Strategic report Governance Financial statements Other information INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF HARGREAVES LANSDOWN PLC Report on the audit of the financial statements To the best of our knowledge and belief, we declare that non-audit services prohibited by the FRC’s Ethical Standard were not provided. Opinion In our opinion, Hargreaves Lansdown plc’s group financial statements and parent company financial Other than those disclosed in the Audit Committee report, we have provided no non-audit services statements (the “financial statements”): to the parent company or its controlled undertakings in the period under audit. give a true and fair view of the state of the group’s and of the parent company’s affairs as at 30 June Our audit approach • 2021 and of the group’s and parent company’s profit and the group’s and parent company’s cash Overview flows for the year then ended; • As part of designing the scope of our audit, we determined •have been properly prepared in accordance with international accounting standards in conformity materiality and assessed the risks of material misstatement in the with the requirements of the Companies Act 2006; and financial statements. In particular, we looked at where the directors have been prepared in accordance with the requirements of the Companies Act 2006. Audit scope made subjective judgements, for example in respect of significant • accounting estimates that involved making assumptions and We have audited the financial statements, included within the Report and Financial Statements 2021 considering future events that are inherently uncertain. (the “Annual Report”), which comprise: the consolidated statement of financial position and the parent company statement of financial position as at 30 June 2021; the consolidated income statement, the consolidated statement of comprehensive income, the consolidated statementof • Revenue recognition (group) changes in equity, the consolidated statement of cash flows, the parent company statement of Key audit Impact of COVID-19 (group and parent) changes in equity and the parent company statement of cash flows for the year then ended; and the matters • notes to the financial statements, which include a description of the significant accounting policies. • Overall group materiality: £18,300,000 (2020: £18,900,000) Our opinion is consistent with our reporting to the Audit Committee. based on 5% of consolidated profit before tax. Separate opinion in relation to international financial reporting standards adopted pursuant • Overall parent company materiality: £9,800,000 to Regulation (EC) No 1606/2002 as it applies inthe European Union Materiality (2020: £10,700,000) based on 5% of profit before tax. As explained in note 5.1 to the financial statements, the group, in addition to applying international Performance materiality: £13,700,000 (group) and £7,300,000 • accounting standards in conformity with the requirements of the Companies Act 2006, has also (parent company). applied international financial reporting standards adopted pursuant to Regulation (EC) No 1606/2002 as it applies in the European Union. In our opinion, the group financial statements have been properly prepared in accordance with The scope of our audit international financial reporting standards adopted pursuant to Regulation (EC) No 1606/2002 as it As part of designing our audit, we determined materiality and assessed the risks of material applies in the European Union. misstatement in the financial statements. Basis for opinion Key audit matters We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs (UK)”) and Key audit matters are those matters that, in the auditors’ professional judgement, were of most applicable law. Our responsibilities under ISAs (UK) are further described in the Auditors’ responsibilities significance in the audit of the financial statements of the current period and include the most for the audit of the financial statements section of our report. We believe that the audit evidence we significant assessed risks of material misstatement (whether or not due to fraud) identified by the have obtained is sufficient and appropriate to provide a basis for our opinion. auditors, including those which had the greatest effect on: the overall audit strategy; the allocation Independence of resources in the audit; and directing the efforts of the engagement team. These matters, and any We remained independent of the group in accordance with the ethical requirements that are comments we make on the results of our procedures thereon, were addressed in the context of our relevant to our audit of the financial statements in the UK, which includes the FRC’s Ethical Standard, audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide as applicable to listed public interest entities, and we have fulfilled our other ethical responsibilities a separate opinion on these matters. in accordance with these requirements. 136 Hargreaves Lansdown Report and Financial Statements 2021