2023-03-31-accounts

Wormwood Scrubs Charitable Trust

Trustee’s Report and Financial Statements for the year ended 31 March 2023

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TABLE OF CONTENTS

Overview of the Year ....................................................................................................................... 3 An Oasis of Green Space in West London ...................................................................................... 3 Structure, Governance and Management ........................................................................................ 3 Objectives and Activities .................................................................................................................. 4 Public Benefit ................................................................................................................................... 5 Fundraising ...................................................................................................................................... 5 Working with the Friends of Wormwood Scrubs and the wider community ..................................... 6 High Speed 2 (HS2) ......................................................................................................................... 6 Old Oak and Park Royal Development Corporation (OPDC) ........................................................... 7 Habitat and Ecology ......................................................................................................................... 8 Kensington Aldridge Academy (KAA) .............................................................................................. 8 Achievements and Performance ...................................................................................................... 8 Grounds Maintenance and Site Management.................................................................................. 9 Financial Review ............................................................................................................................ 10 Plans for future periods .................................................................................................................. 11 Reserves and Treasury Management Policy ................................................................................. 12 Risk Management .......................................................................................................................... 13 Statement of Trustee’s Responsibilities in respect of the Trustee’s Annual Report and the financial statements ..................................................................................................................................... 15 Independent Auditor’s Report to the Trustee ................................................................................. 16 Reference and Administrative details ............................................................................................ 19 STATEMENT OF ACCOUNTS ...................................................................................................... 20 Notes to the Accounts .................................................................................................................... 23

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Overview of the Year

The Wormwood Scrubs Charitable Trust (the Trust) exists to ensure that this much valued area of open space in West London is used for the exercise and recreation of Londoners. In its Local Plan, the Old Oak and Park Royal Development Corporation describes Wormwood Scrubs (the Scrubs) as ‘… a cherished public open space and important ecological asset ….’ 2022/23 saw some significant developments for the Trust:

• Delivering a financial surplus of £426,826 as it continues to benefit from increased rental income, albeit not all of which is expected to recur in future years.

• Continuing to provide the site for temporary buildings for the Kensington Aldridge Academy school in the aftermath of the Grenfell Tower fire.

• The Trust committee approving an alternative ecological mitigation (AEM) Masterplan, to enhance biodiversity on-site.

• Acquiring a ‘Green Flag’ accreditation.

• Maintaining grounds and maintenance management of the Scrubs in preservation of the Trust’s charitable objective.

• Continuing to work closely with the Friends of Wormwood Scrubs through the two Friends who are co-opted members of the governing committee.

• Hiring a Trust Manager to support the implementation of strategic direction as dictated by the Trust’s management committee. The day-to-day responsibilities of this role include over-seeing daily grounds maintenance, co-ordinating capital projects, managing sporting and cultural events on the Scrubs and reporting to the Trust’s management committee on quarterly performance.

An Oasis of Green Space in West London

The Wormwood Scrubs is an open space located in the north-eastern corner of the London Borough of Hammersmith and Fulham in West London. It is the largest open space in the Borough, at 80 hectares (200 acres), and is one of the largest areas of common land in London. It has been a public open space since the Wormwood Scrubs Act of 1879.

The Scrubs retains a multitude of ecological features. Among those features are areas designated as ‘Sites of Importance for Nature Conservation’ and ‘Local Nature Reserves,’ including Braybrook Woods, Martin Bell's Wood and the Central Woodland Copse.

Habitats include woodland (plantation), scrub, grassland, and meadow. Animals include common lizards, approximately 100 species of bird and 20 species of butterfly. There are also approximately 250 native plant species which make up one sixth of UK native flora.

Structure, Governance and Management

The London Borough of Hammersmith and Fulham (the Council) is the sole corporate trustee for the Trust.

The Trust has a number of related party transactions with the Council. These include the routine grounds maintenance contract, a contribution from the Trust towards the Linford Christie stadium and the provision of managerial, financial and legal services by the Council. This results in total expenditure of £437,177 in 2022/23 by the Trust to the Council.

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Responsibility for the management of the Trust rests with the Wormwood Scrubs Charitable Trust Committee (the Committee) which is constituted under the Council’s constitution.

The Committee is charged with managing all the affairs of the Trust, giving strategic direction, and ensuring it achieves its charitable objectives.

Under the Council’s constitution, the Committee consists of three appointed Councillors; the Committee may also co-opt non-voting independent members. The Committee members for 2022/23 were: Councillors Alex Sanderson (Chair), Bora Kwon and Dominic Stanton. There were also two non-voting co-opted members, Miriam Shea, and Sir Stephen Waley Cohen, both of whom are also members of the Friends of Wormwood Scrubs.

Day to day running of the Trust is undertaken by officers in line with the Committee’s scheme of delegation. For 2022/23, the de facto chief executive of the Trust was Sharon Lea, the Council’s Chief Executive. Steve Hollingworth, Assistant Director (Leisure, Sports & Culture), was the officer responsible for the day to day running of the Trust. Simon Ingyon has now taken over this role as of September 2023. with support from the Trust Manager – Osama ElAmin. The Council’s Director of Finance, Sukvinder Kalsi, was the Trust’s chief finance officer.

The Council's Standards Committee provides advice and training for Councillors. Under the constitution, Councillors are required to accept a personal responsibility to take up such opportunities for training and development that may be provided by the Council to better to carry out their duties as effective members.

As part of the trustee induction process, once elected, voting members are required to sign a council code of conduct as part of their declaration of acceptance. Non-voting co-opted members are required to send written acknowledgement of their acceptance of the committee terms of reference, along with attending their first meeting and accepting their nomination among the board.

Objectives and Activities

The Scrubs is the subject of a charitable trust created by the Wormwood Scrubs Act 1879, amended by a scheme of the charity commission in 2002. The Council is the sole corporate trustee and holds the land in trust for the “use by the inhabitants of the metropolis for exercise and recreation.” This is the Trust’s sole charitable objective.

The Trust seeks to encourage sporting and recreational use of the Scrubs through the provision and maintenance of an environment that is conducive to its objective. The Trust is not linked with the prison located nearby.

The Linford Christie stadium is sited on the Scrubs and was built by the Greater London Council when that body was responsible for the Scrubs. The stadium is operated by the Council and the Trust makes an annual contribution to its running costs.

In addition to supporting the recreational activities provided by the Council through the Linford Christie stadium, the Trust’s main activity relates to the maintenance of the Scrubs itself. Since 6 May 2008, Idverde UK (which acquired Quadron Services Ltd in 2016) has provided a grounds maintenance service at Wormwood Scrubs following a procurement exercise run by the Council. A new specific 5-year contract for the Scrubs, with an option of a further five years, was awarded to Idverde UK beginning in February 2022 following a further procurement exercise run by the council. In maintaining this contract, the Trust has ensured the continuation

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of a site-management regime which facilitates the achievement of the Trust’s charitable objective.

