Tr ust ees’ Report & Ann ual Acc ounts 2015-16 · Tr ust ees’ Report & Ann ual Acc ounts 2015-16 b a d g er ... Sussex Wildlife Trust Trustees’ Report 31 March 2016 SWT

Trustees’ Report & Annual Accounts 2015-16

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The Trustees are pleased to present their annual directors’report together with the financial statements of the charityfor the year ending 31 March 2016. These are prepared tomeet the legal requirements of a directors’ report andaccounts in accordance with Companies Act 2006.

The financial statements comply with the Charities Act2011, the Companies Act 2006, the Memorandum andArticles of Association, and Accounting and Reporting byCharities: Statement of Recommended Practice applicableto charities preparing their accounts in accordance with theFinancial Reporting Standard applicable in the UK andRepublic of Ireland (FRS 102) (effective 1 January 2015).

CHAIRMAN’S REPORT

It is with huge pride that I am writing my first report asChairman of Council of the Trust. I took over theChairmanship from Chris Warne in November 2015 andwish to pay special tribute to him for his calm guiding handduring the four years in which he held office as Chairmanand in the handover to me.

During the year, the Trust continued to be at the forefrontof wildlife conservation in Sussex. It has continued to play avital role in protecting the wildlife and habitats acrossSussex, not only for the sake of wildlife itself but also forfuture generations of those people who live and will live inthis wonderful county. It does this across its own 31reserves, but also through a wide range of landownerengagement and habitat enhancement activities and inpartnership with local authorities, the South DownsNational Park, the Environment Agency and otherenvironmental Non-Governmental Organisations.

In order for wildlife to flourish, we recognise that landmanagement is not going to be sufficient. It is vital that theTrust engages with people through education programmeswhether that is at the pre-school stage, through schooleducation programmes or reaching out to adults so thateveryone has a chance to be connected with nature. It is mybelief that only through enabling people to see and feel theconnection with nature and its importance to their ownwellbeing, can we hope to inspire people to want and valuea wildlife-rich environment. To that end our ‘My Wild Life’campaign aimed to underline the importance of wildlife toeveryone’s individual lives.

None of this would be possible without the strong governanceprovided by my fellow Trustees, and I should like to thankthem for their commitment and clear wisdom. Council decidedthat greater depth in Human Resource skills was neededwithin the Trustee body, and I am pleased to note that a newHR Committee was established during the year, recognisingthat the staff and volunteers working for the Trust are itsstrongest asset. None of the Trust’s achievements would bepossible without the commitment of each and every one andI can only stand back in amazement as I note that in additionto the dedicated work of our staff there were nearly 27,000volunteering hours carried out last year.

The Trust is also fortunate to have a loyal membership ofnearly 30,000 individual and family members as well asdonors, charitable trust grant funders and other sponsorsand supporters. Without such moral and financial support,the Trust’s achievements and aspirations would necessarilybe much more limited. I should like to particularly thankthose members who have remembered the Trust in theirWills. Such gifts allow the Trust to carry out those activitiesoutside of the normal day-to-day operational management,thus placing the Trust in a stronger place shouldunanticipated opportunities or risks arise.

We look forward to the future with enthusiasm and the skillsto meet the challenges ahead.

Carole NicholsonChairman

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Sussex Wildlife Trust Trustees’ Report 31 March 2016

SWT • Trustees’ Report & Annual Accounts 2015-16

OBJECTIVES AND ACTIVITIES

The Trust’s charitable objects, as detailed in its Articles ofAssociation (2014), are:

• To conserve the Sussex land, seascape, its wildlife andhabitats, for the public benefit

• To survey, monitor, record and study, for the benefit ofthe public, sites, areas and habitats of ornithological,entomological, botanical, zoological and geological orother scientific interest or of natural beauty or oflandscape value and to protect them from ill treatment,degradation or destruction and to improve their quality

• To establish, promote, maintain and manage wildlifesanctuaries or nature reserves or marine conservationareas for the conservation of flora and fauna and featuresof geological interest and so far as is compatible with thisobject, permit public access to them

• To encourage the breeding of flora and fauna which areinteresting or threatened

• To promote study and research for the advancement ofknowledge in the natural sciences and biodiversity and topublish the results of that research

• To educate and encourage the public in an understandingof the natural history and wildlife of Sussex

• To promote good practice in furtherance of sustainabledevelopment and biodiversity

With regard to the Charity Commission’s guidance on PublicBenefit the Trustees believe that the provision of suchbenefit is an integral part of each of the Trust’s charitableobjectives.

These objectives have been incorporated into the Trust’smission statement: to conserve and enhance the Sussexlandscape, its wildlife and habitats and to use ourknowledge and expertise to encourage people to enjoy,understand and take action to safeguard our naturalheritage for future generations.

STRATEGIC REPORT

Achievements and performanceThe Sussex Wildlife Trust has set itself five strategic aims todrive the achievement of our objects:

1. To generate the desire for a wildlife-rich environment2. To promote nature conservation through persuasion and

influence3. To deliver nature conservation through the acquisition

and management of nature reserves and by working withlandowners/managers and communities especially intarget areas

4. To act as the centre of reference for information relatingto biodiversity in Sussex

5. To be an efficient and effective organisation that is wellgoverned, well financed and well managed and which hasthe capacity, infrastructure and support necessary todeliver its objectives

Examples of activities carried out and impacts achievedunder each of these strategic aims are as follows:

1. Generating the desire for a healthy, wildlife-richenvironment

• Approximately 300 children and their parents attended10 Nature Tots groups run by part-time staff withvolunteer support. The programmes introduce outdoorlearning and play to pre-school children. Feedback fromparents indicates that children really enjoy their sessionsand show a marked growth in confidence after taking part

• In conjunction with NHS Partnership Foundation Trust,we ran a “Wellbeing in the Wild” pilot programme for 34people with moderate to severe mental health challenges.Activities included practical management, bush-craft,environmental art and guided walks. We received greatpositive individual feedback and a positive impact on theparticipants’ sense of wellbeing was achieved asmeasured using clinical scales

• Our schools education programme reached nearly 9,000children from 190 schools in our three education centres.We delivered curriculum-linked programmes looking athabitats, ecosystems and life cycles in a fun and hands-onway, supporting in-school topic learning

• An example of our community work is the GatwickGreenspace Partnership which delivers habitatmanagement and community engagement work aroundCrawley and Horsham. Three staff members managedsome 5,200 hours of practical volunteering in the year to31st March 2016. We worked with 15 schools and ranover 40 activities and events in the area

Factors that may affect the success of these programmesinclude the cost of travel to events, which can put off somebeneficiaries, and a reliance on external funding which canbe difficult to source. Additionally, the benefit of this workto individuals can also be difficult to measure as behaviouralchanges can take years to manifest. The skill and experienceof our high quality staff, however, enables us to reduce theeffect of some of the challenges facing the Trust.

2. Promoting nature conservation through persuasionand influence

• We initiated a programme of work to establish the ‘Stateof Nature in Sussex’, in collaboration with SussexBiodiversity Record Centre and its network of links with


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Sussex Wildlife Trust Trustees’ Report (continued)

the biological recording community, to provide animproved overview of the status and trends in ourhabitats and species

• We responded to local strategic development plans(Local Plans) across Sussex, offering advice to enhancetheir biodiversity content, and supported development ofNeighbourhood Plans as resources permitted

• We supported the ‘Defend Nature’ campaign, co-ordinated by leading environmental NGOs across theEuropean Union, in response to risks that the EU BirdsDirective and EU Habitats Directive could be weakenedthrough both EU and UK government initiatives to cut redtape. This well-supported campaign resulted in the UKgovernment resolving to support the nature directivesand to promote better implementation

• Our ongoing marine programme is providing data tosupport our continuing campaign for a coherent networkof Marine Conservation Zones (MCZ). Three more MCZswere designated in January 2016 bringing the total inSussex to 6 – but more work is needed to complete themarine ecological network

3. Delivering nature conservation through the acquisitionand management of nature reserves and by workingwith landowners/managers and communities, especiallyin target areas

• Major biological monitoring reviews were carried out onour key nature reserves and these demonstrated the highquality of our habitats management. For example:– At Rye Harbour Nature Reserve the populations of

many ground nesting wetland birds have increased; thebest example being the avocet with over 40 breedingpairs in spring 2015

– The past few years have seen extensive heathlandrestoration work take place at Graffham Common.Nightjars and woodlark returned to the Gallows Pondside of the reserve during the year, one year after thecompletion of the heathland restoration programme.The heather also increased significantly, a very goodresult of the restoration work undertaken

– Populations of the nationally scarce marsh clubmossincreased on Stedham Common during the year, adirect consequence of the on-going grazing of thisnature reserve

