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2023-12-31-accounts

A company limited by guarantee Registered in England No. 03524502 Registered charity No. 1068911 SC No. 045070

Annual Report and Group Accounts

of

Redwings Horse Sanctuary

for the year ended

31[st] December 2023

REDWINGS HORSE SANCTUARY

CONTENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Page(s) Detail
3 Legal & Administrative Information
4 - 17 Report of the Trustees
18 - 21 Independent Auditor’s report
22 Consolidated statement of financial activities
23 Parent company statement of financial activities
24 Balance Sheet
25 - 26 Cash flow statement
27 - 37 Notes to the accounts

REDWINGS HORSE SANCTUARY

LEGAL & ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Full name of charity Redwings Horse Sanctuary
Norwich Road, Hapton, Norfolk, NR15 1SP
Constitution A charitable company limited by guarantee.
Governing document Memorandum and Articles of Association as last amended on 20th
September 2021 (prior amendment 15thJune 2014).
Objects of the Charity The Charity is established for the benefit of the public to relieve the
suffering of horses, ponies, donkeys, and mules which have suffered from
maltreatment, neglect, or poor circumstances. To advance the education
of the public in matters pertaining to the welfare of horses, ponies,
donkeys, and mules in general and the prevention of cruelty and suffering
among such animals.
Company registration number 03524502
Charity registration number 1068911 (England & Wales)
SC045070 (Scotland)
Trustees Mark Little FRICS FAAV, Chair
Andrew Fryer, Treasurer to 13 November 2023 (retired 29 April 2024)
Paul Fileman, Vice Chair
David Buckton
Daren Moore FCCA, Treasurer (appointed 13 November 2023)
Ian Scott
Tom Sharpe
Emma Williams
The Trustees constitute Directors of the charitable company and
Trustees of the charity for the purposes of the Charities Act 2011. In
accordance with the company’s Articles of Association all Trustees retire
from office on a fixed term cycle with maximum terms, depending on
which, at the Annual Retirement Meeting, they may seek re-election and
new Trustees can be elected.
Chief Executive & Secretary Lynn Cutress
Bankers NatWest Bank plc, 21 Gentleman’s Walk, Norwich, NR2 1NA
Auditors RSM UK Audit LLP, 1stFloor, Platinum Building, St John’s Innovation
Park, Cowley Road, Cambridge, CB4 0DS
Investment managers Quilter Cheviot, One Kingsway, London, WC2B 6AN

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Mission Statement

We aim ‘to provide and promote the welfare, care and protection of horses, ponies, donkeys and mules’.

Who we are and what we do

Redwings Horse Sanctuary (‘Redwings’) was established in 1984 and today has grown to be the largest horse sanctuary in the UK. We are a national charity working across the UK to save horses, ponies, donkeys, and mules whose future would otherwise be bleak.

Welfare is at the heart of everything we do. Our work is based on the principle that once we admit a horse or donkey or mule (‘horse’) to our care, we retain ownership for the rest of their days.

We operate from 12 sites of owned grazing land in Norfolk, Essex, Warwickshire, Monmouthshire, and Angus (Scotland). Five of these sites are Visitor Centres - open to the public and free to visit.

The main themes of our work are – rescue and rehabilitation, specialist sanctuary care, and prevention of abuse and neglect through education. We run a rehoming scheme (guardianship) for those horses and donkeys with a potential for life outside the Sanctuary environment.

Governance and Management

Governance

Redwings operates as a charitable company limited by guarantee, under the terms of its Memorandum and Articles of Association. The overall direction and management of the Charity rests with a Management Board of a minimum of five Trustees. The Management Board sets an annual programme of quarterly meetings to approve new initiatives as well as to review and monitor the progress of the Charity in meeting its strategic objectives and its governance controls. Trustees also make provision and time, if necessary, to hold Extraordinary Meetings on significant projects and timely developments if they fall outside the quarterly cycle. A high level of attendance at Management Board meetings continues to be maintained, which now, post-COVID-19 are online (as permitted under our governing document), hybrid, or fully in-person, including an annual-away day. The Management Board assigns one of the Trustee roles to serve as Treasurer; this role includes working with management including reviewing the Annual Accounts and meeting with appointed Auditors as part of the Audit process.

Management

Day-to-day operational control of Redwings has been delegated by the Management Board to a Chief Executive & Secretary, who in turn is supported by a Senior Management Team of professionals including finance, human resources, equine care, communications & campaigning, fundraising, and veterinary.

