitcoin (+46% and +51% respectively relative to the US dollar). Neither of these have an objective valuation and so are an indicator of the strength of speculative activity in asset markets. # Q What were the main influences explaining the rise in the Company's NAV per share? A The Company's NAV total return per share rose by 5.9%. Within our portfolio, the share prices of some of our investee companies were exceptionally strong, with five rising by more than 50% (Babcock International +183.8%, St. James's Place +76.2%, Burberry Group +66.6%, OSB Group +56.7%, British American Tobacco +53.3%), not because of some dramatic company news, such as a take-over approach, but more because these companies' prospects started to be better appreciated by the stock market. This reflected both external circumstances and their own internal improvements. We also suffered some severe disappointments with three share prices falling by more than 40% (Vistry Group -50.5%, WPP -48.7%, FDM -40.3%). When share prices fall sharply and diverge significantly FTSE Total Return Index ![img-6.jpeg](img-6.jpeg) Source: Refinitiv Eikon Published to 100 at 30 September 2024 12 CT UK Capital and Income Investment Trust PLC Strategic Report FTSE All-Share Index – Price/Earnings Ratio (%) ![img-7.jpeg](img-7.jpeg) FTSE All-Share Index – Dividend Yield (%) ![img-8.jpeg](img-8.jpeg) from our assessment of a company's intrinsic value, it triggers a review to re-examine our investment thesis for the company. Ultimately, this is to assess whether we continue to have confidence that the share price is cheap, or to sell, despite the loss in value. Of the ten weakest share prices in Table A on page 11, we sold our remaining investment in three of the companies. Underlying operational progress in the stocks we have owned was mostly encouraging during the year, but our exposure to UK building, such as Vistry Group (a housebuilder) and Ibstock (a brick manufacturer) performed poorly as the much promised and hoped-for domestic recovery, which was supposed to be jump-started by the Government, has yet to occur. ### Q What accounts for the difference between the Company's performance and that of the UK Index? A While the headline gains for the UK stock market in the year to 30 September 2025 were substantial, with the FTSE All-Share gaining 16.2%, we did not capture much of that in our performance. The net result is clearly very disappointing for shareholders. Table B on page 11 contains a detailed attribution that explains the part played by the largest contributors and detractors from performance relative to the Index over the year. On the positive side, it shows we owned shares in a number of companies that rose strongly in value, as well as not owning shares (or being underweight relative to the Index) in a number of companies whose share prices fell sharply. On the negative side, as in Table A on page 11, we owned shares in some companies where the share price fell sharply, but almost equally as important were the companies we had not invested in, but whose share prices rose strongly, such as HSBC Holdings (+66%) and Roll-Royce Holdings (+129%). We monitor these closely too to assess whether our investment thesis not to invest in those companies is still valid and the share prices are undeservedly high, or whether we have overlooked an element of the company's business and underestimated its intrinsic worth. When stock market performance is as concentrated in a small number of companies as it was last year, what is not owned in a portfolio can be more important than the companies that are owned, at least for performance relative to an index. One measure of assessing the impact of this concentration effect is to note the top 10 contributors to the index accounted for almost 36% of the total move, with HSBC Holdings and Rolls-Royce Holdings alone accounting for close to half of that (16.7%). Considering the size of the relative underperformance, the unusual and concentrated nature of market returns last year had the impact of magnifying any portfolio's differences relative to the Index. ### Q Looking to the future, what returns do you expect from the stock market? A We believe the most important indicator of future returns from stocks is their valuation. For the market as a whole, the two simplest valuation indicators are the price/earnings ratio and the dividend yield. While both of these indicators had been trading cheaply relative to long-term averages, the recent increase in the stock market has meant that at a headline level, the market is now just a little more Report and Accounts 2025 | 13 Strategic Report expensively valued than average relative to its own history. This, though, is not a negative observation as the market has risen on average over the 20 years by a compound rate of 6.8% per annum, so if this average growth rate were to be achieved in future from the starting point of an average valuation, it would still be well ahead of the rates offered by cash or government bonds. Probably an important part to unlocking further value from the UK stock market will come as inflationary pressures ease, as they are expected to over the next couple of years. This in turn should allow interest rates to be lowered further and if the Government can stabilise and improve the fiscal situation, bond yields could reduce too. This background would be much more positive both for the UK economy and also the UK stock market, particularly those companies with the greatest exposure to the UK economy. While we wouldn’t want to make an explicit forecast for the market Index, we do firmly believe there are many shares with very attractive valuations, particularly outside of the largest companies. We anticipate as the potential of these medium- and smaller-sized companies becomes more widely appreciated that future returns should be attractive. Our dividend payments to Shareholders are well underpinned by the reserves we have and the dividends we receive from our investee companies, from which we are seeing reasonable levels of growth. ## Q How will I hand over investment management ## responsibilities to Dominic? ## A On 1 January 2026 Dominic Younger will succeed me as Fund Manager for the Company. I have been Fund Manager for 28 years and will be passing over responsibility for the Company’s investment management in the knowledge that over that period the Company’s NAV and share price total returns have exceeded that of its Benchmark, FTSE All-Share index. With 32 consecutive annual dividend increases the Company remains an AIC Dividend Hero. Dominic and I are already discussing the transfer of responsibilities. I will remain with Columbia Threadneedle Investments as a senior member of the UK Equities team ensuring that a smooth handover will occur. I wish Dominic well and am confident that the long term success of the Company will continue under his management. Julian Cane Fund Manager 3 December 2025 14 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report ## The Manager’s Investment ## Philosophy and Process ## Q&A with Julian Cane and Dominic Younger Strategic Report Governance Report Financial Report Notice of Meeting ## Julian Cane, Dominic Younger, ## Fund Manager Fund Manager On 1 January 2026 Dominic Younger will succeed Julian Cane as Fund ## Q How does the intention to pay a growing Manager of the Company. ## dividend to our Shareholders affect your ## Q Could you outline the Company’s investment investment decisions? ## objective? A We are very conscious to invest in a portfolio that is diversified across many different aspects; one of these is yield. We have twin ## A The Company’s objective is to secure long-term capital and income objectives, to grow capital and income, and believe that by growing growth from a portfolio consisting mainly of FTSE All-Share companies. capital, then income can grow from the increased capital. ICG is the The Company aims to offer Shareholders a reliable and growing best example of this as over the last decade its dividend per share income while at the same time seeking to grow the size of their has increased from 21 pence to 83 pence, and its share price from investment. 581 pence to 2226 pence. We believe there is a danger to investing The Investment Process Focuses on Three Aspects for Each Company ### • Understandable ### • Durable competitive advantages ### • Attractive business model ### Q u a l i t y ### • Strong sustainability characteristics ### • Margin of safety • Proven operators ### • Present value of future • Responsible capital cash flows allocators ### • Sustainable superior • Aligned interests returns ### • Appropriate incentives ### t ### • ESG score embedded n ### • Strong governance ### e ### V in proprietary valuation ### a m Other Information ### l method e ### u g ### a a ### t n ### i o ### n a ### M Report and Accounts 2025 | 15 solely in higher yielding equities as historically many of these have relatively little debt, we should be able to reduce the risk of a subsequently had very limited capital growth, and even worse, some go permanent loss of capital. on to cut their dividends. ## Q What research is undertaken prior to an ## Q What is the manager’s investment philosophy? ## investment purchase ## A With our colleagues we have been searching out the very best of ## A We carry out detailed analysis of all the companies in which we the UK’s large and medium sized businesses to give Shareholders invest, looking in particular at three aspects: the Quality of the company access to a range of quality UK stocks in one place. We believe share including the sustainability of its competitive position; its Management prices often do not fully reflect the future prospects and returns of including its alignment with Shareholders; and the Valuation of the companies. We believe it is possible to identify significant differences shares. Integral to our assessment of these factors is an analysis of between market prices and our assessment of a business’ value. the ESG issues that face the company and its responses to them. More detail on this is given on pages 28 to 31. Our valuation approach By investing in such companies at attractive prices, superior is pragmatic enough to apply the most relevant valuation method on a investment performance can be generated. In particular, we believe company by company and sector by sector basis, while recognising that that companies with the potential to compound returns at sustainably in the long-term, cash flows are most often the strongest driver of value. high rates over many years are frequently underestimated by the Before buying, we assess whether the share price is low relative to the market initially and are therefore undervalued. The valuations of intrinsic value of the business as we are looking to achieve a margin of companies can also become attractive because of adverse market safety on the investment. reaction to short term difficulties or simply because a sector has become unfashionable. If companies are able to generate attractive Our research is conducted in-house and is peer reviewed by the wider returns over long periods, there is evidence the market eventually investment team prior to any purchase decision. This ensures the rewards this success with higher valuations. benefit of shared knowledge and experience is brought to bear on each investment. ## Q What are the outcomes of this philosophy? ## A We believe that this philosophy leads naturally to long term Q How is an investment monitored after ## investment thinking and the generation and preservation of value over purchase? the longer term. We are not looking to trade shares, nor are we making ## A Subsequent to a purchase of the shares, the progress of the short term bets on market movements, but instead are looking to the company and its share price will then be monitored regularly with in- longer term. Over time, we expect high corporate returns to drive an depth reviews and retesting of the original investment thesis particularly increase in the value of a business and that in turn the share price will if the company or its share price do not perform as initially expected. benefit as the market recognises the level and sustainability of those returns. Like all investors, we are having to make assessments about the future and take decisions in the face of uncertainty. There is a real possibility As shareholders, we are part owners of businesses, and take our of being wrong. We believe that we can mitigate this risk by following responsibilities seriously, engaging with the company’s management this long-term philosophy, emphasising a number of factors: thorough and non-executives if necessary, and voting on all resolutions at analysis; peer review; the need for a margin of safety on purchase; company meetings. continuous monitoring; and diversification of the investment portfolio. ## Q What is your approach to risk? Reasons to sell can be driven by positive or negative factors: positive, A Risk is often seen as the flipside of return. The standard economic if the value of the company has risen to our assessment of its value, and business academic approach to risk measures it in terms of or negative, if the assessment of the company’s long-term value volatility. Sharp upward moves in share prices are seen as just as deteriorates significantly. An investment may also be sold if, for “risky” as an equivalent downward move, but we recognise this example, a similar, but cheaper alternative can be found or if the size asymmetry doesn’t make practical sense as the result of losing money of the investment position has become larger than is preferred for risk on falling share prices is much more consequential than if a share purposes. price rises. By investing in companies with attractive returns and 16 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report ## Q Will the investment philosophy and process ## change following the appointment of Dominic ## Younger? ## A There is no change to the Company’s investment objective of securing long term capital and income growth from a portfolio consisting mainly of FTSE All-Share companies and to offer Shareholders a reliable and growing income. The portfolio will remain Strategic Report Governance Report Financial Report Notice of Meeting diversified, and Dominic and his team will continue to search out the very best of the UK’s large and medium sized businesses. The investment philosophy and process will adjust slightly to reflect Dominic’s more value and contrarian approach with which he successfully runs the funds he manages currently. Julian Cane Dominic Younger 3 December 2025 Other Information Report and Accounts 2025 | 17 ## Purpose, Strategy and Business Model Purpose and strategy Having the ability to borrow to invest is also a significant advantage The purpose of CT UK Capital and Income Investment Trust (the over a number of other investment fund structures. Borrowing allows “Company”) is to provide investors with long term capital and income the Company to have more resources to invest on behalf of its growth. Shareholders. The strategy is to invest in companies, mainly in the FTSE All-Share Alignment of values and culture Index, that have good long term prospects with attractive returns on In addition to strong investment performance from the Manager, the invested capital. Board expects it to adhere to the very highest standards of responsible investing and that its values, culture, expectations and aspirations align The investment philosophy and processes underpinning this strategy with its own. As an original signatory to the United Nations Principles are set out on pages 15 to 17. for Responsible Investment (“UNPRI”), the Manager has achieved the maximum rating of A+ for key areas of its responsible investment The aim is to position the Company as a compelling investment choice, approach and active ownership in listed equities. particularly for retail investors. The Board considers the Manager’s culture and values as part of the Business model annual assessment of its performance and in determining whether its CT UK Capital and Income Investment Trust PLC is a listed, closed-end reappointment is in the interests of Shareholders. As part of Columbia investment company, known as an investment trust. Threadneedle Investments, the Manager can be expected to continue its long established culture of diversity, collaboration and inclusion, all The Company’s Board of non-executive Directors looks after the of which are anchored by shared values, in keeping with the Board’s interests of Shareholders. It has the responsibility for decisions on own expectations and beliefs. strategy, corporate governance, risk and control assessment, setting policies as detailed on pages 37 to 39, setting limits on gearing and Responsible investment impact asset allocation, monitoring investment performance and setting and The Company’s ESG approach is set out on page 28 and helps deliver monitoring marketing budgets. sustainable investment performance over the longer term. Within these policies the management of the Company’s assets, The direct carbon impact of the Company’s activities is minimal as it including asset allocation, gearing, stock selection and portfolio has no employees, premises, physical assets or operations either as a risk has been contractually delegated to Columbia Threadneedle producer or a provider of goods or services, while its Shareholders are Investment Business Limited (the “Manager”). effectively its customers. In consequence, it does not directly generate any greenhouse gas or other emissions or pollution. The Company’s The Company pays quarterly dividend distributions. Having increased indirect impact occurs through the investments that it makes and this its annual dividend paid to Shareholders every year for 32 years, the is mitigated by the Manager’s responsible investment approach as Company is recognised as an AIC Dividend Hero. explained on pages 28 to 31. As an investment trust, the Company does not need to sell investments Manager evaluation to meet redemptions. This allows the Company to take a longer term Investment performance and responsible ownership are fundamental view and to remain invested whatever the market conditions. to delivering sustainable long term growth in capital and income for Shareholders and the Board therefore exercises a robust annual evaluation of the Manager’s performance. 18 | CT UK Capital and Income Investment Trust PLC Strategic Report The process for the evaluation for the year under review and the basis on which the decision to reappoint the Manager for another year are set out on page 57. ### Fund Manager and management of the assets As Fund Manager on behalf of the Manager, Julian Cane is responsible for developing and implementing the Company's investment strategy with the Board and for the day-to-day management of the portfolio. With effect from 1 January 2026, Dominic Younger will succeed Julian Cane as Fund Manager. The biographies of Julian Cane and Dominic Younger are provided on page 9. They are further supported in carrying out research and in the selection of stocks by a team of investment professionals. ### Managing risks and opportunities Like all businesses, investment opportunities do not come without risks and uncertainties and so the performance of the Manager is monitored at each Board meeting on a number of levels. In addition to managing the Company's assets, the ancillary functions of administration, secretarial, accounting and marketing services are all carried out by the Manager. The Board receives reports on the investment portfolio; the wider portfolio structure; risks; compliance with borrowing covenants; income, dividend and expense forecasts; any errors; internal control procedures; marketing; Shareholder and other stakeholder issues, including the Company's share price premium or discount to NAV; and accounting and regulatory updates. Shareholders can assess the financial performance from the Key Performance Indicators that are set out on page 20, and on page 32 can see what the Directors consider to be the Principal Risks that the Company faces. In addition to regularly monitoring the Manager's performance, its commitment and available resources and its systems and controls, the Directors also review the services provided by other principal suppliers. These include JP Morgan Chase Bank, (the "Custodian") and JP Morgan Europe Limited (the "Depositary") in their duties towards the safeguarding of the assets. The principal policies that support the strategy are set out from page 37, whilst the Fund Manager's Review of activity in the year begins on page 10. In light of the strategy, investment processes and control environment (relating to both the oversight of the Company's service providers and the effectiveness of the risk mitigation activities), the Board has set out on page 34 its reasonable expectation that the Company will continue in operation and meet its liabilities over the coming five years. ### Marketing With approximately 92% of the shares held by retail investors and with share saving schemes and platforms representing an increasingly significant and growing element of the Shareholder base, the Board remains focused with the Manager on promoting the Company's success to this audience. Both current and potential investors have access to an increasing number of digital marketing channels. In recent years, therefore, the Company has responded by increasing its presence across a wider range of digital mediums with a focus on engaging and informative content. In addition, the Company continues to participate in webinars and investment events. ### Communication with Shareholders Communication with Shareholders includes reporting the Company's activities and performance through the publication of its financial statements. The vast majority of Shareholders and CT Savings Plan investors prefer not to receive such detailed information. To avoid losing this essential line of communication, we instead make available a short notification summary of the main highlights of our half yearly and annual results. Shareholders and CT Savings Plan investors are able to locate the full information on our website, ctcapitalandincome.co.uk. The Annual General Meeting ("AGM") of the Company provides a forum, both formal and informal, for Shareholders to meet and discuss issues with the Directors and the Fund Manager. Through the Manager, the Company ensures that the CT Savings Plan investors are encouraged to attend and vote at AGMs alongside those who hold their shares as members on the main Shareholder register. Details of the proxy voting results on each resolution are published on the Company's website where there is also a link to the daily publication of our NAV and our monthly factsheet. The Company holds a five yearly continuation vote. At the AGM held on 9 March 2023, Shareholders voted 99.5% in favour of the continuation of the Company. In advance of the vote, during 2022, the Board surveyed investors who held the Company's shares within the CT Savings Plans. Common themes amongst responses included the importance of performance, dividend growth, low fees and the reputation of the Manager. The next continuation vote is scheduled to be held in 2028. The Company's next AGM will be held at 12.30pm on 5 March 2026 at Cannon Place, 78 Cannon Street, London, EC4N 6AG. The Manager also has in place a programme of visits designed to foster good relations with wealth managers and underlying investors in promoting the Company's investment proposition. These visits are reported regularly to the Board. The Chair and Senior Independent Director are available to meet with major investors on request. Report and Accounts 2025 | 19 Strategic Report ## Key Performance Indicators ## The Board assesses its performance in meeting the Company’s objective against the following key ## measures. Commentary can be found in the Chair’s Statement and Fund Manager’s Review. Total return performance 1 Year 3 Years 5 Years 10 Years % % % % This is used to measure the performance of the Manager in terms of (1) NAV per share 5.9 41.9 69.8 103.4 capital and income growth by comparison to the return of the benchmark index. Benchmark index: FTSE All-Share 16.2 50.0 84.1 118.3 This is used to measure the return to Shareholders in terms of capital (1) Share Price 4.9 35.7 64.5 92.1 growth and the dividends they have received by comparison to the return of the benchmark index. Source: Columbia Threadneedle Investment Business Limited and Refinitiv Eikon Compound annual dividend growth | | 1 Year | | 3 Years | | 5 Years | | 10 Years | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | % | | % | | % | | % | | | Company dividend 4.0 3.3 2.5 2.6 | | | | | | | | | This shows the Company’s average dividend growth which is compared | to the changes in the UK Consumer Price Index (“CPI”) and the average Inflation (CPI) 3.8 4.3 5.0 3.3 dividend paid by the broad UK stock market, as represented by the FTSE FTSE All-Share Index - implied dividend 2.9 5.0 2.2 3.0 All-Share Index. Source: Columbia Threadneedle Investment Business Limited, Refinitiv Eikon and Office of National Statistics Share price (discount)/premium to NAV per share as at 30 September | | | 2025 | | 2024 | | 2023 | | | --- | --- | --- | --- | --- | --- | --- | --- | | | | | % | | % | % | | | | (1) | | | | | | This is the difference between the share price and the NAV per share. It is | | (Discount)/premium | | (4.0) (2.9) (1.2) | | | | | | an indicator of excess supply over demand in the case of a discount and Average discount to NAV during the (1) (3.8) (3.8) (3.1) the excess demand over supply in the case of a premium. year Source: Columbia Threadneedle Investment Business Limited Ongoing charges as at 30 September | | | 2025 | | 2024 | | 2023 | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | | % | | % | | % | | | | (1) | | | | | | | This shows whether the Company is being run efficiently. It measures the | | Ongoing charges | | 0.66 0.67 0.66 | | | | | | | running costs as a percentage of the average net assets. Source: Columbia Threadneedle Investment Business Limited (1) See Alternative Performance Measures on pages 94 and 95 for explanation. 20 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report Strategic Report Governance Report Financial Report Notice of Meeting Other Information Report and Accounts 2025 | 21 ## Twenty Largest Holdings | | | | 2025 | 2025 | 2024 | | --- | --- | --- | --- | --- | --- | | 30-Sep | 30-Sep | % of total | | Value | Value | | 25 | 24 | investments | | £’000s | £’000s | | 1 6 OSB Group (Financials) | | | 7.3 25,515 17,496 | | | This specialist challenger bank generates good returns and has grown well at carefully controlled risk levels. The company found progress more problematic when interest rates were rising, but we believe with rates having stabilised and now declining, that longer-term results should be stronger. 2 1 ICG (Financials) 6.3 21,925 22,705 A specialist lender to private companies both on its own behalf and increasingly for third-party investors. It has been generating good returns despite the difficult conditions and has great long-term potential to grow the business further. 3 2 AstraZeneca (Health Care) 5.7 19,789 20,507 A major international pharmaceutical company. Its pipeline of new drugs across a range of different therapeutic areas is proving successful and producing strong growth now with more potential further out. 4 8 Beazley (Financials) 4.9 17,233 15,220 A specialist insurer with a diverse underwriting portfolio that has historically generated good returns and growth. It has become increasingly recognised for the strength of its cyber insurance operations, which complement its other underwriting activities. 5 3 Unilever (Consumer Staples) 4.9 17,160 18,868 A leading manufacturer of branded fast-moving consumer goods with more than half of its sales in emerging markets which have greater growth potential. There has been a change in management to take the business further with its development. 6 7 RELX (Consumer Discretionary) 4.8 16,896 17,194 RELX is a global provider of information-based analytics and decision tools for professional and business customers across a range of industries. It also has a leading global events business. It generates high returns which we expect will improve further. 7 5 LondonMetric Property (Real Estate) 4.1 14,118 17,833 This Real Estate Investment Trust owns a desirable and differentiated portfolio of properties. It has a particular focus on delivering reliable and growing income-led total returns. 8 10 Legal and General (Financials) 3.7 12,852 12,215 A focus on generating a strong and growing cash flow allows this UK life assurer to pay an attractive dividend and have a regular share buy-back, which together make the total returns generated by the company attractive. 9 9 Rio Tinto (Basic Materials) 3.5 12,219 13,245 One of the world’s foremost mining companies. It has a diversified asset base, but its most significant interests are in low-cost, high-quality iron ore. It is our only current exposure to the mining sector. 10 14 Shell (Energy) 3.2 11,246 10,306 A leading international oil and gas exploration, production and marketing group. The management team is looking to reinvigorate the group with closer attention to total returns to shareholders, combining the dividend and share buy-back. This should be attractive, but inevitably will be sensitive to the commoditised oil price. 22 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report Strategic Report Governance Report Financial Report Notice of Meeting | | | | 2025 | 2025 | 2024 | | --- | --- | --- | --- | --- | --- | | 30-Sep | 30-Sep | % of total | | Value | Value | | 25 | 24 | investments | | £’000s | £’000s | | 11 12 Burford Capital (Financials)* | | | 3.0 10,308 11,531 | | | Burford is the leading international provider of litigation funding, using both its own financial resources and investing third-party capital. It has won a major case against Argentina, the appeal of which may extend to 2027, or beyond. Litigation funding is a fast evolving and growing market with attractive returns for those able to navigate its complexities well. 12 11 National Grid (Utilities) 2.7 9,544 12,072 An internationally diversified utility company, fairly evenly balanced between the different regulatory regimes of the UK and US with most of its operations owning and operating electricity transmission facilities and distribution networks. Increasing electrification, both in terms of use and generation of power, should increase its growth rate. 13 4 Vistry Group (Consumer Discretionary) 2.5 8,904 17,990 The company is refocusing itself on its partnership operations, where it builds new homes in conjunction with others, such as local authorities, housing associations and Homes England. This should make the business less exposed to the economic cycle than traditional housebuilders while generating attractive, more stable returns. 14 16 GSK (Health Care) 2.5 8,578 8,265 The business is now solely focused on its pharmaceutical and vaccine businesses which are starting to show greater signs of promise after a long period of disappointment. 15 17 Phoenix (Financials) 2.4 8,282 8,048 A UK domestic life assurer growing both by taking on new customers and through taking part in consolidation of the sector. Increased scale drives operational and capital efficiencies as well as diversification benefits that underpin an attractive dividend. 16 – BT (Telecommunications) 2.1 7,264 – BT’s scheduled programme of capital investment should soon start to reduce which will allow greater returns to shareholders. Meanwhile, it is continuing to simplify and slim down its business portfolio through the disposal of non-core assets. 17 30 British American Tobacco (Consumer Staples) 2.0 7,103 4,903 The company is transitioning towards a higher percentage of revenue coming from new, smokeless categories. After a long period of decline, its US operations have returned to growth in revenue and profit, and the dividend yield is attractive. 18 39 SSP (Consumer Discretionary) 2.0 6,851 2,891 This company operates food and beverage outlets in a wide range of travel locations internationally, using its own brands and bespoke concepts as well as franchised local and global brands. During the year, it floated a minority stake in its fast-growing Indian jv, which serves to further illustrate the value in the UK-quoted company. 19 18 Howden Joinery (Consumer Discretionary) 2.0 6,832 7,347 This business designs, manufactures and sells fitted kitchens, mostly in the UK. Its integrated value chain and efficiency make it a high returning business with the potential to grow and improve returns further. 20 22 BP (Energy) 1.9 6,811 6,266 A leading international oil exploration, production and marketing group with new senior leadership and another business strategy. It has a major activist shareholder Other Information on its register looking to drive value for shareholders. The value of the twenty largest holdings represents 71.5% (30 September 2024: 71.5%) of the Company’s total investments. *Quoted on the Alternative Investment Market in the UK. Report and Accounts 2025 | 23 # Investment Portfolio by Sector | | Performance of this sector in the portfolio % | Performance of this sector in the FTSE All-Share Index % | Average Portfolio weighting % | Average FTSE All-Share weighting % | Impact on relative performance % | | --- | --- | --- | --- | --- | --- | | **Energy** The Oil Majors, BP and Shell are the largest part of this industry segment. Somewhat unusually, they performed broadly in line with the wider UK stock market as the share prices of BP and Shell rose 15.5% and 13.8% respectively. Our investment weight in the sector has long been less than that of the Index as returns over the long-term that have been generated by the industry has historically been volatile, unpredictable, and, on average, not very attractive for investors. This largely stems from the fact that the oil price, which ultimately is a major driver of their results, is inherently unpredictable. Over the year, the price of barrel of Brent Crude Oil fell from around $72 to $65. Additionally, governments have a long record of interfering with the industry and it is not clear how the companies will transition their existing operations to a zero-carbon future. However, the maturity of the industry does lead the companies to have strong cashflow with relatively limited opportunities to invest, leading to returns to shareholders being fairly attractive via dividends and share buy-backs. | +14.4 | +13.4 | 5.0 | 9.3 | +0.1 | | **Basic Materials** There was a range of performances from the large mining companies last year. The share price of our investment in Rio Tinto declined -2.1%, which was in the middle of the range. Rio Tinto has some of the highest quality mining assets amongst its peer group and we believe that over the long-term and across commodity price cycles these should provide attractive returns and superior performance. | -5.2 | +2.1 | 3.6 | 5.7 | +0.1 | | **Industrials** Within this industry grouping, was our strongest performing company, Babcock (+183.8%). It is part of the Defence and Aerospace sector, which was strong on the prospect of increased defence spending by the UK and NATO allies. We are wary of unfunded commitments made by politicians, particularly for a decade hence, when probably none of them will still be in office and accountable. We also benefited from the take-over of DS Smith by International Paper. The disappointing share price of Ibstock, the brick manufacturer, stems ultimately from slow economic growth in the UK and in particular the very depressed rate of new house building. We expect this will improve. | +10.7 | +33.8 | 12.8 | 12.5 | -2.4 | 24 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report Strategic Report Governance Report Financial Report Notice of Meeting Performance Performance of this sector of this in the FTSE Average Average FTSE Impact on sector in the All-Share Portfolio All-Share relative portfolio Index weighting weighting performance % % % % % Consumer Staples The share prices of the large consumer staples were not +8.1 +8.1 8.4 14.6 +0.4 caught up in the concentrated rise of the stock market last year as the share price of Unilever fell -6.0% and Diageo fell -30.8%. We started the year with an investment in Diageo, but sold it before most of the fall happened. The share price falls reflect subdued economic growth, a more difficult pricing environment and growing questions about consumer trends. We had success in our investment in Coca-Cola Hellenic which rose 44.6% before we sold it. It has seen both operational success and a considerable re-rating since we first invested. Health Care Pharmaceutical companies AstraZeneca (-1.4%) and GSK +1.7 +0.0 9.6 11.1 +0.5 (+8.6%) both had relatively disappointing performance last year largely on concerns about US tariffs, and for the second successive year our newer holding in Smith & Nephew (+18.5%) performed more strongly. We have started a new holding in Hikma (-15.0%), an international pharmaceutical manufacturer. Consumer Discretionary This industry heading covers a very diverse range of -14.3 +2.6 16.8 11.0 -3.6 businesses, including retail, travel, media and housebuilding. The factors that had supported the sector in the previous year (the backdrop of an improving economy, inflation falling and expectations of falling interest rates) were in reverse last year. This, together with self-inflicted mistakes, led to the share price Vistry, the house builder, being down 50.5% and the largest detractor to our relative performance. Burberry, which had been the largest detractor in this group previously, had a strong rebound (+66.6%) reflecting a new chief executive and an improvement in trading. WPP (-48.7%), the media group, was also disappointing as it has been struggling to maintain its market share which has led to a significant de-rating. Other Information Report and Accounts 2025 | 25 | | Performance of this sector in the portfolio % | Performance of this sector in the FTSE All-Share Index % | Average Portfolio weighting % | Average FTSE All-Share weighting % | Impact on relative performance % | | --- | --- | --- | --- | --- | --- | | **Telecommunications** We have long been sceptical of the ability of telecommunications companies to drive value for shareholders as there has historically been little pricing power or differentiation of product/service, at the same as required capital expenditure has been substantial. This year, however, we started an investment in BT as we believe cashflow to shareholders should soon improve meaningfully as its investment programme starts to reduce. The share price rose 45.6% after our purchase. | +45.8 | +27.6 | 1.7 | 1.2 | +0.3 | | **Utilities** The underlying theme supporting the utilities, that more investment is needed in infrastructure, for electricity generation, transmission and water, was unaffected last year, but the firmness of interest rates and concentration of the stock market on other themes, left most stocks trailing the wider Index. The share prices of our holdings in National Grid, SSE and Pennon moved by +8.5%, -4.3% and +7.3% respectively. | +5.7 | +8.2 | 5.4 | 3.8 | -0.3 | | **Financials** Relative performance in this industry grouping was driven in an unusual way as much by what we didn't own in the portfolio, as what we did. While we have long invested in DSB (+56.6%) in preference to the main UK banks, and its performance was very strong, it did not quite match the performance of the other banks in absolute return (for example HSBC rose by 65.6%), or in size of investment. Intermediate Capital had a more subdued year, having risen by 67.6% the previous year, it only rose by 4.0% last year, but its growth continues apace. St. James's Place was another strong performer as it has taken the difficult step of restructuring its fees which should be positive for clients and future growth. | +21.4 | +36.1 | 30.2 | 27.0 | -2.9 | | **Technology** In contrast to some other stock markets, the UK does not have a large Technology sector. Sage Group (+9.2%) is our only investment in this industry. | +9.2 | +2.8 | 0.9 | 1.3 | +0.1 | | **Real Estate** By comparison with the previous year, interest rates were higher than expected and this, together with lacklustre economic growth, set a more difficult background for valuations for the whole property sector. LondonMetric fell -5.3% and Sirius Real Estate gained 6.0% after +25.9% and +19.8% respectively the previous year. | -2.2 | -8.3 | 5.6 | 2.5 | -0.4 | The figures shown in the first two columns compare the total return of the group of investments held within the portfolio in each Industry sector against the total return of all Industry sector constituents of the FTSE All-Share Index over the year to 30 September 2025. All figures shown are before operating costs and the effect of gearing. 