Charity registration number 1064178 Company registration number 00542449 (England and Walesl FFESTINIOG RAILWAY SOCIETY ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023
FFESTINIOG RAILWAY SOCIETY LEGALAND ADMINISTRATIVE INFORMATION Trustees Mr G Bond Mr J P Bowley Mr G Cole Mr R D Bentley Mi C M Tucker Ms C M Knowles Mr L Grahatn-Taylor DrA F Tucker Mr N C Smith Mr D R Jones Mi P J Hawkins (Appointed 10 June 20231 (Appointed 29 April 20231 Secretary Mr J E Fenner Charity number 1064178 Company number 00542449 Registered office Harbour Station Porthmadog Gwynedd LL49 9NF Auditor Champion Accounlanls LLP 2nd Floor Refuge House 33-37 Watergate Row Chester CH12LE
FFESTINIOG RAILWAY SOCIETY CONTENTS Page Ttustees. report statemet)t of Trustegs. responsibilities Independent auditorfs report ststement of financi81 activities 10 Balance sheet Statement of cash flows 12 Notes to the finaacial statements 13-24
FFESTINIOG RAILWAY SOCIETY TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) FOR THE YEAR ENDED 30 SEPTEMBER 2023 The trustees pwesent their annual report and finanaal statements for the year ended 30 September 2023. The financial staternent5 have been prepared in accordance with the 8ccounting poliaes sel out In note 1 to the finanual statements and comply with the charity's governing document. the Companies Act 2006 and Accounting and Reporting by Charitie5". Statement of Recornmended Practice applicable to charities preparing their accounts in accordance with the Fin8nual Reporting St8nd8id applicable in the UK and Republic of Ireland IFRS 1021" {effective 1 January 20191. Objectives and activitres The principal objective and aim of the Chaiity in the year under review was to advance the education of the public through the conservation of the Ffestiniog R8ihNay. In practical terms, the activities of the chantable company in furtherance of its objectives are to support the Festiniog Railway Company in it5 preservation and opeiation of the Ffestiniog Railway. Public benefit The trustees have paid dLJe regard to guidance issued by Ihe Charity Commission in deciding what activities the chaiity should undertake. Achievements and perforTftanee Volunteering has continued to provide approximately 50°/o of the total staff time during 2023 which is worth a very significant arnounl of rnoney to the Festiniog Railway Company. It is pleasing to see that the iegular groups, including Minibash, Megabash. Gigabash, Young Volunteers Training Week, Electrical Working Party. Drains Gang and many others have continued their important work. Individual volunteers supported the Operations and Locomotive departments with a very credible number of locomotive lums being covered by volunteers. The appointment of an engineering volunteers manager as part of the NLHF Inteipretation and Boslon Lodge Project (also known as the Boston Lodge project) has helped lo significantly improve th8 management and planning of the volunteer contribulion to the Cornpany. Train servi$ continued to operate as largely pre-booked experien$ during the year with the FfeslinK)g Railway offering Woodland Wanderer services to Tanybwlch, Mountain Spiril services to Blaenau Ffestiniog and, new for 2023. 8 Quarryman service from Blaenau to Porthmadog and return. Y Chware1wr l The Quarryman has been a great suc¢e5s and has been well received in Blaenau itself. This excursion style type of operation is not lo everybody's liking but it has helped to deliver a successful cotnmercial performance lor the Company, despi18 difficult trading conditions, which is not sotnelhing that every heritage railway has been able to achieve in the current year. The Company's decision to maintain the current travel concessions was welcomed. This was made possible bec8use the vast majority of mernbers followed the guidonce provided lor which the Directors are very grateful. The Soaety has been pleased to have worked with the Company during the year to assist with the irnplementation of the NLHF Boston Lodge project - the match funding for which has been provided in equal amounts by the Society and the Ffestiniog and Welsh Highland RaiaYS Trust. The Society's chairman has been a rnember of the Project Board during this period. Excellent progress h8s been made with the inlerpietation part ol the project and the results ol the outreach effort have exceeded expedations. We are looking forward to completion of the project during the Company and Sopiety's 70th Anniversary year. The Society was able to hold a second 'face-ttrface' Annual General Meeting in four years at bts 2023 event. Thts was supported by a large number of events ()ver that weekend which were only available to members. These events were designed to give membeis better access to opeialions and develcipmenls on the Ffestiniog Railway and its environment. The whole weekend was well recewed by members.