Governance Policies

The Management Board has adopted policies addressing the role of the Trustees, the Chair, the Treasurer, and the Chief Executive, and adopted Codes of Conduct for the Board and the Chief Executive. All aspects of governance are kept under review in line with best practice and include the Chief Executive being a full member of the Association of Chief Executives of Voluntary Organisations (ACEVO). The Chief Executive keeps the Board

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appraised of new charitable policies, Codes of Practice, and concepts relevant to the work of the Charity with regular items on the Board’s agenda at meetings, and through bulletins and subscriptions for Board members of a governance publication. There is a governance section on Redwings’ website which includes the Code of Conduct for Trustees. The Management Board keeps the Charity Governance Code under review as well as key policies on their Redwings Management Board’s portal.

Recruitment, induction, and training of Trustees

When a Trustee vacancy arises, a review and skills audit (adapted from Reach Volunteering’s model) is carried out before recruitment. Appointed Trustees are chosen for the experience and skills thought necessary and relevant to ensure effective management of the Charity. At the end of 2023 a new Treasurer was appointed; we are indebted to the advice and support of our retiring Treasurer for more than a decade in the role and before then as Trustee, and his support and time in the handover to his successor. New Trustees receive an induction in their initial months, including seeing the operational work and explaining policies and procedures, and taking part in Safeguarding training. Trustees are subject to a regular skills audit to ensure the knowledge is there to lead the Charity.

Fundraising

Trustees are fully aware of their responsibility and commitment to the strategic leadership of Redwings as a charity which values its supporters; without its supporters, its work would not be able to continue.

Redwings pledges to adhere to best practice when raising and receiving funds from individuals, organisations, trusts and foundations. Redwings’ fundraising team includes staff who are members of the Chartered Institute of Fundraising, and the Charity is registered with the Fundraising Regulator and The Gambling Commission. Guidelines and Codes of Practice set out by these bodies are regularly reviewed to ensure that operations are in line with best practice and the law. Redwings has a set of Organisational Values, Standard Operating Procedures, and comprehensive policies, and provides training and guidance to its staff and volunteers. Redwings understands that some donors may be vulnerable or not have the capacity to decide to donate; in which case Redwings will not accept or encourage a donation and will follow the guidance of the Chartered Institute of Fundraising and Fundraising Regulator. In addition to one Trustee’s professional career in fundraising, all Trustees are aware of their responsibilities regarding fundraising, including reviewing the guidelines from the Regulator at Management Board meetings, and keeping updated guidelines and documentation on the Redwings Management Board portal.

Redwings has a robust complaints process, including reviews to learn from any complaints received and to continually improve the supporter experience. The operational management team meet to review complaints and the Management Board monitors complaints received and how they were addressed. A significant amount of fundraising is through appeals and newsletters and all fundraising complaints received during 2023 were minor and were swiftly resolved.

There are no third-party fundraisers acting on the Charity’s behalf. Supporter data is not shared. Supporter recruitment methods are largely based around Redwings free-to-visit centres.

Strategic Report

Rescue and admissions

Where possible Redwings tries to help horses remain in the care of their owners through providing advice. During 2023 the Welfare & Horse Care Helpline gave advice 800 times (a 26% increase on 2022). Concerns to the Helpline resulted in investigating 275 concerns (a 33% increase on 2022 and our highest number for over five years). The

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welfare team’s workload has become particularly demanding at times due to the complexity of calls and time spent per call impacted by increased costs of keeping horses and extremes of weather, which puts further demands on horse keeping.

The welfare team is led by an experienced senior veterinary surgeon and is supported by dedicated welfare veterinary surgeons who attend rescues and cases to ensure proper assessment at the earliest opportunity. There is a team of field officers who, working alone or in partnership with other charities or agencies, act as Redwings’ eyes and ears across the UK. This approach enables all partners to make the most of limited resources and saves duplication of effort, resulting in a focus on the horse in need.

Redwings’ veterinary teams have developed expertise in the management of infectious diseases, through cases admitted to the Sanctuary. Before a horse is admitted, each one undergoes assessment at either the main Quarantine Centre or in set-aside quarantine facilities on other sites outside Norfolk.

In 2023, we continued to be running at capacity and limit admissions, 101 horses were safely admitted (2022:109) including some with high dependency needs. Formal admission requests unfortunately increased by 15% (523). The team tried hard to support welfare needs that went beyond admissions, through their external veterinary work and field officer support. Working beyond-capacity puts continued pressure on facilities and costs. The Charity seeks to find more sustainable models for horse owners to deliver good welfare standards, including meeting monthly online with peer charities to ensure a common understanding of the challenges facing rescue centres. The operational team checks for trends whilst there is a cost-of-living challenge and costs continue to rise in most matters associated with horse-keeping.