26 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report ## List of Investments Strategic Report Governance Report Financial Report Notice of Meeting | | 30 September 2025 | | | 30 September 2025 | | | --- | --- | --- | --- | --- | --- | | | Value | % of total | | Value | % of total | | Quoted investments Holding | £’000s | investments | Quoted investments Holding | £’000s | investments | UNITED KINGDOM – EQUITIES AstraZeneca 177,000 19,789 5.7 OVERSEAS TOTAL EQUITY – – Babcock International 500,000 6,645 1.9 Beazley 1,900,000 17,233 4.9 TOTAL INVESTMENTS 348,455 100.0 BP 1,600,000 6,811 1.9 The number of investments in the portfolio is 44 (2024: 47). Bridgepoint 500,000 1,525 0.4 British American Tobacco 180,000 7,103 2.0 *Quoted on the Alternative Investment Market in the UK. BT 3,800,000 7,264 2.1 Investments shown in italics are new additions to the portfolio during the year. Burberry 185,000 2,161 0.6 Burford Capital* 1,165,362 10,308 3.0 Close Brothers Group 351,474 1,736 0.5 Compass 207,000 5,235 1.5 Experian 156,000 5,805 1.7 Ferguson Enterprises 14,000 2,330 0.7 Forterra 2,550,000 4,769 1.4 GSK 545,000 8,578 2.5 HIKMA 175,000 2,972 0.8 Howden Joinery 810,000 6,832 2.0 Ibstock 3,400,000 4,733 1.4 ICG 985,000 21,925 6.3 IG 590,000 6,354 1.8 Intertek 100,000 4,720 1.4 Legal and General 5,400,000 12,852 3.7 LondonMetric Property 7,765,874 14,118 4.1 M&G 1,100,000 2,783 0.8 National Grid 894,011 9,544 2.7 OSB Group 4,500,000 25,515 7.3 Pearson 500,000 5,280 1.5 Pennon Group 1,100,000 5,141 1.5 Pets At Home 1,645,000 3,366 1.0 Phoenix 1,287,000 8,282 2.4 RELX 475,000 16,896 4.8 Rentokil 1,100,000 4,132 1.2 Rio Tinto 250,000 12,219 3.5 Sage 245,000 2,694 0.8 Shell 425,000 11,246 3.2 Sirius Real Estate 6,115,000 5,976 1.7 Smith & Nephew 500,000 6,685 1.9 SSE 210,000 3,656 1.0 SSP 4,004,000 6,851 2.0 St James's Place 350,000 4,445 1.3 Unilever 390,000 17,160 4.9 Vistry Group 1,377,475 8,904 2.5 WPP 660,000 2,427 0.7 XP Power 366,781 3,455 1.0 UNITED KINGDOM TOTAL Other Information EQUITIES 348,455 100.0 Report and Accounts 2025 | 27 ## Our Approach to Responsible Investment ## As stewards of £336 million of assets, we support investing responsibly. The Company benefits from ## the Manager’s approach in this field and its £501 billion of assets under management. Responsible investment We recognise that the most material way in which the Company can The Company is not an investment trust with explicit ESG or have an impact is through active ownership of its investments. The sustainable characteristics. However, we, the Board, believe investing Manager engages in dialogue, including around ESG factors, with the responsibly is fundamental to long-term wealth creation. As part management of investee companies on behalf of the Company as of its overall risk management process, the Manager integrates an integral part of its approach to research and investment, and as the consideration of financially material environmental, social and stewards of client capital. governance factors into its research and investment process and encourages stronger ESG practices to be adopted by issuers through The Manager is a signatory to the United Nations Principles its engagement and voting activities. for Responsible Investment (“UNPRI”) under which signatories contribute to the development of a more sustainable global financial Our approach system. As a signatory, the Manager aims to incorporate the We also believe that good financial outcomes are more likely to be consideration of financially material ESG factors into its investment achieved if the Manager fully understands the risks and opportunities processes. that relate to the markets in which the Company invests. Stewardship The Manager shares this belief and considers that the review of The Manager engages with the management of investee companies financially material ESG factors can provide an important perspective on ESG factors that could have a material impact on their to its investment research. Consideration of these factors could affect businesses and, where necessary, encourages improvement in an investment’s valuation by helping assess future investment risk and management practices that it believes could help drive financial also unlock potential new investment opportunities. returns. The Manager’s stewardship activities are supported by its policies on corporate governance, proxy voting and engagement. There are two strands to the Board’s approach to responsible These policies support and inform the Manager’s engagement and investment: voting activities on behalf of its clients and are available on its • the Company’s own responsibilities on matters such as website. governance; and • ESG integration, engagement and proxy voting made on the Company’s behalf by its Manager. The Company’s compliance with the AIC Code of Corporate Governance is detailed in the Corporate Governance Statement on pages 47 to 49. In addition, the Policy Summary statement on pages 37 to 39 includes the Company’s policies towards Board diversity and inclusion, integrity and business ethics and the Modern Slavery Act 2015. 28 | CT UK Capital and Income Investment Trust PLC Strategic Report ESG and the investment process The Manager’s approach to Responsible Investment integration Chair’s StatementOverview Auditor’s Report The Manager believes the consideration of financially material ESG employs a range of quantitative tools, using data to enhance factors provides an important perspective to investment research. and inform investment research, portfolio construction and risk Consideration of financially material ESG factors is incorporated within monitoring. research and ongoing portfolio monitoring at stock, industry and thematic levels. These factors could affect an investment’s valuation Key tools include: by helping assess future investment risk and unlocking potential new • ESG materiality ratings; investment opportunities. • Sustainable Development Goals mapping tool; Strategic Report Governance Report Financial Report Notice of Meeting • Net Zero Framework; In late 2024, the Manager’s Sustainability Research analysts were • Good governance model; moved into the central fundamental research team, in order to • Exclusions framework; and embed consideration of ESG factors alongside other financially • Controversy monitoring. material factors in its research function. These analysts, covering a spectrum of ESG issues, work on themes such as energy transition These tools are a starting point for the Manager’s ESG assessment. and demographic change. Within these themes, analysts identify The Fund Manager will co-ordinate with responsible investment issues or sectors where they believe there are material investment specialists to ensure that those reviewing opportunities for the risks, or opportunities, such as specific energy technologies. Their Company are well informed in relation to the ESG aspects of the research sets out the macro-level view on the policy and economic potential investment. Sustainable research analysts are focused on environment, and the relative positioning of companies in terms of specific themes, allowing the Fund Manager to liaise with those who their ability to respond to changes in such environments. understand the material ESG issues relating to a particular sector. ## Engagement Issues raised with companies on engagement Labour Standards 25 Corporate Governance 24 Business Conduct 13 Climate Change 10 Human Rights 7 Environmental Stewardship 4 Source: Columbia Threadneedle Investments In the year under review, the Manager engaged with 23 investee The Manager records Milestones where companies make tangible companies held by the Company on the range of ESG topics above. improvement in their policies and practices in alignment with the Manager’s engagement objectives. Milestones are recorded using a Labour standards was a key engagement topic, including discussions three-star rating system: one star is awarded for a smaller change around human capital management and social supply chain to ESG practices; two stars are awarded for meaningful updates and management. Engagement on corporate governance typically focused changes to ESG practices; and three stars are awarded for material Other Information on board effectiveness, succession planning and remuneration. changes of significant ESG importance. Milestones were recorded for three investee companies held by the Company during the reporting period. These are disclosed on the following page. Report and Accounts 2025 | 29 # Milestones in the reporting period # Shell In its 2024 Energy Transition strategy, Shell disclosed how it expects its estimated share of energy sales mix to evolve in the future providing the specific breakdown for 2030. This provides clarity to investors on the percentage attributable to oil products, LNG, pipeline gas, electricity and biofuels. The report also included a disclosure identifying pathways to net zero for Shell's two biggest customer sectors, transport and industry. These two sectors make up more than 70% of total global final energy demand and more than 55% of global carbon emissions. The pathways provide more clarity to investors on where Shell believes it will have the competitive advantage and seeks to invest. In both direct engagement and through CA100+ engagement, the Manager highlighted several requests for improvements to Shell's climate reporting. This included a request to provide clarity on Shell's expected energy mix in 2030. ★ # Burberry Burberry launched a new leadership framework in March 2025 to support employees with the delivery of corporate strategy. This framework is designed to equip leaders within the company with the knowledge, skills and tools to lead with clarity, inspire confidence and drive impactful change. The framework is being delivered collaboratively through learning events, regular meetings, online resources, interviews with senior leaders, and peer coaching circles. The Manager has met with the company to discuss cultural transformation and their human capital strategy and welcomes the development of this framework. ★ # National Grid In their 2024/25 annual report, National Grid disclosed an update on their near-term Green House Gas "GHG" emissions reduction sub-targets for Scope 3, from a 2018/19 baseline, as required by the Science-Based Targets Initiative. The Manager has engaged on this topic in the past. The targets are to: a) reduce the carbon intensity of power generation and solid electricity (Scope 1 and Scope 3 GHG emissions) by 86% by 2033/34, and b) reduce absolute GHG emissions from gas sold by third parties by 37.5% by 2033/34. The company highlights challenges in reducing supply chain emissions due to the carbon footprint of construction materials and the difficulty in sourcing more sustainable alternatives. ★ ★ Key: As discussed on page 29, stars represent positive outcomes from engagement with three stars being the highest based on the Manager's assessment of the change. # Voting on portfolio investments The Manager's Corporate Governance Guidelines set out expectations of the management of investee companies in terms of good corporate governance. The Board expects to be informed by the Manager of any sensitive voting issues involving the Company's investments. In the absence of explicit instructions from the Board, the Manager has been empowered to exercise discretion in the use of the Company's voting rights and reports at each meeting to the Board on its voting record. The Manager will vote on all investee company resolutions. The Manager is a signatory to the UK Stewardship Code and, as required by the Financial Reporting Council, has reported on how it has applied the Code in its Stewardship Report 2024. This report is available at www.columbraithreadneedle.com. We expect the Company's shares to be voted on all holdings where possible. During the year, the Manager voted at 50 meetings of investee companies held by the Company. The Manager did not support management's recommendations on at least one resolution at approximately 14% of all meetings. With respect to all items voted, the Manager supported over 99% of all management resolutions. Compensation was the most common reason for a vote against management. # Examples of votes against management - The Manager voted against two compensation proposals at Close Brothers Group, deciding not to support the approval of the remuneration report or the remuneration policy. This was due to concerns with the structure of remuneration, as well as pay and performance. - The Manager abstained on the vote to approve the remuneration policy at GSK. It would prefer the new policy to only apply to a new CEO. - The Manager voted against the proposal to approve Vistry Group's remuneration report. It believes there is a strong case that clawback provisions should have been applied to bonuses and long-term incentives previously paid to executives on the basis of results which were subsequently restated. 30 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report ## Climate change The Manager recognises the importance of managing financially material climate related risks and opportunities effectively to sustain long-term investment returns. Climate change can impact the economic value of companies over time, both positively and negatively. Transition risks to investee Strategic Report Governance Report Financial Report Notice of Meeting companies include policy risk, technology risk and changing consumer preferences, which can affect operating costs and shift demand patterns. Physical risks can result from acute climate events or long-term changing weather patterns. If not effectively managed by investee companies, these events can have severe consequences. All these risks could have a material impact on financial returns, which is why factoring them into independent research into issuers is critical. The Manager’s sustainability analysts therefore identify material climate and energy transition topics that could impact the financial performance of investee companies. They combine research on policies and technologies with company engagement to inform views of the materiality of the topic; the exposure of investee companies to risk or opportunity and how they are managing this; and the potential impact on financial performance. In June 2025, the Manager published its updated Climate Report. The report, which is available on the Manager’s website, details how the Manager manages climate-related risks and opportunities in investment portfolios and across business operations under the framework established by the Task Force on Climate-related Financial Disclosures (TCFD). In addition, TCFD aligned disclosures are included in the TCFD Report published on the Company’s website ctcapitalandincome.co.uk, which also fulfils the ESG Sourcebook Chapter 2 requirements. In accordance with the regulations set by the Financial Conduct Authority, the Manager has published disclosure specific to the Company’s portfolio. This provides data on the portfolio’s carbon footprint and the largest individual contributors to the carbon footprint by individual issuer and sector, in addition to its weighted average carbon intensity (‘WACI’). This is available on the Document Library page of the Company’s website at www.ctcapitalandincome.co.uk. Other Information Report and Accounts 2025 | 31 # Principal Risks and Future Prospects The Board has carried out a robust assessment of the Company's principal and emerging risks and the disclosures in the Annual Report that describe the principal risks, the procedures in place to identify emerging risks and explain how they are being managed or mitigated. The principal risks together with their mitigations are set out in the following table. The Board's processes for monitoring them and identifying emerging risks are set out on page 55 and in note 21 to the accounts. The global economy continues to suffer considerable disruption due to the effects of the war in Ukraine, events in the Middle East and the uncertainty surrounding the imposition of US trade tariffs. The Directors continue to review the key risk register for the Company which identifies the risks that the Company is exposed to, the controls in place and the actions being taken to mitigate them. The principal risks detailed in the following table are also considered to be the most relevant to the assessment of the Company's future prospects and viability. Emerging risks represent new information which could significantly change how an existing risk is perceived, but where the impact or likelihood remains uncertain. ## Future Prospects Through a series of connected stress tests ranging from moderate to extreme scenarios and based on historical information, but forward looking over the five years commencing 1 October 2025, the Board assessed the risks of : - potential illiquidity of the Company's portfolio; - the effects of any substantial future falls in investment values and income receipts on the ability to repay and renegotiate borrowings; - potential breaches of loan covenants, the maintenance of dividend payments and retention of investors; and - the potential need for extensive share buybacks in the event of share price volatility and a move to a wide discount. The Board also took into consideration the perceived viability of its principal service providers, potential effects of anticipated regulatory changes and the potential threat from competition. The Board's conclusions are set out under the Five Year Horizon Statement on page 34. A five year period is considered to be a reasonable time frame for measuring and assessing medium to long term investment performance. A five year period has also been selected as the shares may not be suitable for investors intending to hold them for less than that period. ## Principal Risks ### Market and Political Risk Macroeconomic and geopolitical risk including rising international tensions arising from the war in Ukraine, events in the Middle East and the uncertainty surrounding the imposition of US trade tariffs. No change in residual risk during the year. ### Investment Performance Risk Unfavourable markets or asset allocation, sector and stock selection and management and use of cash and giants are inappropriate giving rise to investment underperformance as well as impacting capacity to pay dividends. No change in residual risk during the year. ### Legal, Regulatory and Governance Risks To maintain its investment trust status, the Company is required to comply with Section 1158 of the UN Corporation Taxes Act. The Company is also required to comply with UK company law, is subject to the requirements of the APMD and the relevant regulations of the London Stock Exchange and the Financial Conduct Authority. No change in residual risk during the year. ### Product Strategy Risk Inappropriate business or marketing strategy particularly in relation to investor needs or sentiment giving rise to a share price discount to NAV per share. No change in residual risk during the year. ### Cyber Risk Theft of Company and customer assets or data. No change in residual risk during the year. ### Third Party Service Provider Risk Errors, fraud or control failures at service providers or business continuity failure could damage reputation or investors' interests or result in losses. No change in residual risk during the year. 32 CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report Principal Risks Mitigation Actions taken on Principal Risks in the year Market and Political Risk The Company has a clearly defined and approved strategy which is reviewed and At each meeting of the Board, the Directors consider and discuss the investment Macroeconomic and geopolitical risk including rising international tensions arising approved on an annual basis. The Board can hold additional board meetings at performance of the Company with Julian Cane, the Company’s Fund Manager. The Board from the war in Ukraine, events in the Middle East and the uncertainty surrounding short notice to discuss the impact of significant changes in the macroeconomic held its annual strategy meeting in August 2025 which included a presentation by the the imposition of US trade tariffs. and geopolitical environment. The Company maintains a portfolio of diversified Head of Equity Strategy at a leading UK stockbroker and private wealth manager. Strategic Report Governance Report Financial Report Notice of Meeting stocks. At the November 2025 Audit and Risk Committee meeting, the Directors reviewed updated Forward looking stress tests ranging from moderate to extreme scenarios are forward looking stress tests prepared by the Manager providing support for the Five Year provided by the Manager to the Board to support the Five Year Horizon Statement. Horizon Statement disclosed on page 34. Investment Performance Risk The portfolio of quoted securities is diversified and the Company’s structure At each meeting of the Board, the Directors consider and discuss the investment Unfavourable markets or asset allocation, sector and stock selection and enables it to take a long term view notwithstanding the current market volatility. performance of the Company with the Company’s Fund Manager. management and use of cash and gearing are inappropriate giving rise to Investment policy, performance, revenue and gearing are reviewed at each Board With effect from 1 January 2026, Dominic Younger will succeed Julian Cane as Fund investment underperformance as well as impacting capacity to pay dividends. meeting. The Manager’s Investment Risk team provides independent oversight on Manager. investment risk management. The Board regularly considers operating costs along with underlying dividend income and the implications for the dividend payment capacity of the Company taking into account revenue reserves. Legal, Regulatory and Governance Risks The Board receives regular control reports from the Manager covering risk and The Manager continues to strengthen and develop its Risk, Compliance and Internal To maintain its investment trust status, the Company is required to comply with compliance. The Board has access to the Manager’s Risk Manager and requires any Control functions. The Depositary oversees custody of investments and cash and reports Section 1158 of the UK Corporation Taxes Act. The Company is also required to significant issues directly relevant to the Company to be reported immediately. The to the Company in accordance with the Alternative Investment Fund Managers Directive comply with UK company law, is subject to the requirements of the AIFMD and Depositary is specifically liable for loss of any of the Company’s securities and cash (“AIFMD”). the relevant regulations of the London Stock Exchange and the Financial Conduct held in custody. Columbia Threadneedle Investment Business Limited is employed to Authority. provide corporate governance services. Product Strategy Risk To gauge investor sentiment, the Board holds an investor satisfaction survey which In May 2025, the Board agreed to the continuing appointment of the Manager. At each Inappropriate business or marketing strategy particularly in relation to investor is conducted every five years ahead of a vote on whether the Company should Board meeting the marketing activities of the Manager are reported. During the year needs or sentiment giving rise to a share price discount to NAV per share. continue. The Board holds a separate annual meeting to consider the Company’s 4,205,375 shares were bought back at a small discount to NAV. Since the year end to strategy. The appointment of the Manager is also reviewed annually. Share 1 December 2025, the Company has bought back 975,000 shares to be held in treasury. buybacks can be employed to help moderate discount volatility, while share issues No shares have been issued. These actions moderated share price volatility and enhanced can be made when the shares are trading at a premium. At each Board meeting NAV per share for continuing Shareholders. the Directors receive an update on the marketing activities undertaken by the Manager. The Company’s Broker provides periodic updates to the Board relating to the Company’s trading in the wider market. Cyber Risk The Manager has an Information Security team with the objective to protect its During the year, the Audit and Risk Committee received a presentation from the Manager’s Theft of Company and customer assets or data. clients from malicious external attacks. Information Security team. The team has developed and implemented a programme for Supervision of the Manager’s third-party service providers, including State Street 2025 focused upon minimising software vulnerabilities, brand monitoring, employee and SS&C, is maintained by Columbia Threadneedle Investments and includes mistakes, and continued oversight of vendor risk. assurances regarding IT security and cyber-attack prevention. Third Party Service Provider Risk The Board receives regular control reports from the Manager covering risk and The Manager continues to strengthen and develop its Risk, Compliance and Internal Errors, fraud or control failures at service providers or business continuity failure compliance including oversight of third-party service providers. The Board has Control functions. Supervision of third-party service providers has been maintained by the could damage reputation or investors’ interests or result in losses. access to the Manager’s Risk Manager and requires any significant issues directly Manager. The Depositary oversees custody of investments and cash and reports to the relevant to the Company to be reported immediately. The Depositary is specifically Company in accordance with the Alternative Investment Fund Managers Directive. liable for loss of any of the Company’s securities and cash held in custody. During the year the Audit and Risk Committee met with members of the Manager’s internal audit function to discuss the outcome of their recent reviews and planned activities. Other Information Report and Accounts 2025 | 33 Viability Statement – Five Year Horizon In accordance with the UK Corporate Governance Code, the Directors The Board gave careful consideration to the impact of the war in have assessed the future prospects of the Company over the coming Ukraine, events in the Middle East and the uncertainty surrounding five years. Factors that the Board considered were: the imposition of US trade tariffs, and the resulting volatility in stockmarkets and economic disruption when making this • The Company has a long term investment strategy under which assessment. it invests mainly in readily realisable, UK publicly listed securities and which restricts the level of borrowings. As discussed in note 20 to the Financial Report on page 79, the Company has a number of banking covenants and at present the • At the Annual General Meeting of the Company held on 9 March Company’s financial position does not suggest that any of these 2023, Shareholders voted 99.5% in favour of the continuation are close to being breached. The primary risk is that there is a very of the Company. The next continuation vote for the Company is substantial decrease in the NAV of the Company in the short to scheduled to be held in 2028. medium term. The Directors have considered the remedial measures that are open to the Company if such a covenant breach appears • The Company is inherently structured to generate long term possible. As at 1 December 2025, the last practicable date before returns, with a five year period viewed as a reasonable time frame publication of this report, borrowings amounted to £16.0 million. for measuring and assessing medium to longer term investment This is in comparison to a net asset value of £334.8 million. In performance. accordance with its investment policy the Company is invested mainly in readily realisable, FTSE All-Share listed securities. These can be • The Company is able to take advantage of its closed-end realised, if necessary, to repay the loan facility and fund the cash investment trust structure, including the ability to use short term requirements for future dividend payments. borrowings by way of loans and overdrafts and the capacity to secure additional finance well in excess of five years. The Company operates within a robust regulatory environment. The Company retains title to all assets held by the Custodian. Cash is • There is robust monitoring of the headroom under the Company’s held with banks approved and regularly reviewed by the Manager. bank borrowing covenants. Based on this assessment, and in the context of the Company’s • A regular and robust review of revenue and expenditure forecasts business model, strategy and operational arrangements set out is undertaken throughout the year. above, the Board has a reasonable expectation that the Company will be able to continue in operation and meet its liabilities as they fall • The Company retains title to all of its assets which are due over the five year period ending December 2030. safeguarded as described under “Safe custody of assets” and “Depositary” on page 45. 34 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report ## Promoting the Success of the Company ## – Section 172 Statement Strategic Report Governance Report Financial Report Notice of Meeting Under Section 172 of the Companies Act 2006, the Directors have a appointment remains in the best interests of Shareholders, is set out duty to act in the way they consider, in good faith, would be most likely on page 57. to promote the success of the Company for the benefit of its members as a whole, and in doing so, have regard, amongst other matters, to: Service providers such as, JP Morgan Chase Bank (the “Bank” and “Custodian”), JP Morgan Europe Limited (the “Depositary”), Cavendish • the likely consequences of any decision in the long term; (the “Broker”) and Computershare Investor Services PLC (the • the interests of the Company’s Shareholders; “Registrar”) are also considered key stakeholders. The Board receives • the need to foster the Company’s business relationships with regular reports from them and evaluates them to ensure expectations suppliers, customers and others; on service delivery are met. • the impact of the Company’s operations on the community and environment; The Directors value engagement with Shareholders. The Company’s • the desirability of the Company maintaining a reputation for website www.ctcapitalandincome.co.uk is available to all Shareholders high standards of business conduct; and and key decisions are announced to the London Stock Exchange • the need to act fairly as between members of the Company. through a Regulatory News Service. The Company holds an Annual General Meeting. Shareholders are invited to attend, and this provides As explained on page 18, the Company is an externally managed an open forum for them to discuss issues and matters of concern investment company and has no employees, customers or premises. with the Board and representatives of the Manager and the Company’s The key stakeholders are the Shareholders, the Manager, suppliers, advisors. regulators and service providers. At the Annual General Meeting held on 9 March 2023, Shareholders The Board believes that the optimum basis for meeting its duty to voted 99.5% in favour of continuation of the Company. In advance promote the success of the Company is by appointing and managing of the continuation vote, the Board surveyed Shareholders. The next third parties with the requisite performance records, resources, continuation vote is scheduled to be held in 2028. infrastructure, experience and control environments to deliver the services required to achieve the investment objective and successfully Shareholders are invited to communicate with the Board through the operate the Company. By developing strong and constructive working Chair or Company Secretary. Alternatively, issues can be discussed with relationships with these parties, the Board seeks to ensure high the Company’s Senior Independent Director, who can be contacted at standards of business conduct are adhered to at all times and service the Company’s registered office address detailed on page 59. levels are enhanced whenever possible. This combined with the careful management of costs is for the benefit of all Shareholders who are The Company’s Shareholders are always considered when the Board also key stakeholders. makes decisions and examples include: The Company’s primary working relationship is with the Manager. The Dividends portfolio activities undertaken by the Fund Manager and the impact of The Board is aware that dividend income is important to Shareholders decisions taken are set out in the Fund Manager’s Review on pages 10 and dividend growth is therefore a Key Performance Indicator of the to 14. On pages 28 to 31 information is provided on the Company’s Company. Prudent stewardship in prior years combined with careful approach towards responsible investment. The Directors are supportive stock selection has given the Company distributable reserves providing of the Manager’s approach, which focuses on engagement with the some resilience to pay dividends in years when there is a shortfall in Other Information investee companies on ESG issues and how this links with the United investment income. Therefore, despite the COVID-19 pandemic, the war Nations Sustainable Development Goals (“SDGs”). Further information in Ukraine, events in the Middle East and the uncertainty surrounding on the annual evaluation of the Manager, to ensure its continued the imposition of US trade tariffs, the Company has increased its Report and Accounts 2025 | 35 annual dividends paid to Shareholders, and maintained its “AIC Dividend Hero” status. As part of the decision making process, the Manager has provided the Board with estimates of dividend income for the forthcoming year and the estimated impact upon the distributable reserves of the Company. Following the approval of Shareholders at the Company’s 2025 AGM, the Company undertook a court process to allow the cancellation of the Company’s sizable share premium account. This process was completed successfully on 4 July 2025. Converting the share premium account to a distributable reserve has provided a significant pool of reserves which, if required, can be used to fund dividends, share buybacks and other returns of capital in accordance with applicable law. In recognition of this, the Board is declaring a fourth quarter dividend of 4.15 pence per share to give a total dividend for the year of 13.0 pence. This is a rate of increase over one year of 4.0%, ahead of the rate of CPI for the year to September of 3.8%. Share issuance and buy-backs Ensuring that liquidity is maintained for the Company’s shares is important to Shareholders. During the year, the Company bought back for treasury 4,205,375 shares at a small discount. This action moderated share price volatility. The cancellation of the share premium account, discussed above, has provided additional distributable reserves for the buyback of the Company’s shares. Board succession planning The Board is committed to ensuring that its composition is compliant with best corporate governance practice under the revised AIC Code including guidance on tenure. On 6 March 2025, Jane Lewis retired from the Board having served nine years as a non-executive Director including since 1 July 2023 as Chair of the Company. Upon her retirement, Nicky McCabe was appointed Chair. In addition, at the conclusion of the 2025 AGM, Patrick Firth was appointed Senior Independent Director and Christopher Metcalfe Chair of the Management Engagement Committee. As a further part of the Board’s succession planning, Nurole, a search company without connection to the Company or any individual director, was commissioned to find a new Director for the Board. With effect from 7 March 2025, John Blowers was appointed as a non-executive Director. John has direct experience of direct to consumer marketing through his time as a former marketing and managing director at Interactive Investor and has deep investment trust knowledge. 