The Trustee has paid due regard to the Charity Commission's public benefit guidance in preparing its annual report. The Trust delivers public benefit in meeting its charitable objective of holding the land in trust in accordance with the 1879 Act.

Public Benefit

The Trustee has referred to the Charity Commission’s guidance on the public benefit when deciding the activities, the charity should undertake. The charity provides public benefit by maintaining an environment to enable sporting and recreational use by the public.

Fundraising

During the financial year 2022/23, The Trust was successful in accessing external funds to undertake capital work schemes aimed at: 1. Improving pedestrian access. 2. Constructing a new playground.

The Old Oak and Park Royal Development corporation donated £110,000 to construct new semi-permeable footpaths at 3 locations across the Scrubs, which are indicated with yellow dots on figure 1, below:

Figure 1.

Since the majority of the land sits on London clay, the soil above this clay retains a weak degree of solubility and a high degree of surface runoff. This had resulted in poorly established entrances that became marshy in the winter and excessively uneven in the summer. Once the

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OPDC pledged their funding, Trust officers began a competitive procurement process, culminating in the selection of council framework contractor – FM Conway (FMC).

FMC successfully implemented the specified design. £105K was spent on these access improvements, with a further £5K spent on tree and hedge planting parallel to the 3 locations identified above.

The Trust was also successful in procuring an additional playground facility in the western region of the site. This facility was constructed through a funding partnership with the HighSpeed Rail 2 (HS2) Community Investment Fund, with the Trust also contributing. The total cost of the project was - £78,317. HS2 awarded - £69,173 . The Trust contributed - £9,144.

Working with the Friends of Wormwood Scrubs and the wider community

The Trust continues to work closely with the Friends of Wormwood Scrubs and two of its members are co-opted onto the Committee as non-voting members. Regular contact has been maintained with the Friends of Wormwood Scrubs throughout the year and the Trust and those involved in the day-to-day management of the site welcome their updates in terms of observations and views on works required.

The Wormwood Scrubs Development Manager and Trust Manager worked with the Friends of Wormwood Scrubs, along with members of the wider community to develop proposals for the £3.9m biodiversity improvement project and in the identification of general management issues on a day-to-day basis. Further consultation on the alternative ecological mitigation (AEM) Masterplan took place in the summer of 2022/23, with a final set of proposals approved by committee in March 2023.

Those consultation exercises also drove greater effort to protecting areas used by ground nesting birds during the bird nesting season, along with ensuring that information on general site-management, plans to manage woodland, scrubland, and sports pitches are properly disseminated.

High Speed 2 (HS2)

HS2 Bill – Environmental Improvement Works

The agreement between HS2 and the Council dated 20 October 2016 secured £3.9m for alternative ecological mitigation (AEM) Master plan works. These works were agreed as an alternative to the ecological mitigation within the HS2 Bill and form an appendix to the agreement.

Land Use Consultants (LUC) collated information on the significance and use of the Scrubs to produce a Conservation Management Plan (CMP). This was used to inform the public. Design proposals were developed over Autumn 2020 and Spring 2021 and were presented to a committee subgroup in March 2021. The London Development Trust proceeded to consult with the wider community on those proposals, with further feedback incorporated into design concepts. This work has culminated in the Trust committee’s approval of a final version of the AEM Masterplan in March 2023.

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HS2 Bill – Stamford Brook Sewer Realignment

The planned re-route of the Stamford Brook sewer through the northern section of the Scrubs will involve digging a trench, disturbing ecology and temporarily cutting off sections of the Scrubs for public use.

A variation to HS2’s consented access route across the Scrubs was granted Planning consent in January 2021. This will limit ecological damage by providing a shorter and less ecologically sensitive route. A legal agreement is in place to protect and reinstate the ecological habitats in this process.

Works to re-route the sewer and utilities equipment has started and reinstatement of the Stamford brook sewer site were planned to be completed by February 2023. Work has continued through to 2023/24 and will be reported within the annual report for the next financial year.

HS2 Bill – Compulsory Purchase orders

HS2 has served preliminary notices of compulsory purchase for three areas of Wormwood Scrubs open space. These comprise:

• an area of 14.04 square metres, adjacent to Old Oak Common Lane (OOCL) to accommodate the realignment of OOCL and footpath. Once the work has been completed this would form part of the highway under the responsibility of the London Borough of Ealing.

• The UTX site, to allow HS2 to grant easements to the utility companies; and

• • An area of subsoil under the UTX site.

The Trust are seeking compensation for these CPOs and confirmation that the UTX site will be returned to the Trust once HS2s work has been completed.

Old Oak and Park Royal Development Corporation (OPDC)

The OPDC came into existence with full planning powers over the Old Oak and Park Royal regeneration area (including most of the Scrubs but excluding areas south of the Linford Christie stadium) on 1 April 2015.

OPDC Adopted Local Plan

The Local Plan contains their land use and spatial strategy over the next 15-20 years and contains policies on housing, community facilities, transport, the environment, and more. These policies will guide future development, and proposals for development will be assessed against the policies contained within the OPDC’s Local Plan. The Trust has played a full part in responding to any consultations and formulation of the OPDC’s Local Plan and continue to liaise with the OPDC on future access routes to and from the HS2 Old Oak Common station.

The adopted Local Plan can be viewed here: https://tinyurl.com/zyt8cvca

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Habitat and Ecology

Biodiversity surveys completed in 2016 and 2017 and the CMP (Conservation Management Plan) formed the basis of recommendations for the AEM (Alternative Ecological Mitigation) proposals presented by LUC (Land Use Consultants) Ltd in March 2021. These proposals include a 10-year management and maintenance plan to maximise habitat improvement for wildlife as well as regular surveys to demonstrate improvements to biodiversity. The AEM proposals will not be able to tackle all the issues at the Scrubs as the HS2 funding is limited to ecological improvements. Nevertheless, both the CMP and the management and maintenance plan will identify options to address issues with other funding mechanisms.

The proposals for the northern boundary are likely to be the most complex due to the range of habitats, the influence of the Japanese knotweed and the realignment of the Stamford Brook Sewer along this route.

Kensington Aldridge Academy (KAA)

This Kensington Aldridge Academy is located very close to Grenfell Tower in North Kensington. In the aftermath of the fire in June 2017 it was apparent that the school could not operate from that site. It identified the old, gravelled military training area in the Scrubs (sometimes known as the ‘Redgra’) as a suitable site for temporary school buildings and set about seeking the permission of the Trust, the planning authority and the Ministry of Defence to use the site.

Temporary structures were installed over the summer of 2017 and the school was ready for occupation in September. The Academy pays the Trust a suitable market rent which is greater than the income it would normally receive by renting out the area for short term uses, such as lorry parking for trade shows at Olympia.