FFESTINIOG RAILWAY SOCIETY TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) {CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 The Board was pleased to be able to appoint Simon Artymiuk and Garelh Davies to the posts of M398zine Edittsr and Assistant Secretary during the year. These posts are vital to the smooth 8nd successfvl operation of the SoCty. The Soaety has been pleased to have been able to help support the Fesliniog Railway Company throughout wh8t has been another challenging year. Volunteers and members of the Society have been able to assist in delivering an outturn which is very encouiaging given the difficult times that we are still experiencing. The trustees I directors are very grateful lor the generous donations from rnembers that have made such support possible. The Soaety has been pleased to be able tts continue to support the management and operation of the hostels at Minffordd and Penrhyn which are so itnportant to supporting volunteer involvement. Bed nights have continued lo grow over and above the significant increase reported in the previous year which followed the limited use that was possible during the period of COVID restrictions. Once again, your Board determined not to increase hostel fees lor 2023124 following the freeze in 2022123. In late 2022 the Soaety Board adopted the recommendation of the Hostels committee to prc>vide younger volunteers with free hostel accommodation. These policies have influenced the increase in bed nights and the conseqLJent increase in volunteer effort. This approach continues lo receive much appreaation from bolh the Company and individual volunteers. Overall hostel income has continued lo recover from the restricted years ol COVID, wrth overall income just short of 2019 figures. The Minibash team have completed a very IhoTough refvrbishment of the exterior of Penthyn hostel which was paid lor by the Society. The next Step will be to review and upgrade the intemal facilite$. It is pleasing to report a small increase in the total membership of the Soaety frorn 4.830 to a year fioure of 4.971. The pioportion of life membership remains consistent al aiound 34°/o of the total population. whilst the increase in the year is from families and full tnembers. Financial review The Society has had a recoid financial year, with overall fufids increasing by £713,666 whilst also seeing donations lo the Festinlog Raithay Company of £506.725. Income is dominated by further significant legaaes, which in this year totalled just over £1,000,000. on top of over £782,00018St year. The primary legacies have been in resped of Stations1£500,0001 and infrasliuclufe1£432.5851. We have already been able to support projects from these generous amounts, committing to the resurfacing of Blaenau Station platform and reroofing of both Tan y Grisiau goods shed and Glan y Pwll workshop These legacies will allow the the Society to support many mole projects including the plans 81 TYB Station House, Lottie's Cottage and Blaenau Ffesliniog Station. In addition to the substant181 legaues, subscription$ income and donations have remained strong. We have also seen a big pickup in interest incotne to £25,901 as a combination of the larger amounts on bank deposit and the higher interest rates now in play. Going forward into 2024 we expect to see a further signifi(xnt increase in interest as we 1mplement a new investment strategy. Expenditure has retnained similar lo previous yeèrs and, as in previous years, the contributions lo the Festiniog Railway Cotnpany ietnain the biggest Part. Included in the donalions are the conversion of the remaining amount of the COVID loan (initially £400,000) of £91,804 to grants. In addition, £175.851 of general funds were paid over in respect of the NLHF project at Boston Lodge. Projects supported from the restricted funds include the above mentioned rerooling5, rebuilding the access wall to Tan y Bwlch station, work on T8n y Bwlch station house, Penrhyn station building and locos Linda and Kerr Stuart 4415.
FFESTINIOG RAILWAY SOCIETY TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORTI (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 ReseNes policy The Society's policy is to maintain an adequate reserve so as to enable il lo discharge its charitable objectives and meet its ongoing day to day requirements. This being the case, the trustees consider that Iwelve months of general fund expenditU18 15 an appropriale level of reserve to tHeet the day-to-day rLJnning costs of the charity includin9 maintaining prodLJclion of the in-house magazine and 5UPPOrt for the running of the volunteer hostels, with this amounting lo a sum of £95,000. The main need of course is to hold sufficient reserve5 for its core objective of supporting the Ffestiniog RaIaY, which includes collecting unrestricted, designated and restrided funds for a number of projects, adrninistering and collecting moneys from the annual appeals as well as raising and tnaintaining sufficient general IndS to tneet its obligations for committed charitable objects. As at Ihe end of 2023, the Society's main funds stood at." Restricted funds.. £2,480,06812022". £1,657,865) The ie5tiicted funds held by th8 charity are only available fof tJs8 on specffic projects which are taken forward as resources become available lo the Festiniog RaiaY Company. A detailed analysis ol these projects is di5c5osed in note 17 01 the finanaal stalemenls. General funds." £551,59712022.' 660,1341 The Society's'free, reseNe for the year being 8 suiplus of £551,59712022'. 8 surplus of 2660.134}. Fundraisin The year has seen the continuance of the appeal lo raise funds to support the Boslon Lodge project- whilst nol as successful as hoped foi. this IS still providing a Signifi1 contribution to the Society's ability to fund our share of the project. The on trains envelope appe81 tiansititsned lo supporting the Piince fund and its return lo Servi in 2025. With other donations, this raised a further £37,7 during the current year. putting the fund al £82,865 and in the position to consider the commenTrment of work- Prince was the first working 51eam loco in presetvalion nearly 70 years ago. Other low appe815 currently underway indude Mountaineer, where the fund is now at a respectable £51.505 8nd Linda, where the appeal exceeded the £60,000 target and went on to achieve 2107,649 (which will cover new ¢1nderS that will be required in the near teim). Plans for future pertods Subsequent to the year end, the Society 8gieed to convert the remaining balance ol the COVID loan that w8S instl9aled in 2020. This remaining balance of £91,804 was converted into substantial grants lo the Festiniog Railway Company which has been reflected in the 2023 financial year. Structure, governance and management The charity Is contfolled by its governing document, a memorandum and articles of assoaation, and constitutes 8 limited company, limited by guarantee, as defined by the CompaniesAct 2006.