Rehabilitation and equine behaviour

Redwings has a specialist team who focus on leading on rehabilitation and equine behaviour work. The team trains staff on equine behaviour to ensure consistency of handling and helps to provide a positive experience for the rescued herds. New staff have an equine behaviour induction, instilling Redwings’ approach from day one to ensure staff are safe in their day-to-day care of the rescued herds. The team has expertise in rounding up feral herds or horses with behavioural challenges; when needed Redwings sends a dozen or more staff (vets, field officers, drivers, and horse handlers). By spending time and applying our knowledge, rescued feral horses are transformed to a point where they no longer need to be sedated for routine care, such as farriery, worming or dentistry. The specialist behaviour team is keen to further share their knowledge and have advised other charities and enabled peer welfare workers in other charities and students to spend time observing their work. When necessary, the team can admit cases via other organisations - behaviour case referrals and/or other special care equines - 12 in 2023.

Sanctuary – a home for life

With pressures on land, facilities and people-resources, Redwings’ resident horse numbers in 2023 averaged over 1,300, with an increasingly high proportion of equines with special care needs. Everyday sanctuary care is a lifeline for horses, ponies, donkeys, and mules who have often suffered neglect or come from difficult circumstances. Many of the permanent residents cannot be rehomed, often because they require lifelong specialist care including significant veterinary costs beyond the reach of the typical owner. These horses can still enjoy a good quality of life at Redwings. The number of 'places' available depends on the needs of existing residents and the needs of the potential candidate(s) for admission. In 2023, 51% of our resident horses were

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over 15 years of age, 22% were geriatrics (aged 20 and over). Even included in the younger population are special care case horses with severe ongoing veterinary needs, and horses in need of specialist handling for routine treatments. Life is a constant challenge as it is often not until a horse is admitted that the team is able to establish the true needs of the animal. Redwings’ veterinary time remains in demand, despite having increased the number of veterinary surgeons on the team and changed modes of working. The next generation of vets and veterinary students need support and encouragement during their early years of practice, so Redwings supports a programme of in-practice experience through the Royal Veterinary College and university undergraduate referral.

Redwings strives to maintain the highest possible care standards, including encouraging suggestions from staff on how to best deliver day-to-day care. One of the most experienced veterinary surgeons leads the team on everyday checking practices of the horses in the Sanctuary, including any herd and equine care practices and initiatives (such as faecal-worm-egg counting to help the fight to reduce wormer product resistance).

Rehoming of ridden or companion horses (Guardianship scheme)

Those horses that have been retired or require life-long specialist care (veterinary or behavioural or both) will always remain in the direct care of Redwings. Depending on their needs, some may be rehomed as companion horses. Rehoming some horses creates space for other horses requiring help.

Healthy horses that have the potential to enjoy a working life can learn to be ridden or assessed as companion animals, and then be found a suitable foster home. Prior to the pandemic we expanded our rehoming reach to include our existing visitor centres at Caldecott (Norfolk) and Oxhill (Warwickshire) and raise awareness of the benefits of caring for a rehomed horse from the charity through visitors seeing our rehoming work and meeting horses going through our rehoming programme. Following our record year in 2022 (154 horses rehomed), in 2023 we returned to a regular year, with 108 horses rehomed. In our work leading on the analysis of the 2023 National Equine Welfare survey on the impact of the cost of living on horse-keeping (which received 8,000 responses) we are aware that one in five owners/keepers of horses are having to consider making difficult decisions regarding their horse(s), and respect that will have an impact on the availability of homes. Arguably this may eventually lead to people preferring to loan rather than buy a horse, but for now it is impacting directly on rehoming enquiries.

If during their time at one of the Rehoming Centres a horse shows that they are not suited to a working life, they will not be pushed, but will return to the permanent care of the Sanctuary. Redwings retains ownership of every horse for the rest of its life, so that should a Guardian no longer be able to provide for the horse, or if a regular home check shows that a high standard of care is not being maintained, Redwings will step in and return the horse to the Sanctuary. The number of rehoming checks in 2023 were close to the number in 2022, having returned to in-person checks post-pandemic whilst continuing some online checks (an innovation resulting from the pandemic) on long-established guardianships. Redwings supports with checks on some horses rehomed by other charities; this reciprocal arrangement provides good value for charity partners as well as keeping contact with Redwings horses on loan at remote locations.

Education and campaigning

Rather than having to rescue horses and donkeys from abuse, abandonment or neglect, Redwings would prefer people to have the knowledge and commitment to prevent their animals from suffering in the first place or from taking on an unsuitable horse for their situation.