36 | CT UK Capital and Income Investment Trust PLC Strategic Report Chair’s StatementOverview Auditor’s Report ## Policy Summary Strategic Report Governance Report Financial Report Notice of Meeting Investment The total value of its investments held in listings outside the UK The Company is required to have a publicly stated investment must not exceed 10% of the Company’s gross assets at the time of objective and policy from which Shareholders, prospective investors investment but no individual country limits are imposed. 100% of the and other stakeholders can understand the scope of its investment portfolio was held in UK listings of companies as at 30 September remit and constraints imposed under it. Any material changes to 2025, of which the proportion of the portfolio held in FTSE All-Share this objective and policy can only be made with the approval of and AIM listed companies was 97% and 3% respectively. Shareholders and the Financial Conduct Authority. No more than 10% of its gross assets can be invested in other listed The Company’s investment objective is to secure long term capital investment companies (including investment trusts) unless they and income growth from a portfolio consisting mainly of UK listed themselves have stated they will invest no more than 15% of their companies. gross assets in other listed investment companies. Provided they have, the Company’s limit becomes 15%. The Company seeks to achieve this objective by identifying investments in companies which have good long term prospects but The Company may use derivatives principally for the purpose of whose share prices do not reflect their intrinsic value, either because income enhancement and efficient portfolio management. Options of relative short term underperformance giving rise to adverse may only be written on quoted stocks and the total notional exposure investor sentiment or simply because they are unfashionable. Many is limited to a maximum of 5% of gross assets at the time of of the stocks purchased have a higher than average dividend yield. investment for both put and call options. The exposure arising from any futures contracts entered by the Company is included within the Investment risk is reduced by investing mainly in FTSE All-Share calculation of the 20% limit on cash and gearing. companies. The majority of holdings are in large and mid- capitalisation companies, although the Company also holds The Board carries out due diligence with regard to the investment investments in smaller companies. At the year end the Company policy and underlying policies at each of its Board meetings receiving was invested in 44 holdings. During the year the Company had no regular reports from the Fund Manager. Confirmation of adherence exposure to derivatives. to the investment restrictions and limitations set by the Board are required at each meeting. The Fund Manager’s Review on pages 10 There are no maximum limits across sectors. The Company can to 14 provides an overview of the outcome from the application of invest in securities listed on the Alternative Investment Market the investment policy and the underlying policies during the course (“AIM”) up to a limit of 10% of gross assets at the time of of the year. investment. Using its closed-end investment company structure, the Company No single investment in the portfolio may exceed 10% of the can borrow over short, medium or long term periods within a range of Company’s gross assets at the time of purchase and no unquoted 0 to 20% of gross assets to enhance Shareholder returns. As at securities may be purchased without the prior approval of the Board. 30 September 2025 the Company had borrowings of £15 million. No holding in an unquoted security should exceed 5% of the value The Board monitors borrowing levels and covenant headroom at of gross assets at the time of investment and no more than five each Board meeting. Other Information unquoted securities may be held in the portfolio at any one time. Report and Accounts 2025 | 37 Dividend possible, all taxes suffered in excess of taxation treaty rates on non The Company’s revenue account is managed with the objective of UK dividend receipts. continuing the Company’s record of delivering a stable and growing dividend to Shareholders over time. Prudent use of long established Board diversity revenue reserves is made whenever necessary to help meet any The policy towards the appointment of non-executive Directors is revenue shortfall. Dividends can also be paid from capital reserves based on the Board’s belief in the benefits of having a diverse range and the Distributable Reserve which was created following the of experience, skills, length of service and backgrounds, including Shareholder and court-approved cancellation of the Company’s share gender. premium account during the year. The policy is always to appoint the best person for the job and, by The Board determines payments by taking account of timely income way of this policy statement, it is confirmed that there will be no forecasts, brought forward distributable reserves, prevailing inflation discrimination on the grounds of gender, ethnicity, socioeconomic rates, the dividend payment record and Corporation Tax rules background, religion, sexual orientation, age or physical ability. governing investment trust status. The overriding aim of the policy is to ensure that the Board is The consistent application of this policy has enabled the Company to composed of the best combination of people to deliver the objective. pay an increased dividend every year since launch in 1992. The policy is applied for the purpose of appointing individuals that, together as a Board, will continue to achieve that aim as well as Premium/Discount ensuring optimal promotion of the Company’s investment proposition The Company issues shares in order to meet Shareholder demand in the marketplace. which cannot be satisfied through the market and to moderate any premium at which the shares have traded in relation to the NAV per The Board is conscious of the diversity targets set out in the UK share. When the shares revert to trading at a price lower than the Listing Rules. NAV per share, the Board has the flexibility to buyback shares in accordance with the authority given by Shareholders. Shares bought In accordance with UK Listing Rule 6.6.6R (9), (10) and (11) the back can either be cancelled or held in treasury for potential resale Board has provided the following information in relation to its at a premium. This policy has the benefit of enhancing NAV per share diversity. The information has been voluntarily disclosed by each for continuing Shareholders. The Board reviews the discount and Director and is correct as at 30 September 2025. premium levels at each meeting. The shares traded at an average (1) discount of 3.8% throughout the year. The shares ended the year at Board Gender as at 30 September 2025 a 4.0% discount. During the year ended 30 September 2025, the Number of Company bought back 4,205,375 shares at a small discount to be | | | Number of | Percentage of | | senior positions | | | --- | --- | --- | --- | --- | --- | --- | | held in treasury. From 30 September 2025 to 1 December 2025, the | | | | | | (2) | | | Board Members | | | the Board | on the Board | | Company has bought back 975,000 shares to be held in treasury. Men 3 60% 1 No shares have been issued. (3) (4) Women 2 40% 1 (1) The Company has opted not to disclose against the number of Directors in executive Taxation management as this is not applicable for an investment trust. The taxation policy is one of full commitment to complying with (2) Composed of the Chair and the Senior Independent Director. (3) This meets the UK Listing Rules target of 40%. applicable legislation and statutory guidelines. It is essential that the (4) This meets the UK Listing Rules target of at least 1. Company always retains its investment trust tax status by complying with Section 1158 of the Corporation Tax Act 2010 (“Section 1158”) such that it does not suffer UK Corporation Tax on capital gains. In applying due diligence towards the retention of Section 1158 status and adhering to its tax policies, the Board receives regular reports from the Manager. The Company has received approval from HMRC as an investment trust under Section 1158 and has since continued to comply with the eligibility conditions. The Manager also ensures that the Company submits correct taxation returns annually to HMRC; settles promptly any taxation due; and claims back, where 38 | CT UK Capital and Income Investment Trust PLC Strategic Report (1) this matter. A statement by the Manager under the Act has been Chair’s StatementOverview Auditor’s Report Board Ethnic Background as at 30 September 2025 published on its website columbiathreadneedle.co.uk. Number of Number of Percentage of senior positions UK Financial Sanctions and Prevention of the Facilitation (2) Board Members the Board on the Board of Tax Evasion White British The Board is fully committed to complying with all legislation, or other white regulation and relevant guidelines including those relating to the UK (including 4 80% 2 minority-white financial sanctions regime in the context of the Company’s business groups) Strategic Report Governance Report Financial Report Notice of Meeting and also the UK’s Criminal Finances Act 2017, designed to prevent Black/African/ tax evasion and the facilitation of tax evasion in the jurisdictions in (3) Caribbean/ 1 20% – which the Company operates. Professional advice is sought as and Black British when deemed necessary. (1) The Company has opted not to disclose against the number of Directors in executive management as this is not applicable for an investment trust. (2) Composed of the Chair and the Senior Independent Director. Nicky McCabe (3) This meets the UK Listing Rules target of at least 1. Chair 3 December 2025 As evidenced above, the Company has met all the diversity targets set out in UK Listing Rule 6.6.6R (9). The Board will continue to take all matters of diversity into account as part of its succession planning. The information included in the above tables has been obtained following confirmation from the individual Directors. The Board will continue to take diversity into account as part of its succession planning and recruitment process. Integrity and business ethics The Company applies a strict anti-bribery and anti-corruption policy insofar as it applies to any Directors or employees of the Manager or of any other organisation with which the Company conducts business. The Board also ensures that adequate procedures are in place and followed in respect of third party appointments, acceptance of gifts and hospitality and similar matters. Prevention of the facilitation of tax evasion The Company is committed to compliance with the UK’s Criminal Finances Act 2017, designed to prevent tax evasion in the jurisdictions in which it operates. The policy is based on a risk assessment undertaken by the Board and professional advice is sought as and when deemed necessary. Modern Slavery Act 2015 As an investment company with no employees or customers and which does not provide goods or services in the normal course of business, the Company considers that it does not fall within the scope of the Modern Slavery Act 2015 and it is not, therefore, obliged to make a human trafficking statement. The Company’s own supply chain which consists predominantly of professional Other Information advisers and service providers in the financial services industry, which is highly regulated, is considered to be low risk in relation to Report and Accounts 2025 | 39 ## Directors | Nicky McCabe, Chair of the Company | Patrick Firth, Chair of the Audit and Risk | Dunke Afe, Chair of the Nomination and | | --- | --- | --- | | Nicky was appointed to the Board on | Committee and Senior Independent Director | Remuneration Committee | | 1 January 2021 and became Chair of the | Patrick was appointed to the Board on | Dunke was appointed to the Board on 1 June | | Company on 6 March 2025. Nicky has | 21 July 2022 and became Chair of the Audit | 2023 and became Chair of the Nomination | | extensive investment trust and asset | and Risk Committee on 1 January 2023 and | and Remuneration Committee on 20 July | | management sector experience as she was | Senior Independent Director on | 2023. Dunke is a senior marketing and | | formerly Head of Product and Investment | 6 March 2025. Patrick is a qualified | strategy executive with extensive experience | | Trusts at Fidelity International as well as | Chartered Accountant and a member | in driving brand, innovation, and commercial | | a director and Chief Operating Officer of | of the Chartered Institute for Securities | performance across global markets. She | | a number of Fidelity companies. Nicky is | and Investment. He worked in the fund | has held senior leadership roles at Unilever, | | currently a non-executive director of Aberdeen | industry in Guernsey between 1992 and | Kimberly-Clark, and The Estée Lauder | | Asian Income Fund Ltd, Artemis Investment | 2009 and was Managing Director of third- | Companies, where she was responsible | | Management Limited and EFG Asset | party fund administration businesses and | for developing and executing marketing, | | Management (UK) Limited. | a non-executive director of a number of | innovation, and go-to-market strategies that | | | management companies, general partners | delivered sustainable business growth. | | Nicky was last re-elected by Shareholders on | and investment companies. Currently he is | Her expertise includes strategic brand | | 6 March 2025. | Chair of the Audit and Risk Committees of | management, consumer insight, and digital | | | India Capital Growth Fund Limited and VH | transformation, with a strong focus on | | | Global Energy Infrastructure PLC and is also | aligning marketing investment and corporate | | | a director of Sierra GP Limited. | strategy to enhance long-term value creation. | Dunke also serves as a Non-Executive Patrick was last re-elected by Shareholders Director of BlackRock Smaller Companies on 6 March 2025. Investment Trust PLC. Dunke was last re-elected by Shareholders on 6 March 2025. No Director holds a directorship elsewhere in common with other members of the Board. All Directors are members of the Management Engagement Committee and the Nomination and Remuneration Committee. All Directors with the exception of Nicky McCabe are members of the Audit and Risk Committee. 40 | CT UK Capital and Income Investment Trust PLC Governance Report Chair’s StatementOverview Auditor’s Report Strategic Report Governance Report Financial Report Notice of Meeting | Christopher Metcalfe, Chair of the | John Blowers, Non-executive Director | | --- | --- | | Management Engagement Committee | John was appointed to the Board on | | Christopher was appointed to the Board on | 7 March 2025. John was marketing and | | 8 March 2024 and became Chair of the | managing director at Interactive Investor, | | Management Engagement Committee on | the UK’s first digital investment platform, | | 6 March 2025. He is Chairman of Franklin | and subsequently managed several digital | | Global Trust plc and the Senior Independent | investment offerings for AMP, UBS and latterly | | Non-Executive Director of JP Morgan US | for Trustnet/FE fundinfo. He is now managing | | Smaller Companies Investment Trust plc. He | director of financial information company | | is also a Non–Executive Director of Herald | Stockomendation Limited, which operates | | Investment Trust plc. He has extensive | three websites including Investegate.co.uk. | | equity fund management and investment | John is also the Chair of River UK Micro Cap | | trust experience having previously worked | Limited, the founder of AltRetire Limited, as | | in senior positions at Newton Investment | well as a director of UK NewsWire Limited. | Management, Schroder Investment Management and Henderson Administration A resolution for the election of John will Group. be put to Shareholders at the forthcoming AGM. Christopher was last re-elected by Shareholders on 6 March 2025. Other Information Report and Accounts 2025 | 41 # Directors' Report The Directors submit the Report and Accounts of the Company for the year ended 30 September 2025. The Directors' biographies; Corporate Governance Statement; the Report of the Nomination and Remuneration Committee; the Directors' Remuneration Report; the Report of the Audit and Risk Committee Report and the Report of the Management Engagement Committee form part of this Directors' Report. ## Statement regarding Report and Accounts The Directors consider that following advice from the Audit and Risk Committee, the Report and Accounts, taken as a whole, are fair, balanced and understandable and provides the information necessary for Shareholders to assess the Company's position and performance, business model and strategy. The Audit and Risk Committee has reviewed the Report and Accounts for the purposes of this assessment. The market outlook for the Company can be found on page 8. Principal risks can be found on page 32 with further information on page 79. Shareholders will be asked to approve the adoption of the Report and Accounts for the financial year ended 30 September 2025 at the AGM (Resolution 1). ## Results and dividends The results for the year are set out in the attached accounts. The Company's dividend payments are set out below. ### Dividends paid in the year ended 30 September 2025 | | £'000s | | --- | --- | | Fourth of four interims for the year ended 30 September 2024 of 3.95p per share | 3,925 | | First of four interims for the year ended 30 September 2025 of 2.95p per share | 2,919 | | Second of four interims for the year ended 30 September 2025 of 2.95p per share | 2,889 | | Third of four interims for the year ended 30 September 2025 of 2.95p per share | 2,836 | | | **12,569** | Further details are provided in note 9 to the financial statements. As explained in the Chair's Statement, the Board has announced a fourth interim dividend of 4.15 pence per share. This will be paid on 31 December 2025 to Shareholders on the register on 12 December 2025. This dividend, together with the other three interim dividends paid in respect of the financial year ended 30 September 2025 makes a total dividend of 13.0 pence per share. This represents an increase of 4.0% over the 12.50 pence per share paid in respect of the previous financial year. ## Dividend policy The Company expects to pay four, quarterly interim dividends in March, June, September and December each year. As dividends are paid quarterly as interim dividends in March, June, September and December, the Company does not pay a final dividend in February that would require formal Shareholder approval at the AGM. However, formal approval of the Company's dividend policy of paying four quarterly interim dividends in each financial year will be sought at the AGM (Resolution 2). ## Company status The Company is a public limited company and an investment company as defined by section 833 of the Companies Act 2006. The Company is limited by shares and is registered in England and Wales with company registration number 02732011. It is subject to the FCA's UK Listing Rules sourcebook, UK legislation and regulations including company law, financial reporting standards, taxation law and its own articles of association. The Company is exempt from Streamlined Energy and Carbon Reporting Disclosures as it has consumed less than 40,000 Kwh of energy in the United Kingdom during the year. ## Taxation As set out on page 38 and in note 7 to the accounts, as an investment trust, the Company is exempt from UK Corporation Tax on its worldwide dividend income and from UK Corporation Tax on any capital gains arising from its portfolio of investments, provided it complies at all times with section 1158 of the Corporation Tax Act 2010. Dividends received from investee companies domiciled outside the UK are subject to taxation in those countries in accordance with relevant double taxation treaties. 42 | CT UK Capital and Income Investment Trust PLC Governance Report # Accounting and going concern The financial statements, starting on page 65, comply with current UK financial reporting standards, supplemented by the Statement of Recommended Practice "Financial Statements of Investment Trust Companies and Venture Capital Trusts" ("SORP"). The significant accounting policies of the Company are set out in note 2 to the accounts. The unqualified auditor's opinion on the financial statements appears on pages 60 to 64. As discussed in the Five Year Horizon Statement on page 34 and note 20 to the financial statements on page 79, additional considerations were given to assessing the applicability of the going concern basis of accounting this year. Recently, the war in Ukraine, events in the Middle East and the uncertainty surrounding the imposition of US trade tariffs have resulted in increased volatility in financial markets and economic disruption. When assessing going concern the Directors have therefore considered these in addition to the Company's objective, strategy and policy, its current cash position, the availability of its loan facility and compliance with its covenants and the operational resilience of the Company and its service providers. The Board has considered the impact of falls in the NAV of the Company and the ability of it to meet its banking covenants. The primary risk is that there is a very substantial decrease in the NAV of the Company in the short to medium term. The Board considers that the possibility of a fall of this magnitude is remote. In addition, the Company has remedial measures if such a covenant breach appeared possible. Further details on this assessment are provided on pages 32, 34 and 79. Based on this assessment, and in light of the controls and monitoring processes that are in place, the Directors believe that the Company has adequate resources to continue in operational existence for the twelve month period from the date of the approval of the financial statements. Accordingly, it is reasonable for the financial statements to continue to be prepared on a going concern basis. The Company's longer term viability is considered in the Future Prospects "Five Year Horizon" Statement on page 34. # Capital structure As at 30 September 2025 there were 107,289,022 ordinary shares of 25 pence each in issue including 11,448,552 shares held in treasury. As at 1 December 2025 (being the latest practicable date before publication of this report) the number of ordinary shares in issue was 107,289,022 including 12,423,552 shares held in treasury. All ordinary shares rank equally for dividends and distributions and carry one vote each. There are no restrictions concerning voting rights or the transfer of securities in the Company, no special rights with regard to control attached to securities, no agreements between holders of securities regarding their transfer known to the Company and no agreement which the Company is party to that affects its control following a takeover bid. Details of the capital structure can be found in note 15 to the accounts. The revenue profits of the Company (including accumulated revenue reserves), together with the realised capital profits and the Distributable Reserve, are available for distribution by way of dividends to the holders of the ordinary shares. Upon a winding up, after meeting the liabilities of the Company, the surplus assets would be distributed to Shareholders pro rata to their holdings of ordinary shares. Full details are set out in the Company's articles of association. # Issue and buyback of shares At the AGM held on 6 March 2025 Shareholders renewed the Board's authority to issue ordinary shares up to 10% of the number then in issue. Subject to annual Shareholder approval, the Company may also purchase up to 14.99% of its own issued ordinary shares at a discount to NAV per share. The shares bought back can either be cancelled or held in treasury to be sold as and when the share price returns to a premium. At the AGM held on 6 March 2025 Shareholders gave the Board authority to buyback ordinary shares up to 14.99% of the number then in issue. During the year under review 4,205,375 shares with an aggregate nominal value of £1,051,344 were purchased, representing 3.9% of the number of shares issued and fully paid at 30 September 2024 (including shares held in treasury), in 38 tranches and held in treasury. The price paid ranged from 312.0 pence per share to 342.0 pence per share. Since the year end to 1 December 2025, the Company has bought back 975,000 shares with an aggregate nominal value of £243,750 to be held in treasury. No shares have been issued. # Voting rights As at 1 December 2025 the Company had 107,289,022 ordinary shares in issue including 12,423,552 shares held in treasury. Total voting rights were therefore 94,865,470. As at 30 September 2025 and 1 December 2025 no notifications of significant voting rights had been received under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules. # Borrowings and financial risk management The Company has a one year multicurrency revolving facility agreement of £20 million with The Royal Bank of Scotland International Limited expiring in March 2026. The interest rate margin and the commitment fees on the facility have been set at commercial rates. It is anticipated that a replacement facility will be entered into upon the expiry of the current facility. Report and Accounts 2025 | 43 Government Report Details of the financial risk management of the Company are provided in note 21 beginning on page 79. An ongoing overdraft arrangement is available to the Company by the Custodian for settlement of investment trades if necessary. # Remuneration Report The Directors' Remuneration Report, which can be found on pages 51 to 53, provides detailed information on the remuneration arrangements for Directors of the Company including the Directors' Remuneration Policy. Shareholders are asked to approve this policy at the AGM to be held on 5 March 2026. This policy is subject to approval by Shareholders every three years. There have been no changes to the policy since approval by Shareholders at the Company's AGM held in March 2023. Remuneration is set at a level commensurate with the skills and experience necessary for the effective stewardship of the Company and the expected contribution of the Board as a whole in continuing to achieve the investment objective. It is intended that this policy will continue for the three year period ending at the AGM in 2029. Shareholders will be asked to approve the Remuneration Report in respect of the financial year ended 30 September 2025 at the upcoming AGM (Resolutions 3 and 4). As detailed on page 51, the Directors' fees are reviewed each year. Following this review in respect of the financial year ended 30 September 2025, the Directors have agreed that the annual remuneration of the Chair will increase from £44,750 to £46,500, the Chair of the Audit and Risk Committee from £37,500 to £39,000, and other Directors from £30,000 to £32,000. The Senior Independent Director receives a further £2,500 for their additional duties. These increases were effective from 1 October 2025. The previous increase to Directors' annual remuneration occurred on 1 October 2024. The fees for the non-executive Directors are determined within the limits set out in the Company's Articles of Association. The present limit is £350,000 per annum and may not be changed without seeking shareholder approval at a general meeting. The limit was last increased, with the approval of Shareholders, in March 2025. # Director election or re-elections The names of the current Directors, along with their biographical details, are set out on pages 40 and 41. During the year, Jane Lewis retired on 6 March 2025. John Blowers was appointed to the Board on 7 March 2025. All Directors will seek election or re-election at the forthcoming AGM. Following a review of their performance, the Board believes that each of the Directors standing for election or re-election has made a valuable and effective contribution to the Company. The skills and experience each Director brings to the Board for the long term sustainable success of the Company are set out below. The Board recommends that Shareholders vote in favour of the election or re-election of the Directors (Resolutions 5 to 9). Resolution 5 relates to the re-election of Nicky McCabe. Nicky was appointed to the Board on 1 January 2021 and became Chair of the Company on 6 March 2025. Nicky has extensive investment trust and asset management sector experience as she was formerly Head of Product and Investment Trusts at Fidelity International as well as a director and Chief Operating Officer of a number of Fidelity companies. Nicky is currently a non-executive director of Aberdeen Asian Income Fund Ltd, Artemis Investment Management Limited and EFG Asset Management (UK) Limited. Resolution 6 relates to the re-election of Dunke Me. Dunke was appointed to the Board on 1 June 2023 and became Chair of the Nomination and Remuneration Committee on 20 July 2023. Dunke is a senior marketing and strategy executive with extensive experience in driving brand, innovation, and commercial performance across global markets. She has held senior leadership roles at Unilever, Kimberly-Clark, and The Estée Lauder Companies, where she was responsible for developing and executing marketing, innovation, and go-to-market strategies that delivered sustainable business growth. Her expertise includes strategic brand management, consumer insight, and digital transformation, with a strong focus on aligning marketing investment and corporate strategy to enhance long-term value creation. Dunke also serves as a non-executive director of BlackRock Smaller Companies Investment Trust PLC. Resolution 7 relates to the election of John Blowers. John was appointed to the Board on 7 March 2025. John was marketing and managing director at Interactive Investor, the UK's first digital investment platform, and subsequently managed several digital investment offerings for AMFUBS and latterly for Trustnet/FE fundinfo. He is now managing director of financial information company Stockemendation Limited, which operates three websites including Investigate.co.uk. John is also the Chair of River UK Micro Cap Limited, the founder of AllRetire Limited, as well as a director of UK NewsWire Limited. Resolution 8 relates to re-election of Patrick Firth who was appointed to the Board on 21 July 2022 and became Chair of the Audit and Risk Committee on 1 January 2023 and Senior Independent Director on 6 March 2025. Patrick is a qualified Chartered Accountant and a member of the Chartered Institute 44 CT UK Capital and Income Investment Trust PLC Governance Report for Securities and Investment. He worked in the fund industry in Appointment of auditor and auditor’s remuneration Chair’s StatementOverview Auditor’s Report Guernsey between 1992 and 2009 and was Managing Director The auditor of a company has to be appointed at each Annual of third-party fund administration businesses and a non-executive General Meeting at which accounts are laid before Shareholders. director of a number of management companies, general partners BDO LLP has expressed their willingness to continue in office as and investment companies. Currently he is Chair of the Audit and auditor and resolutions proposing their re-appointment and for the Risk Committees of India Capital Growth Fund Limited and VH Audit and Risk Committee to determine their remuneration for the Global Energy Infrastructure PLC and is also a director of Sierra GP financial year ended 30 September 2026 will be proposed at the Limited. AGM. (Resolutions 10 and 11). Strategic Report Governance Report Financial Report Notice of Meeting Resolution 9 relates to the re-election of Christopher Metcalfe. Safe custody of assets Christopher was appointed to the Board on 8 March 2024 and The Company’s listed investments are held in safe custody by JP became Chair of the Management Engagement Committee on Morgan Chase Bank (the “Custodian”). Operational matters with the 6 March 2025. He is Chairman of Franklin Global Trust plc and Custodian are carried out on the Company’s behalf by the Manager in the Senior Independent Non-Executive Director of JP Morgan accordance with the provisions of the management agreement. The US Smaller Companies Investment Trust plc. He is also a Non– Custodian is paid a variable fee dependent on the number of trades Executive Director of Herald Investment Trust plc. He has extensive transacted and location of the securities held. equity fund management and investment trust experience having previously worked in senior positions at Newton Investment Depositary Management, Schroder Investment Management and Henderson JPMorgan Europe Limited acts as the Company’s Depositary (the Administration Group. “Depositary”) in accordance with the AIFMD. The Depositary’s responsibilities, which are set out in an Investor Disclosure Directors’ interests and indemnification Document on the Company’s website, include: cash monitoring; There were no contracts to which the Company was a party and in ensuring the proper segregation and safekeeping of the Company’s which a Director is, or was, materially interested during the year. financial instruments that are held by the Custodian; and monitoring There are no agreements between the Company and its Directors the Company’s compliance with investment and leverage limits concerning compensation for loss of office. requirements. The Depositary receives for its services a fee of one basis point per annum on the value of the Company’s net assets, The Company has granted a deed of indemnity to the Directors payable monthly in arrears. in respect of liabilities that may attach to them in their capacity as Directors of the Company. This covers any liabilities that may Although the Depositary has delegated the safekeeping of all assets arise to a third party for negligence, default or breach of trust or held within the Company’s investment portfolio to the Custodian, duty. This deed of indemnity is a qualifying third party provision in the event of loss of those assets that constitute financial (as defined by section 234 of the Companies Act 2006) and has instruments under the AIFMD, the Depositary will be obliged to been in force throughout the period under review and remains in return to the Company financial instruments of an identical type, place as at the date of this report. It is available for inspection or the corresponding amount of money, unless it can demonstrate at the Company’s registered office during normal business hours that the loss has arisen as a result of an external event beyond its and will be available for inspection at the AGM. The Company also reasonable control, the consequences of which would have been maintains