FFESTINIOG RAILWAY SOCIETY TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) {CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 The trustees, who are also the directors for the purp05e of company law, and who served during the year and up to the dale of signature of the financial statements were.. MrG Bond Mr J P Bowley Mr G Cole Mr R D Bentley Mi C M Tucker Ms C M Knowles Mr L Graham-Taylor DrA F Tud(er Mr N C Smith Mr D R Jones Mr P J Hawkins Mr S G Miller (Appointed 10 June 2023) (Appointed 29 April 20231 IRÈ5igned 29 April 20231 Recmitment and appointfftent of trustees All trustees are elected for a period 013 years and have to stand for r&election every three years if continuing. This election happens at the AGM. Even is someone is co-opted during the ye81. they still have lo formally stand at the next election. lTrduction and training olltuslees As part of their induction, new Board mernbers 818 tnade aware of their responsibilities as board members. The induction includes an introduction to the objectives, scope and policies of the chaiitable funds. Charity comrnission inlomation on trustee iesponsibility and copies of the previous year's annual report and accounts are provided. Relalionship with thiffdpartles At the year end the Society hold5 ffive ordinary shares and one preference share in the Festiniog RaiaY Company, which have all been bequeathed to the Society. This constitutes a Tninority share and doe5 not give any control to the Souety. The Soaety makes grants to the Fesliniog R81haY Cornpany as part of the pursuance of the main activities of the Society. The Society also has the right lo nominate to the Ffestiniog Raihvay Trustees ftsr appointment one place on the Board of the Festiniog Railway Company as part of a reciprocal arrangernent. The Society interacts with area and functional grtsups, which have the cornrnon aims ol supporting the Ffestiniog Railway. Risk managem8nt The trustees have a duly to identify and review the risks to whTrch the charity is exposed and to ensure appropriate controls are in place lo provide reasonable assurance 8gainst fraud and error. Relètionship with la1edpartIeS The trustees consider the only key management personnel tsf the charity to be the board of tIUStees, who are in charge of directing, controlling, running and operating the charity of a day-to-day basis. Details of the trustees, remuneration, expenses and related party transactions are disd05ed in a note to the accounts. Auditor In accordance with the company's articles, a resolution pioposing that Champion Acwuntants LLP be reappointed as auditor of the company will be put at a General Meeting.
FFESTINIOG RAILWAY SOCIETY TRUSTEES, REPORT (INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 The Twslee was approved by the Board of Trustees. Ch Dale..
FFESTINIOG RAILWAY SOCIETY STATEMENT OF TRUSTEES, RESPONSIBILITIES FOR THE YEAR ENDED 30 SEPTEMBER 2023 The trustees, who are a150 the directors of Ffestiniog Railway Society for the purpose of company law, are responsible for preparing the Trustees, Report and the financial stalemenls in accordan with applicable law and United Kingdom Accounting Standards (United Kingdi)m Generally Accepted Accounting Pra¢tice}. Company Law requires the ITUStee5 to prepare financial statemenls for each financial year whi¢h give a true and fair view ol the slate of affairs ol the chaiity and of the incDrning resources and application of resources. including the income and expenditure, of the charitable company for that year. In Pfeparing thes8 financial statements, the trustees are required to.. - select suitable awjunting poliaes and then apply them consistently., observe the methods and principles in the chare$ SORP., make judgements and estimates thal are reasonable and prudent., and prepare the financial statements on the going concem basis unles5 It is inappropriate lo piesume that the chaiity will continue in opeialion. The tIUStees are responsible for keeping adequate accounting recoids that disclose with reasonable accur8cy at any lime the finanaa1 position of the charity and enable them to ensure that the financial staternent5 comply with the Companies Act 200S. They 8ie also responsible for safeguarding the assets of the charity and hents for taking reasonable steps for the prevention and detection of fiaud and other irregularities.
FFESTINIOG RAILWAY SOCIETY INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF FFESTINIOG RAILWAY SOCIETY Opinion We have audited the finanaal statements of Ffesliniog Railway Society (the '¢harity'l for the year ended 30 September 2023 which comprise the statement of financial adivbties, the balance sheet, the staletllent ol cash flows and notes to the financial s18lements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and Unrted Kingdom AccouT)ling Standards, including Finanoal Reporting Standard 102 The Financial Reporting Standard applicable in the UK antl Republic of Ireland {United Kingdom Generally ACpIed Accounting Practice). In our opinion, the financial statements.. give a true and lair view of the state of the charitable company's affairs as at 30 September 2023 and of its incoming resources and application of resources, for the year then ended.. have been propeTly prepared in accordance with United Kingdom Geneially Accepted Accounting Practice., and have been prepared in accordan with the requirements of the Companies Act 21x16. Basis for opinion We conducted our audit in accordance with InternatTronal Standards on Auditing IUKI IISAS IUKI} and applicable law. Our responsibilities under those standards ale further described in the Auditorfs responsibili1188 for the audit of the financial st8t8mentS Section of our report. We are independent of the chaiity in accordance with the ethical requirements that ale ielevant to our audit ol the financial statements in the UK, including the FRC'S Ethickl Standard, and we have fulfilled our other ethical responsibilities in accordanee 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 Trustees. use of the going concern basis of accounting in the prep8ration of the financial statements is appropriate. Based on the work we have performed, we have not identified any material nrtain{leS relating to events 01 conditions that, individually or collectively, may cast signilicant doubt on the charity's ability to continue as a going concern for a period of at least tWee months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concem aTe described in the relevant sections of this report. Other information The othei inftsrmation comprises the infomation included in the annual report other than the financial statements and our audrtorfs report thereon. The trustee5 are responsible for the other information contained within the annual report. Our tspinion on the financial statements does not cover the other infomation and we do not express any form of assurance conclusion thereon. our responsibility is to read the other information and, in doing so, consider whether the othei informalion is rnaleiially inconsistent with the financial statements or our knowledge obtailled in the course of the audit, or otherwise appeals to be materially misstated. If we identify such material inconsistencies or apparent material tnisslatements. we ale required to determine whether thi5 gives rise to a material misstatement in the financial slatetnents themseeS. If, based on the work we have performed. we condude that there is a material misslalement of this other information. we 8Te required to report that fact. We have nothing lo r&port in this regard. Matters on whlch we are requbrèd to report by exception We have nothing lo report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulation5 2008 require us to report lo you if. in our opinion.. the infoimatun given in the financial statements is inconsislenl in any material respect with the TfUStees' report.. or sufficient accounting records have not been kept,. OT the financial statements are not in agreement with the accounting records., OT we hav8 not recewed all the information and explanations we require lor our audit.