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The Charity works with a wide range of people to help disseminate information and promote equine welfare:

The people behind Redwings

Supporters

The Charity is indebted to many thousands of generous supporters without whom the team would not be able to deliver our horse welfare work across the UK. From letters, telephone calls, emails, and social media support through to donations, adopting a Redwings resident, purchasing products from the catalogues, donating items for sale, or visiting and buying tea and cake - all forms of support are appreciated. Staff across all teams are indebted to our supporters and staff come together for an annual Thankathon to relay their thanks.

Guardians

Individuals, families, and yards that take a Redwings horse out on loan are not only caring for that horse but also supporting other horses in need. By enabling a horse to have a life outside our sanctuary, space can be found for another in need. Many Guardians have more than one Redwings loan horse or pony or donkey, many having done so for a decade or longer.

Volunteers

Volunteers give their time to the Charity without charge. There is support by a team of volunteers, some of whom have returned to us after the pandemic.

We were indebted to 10 volunteers who gave a total of 546 hours in their roles at visitor centres, to five volunteers who gave a total of 530 hours to welcome the public to Anna Sewell House, and to the five corporate groups who gave 243 hours on project work.

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Staff

In 2023, 74% (290) of the staff care for the horses and donkeys: either by providing direct care or by working in one of the support teams (day and night horse care, veterinary, maintenance and land management, horse transport, equine behaviour, rehoming, and dedicated quarantine).

Administration to run our operations includes essential functions such as finance, supporter engagement, campaigning, human resources, health & safety, fundraising, trading, and communications. There are front line staff leading the field and welfare work supported by dedicated welfare veterinary surgeons. The visitor centre teams meet supporters and the public and inform them about the work of the Charity.

There is a programme of investing in training staff and developing them to take part in everyday work, such as Mentors for new staff in their initial probation and first year and Training Support Co-workers. The training and development programme invests in employee wellbeing and values diversity. We run training for staff to be Wellbeing Champions supporting mental health, run awareness training to support colleagues understanding of autism, LGBT awareness and Dignity at Work. 2023 was the first full year of our Employee Assistance App to support all staff. Our Staff Forum is at the heart of employee engagement and works with Management to establish which priorities to focus on through staff development and internal communications.

Recruiting staff is a challenge, in particular for our posts that need to be on a rota and physically present to care for the horses every day. Unfortunately, there are unfilled vacancies – which puts pressure on the existing staff teams and results in some initiatives needing to be put aside. There is a good history of employing part-time workers and this is helping in these tough times along with flexible working where possible.

Redwings is committed to equality of opportunity for all, whether that be employees, applicants for employment, volunteers, supporters, or users of services. The aim is to ensure that no person is discriminated against, for example by having fair systems in place for recruitment and selection and pay and recognition. The Charity believes that everyone has the right to be treated fairly and understand the responsibilities under the Equality Act 2010, with a no tolerance approach to discrimination on the grounds of any protected characteristic.

Redwings has fair systems and processes in place for pay, selection for employment, promotion, and opportunities for training and development. To achieve a demonstrably fair way for determining pay, Redwings uses a job evaluation system that is transparent, based on objective criteria and free from bias. Job Evaluation measures jobs not job holders. It does not measure volume of work or determine a specific pay rate within the range and ensures there is no pay gap between colleagues undertaking the same role. Employees progress within the pay range based on performance against objectives.

Remuneration of senior management adopts the same policies as for all staff, but with the Management Board’s prior authorisation, led by the Treasurer. The Charity is mindful of our funding model and when using published pay ranges for comparison, we continue to base pay on the lower quartiles even in these difficult recruitment times. In 2023, a cost-of-living increase was awarded to redress the significant entry-level increase in the National Living Wage, and how it impacts on experienced staff.

Redwings’ gender pay gap continues to be influenced by the make-up of its employees. On 5[th] April 2023 Redwings employed 374 people of which 80% identified as female. Redwings’ 2023 mean pay gap is strongly influenced by the number of women in supervisory, managerial, and senior management roles (86% compared to 13% of men in similar roles).

Redwings acknowledges that whilst there is a gender pay gap this can partly be attributed to the nature of the roles that account for the majority of its workforce. Whilst Redwings will continue to be committed to equality of

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pay based on job and not gender, it faces a wider challenge to attract a more diverse workforce and will aim to appeal to both men and women equally through its recruitment advertising processes.

Public Benefit

The 2022 Charities Act requires that the Charity demonstrates the public benefit of its work. In considering its objectives and activities, Trustees complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission and the Scottish Charity Regulator. The Charity’s nationwide work benefits the public through the following ongoing activities:

Offering support through our dedicated Horse Care & Welfare Helpline to horse or donkey carers including experienced owners facing a new challenge, and giving initial advice on the level of care, financial cost and commitment needed before taking on a horse. Our Helpline also advises people who report a welfare concern before we then act on the information to investigate the reported case. Our field officers offer advice directly to owners. We attend equestrian events to offer advice on a range of issues including rehoming and horse care (such as laminitis and Strangles). Our inhouse veterinary surgeons speak at our webinars and those of veterinary practices/other charities on specific topics to help horse owners.