directors’ and officers’ liability insurance. unavoidable despite all reasonable efforts to the contrary. Statement as to disclosure of information to the auditor The Manager’s fee Each of the Directors confirms that, to the best of his or her A quarterly fee of 0.1% of funds under management is payable knowledge and belief, there is no information relevant to the in arrears to the Manager in respect of the management, preparation of the Report and Accounts of which BDO LLP are administration and ancillary services provided to the Company (see unaware and they have taken all the steps a Director might note 4 to the accounts). reasonably be expected to have taken to be aware of relevant audit information and to establish that BDO LLP is aware of that AGM information. The Notice of the AGM to be held on 5 March 2026 is set out on Other Information pages 87 to 90. As well as the matters set out above, the Board will propose at the AGM resolutions in relation to the following matters. Report and Accounts 2025 | 45 # Authority to allot shares and sell shares from treasury (resolutions 12 and 13) Resolutions 12 and 13 are similar in content to the authorities and power previously given to the Directors by Shareholders. By law, the Directors are not permitted to allot new shares (or to grant rights over shares) unless authorised to do so by Shareholders. In addition, the Directors require specific authority from Shareholders before allotting new shares (or granting rights over shares) or selling shares out of treasury for cash without first offering them to existing Shareholders in proportion to their holdings. Resolution 12 gives the Directors, for the period until the conclusion of the Annual General Meeting in 2027 or, if earlier, 15 months from the passing of the resolution, the necessary authority to allot securities up to an aggregate nominal amount of £2,371,637 (9,486,547 ordinary shares). This is equivalent to approximately 10% of the issued share capital of the Company as at 1 December 2025 excluding shares held in treasury. Resolution 13, which will be proposed as a special resolution and which is conditional on the passing of Resolution 12, seeks authority for the Directors to allot shares or sell shares held in treasury on a non pre-emptive basis for cash up to an aggregate nominal amount of £2,371,637 (representing 10% of the issued ordinary share capital of the Company (excluding shares held in treasury) as at 1 December 2025). These authorities and powers will provide the Directors with a degree of flexibility to increase the assets of the Company by the issue of new shares or the sale of treasury shares, in accordance with the policies set out on page 38 or should any other favourable opportunities arise to the advantage of Shareholders. The Directors anticipate that they will principally use the authorities granted by Resolutions 12 and 13 to satisfy demand from participants in the CT Savings Plans when they believe it is advantageous to plan participants and the Company's Shareholders to do so. In no circumstances would the Directors use these authorities to issue or sell any shares from treasury unless the existing shares in issue are trading at a premium to N/A! As at 1 December 2025, 12,423,552 ordinary shares (representing 13.1% of the issued ordinary share capital of the Company (excluding shares held in treasury)) were held by the Company in treasury. These authorities will expire at the conclusion of the 2027 annual general meeting of the Company or, if earlier, on that date which is 15 months after the date on which the resolutions are passed. # Authority for the Company to purchase its own shares (resolution 14) Resolution 14, which will be proposed as a special resolution, authorises the Company to purchase up to a maximum of 14,220,333 ordinary shares (equivalent to approximately 14.99% of the issued share capital excluding shares held in treasury as at 1 December 2025) at a minimum price of 25 pence per share and a maximum price per share (exclusive of expenses) of the higher of (i) 105% of the average of the middle market quotations for an ordinary share (as derived from the London Stock Exchange Daily Official List) for the five business days immediately before the date on which the ordinary share is contracted to be purchased and (ii) the higher of the last independent trade and the highest current independent bid on the London Stock Exchange at the time the purchase is carried out. The Directors intend to use this authority with the objective of enhancing Shareholder value. Purchases would only be made, within guidelines established from time to time by the Board, through the market for cash at prices below the prevailing Net Asset Value per ordinary share which would have the effect of enhancing that value for remaining Shareholders. Any ordinary shares that are purchased would either be placed into treasury or cancelled. The authority will expire at the conclusion of the 2027 annual general meeting of the Company or, if earlier, on the date which is 15 months after the date on which Resolution 14 is passed. # Form of proxy Registered Shareholders will find enclosed a form of proxy for use at the AGM. Shareholders also have the option of lodging their proxy votes electronically as set out in Note 4 of the Notice of AGM. For shares held through CREST, proxy appointments may be submitted via the CREST proxy voting system. Proxy appointments should be lodged as soon as possible and, in any event, not later than 12.30pm on 3 March 2026. # Form of direction If you are an investor in any of the CT Savings Plans you will have received a form of direction for use at the AGM and you will also have the option of lodging your voting directions electronically as set out in Note 4 of the Notice of AGM. All voting directions should be submitted as soon as possible in accordance with the instructions on the form of direction and, in any event, not later than 12:30pm on 25 February 2026. # Recommendation The Board considers that the resolutions to be proposed at the AGM are in the best interests of the Company and Shareholders as a whole. The Directors recommend that Shareholders vote in favour of each resolution, as they intend to do in respect of their own beneficial holdings. By order of the Board Columbia Threadneedle Investment Business Limited Secretary 3 December 2025 46 CT UK Capital and Income Investment Trust PLC Governance Report Chair’s StatementOverview Auditor’s Report ## Corporate Governance Statement Strategic Report Governance Report Financial Report Notice of Meeting Introduction Company’s strategy, operations and compliance with regulations. The Board adheres to the principles and recommendations of The Manager is the Company’s AIFM. the revised AIC Code of Corporate Governance (the “AIC Code”) published in 2019. Articles of association The Company’s articles of association may only be amended by The Board believes that the Company has complied with the current special resolution at general meetings of Shareholders. recommendations of the AIC Code during the year under review and up to the date of this report and, except as regards the provisions The Board set out below, has thereby complied with the relevant provisions The Board’s responsibilities are outlined on page 18. More of the 2018 revision to the UK Corporate Governance Code (“UK specifically, the Board is responsible for the effective stewardship Code”): of the Company’s affairs and has adopted a formal schedule of matters reserved for its decision. It has responsibility for all The UK Code includes provisions relating to: corporate strategic issues, corporate governance matters, dividend • the role of the chief executive; policy, share issue and buyback policy, risk and control assessment, • executive directors’ remuneration; and investment performance monitoring and budget approval. It is also • the need for an internal audit function. responsible for the review and approval of annual and half yearly reports and other public documents. For the reasons set out in the AIC Corporate Governance Guide for Investment Companies, the Board considers these provisions as In order to enable the Directors to discharge their responsibilities, not being relevant to the Company, as it is an externally managed they all have full and timely access to relevant information. The investment company. In particular, all of the Company’s day-to-day Board normally meets at least four times a year and also holds a management and administrative functions have been delegated to strategy meeting. At each meeting, the Board reviews the Company’s the Manager. As a result, the Company has no executive Directors, management information, which includes reports on investment employees or internal operations. Therefore, with the exception performance and strategic matters and financial analyses. of the need for an internal audit function, which is addressed on Income forecasts and costs are reviewed within set budgets. The page 55, the Company has not reported further in respect of these Board monitors compliance with the Company’s objectives and provisions. is responsible for setting the asset allocation, investment and gearing ranges within which the Manager has discretion to act. Key Detailed information on the Directors’ Remuneration can be found in representatives of the Manager attend each Board meeting. Board the Directors’ Remuneration Report on pages 51 to 53 and in note 5 meetings are also held on an ad hoc basis to consider particular to the accounts. issues as they arise. The following table sets out the Directors’ meeting attendance in the year under review. Committees of the Copies of both codes may be found on the respective websites Board met during the year to undertake business such as the theaic.co.uk and frc.org.uk. approval of the Company’s final results and dividends. AIFMD Each Director has a signed letter of appointment to formalise the The Company is defined as an Alternative Investment Fund (“AIF”) terms of their engagement as a non-executive Director, copies of under the AIFMD issued by the European Parliament, and which which are available for inspection at the Company’s registered Other Information has been implemented into UK law. This requires that all AIFs must office during normal business hours and are also available at each appoint a Depositary and an Alternative Investment Fund Manager Shareholder meeting. (“AIFM”). The Board remains fully responsible for all aspects of the Report and Accounts 2025 | 47 Director attendance – year ended 30 September 2025 Management Nomination and Strategy Annual General Audit and Risk Engagement Remuneration Board Meeting Meeting Committee Committee Committee No. of meetings (1) Nicky McCabe 4 1 1 3 1 2 Dunke Afe 4 1 1 3 1 2 (2) John Blowers 2 1 – 2 1 1 Patrick Firth 4 1 1 3 1 2 Nicky McCabe 4 1 1 3 1 2 Christopher Metcalfe 4 1 1 3 1 1 (3) Jane Lewis 2 N/A 1 1 N/A 1 (1) The Chair of the Company is invited to attend the Audit and Risk Committee although she is not a member. (2) Attended all meetings since appointment on 7 March 2025. (3) Attended all meetings until retirement on 6 March 2025. The Board also held two committee meetings during the year. Board effectiveness During the year, in order to review the effectiveness of the Board, Directors are able to seek independent professional advice at the its Committees and the individual Directors, the Board carried out Company’s expense in relation to their duties. No such professional a process of formal annual self appraisal. This was facilitated by advice was taken by Directors during the year under review. The way of confidential interviews between the Chair and each Director. Board has direct access to the company secretarial advice and The appraisal of the Chair was carried out by the Board under the services of the Manager which, through its nominated representative, leadership of the Senior Independent Director. Following this review, is responsible for ensuring that Board and committee procedures the Board concluded that the Board and its committees operated are followed and applicable regulations are complied with. The effectively throughout the year. proceedings at all Board and other meetings are fully recorded through a process that allows any Director’s concerns to be recorded The Board considers that the appraisal process is a constructive in the minutes. The Board has the power to appoint or remove means of evaluating the contribution of individual Directors and the Secretary in accordance with the terms of the management identifying ways to improve the functioning and performance of the agreement. The powers of the Board relating to the buying back or Board and its committees and building on and improving collective issuance of the Company’s shares are explained on page 46. strengths, including assessing any training needs. The option of using external consultants to conduct this evaluation is kept under Appointments review. Under the articles of association of the Company, the number of Directors on the Board cannot exceed ten. The Board anticipates Independence of Directors that the number of Directors appointed to the Board will, in normal The Board, which is composed solely of independent non-executive circumstances, be five. An induction process takes place for new Directors, regularly reviews the independence of the individual appointees and all Directors are encouraged to attend relevant Directors. All the Directors have been assessed by the Board as training courses and seminars. Directors may be appointed by remaining independent of the Manager and of the Company itself; the Company by ordinary resolution or by the Board. All new none has a past or current connection with the Manager and appointments by the Board are subject to subsequent election by each remains independent in character and judgement with no Shareholders at the next Annual General Meeting. All Directors will relationships or circumstances relating to the Company that are likely stand for re-election by Shareholders annually. to affect that judgement. Directors must seek Board approval prior to accepting additional Conflicts of interest listed external roles. A company director has a statutory obligation to avoid a situation in which he or she has, or potentially could have, a direct or indirect interest that conflicts with the interests of the Company (a “situational conflict”). The Board therefore has procedures in place 48 | CT UK Capital and Income Investment Trust PLC Governance Report for the authorisation and review of situational conflicts relating to the Chair’s StatementOverview Auditor’s Report Company’s Directors. Other than the formal authorisation of the Directors’ other directorships and appointments, no authorisations have been sought. They are reviewed throughout the year at each Board meeting and the authorisation of each individual Director’s conflicts or potential conflicts annually. These authorisations were reviewed Strategic Report Governance Report Financial Report Notice of Meeting in August 2025 when it was concluded that in each case these situational conflicts had not affected any individual in their role as a Director of the Company. Aside from situational conflicts, the Directors must also comply with the statutory rules requiring Company Directors to declare any interest in an actual or proposed transaction or arrangement with the Company. In the year under review there have been no instances of a Director being required to be excluded from a discussion or abstain from voting because of a conflict of interest. Relations with Shareholders The Company welcomes the views of Shareholders and places importance on communication with its members. Representatives of the Manager hold meetings with the Company’s largest Shareholders and report back to the Board on these meetings. Each year, the Company will hold an Annual General Meeting to be followed by a presentation by the Fund Manager in London. In accordance with the UK Code, in the event that votes of 20 per cent or more are cast against a resolution at a General Meeting the Company will announce the actions it intends to take to consult Shareholders to understand the reasons behind the result. A further update will be published within six months. No such votes were received during 2025. The Senior Independent Director, Patrick Firth, is available to Shareholders if they have concerns which initial contact through the Chair or Company Secretary has failed to resolve or for which such contact is inappropriate. Shareholders wishing to communicate with the Chair or other members of the Board may do so by writing to CT UK Capital and Income Investment Trust PLC, Cannon Place, 78 Cannon Street, London, EC4N 6AG. By order of the Board Columbia Threadneedle Investment Business Limited Secretary Other Information 3 December 2025 Report and Accounts 2025 | 49 ## Report of the Nomination and ## Remuneration Committee Role of the Nomination and Remuneration Committee (“the On 6 March 2025, at the conclusion of the AGM, Jane Lewis, the Chair Committee”) of the Company retired having served nine years. Upon this retirement, The Committee met twice during the year. Its primary role is to review Nicky McCabe, the Company’s Senior Independent Director, who was and make recommendations to the Board with regard to Board appointed to the Board in January 2021 became Chair. structure, size and composition, the balance of knowledge, experience, skill ranges and diversity, consider succession planning and tenure In addition, at the conclusion of the 2025 AGM, Patrick Firth was policy and remuneration policy and levels. Its responsibilities include: appointed Senior Independent Director and Christopher Metcalfe Chair of the Management Engagement Committee. • Board structure and size of the Board and its composition, particularly in terms of succession planning and the experience and As part of the Board’s succession planning, Nurole, a search company skills of the individual Directors and diversity across the Board as a without connection to the Company or any individual Director, was whole; commissioned to find a new Director for the Board. Following this • tenure policy; selection process, John Blowers, was appointed to the Board and its • the criteria for future Board appointments and the methods of committees with effect from 7 March 2025. recruitment, selection and appointment; • the reappointment of those Directors standing for re-election at Diversity and tenure Annual General Meetings; The Board’s diversity policy, objective and progress in achieving it are set • the attendance and time commitment of the Directors in fulfilling out on page 38. In normal circumstances the Chair and Directors are their duties, including the extent of their other directorships; expected to serve for no more than nine years, but this may be adjusted • the question of each Director’s independence prior to publication of for reasons of flexibility and continuity. the Report and Accounts; • the authorisation of each Director’s situational conflicts of interests Committee evaluation in accordance with the provisions of the Companies Act and the The activities of the Committee were considered as part of the Board policy and procedures established by the Board in relation to these appraisal process completed in accordance with standard governance provisions; arrangements as summarised on page 48. The conclusion from the • remuneration policy; and process was that the Committee was operating effectively, with the right • the periodic review of the level of Directors’ fees, including the Chair balance of membership, experience and skills. of the Board and Committees. Dunke Afe Composition of the Committee Chair of the Nomination and Remuneration Committee All of the Directors are members of the Committee. 3 December 2025 The Committee is chaired by Dunke Afe. The terms of reference of the Committee can be found on the Company’s website at ctcapitalandincome.co.uk. Directorate change and succession planning Appointments of all new Directors are made on a formal basis, normally using independent, professional search consultants, with the Committee agreeing the selection criteria and the method of recruitment, selection and appointment. 50 | CT UK Capital and Income Investment Trust PLC Governance Report # Directors' Remuneration Report Dear Shareholder, I am pleased to introduce the Directors' Remuneration Report for the year ended 30 September 2025. This report sets out the Company's forward looking Directors' Remuneration Policy and the Remuneration Report which describes how this policy has been applied during the year. I would welcome any comments you may have. Directors' Remuneration Policy The Board's policy is to set Directors' remuneration at a level commensurate with the skills and experience necessary for the effective stewardship of the Company and the expected contribution of the Board as a whole in continuing to achieve the investment objective. The policy aims to be fair and reasonable in relation to comparable investment trusts and other similar sized financial companies. Time committed to the Company's affairs and the role that individual Directors fulfil in respect of Board and Committee responsibilities are taken into account. The policy also provides for the Company's reimbursement of all reasonable travel and associated expenses incurred by the Directors in attending Board and committee meetings, including those treated as a benefit in kind subject to tax and national insurance. The Directors are not eligible for bonuses, pension benefits, share options, long term incentive schemes or other benefits. This policy was last approved by Shareholders in March 2023 with 94.5% voting in favour and 5.5% against. The policy will be put to Shareholders for renewal at the AGM to be held on 5 March 2026. The Board has not received any views from Shareholders in respect of the levels of Directors' remuneration. The fees for the non-executive Directors are determined within the limits set out in the Company's Articles of Association. The present limit is £350,000 per annum and may not be changed without seeking Shareholder approval at a general meeting. This limit was last increased, with the approval of Shareholders, in March 2025. The fees are fixed and are payable in cash, quarterly in arrears. The fees are reviewed each year. Following this review the Board agreed that the annual remuneration of the Chair will increase from £44,750 to £46,500, the Chair of the Audit and Risk Committee from £37,500 to £39,000, and other Directors from £30,000 to £32,000. The Senior Independent Director receives a further £2,500 for their duties. These increases were effective from 1 October 2025. The previous increase to Directors' annual remuneration occurred on 1 October 2024. The Board is composed solely of non-executive Directors, none of whom has a service contract with the Company. Each new Director is provided with a letter of appointment. There is no provision for compensation upon early termination of appointment. The letters of appointment are available for inspection at the Company's registered office during business hours and will be available for 15 minutes before and during the forthcoming AGM. The dates on which each Director was appointed to the Board and was last elected or re-elected by Shareholders are set out on pages 40 and 41. Each Director's appointment is subject to election at the first Annual General Meeting and continues thereafter subject to re-election at each subsequent Annual General Meeting. The appointment can be terminated on one month's notice. All the Directors will stand for election or re-election at the AGM on 5 March 2026. The fees for specific responsibilities are set out in the table below. Annual fees for Board Responsibilities | For the year ending 30 September | 2026 £'000s | 2025 £'000s | 2024 £'000s | | --- | --- | --- | --- | | Chair | 46.5 | 44.8 | 42.8 | | Director | 32.0 | 30.0 | 28.5 | | Audit and Risk Committee Chair | 39.0 | 37.5 | 35.8 | The Senior Independent Director receives a further £2,500 for their additional duties (2025: £2,500, 2024: £3,000). Directors' Shareholdings - Directors' share interests (audited) | At 30 September | 2025 Number of shares held (audited) | 2024 Number of shares held (audited) | | --- | --- | --- | | Nicky McCabe | 3,420 | 3,420 | | Dunke Aile | - | - | | John Blowers* | 3,130 | n/a | | Patrick Firth | 3,400 | 3,400 | | Christopher Metcalfe | 3,460 | 3,460 | As at 30 September 2025 the shareholding of the Company's fund manager, Julian Care, was 363,315 shares (2024: 350,175 shares). The Company's register of Directors' interests contains full details of Directors' shareholdings. *Appointed as a non-executive Director with effect from 7 March 2025. Report and Accounts 2025 | 51 Financial Statements There have been no changes in any of the Directors’ shareholdings • Enhanced Communications: Developed increased thought detailed above between 30 September 2025 and the date of this leadership content and proactive PR initiatives with Directors report. No Director held any interests in the issued shares of the contributing to content strategy and stakeholder dialogue Company other than as stated above. There is no requirement for the Directors to hold shares in the Company. These initiatives reflect the Board’s continued commitment to active stewardship in a dynamic market environment. Policy implementation The Directors’ Remuneration Report is subject to an annual advisory The table below sets out the annual percentage change in fees for vote and therefore an ordinary resolution for its approval will be each Director who served in the year under review. The percentage put to Shareholders at the forthcoming AGM. At the last meeting, increases shown below are as a result of changes in roles within the Shareholders approved the Directors’ Remuneration Report in Board, and where Board members have now completed a full year of respect of the year ended 30 September 2024. 93.8% of votes were service. The numbers should normalise in 2026. cast in favour of the resolution and 6.2% against. Fees annual percentage change Directors’ remuneration report 2025 2024 2023 2022 The Directors who served during the year received the following (audited) (audited) (audited) (audited) amounts for services as non-executive Directors for the years ended Director % % % % (1) 30 September 2025 and 2024. Nicky McCabe +30.5 +11.9 +5.9 +38.8 (2) | | Patrick Firth | | +8.7 +15.1 +522.0 n/a | | --- | --- | --- | --- | | Fees for services to the Company (audited) | | (3) | | | | Dunke Afe | | +5.3 +216.7 n/a n/a | (4) Taxable Christopher Metcalfe +86.3 n/a n/a n/a (1) | Fees | Benefits | | Total | | (5) | | | | --- | --- | --- | --- | --- | --- | --- | --- | | | | | | Jane Lewis | | -55.1 | +41.3 +18.8 +4.1 | | £’000s | | £’000s | £’000s | | | | | (6) (audited) (audited) (audited) John Blowers n/a n/a n/a n/a The movements in the table reflect mainly the changes in board composition and Director 2025 2024 2025 2024 2025 2024 individual director responsibilities during the four year period. (2) (1) Appointed Chair with effect from 6 March 2025 Nicky McCabe 39.4 30.2 5.7 5.0 45.1 35.2 (2) Appointed as non-executive Director with effect from 21 July 2022 and Audit and Risk Patrick Firth 38.9 35.8 3.6 2.7 42.5 38.5 Committee Chair from 1 January 2023 and Senior Independent Director on 6 March 2025. Dunke Afe 30.0 28.5 2.3 3.7 32.3 32.2 (3) Appointed as a non-executive Director with effect from 1 June 2023 and became (3) Chair of the Nomination and Remuneration Committee on 20 July 2023. Christopher Metcalfe 30.0 16.1 2.7 0.3 32.7 16.4 (4) Appointed as a non-executive Director with effect from 8 March 2024 and became (4) Chair of the Management Engagement Committee on 6 March 2025. Jane Lewis 19.2 42.8 2.8 3.2 22.0 46.0 (5) Retired on 6 March 2025. (5) (6) Appointed as a non-executive Director with effect from 7 March 2025. John Blowers 16.8 – 0.9 – 17.7 – (6) Tim Scholefield – 13.7 – 1.1 – 14.8 The table below shows the actual expenditure during the year Total 174.3 167.1 18.0 16.0 192.3 183.1 on Directors’ fees (excluding taxable benefits) compared to the (1) Comprises amounts reimbursed for expenses incurred in carrying out business for the Company, which have been grossed up to include PAYE and NI Shareholder distributions of dividends and share buybacks: contributions. (2) Appointed Chair with effect from 6 March 2025. (3) Appointed as a non-executive Director with effect from 8 March 2024 and Relative importance of pay became Chair of the Management Engagement Committee on 6 March 2025. (4) Retired 6 March 2025 (5) Appointed as a non-executive Director with effect from 7 March 2025. Actual Expenditure 2025 2024 % (6) Retired 7 March 2024. Year ended 30 September £’000s £’000s Change Aggregate Directors’ fees 174.3 167.1 4.3 The Board invested additional focus to proactive initiatives Aggregate cost of ordinary shares repurchased 13,965.0 13,586.0 2.8 addressing the investment trust sector’s evolving landscape. Dividends paid to Shareholders + 12,569.0 12,710.0 (1.1) Directors have contributed additional expertise and time to: + The reduction in dividends paid to Shareholders is a consequence of the Company’s share buybacks. Dividends per share paid increased from 12.45 pence during the year to 30 September 2024 to 12.8 pence for the equivalent period to • Portfolio Oversight: Enhanced focus on portfolio positioning and 2025. performance attribution to support the Manager’s investment strategy execution; • Digital Channel Development: Established the Company’s LinkedIn presence to strengthen retail investor engagement and broaden market visibility; and 52 | CT UK Capital and Income Investment Trust PLC Governance Report # **Company performance** The Board is responsible for the Company's investment strategy and performance. The management of the investment portfolio is delegated to the Manager. An explanation of the performance of the Company for the year ended 30 September 2025 is given in the Chair's Statement and Fund Manager's Review. A comparison of the Company's performance over the required ten year period is set out in the graph. This shows the total return (assuming all dividends are reinvested) to ordinary Shareholders against the Benchmark. **Shareholder total return vs Benchmark total return over ten years (rebased to 100 at 30 September 2015) (%)** ![img-9.jpeg](img-9.jpeg) Source: Refinitiv Eikon **Dunke Afs** **Chair of the Nomination and Remuneration Committee** **3 December 2025** Government Report Report and Accounts 2025 | 53 ## Report of the Audit and Risk Committee ## The primary responsibilities of the Audit and Risk Committee (the “Committee”) are to ensure the ## integrity of the financial reporting of the Company and the appropriateness of the internal controls ## and risk management processes. Role of the Committee the impact of the war in Ukraine, events in the Middle East and the The Committee met on three occasions during the year, and the uncertainty surrounding the imposition of US trade tariffs upon the risks, attendance of each of the members is set out on page 48. The Trust operations and accounting basis of the Company. Accountant, the Fund Manager and Risk Managers of the Manager were invited to attend certain meetings to report on relevant matters. Mindful of the guidance issued by the Financial Reporting Council, when The external auditor, BDO LLP, attended two of the committee meetings assessing going concern the Directors have considered this in addition and also met in private session with the Committee Chair. to taking note of the Company’s objective, strategy and policy, its cash position, availability of the loan facility and the operational resilience The Committee considered, monitored and reviewed the following of its service providers. Further analysis of the application of the going matters: concern principle is detailed in note 20 to the Financial Report. • The audited annual results statement and Report and Accounts The Board retains ultimate responsibility for all aspects relating to and the unaudited half yearly results statement and Report and external financial statements and other significant published financial Accounts; information as is noted in the Statement of Directors’ Responsibilities • The accounting policies of the Company; on page 58. On broader control policy issues, the Committee has • The principal risks faced by the Company and the effectiveness of received confirmation that bribery and corruption are managed by the Company’s internal control and risk management environment, the Manager’s Global Code of Conduct and Anti-Corruption Policy and including consideration of the assumptions underlying the Board’s Guidelines. The Manager and its employees are subject to both the future prospects statement on viability; Code and the Policy. The Committee has also received confirmation • The effectiveness of the external audit process and the current that the Manager has in place a Whistleblowing Policy under which its independence and objectivity of BDO LLP; directors and staff may, in confidence, raise concerns about possible • The policy on the engagement of the external auditor to supply non- improprieties in financial reporting or other matters. The necessary audit services and approval of any such services; arrangements are in place for communication to this Committee • The need for the Company to have its own internal audit function; where matters might impact the Company with appropriate follow up • The ISAE/AAF and SSAE16 reports or their equivalent from the action. In the year under review, there were no such concerns raised Manager, the Custodian, Depositary and a due diligence report with the Committee. from the Company’s share registrar; and • The Committee’s terms of reference, which can be found on the Composition of the Committee website at ctcapitalandincome.co.uk. All the Directors of the Company are independent. All Directors, with the exception of the Chair of the Company, were members of the Committee. Comprehensive papers and reports relating to each of these matters This is in accordance with developing Corporate Governance best were considered by the Committee and recommendations were then practice. The Chair, however, has been invited to attend. The Committee made to the Board as appropriate. is chaired by Patrick Firth. He is a qualified Chartered Accountant and a member of the Chartered Institute for Securities and Investment. As noted within Principal Risks and Future Prospects on page 32 the He worked in the fund industry in Guernsey from 1992 until 2009 and Directors have reviewed the risk register of the Company. has been a director of a number of management companies, general partners and investment companies, including Chair of the Audit and Risk Throughout the preparation processes for both the interim report for Committees. the six month period ended 31 March 2025 and the annual report for the year ended 30 September 2025 the Committee has considered 54 | CT UK Capital and Income Investment Trust PLC Governance Report The other members of the Committee have a combination of relevant control systems. The assessment included a review of the Manager’s Chair’s StatementOverview Auditor’s Report financial, investment and business experience through the senior posts risk management infrastructure and the report on policies and held throughout their careers. The Committee considers that collectively procedures in operation and tests for the period to 30 September the members have sufficient recent and relevant sector and financial 2024 (the “ISAE/AAF Report”). The Manager has provided further experience to discharge their responsibilities. The performance of the assurance that controls have operated satisfactorily since that date. Committee was evaluated as part of the Board appraisal process. This had been prepared by the Manager for all its investment trust clients to the International Standard on Assurance Engagement Management of risk (“ISAE”) No.3402 and to the standards of the Institute of Chartered Strategic Report Governance Report Financial Report Notice of Meeting The Manager’s Business Risk department provides regular control Accountants in England and Wales Technical Release AAF (01/20). report updates to the Committee covering risk and compliance while any significant issues of direct relevance to the Company are required The ISAE/AAF Report, containing an unqualified opinion from to be reported to the Board immediately. During the year the internal independent reporting accountants KPMG, sets out the Manager’s audit function of the Manager presented to the Board on their recent control policies and procedures with respect to the management of and planned activities within Columbia Threadneedle Investments. its clients’ investments and maintenance of their financial records. Procedures are also in place to capture and evaluate any failings and A key risk register is produced by the Manager in consultation with weaknesses within the Manager’s control environment and those the Board to identify the risks to which the Company is exposed, the extending to any outsourced service providers to ensure that action controls in place and the actions being taken to mitigate them. The would be taken