– In 2012-13, the lake atWoodsMill Nature Reserve wasdrained and fish, particularly the non-native carp, wereremoved. This allowed water quality to improve andthe lake and its surroundings now provide excellenthabitat for birds, invertebrates and aquatic plants. Forexample, little grebes nested there for the first time in2015, coot and moorhen now nest on the lake andpopulations of dragonflies and damselflies haveincreased

• The first year of vaccinating badgers against bovine TBwas completed at Malling Down Nature Reserve andSoutherham Farm. We are concerned, however, that aglobal shortage of vaccine could set the project back for ayear. We have made good progress, and hope this makessome contribution to the bovine TB problem in the area,and will make strong efforts to ensure that the projectdoes not lose momentum

• Working with RSPB and other partners we led a widerange of landowner engagement and habitat enhance-ment activities in the Arun and Rother catchment area,including creating over 10 hectares of wet meadow. TheMillennium Seed Bank supported this project, taking theseed harvested by volunteers and growing these on forreplanting on the site

• Our Natural Flood Management project is an excellentexample of partnership working with the WoodlandTrust, the Environment Agency and Lewes DistrictCouncil. It has enabled a wide range of measures to beimplemented in the Ouse north of Lewes to deliverbiodiversity improvement along with flood risk reduction

• 2016 saw the adoption of a new grazing strategy involvingthe re-organisation of our existing programme into threehubs. This allows even more effective delivery in our keyreserves as well as offering conservation grazing to otherpartners. As a result, as well as on our own reserves, a Siteof Special Scientific Interest (SSSI) south of Lewes and aHorsham District Council owned site are now grazedunder our management

• We have now concluded the Prince’s Countryside Trustfunded trainee programme but this is being replaced by anexpanded programme of traineeship in partnership withthe Leysdown Conservation Trust

4. Acting as the centre of reference for informationrelating to biodiversity in Sussex

• Demand for ecological data continues to grow. TheBiodiversity Record Centre (SxBRC) now holds about 5.7million records and is supported by 25 funding partners

• We have developed a system of ecosystem servicemapping using “Ecoserv-GIS”. This indicates where thebenefits of nature are best provided and where thedemand for these is highest. This is a new area of worknow being valued by a range of partners, but mostsignificantly by South Downs National Park Authority(SDNPA) which has embedded our outputs into theirlocal planning process

• This is the final year of a joint project with the SDNPA andNatural England (NE) where we coordinated a team ofsurveyors to assess the status of chalk grassland acrossthe South Downs. Over 6,800 hectares were surveyed,and results are about to be published to highlightsignificant concerns regarding the status of this iconicSussex habitat

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A particular challenge for the SxBRC for the immediatefuture is that Natural England has withdrawn its funding oflocal record centres. We joined with centres from aroundthe country to express our concerns to the Natural EnglandChief Scientist. Other partners, however, do remain loyal.

5. Governing, managing and running an efficient andeffective organisation

• The Trust is governed by the Council, or Board of Trusteesconsisting of a maximum of 15 members

• In late 2015, a new HR Committee was set up adding tothe existing advisory committees for Business, PublicEngagement and Conservation

• The Trust is managed by the Chief Executive and ChiefOperating Officer supported by five further seniormanagers and their teams

• A new 3-year internal audit programme commenced inSeptember 2015 focussing on organisational risks andperformance development

• A decision was taken in late 2015, to create a newVolunteer Development Manager role to develop theTrust’s ambition to become a centre of excellence forenvironmental volunteering in Sussex

VolunteersThe level of support provided by volunteers to the Trust isinvaluable; contributing to a wide range of activities, frompractical conservation and wildlife surveying, toadministration, public awareness and environmentaleducation. For example:

• Over 5,000 annual volunteer hours support all elementsof education programmes that we would not otherwisebe able to deliver, such as Nature Tots, school visits andYouth Rangers

• About 21,700 volunteer hours supported nature reservemanagement programmes in the year 2015-16 includinglivestock “lookering”, habitat management and biologicalmonitoring

• The SxBRC helps celebrate the Sussex recordingcommunity each year through its Biological RecordersSeminar, which over 200 volunteer naturalists attendedthis year

Donated ServicesThe Trust was very grateful to receive pro-bono legal adviceduring the year. Due to its minimal nature, a record of timehas not been kept and no value has been reflected within theaccounts or Trustees’ Report. The Trust did not receive anyother donated services during the year (2014/15: £0).

Financial reviewThe financial challenges for charities remain significant.Central and local government operational and financial cutscontinue to have a negative effect on nature conservationactivity. Changes to fundraising regulations as a direct resultof the poor practices of a few high-profile charities havestarted to impact negatively on all charities’ ability tofundraise.With ever increasing demands on our resources, theSussex Wildlife Trust must work hard to maintain financialstability – sometimes at the expense of getting involved in allareas of activity we would ideally like to. That said, the Trust isnow in a stronger financial position having spent the last threeyears improving its financial management and benefitinghugely in 2015/16 from the continued support and generosityof our members’ donations and legacies.

Financial performance highlights:

Total Income £4.64m (2014/15 - £3.46m)• Unrestricted Income £3.28m (2014/15 - £2.57m)

– Donations & Legacies - £2.59m (2014/15 - £1.78m)Legacy income of £1.22m during the year, an increaseof £730k (150%)

– Charitable Activities - £630k (2014/15 - £740k)Reduction in income includes the sale of timber andlivestock (£40k), stewardship income (£25k), incometo support conservation policy work (£20k) and thereduction in income from education activities (£25k)

– Overall much in line with budget with legacy incomebeing the exception

• Restricted Income £1.36m (2014/15 - £890k)– Charitable Activities - £1.22m (2014/15 - £697k)

Increase due to £500k donation from Friends of RyeHarbour Nature Reserve towards a new visitor centre

– Overall much in line with budget

Total Expenditure £3.06m (2014/15 - £3.10m)• Raising Funds £732k (2014/15 - £671k)

An increase in membership service costs and costsassociated with fundraising appeals

• Charitable Activities £2.33m (2014/15 - £2.43m)Slight reduction in unrestricted income reflected inreduced expenditure on land management / naturereserve management activity

• Overall much in line with budget

Membership• Income from membership £1.27m (2014/15 - £1.22m)• Number of members at 31st March 29,775 (2014/15 –

31,200)• Although membership numbers have fallen by approx.

4.6% during the year, the income received per memberhas increased by an average 9%


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Capital Projects• Shortly after the year-end, the Trust completed the

development of a new centre for Land Management atSoutherham, Lewes. The Trust has invested approx.£200k in the development of new offices and facilitiesdemonstrating a commitment to the value of pro-activeland management in support of our conservation aims

• With the support of The Friends of Rye Harbour NatureReserve (FRHNR) the Trust continued to develop aproject to build a new Visitor Centre (VC) at Rye Harbour.The FRHNR have been very generous in their support forthe new VC donating £500k towards the project. It isanticipated the new VC will open in 2019

Retained Funds - £7.25m (2014/15 - £5.66m)• The receipt of £1.2m in legacy income and £500k in

donation towards a new VC at Rye Harbour has boostedcash holdings and retained funds. Approx. £1m of the£1.6m increase in overall retained funds is eitherrestricted or designated funding and therefore notavailable for day-to-day operational use

Designated Funds AllocationDuring the year Trustees undertook a review of the futurerisks that the Trust faces and authorised the designation of£525k out of unrestricted funds towards addressing anumber of key challenges that lay ahead. This includesincreased investment in securing long-term funding (as adirect result of government cuts to environmental budgetsand changes in charity fundraising legislation), investing inorganisational infrastructure development (eg. IT systems)and developing our vision & strategy for wildlife andconservation in Sussex over the next 20 years.

Trustees have taken this opportunity to allocate aconsiderable proportion of the increase in unrestrictedincome received within the year to the longer-term securityof the Trust and its activities.

Details of all the Trust’s income can be found on page 13 ofthe Annual Accounts.

The Trustees feel that the Trust is in a stronger financialposition and that it is progressing well along the path tofinancial sustainability.

Financial Reserves policyThe Trust has a financial reserves policy whereby theunrestricted funds not committed or invested should beequal to at least three months of resources expended. Sincethe financial year-end Trustees have agreed to work towardsincreasing the minimum funds retained from 3 to 4 months.At this level the Trustees feel that they would be able tocontinue the current activities of the Trust in the event of a

significant drop in funding. At the balance sheet dateunrestricted net current assets (excluding Designated Funds)were £1,517k (2015: £1,082k). This is in line with thefinancial reserves policy and reflects an increase of £435kthroughout the past year.

Investment powers and policyUnder the Articles of Association, the charity has the powerto deposit or invest funds. The Investment Policy of theTrust is:

• To invest those surplus funds not required for immediateuse

• To obtain a reasonable income from those funds, givenprevailing market returns

• To invest only as permitted by the investment powers ofthe Trust as set out in the Articles of Association

During the year the Trust has continued to retain themajority of its funds on deposit and the Trustees are of theopinion that this policy has been a prudent one. The Trusteesreview the Investment policy from time to time but given theTrust’s ongoing obligations it has not been felt appropriateto change this approach in the past year.