FFESTINIOG RAILWAY SOCIETY INDEPENDENT AUDITOR'S REPORT {CONTINUED) TO THE TRUSTEES OF FFESTINIOG RAILWAY SOCIETY Responsbbilities of trustees As explained more fully in the statement of Trustees, responsibilities, the trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the fnanual statements and for being satisfied that they give a tiue and fair view, and for such internal conliol as the trustees determine is neSSary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In pieparing the finanaal statements, the trustees are responsible foi assessing the Qhaiity5 ability to continue as a going concem. disclosing, as applicable, rTratters related lo going concern and using the going concern b8sis ol accounting unless the trustees either intend to liquidate the charitable company or lo cease operations, or have no realistic alternative but lo do so. Audltor's Tesponsibilltles for the audbt of the Ilnancial 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 m8de or having effect theieunder. Our objectives are to obtain reasonable assuran about whether the financial staternent5 as a whole are free from material miss18tement, whether due lo fraud or error, and to 155ue an audito¢s report that includes our opinion. Reasonable assuiance is a high level of a55uranTr but is not a guarantee Ihal an audit coriducted in accordance with ISAS IUKI will aayS detect a material tni55tatement when it exists. Misstaterrents can arise from fraud or error and are considered malerial if, individually or in the aggregate, they could reasonably be expected to intluence the economic de¢isions of users taken on the basis of these financial statements. Irregularities, including fiaud, are instan$ of non-compliance wilh laws and iegulations. We design procedures in line with our responsibilities. outlined above. to detect tnaterial misstalernents in respect of irregulaiitie5, including fraud. The extent to which Duf procedures ale capable of detecting irregu18rities, including fraud, 15 detailed below. Extent to which the audit is Conside capable of detectKng Irregularities, including fraud The responsibility for the prevention and detection ol irregularities, including fraud, lies Wlth the trustees and with those charged with governance. The objectives of our audit in ie5pect of irregularities and fraud are to assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient. appropriate audit evidence regarding the a55essed risks and to iespond appropriately to fraud or suspected fraud identified during the audit. Audit procedures We determine significant applicable laws and regulations Ihrovgh discussion with those ¢hafged with govemance and our own knowledge of the industry and design audit procedures to help identify instances of non-compliance with those laws and regulations that may have a fflaterial effect on the Iinancial statements. Our approach is to consider the legal and regulatory frameworks directly applicable lo the financi81 Statements reporting framework IIFRS 102 and the Companies Act 20061 and the relevant tax compliance regulations in the UK., the nature ol the industry., the business perfoirnance and the key drivers for management remuneiation., the control environment and the procedures in place to address identified risks, including management overiide, non- compliance with laws and regulations and to prevent and detect fraud or irregularity. We communicate identified laws and regulations throughout our team and remain alert to any indications of non-compliance throughout the audit. Our ProduleS are designed lo provide reasonable assuiance that the financial statetllents are fe from material misslalemenl or error and include.. enquiries of management and of staff in key ¢ornpliance functions., review of minutes of rneeting5 of those chaiged with governance,. review and testing of manual fjournals and significant transactions outside the nomal Qouise of business,. review of financial statement disclosures and testing lo supporting documentatOrn., performance of analytical procedures. We are not responsible for preventing non-compliance and due to the inherent limitations of an audit, as described above, the audit cannot be relied upon lo delect all instances of non-cornpliance wilh laws and regulation5. A further description of our responsibilities is available on the Financial Reporting Council's website al.. https".11 w¥vw.frc.org.ukJaudilorsre5ponsibilities. This de$pIlon forms part of our audiloi's ieport.