to remedy any significant issues. Any errors or breaches Board has a robust process for considering the resulting risk matrix and relating to the Company are reported at each Board meeting by the reviews the significance of the risks and the reasons for any changes. Manager. No failings or weaknesses material to the overall control environment and financial statements were identified in the Company’s The Company’s Principal Risks and their mitigations are set out on year under review. The Committee also reviewed the control reports of pages 32 and 33 with additional information given in note 21 to the the Custodian and the Depositary and were satisfied that there were no accounts. The integration of these risks into the analyses underpinning material exceptions. the “Five Year Horizon” Statement on page 34 was fully considered and the Committee concluded that the Board’s statement was soundly Through the reviews and reporting arrangements set out above and based. by direct enquiry of the Manager and other relevant parties, the Committee and the Board have satisfied themselves that there were Internal controls no material control failures or exceptions affecting the Company’s The Board has overall responsibility for the Company’s systems of operations during the year or to the date of this report. internal controls, for reviewing their effectiveness and ensuring that risk management and control processes are embedded in the day-to- Based on review, observation and enquiry by the Committee and Board day operations, which are managed by the Manager. The Committee of the processes and controls in place within the Manager, including has reviewed and reported to the Board on these controls, which aim the unqualified opinion of a reputable independent accounting firm that to ensure that the assets of the Company are safeguarded, proper those controls operated satisfactorily, the Committee has concluded accounting records are maintained, and the financial information used that there is no current need for the Company to have an internal audit within the business and for publication is reliable. Control of the risks function and the Board has concurred. identified, covering financial, operational, compliance and overall risk management, is exercised by the Committee and the Board through External audit process and significant issues considered by regular reports provided by the Manager. The reports cover investment the Committee performance, compliance with agreed and regulatory investment In carrying out its responsibilities, the Committee has considered the restrictions, financial analyses, revenue estimates, performance of the planning arrangements, scope, materiality levels and conclusions of third party administrators of the CT Savings Plans and other relevant the 2025 external audit. The table on the next page describes the management issues. significant judgements and issues considered by the Committee in conjunction with BDO LLP in relation to the financial statements for The systems of internal controls are designed to manage rather than the year and how these issues were addressed. The Committee also eliminate risk of failure to achieve business objectives and can only included in their review the areas of judgement referred to in note Other Information provide reasonable, but not absolute, assurance against material 2(c)(xvi) to the accounts. misstatement, loss or fraud. Further to the review by the Committee, the Board has assessed the effectiveness of the Company’s internal Report and Accounts 2025 | 55 ## Significant matters considered by the Committee in 2025 | Matter | Action | | --- | --- | | **Investment Portfolio Valuation** | | | The Company's portfolio is invested in listed securities. Although the vast majority of the securities are highly liquid and listed on recognised stock exchanges, errors in the valuation could have a material impact on the Company's Net Asset Value per share. | The Board reviews the full portfolio valuation at each Board meeting and receives quarterly monitoring and control reports from the AIFM and Depositary. The Committee reviewed the Manager's ISAE/AAF Report for the period ended 30 September 2024, which is reported on by independent external accountants and which details the systems, processes and controls around the daily pricing of equity and fixed interest securities. The Manager has provided further assurance that controls have operated satisfactorily since that date. The valuation and existence of investments were tested and reported on by the auditor as set out on page 61. | | **Ownership and Existence of Assets** | | | Misappropriation or non-existence of the Company's investments or cash balances could have a material impact on its Net Asset Value per share. | The Committee reviewed the Manager's ISAE/AAF Report for the period ended 30 September 2024, which details the controls around the reconciliation of the Manager's records to those of the Custodian. The Committee also reviewed the Custodian's annual internal control report to 31 March 2025, which is reported on by independent external accountants and which provides details regarding its control environment. Regular updates from the Manager, Depositary and Custodian, in respect of controls operating in subsequent periods up to 30 September 2025, were also reviewed and agreed as being satisfactory. | | **Income Recognition** | | | Incomplete or inaccurate income recognition could have an adverse effect on the Company's Net Asset Value and earnings per share and its level of dividend cover. | The Committee reviewed the Manager's ISAE/AAF Report and subsequent confirmation referred to above. It also assessed the final level of income received for the year against the budget which was set at the start of the year and discussed the accounting treatment of special dividends with the Manager. Investment income was also tested and reported on by the auditor as set out on page 61. | The Committee met in November 2025 to discuss the draft Report and Accounts, with representatives of BDO LLP and the Manager in attendance. BDO LLP submitted their Year End report to the Committee and confirmed that they anticipated issuing an unqualified audit opinion in respect of the Report and Accounts. The Committee established that there were no material issues or findings arising which needed to be brought to the attention of the Board and confirmed that the Report and Accounts were in their view fair, balanced and understandable in accordance with accounting standards, regulatory requirements and best practice. The Independent Auditor's Report, which sets out their unqualified audit opinion, the scope of the audit and the areas of focus, in compliance with applicable auditing standards, can be found on pages 60 to 64. ### Auditor assessment and independence The Committee has been satisfied with the effectiveness of BDO LLP's performance on the audit of the Company's accounts. BDO LLP has confirmed its independence of the Company and has complied with relevant auditing standards. In evaluating BDO LLP, the Committee took into consideration the standing, skills and experience of the firm and the audit team and also took note of BDO LLP's audit performance through the FRC's Audit Quality Review. The fee for the audit was £49,350 (2024: £45,750) as shown in note 5 to the accounts. ### Non-audit services The Committee regards the continued independence of the auditor to be a matter of the highest priority. The Company's policy with regard to the provision of non-audit services by the external auditor ensures that no engagement will be permitted if: - the provision of the services would contravene any regulation or ethical standard; - the auditor is not considered to be expert providers of the non-audit services; - the provision of such services by the auditor creates a conflict of interest for either the Board or the Manager; and - the services are considered to be likely to inhibit the auditor's independence or objectivity as auditor. In particular, the Committee has a policy that the costs of all non-audit services sought from the auditor in any one year should not exceed 70% of the average audit fee paid over the last three consecutive years. There were no non-audit services for the year ended 30 September 2025. ### Patrick Firth Chair of the Audit and Risk Committee 3 December 2025 56 | CT UK Capital and Income Investment Trust PLC Governance Report Chair’s StatementOverview Auditor’s Report ## Report of the Management ## Engagement Committee Strategic Report Governance Report Financial Report Notice of Meeting Role of the Management Engagement Committee (“the Manager reappointment Committee”) The annual evaluation that took place in May 2025 included a The primary role of the Committee is to review annually the presentation from the Manager’s Head of Investment Trusts. The performance of, and the fee paid to, the Manager for the services it Manager continued to commit the necessary resources in all areas provides under the management agreement together with the terms of its responsibilities, including investment, ESG, marketing and of the agreement. As part of this process it receives reports on any administrative services towards the achievement of the Company’s services delegated by the Manager to outsourced service providers. objective. The Committee met in closed session following the The Committee considers any extra charges and services proposed by presentation and concluded that in its opinion, in the light of the Manager in addition to the management fees. investment performance and the quality of the overall service provided, the continuing appointment of the Manager on the terms agreed was The Committee reviews annually the performance of all service in the interests of Shareholders as a whole. The Board ratified this providers to the Company and monitors fees payable to them. It will recommendation. make any necessary recommendations to the Board. Christopher Metcalfe Composition of the Committee Chair of the Management Engagement Committee Due to the size of the Board, all of the Directors are members of the 3 December 2025 Committee. Since 6 March 2025, the Committee has been chaired by Christopher Metcalfe. Previously, the Committee was chaired by Nicky McCabe. The terms of reference can be found on the website at ctcapitalandincome.co.uk. Manager and supplier evaluation process Investment performance is considered by the Board at every meeting, with the formal annual evaluation undertaken by the Committee including the wider services provided by the Manager. In evaluating the performance, the Committee considers a range of factors including the investment performance of the portfolio and the skills, experience and depth of the team involved in managing the Company’s assets. For the purposes of its ongoing monitoring, the Board had received detailed reports and views from the Fund Manager on investment policy, asset allocation, gearing and risk. The Board had also received comprehensive performance and risk management schedules to enable it to assess: the success or failure of the management of the portfolio against the performance objectives set by the Board; the sources of positive and negative contribution to the portfolio in terms of gearing, asset allocation and stock selection; and the risk/ Other Information return characteristics. The Committee also monitors the level of the Manager’s fee, the service provided by the Manager and the service and fees of all of the Company’s third party service providers. Report and Accounts 2025 | 57 ## Statement of Directors’ Responsibilities The Directors are responsible for preparing the Report and reasonable steps for the prevention and detection of fraud and Accounts, the Directors’ Remuneration Report and the financial other irregularities. statements in accordance with applicable law and regulations. The Report and Accounts is published on the website Company law requires the Directors to prepare financial statements ctcapitalandincome.co.uk, which is maintained by the Manager. The for each financial year. Under that law the Directors have prepared Directors are responsible for the maintenance and integrity of the the financial statements in accordance with United Kingdom Company’s website. Visitors to the website need to be aware that Accounting Standards, comprising FRS 102 and applicable law legislation in the United Kingdom governing the preparation and (United Kingdom Generally Accepted Accounting Practice). dissemination of financial statements may differ from legislation in other jurisdictions. Under company law the Directors must not approve the financial statements unless they are satisfied that they give a true and fair Statement under Disclosure Guidance and Transparency view of the state of affairs of the Company and of the profit or Rule 4.1.12 loss of the Company for that period. In preparing these financial Each of the Directors listed on pages 40 and 41 confirm to the statements, the Directors are required to: best of their knowledge that: • select suitable accounting policies and then apply them • the financial statements, prepared in accordance with consistently; applicable accounting standards give a true and fair view of the • make judgements and accounting estimates that are assets, liabilities, financial position and profit of the Company; reasonable and prudent; • the Strategic Report includes a fair review of the development • state whether applicable UK Accounting Standards have been and performance of the business and the position of the followed, subject to any material departures disclosed and Company, together with a description of the principal risks and explained in the financial statements respectively; uncertainties that they face; and • prepare the financial statements on the going concern basis • the Annual Report and financial statements, taken as a unless it is inappropriate to presume that the Company will whole, are fair, balanced and understandable and provide continue in business; and the information necessary for Shareholders to assess the • prepare a Directors’ Report, a Strategic Report and a Directors’ Company’s position and performance, business model and Remuneration Report which comply with the requirements of strategy. the Companies Act 2006. The Directors confirm that they have complied with the above requirements in preparing the financial statements. On behalf of the Board The Directors are responsible for keeping adequate accounting Nicky McCabe Chair records that are sufficient to show and explain the Company’s 3 December 2025 transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the financial statements and the Directors’ Remuneration Report comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking 58 | CT UK Capital and Income Investment Trust PLC Governance Report Chair’s StatementOverview Auditor’s Report ## Management and Advisers Strategic Report Governance Report Financial Report Notice of Meeting | The Manager | The Secretary and the Company’s | The Depositary | | --- | --- | --- | | CT UK Capital and Income Investment Trust | Registered Office | JPMorgan Europe Limited | | PLC is managed by Columbia Threadneedle | Columbia Threadneedle Investment | 25 Bank Street, Canary Wharf | | Investment Business Limited, a wholly- | Business Limited | London E14 5JP | | owned subsidiary of Columbia Threadneedle | Cannon Place, 78 Cannon Street | | | AM (Holdings) PLC which is ultimately owned | London EC4N 6AG | The Registrars | | by Ameriprise Financial, Inc. Columbia | | Computershare Investor Services PLC | | Threadneedle Investment Business Limited | Telephone: 0131 573 8300 | The Pavilions, Bridgwater Road | | is authorised and regulated in the UK by the | Website: ctcapitalandincome.co.uk | Bristol BS99 6ZZ | | Financial Conduct Authority and is appointed | Email: invest@columbiathreadneedle.com | Telephone: 0370 889 4094 | under a management agreement with the | Company setting out its responsibilities for | The Auditor | The Legal Counsel | | --- | --- | --- | | investment management, administration and | BDO LLP | Dickson Minto W.S. | | marketing. | 55 Baker Street | Broadgate Tower, 20 Primrose Street | | | London W1U 7EU | London EC2A 2EW | The Manager also acts as the Alternative | Investment Fund Manager. | The Bank | The Broker | | --- | --- | --- | | | JPMorgan Chase Bank | Cavendish | | Julian Cane Fund Manager and director of | 25 Bank Street, Canary Wharf | 1 Bartholomew Close | | UK equities at the Manager, has managed | London E14 5JP | London EC1A 7BL | the Company’s investments since March | 1997. He joined the Manager in 1993. | The Custodian | | --- | --- | | With effect from 1 January 2026, he will be | JPMorgan Chase Bank | | succeeded by Dominic Younger. | 25 Bank Street, Canary Wharf | London E14 5JP Marrack Tonkin Head of Investment Trusts at the Manager. He has responsibility for the relationship with the Company. He joined the Manager in 1989. Scott McEllen Represents the Manager as Company Secretary and is responsible for the Company’s statutory compliance. He joined the Manager in 2007. Other Information . Report and Accounts 2025 | 59 ## Independent Auditor’s Report ## Independent auditor’s report to the members of CT UK Capital and Income Investment Trust PLC Opinion on the financial statements Conclusions relating to going concern In our opinion the financial statements: In auditing the financial statements, we have concluded that the • give a true and fair view of the state of the Company’s affairs as Directors’ use of the going concern basis of accounting in the at 30 September 2025 and of its gain for the year then ended; preparation of the financial statements is appropriate. Our evaluation • have been properly prepared in accordance with United Kingdom of the Directors’ assessment of the Company’s ability to continue to Generally Accepted Accounting Practice; and adopt the going concern basis of accounting included: • have been prepared in accordance with the requirements of the • Evaluating the appropriateness of the Directors’ method of Companies Act 2006. assessing going concern in light of economic and market conditions by reviewing the information used by the Directors in We have audited the financial statements of CT UK Capital and completing their assessment; Income Investment Trust PLC (the ‘Company’) for the year ended • Assessing the liquidity of the investment portfolio, which 30 September 2025 which comprise the Income Statement, the underpins the ability to meet the future obligations and operating Statement of Changes in Equity, the Balance Sheet, the Statement expenses for a period of 12 months from the date of approval of of Cash Flows and Notes to the financial statements, including a these financial statements. summary of significant accounting policies. The financial reporting • Reviewing the loan agreements to identify the covenants and framework that has been applied in their preparation is applicable assessing the likelihood of them being in breach based on the law and United Kingdom Accounting Standards, including Financial Directors’ forecast and sensitivity analysis. | Reporting Standard 102 | The Financial Reporting Standard applicable | | | | --- | --- | --- | --- | | in the UK and Republic of Ireland | | (United Kingdom Generally | Based on the work we have performed, we have not identified | | Accepted Accounting Practice). | | | any material uncertainties relating to events or conditions that, | individually or collectively, may cast significant doubt on the Basis for opinion Company’s ability to continue as a going concern for a period of We conducted our audit in accordance with International Standards on at least twelve months from when the financial statements are Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under authorised for issue. those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We In relation to the Company’s reporting on how it has applied the UK believe that the audit evidence we have obtained is sufficient and Corporate Governance Code, we have nothing material to add or draw appropriate to provide a basis for our opinion. Our audit opinion is attention to in relation to the Directors’ statement in the financial consistent with the additional report to the audit committee. statements about whether the Directors considered it appropriate to adopt the going concern basis of accounting. Independence Following the recommendation of the audit committee, we were Our responsibilities and the responsibilities of the Directors with appointed by the Board of Directors on 11 February 2020 to audit respect to going concern are described in the relevant sections of the financial statements for the year ended 30 September 2020 this report. and subsequent financial periods. The period of total uninterrupted engagement including retenders and reappointments is 6 years, An overview of the scope of our audit covering the years ended 30 September 2020 to 30 September Our audit was scoped by obtaining an understanding of the Company 2025. We remain independent of the Company in accordance with and its environment, including the Company’s system of internal the ethical requirements that are relevant to our audit of the financial control, and assessing the risks of material misstatement in the statements in the UK, including the FRC’s Ethical Standard as applied financial statements. We also addressed the risk of management to listed public interest entities, and we have fulfilled our other ethical override of internal controls, including assessing whether there was responsibilities in accordance with these requirements. The non-audit evidence of bias by the Directors that may have represented a risk of services prohibited by that standard were not provided to the Company. material misstatement. 60 | CT UK Capital and Income Investment Trust PLC Independent Auditor’s Report Chair’s StatementOverview Auditor’s Report Overview 2025 2024 Key audit matters Valuation and existence of quoted investments ##   Revenue recognition ##   Materiality Company financial statements as a whole Strategic Report Governance Report Financial Report Notice of Meeting £3.4m (2024: £3.4m) based on 1% (2024: 1%) of Net assets. Key audit matters Key audit matters are those matters that, in our professional effect on: the overall audit strategy, the allocation of resources in judgement, were of most significance in our audit of the financial the audit, and directing the efforts of the engagement team. These statements of the current period and include the most significant matters were addressed in the context of our audit of the financial assessed risks of material misstatement (whether or not due to statements as a whole, and in forming our opinion thereon, and we fraud) that we identified, including those which had the greatest do not provide a separate opinion on these matters. Key audit matter How the scope of our audit addressed the key audit matter Valuation and The investment portfolio at the year-end comprises We responded to this matter by testing the valuation and existence of 100% of the quoted existence quoted equity investments held at fair value through investment by performing the following procedures: of quoted profit or loss. • Confirmed that the year-end bid price was used by agreeing to externally quoted prices; investments We considered the valuation and existence of • Recalculated the valuation by multiplying the number of shares held per the statement investments to be a key focus of our audit, as obtained from the custodian by the price per share; (Notes 2c(i) on investments represent the most material balance in the • Assessed whether there were any contra indicators, such as liquidity considerations, page 70 and financial statements and underpin the principal activity that could suggest the bid price was not the most appropriate measure of fair value, by 10 on page 76) of the Company. considering the realisation period for individual holdings; and With respect to valuation, while we do not consider the • Obtained direct confirmation of the number of shares held per quoted investment from the valuation of quoted investments to involve a significant Custodian regarding all investments held at balance sheet date. degree of estimation or judgement, there is a risk that Key observations: the prices used for the quoted investments held by the Company may not reflect their fair value at the year end. Based on the procedures performed, we did not identify any matters to suggest that the valuation and existence of quoted investments was not appropriate. Additionally, in relation to existence, there is a risk that the company does not have appropriate title over quoted investments. For these reasons, and due to the materiality of the balance in the context of the financial statements as a whole, we consider this to be a key audit matter. Revenue Income arises from dividends and interests and can be We assessed the treatment of dividend income from corporate actions and special dividends and recognition volatile, but is often a key factor in demonstrating the challenged if these had been appropriately accounted for as revenue or capital by reviewing the performance of the portfolio. As such there may be an underlying reason for issue of the dividend and whether it could be driven by a capital event. (Notes 2c(v) incentive to recognise income as revenue where it is We analysed the whole population of dividend receipts to identify items for further discussion on page 70 and more appropriately of a capital nature. that could indicate a capital distribution, for example where a dividend represents a particularly 3 on page 73) Additionally, judgement is required by management high yield. In these instances, we performed a combination of inquiry with management and our in determining the allocation of dividend income to own independent research, including inspection of financial statements of investee companies, to revenue or capital for certain corporate actions or special ascertain whether the underlying event was indeed of a capital nature. dividends. In addition, we formed our own expectation of dividend income for the whole portfolio using For this reason we considered revenue recognition to be the entity’s investment holdings and dividend announcements from independent sources. We a key audit matter and significant risk. vouched a sample of dividend receipts to bank. Other Information Key observations: Based on the procedures performed, we found the judgements made by management in determining the allocation of income to revenue or capital to be reasonable. Report and Accounts 2025 | 61 ## Our application of materiality We apply the concept of materiality both in planning and performing our audit, and in evaluating the effect of misstatements. We consider materiality to be the magnitude by which misstatements, including omissions, could influence the economic decisions of reasonable users that are taken on the basis of the financial statements. In order to reduce to an appropriately low level the probability that any misstatements exceed materiality, we use a lower materiality level. performance materiality, to determine the extent of testing needed. Importantly, misstatements below these levels will not necessarily be evaluated as immaterial as we also take account of the nature of identified misstatements, and the particular circumstances of their occurrence, when evaluating their effect on the financial statements as a whole. Based on our professional judgement, we determined materiality for the financial statements as a whole and performance materiality as follows: | Company financial statements | 2025 £m | 2024 £m | | --- | --- | --- | | Materiality | 3.4 | 3.4 | | Basis for determining materiality | 1% of Net assets | 1% of Net assets | | Rationale for the benchmark applied | As an investment trust, the net asset value is the key measure of performance for users of the financial statements. | As an investment trust, the net asset value is the key measure of performance for users of the financial statements. | | Performance materiality | 2.5 | 2.5 | | Basis for determining performance materiality | 75% of materiality | 75% of materiality | | Rationale for the percentage applied for performance materiality | The level of performance materiality applied was set after having considered several factors including the expected total value of known and likely misstatements and the level of transactions in the year. | The level of performance materiality applied was set after having considered several factors including the expected total value of known and likely misstatements and the level of transactions in the year. | ## Specific Materiality We also determined that for Revenue return before tax, a misstatement of less than materiality for the financial statements as a whole, specific materiality, could influence the economic decisions of users as it is a measure of the Company's performance of income generated from its investments after expenses. As a result, we determined its materiality for these items to be £599,000 (2024: £570,000), based on 5% of Revenue return before tax (2024: 5% of Revenue return before tax). ## Reporting threshold We agreed with the Audit Committee that we would report to them all individual audit differences in excess of £168,000 (2024: £68,000) for the financial statements as a whole. We also agreed to report differences below these thresholds that, in our view, warranted reporting on qualitative grounds. ## Other information The directors are responsible for the other information. The other information comprises the information included in the document entitled 'Annual Report and Financial Statements for the year ended 30 September 2025' other than the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. ## Corporate governance statement The UK Listing Rules require us to review the Directors' statement in relation to going concern, longer-term viability and that part of the Corporate Governance Statement relating to the Company's compliance with the provisions of the UK Corporate Governance Code specified for our review. Based on the work undertaken as part of our audit, we have concluded that each of the following elements of the Corporate Governance Statement is materially consistent with the financial statements or our knowledge obtained during the audit. 62 CT UK Capital and Income Investment Trust PLC Independent Auditor’s Report Chair’s StatementOverview Auditor’s Report Going concern and longer-term viability • The Directors’ statement with regards to the appropriateness of adopting the going concern basis of accounting and any material uncertainties identified set out on page 43; and • The Directors’ explanation as to their assessment of the Company’s prospects, the period this assessment covers and why the period is appropriate set out on page 34. Other Code provisions • Directors’ statement on fair, balanced and understandable set out on page 58; • Board’s confirmation that it has carried out a robust assessment of the emerging and principal risks set out on page 32; • The section of the annual report that describes the review of effectiveness of risk management and internal control systems set out on page 55; and Strategic Report Governance Report Financial Report Notice of Meeting • The section describing the work of the audit committee set out on page 54. Other Companies Act 2006 reporting Based on the responsibilities described below and our work performed during the course of the audit, we are required by the Companies Act 2006 and ISAs (UK) to report on certain opinions and matters as described below. Strategic report and Directors’ report In our opinion, based on the work undertaken in the course of the audit: • the information given in the Strategic report and the Directors’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and • the Strategic report and the Directors’ report have been prepared in accordance with applicable legal requirements. In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the Directors’ report. Directors’ remuneration In our opinion, the part of the Directors’ remuneration report to be audited has been properly prepared in accordance with the Companies Act 2006. Matters on which we are required to We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires report by exception us to report to you if, in our opinion: • adequate accounting records have not been kept by the Company, or returns adequate for our audit have not been received from branches not visited by us; or • the 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. Responsibilities of Directors the financial statements as a whole are free from material As explained more fully in the Statement of Directors’ misstatement, whether due to fraud or error, and to issue an Responsibilities, the Directors are responsible for the preparation auditor’s report that includes our opinion. Reasonable assurance of the financial statements and for being satisfied that they give is a high level of assurance but is not a guarantee that an audit a true and fair view, and for such internal control as the Directors conducted in accordance with ISAs (UK) will always detect a determine is necessary to enable the preparation of financial material misstatement when it exists. Misstatements can arise statements that are free from material misstatement, whether due from fraud or error and are considered material if, individually or in to fraud or error. the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial In preparing the financial statements, the Directors are responsible statements. for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and Extent to which the audit was capable of detecting irregularities, using the going concern basis of accounting unless the Directors including fraud either intend to liquidate the Company or to cease operations, or Irregularities, including fraud, are instances of non-compliance have no realistic alternative but to do so. with laws and regulations. We design procedures in line with our Other Information responsibilities, outlined above, to detect material misstatements Auditor’s responsibilities for the audit of the financial in respect of irregularities, including fraud. The extent to which our statements procedures are capable of detecting irregularities, including fraud is Our objectives are to obtain reasonable assurance about whether detailed overleaf: Report and Accounts 2025 | 63 Non-compliance with laws and regulations • Performed a review of estimates and judgements applied Based on: by the Directors in the financial statements to assess their • Our understanding of the Company and the industry in which it appropriateness and the existence of any systematic bias; operates; • Considered the opportunity and incentive to manipulate • Discussion with management and those charged with accounting entries and tested adjustments that met defined risk governance; and criteria by agreeing to supporting documentation and evaluating • Obtaining an understanding of the Company’s policies and whether there was evidence of bias that represented a risk of procedures regarding compliance with laws and regulations, material misstatement due to fraud; • Performed the procedures set out in the Key Audit Matter section we considered the significant laws and regulations to be above on revenue recognition; Companies Act 2006, the FCA’s UK Listing and DTR rules, the • Reviewed significant transactions outside the normal course of principles of the AIC Code of Corporate Governance, industry business; and practice represented by the AIC SORP, the applicable accounting • Performed a review of unadjusted audit differences for indications framework, and qualification as an Investment Trust under UK of bias or deliberate misstatement. tax legislation as any non-compliance of this would lead to the Company losing various deductions and exemptions from We also communicated relevant identified laws and regulations and corporation tax. potential fraud risks to all engagement team members, who were deemed to have the appropriate competence and capabilities and Our procedures in respect of the above included: remained alert to any indications of fraud or non-compliance with laws • Agreement of the financial statement disclosures to underlying and regulations throughout the audit. supporting documentation; • Enquiries of management and those charged with governance Our audit procedures were designed to respond to risks of material relating to the existence of any non-compliance with laws and misstatement in the financial statements, recognising that the risk regulations; of not detecting a material misstatement due to fraud is higher than • Reading minutes of meetings of those charged with governance the risk of not detecting one resulting from error, as fraud may involve throughout the period for instances of non-compliance with laws deliberate concealment by, for example, forgery, misrepresentations and regulations; and or through collusion. There are inherent limitations in the audit • Reviewing the calculation in relation to Investment Trust procedures performed and the further removed non-compliance with compliance to check that the Company was meeting its laws and regulations is from the events and transactions reflected in requirements to retain its Investment Trust Status. the financial statements, the less likely we are to become aware of it. Fraud A further description of our responsibilities is available on the Financial We assessed the susceptibility of the financial statement to Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. material misstatement including fraud. This description forms part of our auditor’s report. Our risk assessment procedures included: Use of our report • Enquiry of the Alternative Investment Fund Manager and those This report is made solely to the Company’s members, as a body, in charged with governance regarding any known or suspected accordance with Chapter 3 of Part 16 of the Companies Act 2006. instances of fraud; Our audit work has been undertaken so that we might state to the • Reading minutes of meetings of those charged with governance Company’s members those matters we are required to state to them for any known or suspected instances of fraud; and in an auditor’s report and for no other purpose. To the fullest extent • Discussion amongst the engagement team as to how and permitted by law, we do not accept or assume responsibility to anyone where fraud might occur in the financial statements. other than the Company and the Company’s members as a body, for Based on our risk assessment, we considered the areas most our audit work, for this report, or for the opinions we have formed. susceptible to be management override of controls and revenue recognition - classification. David Reeves (Senior Statutory Auditor) For and on behalf of BDO LLP, Statutory Auditor In addressing the risk of management override of control and the London classification of the dividend income, we: 3 December 2025 BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127). 