Plans for the futureThe broad direction of the Trust has remained the samethroughout its 55 year history. For some 20 years the Trusthas been working to a strategy emerging from our ground-breaking document “Vision for the Wildlife of Sussex”. Anincreased emphasis on landscape scale nature conservation,aligned with the national Wildlife Trusts “Living Landscape”concept, means that it is timely to refresh our overallstrategy. In 2015 and 2016, therefore, we conducted a majorreview of our strategic approach.

Throughout the year we organised Trustee workshops, staffconsultations and focus groups culminating in a new visionfor Sussex entitled “Nature and Wellbeing in Sussex”. Thissets a high-level vision for the county as a whole. We wantto see Sussex as a home for nature’s recovery; where wildlifeand people can thrive together and where people haveaccess to the natural world and to the benefits of nature.This will be achieved through:

Living Landscapes / Living Seas - A coherent and resilientecological network to underpin the good ecological statusof Sussex.

Living Lightly - Sustainable development – workingtogether to reduce our ecological footprint. Nature andthe benefits from nature must be central considerationsin all decision making, with commitment, at all levels, torestore nature within a generation.

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Living a Wild Life – Access for all to wildlife and to thebenefits from the natural world – re-establishing the linkbetween people and their Wild Life. The majority ofpeople in Sussex will understand nature, our place withinnature, and taking action for nature.

We have now set out a new SWT strategy to work towardsthis vision. In this, as a leading wildlife organisation, we willwork towards creating a coherent ecological network forSussex and will aim to inspire people about nature and toreconnect people to their natural world. This will be done byworking across the organisation:

Through advocacy: Working alongside otherorganisations and individuals to act as a voice for natureto encourage nature-positive change at a political,organisational, societal and individual level

By direct impact: Delivering nature-positive change inprojects (such as education) and in areas (such as naturereserves) over which we have direct control

By facilitating change: Working alongside others (such aslandowners), forming projects (such as in education andcommunity work) and forging partnerships to enablenature-positive change on land and at sea

Supported by information and evidence: Gaininginformation, building knowledge and amassing evidenceto support the care of nature and the building of naturalcapital

A key lesson of the past, however, is to be more effectivethrough focussing our resources. Our strategy from 2016onwards will therefore be to focus our resources on specificareas within a coherent ecological network where we candeliver best for nature, best for access to nature and best fornature’s benefits. This will be expressed at three levels:

1. Sussex-wide – Where we deliver Sussex-wide natureconservation activity

2. Living Landscape areas – Where we work across largeareas of land or sea to make a significant contribution tothe Sussex ecological network

3. Target areas – Where we integrate all our activities into aspecific focussed area

Greater clarity about our own vision will set the scene forinteraction with, for example, decision-makers, the LocalNature Partnership, Local Enterprise Partnerships, the SouthDowns National Park, Local Authorities, the Health andWell-being sector, other Environmental NGOs, the mediaand with the general public as a whole – and of course,importantly, our own membership.

A practical repercussion of this will be a re-invigoration ofcurrent large-scale projects, such as the West WealdLandscape Project, the Sussex Wetland Landscapes Project,Gatwick Greenspace Project and Wild About Worthing,driving a greater appreciation of how investment in nature isthe best and most cost-effective way of delivering benefitsto people.

Principle risks and uncertainties

Risk managementThe Trustees have a risk management strategy in placewhich comprises:

• An annual review with ongoing monitoring of the risks thecharity may face. Such risks include financial, reputationaland compliance and regulatory risks. Examples of suchrisks are:1. Strategic: conservation as a reduced priority (for

government and funding partners); organisationalsustainability

2. Financial: poor investment returns; insufficientfinancial reserves; a reduction in membership numbersand legacy income; failure of funding partners

3. Reputational: criticism of Trust management; adversepress comment; lack of business probity; poor animalwelfare

4. Regulatory: failure to meet legislative and expectedstandards from the Health and Safety Executive,Charities’ Act 2011, Companies’ Act 2006, The CharityCommission, HM Revenue and Customs, the PlanningAuthorities, the Environment Agency, the DataProtection Act and employment legislation

5. Personnel: poor recruitment; failure to manage staffhealth and wellbeing; failure to develop staff

6. Operational: lack of conservation agenda; poor projectmanagement; failure to provide adequate resources;failure to engage with the public

• The establishment of systems and procedures to mitigateagainst those risks identified in the review

• The implementation of procedures designed to preventany potential impact on the charity should those risksmaterialise

Trustees and Management draw on the support of fourAdvisory Committees (Conservation, Public Engagement,Business and HR). Advisory Committees meet a minimum offour times per year and regularly review and monitor therisks of the Trust. During the year the Trust entered into a3-year contract with Greater London Enterprises (GLE) todeliver Internal Audit Services. GLE will be working withManagement to identify and manage organisational risks.


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Structure, Governance and Management

Governing documentThe SussexWildlife Trust is a company limited by guaranteeunder the Companies Act and is governed by its Articles ofAssociation adopted on 11th October 2014.

OrganisationThe Sussex Wildlife Trust is governed by the Council ofTrustees which is responsible for setting policies andensuring legality and good practice in accordance with theArticles of Association of the Trust and the Companies Act2006. The Chairman and Honorary Officers oversee theimplementation of Council’s policies and plans, andauthorise action on significant operational issues. Theroutine management of the Trust is undertaken by the ChiefExecutive under delegated powers.

Recruitment and appointment of TrusteesIn accordance with the Articles of Association, Trustees areelected by the Membership at the Annual General Meeting.At each AGM one third of the Directors must retire byrotation, with those who have been longest in office sincetheir last appointment retiring first. Directors can offerthemselves for re-election but no Director, other than thePresident, shall serve for a period of more than nineconsecutive years. On the expiration of such period and theretirement of the relevant director, a further year must lapsebefore that person shall be eligible for re-election to theCouncil. Nominations for new Trustees are considered eachyear prior to the Annual General Meeting (AGM) and are putforward for election at the AGM. When considering co-opting Trustees, the Trust’s Board of Directors (the Council)has regard to the requirement for any specialist skills needed.

Trustee induction and trainingNew Trustees undergo an induction programme. Duringthis they meet departmental heads and other employeesand also gain an understanding of their legal obligationswith regard to charity and company law, the Articles ofAssociation and the structure of the committee system.They are advised of appropriate Trustee training coursesand are encouraged to attend. A number of Trustees go outto visit our Nature Reserves as part of their inductionprogramme and find it extremely informative.

Remuneration of Senior Management TeamTrustees delegate the management of the Trust to the ChiefExecutive Officer (CEO). The CEO heads a SeniorManagement Team that includes a Chief Operating Officerand five further department leads. These are considered tobe the key management personnel of the Trust.Remuneration for the SMT is reviewed annually and includesa benchmark review of all 47 Wildlife Trusts and where

available other similar sized charities operating in the SouthEast managing similar levels of operational complexity.

The Wildlife Trusts PartnershipThe charity is a member of The Wildlife Trusts Partnership(registered as the Royal Society of Wildlife Trusts,registered charity number 207238) which acts as anumbrella body carrying out lobbying and public relations onbehalf of all Wildlife Trusts. The charity has the use of TheWildlife Trusts logo and benefits from the resources, bestpractice and speciality experience of other member Trusts.Membership gives the Trust a national voice and profile, aswell as being known by association for those unfamiliar withits particular work. However, each member of thepartnership remains entirely independent in terms ofgovernance and operations.

Trustees’ responsibilities in relation to the financialstatementsThe Trustees (who are also directors of SussexWildlife TrustLimited for the purposes of company law) are responsible forpreparing the Trustees’ Report and the financial statementsin accordance with the Charities Act 2011, the CompaniesAct 2006, the Memorandum and Articles of Association, andAccounting and Reporting by Charities: Statement ofRecommended Practice (SORP) applicable to charitiespreparing their accounts in accordance with the FinancialReporting Standard applicable to the UK and Republic ofIreland (FRS 102) (effective 1st January 2015).

Company law requires the Trustees to prepare financialstatements for each financial year which give a true and fairview of the state of affairs of the charitable company and ofthe incoming resources and application of resources,including the income and expenditure, of the charitablecompany for that period. In preparing these financialstatements, the Trustees are required to:

• Select suitable accounting policies and apply themconsistently

• Observe the methods and principles in the CharitiesSORP

• Make judgements and estimates that are reasonable andprudent

• State whether applicable UK Accounting Standards havebeen followed, subject to any material departuresdisclosed and explained in the financial statements

• Prepare the financial statements on the going concernbasis unless it is inappropriate to presume that thecharitable company will continue in business

The Trustees are responsible for keeping proper accountingrecords that disclose, with reasonable accuracy, at any timethe financial position of the charitable company and enable

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them to ensure that the financial statements comply withthe Companies Act 2006. They are also responsible forsafeguarding the assets of the charitable company andhence for taking reasonable steps for the prevention anddetection of fraud and other irregularities.