It is anticipated that the Academy will remain on the Scrubs for several years and planning permission and rental arrangements are being reviewed on an annual basis. Planning permission is due to expire on 31[st] July 2025.

Achievements and Performance

Sport

Currently, the Linford Christie Outdoor Sports Centre (LCOSC) and the Scrubs itself boasts eight full size football pitches, three junior nine-a-side pitches, two junior seven-a-side pitches and two junior five-a-side pitches. In addition, there are two Gaelic football pitches, seasonal baseball pitches and a football pitch in the central area of the athletics track which is the home pitch of the Kensington Dragons Football Club senior team. The facility also offers fully certified athletics track and five all weather pitches.

The facility is the home of Thames Valley Harriers Athletics Club.

A number of other sports activities take place on the Scrubs including:

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• Tackle Africa Football Tournament

• London Junior Baseball League

• British Athletic League meetings

• Parkrun a free weekly 5Kmrun/walk

• Cross-country school and club events

• Extensive school usage including district sports day.

Events

Several sporting events (above) were held on the Scrubs without incident and enjoyed by all participants. The Trust remains interested in facilitating a small number of larger events and discussions continue with companies that specialise in organising these. The recruitment of Trust Manager in the financial year enables the Trust to develop an events policy and decisionmaking mechanism to facilitate development in this area.

Green Flag award

In 2022/23, the Trust was successful in acquiring a ‘green flag’ accreditation. This scheme recognises and rewards well managed parks and green spaces, setting the benchmark standard for the management of recreational outdoor spaces internationally. Eligibility criteria for the award is defined through 8 categories: 1. Providing a welcoming place. 2. Ensuring a healthy, safe and secure location. 3.Ensuring the location is clean and well maintained. 4. Delivering effective environmental management. 5. Conserving landscape, heritage and biodiversity. 6. Encouraging community involvement. 7. Communicating and marketing the space. 8. The implementation of a management plan.

Periodic inspections of the site by green flag judges provide a monitoring framework for the continued performance of the space. The Trust is pleased to have its commitment to sporting and recreational outcomes recognised through this award.

Grounds Maintenance and Site Management

Officers and the contractor, Idverde UK, have worked hard over the last year to ensure the grounds maintenance of the site is kept at an acceptable standard. This has included a number of volunteer projects such as laying bark chippings to stabilise some of the wettest mown pathways through the Scrubs, as well as the tasks undertaken on a routine and reactive basis scheduled below as part of the ground's maintenance contract. Furthermore, the new grounds maintenance contract had been in place for 1 year since commencement in February 2022. Performance of the contract has been steady, with monthly meetings held to maintain standards and manage improvements.

Activity Maintenance of all grass pitches including within Linford Christie Stadium Grass cutting all non-pitch areas across the site including play areas and dog area Strimming across the site and Linford Christie Stadium Maintaining grass path access through scrub areas allowing access to nature Pruning and maintenance of hedges and access routes through copses and woodlands Maintaining and pruning of all shrub bed areas Low level tree works and reporting defects and further action required

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Inspecting daily three on-site play areas reporting defects and further action required Attending to vandalised or damaged equipment, facilities or surfaces Emptying of litter/dog waste bins Cleansing hard surfaces across the site including within the Linford Christie Stadium Treating of Japanese Knotweed and Giant Hogweed Cleansing and sweeping synthetic pitch areas within Linford Christie Stadium Litter picking across the site including within the Linford Christie Stadium Leaf clearance across parts of the site (leaves in woodland areas are left as mulch) Attending to fly tips and clearance after illegal encampments Liaising with site and facility users and Parks Constabulary Assisting in the preparation for large events Assisting with Volunteer initiatives

The Scrubs is an extremely popular site attracting a diverse range of users from dog walkers to model aircraft flyers; from ornithologists to those wanting a quiet walk. Since the pandemic the Scrubs has maintained a higher number of visitors, which has increased the pressure on grounds maintenance.

Community Safety

The Scrubs continued to be patrolled by the Borough’s uniformed Law Enforcement Team, which was established in April 2021, after restructuring and relaunching the former parks police team. No major crimes were reported, and most incidents involved anti-social behaviour, to which the team were able to respond with dispersal orders and fixed penalty notices.

Licensing for professional dog walkers has helped regulate anti-social activity. However, consultation on further regulation is planned through the introduction of a Public Space Protection Order on responsible dog ownership, due to be implemented and enforced in 2023/24.

Financial Review

The Trust is reporting a surplus of £426,826 in 2022/23. This is £206,069 more than budget due to reduced costs and additional income.

The main reason for the surplus is the continued income received from the Kensington Aldridge Academy (KAA) for the operation of the school, which was £339,786 in 2022/23. KAA are now expected to remain on site for a few more years, with planning permission for the site secured until 2025.

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A summary of the Trust’s financial position, together with the historical position, is below:

Summary of Financial	2022/23	2021/22	2020/21	2019/20	2018/19	2017/18	2016/17	2015/16	2014/15
Position	£	£	£	£	£	£	£	£	£
Total IncomingResources	1,256,862	1,170,121	1,002,080	1,195,896	1,082,949	1,072,295	698,745	678,572	717,972
Total Resources Expended	(830,036)	(1,077,529)	-953,096	-1,048,691	-856,005	-774,332	-736,084	-737,772	-724,506
Net outgoing (-)/Incoming resources
	426,826	92,592	48,984	147,205	226,944	297,963	-37,339	-59,199	-6,534
Total funds brought forward	6,030,969	5,938,378	5,889,393	5,742,188	5,217,280	5,217,280	5,254,619	5,313,818	5,320,353
Total funds carried forward	6,457,795	6,030,970	5,938,379	5,889,393	5,444,224	5,515,243	5,217,280	5,254,619	5,313,819
General unrestricted income funds	1,457,794	1,030,969	938,377	889,392	742,188	515,243	217,279	254,618	313,817

The main income sources were the short-term KAA occupation; pay & display parking income (from four machines) and cashless parking income from the Wormwood Scrubs car park; and licence income for the Hospital’s use of the other car park. Additional income was also achieved from filming, the Park Lodge, utilities licensing and some external grant funding.

The Linford Christie stadium is operated by the Council and the Council has, historically, borne the majority of expenditure associated with its operation. The Trust however contributes to the Linford Christie stadium (together with other sports facilities located on the Trust grounds) to promote its objectives to support exercise and recreation.

Since 2016/17 the Trust’s contribution has been limited to £31,500 however it was agreed since 2020/21 budgeting process to make an additional contribution of £30,000 to the stadium’s repairs. The 2022/23 contribution totalled £64,775, including a proportion of the repair costs and associated governance costs.

Expenditure incurred by the Trust is in line with the objectives of the Trust.