FFESTINIOG RAILWAY SOCIETY INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF FFESTINIOG RAILWAY SOCIETY Use of our report This report is made solely to the charty's trustees, as a body. in accordan with part 4 of the Charrties IA¢¢oun15 and Reports) Regulations 2008. Our audit work has been undertaken so that we rnight State to the tharity's trustees those mallers we are iequiied to state to them in an auditorfs report and for no other purpose. To the fullest extent peimitled by law, we do not accept or assume responsibility lo anyone other than the charity and the charitys trustees as a body, for our 8udit work. for this report, or for the opinions we have formed. Susan Harris MAACA (Senior Statutory Auditorl for and on behalf of Chawnpion Accountants LLP I q ..Htr..LU yo L* Chartered Accountsnts statutory Auditor 2nd Floor Refuge House 3>37 Watergate Row Chester CH12LE Charnpion Accountants LLP is eligible for appointrllent as auditor of the charity by virtue of ils eligibility for appointment as auditOT of a company under section 1212 of the Companies Act 2006.
FFESTINIOG RAILWAY SOCIETY STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 30 SEPTEMBER 2023 Unrestricted Restricted funds funds 2023 2023 Total Unrestricted Restricted funds funds 2022 2022 Total 2023 2022 Notes Income fro¥n'. Donations and legacies Charitable activities Investments 122,716 144,748 6,457 1,021,900 1,144,616 144.748 25,901 150,273 137.552 791 800,389 950,662 137,552 1.183 19,444 392 Total income 273,921 1,041,344 1,315.265 288.616 800.781 1,089.397 Charitable activities 382,458 219,141 601,599 320,645 43,996 364,641 Net IncomellexpendituI 1108.5371 822,203 713,666 132,029) 756,785 724,756 Transfers between funds 110,615} 10,615 Net movement in funds 1108,5371 822,203 713,666 (42,6441 767.400 724,756 Re¢onciliation of funds: Fund balances 3t 1 October 2022 660,134 1,657,865 2,317,999 702,778 890,465 1,593,243 Fund balances at 30 September 2023 551,597 2.480,068 3.031.665 660,134 1.657,865 2.317,999 The statement of financial activilps includes all g8ins and losses recognised in the year. All income and expenditure derive from continuing 8Ctivilies. 10
FFESTINIOG RAILWAY SOCIETY BALANCE SHEET AS A T 30 SEPTEMBER 2023 2023 2022 Notes Flxèd a$ets Tangible 8ssels Investments 11 12 Current a¥sets Debtors Cash at bank and in hand 13 92,841 3.081,002 1,079,338 1,450,618 3,173,843 2,529,954 Credltors.. amounts falltng dug Within one year 14 70,603 145,608 Nt eurranl a59è1$ 3,103,240 2,384,346 Total assets less current liablliti&s 3.103,249 2,384,355 CTgdltors'. amounts falllng du• aft•r mor8 than one year 18 171,5841 166,3561 Net assets 3,031,665 2,317,999 The funds of the charity Restricted in¢ome ftjnds Unrestricted fund$ 17 2,480,068 551,597 1.857,865 660.134 3,031,665 2,317,999 The company Is entitled to the exemption from the audit requirement contained in section 477 of the Companies Aet 2006, for the year anded 30 September 2023, although an audit has been canied out under section 144 of th¢ Charities Act 2011. Tha directtsfs acknoedge thelr responsiblllties for complylng wllh th$ requirements of the Companies Act 2006 with respect to accounting records and thè preparation of finantyal stateTnenl$. The members have not required the company to obtain an Èudil of its finan¢i?I ststements under the requiremènts of the Companies Act 2006, ftsr the year in qutsstiot) Tn 3ctordaneo with 58Gtlon 476. These finandal statements have been prepared in accordanea th the prowsions applicable to cornpanies subject to th8 small companie¥ regime. The financ ents were approved by the tnjslees on .. Co pany registration number 00542449 (England and Wales)
FFESTINIOG RAILWAY SOCIETY STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 SEPTEMBER 2023 2023 2022 Notes Cash flows from operatlng activitie5 Cash generated from opeiation5 21 1,604,483 384,569 Investing activities Investt¥ient income received 25,901 1,183 Net ¢ash genèrated from investirbg a¢tiviti85 25.901 1,183 Net cash used in financing activitie$ Net Increase in cash and ta5h equivalents 1,630,384 385.752 Cash and cash equivalents at beginning of year 1,450.618 1,064,866 Cash and cash equivalents at end of year 3.081,002 1.450,618 12
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023 Accountlng policies Charity information Ffestiniog Railway Society is a private company Sitnited by guarantee incorpoiated in England and Wdles. The registered office is Haibour Station, Porthmadog. Gwynedd, LL49 9NF. 1.1 Accounting convention The financial staternents have been prep31ed in accordance with the chaiitls goveming document, the Companies Aol 2006, FRS 102 'The Financial Reporting Standard applirAble in the UK and Republic of Ireland. I'FRS 102.1 and the Charities SORP "Accounting and Reporting by Charities.. Statement of Recommended Pradice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic trf Ireland IFRS 1021" leffeclive 1 January 20191. The arity is a Public Benerrt Entity as defined by FRS 102. The financial statements ale prepad in sterling, which 15 the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. 1.2 Going con¢em At the time of approving the financial Statements. the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existen lor the foreseeable fuluie. Thus the trustees continue lo adopt the going concern basis of accounting in prep81ing the financial statements. 1.3 Charitable funds Unrestricted funds 8re available for use al the discietion of the trustee5 in furtheran of their charitable objectives. Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds aTe set out in the notes to th8 financial slatemenls. Endowrnent funds are subjecl to specific conditions by donors that the capital rnusl be rnaintained by the charity. 1.4 Income Income is recognised when the charity is legalty entitled to It after any performance Conditions have been met. the amounts can be measured reliably, and il is piobable that income will be ieceived. Cash donations are recogni5ed on reTripl Other donations are recognised once the charity ha5 been notified of the donation, unless performan conditions reqijife deferral of the arnount. Income tax recoverable in relation to donations received under GiftAid 01 deeds of covenant is reoognised at the time of th8 donation. For legacies, enlillemenl is taken as the earlier of the date on which either". the charity is aware that probate has been granted, the estate has been finalised and notification has bèen made by the executor{sl to the Society that a dislribufion will be made, or when a distribution is received trorn the estate. Receipt of a legacy. in whole or in part, is only considered probable when the amount can be rneasured reliably, and the charity has been notified ol the executoi's intention to make a distribution. Where legacies have been notified to the charity, or the charily is awaie of the granting of probate, and the criteria for incotne recognition have not been mel, then the legacy is treated as 8 contingent asset and disclosed if material. Incorne from govemrnent and other grants, whethei'rapital, orants or'revenue, grants, is recogriised when the chaiity has entitlement to the funds, any performance conditions attached to the grants have been rnet, it is probable that the income will be received, and the arnount can be measufed reliab and is not deferred. 13
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 Accounting policies (Continued} Subscription and Society rnembership income are recognised according to the above criteria Wlth the exception of amounts received and deetned to be reiVed in advance, which are deferred until the income r8cognition criteria are mel.. Annual membership relating to 3112 of the membership incotlle 15 deferred until the subsequent period. Advanced tnembership receipts are deferred and released in the period to which they relate. Diamond Jubilee Appeal income is leiVed for a 5-year membership peiiod and is deferred and apportioned accoidingly. Life and associated life membership incotne 15 deferred and amort15ed over a 11>year period, which is corrmensurate to the policy adopted by other similar organisations. Interest on fund5 held on deposit is included when receivable and the amount can be measured reliably by the charity., this 15 normally upon notifieation of the interest paid or payable by the Bank. 1.5 Expenditure Expenditure is recognised once there is a legal or constructive obligalion lo transfei econornic benefit to a third party, it is prob8ble that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be tneasured reliably. Expenditure is classified by activity. The costs of each activity ale made up of the total of direct Costs and shared costs, induding support COSts involved in undertaking each activity. Direct costs attribulab1e lo a single activity are allocated directly to that aclivrty. Shared costs which oontiibute to more than one activity and support costs which are not attribtrtable to a single activity are apportioned between those acltvilies on a basis nsi5tent with the use of resources. In older for donations lo meet this recognition criteria, agreements in principle to provide funding for proposed projects are not recognised until valid expense claims are made to (he Society, discussed by ils board and approved for release. 1.6 Tangible fixed assets Tangible fixed assets are Initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is reco9nised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following ba5es'. Plant and equipment offi equiptnent Society films 200/0 per annum straight line. 20°/D per annum 5tr8ight line. 20Vp per 8llllUtn straight line. The gain or loss arising on the disposal of an ass8t is detemined as the difference belween the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial aCtItIes. 1.7 Fixed asset Énve5tments Fixed asset investments are ini118lly measured at transaclion price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net incornellexpenditurel for the year. Transaction costs are expensed as incurred. 14-
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 Accounting policles (Continued) 1.8 Impairmenl of fixed assets At each reporting end date, the charity reviews the carrying amounts of it5 tangible assets lo deteitnine whether there is any indication that those assets have suffered an impairrnenl 1055. If any such indication exists, the recoverable arnount ol the asset is eslirnated in order to determine the extent of the impairment loss lif any). 1.9 Cash and cash equivalents Cash and cash equivalents include cash in hand. deposits held at call with banks, other 5hort-tem) liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 1.10 Taxatlon The charity is exempt from corporation tax on its charitable activities. 