In so far as the Trustees are aware:

• There is no relevant audit information of which thecharitable company’s auditor is unaware; and

• The Trustees have taken all steps that they ought to havetaken to make themselves aware of any relevant auditinformation and to establish that the auditor is aware ofthat information

The Trustees are responsible for the maintenance andintegrity of the corporate and financial information includedon the charitable company’s website. Legislation in theUnited Kingdom governing the preparation anddissemination of financial statements may differ fromlegislation in other jurisdictions.

AuditorA resolution to reappoint RSM UK AUDIT LLP (formerlyBaker Tilly UK Audit LLP) as auditors to the charitablecompany will be proposed at the Annual General Meeting.

On behalf of the Trustees

Carole NicholsonChairmanWoods MillHenfieldWest SussexBN5 9SD


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Charity number: 207005

Company number: 698851

Registered and Principal Office:Woods Mill,Henfield,West Sussex,BN5 9SD

Auditor:RSM UK AUDIT LLP,Portland,25 High Street,Crawley,West Sussex,RH10 1BG

Directors and Trustees:The Directors of the charitable company (the Charity) are itsTrustees for the purposes of charity law and throughoutthis report are collectively referred to as the Trustees.

The elected Trustees serving during the year and sincethe year end were as follows:

Mr David Streeter MBEPresident

Mrs Carole NicholsonChairman of Council (from 4th November 2015) HonoraryTreasurer and Chairman of Business Committee (to 4thNovember 2015)

Mr Phil Belden

Ms Linda ClarkHonorary Treasurer (Co-opted from 17th February 2016) andChairman of Business Committee (from 18th May 2016)

Mr David GreenActing Honorary Treasurer (from 4th November 2015 to17th February 2016) and Chairman of Business Committee(from 4th November 2015 to 18th May 2016)

Mrs Claire Kerr(Co-opted from 17th February 2016)

Mr Mike King

Ms Lynnette LeesonVice Chairman of Council and Chairman of ConservationCommittee (retired 24th October 2015)

Mr Simon Linington

Mrs Rhonda MartinChairman of HR Committee (Co-opted from 29th July 2015)

Ms Emma MontlakeChairman of Public Engagement Committee

Dr John Parry

Mr Crispin Scott

Dr Alan StewartChairman of Conservation Committee (from 4th November2015)

Mrs Susan WaltonHonorary Secretary

Mr Chris WarneChairman of Council (to 4th November 2015)

Dr Rendel Williams(retired 24th October 2015)

Vice Presidents

Mr Robin Crane CBE

Dr Lisbet Rausing

Senior Management

The Chief Executive Officer serving during the year wasDr Tony Whitbread.

The Chief Operating Officer serving during the year wasMr Elvin Bourne.

Strategy Leads

Mr Mark BarkawayFundraising and Communications

Ms Henri BrocklebankSussex Biodiversity Records Centre / Living Landscapes

Mr Pete CrawfordCommunity Wildlife

Mr Ian HepburnConservation Policy

Mr James PowerLand Management

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Reference and Administrative Details


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Independent Auditor’s Report to the Members of Sussex Wildlife Trust

We have audited the financial statements of SussexWildlifeTrust for the year ended 31 March 2016 on pages 13 to 30.The financial reporting framework that has been applied intheir preparation is applicable law and FRS 102 “TheFinancial Reporting Standard applicable in the UK andRepublic of Ireland”.

This report is made solely to the charitable company’smembers, as a body, in accordance with Chapter 3 of Part16 of the Companies Act 2006. Our audit work has beenundertaken so that we might state to the charitablecompany’s members those matters we are required to stateto them in an auditor’s report and for no other purpose. Tothe fullest extent permitted by law, we do not accept orassume responsibility to anyone other than the charitablecompany and the charitable company’s members as a body,for our audit work, for this report, or for the opinions wehave formed.

Respective responsibilities of Trustees and Auditor

As explained more fully in the Statement of Trustees’responsibilities set out on pages 9 and 10, the Trustees(who are also the directors of the charitable company forthe purposes of company law) are responsible for thepreparation of the financial statements and for beingsatisfied that they give a true and fair view.

Our responsibility is to audit and express an opinion on thefinancial statements in accordance with applicable law andInternational Standards on Auditing (UK and Ireland). Thosestandards require us to comply with the Auditing PracticesBoard’s (APB’s) Ethical Standards for Auditors.

Scope of the audit of the financial statements

A description of the scope of an audit of financial statementsis provided on the Financial Reporting Council’s website athttp://www.frc.org.uk/auditscopeukprivate

Opinion on financial statements

In our opinion the financial statements:

• give a true and fair view of the state of the charitablecompany’s affairs as at 31st March 2016 and of its incom-ing resources and application of resources, including itsincome and expenditure, for the year then ended;

• have been properly prepared in accordance with UnitedKingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the CompaniesAct 2006.

Opinion on other matter prescribed by the Companies Act2006

In our opinion the information given in the Trustees’ Reportand the incorporated Strategic Report for the financial yearfor which the financial statements are prepared is consistentwith the financial statements.

Matters on which we are required to report by exception

We have nothing to report in respect of the followingmatters where the Companies Act 2006 requires us toreport to you if, in our opinion:

• the charitable company has not kept adequate accountingrecords, or returns adequate for our audit have not beenreceived from branches not visited by us; or

• the financial statements are not in agreement with theaccounting records and returns; or

• certain disclosures of trustees’ remuneration specified bylaw are not made; or

• we have not received all the information and explanationswe require for our audit.

Keith LickorishSenior Statutory Auditor

For and on behalf ofRSM UK AUDIT LLP (formerly Baker Tilly UK Audit LLP),Statutory AuditorChartered AccountantsPortland25 High StreetCrawleyWest SussexRH10 1BG

Unrestricted Restricted Designated Total Funds Total FundsFunds Funds Funds 2016 2015

Income and endowments from: Notes £ £ £ £ £

Donations and legacies 2 2,593,199 138,097 - 2,731,296 1,976,393

Other trading activities 3 48,021 4,230 - 52,251 38,546

Investments 4 4,459 50 - 4,509 4,502

Charitable activities 5 629,750 1,221,715 - 1,851,465 1,437,304

Other 4 4,297 - - 4,297 5,823

Total Income and endowments 3,279,726 1,364,092 - 4,643,818 3,462,568

Expenditure on:Raising funds 7 726,732 5,066 - 731,798 671,398

Charitable activities 8 1,510,822 815,316 - 2,326,138 2,430,870

Total Expenditure 2,237,554 820,382 - 3,057,936 3,102,268

Net income 1,042,172 543,710 - 1,585,882 360,300

Transfers between funds 18 (525,000) - 525,000 - -

Net movement in funds 517,172 543,710 525,000 1,585,882 360,300

Reconciliation of Funds

Balances brought forward at 1st April 2015 2,579,795 3,082,149 - 5,661,944 5,301,644

Balances carried forward at 31st March 2016 3,096,967 3,625,859 525,000 7,247,826 5,661,944

All activities of the Trust are classified as continuing.

The notes on pages 16 to 30 form part of these financial statements

13

Statement of Financial Activities (including Income and Expenditure Account) for the Year ended 31 March 2016

Company Number: 0698851


14

Balance Sheet at 31 March 2016

Company Number: 0698851

Note 2016 2015

£ £

Fixed Assets

Tangible Assets 14 662,637 579,762

Heritage Assets 14 3,241,745 3,241,745

Investments 15 100 100

Total Fixed Assets 3,904,482 3,821,607

Current Assets

Stocks 5,303 958

Debtors 16 504,147 391,520

Cash at bank and in hand 3,239,255 1,898,850

Total Current Assets 3,748,705 2,291,328

Liabilities

Creditors: amounts falling due within one year 17 405,361 450,991

Net Current Assets 3,343,344 1,840,337

Total Net Assets 7,247,826 5,661,944

Funds

Unrestricted 3,096,967 2,579,795

Restricted 3,625,859 3,082,149

Designated 525,000 -

Total Funds 18 7,247,826 5,661,944

The financial statements were approved by the Council of Trustees and authorised for issue on 3rd August 2016 and signed on their behalf by :