Within total funds brought forward, the Trust has fixed asset funds of £5,000,001 relating to the valuation of the car park and tangible fixed assets in their existing use. The remaining, unrestricted income funds are solely used for the specific purposes of the Trust. These total £1,457,794 as of 31 March 2023 (see the Statement of Accounts note 12), an increase of £426,826 during 2022/23.

Plans for future periods

In approving the budget for 2023/24, the Committee took account of the implementation of essential traffic management system, employment of the Trust manager, commitments agreed over the preceding year and allowed for health and safety related works. The latest 2023-24 forecast predicts a £291,395 surplus. Kensington Aldridge Academy (KAA) licence income is the main reason for the Trust’s increase in unrestricted funds since 2017/18. The extension of the KAA licence to July 2024 and expected further extensions will continue the significant favourable impact on 2023/24 and 2024/25 accounts. Contribution to increased surpluses is anticipated from reduced grounds maintenance costs resulting from February 2022 contract renewal. This cost reduction is welcomed as it should partially offset the future loss of the KAA income.

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The Committee is determined to bring the financial performance of the Trust to breakeven or better over the longer-term. This will however need to be balanced against Trust’s core objectives and the Trust is keen to ensure that any development around the site does not threaten its integrity. The Trust Manager has been appointed and begun his role in August 2022 with commitment to producing and implementing an agreed development plan.

The Trust is seeking ways to ensure a steady progress towards being able to operate at a breakeven position or better with normal activities. To create this secure financial position in the longer-term, the Trust is working on optimising the use of its assets and developing events on the Scrubs and beginning to solicit funds from: corporate organisations trusts, and foundations and institutional bodies. Consultation with residents and key stakeholders will be part of this plan. Prior to the Covid-19 pandemic, the Trust was optimistic of such income and approaches to organisers included:

• Secret Cinema to build a temporary set on the Scrubs in 2024 (now planned for 2025) and put on performances over the summer for a 4-week period. The capacity for each show would be approximately 4,000 people.

Grounds Maintenance (GM) is the Trust’s main expenditure. The new contract commenced on 1 February 2022 with a reduced price (fixed for 5 years) to deliver a new specification following an open market procurement process.

• The procurement secured a separate contract for Wormwood Scrubs.

• The specification ensures that the biodiversity management required due to the unique nature of the Scrubs is included and can be part of the 10-year conservation management plan developed as part of the AEM project.

Future plans will be closely monitored and subject to regular review. This will be managed through the regular management reports to the Committee.

Reserves and Treasury Management Policy

The Trust’s reserves policy is to consider the level of its balances annually, taking into account;

• Whether the Trust has approved a balanced budget

• The robustness of the assumptions and calculations that have underpinned the budget strategy

• The frequency and effectiveness of in year budget monitoring

• The effectiveness of Risk Management

• The affordability of its commitments in respect of grounds maintenance and support of the Linford Christie stadium

• The review of, and the opinion on, the Trust’s financial statements by the External Auditor

• The condition of the Trust’s assets

• The affordability considerations of prudential borrowing

The Fund’s general unrestricted income funds of £1,457,794 represent an amount exceeding 175% of the Trust’s gross annual expenditure in 2022/23. This is considered prudent and provides a solid base for operating over the medium term. However, the Trust recognises that

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recent surpluses are underpinned by temporary income sources and balancing its income and expenditure in the longer-term remains a challenge. The Committee, with the dedicated support of the Trust manager, has a key role in improving financial performance.

Determining an adequate level of balance requires professional judgement in the context of assessing performance against the key criteria listed above. At present, the Trust does not have a target level of reserves, but this is currently being agreed upon. Whatever this level is agreed at, it is important that the key criteria are reviewed annually at the time of preparing the annual revenue budget and reviewing the previous year’s performance.

Pay and display parking income in 2022/23 has now returned to pre-pandemic levels following Covid restrictions. Added to this reducing pressure is the receipt of £173,572 of grant income which has been utilised to fund expenditure on access and playground improvements. The Trust continues to closely monitor and scrutinise its income and expenditure. Council officers are focussing on reducing the net expenditure of the Trust in the short, medium and long term. Increased income is being targeted through initiatives to optimise use of the scrubland as well as securing additional grant income.

The Trust’s cash balances are managed by the Council. The Council’s Treasury Management Strategy governing the investment policy adopted, was adopted by the Council in February 2023. The Committee report can be found on the Council’s website at the following location:

Treasury Management Strategy Statement 2023/24

Risk Management

The Trustee has a risk management strategy which comprises:

• An annual review of the risks the charity may face.

• Establishment of plans to mitigate those risks identified.

• Implementation of steps designed to minimise any potential impact on the charity should those risks materialise.

The work has identified only a few risks and the situation is being monitored. A key element in the management of risk is managing income and expenditure and setting a reserves policy with regular review by the Committee. The full schedule of risks is set out overleaf.

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Risk Assessment Schedule 2022/23

Risk Index No.	AREA OF RISK	IMPACT OF RISK	SEVERITY High/Medium/ Low	POTENTIAL High/medium /Low	VALUATION	COMMENT
001	High Speed 2 Railway and the development of Old Oak	Adverse impacts on the Scrubs that are contrary to the objectives of the Trust	High	Medium	May not be a financial loss	Trust is engaging with HS2 and TFL and the Old Oak Development Corporation to agree outcomes that do not adversely impact.
002	Pay and Display income level	Income levels are still below pre covid, but are continuing to recover.	Medium	Medium	Potential loss of income.	Usage fluctuates. The introduction of cashless parking has significantly reduced the theft risk.
003	Hammersmith Hospital Trust car park income	The licensing agreement with Hammersmith Hospital Trust has a three month notice period with a possible impact on the level of income.	High	Medium	Potential loss of income.	The hospital relies on the car park. The Trust has been successful in securing increased income from this source in recent years.
004	Condition – Wormwood Scrubs car park	Wormwood Scrubs car park requires investigation into the drainage system, as it is underperforming.	High	Low	Significant expenditure.	If investigations indicate that work is required, the current sinking fund could be used to fund the works.
005	Insurance claims against Trust	Liability of trust in case of personal injury claims.	Low	Low	Possible liability of Trust in case of insurance claim.	Wormwood Scrubs would be covered by the Council’s insurance.
006	Safety of Artillery Wall	Cost of demolition, collapse could possibly lead to damage or liability of Trust.	Medium	Medium	Cost of demolition or insurance claims.	The condition of the wall is being monitored.
007	Costs of Operating Linford Christie Stadium	Contribution by the Trust varies according to the trading conditions for the stadium	High	Medium	Expenditure could be significant	In some years, this contribution has been small, but it is volatile. The financial performance of the stadium is monitored closely.
008	Fraud and financial irregularities	May cast doubt over the Trust’s ability to continue as a going concern	High	Low	Cost could be significant	Accounts are independently audited annually.