1.11 Concessionary loan5 to the Festiniog Railway Company As part of its response lo the restiictions imposed due to the Coronavirus outbreak, the Society set forth a plan to support the Company through this unprecedented challenge. As part ol this, a 108n of £250,000 was made lo the Company in April 2020, which was then followed by a further £150.000 at the beginning in July 2020. Both these loans were treated as being repayable on demand and ale interest free. Since their initial diawdown by the Company, repayments have been made either through the conversion of balances to notional donations for work carried out on ¢ertain projects, or through 'cash' repayments. There is a separate loan advanced to the Festiniog Railway Company of £27,000 to cover cashflow timing differences between projects being undert8ken and funds being claitned from the Society. In line with the provisions within the accounting standards, these loans are recognised initially at Cost, with repayments or conversions lo granls being recognised in the relevant periods. 1.12 Voluntsry a8si5tance The charrtable company has no ertiployees and many of its tlletnbers give felY of their time to carry out all of the actwities of the company. These voluntary contributions are not included in the accounts. Critical accounting estimates and judgemènts In the application of the charity's accounting policies, the trustees are required tts make judgetnents, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions ale based on historical experience and other factors that are considered lo be relevant. Actual sUlts may differ from these estimates. The estimates and undeilying assumptions are reviewed on an ongoing basis. Revisions lo accounting estimates ale recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the ievision and future periods where the revision affects both current and future periods. 15-
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 Income from donatlons and legacies unStrICted Restricted funds funds 2023 2023 Total Unrestricted Restricted funds funds 2022 2022 Total 2023 2022 Donations and gifts Legacies receivable Gift Aid 25,703 70,283 26,730 74,674 932.585 14,641 100.377 1,002,868 41,371 52,039 32.411 65,823 43.731 750,000 6.658 95,770 782.411 72,481 122,716 1.021,0 1,144,816 150,273 800,389 950,662 Income from charitable activities Charitable Charitable activities activities 2022 2023 Subscription income Hostel income Magazine income Sundry income 117,847 21,228 4,804 869 114,045 15,819 5,043 2,645 144,748 137,552 Analysis by fund Unreslricled funds 144,748 137,552 Income from investments Unrestricted Restricted funds funds 2023 2023 Totsl Unrestricted Restricted funds fund5 2022 2022 Total 2023 2022 nteresl Teceivable 6,457 19,444 25,901 791 392 1,183 16-
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FSNANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 Expenditure on charitable activities Charitable activities 2023 Charitable activities 2022 Direct costs Donations to Ffesliniog Railway Cotnpany Hostel expense5 Magazine productions costs Registry expenses Sundry expenses Postage and printing costs 506,725 50.279 27,410 2,205 3.231 1,872 256.782 55,750 34,464 3,552 4,196 591,722 354,744 Share of support and governance costs l$ee not8 71 Support Govemance 2,377 7,500 2,937 6,960 601,599 364,641 Analysis by fund Unrestiicted funds Restricted funds 382,458 219,141 320,645 43.996 601,599 364,641 Support costs allocated to activitleS 2023 2022 Finance costs Govemance costs 2,377 7,500 2,937 S,960 9,877 9,897 Analysed between.. Charitable activities 9,877 9,897 Trustees None of the trustees (of any persons connected with them} received any remuneration or benefits from the charity during the year. 17
FFESTINIOG RAILWAY SOCIErf NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 Employees The 8v@iage monthly number of ernployees during the year was.. 2023 Number 2022 Numbèr Total There were no employees whose annual remuneration was Tnore than £60,000. 10 Taxation The charity is exempt from taxation on ils 8ctThrities because all its income is applied for charitable purposes. 11 Tangible fixed assets Plant antl eguipment otlice Society film8 oqulpmont Totsl Cost At 1 October 2022 1,100 1,536 409 3,045 AI 30 Sept8rnber 2023 1,11i0 1,536 409 3,045 Depreciation and impairrnent At 1 October 2022 1,099 1.535 408 3.042 At 30 September 2023 1,099 1,535 408 3,042 Carrying amount At 30 September 2023 At 30 September 2022 12 Fixed asset Investsnents Unlisted investments Cost or valuation At 1 October 2022 & 30 September 2023 Carrying amount At 30 September 2023 AI 30 Septembei 2022 18
FFESTINIOG RAILWAY SOCIErf NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 12 Fixed asset investments Icontinuedl There were no investment assets outside the UK. The above ffigures consist of.. 8. The Festiniog Railway Company 100 5D/o piefeience shares of £10 each - 81 ¢osl- £1 b. 5 ordinary shares of £1 each- at cost- £5 In the opinion of the ttustees, the market value ol the shales is similar to their cost. 13 Debtors 2023 2022 Amounts falling due within one year= Gift 8id debtors Other debtors 34.706 58.135 77,633 1,001,703 92,841 1,079,336 14 Credltors: amounts falling due within one year 2023 2022 Notes Deferred income Trade cieditois Other (xeditors Accruals 16 41,109 45,586 3,042 90,020 6.960 21,994 7,500 70,603 145,608 15 Craditors: amounts falling due after morg than one year 2023 2022 Notes DefeTred income 16 71.584 66.356 16 Deferred income 2023 2022 Arising from Subscriptions in Advance 112.693 111,942 Deferred income is included in the financial statements as follows.. 19
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 16 Deferred income IContinued} 2023 2022 Defeired income is induded within". 41,109 71.584 45,586 66,356 Non-curient liabilities 112,693 111,942 Movements in the year. Deferred income at 1 October 2022 Released fiotll pievious periods Resources deferred in the year 111,942 145,586) 46,337 102,417 133,1591 42.684 Deferied inctsme at 30 September 2023 112.693 111,942 -20-