Partnership working with local authorities and agencies to help resolve the socio-economic, health and safety and other challenges of stray horses (be it from one escapee on a major road through to over-populated herds being illegally grazed). We provide training and support to the police and fire service on horse behaviour and handling, particularly in emergency situations, as well as training for RSPCA Welfare Officers, and hosting training days for fellow professionals – including farriers, veterinary nurses, and equine dentists.

Working with the gypsy, roma, and traveller community to offer equine passporting and microchipping initiatives. Whilst engaging we demonstrate what good equine welfare standards mean in practice, face to face and through our Best in Show initiative.

Participating in the British Horse Council in partnership with local government and being a full member and on the Board of the National Equine Welfare Council , and the Animal Welfare Network Wales .

Providing an informed education programme , through attendance at schools and colleges to give general horse care or more specific care talks. We welcome groups and we also provide educational material on our website, using leaflets and displays at our centres and Anna Sewell House

Providing employment and running a popular work experience programme. Staff have can benefit from a range of bespoke in-house equine care training programmes or professional external training to develop staff in their relevant professional fields. Our in-house veterinary surgeons undertake continuing professional development to enable them to carry out their veterinary medicine, including some of them serving as mentors for new professionals.

Providing free-to-visit visitor centres with cafés and shops to support tourism and the local economies. At Aylsham we host a community wellbeing hub to support mental health and host a regular dementia group.

Running a rehoming scheme for our suitable rescued horses to have a life outside Redwings with Guardians who can meet our horses’ needs (ridden or companion).

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Running a volunteer programme , including a variety of rewarding roles for people.

Managing our land holdings as a responsible landowner respecting the environment .

Streamlined Energy and Carbon Reporting (SECR)

The assessment period coincides with the 2023 financial calendar year and is the fourth year of Greenhouse Gases (GHG) reporting.

The scope of the energy assessment covers all charitable operations including administrative buildings and the 12 operational farms caring for over 1,300 horses predominantly living out naturally in paddocks, the in-house veterinary activities, visitor centres, welfare operations outside the Sanctuary, and trading subsidiary Redwings Enterprises Limited.

Methodology used is GHG protocol. Our emission calculations are broken down into three areas: Scope 1 – Direct GHG emissions, Scope 2 – Energy indirect GHG emissions and Scope 3 – Other indirect emissions.

EMISSIONS BREAKDOWN BY SCOPE 2023 UK Emissions Base Year UK
Emissions
tCO2e tCO2e % Change
Scope 1 422.80 367.56 15%
Gas 6.57 5.34
Transport Fuels 380.74 310.14
Other direct emissions 35.49 52.08
Scope 2_(electricity - Location based)
Scope 3(Grey fleet)_		 107.35
0.00		 100.14 7%
8.61 -100%
Total Gross tCO2e 530.14 476.31 11%
Intensity Metric: tCO2e/Direct equine care 0.25 0.31 -18%
Intensity Metric: tCO2e/Full time employee 1.71 1.83 -7%
Scope 1: Controlled Vehicles - kWh 417,492.29 342,049.69 22%
Scope 1: On-site Vehicles - kWh 1,007,015.75 888,150.83 13%
Scope 1: Onsite fuel (Mains Gas) - kWh 0.00 0.00
Scope 1: Onsite Fuels (Other)* - kWh 165,159.24 223,783.31
Scope 2: Electricity - kWh 518,396.00 429,509.00 21%
Scope 3 Grey Fleet Transport - kWh 0.00 0.00
Total UK Energy Consumption (kWh) 2,108,063.28 1,883,492.83 12%

Energy Efficiency actions undertaken during reporting year included:

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Our Strategy now and our Plans for the Future

Our Strategy has four themes:

Horses: To help more horses in need of care and sanctuary, with a focus on the experience for the horse People: To enable the people behind Redwings to deliver our work and apply our values every day Resources : To value the resources needed to deliver our horse welfare and support work Communications : To share our knowledge and make a positive impact on horse welfare.