64 | CT UK Capital and Income Investment Trust PLC Financial Report Chair’s StatementOverview Auditor’s Report ## Income Statement Strategic Report Governance Report Financial Report Notice of Meeting for the year ended 30 September | | | | | 2025 | | | 2024 | | --- | --- | --- | --- | --- | --- | --- | --- | | | | Revenue | Capital | Total | Revenue | Capital | Total | | | | £’000s | £’000s | £’000s | £’000s | £’000s | £’000s | | Revenue notes | Capital notes | | | | | | | | | 10 Gains on investments – 8,209 8,209 – 45,656 45,656 | | | | | | | Foreign exchange gains/(losses) 6 (54) (48) (3) (32) (35) | 3 | Income 14,104 – 14,104 13,813 28 13,841 | | --- | --- | | 4 4 | Management fee (702) (702) (1,404) (735) (735) (1,470) | | 5 5 | Other expenses (881) (1) (882) (806) (1) (807) | Net return before finance costs and taxation 12,527 7,452 19,979 12,269 44,916 57,185 6 6 Finance costs (536) (536) (1,072) (802) (802) (1,604) Net return before taxation 11,991 6,916 18,907 11,467 44,114 55,581 7 7 Taxation (38) – (38) (28) – (28) Net return attributable to Shareholders 11,953 6,916 18,869 11,439 44,114 55,553 8 8 Return per share – basic and diluted 12.13p 7.03p 19.16p 11.18p 43.12p 54.30p The total column of this statement is the profit and loss account of the Company. The revenue return and capital return columns are supplementary to this and are prepared under guidance published by the AIC. All revenue and capital items in the above statement derive from continuing operations. A statement of Comprehensive Income is not required as all gains and losses of the Company have been reflected in the above statement. There is no other comprehensive income. The notes on pages 69 to 84 form an integral part of the financial statements. Other Information Report and Accounts 2025 | 65 ## Statement of Changes in Equity for the year ended 30 September 2025 | | | | Share | | | | Capital | | | | | Total | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | Share | premium | | Distributable | | redemption | | Special | Capital | Revenue | Shareholders’ | | | | capital | account | | | Reserve | | reserve | reserve | reserve | reserve | | funds | | Notes | £’000s | | £’000s | | £’000s | | £’000s | £’000s | £’000s | £’000s | | £’000s | Balance at 30 September 2024 26,822 141,367 – 4,146 – 160,600 11,059 343,994 Movements during the year ended 30 September 2025 9 Dividends paid – – – – – – (12,569) (12,569) Ordinary shares bought back and held 17 – – – – – (13,965) – (13,965) in treasury 17 Costs relating to broker – – – – – (10) – (10) Share premium cancellation – (141,367) 141,367 – – – – – Net return attributable to Shareholders – – – – – 6,916 11,953 18,869 Balance at 30 September 2025 26,822 – 141,367 4,146 – 153,541 10,443 336,319 for the year ended 30 September 2024 | | | | Share | | Capital | | | | | Total | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | Share | premium | | redemption | | Special | Capital | Revenue | Shareholders’ | | | | capital | account | | | reserve | reserve | reserve | reserve | | funds | | Notes | £’000s | £’000s | | | £’000s | £’000s | £’000s | £’000s | | £’000s | Balance at 30 September 2023 26,822 141,367 4,146 – 130,082 12,330 314,747 Movements during the year ended 30 September 2024 9 Dividends paid – – – – – (12,710) (12,710) Ordinary shares bought back and held – – – – (13,586) – (13,586) in treasury Costs relating to broker – – – – (10) – (10) Net return attributable to Shareholders – – – – 44,114 11,439 55,553 Balance at 30 September 2024 26,822 141,367 4,146 – 160,600 11,059 343,994 The notes on pages 69 to 84 form an integral part of the financial statements. 66 | CT UK Capital and Income Investment Trust PLC Financial Report Chair’s StatementOverview Auditor’s Report ## Balance Sheet Strategic Report Governance Report Financial Report Notice of Meeting at 30 September 2025 2024 Notes £’000s £’000s Fixed assets 10 Investments 348,455 370,968 Current assets 11 Debtors 1,181 1,312 14 Cash at bank 2,235 319 Total current assets 3,416 1,631 Current liabilities 12 Creditors: amounts falling due within one year (552) (605) 13,14 Bank loan (15,000) (28,000) Total current liabilities (15,552) (28,605) Net current liabilities (12,136) (26,974) Total assets less current liabilities 336,319 343,994 Capital and reserves | 15 | Share capital 26,822 26,822 | | --- | --- | | 16 | Share premium account – 141,367 | | 16 | Distributable Reserve 141,367 – | | 16 | Capital redemption reserve 4,146 4,146 | | 16 | Special reserve – – | | 17 | Capital reserve 153,541 160,600 | | 17 | Revenue reserve 10,443 11,059 | Total Shareholders’ funds 336,319 343,994 18 Net Asset Value per ordinary share – pence 350.92 343.84 The notes on pages 69 to 84 form an integral part of the financial statements. The Financial Statements were approved by the Board on 3 December 2025 and signed on its behalf by Other Information Nicky McCabe, Chair Report and Accounts 2025 | 67 ## Statement of Cash Flows for the year ended 30 September | | | 2025 | 2024 | | --- | --- | --- | --- | | Notes | | £’000s | £’000s | | 19 | Cash flows from operating activities before dividends and interest (2,422) (2,273) | | | Dividends received 14,010 13,910 Interest received 172 283 Interest paid (1,083) (1,603) Cash flows from operating activities 10,677 10,317 Investing activities Purchase of investments (19,647) (21,121) Sale of investments 50,479 32,087 Other capital charges (1) (1) Cash flows from investing activities 30,831 10,965 Cash flows before financing activities 41,508 21,282 Financing activities | 9 | Equity dividends paid (12,569) (12,710) | | --- | --- | | 17 | Broker costs associated with share issues and buybacks (10) (10) | | 17 | Costs of shares bought back and held in treasury (13,965) (13,586) | | 14 | Drawdown of bank loan 5,000 28,000 | | 14 | Repayment of bank loans (18,000) (25,000) | Cash flows from financing activities (39,544) (23,306) 14 Net movement in cash and cash equivalents 1,964 (2,024) 14 Cash and cash equivalents at the beginning of the year 319 2,378 14 Effect of movement in foreign exchange (48) (35) 14 Cash and cash equivalents at the end of the year 2,235 319 Represented by: Cash at bank 35 29 Short term deposits 2,200 290 2,235 319 The notes on pages 69 to 84 form an integral part of the financial statements. 68 | CT UK Capital and Income Investment Trust PLC Financial Report Chair’s StatementOverview Auditor’s Report ## Notes to the Accounts Strategic Report Governance Report Financial Report Notice of Meeting 1. General information CT UK Capital and Income Investment Trust PLC is an investment company incorporated in England (UK) with a listing on the London Stock Exchange. The Company registration number is 02732011 and the registered office is Cannon Place, 78 Cannon Street, London, EC4N 6AG, United Kingdom. The Company has conducted its affairs so as to qualify as an investment trust under the provisions of Section 1158 of the Corporation Tax Act 2010. Approval of the Company under Section 1158 has been received. The Company intends to conduct its affairs so as to enable it to continue to comply with the requirements. Such approval exempts the Company from UK Corporation Tax on gains realised in the relevant year on its portfolio of fixed asset investments. The accounting policies have been applied consistently throughout the year ended 30 September 2025 with no significant changes, as set out in note 2 below. 2. Significant accounting policies (a) Going concern As referred to on page 43 and note 20 to the accounts, the Directors believe that it is appropriate for the accounts to be prepared on a going concern basis. (b) Basis of accounting The accounts of the Company have been prepared on a going concern basis under the historical cost convention, modified to include fixed asset investments, and in accordance with the Companies Act 2006, Financial Reporting Standards (FRS) 102 applicable in the United Kingdom and with the Statement of Recommended Practice ‘Financial Statements of Investment Trust Companies and Venture Capital Trusts’ (“SORP”) issued by the Association of Investment Companies. All of the Company’s operations are of a continuing nature. The functional and reporting currency of the Company is Pounds Sterling because that is the currency of the primary economic environment in which the Company operates. The Directors are of the opinion that the Company’s activities comprise a single operating segment, which is investing in the UK, US and Europe in equities to secure long term growth in income and capital. In accordance with the SORP, the Income Statement has been analysed between a revenue account (dealing with items of a revenue nature) and a capital account (relating to items of a capital nature). Revenue returns include, but are not limited to, dividend income, operating expenses and tax (insofar as the expenses and tax are not allocated to capital, as described in note 2(c)). Net revenue returns are allocated via the revenue account to the revenue reserve, out of which four interim dividend payments are made. Capital returns include, but are not limited to, realised and unrealised profits and losses on investments, income identified as being capital in nature, expenses allocated to capital and currency profits and losses on cash and borrowings. Net capital returns are allocated via the capital account to the capital reserve. Dividends paid to Shareholders are shown in the Statement of Changes in Equity. Other Information (c) Principal accounting policies The policies set out below have been applied consistently throughout the year ended 30 September 2025 and the prior year. Report and Accounts 2025 | 69 (i) Financial instruments Financial instruments include fixed asset investments, cash and demand deposits, debtors, creditors and bank loans. Accounting standards recognise a hierarchy of fair value measurements for financial instruments which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1) and the lowest priority to unobservable inputs (level 3). The classification of financial instruments depends on the lowest significant applicable input, as follows: Level 1 – The unadjusted quoted price in an active market for identical assets or liabilities that the Company can access at the measurement date. Level 2 – Inputs other than quoted prices included within Level 1 that are observable (i.e. developed using market data) for the asset or liability, either directly or indirectly. Level 3 – External inputs are unobservable for the asset or liability. Value is the Directors’ best estimate, based on advice from relevant knowledgeable experts, use of recognised valuation techniques and on assumptions as to what inputs other market participants would apply in pricing the same or similar instrument. Included within this category are unquoted investments. All of the Company’s investments held during the year have been classified as Level 1. (ii) Fixed asset investments and derivative financial instruments As an investment trust, the Company measures its fixed asset investments at “fair value through profit or loss” and treats all transactions on the realisation and revaluation of investments as transactions on the Capital Account. Purchases and sales are recognised on a trade date basis. Quoted investments are valued at bid value at the close of business on the relevant date on the exchange on which the investment is quoted. Investments which are not quoted or which are not frequently traded are stated at Directors’ best estimate of fair value. In arriving at their estimate, the Directors make use of recognised valuation techniques and may take account of recent arms’ length transactions in the same or similar instruments. Where no reliable fair value can be estimated, investments are carried at cost or, where subsequently revalued, at their previous carrying amount less any provision for impairment. (iii) Debt Instruments Loans and overdrafts are recorded initially at proceeds received, less direct issue costs, and subsequently measured at amortised cost using the effective interest method. (iv) Foreign currency Monetary assets, monetary liabilities and equity investments denominated in a foreign currency are expressed in sterling at rates of exchange ruling at the Balance Sheet date. Purchases and sales of investment securities, dividend income, interest income and expenses are translated at the rates of exchange prevailing at the respective dates of such transactions. Foreign exchange profits and losses on fixed asset investments are included within the changes in fair value in the capital account. Foreign exchange profits and losses on other currency balances are separately credited or charged to the capital account except where they relate to revenue items when they are credited or charged to the revenue account. (v) Income Income from equity shares is brought into the revenue account (except where, in the opinion of the Directors, its nature indicates it should be recognised within the capital account) on the ex-dividend date or, where no ex-dividend date is quoted, when the Company’s right to receive payment is established. Dividends are accounted for in accordance with FRS 102 on the basis of income actually receivable. Dividends from overseas companies are shown gross of withholding tax. Where the Company has elected to receive its dividends in the form of additional shares rather than in cash (scrip dividends), the amount of the cash dividend foregone is recognised as income. Any excess in the value of the shares received over the amount of the cash dividend foregone is recognised in the capital account. 70 | CT UK Capital and Income Investment Trust PLC Financial Report Underwriting commission is recognised when the Company’s right to receive payment is established. Deposit interest is accounted for on Chair’s StatementOverview Auditor’s Report an accruals basis. (vi) Expenses, including finance charges Expenses, inclusive of associated value added tax (VAT), are charged to the revenue account of the Income Statement, except as noted below: – expenses incidental to the acquisition or disposal of fixed asset investments which are recognised immediately in the capital return of the Income Statement and are thus charged to capital reserve – realised; and Strategic Report Governance Report Financial Report Notice of Meeting – 50% of management fees and 50% of finance costs are allocated to capital reserve – realised, in accordance with the Board’s long term expected split of returns from the investment portfolio of the Company. All expenses are accounted for on an accruals basis. Finance charges are accrued using the effective interest method and are added to the carrying amount of the instrument to the extent that they are not settled in the period. (vii) Taxation Deferred tax is provided for in accordance with FRS102 on all timing differences that have been enacted at the Balance Sheet date and are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax assets are only recognised if it is considered more likely than not that there will be sufficient profits from which the future reversal of timing differences can be deducted. In line with the recommendations of the SORP, the allocation method used to calculate the tax relief on expenses charged to capital is the “marginal” basis. Under this basis, if taxable income is capable of being offset entirely by expenses charged through the revenue account, then no tax relief is transferred to the capital account. (viii) Dividends payable Dividends are included in the financial statements on the date on which they are declared. Dividends paid and payable in respect of the year are set out in note 9. The amount estimated to be transferred to revenue reserves is less than the maximum allowed under rules in the Corporation Tax Act 2010. The Board assesses the minimum level of dividend payable in respect of any period in accordance with section 1158 rules, after taking into account the audited annual net revenue available for distribution, and ensures that payments for each period comfortably exceed that minimum level. (ix) Share capital Share capital represents the nominal value of ordinary shares in issue. (x) Share premium account (non-distributable reserve) The surplus of net proceeds received from the issue of shares over the nominal value of such shares, less any associated costs of issuance, is credited to this account. The balance of the share premium account was cancelled by the High Court of Justice, Chancery Division to create the Distributable Reserve. (xi) Capital Redemption Reserve The nominal value of ordinary share capital purchased and cancelled is transferred out of called-up share capital and into the capital redemption reserve on the trade date. (xii) Special reserve (distributable reserve) The following are accounted for in this reserve: – costs of purchasing shares for cancellation; and – costs of purchasing or selling shares to be held in, or sold out of, treasury. Other Information These costs were accounted for in the special reserve until it was exhausted and from then have been accounted for in the capital reserve. Report and Accounts 2025 | 71 (xiii) Capital reserves (distributable reserves) Capital reserve – arising on investments sold The following are accounted for in this reserve: – gains and losses on the disposal of fixed asset investments and derivatives; – settled foreign exchange differences of a capital nature; – costs of professional advice, including related irrecoverable VAT, relating to the capital structure of the Company; – other capital charges and credits charged or credited to this account in accordance with the above policies. – costs of purchasing shares for cancellation; and – costs of purchasing or selling shares to be held in, or sold out of, treasury. Capital reserve – arising on investments held The following are accounted for in this reserve: – increases and decreases in the valuation of fixed asset investments and derivatives held at the year-end; and – unsettled foreign exchange valuation differences of a capital nature. (xiv) Distributable reserve The Distributable Reserve was created by the cancellation of the Share Premium Account. The reserve is available as distributable profits and may be used for the payment of dividends and the repurchase of Company Shares. (xv) Revenue reserve The revenue reserve represents accumulated revenue profits retained by the Company that have not currently been distributed to Shareholders as a dividend. (xvi) Use of judgements and estimates The presentation of the financial statements in accordance with accounting standards requires the Board to make judgements and assumptions that affect the accounting policies and reported amounts of assets, liabilities, income and expenses. Judgements are continually evaluated and are based on perceived risks, historical experience, expectations of plausible future events and other factors. Actual results may differ from these estimates. There is significant judgement involved in classifying the management fees and finance costs between revenue and capital. The split is a reflection of the expectation of the long term split of return between revenue and capital. The areas requiring the most significant judgement in preparation of the financial statements are recognising and classifying unusual or special dividends received as either revenue or capital in nature. Dividends received which appear to be unusual in size or circumstance are assessed on a case-by-case basis, based on interpretation of the investee companies’ relevant statements, to determine their allocation in accordance with the SORP to either the Revenue or Capital accounts. Dividends which have clearly arisen out of the investee company’s reconstruction or reorganisation are usually considered to be capital in nature and allocated to Capital Reserves. Investee company dividends which appear to be paid in excess of current year profits may nevertheless still be considered to be wholly revenue in nature unless evidence suggests otherwise. The value of special dividends receivable in any period cannot be foreseen as such dividends are declared and paid by investee companies without prior reference to the Company. 72 | CT UK Capital and Income Investment Trust PLC Financial Report | 3. Income | | | Chair’s StatementOverview Auditor’s Report | | --- | --- | --- | --- | | | 2025 | 2024 | | | | £’000s | £’000s | | Income from investments: UK dividend income 13,019 12,383 Overseas dividend income 55 186 Property income distributions 858 961 13,932 13,530 Strategic Report Governance Report Financial Report Notice of Meeting Other income: Interest on cash and cash equivalents 163 210 Underwriting commission 9 73 Total income 14,104 13,813 There were no dividends recognised as capital in nature (2024: £28,000). 4. Management fee 2025 2024 Revenue Capital Total Revenue Capital Total £’000s £’000s £’000s £’000s £’000s £’000s Management fee 702 702 1,404 735 735 1,470 The Manager provides investment management and general administrative services to the Company for a quarterly management fee payable in arrears equal to 0.1% of the funds under management. Funds under management represents total assets less current liabilities excluding borrowings and adjusted for the proceeds of recent share issues and buybacks. The management agreement may be terminated upon six months’ notice given by either party. The Company may terminate this agreement upon 60 days’ written notice to the Manager if there is a change of control of the Manager, provided such notice is served within six months of the said change of control. Management fees have been allocated 50% to capital reserve in accordance with the Company’s accounting policy. With effect from 1 October 2025 the management fees will be allocated 70% to the capital reserve and 30% to the revenue reserve. 5. Other expenses 2025 2024 Revenue Capital Total Revenue Capital Total £’000s £’000s £’000s £’000s £’000s £’000s Auditor’s remuneration: (1) – for audit services 59 – 59 55 – 55 (2) Directors’ fees for services to the Company 174 – 174 167 – 167 Directors’ and Officers’ liability insurance 12 – 12 12 – 12 Loan commitment fee 14 – 14 18 – 18 Marketing 91 – 91 89 – 89 Professional fees 136 – 136 134 – 134 Printing and postage 89 – 89 85 – 85 Registrars’ fees 39 – 39 35 – 35 Subscriptions and listing fees 72 – 72 64 – 64 Sundry expenses 195 1 196 147 1 148 Other Information Total other expenses 881 1 882 806 1 807 All expenses are stated gross of irrecoverable VAT, where applicable. (1) Total Auditor’s remuneration for 2025 audit services, exclusive of VAT amounts to £49,350 (2024: £45,750). (2) See the Directors’ Remuneration Report on pages 51 to 53. Report and Accounts 2025 | 73 # 6. Finance costs | | 2025 | | | 2024 | | | | --- | --- | --- | --- | --- | --- | --- | | | Revenue £'000s | Capital £'000s | Total £'000s | Revenue £'000s | Capital £'000s | Total £'000s | | Loan interest | 536 | 536 | 1,072 | 802 | 802 | 1,604 | | Total finance cost | 536 | 536 | 1,072 | 802 | 802 | 1,604 | Finance costs have been allocated 50% to capital reserve in accordance with the Company's accounting policy. With effect from 1 October 2025 the Finance costs will be allocated 70% to the capital reserve and 30% to the revenue reserve. # 7. Taxation on ordinary activities (a) Analysis of tax charge for the year | | 2025 | | | 2024 | | | | --- | --- | --- | --- | --- | --- | --- | | | Revenue £'000s | Capital £'000s | Total £'000s | Revenue £'000s | Capital £'000s | Total £'000s | | Overseas taxation | 38 | - | 38 | 28 | - | 28 | | Total taxation charge (see note 7(b)) | 38 | - | 38 | 28 | - | 28 | The tax assessed for the year is lower than the standard rate of corporation tax in the UK (25%) (2024: 25%). Factors affecting the taxation charge are set out below. (b) Factors affecting the current tax charge for the year | | 2025 | | | 2024 | | | | --- | --- | --- | --- | --- | --- | --- | | | Revenue £'000s | Capital £'000s | Total £'000s | Revenue £'000s | Capital £'000s | Total £'000s | | Net return on ordinary activities before taxation | 11,991 | 6,916 | 18,907 | 11,467 | 44,114 | 55,581 | | Return on ordinary activities multiplied by the pro rata effective rate of corporation tax of 25% (2024: 25%) | 2,998 | 1,729 | 4,727 | 2,867 | 11,029 | 13,896 | | Effects of: | | | | | | | | Dividends | (3,269) | - | (3,269) | (3,122) | (7) | (3,129) | | Excess expenses not utilised in the year | 272 | 310 | 582 | 255 | 384 | 639 | | Overseas taxation not relieved | 37 | - | 37 | 28 | - | 28 | | Capital returns | - | (2,039) | (2,039) | - | (11,406) | (11,406) | | Total taxation (see note 7(a)) | 38 | - | 38 | 28 | - | 28 | The Company is not subject to corporation tax on capital gains or on dividend income. It therefore has unutilised expenses of £33.3 million (2024: £33.6 million). This results in a potential deferred tax asset of £8.3 million based on the 25% Corporation Tax rate at 30 September 2025 (2024: £8.4 million) which has not been recognised as it is unlikely that these expenses will be utilised. # 8. Return per share | | 2025 | | | 2024 | | | | --- | --- | --- | --- | --- | --- | --- | | | Revenue | Capital | Total | Revenue | Capital | Total | | Net return attributable to equity Shareholders - £'000s | 11,953 | 6,916 | 18,869 | 11,439 | 44,114 | 55,553 | | Return per share - pence | 12.13 | 7.03 | 19.16 | 11.18 | 43.12 | 54.30 | Both the revenue and capital returns per share are based on a weighted average of 98,502,817 ordinary shares in issue during the year (2024: 102,309,411). 74 CT UK Capital and Income Investment Trust PLC Financial Report | 9. Dividends | | | Chair’s StatementOverview Auditor’s Report | | --- | --- | --- | --- | | | 2025 | 2024 | | | Dividends on ordinary shares Register date Payment date | £’000s | £’000s | | Fourth of four interims for the year ended 30 September 2023 of 3.90p per share 08 Dec 23 18 Dec 23 – 4,046 First of four interims for the year ended 30 September 2024 of 2.85p per share 08 Mar 24 28 Mar 24 – 2,918 Second of four interims for the year ended 30 September 2024 of 2.85p per share 14 Jun 24 28 Jun 24 – 2,882 Third of four interims for the year ended 30 September 2024 of 2.85p per share 06 Sep 24 30 Sep 24 – 2,864 Fourth of four interims for the year ended 30 September 2024 of 3.95p per share 06 Dec 24 20 Dec 24 3,925 – Strategic Report Governance Report Financial Report Notice of Meeting First of four interims for the year ended 30 September 2025 of 2.95p per share 14 Mar 25 31 Mar 25 2,919 – Second of four interims for the year ended 30 September 2025 of 2.95p per share 13 Jun 25 30 Jun 25 2,889 – Third of four interims for the year ended 30 September 2025 of 2.95p per share 12 Sep 25 30 Sep 25 2,836 – 12,569 12,710 The Directors have declared a fourth interim dividend in respect of the year ended 30 September 2025 of 4.15 pence per share, payable on 31 December 2025 to all Shareholders on the register at close of business on 12 December 2025. The fourth interim dividend has not been included as a liability in these financial statements. The dividends paid and payable in respect of the financial year ended 30 September 2025, which form the basis of the retention test for section 1159 of the Corporation Tax Act 2010, are set out below: 2025 2024 £’000s £’000s Net revenue return attributable to Shareholders 11,953 11,439 First of four interims for the year ended 30 September 2025 of 2.95p per share (2024: 2.85p) (2,919) (2,918) Second of four interims for the year ended 30 September 2025 of 2.95p per share (2024: 2.85p) (2,889) (2,882) Third of four interims for the year ended 30 September 2025 of 2.95p per share (2024: 2.85p) (2,836) (2,864) (1) Fourth of four interims for the year ended 30 September 2025 of 4.15p per share (2024: 3.95p) (3,937) (3,927) Transferred to revenue reserve (628) (1,152) (1) Based on shares in issue and their entitlement to the dividend at 1 December 2025. Other Information Report and Accounts 2025 | 75 10. Investments | | 2025 | | 2024 | | --- | --- | --- | --- | | | Total | | Total | | (Level 1) | | (Level 1) | | | £’000s | | | £’000 | Cost brought forward 251,671 256,528 Gains brought forward 119,297 79,584 Fair value of investments brought forward 370,968 336,112 Purchases at cost 19,647 32,061 Sales proceeds (50,479) (42,952) Gains on investments sold in year 22,050 5,944 (Decrease)/increase in fair value adjustment of investments held (13,731) 39,803 Fair value of investments at 30 September 348,455 370,968 Cost at 30 September 242,889 251,672 Gains at 30 September 105,566 119,296 Fair value of investments at 30 September 348,455 370,968 2025 2024 £’000s £’000s Gains on investments sold in year 22,050 5,944 (Decrease)/increase in fair value adjustment of investments held (13,731) 39,803 Investment transaction costs (110) (91) Total gains in year 8,209 45,656 All investment held by the Company were classified as Level 1 in nature as described in note 2(c)(i) and are listed on recognised stock exchanges. The Company received £50,479,000 (2024: £42,952,000) from investments sold in the year. The book cost of these investments when they were purchased was £28,429,000 (2024: £37,008,000). Investments sold during the year have been revalued over time since their original purchase, and until they were sold any unrealised gains or losses was included in the fair value of the investments. The investment portfolio is set out on page 27. 11. Debtors 2025 2024 £’000s £’000s Accrued income 1,083 1,199 Prepayments 31 31 Overseas taxation recoverable 67 82 1,181 1,312 12. Creditors: amounts falling due within one year 2025 2024 £’000s £’000s Management fee 354 374 Loan interest 25 36 Accruals 173 195 552 605 76 | CT UK Capital and Income Investment Trust PLC Financial Report | 13. Loans | | | Chair’s StatementOverview Auditor’s Report | | --- | --- | --- | --- | | | 2025 | 2024 | | | | £’000s | £’000s | | Sterling loans: falling due within one year 15,000 28,000 In March 2024, the Company entered into a £30 million multi-currency loan facility with the Royal Bank of Scotland International Limited which was available until March 2025. In March 2025, the loan was extended to March 2026 on revised terms. The revised terms included a reduction in the size of the facility to £20 million. The facility is subject to compliance with the loan covenants which Strategic Report Governance Report Financial Report Notice of Meeting have all been met during the period. The amount utilised and the interest rate thereon are set on a short-term basis. Interest rates and commitment fees payable on non-utilised amounts are based on the commercial terms agreed with the Royal Bank of Scotland International Limited. As at 30 September 2025 the Company had drawn down £15 million of the loan facility. 14. Analysis of changes in net debt | | | | 2025 | | | | 2024 | | --- | --- | --- | --- | --- | --- | --- | --- | | Cash | Bank loans | | Total | Cash | Bank loans | | Total | | £’000s | | £’000s | £’000s | £’000s | | £’000s | £’000s | Net debt brought forward 319 (28,000) (27,681) 2,378 (25,000) (22,622) Cash flows: Drawdown of bank loan – (5,000) (5,000) – (28,000) (28,000) Repayment of bank loan – 18,000 18,000 – 25,000 25,000 Net movement in cash and cash equivalents 1,964 25 1,989 (2,024) 36 (1,988) Non-cash: Interest Accrual – (25) (25) – (36) (36) Effect of movement in foreign exchange (48) – (48) (35) – (35) Net debt carried forward as at 30 September 2,235 (15,000) (12,765) 319 (28,000) (27,681) 15. Share capital 2025 2024 Total Listed Held in Treasury Issued and fully paid Issued and fully paid Number £’000s Number £’000s Number £’000s Number £’000s Ordinary shares of 25 pence each Balance brought forward 107,289,022 26,822 7,243,177 1,810 100,045,845 25,012 104,335,845 26,085 Ordinary shares issued from – – – – – – – – treasury Ordinary shares bought back & – – 4,205,375 1,051 (4,205,375) (1,051) (4,290,000) (1,073) held in treasury Balance at 30 September 107,289,022 26,822 11,448,552 2,861 95,840,470 23,961 100,045,845 25,012 During the year ended 30 September 2025, 4,205,375 (2024: 4,290,000) ordinary shares were bought back and held in treasury at a cost of £13,965,000 (2024: £13,586,000) and nil (2024: nil) ordinary shares were issued from treasury. From 30 September 2025 until 1 December 2025, the last practicable date prior to publication, the Company has bought back 975,000 shares to be held in treasury. No shares have been issued. Other Information Report and Accounts 2025 | 77 16. Reserves | | Share | | | | Capital | | | --- | --- | --- | --- | --- | --- | --- | | Premium | | Distributable | | Redemption | | Special | | account | | | Reserve | | Reserve | Reserve | | £’000s | | | £’000s | | £’000s | £’000s | Balance brought forward as at 1 October 2024 141,367 – 4,146 – Share premium cancellation (141,367) 141,367 – – Balance carried forward as at 30 September 2025 – 141,367 4,146 – Balance brought forward as at 1 October 2023 141,367 – 4,146 – Balance carried forward as at 30 September 2024 141,367 – 4,146 – The Distributable Reserve is available to be used as distributable profits. 17. Other reserves | Capital reserve | | Capital reserve | | | Capital reserve | | Revenue | | --- | --- | --- | --- | --- | --- | --- | --- | | | realised | | unrealised | | | total | reserve | | | £’000s | | | £’000s | | £’000s | £’000s | Movements during the year ended 30 September 2025: Gains on investments sold in year (see note 10) 22,050 – 22,050 – Losses on investments held at year end (see note 10) – (13,731) (13,731) – Transaction costs (110) – (110) – Foreign exchange gains (54) – (54) – Management fee (see note 4) (702) – (702) – Finance costs (see note 6) (536) – (536) – Ordinary shares bought back and held in treasury (13,894) – (13,894) – Stamp duty on shares bought back (71) – (71) – Broker costs associated with share buybacks (10) – (10) – Other capital charges (see note 5) (1) – (1) – Revenue return – – – 11,953 Return attributable to Shareholders 6,672 (13,731) (7,059) 11,953 Dividends paid in year (see note 9) – – – (12,569) Balance at 30 September 2024 41,303 119,297 160,600 11,059 Balance at 30 September 2025 47,975 105,566 153,541 10,443 Included within the capital reserve movement for the year are £88,000 of transaction costs including stamp duty on purchases of investments (2024: £77,000) and £22,000 of transaction costs on sales of investments (2024: £14,000). The Capital reserve realised and the Revenue reserve are available to be used as distributable profits. 