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Statement of Trustee’s Responsibilities in respect of the Trustee’s Annual Report and the financial statements

The charity trustee is responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the charity trustee to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that period. In preparing the financial statements, the trustee is required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the applicable Charities SORP;

• make judgements and estimates that are reasonable and prudent;

• state whether applicable accounting standards have been followed, subject to any material departures that must be disclosed and explained in the financial statements;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The trustee is responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust deed. It also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustee is responsible for the maintenance and integrity of the charity and financial information included on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements.

Disclosure of Information to Auditors

The Trustee who held office at the date of approval of this Trustee’s Report confirms that, so far as it is aware, there is no relevant audit information of which the charity’s auditor is unaware; and the Trustee has taken all steps that ought to have been taken as a trustee to make itself aware of any relevant audit information and to establish that the charity’s auditor is aware of that information.

Auditors

The Trustee appointed MHA during the year to undertake the audit of accounts in this year. The Independent auditor’s report to the Trustee of Wormwood Scrubs Charitable Trust follows on page 16.

For and on Behalf of Wormwood Scrubs Charitable Trust Signed

Name: Simon Ingyon

Date: 12 December 2023

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Wormwood Scrubs Charitable Trust Independent Auditor’s Report to the Trustee

Opinion

We have audited the financial statements of Wormwood Scrubs Charitable Trust (the 'Charity') for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• give a true and fair view of the state of the Charity's affairs as at 31 March 2023 and of its incoming resources and application of resources for the year then ended;

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

• have been prepared in accordance with the requirements of the Charities Act 2011.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustee’s use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Our evaluation of the Trustee’s assessment of the entity’s ability to continue to adopt the going concern basis of accounting included critical reviews of budgets and forecasts provided.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustee with respect to going concern are described in the relevant sections of this report.

Other information

The Trustee is responsible for the other information. The other information comprises the information included in the Annual Report other than the financial statements and our

16

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.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

• the information given in the Trustee’s Report is inconsistent in any material respect with the financial statements; or

• sufficient or proper accounting records have not been kept; or

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

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

Responsibilities of Trustee

As explained more fully in the Trustee’s responsibilities statement included in the Trustee’s Annual Report, the Trustee is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustee determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustee is responsible for assessing the Charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustee either intends to liquidate the charity or to cease operations, or has no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

• Obtaining an understanding of the legal and regulatory frameworks that the entity operates in, focusing on those laws and regulations that had a direct effect on the financial statements;

• • Enquiry of management and those charged with governance around actual and potential litigation and claims;

• Enquiry of staff to identify any instances of non-compliance with laws and regulations;

• Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias;

• Reviewing minutes of meetings of those charged with governance;

• Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditor's Report.

Use of our report

This report is made solely to the Charity's Trustee, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the Charity's Trustee those matters we are required to state to them in an Auditor's Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charity and its Trustee, as a body, for our audit work, for this report, or for the opinions we have formed.

MHA Statutory Auditor London, United Kingdom

Date: 15/01/2024

MHA is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.

MHA is the trading name of MacIntyre Hudson LLP, a limited liability partnership in England and Wales (registered number OC312313).

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Reference and Administrative details

Charity Name and Number

Charity Correspondent

Trustee

Email Address

Governing Document

Objects

Area of Benefit

Area of Operation

Registration History

Auditor Details

Wormwood Scrubs Charitable Trust, Registration No. 1033705

Sukvinder Kalsi Director for Finance Wormwood Scrubs Charitable Trust Hammersmith Town Hall King Street W6 9JU

The Council of the London Borough of Hammersmith & Fulham

[e-mail]

Wormwood Scrubs Act 1879 As Amended by Scheme of The Charity Commissioners Dated 25 March 2002.

For recreational use as set out in the Wormwood Scrubs Act 1879

Wormwood Scrubs and West London. (Area prescribed by Governing Document)

Greater London – Hammersmith and Fulham

23 Feb 1994 Registered

MHA

6th Floor, 2 London Wall Place London EC2Y 5AU

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STATEMENT OF ACCOUNTS

Wormwood Scrubs Charitable Trust

Statement of Financial Activities (incorporating an income and expenditure account) for Year ended 31 March 2023

Notes 2 3 4,12 5, 8 6 7 7 16 12		Unrestricted funds	Restricted funds	Total funds	Total funds
	Income and Expenditure	2022/23	2022/23	2022/23	2021/22
		£ £ £ £ 301,509 - 301,509 312,739 391,983 - 391,983 362,467 368,945 - 368,945 392,455 22,253 - 22,253 1,644 - 246,401 246,401 100,817
	Income and endowments from:
	Income from Charitable activities: Pay and Display Parking Meters Hammersmith Hospital Car Park Licence Other trading activities Income from Investments Income from donations and grants
	Total Income and endowments	1,084,690	246,401	1,331,091	1,170,121
		(64,775) - (64,775) (170,210) (171,631) (173,572) (345,204) (66,709) (362,371) - (362,371) (739,794) (37,794) - (37,794) - (21,293) - (21,293) - - (72,829) (72,829) (100,817)
	Expenditure on:
	Charitable activities: Contribution to Linford Christie Stadium Non Routine Maintenance of Wormwood Scrubs Routine Grounds Maintenance of Wormwood Scrubs Staff costs and employee benefits Surveys and studies Charitable expenditure
	Total Expenditure	(657,864)	(246,401)	(904,265)	(1,077,529)
	Net income/(expenditure)	426,826	-	426,826	92,592
		6,030,969 - 6,030,969 5,938,377
	Reconciliation of Funds
	Total funds brought forward
	Total funds carried forward	6,457,795	-	6,457,795	6,030,969

All activities other than those disclosed in Notes 4 and 12 are unrestricted.

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----- Start of picture text -----
Wormwood Scrubs Charitable Trust
Balance Sheet as at 31 March 2023
2022/23 2021/22
£ £
Notes Fixed Assets
9 Tangible Assets 5,000,001 5,000,001
Total Fixed Assets 5,000,001 5,000,001
Add: Current Assets
Cash in Bank 1,219,039 929,464
10 Debtors 272,108 175,035
Total Current Assets 1,491,147 1,104,500
Less: Liabilities
11 Creditors: Amounts falling due within one year (33,353) (73,531)
Total Liabilities (33,353) (73,531)
Total Net Assets and Liabilities 6,457,795 6,030,970
£ £
12 The funds of the charity:
Unrestricted Reserves:
Unrestricted income funds (1,457,794) (1,030,969)
Revaluation reserve (5,000,001) (5,000,001)
Total Charity Funds (6,457,795) (6,030,970)
----- End of picture text -----

Approved by the trustee on 12 December 2023 and signed on their behalf by:

Simon Ingyon

Assistant Director – Parks & Leisure

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----- Start of picture text -----
Wormwood Scrubs Charitable Trust
Notes Statement of Cash Flows for Year ended 31 March 2023
2022/23 2021/22
£ £
Cash flows from operating activities:
13 Net cash flow from operating activities 267,322 243,463
Cash flows from investing activities:
Dividends, interest and rents from investments 22,253 1,644
Net cash provided by investing activities 22,253 1,644
Change in cash and cash equivalents in the reporting period 289,574 92,592
Cash and cash equivalents at the beginning of the reporting period 929,464 684,357
Cash and cash equivalents at the end of the reporting period 1,219,039 929,464
----- End of picture text -----

Wormwood Scrubs Charitable Trust

Analysis of Net Debt for Year ended 31 March 2023

Cash at bank and in hand	At 1 April 2022	Cashflows	At 31 March 2023
	£ £ £ 929,464 289,575 1,219,039

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Notes to the Accounts

(1) Statement of Accounting Policies

(i) Basis of preparation and assessment of going concern

The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these accounts. The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The trust constitutes a public benefit entity as defined by FRS 102.

In preparing the accounts, the trustee has considered whether in applying the accounting policies required by FRS 102 and the Charities SORP FRS 102 a restatement of comparative items was needed. No restatements were required relating to the previous year’s accounts. The functional currency is £ sterling.

The trustee has a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. They therefore continue to accept the going concern basis of accounting in preparing the financial statements. There were not any material uncertainties in arriving at this conclusion.

(ii) Accounting Concept

The accounts have been prepared on an accruals basis. That is, on the basis of income being due and expenditure being payable in the related financial year. Figures in the accounts are rounded to the nearest pound (£).

(iii) Fixed Assets, revaluation and depreciation

The Trust has ownership of land, passed under the Wormwood Scrubs Act 1879 for the perpetual use of the inhabitants of London for exercise and recreation. Due to the restrictions on the use of the land and its disposal, it is included in the balance sheet at a fair value at the point of donation. As there are no records of this value a nominal value of £1 is used. This is in line with FRS102. The car park is held at historic value. This was initially established by a valuation in 2004 which has been used as "deemed cost" on transition to FRS 102, though the Trust does not operate a policy of revaluation. Depreciation has not been charged to tangible fixed assets (the land or the car park) as these are considered to have an indefinite useful economic life. The trustee is not aware of any indication that an impairment has occurred. Further exploration of land interest is included within areas of significant judgement and estimates.

Whilst the Trust undertakes improvement works on the various elements of infrastructure assets on the Wormwood Scrubs, it is deemed that the Council has the ultimate risks and rewards of ownership of the relevant assets. As such, the cost of those improvements is not capitalised and is expensed in the year it is incurred.

(iv) Income Recognition and Incoming Resources

All income is recognised once the Trust has entitlement to the income, it is probable that the income will be received, and the amount of income receivable can be measured reliably. Material income for the Trust includes Pay and Display parking fees and filming income, that would be recognised this way. The Trust acts independently to attract funding. Whilst the funding is received under the name of the corporate Trustee (London Borough of Hammersmith and Fulham), the income is wholly in control of the Trust, and is therefore recognised as income within the Financial Statements.

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The Trust has a licensing agreement with Hammersmith Hospital NHS Trust (HHT), for the use of a limited number of parking spaces within the car park, making use of surplus capacity. The trustee considers that the arrangement is consistent with the Trust's objectives, as the arrangement can be terminated at any time.

(v) Expenditure Recognition and Resources Expended

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the Trust to that expenditure, it is probable that settlement will be required, and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings.

(vi) Allocation of support and governance costs

Support costs have been allocated between governance costs and other support costs. Governance costs comprise all costs involving the public accountability of the Trust and its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees together with an apportionment of overhead and support costs. Governance costs and support costs relating to charitable activities have been apportioned proportional to the expenditure on a particular activity. The allocation of support and governance costs is analysed in note 8.

(vii) Financial Instruments

The Trust holds only basic financial instruments, comprising cash, trade debtors and trade creditors. These are measured as follows:

Financial instrument	Measurement on initial recognition
Cash	Cash held
Debtors – including trade debtors and loans receivable (trade accounts and notes receivable)	Settlement amount after any trade discounts (provided normal credit terms apply) or amount advanced by the Trust
Creditors – including trade creditors and loans payable (trade accounts and notes payable)	Settlement amount after any trade discounts (provided normal credit terms apply) or amount advanced to the Trust

viii) Areas of significant judgements and estimates

Accounting for land interests and associated economic flows

The land interests at the Scrubs are complex and governed by the Wormwood Scrubs Act 1879 (hereafter “the Act”). Under the Act the land at Wormwood Scrubs is held in trust for “the perpetual use thereof by the inhabitants of the metropolis for exercise and recreation.” The Act identified the Metropolitan Board of Works, and successor bodies, as trustee. Through various local authority re-organisations and subsequent provisions, the London Borough of Hammersmith and Fulham (LBHF) is the current successor body and is sole trustee of the Wormwood Scrubs Charitable Trust.

The land registry records ownership of the land in the name of “The Mayor and Burgesses of Hammersmith and Fulham.” Under the Act, the Scrubs can be reserved for military training (giving the Ministry of Defence certain rights over the land) but outside of this they are reserved for recreational use for the public. This right for the public to enjoy the Scrubs is protected in perpetuity and cannot be taken, nor the land sold, unless the area “ceases to be used by the citizens of London.”

Under the Act, the ability to maintain and improve land rests with the administering authority (i.e. the trustee) and there have been further clarifications in subsequent agreements and memoranda. The MoD cannot build permanent structures on the Scrubs, however the MoD must also consent to any development by the administering authority.

It is the judgement of the trustee that the land at Wormwood Scrubs is controlled by the Trust by virtue of the Wormwood Scrubs Act and as such the land interests at the Scrubs are accounted for within the Trust’s accounts. Any reference in title to LBHF is

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deemed to be as the trustee of the Trust, not the Council. Under the provisions of the Act, the Trust is judged to be responsible for, and controls the benefit of, the land both in terms of public access for recreation and economic benefits with respect to any income that might be generated relating to the assets.

Other judgements

There is inevitably a degree of estimation uncertainty relating to accounting estimates and judgements.

The Trust has estimated that application of the governance costs is proportional to level of expenditure on 3 charitable activities.

The Trust’s policy is not to revalue assets, however, should an impairment indicator come to light assets would be subject to impairment. This is a matter of judgement and as stated, the Trustee is not aware of any indication that an impairment has occurred in 2022/23.

ix) Reserves

The reserves of the Trust are unrestricted under FRS102 insofar as they are not restricted to any particular activity, however the Trust considers the revaluation reserve to be an unusable reserve with regard to decision making given the inherent restrictions placed on asset disposal under the Wormwood Scrubs Act 1879.