During the year the Charity continued to make progress on some key operational objectives, including:

Financial Review

Redwings is incredibly grateful to all our supporters for their commitment to protecting horses, particularly in the current climate when times are difficult for all. We rely on donations to continue to help horses. A priority for us is to sustain and grow our loyal supporter base and fundraised income, as our expenditure and operating costs increase. As a substantial provider of long-term care, the Charity relies on and appreciates income from legacies to fund a large percentage of everyday work. Legacy income in 2023 accounted for 71% of charity income for the year. Direct Charitable Expenditure was 8% up on 2022 despite working with suppliers to keep delivery and supplies costs low, as caring for and treating horses combined with increased costs of running our equipment and plant rose significantly. The protracted war in Ukraine had a direct impact on feed prices and forage costs, and an unsettled economy continues to impact on the cost-of-living gap between rising costs and forecasted income.

The percentage of income received from legacies remains high and is difficult to forecast, however legacy income is much valued as supporters are feeling the impact of the cost of living. We have been fortunate to benefit from substantial trust and foundation income this year, due to a trust winding down, and have been grateful for other trust and foundation income which has helped to fund capital and core expenditure. We are also mindful of the

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impact of inflation on our funders, which may impact future grants and donations. Going forwards, it is essential for Redwings to grow and diversify income to continue to fund our work.

The Charity cares every day for over 1,300 horses as well as providing welfare for horses in need and rehoming services for the 700 Redwings horses out in Guardian homes. With the demands on the horse care, rehoming, welfare, and veterinary teams, the biggest spend is on staffing. In 2023 staff costs accounted for over £9.4m (11% increase on 2022: £8.4m) of annual spend; which included statutory increases in the National Living Wage. The increased cost could have been higher were it not for some vacant positions and gaps in filling positions across the year.

The cost of living had both a direct and indirect impact on proceeds from the trading subsidiary, with increased costs for our cafés impacting on sales and profit margins, increased interest rates and the cost-of-living uncertainty. Some major works at two visitor centres meant temporary closure which impacting on trading. Our original forecast of a profit was not met, and we ended the year with a loss. In 2024 factors that impacted on trading were reviewed, including that the visitor centres reopened and the plan revised accordingly.

Reserves Policy

The balance sheet shows the Charity’s reserves as at 31[st] December 2023. To quantify the funds which are freely available for general purposes, it is necessary to consider how the reserves are applied.

Total charity unrestricted reserves at the balance sheet date £35,825,286 Less: tangible & intangible fixed assets (£ 18,499,397) Less: designated capex funds (£1,597,378) £15,728,511

When considering reserves, it is essential to put them in the context of funds for work needed, as follows:

The Trustees believe that in view of this level of expenditure it is their duty to hold an appropriate reserve for sanctuary costs on a large scale of over 1,300 horses and donkeys.

We held an annual review of our reserve levels in light of several key factors, including the increase in high dependency and case horses as well as recessionary trends in income and expenditure demands. As stated in the Financial Review on the previous page, our biggest costs are staffing, feed, forage, and veterinary; all of which have increased considerably above inflation over successive years. We have assisted other charities with funding

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problems or even where they face closure, but as we are the UK’s largest charitable provider of permanent residence to horses in need, we need to be realistic about who would be able to rescue us. Our reserves review concluded that, for Redwings to be managed efficiently, we should work towards establishing a ‘buffer’ in the form of a general reserve equivalent to 18 months of unrestricted fund expenditure. Based on expenditure during the year under review this reserve would amount to approximately £23m. Free reserves shown are therefore just above half of our target (66% of target). This percentage, along with income and expenditure trends was the focus of the 2023 Board meetings, and that this was not sustainable. The Board set up a Financial Review Sub Committee specifically to review essential costs and income to set a new financial plan as longer-term forecasts suggested that free reserves would be further eroded under the coming years unless action was taken. This subcommittee conducted their extensive review and presented their findings to the Board with recommendations for improving the financial health of the charity. The Board approved these recommendations and then set a series of extraordinary Board meetings so that the priority recommendations could start to make an impact on the last quarter of 2024 and revise 2025 budgets.

In addition to day-to-day running costs, Trustees continue to review spending on improved or replacement facilities and capital works, in particular the next phases in Warwickshire and commitments for current and proposed works included in the planning process, that are being phased. Some significant works put on hold due to economic factors driving up costs, including some maintenance and core horse-care facilities, now need completion. The works are set to be phased in the light of available funds and sourcing appropriate contractors or materials to complete in-house. Trustees have set aside £1.6m for these works.

Cash and cash equivalents reduced by £1.76m during the year (2022: £0.66m). Trustees review actual and projected spend on a quarterly basis, reporting on cash flow, particularly in the light of fluctuating income from legacies which can have a significant impact on annual income.

Investment - Policy and Performance

The Trustees have the power to administer and manage the assets of the Charity in accordance with its Memorandum & Articles of Association. The Trustees have appointed professional fund managers to manage our investment portfolio. The fund managers are issued with investment guidelines which are determined by the Trustees with due care for the social, ethical, and environmental considerations of the Charity. The fund managers have been instructed to manage the funds on a medium risk basis. There was a rise in value of £185k at year end.