18. Net Asset Value per ordinary share 2025 2024 Net asset value per share – pence 350.92 343.84 Net assets attributable at the year end – (£'000s) 336,319 343,994 Number of ordinary shares in issue at the year end 95,840,470 100,045,845 78 | CT UK Capital and Income Investment Trust PLC Financial Report | 19. Reconciliation of total return before taxation to net cash flows from operating activities | | | Chair’s StatementOverview Auditor’s Report | | --- | --- | --- | --- | | | 2025 | 2024 | | | | £’000s | £’000s | | Net return on ordinary activities before taxation 18,907 55,581 Adjustments for non-cash flow items, dividend income and interest: Gains on investments (note 10) (8,209) (45,656) Transaction costs on investments (note 10) (110) (91) Foreign exchange movements 48 35 Strategic Report Governance Report Financial Report Notice of Meeting Non-operating expenses of a capital nature (note 5) 1 1 Dividend income receivable (note 3) (13,932) (13,530) Interest and underwriting commission receivable (note 3) (172) (283) Interest payable (note 6) 1,072 1,604 Decrease/(increase) in other debtors 15 (3) (Decrease)/increase in other creditors (42) 69 (21,329) (57,854) Cash outflows from operating activities before dividends and interest (2,422) (2,273) 20. Going concern In assessing the going concern basis of accounting the Directors have had regard to the guidance issued by the Financial Reporting Council. They have also considered the Company’s objective, strategy and policy, the current cash position of the Company, the availability of the loan facility and compliance with its covenants and the operational resilience of the Company and its service providers. At present, the global economy continues to suffer disruption due to the effects of the war in Ukraine, events in the Middle East and the uncertainty surrounding the imposition of US trade tariffs and the Directors have given careful consideration to the consequences for this Company. The Company has a number of banking covenants and at present the Company’s financial position does not suggest that any of these are close to being breached. The primary risk is that there is a very substantial decrease in the Net Asset Value of the Company in the short to medium term. The Directors have considered the remedial measures that are open to the Company if such a covenant breach appears possible. As at 1 December 2025, the last practicable date before publication of this report, borrowings amounted to £16.0 million. This is in comparison to a Net Asset Value of £334.8 million. In accordance with its investment policy the Company is invested mainly in readily realisable, FTSE All-Share listed securities. These can be realised, if necessary, to repay the loan facility and fund future dividend payments. The Company operates within a robust regulatory environment. The Company retains title to all assets held by the Custodian. Cash is held with banks approved and regularly reviewed by the Manager and the Board. At the Annual General Meeting of the Company held on 9 March 2023, Shareholders voted 99.5% in favour of the continuation of the Company. The next continuation vote for the Company is scheduled to be held in 2028. Accordingly, based on this information the Directors believe that the Company has the ability to meet its financial obligations as they fall due for a period of twelve months from the date of approval of these financial statements. Accordingly, these financial statements have been prepared on a going concern basis. 21. Financial Risk Management The Company is an investment company, listed on the London Stock Exchange, and conducts its affairs so as to qualify in the United Kingdom (“UK”) as an investment trust under the provisions of section 1158 of the Corporation Tax Act. In so qualifying, the Company is exempted in the UK from Corporation Tax on capital gains on its portfolio of investments. Other Information The Company’s investment objective is to secure long term capital and income growth from a portfolio consisting mainly of FTSE All-Share companies. The Company can also have exposure to overseas companies, with the value of the non-UK portfolio not exceeding 10% of the Company’s gross assets. In pursuing this objective, the Company is exposed to financial risks which could result in a reduction of either or Report and Accounts 2025 | 79 both of the value of the net assets and the profits available for distribution by way of dividend. These financial risks are principally related to the market (currency movements, interest rate changes and security price movements), liquidity and credit. The Board, together with the Manager, is responsible for the Company’s risk management, as set out in detail in the Strategic Report and Directors’ Report. The Directors’ policies and processes for managing the financial risks are set out in (a), (b) and (c) on the following pages. The accounting policies which govern the reported Balance Sheet carrying values of the underlying financial assets and liabilities, as well as the related income and expenditure, are set out in note 2 to the accounts. The policies are in compliance with UK accounting standards and best practice. The Company does not make use of hedge accounting rules. Sensitivity analysis tables presented in the following sections relating to currency, interest and market exposures have been calculated on the level of change considered to be a reasonable illustration based on observation of current market and economic conditions. (a) Market risks The fair value of equity and other financial securities held in the Company’s portfolio fluctuates with changes in market prices. Prices are themselves affected by movements in currencies and interest rates and by other financial issues, including the market perception of future risks. The Board sets policies for managing these risks within the Company’s objective and meets regularly to review full, timely and relevant information on investment performance and financial results. The Manager assesses exposure to market risks when making each investment decision and monitors ongoing market risk within the portfolio. As up to 10% of the Company’s gross assets can be invested in non-UK assets, other assets and liabilities may be denominated in currencies other than sterling and may also be exposed to interest rate risks. The Manager and the Board regularly monitor these risks. The Company does not normally hold significant cash balances. Whilst it is not the Board’s general policy to borrow in currencies other than sterling and euros, any such borrowings would be limited to amounts and currencies commensurate with the portfolio’s exposure to those currencies, thereby limiting the Company’s exposure to future changes in foreign exchange rates. Gearing may be short or long term in foreign currencies and enables the Company to take a long term view of the countries and markets in which it is invested without having to be concerned about short term volatility. Income earned in foreign currencies is converted to sterling on receipt. The Board regularly monitors the effects on net revenue of interest earned on deposits and paid on gearing. Currency Exposure The principal foreign currencies to which the Company was exposed during the year were the euro and US dollar. As stated above, the exposure to investments listed in currencies other than sterling cannot exceed 10% of the Company’s gross assets. The exchange rates for the euro and US dollar applying against sterling at 30 September and the average rates during the year ended 30 September were as follows: | | | | 2025 | | | | 2024 | | --- | --- | --- | --- | --- | --- | --- | --- | | At 30 September | | Average for | | At 30 September | | Average for | | | | 2025 | | the year | | 2024 | | the year | Euro 0.873 0.846 0.832 0.855 US dollar 0.743 0.765 0.746 0.789 The following calculations demonstrate the approximate effect of a weakening or strengthening of sterling against other currencies and are based on the following: – applicable balance sheet date exchange rates; – for capital returns the financial assets and liabilities held at the year end date, including investments, cash, debtors and creditors; – for revenue returns the current year income received in currencies other than sterling as a best estimate of future receipts; and – for both capital and revenue, the management fee adjusted for changes in the funds under management as a result of changes in investment values when applying different exchange rates. 80 | CT UK Capital and Income Investment Trust PLC Financial Report A 10% change in the sterling exchange rate would have the following approximate effect on returns attributable to Shareholders and on Chair’s StatementOverview Auditor’s Report the NAV per share: Weakening of sterling by 10% against other currencies | | | | | | | Adjusted | | | | | | 2025 | | | 2024 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | Local | Sterling | | income, assets | | | Impact on | | Movement in | | | Movement in | | | | | | currency | | equivalent | 10% weakened | and liabilities | | management fee | | | | net return | | | net return | | | | Local currency Return | | £’000s | £’000s | sterling fx rate | | £’000s | | | £’000s | | | £’000s | | | £’000s | | | Euro Revenue 479 418 0.9601 460 – 42 71 | | | | | | | | | | | | | | | | Strategic Report Governance Report Financial Report Notice of Meeting | Euro Capital 76 66 0.9601 73 – 7 277 US Dollar Revenue (130) (97) 0.8171 (106) – (9) 23 US Dollar Capital – – 0.8171 – – – 1 Movement in net return attributable to Shareholders 40 372 Shares in issue 95,840,470 100,045,845 Effect on NAV per share - pence 0.04 0.37 Strengthening of sterling by 10% against other currencies | | | | | | | | Adjusted | | | | | | 2025 | | | | 2024 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | Local | Sterling | | 10% | income, assets | | | Impact on | | Movement in | | | | Movement in | | | | | currency | | equivalent | strengthened | | and liabilities | | management fee | | | | net return | | | | net return | | | Local currency Return | | £’000s | £’000s | sterling fx rate | | | £’000s | | £’000s | | | | £’000s | | | | £’000s | | Euro Revenue 479 418 0.7855 376 | | | | | | | | | | – | | | (42) (71) | | | | | | Euro Capital 76 66 0.7855 60 | | | | | | | | | | – | | | | (7) (277) | | | | | US Dollar Revenue (130) (97) 0.6685 (87) | | | | | | | | | | – | | | | 9 (23) | | | | US Dollar Capital – – 0.6685 – – – (1) Movement in net return attributable to Shareholders (40) (372) Shares in issue 95,840,470 100,045,845 Effect on NAV per share - pence (0.04) (0.37) These effects are representative of the exposure to currencies other than sterling by the Company as at 30 September 2025 although the level of exposure will fluctuate in accordance with the investment and risk management process. The fair values of the Company’s assets and liabilities at 30 September by currency are shown below: | | Short-term | | Cash and cash | | | | Short-term | | | Short-term | | | Net monetary | | | | | Net | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | debtors | | equivalents | | creditors – other | | | creditors – loans | | | (liabilities)/assets | | | Investments | | exposure | | | 2025 | | £’000s | | | £’000s | | | £’000s | | | £’000s | | | £’000s | | £’000s | £’000s | | Sterling 1,114 2,235 (552) (15,000) (12,203) 348,455 336,252 Other 67 – – – 67 – 67 Total 1,181 2,235 (552) (15,000) (12,136) 348,455 336,319 | | Short-term | | Cash and cash | | | | Short-term | | | Short-term | | | Net monetary | | | | | Net | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | debtors | | equivalents | | creditors – other | | | creditors – loans | | | (liabilities)/assets | | | Investments | | exposure | | | 2024 | | £’000s | | | £’000s | | | £’000s | | | £’000s | | | £’000s | | £’000s | £’000s | | Sterling 1,230 319 (605) (28,000) (27,056) 368,266 341,210 Other 82 – – – 82 2,702 2,784 Other Information Total 1,312 319 (605) (28,000) (26,974) 370,968 343,994 Report and Accounts 2025 | 81 21. Financial Risk Management (continued) Interest rate exposure The exposure of the financial assets and liabilities to interest rate movements at 30 September was: | Within | More than | | 2025 | Within | More than | | 2024 | | --- | --- | --- | --- | --- | --- | --- | --- | | one year | | one year | Total | one year | | one year | Total | | £’000s | | £’000s | £’000s | £’000s | | £’000s | £’000s | Exposure to floating rates: | Cash and cash equivalents 2,235 | – | | 2,235 319 – 319 | | --- | --- | --- | --- | | Loans (15,000) | – | (15,000) (28,000) – (28,000) | | | Net exposure (12,765) | – | (12,765) (27,681) – (27,681) | | The Company had no exposure to fixed interest rates at the year end. Exposures vary throughout the year as a consequence of changes in the composition of the net assets of the Company arising out of the investment and risk management processes. Interest received on cash balances, or paid on bank overdrafts and borrowings, is at ruling market rates. The Company’s total returns and net assets are sensitive to changes in interest rates on cash and borrowings. Based on the financial assets and liabilities held that are affected by changes in interest rates, such as cash and bank loans, and the interest rates ruling at each balance sheet date, an increase or decrease in interest rates of 2% (2024: 2%) would have the following approximate effects on the Income Statement revenue and capital returns after tax and on the NAV per share: | | | 2025 | | | 2024 | | --- | --- | --- | --- | --- | --- | | Increase | Decrease | | Increase | Decrease | | | in rate | | in rate | in rate | | in rate | | £’000s | | £’000s | £’000s | | £’000s | Revenue return (105) 105 (274) 274 Capital return (150) 150 (280) 280 Total return (255) 255 (554) 554 NAV per share – pence (0.27) 0.27 (0.55) 0.55 Other market risk exposures The portfolio of investments, valued at £348,455,000 at 30 September 2025 (2024: £370,968,000) is exposed to market price changes. The Manager assesses these exposures at the time of making each investment decision. The Board reviews overall exposures at each meeting against indices and other relevant information. An analysis of the portfolio by country and major industrial sector is set out in the investment portfolio by sector and list of investments on pages 22 to 27. Based on the portfolio of investments held at each Balance Sheet date, and assuming other factors, including the management charge, remain constant, an increase or decrease in the fair value of the portfolio in sterling terms by 20% would have had the following approximate effects on the net capital return attributable to Shareholders and on the NAV per share: | | | 2025 | | | 2024 | | --- | --- | --- | --- | --- | --- | | Increase | Decrease | | Increase | Decrease | | | in value | in value | | in value | in value | | | £’000s | | £’000s | £’000s | | £’000s | Capital return 69,691 (69,691) 74,194 (74,194) NAV per share – pence 72.72 (72.72) 74.16 (74.16) 82 | CT UK Capital and Income Investment Trust PLC Financial Report (b) Liquidity risk Chair’s StatementOverview Auditor’s Report The Company is required to raise funds to meet commitments associated with financial instruments and share buybacks. These funds may be raised either through the realisation of assets or through increased borrowing. The risk of the Company not having sufficient liquidity at any time is not considered by the Board to be significant, given: the number of quoted investments held in the Company’s portfolio (100% at 30 September 2025 and 100% at 30 September 2024); the liquid nature of the portfolio of investments; the industrial and geographical diversity of the portfolio (see pages 22 to 27); and the existence of an ongoing loan and overdraft facility agreement. Cash balances are held with approved banks, usually on overnight deposit. The Manager reviews liquidity at the time of making each investment decision. The Board reviews liquidity exposure at each meeting. Strategic Report Governance Report Financial Report Notice of Meeting The Company has a £20 million multi-currency revolving loan facility available until March 2026. As at 30 September 2025 the Company had drawn down £15 million of the loan facility and bank overdrafts of £nil. The contractual maturities of the financial liabilities at each Balance Sheet date, based on the earliest date on which payment can be required, were as follows: | | Three | More than three | | | | | | --- | --- | --- | --- | --- | --- | --- | | | months | months but less | | More than | | | | | or less | than one year | | | one year | Total | | 2025 | £’000s | | £’000s | | £’000s | £’000s | Current liabilities – others 552 – – 552 Loans 15,000 – – 15,000 15,552 – – 15,552 | | Three | More than three | | | | | --- | --- | --- | --- | --- | --- | | | months | months but less | | More than | | | | or less | than one year | | one year | Total | | 2024 | £’000s | | £’000s | £’000s | £’000s | Current liabilities – others 605 – – 605 Loans 28,000 – – 28,000 28,605 – – 28,605 (c) Credit risk and counterparty exposure The Company is exposed to potential failure by counterparties to deliver securities for which the Company has paid, or to pay for securities which the Company has delivered. Such transactions must be settled on the basis of delivery against payment (except where local market conditions do not permit). Responsibility for the approval, limit setting and monitoring of counterparties is delegated to the Manager. Counterparties are selected based on a combination of criteria, including credit rating, balance sheet strength and membership of a relevant regulatory body. The rate of default in the past has been negligible. Cash and deposits are held with approved banks. The Company has an ongoing contract with its custodian for the provision of custody services. The contract is reviewed periodically. Details of securities held in custody on behalf of the Company are received and reconciled monthly. The Company’s Depositary, JP Morgan Europe Limited, has regulatory responsibilities relating to segregation and safe keeping of the Company’s financial assets, amongst other duties, as set out in the Directors’ Report. The Board has direct access to the Depositary and receives regular reports from it via the Manager. To the extent that the Manager carries out management and administrative duties (or causes similar duties to be carried out by third Other Information parties) on the Company’s behalf, the Company is exposed to counterparty risk. The Board assesses this risk through regular meetings with the management of Columbia Threadneedle Investments (including the Fund Manager) and with Columbia Threadneedle Investments’ Risk Management function. In reaching its conclusions, the Board also reviews the Manager’s parent group’s annual audit and assurance faculty report. Report and Accounts 2025 | 83 # 21. Financial Risk Management (continued) # (d) Fair values of financial assets and liabilities The assets and liabilities of the Company are, in the opinion of the Directors, reflected in the Balance Sheet at fair value, or at a reasonable approximation thereof. The carrying amount of the borrowings under loan and overdraft facilities is a reasonable approximation of fair value. # (e) Capital risk management The objective of the Company is stated as being to secure long term capital and income growth from a portfolio consisting mainly of FTSE All-Share companies. In pursuing this long term objective, the Board has a responsibility for ensuring the Company's ability to continue as a going concern. It must therefore maintain an optimal capital structure through varying market conditions. This involves the ability to: issue and buyback share capital within limits set by the Shareholders in general meeting; borrow monies in the short and long term; and pay dividends to Shareholders out of current year revenue earnings as well as out of brought forward revenue reserves. Changes to ordinary share capital are set out in note 15, dividend payments in note 9 and details of loans in note 13. # 22. Transactions with related parties and Manager The Board of Directors, including their spouses and dependents is defined as a related party. Under the FCA UK Listing Rules, the Manager is also defined as a related party. However, the existence of an independent Board of Directors demonstrates that the Company is free to pursue its own financial and operating policies and therefore, under the Investment Trust SOKP issued by the AIC, in accordance with which these financial statements are prepared, the Manager is not considered to be a related party for accounting purposes. There are no transactions with the Board other than: aggregated remuneration for services as Directors as disclosed in the Directors' Remuneration Report on page 52 and as set out in note 5; and the beneficial interests of the Directors in the ordinary shares of the Company as disclosed on page 51. The Directors' remuneration and their beneficial interest in ordinary shares are subject to external audit. There are no outstanding balances with the Board at the year end. Transactions between the Company and the Manager are detailed in note 4 on management fees and the outstanding balance is detailed in note 12. # 23. AIFMD In accordance with the AIFM Directive, information in relation to the Company's leverage and the remuneration of the Company's AIFM, Columbia Threadneedle Investment Business Limited, is required to be made available to investors. Detailed regulatory disclosures including those on the AIFM's remuneration policy and costs are available on the Company's website or from Columbia Threadneedle Investments on request. The Company's maximum and average actual leverage levels at 30 September 2025 are shown below: | Leverage exposure | Gross method | Commitment method | | --- | --- | --- | | Maximum limit | 200% | 200% | | Actual | 104% | 104% | The leverage limits are set by the AIFM and approved by the Board and are in line with the maximum leverage levels permitted in the Company's articles of association. The AIFM is also required to comply with the gearing parameters set by the Board in relation to borrowings. # 24. Securities financing transactions ("SFR") The Company has net, in the year to 30 September 2025 (2024: same), participated in any: repurchase transactions; securities lending or borrowing; buy-sell back transactions; margin lending transactions; or total return swap transactions (collectively called SFT). As such, it has no disclosure to make in satisfaction of the EU regulations on transparency of SFT, issued in November 2015. 84 CT UK Capital and Income Investment Trust PLC Financial Report # Ten Year Record (Unaudited) All Company data are based on assets, liabilities, earnings and expenses as reported in accordance with the Company's accounting policies and is unaudited but derived from the audited Accounts or specified third party data providers. ## Assets at 30 September | £'000s | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Total assets (before debt) | 256,876 | 297,027 | 332,463 | 347,472 | 348,149 | 286,395 | 380,875 | 320,283 | 339,747 | 371,974 | **351,319** | | Loans | 20,000 | 25,000 | 20,000 | 20,000 | 10,000 | 20,000 | 25,000 | 24,000 | 25,000 | 28,000 | **15,000** | | Net assets | 236,876 | 272,027 | 312,463 | 327,472 | 338,149 | 266,395 | 355,875 | 296,283 | 314,747 | 343,994 | **336,319** | ## Net Asset Value (NAV) at 30 September | | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | NAV per share – pence | 250.5 | 281.1 | 317.1 | 324.0 | 329.0 | 249.7 | 331.7 | 277.7 | 301.7 | 343.8 | **350.9** | ## Total Returns$^{(1)}$ (rebased to 100 at 30 September 2015) | | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | NAV per share | 100.0 | 116.7 | 136.4 | 144.0 | 151.6 | 119.8 | 165.0 | 143.4 | 162.2 | 192.0 | **203.4** | | Middle market price per share | 100.0 | 116.6 | 135.0 | 142.1 | 146.6 | 116.8 | 158.2 | 141.6 | 157.1 | 183.2 | **192.1** | | FTSE All-Share Index | 100.0 | 116.8 | 130.8 | 138.4 | 142.2 | 118.6 | 151.6 | 145.6 | 165.7 | 187.9 | **218.3** | ## Returns excluding dividends$^{(2)}$ (rebased to 100 at 30 September 2015) | | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | NAV per share | 100.0 | 112.2 | 126.6 | 129.3 | 131.3 | 99.7 | 132.4 | 110.9 | 120.4 | 137.2 | **140.1** | | Middle market price per share | 100.0 | 112.1 | 125.4 | 127.7 | 127.0 | 97.3 | 127.0 | 109.4 | 116.4 | 130.5 | **131.6** | | FTSE All-Share Index | 100.0 | 112.6 | 121.4 | 123.7 | 121.8 | 98.4 | 121.7 | 112.8 | 123.7 | 135.2 | **151.7** | (1) See Alternative Performance Measures on pages 94 and 95 for explanation. Financial Report Report and Accounts 2025 | 85 # **Share Price** at 30 September | | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Middle market price per share – pence | 256.0 | 287.0 | 321.0 | 327.0 | 325.0 | 249.0 | 325.0 | 280.0 | 298.0 | 334.0 | **337.0** | | Premium/discount/to NAV – % | 2.2 | 2.1 | 1.2 | 0.9 | (1.2) | (0.3) | (2.0) | 0.8 | (1.2) | (2.9) | **(4.0)** | | Share price high – pence | 277.0 | 289.8 | 327.5 | 350.0 | 337.0 | 358.0 | 339.0 | 343.5 | 317.0 | 343.0 | **343.0** | | Share price low – pence | 233.8 | 234.8 | 274.0 | 309.5 | 276.5 | 193.8 | 237.5 | 273.0 | 259.0 | 271.0 | **287.0** | # **Revenue** for the year ended 30 September | | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Available for ordinary shares (£'000s) | 9,475 | 10,785 | 11,458 | 11,710 | 13,426 | 8,758 | 11,310 | 12,890 | 14,056 | 11,439 | **11,953** | | Return per share – pence | 10.10 | 11.26 | 11.71 | 11.70 | 13.12 | 8.34 | 10.56 | 12.03 | 13.26 | 11.18 | **12.13** | | Dividends per share – pence | 10.10 | 10.30 | 10.65 | 10.95 | 11.40 | 11.50 | 11.60 | 11.80 | 12.15 | 12.50 | **13.00** | # **Revenue Performance** (released to 100 at 30 September 2015) | | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Return per share | 100.0 | 111.5 | 115.9 | 115.8 | 129.9 | 82.6 | 104.6 | 119.1 | 131.3 | 110.7 | **120.1** | | Dividends per share | 100.0 | 102.0 | 105.4 | 108.4 | 112.9 | 113.9 | 114.9 | 116.8 | 120.3 | 123.8 | **128.7** | | CPI | 100.0 | 100.6 | 103.2 | 105.8 | 107.9 | 109.1 | 111.3 | 122.5 | 130.9 | 133.8 | **139.1** | # **Cost of running the Company (Ongoing charges)$^{(1)}$** for the year ended 30 September | | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Expressed as a percentage of average net assets: | | | | | | | | | | | | | Ongoing charges | 0.64 | 0.64 | 0.59 | 0.58 | 0.58 | 0.58 | 0.59 | 0.59 | 0.66 | 0.67 | **0.66** | # **Gearing$^{(1)}$** at 30 September | | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Net gearing % | 10.32 | 9.32 | 4.81 | 4.51 | 1.71 | 7.06 | 6.52 | 7.79 | 7.19 | 8.05 | **3.80** | (1) See Alternative Performance Measures pages 94 and 95 for explanation. ## Analysis of Ordinary Shareholders (Unaudited) | Category | Holding % at 30 September 2025 | Holding % at 30 September 2024 | | --- | --- | --- | | CT Savings Plans | **80.5** | 79.7 | | Retail Investors (excluding those investing through CT Savings Plans) | **11.6** | 11.2 | | Institutions | **4.4** | 4.8 | | Intermediaries | **3.5** | 4.3 | | | **100.0** | 100.0 | Source: Columbia Threadneedle Investments 86 | CT UK Capital and Income Investment Trust PLC Notice of Meeting # Notice of Annual General Meeting Notice is hereby given that the thirty-third Annual General Meeting of the Company will be held at Cannon Place, 78 Cannon Street, London EC4N 6AG on Thursday 5 March 2026 at 12.30pm for the following purposes: Ordinary Resolutions: To consider and, if thought fit, pass the following resolutions as ordinary resolutions: 1. To receive and adopt the audited financial statements of the Company for the financial year ended 30 September 2025 together with the reports of the directors and the auditor on those financial statements. 2. To approve the Company's dividend policy as set out on page 42 of the Annual Report and Accounts for the financial year ended 30 September 2025. 3. To approve the Directors' Remuneration Policy, the full text of which appears in the Directors' Remuneration Report for the financial year ended 30 September 2025 on page 51 of the Annual Report and Accounts for the financial year ended 30 September 2025. 4. To receive, adopt and approve the Directors' Remuneration Report for the financial year ended 30 September 2025 which appears on pages 51 to 53 of the Annual Report and Accounts for the financial year ended 30 September 2025 (other than the Directors' Remuneration Policy which appears on page 51 of the Annual Report and Accounts). 5. To re-elect Nicky McCabe as a director of the Company. 6. To re-elect Dunke Afe as a director of the Company. 7. To elect John Blowers as a director of the Company. 8. To re-elect Patrick Firth as a director of the Company. 9. To re-elect Christopher Metcalfe as a director of the Company. 10. To re-appoint BDO LLP as auditor to the Company to hold office from the conclusion of the annual general meeting until the conclusion of the next annual general meeting of the Company. 11. To authorise the Audit and Risk Committee of the Board to determine the remuneration of the Company's auditor. 12. THAT, in substitution for all existing authorities, but without prejudice to the exercise of any such authority prior to the passing of this resolution, the directors of the Company (the "Directors") be and are hereby generally and unconditionally authorised, in accordance with section 551 of the Companies Act 2006 (the "Act"), to exercise all the powers of the Company to allot shares in the Company and to grant rights to subscribe for, or convert any security into, shares in the Company ("Rights") up to an aggregate nominal amount of £2,371,637 (being equal to approximately 10 per cent. of the Company's issued share capital (excluding treasury shares) as at 1 December 2025) generally from time to time on such terms as the Directors may determine, such authority to expire at the conclusion of the next annual general meeting of the Company held after the passing of this resolution or, if earlier, on the date which is 15 months after the date on which this resolution is passed (unless previously renewed, revoked or varied by the Company in general meeting) save that the Company may at any time prior to the expiry of this authority make offers or enter into agreements which would or might require shares in the Company to be allotted or Rights to be granted after such expiry and notwithstanding such expiry the Directors may allot shares in the Company or grant Rights in pursuance of such offers or agreements as if the authority conferred by this resolution had not expired. Special Resolutions: To consider and, if thought fit, pass the following resolutions as special resolutions: 13. THAT, subject to the passing of Resolution 12 set out in the notice of the annual general meeting to be held on 5 March 2026 ("Resolution 12") and in substitution for any existing power, but without prejudice to the exercise of any such power prior to the passing of this resolution, the directors of the Company (the "Directors") be and are hereby generally and unconditionally empowered, pursuant to sections 570 and 573 of the Companies Act 2006 (the "Act"), to allot or make offers or agreements to allot, equity securities (within the meaning of section 560 of the Act) for cash pursuant to the authority conferred by Resolution 12, and/or by way of a sale of treasury shares for cash, as if section 561(1) of the Act did not apply to any such allotment or sale, provided that this power: (i) shall be limited to the allotment of equity securities and the sale of treasury shares up to an aggregate nominal amount of £2,371,637 (representing approximately 10 per cent. of the issued share capital of the Company (excluding treasury shares) as at 1 December 2025); and Secretary of Finance Report and Accounts 2025 | 87 (ii) shall expire at the conclusion of the next annual general meeting of the Company held after the passing of this resolution or, if earlier, on the date which is 15 months after the date on which this resolution is passed (unless previously renewed, varied or revoked by the Company in general meeting), save that the Company may before such expiry make offers and enter into agreements which would or might require equity securities to be allotted or treasury shares to be sold after such expiry and the Directors may allot equity securities or sell treasury shares in pursuance of such an offer or agreement as if the power conferred by this resolution had not expired. This power applies in relation to the sale of treasury shares as if in the opening sentence of this resolution the words "subject to the passing of Resolution 12 set out in the notice of the annual general meeting to be held on 5 March 2026 ("Resolution 12") and" were omitted. 14. THAT, in substitution for any existing authority but without prejudice to the exercise of any such authority prior to the passing of this resolution, the Company be and is hereby generally and unconditionally authorised, pursuant to and in accordance with section 701 of the Companies Act 2006 (the "Act"), to make market purchases (within the meaning of section 693(4) of the Act) of fully paid ordinary shares of 25 pence each in the capital of the Company ("ordinary shares") on such terms and in such manner as the directors of the Company (the "Directors") may from time to time determine (either for cancellation or for retention as treasury shares for future reissue, resale, transfer or cancellation), provided that: (a) the maximum aggregate number of ordinary shares hereby authorised to be purchased is 14,220,333 or, if less, the number being 14.99 per cent. of the issued ordinary share capital of the Company (excluding ordinary shares held in treasury) immediately prior to the passing of this resolution; (b) the minimum price which may be paid for an ordinary share purchased pursuant to this authority shall be 25 pence; (c) the maximum price which may be paid for an ordinary share purchased pursuant to this authority shall be the higher of (i) an amount equal to 105% of the average of the middle market quotations for an ordinary share (as derived from the London Stock Exchange Daily Official List) over the five business days immediately preceding the date on which the ordinary share is contracted to be purchased; and (ii) the higher of the price of the last independent trade of an ordinary share and the highest current independent bid for such a share on the London Stock Exchange at the time the purchase is carried out; (d) the minimum and maximum prices per ordinary share referred to in sub-paragraphs (b) and (c) of this resolution are in each case exclusive of any expenses payable by the Company; (e) the authority hereby conferred shall expire at the conclusion of the next annual general meeting of the Company held after the passing of this resolution or, if earlier, on the date which is 15 months after the date on which this resolution is passed, unless such authority is varied, revoked or renewed prior to such time by the Company in general meeting; (f) the Company may, prior to the expiry of the authority hereby conferred, enter into a contract to purchase ordinary shares under such authority which will or may be completed or executed wholly or partly after such expiry and may make a purchase of ordinary shares pursuant to any such contract. By Order of the Board Columbia Threadneedle Investment Business Limited, Secretary 3 December 2025 Registered office: Cannon Place 78 Cannon Street London EC4N 6AG Registered number: 02732011 Notes: 1. A member is entitled to appoint one or more proxies to exercise all or any of the member's rights to attend, speak and vote at the meeting. A proxy need not be a member of the Company but must attend the meeting for the member's vote to be counted. If a member appoints more than one proxy to attend the meeting, each proxy must be appointed to exercise the rights attached to a different share or shares held by that member. 2. Any person holding 3% or more of the voting rights in the Company who appoints a person other than the Chair of the meeting as his/her proxy will need to ensure that both he/she and such person complies with their respective disclosure obligations under the Disclosure Guidance and Transparency Rules. 3. A Form of Proxy is provided with this notice for members. If a member wishes to appoint more than one proxy and so requires additional proxy forms, the member should contact Computershare Investor Services PLC on 0370 889 4094. To be valid, the Form of Proxy and any power of attorney or other authority under which it is signed (or a notarially certified copy of such authority) must be received by post or (during normal business hours only) by hand at the Company's Registrar, Computershare Investor Services PLC, The Pavilions, Bridgewater Road, Bristol BS99 6ZZ, not less than 48 hours excluding non-working days before the time of the holding of the meeting or any adjourned meeting. Amended instructions must 88 CT UK Capital and Income Investment Trust PLC Notice of Meeting also be received by the Company’s Registrar by the deadline for the relevant deadline shall be disregarded in determining the rights Chair’s StatementOverview Auditor’s Report receipt of Forms of Proxy. of any person to attend and vote at the meeting. 