(2) Income from Other Trading Activities

----- Start of picture text -----
2022/23 2021/22
£ £
Filming income 11,099 5,335
-
Other Fees and Charges 2,158
Other rental income 355,688 387,120
368,945 392,455
----- End of picture text -----*

*Other rental income predominantly relates to the Kensington Aldridge Academy (KAA) lease. KAA pays the Trust a suitable market rent for use of an old gravelled military training area in the Scrubs. Total lease income recognised in the 2022/23 accounts is £339,786 (£327,096 in 2021/22). Future minimum receipts associated with the lease due within one year are £85,782 (£82,641 in 2021/22).

Other rental income also includes rental income for a piece of land which, in previous years, was received annually. Following a new rental agreement signed in March 2018, the Trust received rental in advance in 2018/19. The total money received relating to future years was £13,523 (£16,126 in 2021/22) and this has been recorded as Deferred Income on the Trust's Balance sheet. Event Hire income and rent earned from the park lodge are also included within other rental income.

(3) Income from investments

Interest is calculated on an average cash position for the year and is included in the accounts at year end. The interest rate used is the average rate earned on deposits during the financial year, which increased from 0.0587% in 2021/22 to 1.9753% in 2022/23.

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(4) Income from donations and grants

The restricted income from donations and grants relates to 3 separate grants as set out in the table below.

2022/23 2021/22 Income from grants £ £ GLA Growth Funding for Access Improvements 104,691 - HS2 funding for the Braybrook Street playground improvements received via the Council 68,881 - HS2 Funding Agreement for Ecological Mitigation for Wormwood Scrubs 72,829 100,817 246,401 100,817	2022/23	2021/22

(5) Charitable activities

Resources expended on charitable activities comprise all the resources applied by the charity in undertaking its work to meet its charitable objectives. The Trust's objectives and work are detailed in the Trustee’s Annual Report. Support Costs are wholly and exclusively represented by "Governance Costs" which are set out in Note 8.

(6) Contribution to Linford Christie Stadium

The Charity contributes to the up-keep of an athletic stadium located on the Trust grounds, not as a cost apportionment exercise but in furtherance of the objectives of the Trust to support recreation. Linford Christie Stadium is managed by the Environment Department.

In 2022/23 a contribution of £63,000 (£164,820 in 2021/22) was made to the Linford Christie Stadium. The amount was significantly higher in 2021/22 as a result of an asbestos clearance contribution made. A proportion of governance costs is also included in this figure.

(7) Grounds Maintenance

The grounds maintenance work undertaken at Wormwood Scrubs is undertaken by the Council's external contractor under a Grounds Maintenance contract that was tendered in 2022 for a period of 10 years, with a break clause after 5 years. The award of this contract was considered in the best interest of both the Council and the Trust. Until 2001/02 the Trust was not in a position to fund the entire cost of the works and until this point, the Council only received a contribution. Since this time, the Trust has funded the full cost of grounds maintenance costs at Wormwood Scrubs. Grounds Maintenance services are currently provided by the Environment Department of the Council. The continuation of these services are periodically approved by Cabinet Members. The current Contract started on 1st February 2022.

Routine Grounds Maintenance is undertaken in accordance with a series of schedules that form part of the contract. The fixed element of the contract has significantly reduced from £679,842 in 2021/22 to £326,121 in 2022/23 as a result of 2022/23 being the first full year of the revised new contract. This figure includes an agreed client fee to cover staff costs of the Council's Parks team. Some additional tree works carried out for a value of £26,321 are also included in this figure as well as a proportion of governance costs.

Non-routine Grounds Maintenance is typically identified and commissioned on behalf of the Trust by the contractor. The costs in 2022/23 (£345,204) were significantly higher than in 2021/22 (£66,709). This is because there were some bespoke works carried out during 2022-23 relating to access improvements, the installation of a new traffic management system as well as play equipment for the Braybook Street Play Area.

The Council's Audit Committee formally approved the continuation of the service provided by the Environment Department in June 2009.

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(8) Governance costs

The Governance costs associated with the Trust are allocated to each of the Charitable Activities (as per FRS102), as a percentage of the gross expenditure.

Allocation of the Governance costs: The resources expended that relate to the governance of the Trust consist of the following: 2022/23 2021/22 £ £ Financial Administration and Support fees - these costs result from the statutory requirement to prepare accounts. Also included are the costs of the time spent liaising and meeting with auditors, and attending closing of account meetings. (4,204) (4,511) Legal Fees - In the management of the Trust during the year legal advice was required. This was provided by Legal Services of LBHF and the charges were based on a staff time basis. (6,058) (16,466) Audit Fees (in accordance with statutory independent audit requirments). (10,900) (9,950) (21,162) (30,927) Activity 2022/23 2021/22 £ £ Contribution to Linford Christie Stadium (1,775) (5,390) Non Routine Maintenance of Wormwood Scrubs (9,459) (2,112) Routine Grounds Maintenance of Wormwood Scrubs (9,929) (23,425) (21,162) (30,927)	Allocation of the Governance costs: The resources expended that relate to the governance of the Trust consist of the following: 2022/23 2021/22 £ £ Financial Administration and Support fees - these costs result from the statutory requirement to prepare accounts. Also included are the costs of the time spent liaising and meeting with auditors, and attending closing of account meetings. (4,204) (4,511) Legal Fees - In the management of the Trust during the year legal advice was required. This was provided by Legal Services of LBHF and the charges were based on a staff time basis. (6,058) (16,466) Audit Fees (in accordance with statutory independent audit requirments). (10,900) (9,950) (21,162) (30,927) Activity 2022/23 2021/22 £ £ Contribution to Linford Christie Stadium (1,775) (5,390) Non Routine Maintenance of Wormwood Scrubs (9,459) (2,112) Routine Grounds Maintenance of Wormwood Scrubs (9,929) (23,425) (21,162) (30,927)	Allocation of the Governance costs: The resources expended that relate to the governance of the Trust consist of the following: 2022/23 2021/22 £ £ Financial Administration and Support fees - these costs result from the statutory requirement to prepare accounts. Also included are the costs of the time spent liaising and meeting with auditors, and attending closing of account meetings. (4,204) (4,511) Legal Fees - In the management of the Trust during the year legal advice was required. This was provided by Legal Services of LBHF and the charges were based on a staff time basis. (6,058) (16,466) Audit Fees (in accordance with statutory independent audit requirments). (10,900) (9,950) (21,162) (30,927) Activity 2022/23 2021/22 £ £ Contribution to Linford Christie Stadium (1,775) (5,390) Non Routine Maintenance of Wormwood Scrubs (9,459) (2,112) Routine Grounds Maintenance of Wormwood Scrubs (9,929) (23,425) (21,162) (30,927)
	2022/23	2021/22
	£ £ (1,775) (5,390) (9,459) (2,112) (9,929) (23,425) (21,162) (30,927)

Allocation of the Governance costs:

(9) Tangible Assets

The Trust's Land and Buildings include an Athletics Stadium, Pony Centre, three bedroom cottage and single storey parks depot, all of which are valued as a nominal £1 due to the restrictions placed on the use of the land and its disposal.