The Charity also continues to hold some funds in interest-earning bank accounts ensuring monies are readily available, but we recognise that those accounts are unable to achieve interest above inflation. With our forecast needs, this policy is expected to be maintained.

Financial Strategy

The Management Board takes its responsibility as custodians of Redwings supporter donations very seriously. There is an accountant on the Board and all Trustees have budgeting experience as managers and officers in their paid or past employment. The Board makes use of our Auditors and our in-house finance team, led by a qualified accountant at Fellowship level. We have policies for Financial Procedures, Reserves, and Investments. Finance is the first agenda item at the Board of Management meetings so that all Trustees support the Treasurer in prioritising financial review and strategy. Information prepared for the Board of Management’s review includes annual benchmarking with peer charities to ensure there is context and market-understanding, such as common financial demands and trends in our sector; all of which inform financial strategy. In 2023, a Board of Management Away Day was held to set the scope for a financial strategy review due to the gap in rising costs and

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REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

forecasted income in that a deficit is projected in 2024 that would not be sustainable in the long term. A subcommittee was set up to run the review and a schedule of meetings and actions set so they could prepare options for the full Management Board to consider in time before a 2025 and onward budget can be determined.

The Board set up a Financial Review Sub Committee specifically to review essential costs and income to set a new financial plan. This subcommittee conducted their extensive review and presented their findings to the Board with recommendations for improving the long-term financial health of the charity in the context of the increased cost of living and inflation. The Board approved these recommendations.

The Trustees review financial trends on income and expenditure quarterly, this includes those trends associated with the trading arm of Redwings, Redwings Enterprises Limited (REL). This entity markets and sells Redwings’ branded products and associated merchandise and plays an important role in our trading at our visitor centres, at events and with our mail order operation. In 2023 REL made a loss of £15,113 (2022 a loss of £28,211, 2021 a profit of £20,812).

Principal Risks, Uncertainties and Decision-making

Directors (Trustees) are aware of the duty under s172 of the Companies Act 2006 to act in the way in which they consider, in good faith, would be the most likely to promote the success of the Charity (i.e., the Company), and in doing so, to have regard (amongst other matters) to the s172 matters:

The Directors have sought to balance the needs of its members with the s172 matters throughout the year, for example in ensuring the policies and standard operating practices which run across the Charity and reputation for high standards of conduct, are maintained and in engagement with employees.

The Directors of the Charity have a duty to promote the success of the Charity, and it relies on smooth operations and the support of stakeholders, specifically supporters and collaborative organisations. Through communication the Directors seek to build relationships based on mutual trust and have processes in place to support engagement and feedback.

With suppliers and others in a business relationship with the Charity (including its trading subsidiary), there is the need to work closely with suppliers to ensure the product or service is of a type, quality, and price suitable for operations and customers. There is a recognised need to strive to establish and maintain long-term relationships for these purposes. There are robust processes which include feedback and contractual review. The Charity always seeks to meet payment terms agreed with suppliers to respect their needs and support long-term relationships that deliver a good product or service.

Customers include supporters, visitors, and retail. There are robust processes in place to ensure clear communication with customers, feedback and follow-up should customers not be satisfied.

Principal Risks

The Trustees have a formal risk management process to assess the risks faced by the Charity and to implement strategies to manage those risks. Strategic and Operational Risk Management Registers are maintained which

15

REDWINGS HORSE SANCTUARY

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

identify the types of risks the organisation faces (prioritising them in terms of likelihood of occurrence and potential impact), set out the control procedures in place and the established framework of reporting and monitoring adopted to manage those risks.

Registers are reviewed annually (risk management is an agenda item at Management Board meetings) dealing with particular risks, responsibilities, controls and monitoring processes and the need for new risks to be added. Due to the gap between above-inflation costs (including the impact on the staffing budget resulting from the National Living Wage) and cost-of-living impacting on our ability to raise funds, the joint two highest retained risks are financial, resulting in a priority set by the Management Board to carry out a full review of the financial strategy. With controls and monitoring in place, the biggest ‘primary’ operational retained risk in recent years was ‘infectious disease throughout the centres’ despite our significant investment in vaccinations, training, time, testing and prompt response systems with regard to equine influenza. Equal in risk is Equine (resistance to dewormers or other treatments); we are working with other veterinary professionals to together find solutions that address the fight against de-wormers and we have a focussed worming programme, with investment in wormegg-counting that results in de-wormers only being used where needed.