4. Alternatively, members may register the appointment of a proxy 8. If you are an institutional investor you may be able to appoint a for the meeting electronically, by accessing the website proxy electronically via the Proxymity platform, a process which has www.eproxyappointment.com where full instructions for the been agreed by the Company and approved by the Registrar. For procedure are given. The Control Number, Shareholder Reference further information regarding Proxymity, please go to www.proxymity. and PIN as printed on the Form of Proxy will be required in order io. Your proxy must be lodged by 12.30pm on 3 March 2026 in to use the electronic proxy appointment system. This website order to be considered valid. Before you can appoint a proxy via is operated by Computershare Investor Services PLC. The proxy this process you will need to have agreed to Proxymity’s associated appointment and any power of attorney or other authority under terms and conditions. It is important that you read these carefully Strategic Report Governance Report Financial Report Notice of Meeting which the proxy appointment is made must be received by as you will be bound by them and they will govern the electronic Computershare Investor Services PLC not less than 48 hours appointment of your proxy. (excluding non-working days) before the time for holding the 9. CREST members who wish to appoint a proxy or proxies through meeting or adjourned meeting or (in the case of a poll taken the CREST electronic proxy appointment service may do so for the otherwise than at or on the same day as the meeting or adjourned meeting and any adjournment(s) thereof by using the procedures meeting) for the taking of the poll at which it is to be used. If you described in the CREST Manual. CREST Personal Members or other want to appoint more than one proxy electronically please contact CREST sponsored members, and those CREST members who have Computershare Investor Services PLC on 0370 889 4094. appointed a voting service provider(s), should refer to their CREST 5. Investors holding shares in the Company through the CT Investment sponsor or voting service provider(s), who will be able to take the Trust ISA, Junior ISA, Child Trust Fund, General Investment appropriate action on their behalf. Account and/or Junior Investment Account should ensure that 10. In order for a proxy appointment or instruction made using the forms of direction are returned to Computershare Investor CREST service to be valid, the appropriate CREST message Services PLC not later than 12.30pm on 25 February 2026. (a “CREST Proxy Instruction”) must be properly authenticated Alternatively, voting directions can be submitted electronically in accordance with Euroclear UK & International Limited’s at www.eproxyappointment.com by entering the Control Number, specifications and must contain the information required for such Shareholder Reference Number and PIN as printed on the form of instruction, as described in the CREST Manual (available via www. direction. Voting directions must be submitted electronically no euroclear.com/CREST). The message, regardless of whether it later than 12.30pm on 25 February 2026. constitutes the appointment of a proxy or is an amendment to the 6. Any person receiving a copy of this notice as a person nominated instruction given to a previously appointed proxy must, in order by a member to enjoy information rights under section 146 of to be valid, be transmitted so as to be received by the issuer’s the Act (a “Nominated Person”) should note that the provisions agent (ID number 3RA50) by the latest time(s) for receipt of proxy in notes 1 to 4 above concerning the appointment of a proxy or appointments specified in notes 3 and 4. For this purpose, the time proxies to attend the meeting in place of a member do not apply of receipt will be taken to be the time (as determined by the time to a Nominated Person as only Shareholders have the right to stamp applied to the message by the CREST Application Host) from appoint a proxy. However, a Nominated Person may have a right which the issuer’s agent is able to retrieve the message by enquiry under an agreement between the Nominated Person and the to CREST in the manner prescribed by CREST. After this time, any member by whom he or she was nominated to be appointed, or change of instructions to proxies appointed through CREST should to have someone else appointed, as a proxy for the meeting. If a be communicated to the appointee through other means. Nominated Person has no such proxy appointment right or does 11. CREST members and, where applicable, their CREST sponsors not wish to exercise it, he/she may have a right under such an or voting service provider(s) should note that Euroclear UK & agreement to give instructions to the member as to the exercise of International Limited does not make available special procedures voting rights at the meeting. in CREST for any particular messages. Normal system timings and 7. Pursuant to Regulation 41(1) of the Uncertificated Securities limitations will therefore apply in relation to the input of CREST Regulations 2001 (as amended) and for the purposes of section Proxy Instructions. It is the responsibility of the CREST member 360B of the Act, the Company has specified that only those concerned to take (or, if the CREST member is a CREST personal members registered on the register of members of the Company member or sponsored member or has appointed a voting service as at close of business on 3 March 2026 (the “Specified Time”) provider(s), to procure that his CREST sponsor or voting service (or, if the meeting is adjourned to a time more than 48 hours provider(s) take(s)) such action as shall be necessary to ensure after the Specified Time, by close of business on the day which that a message is transmitted by means of the CREST system by is two working days prior to the time of the adjourned meeting) any particular time. In this connection, CREST members and, where shall be entitled to attend and vote at the meeting in respect of applicable, their CREST sponsors or voting service provider(s) the number of shares registered in their name at that time. If the are referred, in particular, to those sections of the CREST Manual meeting is adjourned to a time not more than 48 hours after the concerning practical limitations of the CREST system and timings Specified Time, the Specified Time will also apply for the purpose of (www.euroclear.com/CREST). determining the entitlement of members to attend and vote (and for 12. The Company may treat as invalid a CREST Proxy Instruction in the Other Information the purposes of determining the number of votes they may cast) at circumstances set out in Regulation 35(5)(a) of the Uncertificated the adjourned meeting. Changes to the register of members after Securities Regulations 2001 (as amended). Report and Accounts 2025 | 89 13. Any corporation which is a member can appoint one or more corporate representatives who may exercise on its behalf all of its powers as a member provided that, if it is appointing more than one corporate representative, it does not do so in relation to the same shares. 14. Under section 527 of the Act, members meeting the threshold requirements set out in that section have the right to require the Company to publish on a website a statement setting out any matter relating to: (a) the audit of the Company's Accounts (including the auditor's report and the conduct of the audit) that are to be laid before the meeting; or (b) any circumstances connected with an auditor of the Company ceasing to hold office since the previous meeting at which annual Accounts and Reports were laid in accordance with section 437 of the Act. 15. The Company may not require the members requesting any such website publication to pay its expenses in complying with sections 527 or 528 of the Act. Where the Company is required to place a statement on a website under section 527 of the Act, it must forward the statement to the Company's auditor not later than the time when it makes the statement available on the website. The business which may be dealt with at the meeting includes any statement that the Company has been required under section 527 of the Act to publish on a website. 16. Any member attending the meeting has the right to ask questions. The Company must cause to be answered any question relating to the business being dealt with at the meeting put by a member attending the meeting. However, members should note that no answer need be given in the following circumstances: (a) if to do so would interfere unduly with the preparation of the meeting or would involve a disclosure of confidential information; or (b) if the answer has already been given on a website in the form of an answer to a question; or (c) if it is undesirable in the interests of the Company or the good order of the meeting that the question be answered. 17. As at 1 December 2025, being the latest practicable date before the publication of this notice, the Company's issued capital consisted of 107,289,022 ordinary shares of 25p each including 12,423,552 shares held in treasury. Therefore, the total voting rights in the Company as at 1 December 2025 were 94,865,470. 18. This notice, together with the information required by Section 311A of the Act, will be available at dccapitalandincome.co.uk. 19. Copies of the letters of appointment between the Company and its Directors; a copy of the Articles of Association of the Company; the register of Directors' holdings; and a deed relating to the Directors' deeds of indemnity will be available for inspection at the registered office of the Company during usual business hours on any weekday (Saturdays, Sundays and Bank Holidays excluded) until the date of the meeting and also at the place of the meeting from 15 minutes prior to the commencement of the meeting until the conclusion thereof. 20. No Director has a service agreement with the Company. 21. Under section 338 of the Act, a member or members meeting the qualification criteria set out at note 23 below, may subject to certain conditions, require the Company to circulate to members notice of a resolution which may properly be moved and is intended to be moved at that meeting. The conditions are that: (i) the resolution must not, if passed, be ineffective (whether by reason of inconsistency with any enactment or the Company's constitution or otherwise); (ii) the resolution must not be defamatory of any person, frivolous or vexatious; and (iii) the request: (a) may be in hard copy form or in electronic form; (b) must identify the resolution of which notice is to be given by either setting out the resolution in full or, if supporting a resolution sent by another member, clearly identifying the resolution which is being supported; (c) must be authenticated by the person or persons making it; and (d) must be received by the Company not later than six weeks before the meeting to which the requests relate. 22. Under Section 338A of the Act, a member or members meeting the qualification criteria set out at note 23 below, may subject to certain conditions, require the Company to include in the business to be dealt with at the meeting a matter (other than a proposed resolution) which may properly be included in the business (a matter of business). The conditions are that: (i) the matter of business must not be defamatory of any person, frivolous or vexatious; and (ii) the request: (a) may be in hard copy form or in electronic form; (b) must identify the matter of business by either setting it out in full or, if supporting a statement sent by another member, clearly identify the matter of business which is being supported; (c) must be accompanied by a statement setting out the grounds for the request; (d) must be authenticated by the person or persons making it; and (e) must be received by the Company not later than 6 weeks before the meeting to which the requests relate. 23. In order to be able to exercise the members' right to require: (i) circulation of a resolution to be proposed at the meeting (see note 21); or (ii) a matter of business to be dealt with at the meeting (see note 22), the relevant request must be made by: (a) a member or members having a right to vote at the meeting and holding at least 5% of total voting rights of the Company; or (b) at least 100 members having a right to vote at the meeting and holding, on average, at least £100 of paid up share capital. 90 CT UK Capital and Income Investment Trust PLC Other Information Chair’s StatementOverview Auditor’s Report ## Information for Shareholders Strategic Report Governance Report Financial Report Notice of Meeting Net Asset Value and share price Share dealing The Company’s NAV, or Net Asset Value, per share is released Investors wishing to purchase more shares in the Company or sell daily to the London Stock Exchange on the working day following all or part of their existing holding may do so through a stockbroker. the calculation date. The current share price of CT UK Capital and Most banks also offer this service. Alternatively, please go to Income Investment Trust PLC is shown in the investment trust www.computershare.com/dealing/uk for a range of dealing section of the stock market page in most leading newspapers, services made available by Computershare. under “CT UK Capital and Income” and on the London Stock Exchange website. In addition, one of the most convenient ways to invest in the Company is through a savings plan operated by Columbia Performance information Threadneedle Investments. Further details are provided on the Information on the Company’s performance is provided in the half- following page. yearly and final reports which are sent to Shareholders in June and December respectively. More up-to-date performance information is Common reporting standards available on the Internet at ctcapitalandincome.co.uk. This website Tax legislation requires investment fund companies to provide also provides a monthly update on the Company’s geographic spread information annually to the local tax authority on the tax and largest holdings, along with comments from the Fund Manager. residencies of a number of non-UK based certificated Shareholders and corporate entities who have purchased shares in investment AIC trusts. All new Shareholders, excluding those whose shares are The Company is a member of the AIC, which publishes a monthly held in CREST, who are entered onto the share register are sent a statistical information service in respect of member companies. certification form for the purpose of collecting this information. The publication also has details of ISA and other investment plans available. For further details, please contact the AIC on 020 7282 For further information, please see HMRC’s Quick Guide: Automatic 5555, or visit the website: theaic.co.uk Exchange of Information – information for account holders gov.uk/ government/publications/exchange-of-information-account-holders. Electronic communications Computershare provides a service to enable Shareholders to Registered in England and Wales with Company Registration No 02732011. receive Shareholder correspondence electronically (including annual and half yearly financial reports) if they wish. If a Shareholder opts to receive documents in this way, paper documents will only be available on request. Shareholders who opt for this service will receive a Notice of Availability via e-mail from Computershare with a link to the relevant section of the Company’s website where the documents can be viewed or printed. For more information, to view the terms and conditions and to register for this service, please visit Computershare’s internet site at investorcentre.co.uk (you will need your Shareholder reference number which can be found on your share certificate or dividend confirmation). Other Information Report and Accounts 2025 | 91 Financial promotion ## How to Invest One of the most convenient ways to invest in CT UK Capital and Income Investment Trust PLC is through one of the savings plans run by Columbia Threadneedle Investments. Our adult products Charges We offer three different products for those over 18 to suit Annual management charges and other charges apply your needs. The minimum opening investment amount for an according to the type of Savings Plan, these can be adult product is £2,000 and you can then invest from £25 a found on the relevant product Presales Cost & Charges month or make additional one-off investments from £100. disclosure on our website www.ctinvest.co.uk. Annual account charge CT Individual Savings Account (ISA) ISA/LISA: £60+VAT You can use your ISA allowance to make an annual tax efficient GIA: £40+VAT investment of up to £20,000 for the current tax year. You can JISA/JIA/CTF: £25+VAT also transfer any existing ISAs to us whilst maintaining the tax You can pay the annual charge from your account, or by benefits. Direct Debit (in addition to any annual subscription limits). CT Lifetime Individual Savings Account (LISA) Dealing charges For those aged 18-39, a LISA could help towards purchasing £12 per fund (reduced to £0 for deals placed through the your first home or retirement in later life. Invest up to £4,000 for online Columbia Threadneedle Investor Portal) for ISA/ the current tax year and receive a 25% Government bonus up to GIA/LISA/JIA and JISA. There are no dealing charges on £1,000 per year. a CTF. Dealing charges apply when shares are bought or sold but not on the reinvestment of dividends or the CT General Investment Account (GIA) investment of monthly direct debits. Government stamp This is a flexible way to invest in our range of Investment Trusts duty of 0.5% also applies on the purchase of shares with no maximum contributions. (where applicable). The value of investments can go down as well as up and you may not get back your original investment. Tax benefits depend on your Our child products individual circumstances and tax allowances and rules We also offer three different products for children. The may change. Please ensure you have read the full minimum opening investment amount for these is £1,000 Terms and Conditions, Privacy Policy and relevant Key and you can then invest from £25 a month or make Features documents before investing. For regulatory additional one-off investments from £100. purposes, please ensure you have read the Pre-sales Cost & Charges disclosure related to the product you are applying for, and the relevant Key Information Documents CT Junior Individual Savings Account (JISA)* (KIDs) for the investment trusts you want to invest in, A tax efficient way to invest up to £9,000 per tax year for a these can be found at www.ctinvest.co.uk/documents. child. JISAs with other providers can be transferred to Columbia Threadneedle Investments. How to Invest CT Junior Investment Account (JIA) To open a new Columbia Threadneedle Savings Plan, apply This is a flexible way to save for a child in our range of online at www.ctinvest.co.uk. Online applications are not Investment Trusts. There are no maximum contributions, and the available if you are transferring an existing Savings Plan with plan can easily be set up under bare trust (where the child is another provider to Columbia Threadneedle Investments, or noted as the beneficial owner) or kept in your name if you wish if you are applying for a new Savings Plan in more than one to retain control over the investment. name but paper applications are available at www.ctinvest.co.uk/documents or by contacting Columbia CT Child Trust Fund (CTF)* Threadneedle Investments. If your child already has a CTF, you can invest up to £9,000 per birthday year. CTFs with other providers can be transferred to Columbia Threadneedle Investments. 92 | CT UK Capital and Income Investment Trust PLC Other Information Chair’s StatementOverview Auditor’s Report New Customers: Existing Savings Plan Holders: Call: 0345 600 3030** (9.00am – 5.00pm, weekdays) Call: 0345 600 3030** (9:00am – 5:00pm, weekdays) Strategic Report Governance Report Financial Report Notice of Meeting Email: invest@columbiathreadneedle.com Email: investor.enquiries@columbiathreadneedle.com By post: Columbia Threadneedle Management Limited PO Box 11114 Chelmsford CM99 2DG You can also invest in the trust through online dealing platforms for private investors that offer share dealing and ISAs. Companies include: AJ Bell, Barclays Stockbrokers, EQi, Halifax, Hargreaves Lansdown, HSBC, Interactive Investor, LLoyds Bank, The Share Centre. Notes *The CTF and JISA accounts are opened by parents in the child’s name and they have access to the money at age 18. **Calls may be recorded or monitored for training and quality purposes. ## To find out more, ## visit ctinvest.co.uk ## 0345 600 3030, 9.00am – 5.00pm, ## weekdays, calls may be recorded or ## monitored for training and quality purposes. Capital at risk. The material relates to an investment trust and its Ordinary Shares are traded on the main market of the London Stock Exchange. The Investor Disclosure Document, Key Information Document (KID), latest Other Information annual or half year reports and the applicable terms & conditions are available from Columbia Threadneedle Investments, Cannon Place, 78 Cannon Street, London EC4N 6AG, your financial advisor and/or on our website www.columbiathreadneedle.com. Please read the Investor Disclosure Document before taking any investment decision. This material should not be considered as an offer, solicitation, advice or an investment recommendation. This communication is valid at the date of publication and may be subject to change without notice. Information from external sources is considered reliable but there is no guarantee as to its accuracy or completeness. In the UK: Issued by Columbia Threadneedle Management Limited, No. 517895, registered in England and Wales and authorised and regulated in the UK by the Financial Conduct Authority. © 2025 Columbia Threadneedle Investments. WF2912649 (08/25) UK. Expiration Date: 31/01/2026 Report and Accounts 2025 | 93 ## Alternative Performance Measures The Company uses the following Alternative Performance Measures (“APMs”). APMs do not have a standard meaning prescribed by GAAP and therefore may not be comparable to similar measures presented by other entities. No new APMs have been identified or added since the prior year end. Premium or Discount – the share price of an Investment Company is derived from buyers and sellers trading their shares on the stock market. This price is not identical to the Net Asset Value (“NAV”) per share of the Company. If the share price is lower than NAV per share, the shares are trading at a discount. This usually indicates that there are more sellers of shares than buyers. The discount is shown as a percentage of the NAV per share. Shares trading at a price above NAV per share are deemed to be at a premium. | 30 September | | 30 September | | | --- | --- | --- | --- | | | 2025 | | 2024 | | | pence | | pence | Net Asset Value per share (a) 350.92 343.84 Share price per share (b) 337.00 334.00 (Discount) or Premium (c= (b-a)/a) (c) (4.0%) (2.9%) Gearing – this is the ratio of the borrowings of the Company to its net assets. Borrowings have a “prior charge” over the assets of a company, ranking before ordinary Shareholders in their entitlement to capital and/or income. They may include: preference shares; debentures; overdrafts and short and long term loans from banks; and derivative contracts. If the Company has cash assets, these may be assumed either to net off against borrowings, giving a “net” or “effective” gearing percentage, or to be used to buy investments, giving a “gross” or “fully invested” gearing figure. Where cash assets exceed borrowings, the Company is described as having “net cash”. The Company’s maximum permitted level of gearing is set by the Board and is described within the Strategic Report and Directors’ Report. | 30 September | | 30 September | | | --- | --- | --- | --- | | | 2025 | | 2024 | | | £’000 | | £’000 | Loan 15,000 28,000 Less cash and cash equivalents (2,235) (319) Total (a) 12,765 27,681 Net Asset Value (b) 336,319 343,994 Gearing (c = a/b) (c) 3.80% 8.05% 94 | CT UK Capital and Income Investment Trust PLC Other Information Ongoing Charges – are those expenses of a type which are likely to recur in the foreseeable future, whether charged to capital or revenue, Chair’s StatementOverview Auditor’s Report and which relate to the operation of the investment company, expressed as a proportion of the average net assets of the Company over the reporting year (see Ten Year Record). The costs of buying and selling investments and derivatives are excluded, as are interest costs, taxation, non-recurring costs and the costs of buying back or issuing shares. Ongoing charges are based on costs incurred in the year as being the best estimate of future costs. | | 30 September | | 30 September | | | --- | --- | --- | --- | --- | | | | 2025 | | 2024 | | Ongoing charges calculation | | £’000 | | £’000 | Strategic Report Governance Report Financial Report Notice of Meeting Management fees 1,404 1,470 Other expenses 881 806 Broker fee 10 10 Less loan arrangement fees (20) (30) Ad-hoc non-recurring expenses (65) (24) Total (a) 2,210 2,232 Average daily net assets (b) 334,579 333,109 Ongoing charges (c = a/b) (c) 0.66% 0.67% Total Return – the theoretical return to Shareholders calculated on a per share basis by adding dividends paid in the period to the increase or decrease in the share price or NAV in the period. The dividends are assumed to have been re-invested in the form of shares or added to net assets respectively, on the date on which the shares were quoted ex-dividend. Net Asset Value Share price NAV/Share price per share at 30 September 2024 (pence) 343.84 334.00 NAV/Share price per share at 30 September 2025 (pence) 350.92 337.00 Change in the year 2.1% 0.9% Impact of dividend reinvestments 3.8% 4.0% Total return for the year 5.9% 4.9% Other Information Report and Accounts 2025 | 95 ## Glossary of Terms AAF Report – Report prepared in accordance with Audit and Assurance Faculty guidance issued by the Institute of Chartered Accountants in England and Wales. Administrator – State Street Bank and Trust Company. AIC – Association of Investment Companies, the trade body for Closed-end Investment Companies. AIC Code – the principles set out in the Association of Investment Companies Code of Corporate Governance. AIFMD – Alternative Investment Fund Managers Directive requires that all investment vehicles (“AIFs”) must appoint a Depositary and an Alternative Investment Fund Manager (“AIFM”). The Board of Directors of an Investment Trust, nevertheless, will remain fully responsible for all aspects of the Company’s strategy, operations and compliance with regulations. The Company’s AIFM is the Manager. AIM – the Alternative Investment Market. Broker – The Broker is Cavendish. The duties of the Broker include transacting buy or sell orders in the Company’s shares, maintain a regular dialogue with core Shareholders, and provide advice on trading of the Company’s shares and significant movements in share price. CT Savings Plans – the CT General Investment Account, CT Junior Investment Account, CT Investment Trust ISA, CT Junior ISA, CT Lifetime ISA and CT Child Trust Fund operated by Columbia Threadneedle Management Limited, a company authorised and regulated by the Financial Conduct Authority. CT UK Capital and Income Investment Trust PLC – the “Company”. Benchmark – the FTSE All-Share Index (the “Index”) is the benchmark against which the increase or decrease in the Company’s Net Asset Value is measured. The Index averages the performance of a defined selection of companies on the London Stock Exchange and gives an indication of how a wide range of companies traded on the London Stock Exchange taken as a whole have performed in any period. As the investments within the Index are not identical to those held by the Company, the Index does not take account of operating costs and the Company’s strategy does not include replicating (tracking) this index, there is likely to be some level of divergence between the performance of the Company and the Index. Closed-end company – a company, including an Investment Company, with a fixed issued ordinary share capital which is traded on an exchange at a price not necessarily related to its Net Asset Value and the shares of which can only be issued or bought back by the Company in certain circumstances. Cum-dividend – shares are classified as cum-dividend when the buyer of a security is entitled to receive a dividend that has been declared, but not paid. Shares which are not cum-dividend are described as ex-dividend. Custodian – The Custodian is JPMorgan Chase Bank. A custodian is a specialised financial institution responsible for safeguarding, worldwide, the listed securities and certain cash assets of the Company, as well as the income arising therefrom, through provision of custodial, settlement and associated services. 96 | CT UK Capital and Income Investment Trust PLC Other Information Depositary – The Depositary is JPMorgan Europe Limited. Under AIFMD rules, the Company must appoint a depositary, whose duties in Chair’s StatementOverview Auditor’s Report respect of investments, cash and similar assets include: safekeeping; verification of ownership and valuation; and cash monitoring. The appointed depositary has strict liability for the loss of the financial assets in respect of which it has safe keeping duties. The Depositary’s oversight duties will include, but are not limited to, oversight of share buy backs, dividend payments and adherence to investment limits. Derivative – a contract between two or more parties, the value of which fluctuates in accordance with the value of an underlying security. The contract is usually short term (for less than one year). Examples of derivatives are Put and Call Options, Swap contracts, Futures and Contracts for Difference. A derivative can be an asset or a liability and is a form of gearing because the fluctuations in its value are usually Strategic Report Governance Report Financial Report Notice of Meeting greater than the fluctuations in the underlying security’s value. Distributable Reserves – Reserves distributable by way of dividend or for the purpose of buying back ordinary share capital. Company Law requires that Share Capital, the Share Premium Account and the Capital Redemption Reserve may not be distributed. The Company’s articles of association allow distributions by way of dividend out of Capital Reserves. Dividend payments are currently made out of Revenue Reserve. The cost of any share buybacks are deducted from the Special and Capital Reserves. Dividend Dates – Reference is made in announcements of dividends to three dates. The “record” date is the date after which buyers of the shares will not be recorded on the register of Shareholders as qualifying for the pending dividend payment. The “payment” date is the date that dividends are credited to Shareholders’ bank accounts. The “ex-dividend” date is normally the business day prior to the record date. Fund Manager – Julian Cane, an employee of the Manager with overall management responsibility for the total portfolio. On 1 January 2026, Dominic Younger will succeed Julian Cane as Fund Manager of the Company. GAAP – Generally Accepted Accounting Practice. This includes UK GAAP and International GAAP (IFRS or International Financial Reporting Standards applicable in the European Union). Investment Company (section 833) – UK Company Law allows an Investment Company to make dividend distributions out of realised distributable reserves, even in circumstances where it has made capital losses in any year, provided the Company’s assets remaining after payment of the dividend exceed 150% of the liabilities. An Investment Company is defined as investing its funds in shares, land or other assets with the aim of spreading investment risk. Investment Trust taxation status (section 1158) – UK Corporation Tax law allows an Investment Company (referred to in tax law as an Investment Trust) to be exempted from tax on its profits realised on investment transactions, provided it complies with certain rules. These are similar to section 833 Company law rules but further require that the Company must be listed on a regulated stock exchange and that it cannot retain more than 15% of income received. The Directors’ Report contains confirmation of the Company’s compliance with this law and its consequent exemption from taxation on capital gains. ISAE Report – Report prepared in accordance with the International Standard on Assurance Engagements. Leverage – as defined under AIFMD rules, leverage is any method by which the exposure of an AIF (being an investment vehicle under the AIFMD) is increased through borrowing of cash or securities or leverage embedded in derivative positions. Leverage is broadly equivalent to gearing, but is expressed as a ratio between the net assets (excluding borrowings) and the net assets (after taking account of borrowings). Under the gross method, exposure represents the sum of the Company’s positions after deduction of cash balances, without taking account of any hedging or netting arrangements. Under the commitment method, exposure is calculated without the deduction of cash balances and after certain hedging and netting positions are offset against each other. Manager – Columbia Threadneedle Investment Business Limited, (AIFM), and its sister company Columbia Threadneedle Management Other Information Limited. These two companies are owned by Ameriprise Financial, Inc. Report and Accounts 2025 | 97 Net Asset Value (NAV) – the assets less liabilities of the Company, as set out in the Balance Sheet, all valued in accordance with the Company’s Accounting Policies and UK Accounting Standards. The net assets correspond to Total Shareholders’ Funds, which comprise the share capital account, capital redemption reserve, share premium account, distributable reserve, special reserve and capital and revenue reserves. Non-executive Director – a Director who has a contract for services, rather than a contract of employment, with the Company. The Company does not have any executive Directors. Non-executive Directors’ remuneration is described in detail in the Directors’ Remuneration Report. The duties of the Directors, who govern the Company through the auspices of a Board and Committees of the Board, are set out in the Corporate Governance Statement. Open-end investment vehicle – a collective investment scheme which issues shares or units directly to investors, and redeems directly from investors, at a price that is linked to the Net Asset Value of the fund. Price/earnings multiple – This is a calculation carried out as a simple assessment of a company’s valuation. It is the result of dividing the share price of a company by its earnings per share, therefore showing the multiple of earnings at which the shares trade. Registrar – Computershare Investor Services PLC provide share registration services to the Company. They maintain the register of members and arrange the payment of dividends. Shares held by investors in the CT Savings Plans are held on the register in one nominee account under the name of State Street Nominees Limited. SORP – Statement of Recommended Practice. The accounts of the Company are drawn up in accordance with the Investment Trust SORP, issued by the AIC. SSAE16 – Statement on Standards for Attestation Engagements 16, issued by the American Institute of Certified Public Accountants, is an independent snapshot of an organisation’s control environment. Total Return – The return to Shareholders calculated on a per share basis by adding dividends paid in the period to the increase or decrease in the Share Price or NAV in the period. The dividends are assumed to have been re-invested in the form of shares or net assets, respectively, on the date on which the shares were quoted ex-dividend. UK Code of Corporate Governance (UK Code) – the standards of good practice in relation to board leadership and effectiveness, remuneration, accountability and relations with Shareholders that all companies with a listing on the London Stock Exchange are required to report on in their Annual Report and Accounts. 98 | CT UK Capital and Income Investment Trust PLC Other Information Chair’s StatementOverview Auditor’s Report Strategic Report Governance Report Financial Report Notice of Meeting Warning to Shareholders – Beware of Share Fraud. Fraudsters use persuasive and high-pressure tactics to lure investors into scams. They may offer to sell to you shares that turn out to be worthless or non-existent, or to buy your shares at an inflated price in return for an upfront payment following which the proceeds are never received. If you receive unsolicited investment advice or requests: • Check the Financial Services Register from fca.org.uk to see if the person or firm contacting you is authorised by the FCA • Call the Financial Conduct Authority (“FCA”) on 0800 111 6768 if the firm does not have contact details on the Register or you are told they are out of date • Search the list of unauthorised firms to avoid at fca.org.uk/scams • Consider that if you buy or sell shares from an unauthorised firm you will not have access to the Financial Ombudsman Service or Financial Services Compensation Scheme • Think about getting independent financial and professional advice If you are approached by fraudsters please tell the FCA by using the share fraud reporting form at fca.org.uk/scams where you can find out more Other Information about investment scams. You can also call the FCA Consumer Helpline on 0800 111 6768. If you have already paid money to share fraudsters you should contact Action Fraud on 0300 123 2040. Report and Accounts 2025 | 99 ## CT UK Capital and Income ## Investment Trust PLC ## Report and Accounts ## For the Year Ended ## 30 September 2025 ## Contact us Registered office: Cannon Place, 78 Cannon Street, London EC4N 6AG 0131 573 8300 ctcapitalandincome.co.uk invest@columbiathreadneedle.com Registrars: Computershare Investor Services PLC The Pavilions, Bridgwater Road Bristol BS99 6ZZ 0370 889 4094 computershare.com web.queries@computershare.co.uk ## To find out more visit columbiathreadneedle.com © 2025 Columbia Threadneedle Investments. Columbia Threadneedle Investments is the global brand name of the Columbia and Threadneedle group of companies.