Mrs. C. J. Nicholson Ms L. ClarkChairman Honorary Treasurer


15

Cashflow Statement Year ended 31st March 2016

Note 2016 2015£ £

Net cash inflow from operating activities

Operating Activities a) 1,479,335 555,010

Cash flows from investing activities

Dividends, interest and rents from investments 4,509 4,502

Purchase of property, plant & equipment -143,439 -222,252

Net (deficit) / cash provided by investing activities -138,930 -217,750

Change in cash and cash equivalents in the reporting period b) 1,340,405 337,260

Notes to the cashflow statement

a) Reconciliation of net incoming resources to net cash flow from operating activities 2016 2015

£ £

Net income for the reporting period 1,585,882 360,300

Dividends, interest and rents from investments -4,509 -4,502

Depreciation 60,564 58,849

Loss on sale of fixed assets - 6,297

Increase in stock -4,345 1,032

Increase in trade & other debtors -112,627 96,941

Decrease in trade & other creditors -45,630 36,093

Net cash provided by operating activities 1,479,335 555,010

b) Analysis of changes in cash and cash equivalents

Balance at 1st April 2015 1,898,850 1,561,590

Net Cash inflow in year 1,340,405 337,260

Balance at 31st March 2016 3,239,255 1,898,850


1. ACCOUNTING POLICIES

The principal accounting policies adopted, judgements andkey sources of estimation uncertainty in the preparation ofthe financial statements are as follows:

a) Accounting ConventionThe financial statements have been prepared inaccordance with Accounting and Reporting by Charities:Statement of Recommended Practice applicable tocharities preparing their accounts in accordance with theFinancial Reporting Standard applicable in the UK andRepublic of Ireland (FRS 102) (effective 1 January 2015)– (Charities SORP (FRS 102)), the Financial ReportingStandard applicable in the UK and Republic of Ireland(FRS 102) and the Companies Act 2006.

The trust is a company limited by guarantee and has noshare capital. In the event of the charity being wound up,the liability in respect of the guarantee is limited to £1per member of the charity.

Sussex Wildlife Trust meets the definition of a publicbenefit entity under FRS 102. Assets and liabilities areinitially recognised at historical cost or transaction valueunless otherwise stated in the relevant accounting policynotes.

b) Reconciliation with previous Generally AcceptedAccounting PracticeIn preparing the accounts, the Trustees have consideredwhether, in applying the accounting policies requiredby FRS 102 and the Charities SORP FRS 102, therestatement of comparative items was required. Norestatements were required.

c) Preparation of the accounts on a going concern basisAs at 31st March 2016 the SussexWildlife Trust has over£7m in Total Net Assets including over £3m Cash atBank of which over £1m is restricted funding for futureyears project activity. On this basis the Trusteesconsider the charity as a going concern.

d) Incoming resourcesIncome is recognised in the period in which the charity isentitled to receive it, and that the receipt of said incomeis measurable, and probable. Income is deferred onlywhen the charity has to fulfil conditions before becomingentitled to it or where the donor has specified that theincome is to be expended in a future period.

Grants from local authorities and other agencies havebeen included as income from activities in furtherance ofthe charity’s objects where these amount to a contractfor services, but as donations where the money is given inresponse to an appeal or with greater freedom of use.

Receipt of a legacy, in whole or in part, is only consideredprobable when the amount can be measured reliably andthe charity has been notified of the executor’s intentionto make a distribution. Where legacies have been notifiedto the charity, or the charity is aware of the granting ofprobate, and the criteria for income recognition have notbeen met, then the legacy is treated as a contingent assetand disclosed if material (see Note 20).

Subscriptions are dealt with on a cash receipts basis.Subscriptions of life members are included as a liabilityon the Balance Sheet in accordance with the SORP. Onetwentieth of this is transferred to income each year.

Corporate Support includes annual subscriptions,sponsorship and donations received, while advertisingrevenue is generated through the Trust’s Wildlifemagazine produced twice each year.

Investment income is recognised on a receivable basiswhere the amount can be measured reliably.

The value of services provided by volunteers is notincorporated into these financial statements. Whereservices are provided to the charity as a donation thatwould normally be purchased from suppliers thiscontribution is included in the financial statements at anestimate based on the annual contribution to the charity.

e) Resources expendedExpenditure is recognised in the period when the charityis obliged to pay it, and the payment of said expenditureis measurable, and probable. Where payments are inrespect of a future period they are categorised as such.

• Raising funds includes expenditure on therecruitment of new members, the employee costs ofthe marketing and membership departments, thepublication and delivery of the Trust’s magazine threetimes per year, the costs of the annual appeal and theadministration costs of the membership departmenttogether with publicity costs and legacy development

• Charitable activities include expenditure associatedwith the main objects of the charity – these arewildlife conservation, public awareness, themanagement of nature reserves and the collation ofwildlife information


16

Notes to the Accounts 31st March 2016

17

• Support Costs represent the cost of staff and overheadsincurred in providing centralised services for the charityat its offices at Woods Mill and include the finance,human resources, office services departments andbuildings maintenance. Support costs are allocated todepartments on the basis of staff numbers

f) Donated services and volunteersDonated professional services and donated facilities arerecognised as income when the charity has control overthe item, any conditions associated with the donated itemhave been met, the receipt of economic benefit from theuse by the charity of the item is probable and thateconomic benefit can be measured reliably. In accordancewith the Charities SORP (FRS 102), general volunteer timeis not recognised; refer to the trustees’ annual report formore information about their contribution.

g) Tangible fixed assetsThe Trust’s interests in tangible fixed assets other thanland designated as nature reserves are stated at cost withan allowance for depreciation as stated below. Individualfixed assets costing £500 or more are capitalised at cost.

h) Heritage assetsThe Trust’s interests in land designated as naturereserves are stated at cost; these have been classified asheritage assets and are held by the Trust in pursuit of itsconservation objectives. Valuations are made byprofessional valuers – the Valuation Office Agency – andany gifts of land will be treated as heritage assets and willbe included at valuation. No depreciation is charged onnature reserves.

i) InvestmentsThe Trust had no Equity investments during the yearother than its investment in its subsidiary companySussex Wildlife Enterprises Ltd.

j) DepreciationTangible fixed assets are depreciated on a straight linebasis over their estimated useful lives as follows:

Land NilBuildings, car park & services 2-10%Temporary structures, fencing, etc 20%Motor vehicles 20%Furniture, fixtures and equipment 20%Computer software 33%Bird Hides 10%Assets under construction Nil

k) StockStocks are valued at the lower of cost and net realisablevalue.

l) Funds AccountingUnrestricted funds are available to spend on activitiesthat further any of the purposes of the charity.Designated funds are unrestricted funds of the charitywhich the trustees have decided at their discretion to setaside to use for a specific purpose. Restricted funds aredonations which the donor has specified are to be solelyused for particular areas of the Charity’s work. The fundsheld in each of these categories are disclosed in Note 18.

m) Pension schemesThe employees of the Trust are eligible to join either theWildlife Trusts’ Pension Scheme or a Group StakeholderPension Scheme. The latter is insured with Standard Lifeand on joining employees will contract directly with theinsurance company. Both are defined contributionschemes. Whichever scheme employees join theircontributions will be enhanced by a contribution fromthe Trust which is at least twice the employeecontribution. The Wildlife Trusts scheme is managed byindependent Trustees and administered by CapitaHartshead. The assets of the scheme are held separatelyfrom those of the Wildlife Trusts in an independentlyadministered fund. Contributions are charged to theSOFA as they become payable in accordance with thescheme rules.

TheWildlife Trust category 5 Scheme is a multi-employerdefined benefit scheme administered for the benefit ofWildlife Trusts and is managed in accordance with thePension Act 2004 Regulations.

The Trustees are unable to confirm the charity’s share ofthe underlying assets and liabilities of the Wildlife TrustPension Scheme and therefore the Scheme is accountedfor as a defined contribution scheme. As a result, theamount charged to the Statement of Financial Activitiesrepresents the contributions payable to the scheme inrespect of the accounting period. A liability is recognisedby SWT, where material, for the charity’s share of thedeficit of the scheme as per the agreed schedule ofcontributions.

n) Operating leasesIn categorising leases as finance leases or operatingleases, management makes judgements as to whethersignificant risks and rewards of ownership havetransferred to the Company as lessee, or the lessee,where the Company is a lessor.

Rentals are paid under operating leases for use of thePump Barn at Seven Sisters Country Park, the use of fourmotor vehicles and for photocopying equipment at theTrust’s offices at Woods Mill. All are charged toexpenditure as incurred. The title to the buildings and theequipment remains with the lessor.