FFESTINIOG RAILWAY SOCIErf NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 17 Restrlcted funds The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject lo specif1c conditions by donors a5 to how they may be used. At 1 October 2022 Incoming resource5 Resources expended Transfers At30 September 2023 Heiitage Fund Volunteer Hostels, Fund Minffordd Station Tan y Bwlch Station Kids Week Lineside Vehicje Hugh Napier England Locos Linda Mountaineer Kerr Stuart diesel 4415 James Spooner Vintage Carriages Stations LAG drain5 Aichives Waggon Tracks Peim8nenl way Heiitage Buildings Infrastructure Health & Safety and Others 7,139 1,554 3,356 28 6,895 25,513 1,455 45,075 73,176 37,773 20.062 61,371 78.385 750,(KIO 1,852 8,497 942 136,560 354,705 476 13 557 807 122 6,902 29 37,790 14,866 13,732 3,930 2,701 739 510,266 17 769 243 1,905 10,981 432,585 1,913 7,615 1,567 3,913 835 7,017 32,414 1,485 82,865 42,562 51,505 10,726 64,072 79,124 1,245,019 1,304 9,266 1.185 138,465 356,261 321.588 21,281 {45,4811 113.2651 115,2471 15861 {9,4251 1110,9981 124.159} 43,527 1,657,865 1,041,344 1219,1411 2,480,068 21
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 17 Restricted funds (Continued) Previous yèar-. At 1 October 2021 Incoming resources Resources expended Transfers At30 Septernbèr 2022 Heritage Fund Volunteer Hostels. Fund Minffordd Station Tan y Bwlch Station Kids Week Lineside Vehicje Hugh Napier England Locos Linda Mountaineer Kerr Stuart diesel 4415 Jarnes Spooner Vintage Carriages Slalions LAG drains Archives Waggon Tracks Permanent way Heritage Buildings Health & Safety and Oth8is 7,000 1,553 3,212 2.193 9,885 24,997 765 22,TlO 89,542 17,944 29,718 57,652 82,040 86 53 7,139 1.554 3.356 28 6,895 25,513 1,455 45,075 73,176 37,773 20.062 61,371 78,385 750,000 1,852 8,497 942 136.560 354,705 43.527 274 1,283 405 516 451 19,839 513 17,135 2.392 2,879 52 750,000 1731 {1,9651 {3.4451 15n 11,4831 50 239 2,466 3.241 2,694 590 840 120,1201 112,638) 13,7071 4.200 7,539 941 135.224 354,213 39,077 11.8261 15241 265 693 1,335 486 2.438 {2221 2,234 890.465 800,781 143.9961 10,615 1,657,865 18 Unrestrlcted funds The unrestricted funds of the charity comprise the unexpended balan$ of donations and grants which are not subject to specific conditions by donors and giantor5 as to how they may be used. These Include designated funds which have been set aside out of unie8trded funds by the trltslees for speofic putP05es. At 1 October 2022 Incoming resources Resources expended Transfers At30 September 2023 General lunds 660,134 273,921 {382,4581 551,597 Previous year.. At 1 October 2021 Incoming re80LEfc8S Resources expended Transfers At30 September 2022 General funds 702,778 288,616 1320,6451 {10.6151 660,134 -22-
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 19 Analysis of net assets between funds Unrestricted funds 2023 Restricted funds 2023 Total 2023 Fund balances at 30 September 2023 are represented by= Tangible assets Investments Current assetsllliabilitiesl Long term liabilities 623.172 171.5841 2.480.(8 3,103,240 171.5841 551,597 2,480,068 3,031,665 Unre8tricted funds 2022 Restricted funds 2022 Total 2022 Fund balances at 30 Septernber 2022 are represented by= Tangible assets Investments Current asselsllliabilitiesl Long term liabilities 726,481 166.3561 1,657.865 2.384,346 166,3561 660,134 1.657,865 2,317,999 20 Related party transactions As stated in the prinapal activities section of the trustees. report. the purpose of the company is to support the restoration of the Ffestiniog Railway. Foi tnany years, there has been an arrangetnent whereby the company nominated one director onto the board of The Festiniog Railway Company and that company nominated a person lo sil on the board of this company. At the Start of the year, Sam Miller was the Society nominee. From the 15th June 2023. Satll Miller stood down and was replaced by Graham Cole. Neither Sam Miller or Graham Gole ieceived any benefit from the Society during the year. During the year. the Ffestiniog Raithay Society made donations totalling £506,725 12022". £256,782) to The Fesliniog Railway Cotnpany. The makeup of which being Tnade up of current year donation5 atnounting to £414,921 12022.. £205,793), a conversion of the COVID support loan of £91,804 12022.. £nill and year end accruals amounting lo £nil12022." £50,989>. The Society also had transactions with related groups and the FR Co during the year, and al the year end the Festiniog Railway Company arnount owed to the Society stood at £27,00012022'. £118,804>, with this amount being included within debtors on the balance sheet. The Society 8150 retained funds on behalf of the Dee & Mersey and FR Heritage groups. with the total held wrthin creditors amciLJnting to 1,994(2o22'. £21,962). -23-
FFESTINIOG RAILWAY SOCIETY NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 SEPTEMBER 2023 21 Cash generated from operations 2023 2022 Sufplus for the year 713,866 724,756 Adjustments for.. Investment income recogntsed in statement of financial activities {25,9011 11,1831 Movements in working capital.. Decreasellincre8sel in debtors IDecreasellincrease in creditors Increase in deferred income 986,495 170,5281 751 {394,7301 55,726 9,525 Cash g8nerated from operations 1,604,483 394,094 22 Analysis of change8 in net funds The charity had no tHaterial debt during the year. 24-