The Athletics Stadium was built in 1961 under the Greater London Council (GLC) and prior to the creation of the London Borough of Hammersmith and Fulham, who are now responsible for administering the Trust. There is no available documentation to demonstrate that approval has been gained by the Secretary of State for Defence.

The Pony Centre was given approval to be built by the Secretary of State for Defence.

The car park is included in the accounts at historic cost in line with FRS102. The value included is £5,000,000. To establish a proxy for historic cost the asset was valued on the 31st March 2004 and this has been treated as deemed cost on transition to FRS 102. The Trust does not operate a policy of revaluation.

The car park is classified as a functional tangible fixed asset as the use of this land is considered as consistent with the charity's objectives.

The Trust does not depreciate its assets as they are all either without a determinable finite useful life (i.e. land) or of a nominal value (i.e. £1).

(10) Debtors

Where revenue have been recognised but cash has not been received, a debtor for the relevant amount is recorded in the Balance Sheet. Where the exact amount of a debtor was not known at the time of closing the accounts then an estimated amount has been used.

Trade debtors Prepayments and accrued income Total	2022/23	2021/22
	£ £ 208,148 103,737 63,960 71,299
	272,108 175,035

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(11) Creditors

Where expenditure have been recognised but cash has not been paid, a creditor for the relevant amount is recorded in the Balance Sheet. Where the exact amount of a creditor was not known at the time of closing the accounts then an estimated amount has been used.

	2022/23	2021/22
	£	£
Accruals and deferred income	(33,353)	(73,531)
Of which: Deferred income	2022/23	2021/22
	£	£
Brought forward balance	(16,126)	(16,767)
Released in the year	2,603	641
Year end balance	(13,523)	(16,126)

Deferred income comprises of rental income received in previous years to be recognised over several accounting periods.

(12) Fund Structure

The Trust's Funds comprise:

2022/23

Fund name	Fund balances brought forward	Income	Expenditure	Fund balances carried forward
	£	£	£	£
General Unrestricted Reserves	1,030,968	1,084,689	(657,864)	1,457,794
Fixed Asset Revaluation Reserves	5,000,001	-	-	5,000,001
Restricted Funds - HS2 FundingAgreement for Ecological Mitigation	-	72,829	(72,829)	-
Restricted Funds - HS2 Funding for Braybrook Street playground improvements	-	68,881	(68,881)	-
Restricted Funds-GLA Funding for Access Improvements	-	104,691	(104,691)	-
Total funds	6,030,969	1,331,091	(904,265)	6,457,795

2021/22

Fund name	Fund balances brought forward	Income	Expenditure	Fund balances carried forward
	£	£	£	£
General Unrestricted Reserves	938,376	1,069,304	(976,712)	1,030,968
Fixed Asset Revaluation Reserves	5,000,001	-	-	5,000,001
Restricted Funds - HS2 FundingAgreement for Ecological Mitigation	-	100,817	(100,817)	-
Restricted Funds - HS2 Funding for Braybrook Street playground improvements	-	-	-	-
Restricted Funds-GLA Funding for Access Improvements	-	-	-	-
Total funds	5,938,377	1,170,121	(1,077,529)	6,030,969

Unrestricted funds are solely used for the specific purpose of the Trust. Income and Expenditure which meets this criteria is credited/charged to this fund, together with a fair allocation of management and support costs, as recharged by LBHF. The 3 grants set out in Note 4 and their associated expenditure are deemed restricted as shown in the SOFA. However, the impact on reserves is immaterial because attributable expenditure is met by funding.

The Trust considers the revaluation reserve to be an unusable reserve with regard to decision making given the inherent restrictions placed on asset disposal under the Wormwood Scrubs Act 1879.

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(13) Net Cash Flow from operating Activities

Net income/(expenditure) for the reporting period (as per the statement Adjustments for: Dividends, interest and rents from investments (Increase) in debtors (Decrease) in creditors and deferred income Net cash provided by (used in) operating activities	2022/23	2021/22
	£ £ 426,826 92,592 (22,253) (1,644) (97,073) 125,242 (40,178) 27,273
	267,322 243,463

Cash funds are held by the Council on behalf of the Trust.

(14) Related Party Transactions

The Council of London Borough of Hammersmith and Fulham (LBHF) is the trustee of the Trust. Most expenditure transactions of the Trust are with LBHF and therefore fall under the definition of related party transactions. However, as stated this does not conflict with the Trust's ability to meet its objectives.

----- Start of picture text -----
2022/23 2021/22
a) London Borough of Hammersmith and Fulham as transacting party £ £
- LBHF as contractor to the Trust
Environment Department for the provision of Routine Grounds
(326,121) (716,368)
Maintenance of Wormwood Scrubs (Ref Note 7)
- LBHF as recipient of contribution
Contribution to Linford Christie Stadium (Ref Note 6) (63,000) (164,820)
- LBHF as provider of administrational and management support to the
Trust
Environment Department for management & financial administration
(41,998) (4,511)
services of Wormwood Scrubs
Legal Services for the provision of legal advice required in the
(6,058) (16,466)
management of Wormwood Scrubs
(437,177) (902,165)
- -
Amounts due to or from related parties:
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(15) Trustee Remuneration, Benefits and Expenses

The Charities SORP (FRS 102) requires all trustee (or people connected with the charity) remuneration, benefits and expenses to be disclosed, regardless of size. There has been no remuneration, other benefit or expense payments to trustees, or people connected with the charity.

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(16) Staff Costs

The Trust's staff costs and employee benefits for 2022/23 are set out below:

2022/23 2021/22 £ £ Wages and salaries (33,838) - Social security costs (3,956) - Employer’s contribution to defined contribution pension schemes - - Operating costs of defined benefit pension schemes (excluding pension finance costs related to defined benefit pension schemes) - - Other forms of employee benefits - - (37,794) -	2022/23	2021/22
	(37,794) -

The average head count (number of staff employed) for the Trust was 1 in 2022/23 (0 in 2021/22). There were no employees who received employee benefits of more than £60,000. The Trust manager is employed and paid by the London Borough of Hammersmith and Fulham.

(17) External Audit Costs

The Trust has incurred the following costs in relation to the audit of the Statement of Accounts and statutory inspections provided by the Trust's external auditors:

Fees payable to the External Auditor with regard to external audit services carried out by the appointed auditor for the year	2022/23	2021/22
	£ £ (10,900) (9,950)
	(10,900) (9,950)

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