Rental charges are charged on a straight line basis overthe life of the lease.

o) Non-recoverable VATWhere possible non-recoverable VAT is charged againstthe category of resource expended for which it wasincurred. Otherwise it is charged to support costs.

p) ConsolidationThe financial statements present information about thecompany as an individual undertaking and not about itsgroup. In the opinion of the directors, the subsidiaryundertaking is not material to the group as a whole andtherefore the company has not prepared group accounts.

q) Cash at bankCash at bank includes cash and short term highly liquidinvestments with short maturity of three months or less.

r) Financial InstrumentsThe trust only has financial assets and financial liabilitiesof a kind that qualify as basic financial instruments. Basicfinancial instruments are initially recognised attransaction value and subsequently measured at theirsettlement value with the exception of bank loans whichare subsequently measured at amortised cost using theeffective interest method.

s) DebtorsTrade and other debtors are recognised at the settlementamount due after any trade discount offered.Prepayments are valued at the amount prepaid net of anytrade discounts due.

A provision for impairment of trade debtors isestablished when there is evidence that the amounts duewill not be collected according to the original terms of thecontract. Impairment losses are recognised in the SOFA.

t) Creditors and provisionsCreditors and provisions are recognised where thecharity has a present obligation resulting from a pastevent that will probably result in the transfer of funds toa third party and the amount due to settle the obligationcan be measured or estimated reliably. Creditors andprovisions are normally recognised at their settlementamount after allowing for any trade discounts due.

u) TaxationThe Charity is exempt from tax on income and gainsfalling within section 471 to 489 of the Corporation TaxAct 2010 or Section 256 of the Taxation of ChargeableGains Act 1992 and is exempt from corporation tax to theextent that they are applied to its charitable objects.

v) Critical accounting estimates and areas of judgementEstimates and judgements are continually evaluated andare based on historical experience and other factors,including expectations of future events that are believedto be reasonable under the circumstances.

The Charity makes estimates and assumptionsconcerning the future. The resulting accountingestimates and assumptions will, by definition, seldomequal the related actual results. The estimates andassumptions that have a significant risk of causing amaterial adjustment to the carrying amounts of assetsand liabilities within the next financial year are discussedbelow.

No material estimates or judgements have been applied.


18

Notes to the Accounts continued

Income and endownments from:

Unrestricted Restricted Designated 2016 2015Funds Funds Funds TOTAL TOTAL

2 Donations and legacies £ £ £ £ £

Income from members 1,273,834 - - 1,273,834 1,215,169Donations from Charitable Trusts 30,519 79,776 - 110,295 146,832Other donations 61,919 - - 61,919 81,749Legacies 1,217,612 - - 1,217,612 487,323Public appeals 9,315 58,321 - 67,636 45,320

2,593,199 138,097 - 2,731,296 1,976,393

3 Other trading activities

Corporate support 32,977 - - 32,977 30,483Advertising revenue 2,582 - - 2,582 3,200Other fundraising income 12,462 4,230 - 16,692 4,863

48,021 4,230 - 52,251 38,546

4 Investments

Deposit interest 4,459 50 - 4,509 4,502

4,459 50 - 4,509 4,502

OtherOther Income 4,297 - - 4,297 5,823

4,297 - - 4,297 5,823

5 Charitable activities

Wildlife conservation & influencing decision makersProject grants & income 45,627 153,692 - 199,319 180,328Other income 3,691 - - 3,691 -

49,318 153,692 - 203,010 180,328

People and wildlifeGrants & income 4,530 126,941 - 131,471 88,913Schools income 170,103 - - 170,103 195,112Events and courses 50,803 - - 50,803 52,851Other income 2,570 25 - 2,595 3,210

228,006 126,966 - 354,972 340,086

Nature reserves managementRents, grazing income meat & timber sales 21,431 - - 21,431 62,120Land management grants & Stewardship income 330,995 155,618 - 486,613 581,381Other income - 558,025 - 558,025 46,964

352,426 713,643 - 1,066,069 690,465

19

5 Charitable activities continued Unrestricted Restricted Designated 2016 2015Funds Funds Funds TOTAL TOTAL

Collating data on wildlife £ £ £ £ £

Contract funding - 227,414 - 227,414 226,425

- 227,414 - 227,414 226,425

Total income from charitable activities 629,750 1,221,715 - 1,851,465 1,437,304

Total income 3,279,726 1,364,092 - 4,643,818 3,462,568

Last year’s total income of £3,462,568 was made up of £2,572,500 unrestricted and £890,068 restricted, split between the following:

Unrestricted Restricted Designated

Donations & Legacies £1,783,334 £193,059 -Other Trading Activities £38,546 - -Investments £4,502 - -Charitable Activities £740,295 £697,009 -Other £5,823 - -

6 Government Grants

The Sussex Wildlife Trust has benefited from a number of government grants and financial contributions during the year that support ourconservation activity. The funding received incorporates levels of conditional service supports the management of our nature reserves.During the year this amounted to:

2016 2015

Single Farm Payment £102,000 £118,896HLS grant income £234,372 £267,527

As far as the Trust is aware there are no unfulfilled conditions and other contingencies attached to grants that have been recognised in income.


20


Expenditure on:Unrestricted Restricted Designated 2016 2015

Funds Funds Funds TOTAL TOTAL7 Raising funds £ £ £ £ £

Staff costs 356,175 - - 356,175 368,847Membership promotion 117,986 - - 117,986 53,647Magazine publication & delivery 51,758 - - 51,758 75,980Legacies 3,035 - - 3,035 2,663Public appeal 34,460 950 - 35,410 9,979Membership administration & publicity 15,426 - - 15,426 14,617Interpretation & website development 14,338 - - 14,338 22,078Other fundraising costs 34,260 1,662 - 35,922 22,157Depreciation 4,803 - - 4,803 5,034Gateway to Nature - - - - 3,336Allocated support costs 94,491 2,454 - 96,945 93,060

726,732 5,066 - 731,798 671,398

8 Charitable activities

Wildlife conservationStaff costs 207,707 51,615 - 259,322 269,317Travel 3,234 1,682 - 4,916 6,035Conservation work 22,264 50,292 - 72,556 91,859Other 1,926 296 - 2,222 3,795Depreciation 132 - - 132 1,154Allocated support costs 61,878 - - 61,878 58,446

297,141 103,885 - 401,026 430,606

Working with peopleStaff costs 309,719 169,183 - 478,902 475,656Travel & vehicle expenses 10,105 3,601 - 13,706 12,703Interpretation, education & other costs 8,628 - - 8,628 21,997Project overheads 23,055 16,654 - 39,709 43,631Publicity & events 1,276 22 - 1,298 813Depreciation 1,317 - - 1,317 4,390Equipment & resources 9,569 212 - 9,781 14,794Allocated support costs 190,054 - - 190,054 179,514

553,723 189,672 - 743,395 753,498

Nature reserves managementStaff costs 239,433 204,967 - 444,400 424,276Travel & volunteers’ expenses 3,075 1,637 - 4,712 5,274Tools & equipment 31,828 - - 31,828 33,889Land management 132,000 61,848 - 193,848 258,140Legal & professional fees 17,656 4,125 - 21,781 25,040Other 5,377 - - 5,377 9,479Depreciation 6,282 27,523 - 33,805 28,827Vehicle costs 34,253 5,062 - 39,315 51,811Allocated support costs 123,756 - - 123,756 116,893

593,660 305,162 - 898,822 953,629

21

8 Charitable activities continued Unrestricted Restricted Designated 2016 2015Funds Funds Funds TOTAL TOTAL

Collating information on wildlife £ £ £ £ £

Staff costs - 157,077 - 157,077 161,576Depreciation - 1,674 - 1,674 1,727Data recording - 44,052 - 44,052 55,945Computer support - 3,055 - 3,055 2,960Administration - 176 - 176 696Other costs - 6,919 - 6,919 4,165Travel & volunteers’ expenses - 2,189 - 2,189 2,330Annual Conference - 1,455 - 1,455 1,117Allocated support costs 66,298 - - 66,298 62,621

66,298 216,597 - 282,895 293,137

Total expenditure on charitable activities 1,510,822 815,316 - 2,326,138 2,430,870

TOTAL EXPENDITURE 2,237,554 820,382 - 3,057,936 3,102,268

Last year’s total expenditure was made up of £2,296,254 unrestricted and £806,014 restricted, split between the following:

Unrestricted Restricted Designated£ £ £

Raising Funds 668,062 3,336 -Charitable Activities 1,628,192 802,678 -

Trustees’ Liability InsuranceThe Charity pays an annual insurance premium to:a) protect the charity from loss arising from the defaults of its Trustees, employees or agentsb) indemnify the Trustees or other officers against the consequences of any act or default on their part

9 Allocation of support costs

The Trust allocates its support costs as shown in the table below and then further apportions those costs between the four charitableactivities undertaken.

Support costs are allocated on the basis of staff numbers per department and where appropriate a percentage of time worked.

Charitable RaisingActivities Funds Total

£ £ £

Management & central overheads 171,561 40,242 211,803Finance department 69,100 18,663 87,763Information technology 41,582 9,754 51,336Human resources 37,464 8,788 46,252General administration 28,126 6,598 34,724Health & Safety/Buildings Maintenance 54,996 12,900 67,896Governance 39,157 - 39,157

441,986 96,945 538,931


22


10 Analysis of support costs by charitable activity

Working Nature CollatingWildlife With Reserves Wildlife

Conservation People Management Information Total£ £ £ £ £

Management & central overheads 24,019 73,771 48,037 25,734 171,561Finance department 9,674 29,713 19,348 10,365 69,100Information technology 5,821 17,881 11,643 6,237 41,582Human resources 5,245 16,109 10,490 5,620 37,464General administration 3,938 12,094 7,875 4,219 28,126Health & Safety/Buildings Maintenance 7,699 23,649 15,399 8,249 54,996Governance 5,482 16,837 10,964 5,874 39,157

61,878 190,054 123,756 66,298 441,986

11 Staff Costs

2016 2015Analysis of staff costs: £ £

Salaries and wages 1,668,477 1,725,676Social security costs 149,029 148,730Pension costs 101,650 96,384

1,919,156 1,970,790

No employee earned £60,000 p.a. or more. Key management personnel are considered to be: the Trustees, the Chief Executive, the ChiefOperating Officer and the five further members that make up the Senior Management Team. In total they received £335,773 (2015 -£316,184) in employee benefits, including pension contributions. Employers NI paid £35,385 (2015 - £33,441).

Staff numbersThe average number of full time employees was 61 (2015 : 66) including part-time staff.

2016 2015

Management 7 7Other 54 59

Other costs:During the year travel expenses and training costs of £695 (2015: £652) were reimbursed to 2 Trustees (2015: 3 Trustees). Subsistenceexpenses of £NIL were reimbursed (2015 £NIL).

The Trustees have not received any remuneration in the year (2015: £NIL).

12 Pension costs

The Sussex Wildlife Trust, together with other wildlife trusts, participates in The Wildlife Trusts’ Pension Scheme. This is administered byCapita Hartshead and the scheme is divided into three categories:

1) Category 1 - Life assurance only2) Category 3 - Defined contribution scheme3) Category 5 - Defined benefit scheme

Categories 1 and 3 are available to all staff, whilst Category 5 closed to new members on 31st March, 2005.

None of the current employees of the Sussex Wildlife Trust are members of the Defined Benefit Scheme. This scheme is a multi-employerscheme and the Trust is unable to identify its share of the assets and liabilities of the scheme. Contributions to the scheme are thereforetreated as if it were a defined contribution scheme.

23

12 Pension costs continued

As a result of a triennial valuation of the assets of the Defined Benefits Scheme in April 2013 the scheme actuary agreed a past service shortfallof £7,752,000. In April 2015 the acturial assesment shortfall has been valued at a deficit to £6,000,000 (£5,000,000 2014). The total shortfallattributable to the Trust has not been reflected in these financial statements.

Sussex Wildlife Trust has been advised by the Pension Scheme Trustees that its share of this shortfall would amount to £3,022 per year exclusiveof expenses from 1st August 2015.

Once again this level of contribution will be subject to future triennial reviews. The next review is due in April 2016 and information from thatreview had not been received prior to the preparation of these accounts. In addition the Trust continues to pay contributions in respect ofcategory 1 and 3 members of the Scheme.

The liability for the defined benefit scheme is calculated at the net total of the present value, at the reporting date, of our obligation to the scheme,(as per the actuarial valuation) and the fair value, at the reporting date, of any plan assets out of which the obligation is to be settled directly.

Due to the inability to identify The Trust’s exact share of assets and liabilities of the Defined Benefit Scheme, and its immateriality (calculated atapprox £20K at 31st March 2016), that liability has not been included in this set of financial accounts.

Pension contributionsThe pension charge shown in the accounts is the amount payable by the Trust during the financial year. It is analysed as follows:

2016 2015£ £

Category 1 - Life assurance only 539 -Category 3 - Defined Contribution scheme 50,031 43,017Category 5 - Defined Benefit Scheme 2,988 2,550

Total contributions to The Wildlife Trusts’ Pension Scheme 53,558 45,567Category 1 - Life assurance only (Standard Life) 2,571 2852Standard Life Stakeholder Pension Scheme 45,521 47,965

101,650 96,384

Pension contribution liabilities:The following pension contributions were payable at the year-end and are included within creditors:

2016 2015£ £

The Wildlife Trusts’ Pension Scheme 6,770 6,064Standard Life Stakeholder Pension Scheme 5,632 5,667

12,402 11,731

13 Net income / (expenditure) for the year

This is stated after charging: 2016 2015£ £

Operating lease rentals 14,871 13,231Depreciation 60,564 58,849Auditors’ remuneration 15,500 15,250


24


14 Tangible and heritage fixed assets

Furniture, Assets TotalLand & Fixtures & Motor Under Tangible Heritage

Buildings Equipment Vehicles Construction Assets Assets TOTAL£ £ £ £ £ £ £

CostAt 1st April 2015 938,689 336,289 122,703 - 1,397,681 3,241,745 4,639,426Additions 14,046 8,640 28,765 91,988 143,439 - 143,439Disposals - - (6,450) - (6,450) - (6,450)

At 31st March 2016 952,735 344,929 145,018 91,988 1,534,670 3,241,745 4,776,415

Depreciation

At 1st April 2015 429,513 313,294 75,112 - 817,919 - 817,919Charge for year 29,963 12,562 18,039 - 60,564 - 60,564Disposals - - (6,450) - (6,450) - (6,450)

At 31st March 2016 459,476 325,856 86,701 - 872,033 - 872,033

Net book values 31st March 2016 493,259 19,073 58,317 91,988 662,637 3,241,745 3,904,382

Net Book values 31st March 2015 509,176 22,995 47,591 - 579,762 3,241,745 3,821,507

Heritage AssetsHeritage assets consist of land designated as nature reserves by the Trust and acquired either by purchase, gift or lease.

The Trust currently owns, leases or manages 31 nature reserves all classified as heritage assets which have been acquired since the early1960s and in total cover 1,817 hectares of Sussex downland, woodland, wetland, heath, meadow, and farmland. Many are Sites of SpecialScientific Interest.

Included are five sites designated as nature reserves which were given to the Trust between 1964 and 1981 for which no cost orconventional valuation is currently available.

A nature reserve will be considered for acquisition if:

a) its ownership will enhance the viability or conservation value of an existing Trust reserve or simplify its management.

b) the land is required: 1) to demonstrate best conservation practice, 2) for education, 3) for the local community or, 4) to achieve a jointconservation project with other agencies.

c) ownership of the land will help to achieve one or more targets as set out in the Trust’s Reserve Acquisition Strategy.

The Trust maintains a register of title deeds for all nature reserves in its ownership and land management is carried out to pre-agreedmanagement plans.

Disposal of any nature reserve will only be considered if the original objectives for ownership have been met or the site no longer meets theTrust’s Nature Reserves Acquisitions and Disposals Policy. The Trust has a policy of allowing open access to all its nature reserves unless thisis impossible to achieve due to physical location or will compromise the Trust’s conservation objectives.

25

14 Tangible and heritage fixed assets continued

Five year financial summary of heritage asset transactions

2016 2015 2014 2013 2012£ £ £ £ £

Purchases at cost or valuationWaltham Brooks - - - - 100,576Ditchling Beacon - - - - 470Ebernoe/Butcherland - - - - 1,380Eridge Rocks - 25,870 - - -

DonationsNorthup Copse - - - - 91,263

Total Additions - 25,870 - - 193,689

There have been no disposals of heritage assets in any of the last five years and no impairment is considered necessary.

15 Fixed asset investments

2016 2015Subsidiary Company - Sussex Wildlife Enterprises Ltd. £ £

CostAt 31st March 2016 and 31st March 2015 100 100Net book value at 31st March 2016 and 31st March 2015 100 100

The Trust owns 100% of the ordinary share capital of Sussex Wildlife Enterprises Limited, a company incorporated in the UK. The companyhas not traded since its incorporation.

16 Debtors2016 2015

£ £

Trade debtors 80,734 135,226Other debtors 291,048 148,833Prepayments 132,365 107,461

504,147 391,520

17 Liabilities : amounts falling due within one year2016 2015

£ £

Trade creditors 166,881 205,287Other taxes and social security costs 38,454 37,657Other creditors and accruals 112,633 90,521Deferred income 68,088 97,205Life membership subscriptions 19,305 20,321

405,361 450,991

Deferred income:Balance as at 1st April 2015 97,205 87,774Amount released to incoming resources (97,205) (87,774)Amount deferred in year 68,088 97,205

Balance as at 31st March 2016 68,088 97,205


26


18 FundsBalance Movement in Resources Balance

01.04.2015 Incoming Outgoing Transfers 31.03.2016£ £ £ £ £

RestrictedNature reserves 2,324,238 - - - 2,324,238Projects 757,911 1,364,092 820,382 - 1,301,621

3,082,149 1,364,092 820,382 - 3,625,859

Designated - - - 525,000 525,000

Unrestricted 2,579,795 3,279,726 2,237,554 (525,000) 3,096,967

Total all funds 5,661,944 4,643,818 3,057,936 - 7,247,826

Analysis of restricted projects funds movementsBalance Movement in Resources Balance

01.04.2015 Incoming Outgoing Transfers 31.03.2016£ £ £ £ £

Badger Appeal 37,718 2,210 950 - 38,978Rapid Response Fund 26,882 - 5,664 - 21,218Sussex Downland Appeal 28,373 70 - - 28,443Summer Appeal - 31,079 - - 31,079Winter Appeal - 24,962 - - 24,962Wild Adur Bid Writing - 4,230 1,662 - 2,568People and Wildlife 26,891 47,181 27,704 - 46,368Sussex Biodiversity Record Centre 157,780 227,414 216,598 - 168,596Sussex Wetlands 18,901 71,778 65,565 - 25,114West Weald Landscape 76,534 2,941 30,539 - 48,936Gatwick Greenspace Partnership 49,004 72,838 85,476 - 36,366Rye Harbour 40,612 156,453 145,124 - 51,941Rye Harbour Visitor Centre 16,719 500,050 4,685 - 512,084Local Nature Partnership 5,515 - 5,515 - -Friston Forest 13,142 - 3,977 - 9,165Ebernoe Fencing 24,033 - 8,153 - 15,880Kleinwort Nature Reconnect - 25,438 10,599 - 14,839Gateway to Nature 12,763 - 4,000 - 8,763Nature Reserves Projects 33,775 63,408 78,915 - 18,268Brickfield 6,760 - - - 6,760Nature Train 6,294 - 6,294 - -Wild About Worthing - 22,240 22,240 - -Conservation - 2,941 2,941 - -Southerham Barn Development 98,624 20,000 - - 118,624Cuckmere & Pevensey Levels 5,022 15,000 8,328 - 11,694Making Waves 5,450 8,905 14,355 - -Graffham Fencing 22,852 - 4,811 - 18,041Land Management projects 44,267 40,000 41,333 - 42,934Rausing Marine & Lund - 20,000 20,000 - -Other projects - 4,954 4,954 - -

757,911 1,364,092 820,382 - 1,301,621

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18 Funds continued

Restricted Projects:

Badger Appeal: a fund established for vaccination programme against bovineTB.Rapid Response Fund: fund for land aquisition/ response to immediate need.Summer/Winter/Downland Appeal: funds to support the work of conservation campaigning, educating children and managing our nature reserves.Wild Adur: a fund to support bid writing for the Wild Adur project.People & Wildlife: a fund established to provide conservation education for schools in Sussex.Sussex Biodiversity Record Centre: a project funded by individual partners for the provision of biodiversity information for Sussex.Sussex Wetlands: a project to enhance the awareness of wetland habitats in Sussex.West Weald Landscape: a project to enhance the wooded landscape of an area of West Sussex.Gatwick Greenspace Project: a project to enhance greenspaces in the Gatwick, Crawley and Horsham areas and to increase communityinvolvement.Rye Harbour: fund for Rye Harbour Nature Reserve.Rye Harbour Visitor Centre: fund for the development of a visitor centre at Rye Harbour.Local Nature Partnership: co-ordinating a partnership of organisations in Sussex to promote a common environmental agenda.Friston Forest: fund for the management of Friston Forest - previously part of nature reserves fund.Ebernoe Fencing: fund for the depreciation of fencing - previously part of nature reserves.Kleinwort Nature Reconnect: a fund to support the work of public engagement and reconnection to nature.Gateway to Nature: funds from this project will help to develop further our youth ranger work and community involvement.Nature Reserves Projects: funds provided for the management of specific nature reserves or to support particular aspects of nature reservemanagement.Brickfield: funds provided for the management of Brickfield Meadow.Nature Train: community project.Wild About Worthing: funds to support the work of our Community Officer in Worthing.Conservation: fund for conservation projects.Southerham Barn: fund for the development of Southerham Barn.Cuckmere/Pevensey: fund for managment of site.Making Waves: marine/shorebased education project.Graffham Fencing: fund for depreciation.Land Management projects: fund for grazing works.Rausing Marine & Lund: Charitable Trust funds to support marine work & land management.Other projects: various small Charitable Trust funds.

Unrestricted funds comprise those funds which the Trustees are free to use in accordance with the Trust’s charitable objectives.

Balance Movement in Resources BalanceAnalysis of designated funds movements 01.04.2015 Incoming Outgoing Transfers 31.03.2016

£ £ £ £ £

Southerham Reserve Fund - - - 50,000 50,000Membership Recruitment - - - 265,000 265,000Integrated Software Project - - - 70,000 70,000Nature Reserves - - - 25,000 25,000Ecological Mapping - - - 20,000 20,000IIP Staff Development - - - 5,000 5,000Strategy Development - - - 50,000 50,000Pensions Liability (sinking fund) - - - 5,000 5,000Vehicles (sinking fund) - - - 5,000 5,000Building Maintenance (sinking fund) - - - 5,000 5,000Rye Harbour Visitor Centre - - - 25,000 25,000

- - - 525,000 525,000

The Trustees have agreed to designate funds from unrestricted funds for various planned futute projects, as well as contingency funds forfuture eventualities.


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Designated Funds:

Southerham Reserve Fund: to support the development of our nature reserve at Southerham.Membership Recruitment: future investment in increasing and developing our membership.Integrated Software Project: development of an integrated IT solution.Nature Reserves: investment in infrastructure on nature reserves.Ecological Mapping: development of ecological mapping in Sussex.IIP Staff Development: project to develop staff performance through the IIP accreditation framework.Strategy Development: investment in the development and implementation of next 5-year strategy.Pensions Liability (sinking fund): allocation of funds towards potential future costs.Vehicles (sinking fund): fund toward future vehicle purchases.Building Maintenance (sinking fund): fund toward future costs of maintaining Woods Mill.Rye Harbour Visitor Centre: funds towards the development of the new visitor centre at Rye Harbour.

19 Analysis of net assets between funds

Tangible Fixed Net CurrentAssets Investments Assets Total

£ £ £ £RestrictedNature reserves 2,324,238 - - 2,324,238Projects 1 - 1,301,620 1,301,621Unrestricted 1,580,143 100 1,516,724 3,096,967Designated - - 525,000 525,000

3,904,382 100 3,343,344 7,247,826

20 Contingent assets

As at 31.3.16 the Trust has been notified of 5 legacies, the value of which is uncertain but unlikely to exceed £25,000 in total.The Trust has not been notified of definitive dates for disbursment, and accordingly have not accrued this income.

21 Contingent liabilities

There are contingent liabilities for the repayment of grants and gifts totalling £96,500 (2015: £117,500). The circumstances in which therepayments become due are set out in the terms of the respective agreements but, in the opinion of the Trustees, no repayments will bemade in the foreseeable future.

The Trust owns Castle Water, part of the Rye Harbour Local Nature Reserve. As previously reported the Trust carried out an investigationto establish the nature and extent of the contamination based on existing data.This confirmed a source of contamination under part of theNature Reserve. Since then discussions have been held with the relevant officers from the Environment Agency at a local level and the workdone so far comprises a series of studies on the extent of contamination in other areas of Rye Harbour. Monitoring has continued throughoutthe 2015/16 financial year.

The costs of remediation at Castle Water remain unquantifiable. It is unclear to what extent, if at all, the Trust will be liable.

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22 (a) Operating Lease Commitments

The Trust has commitments at 31st March 2016 to pay minimum rentals on buildings and equipment under non-cancellable operating leases.

Operating leases which expire: 2016 2015 2016 2015Buildings Buildings Equipment Equipment

£ £ £ £

Within one year: 3,000 5,800 6,040 21,096

Operating leases which expire: 2016 2015 2016 2015Buildings Buildings Equipment Equipment

£ £ £ £

Within two to five years: - 3,000 2,432 8,868

(b) Capital commitments:Capital expenditure contracted for but not paid: £42,930 (2015: NIL)

23 Related Party Transactions

During the year to 31st March 2016 related party transactions were NIL (2015: £23,165).

Provision for related party transactions payments are made in the governing document of the Trust.


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Sussex Wildlife TrustWoods Mill, HenfieldWest Sussex BN5 9SD

Tel: 01273 492630Fax: 01273 494500

Email: [email protected]: www.sussexwildlifetrust.org.uk

Reg Charity No. 207005

Documents

Tr ust ees’ Report & Ann ual Acc ounts 2015-16 · Tr ust ees’ Report & Ann ual Acc ounts 2015-16 b a d g er ... Sussex Wildlife Trust Trustees’ Report 31 March 2016 SWT