Some risks we can only manage but not eliminate as our 2015 Strangles outbreak reminded us; our first outbreak for over 20 years. We have very strict equine disease controls as any disease spread would have a dramatic effect on our herds and our work. Our veterinary team train other veterinary practices, students, and organisations in disease control; we continue to share our knowledge with the wider public through the Strangles campaign aimed at livery yards and private horse owners.

Trustees’ Responsibilities

The Trustees (who are also directors of Redwings Horse Sanctuary for the purposes of company law) are responsible for preparing the Trustees’ Report including the Strategic Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charitable company and group and of the incoming resources and application of resources, including the income and expenditure, of the charitable company and group for the year. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and group and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). They are also responsible for safeguarding the assets of the charitable company and group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

16

REDWINGS HORSE SANCTUARY

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Statement of disclosure to auditors

(a) So far as the Trustees are aware, there is no relevant audit information of which the company’s auditors are unaware.

(b) The Trustees have taken all the steps that they ought to have taken as Trustees in order to make themselves aware of any relevant audit information and to establish that the company’s auditors are aware of that information.

This report, including the Strategic Report, was approved by the Trustees on 28 August 2024.

M R Little

……………………………….

M Little

Chair

23/09/24

17

REDWINGS HORSE SANCTUARY

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Opinion

We have audited the financial statements of Redwings Horse Sanctuary (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 December 2023 which comprise the Consolidated Statement of Financial Activities, the Parent Company Statement of Financial Activities, the Consolidated and Parent Company Balance Sheets, the Consolidated Statement of Cash Flows, the Parent Company Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:

Basis for opinion

We have been appointed auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with regulations made under those Acts.

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 charitable company 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 trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

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 group’s or parent charitable company’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 trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the Annual Report. 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.

18

REDWINGS HORSE SANCTUARY

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ Report, or the Strategic Report included within the Trustees’ Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 (as amended) require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Statement of Trustees’ responsibilities set out on page 16 the trustees (who are also the directors of the charitable company for the purposes of company law) are 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 trustees determine 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 trustees are responsible for assessing the group’s and parent charitable company’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 trustees either intend to liquidate the group or parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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.

19

REDWINGS HORSE SANCTUARY

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

The extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the group audit engagement team:

As a result of these procedures, we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, Charities SORP (FRS 102), Companies Act 2006, Charities and Trustee Investment (Scotland) Act 2005 the parent charitable company’s governing document, tax legislation and Charities (Protection and Social Investment) Act 2016. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing the financial statements including the Trustees’ Report, remaining alert to new or unusual transactions which may not be in accordance with the governing documents.

The group audit engagement team identified the risk of management override of controls and the completeness of income from legacies and donations as the areas where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments, evaluating the business rationale in relation to significant, unusual transactions and transactions entered into outside the normal course of business, challenging judgments, and estimates, considering the legacy pipeline and board minutes, and reviewing the bank statements for evidence of any income which has been inappropriately omitted from the financial statements.

A further description of our responsibilities for the audit of the financial statements is provided on the Financial Reporting Council’s website at http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

20

REDWINGS HORSE SANCTUARY

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Use of our report

This report is made exclusively to the members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the charitable company’s trustees, as a body, in accordance with section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and regulation 10 of the Charities Accounts (Scotland) Regulations 2006 (as amended). Our audit work has been undertaken so that we might state to the members and the charitable company’s trustees 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 charitable company, its members as a body, and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.

RSM UK Audit LLP

LARAGH JEANROY (Senior Statutory Auditor) For and on behalf of RSM UK AUDIT LLP, Statutory Auditor Chartered Accountants 1[st] Floor Platinum Building St John’s Innovation Park Cowley Road Cambridge CB4 0DS 26/09/24

RSMUK Audit LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

21

REDWINGS HORSE SANCTUARY

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Notes
Income and endowment from:
Donations and legacies
2
Other trading activities:
Merchandising income
3
Lottery income
Estate grants & other income
Investments
4
Total income
Expenditure on:
Raising funds:
Fundraising and publicity
Merchandising
Charitable activities:
Sanctuary operations
Education
Total expenditure
5
Net (expenditure)/income and net
movement in funds before gains
and losses on investments
Net gains/(losses) on investments
Net transfers between funds
Net movement in funds
Reconciliation of funds:
Funds brought forward
Total funds carried forward		 Unrestricted
Funds
£
Endowment
£
Restricted
Funds
£
Total
Year Ended
31 December
2023
£
Total
Year Ended
31 December
2022
£
12,910,418
-
1,248,359
14,158,777
12,137,692
-
556,340
-
-
556,340
488.906
285,539
-
-
285,539
307,072
137,573
-
-
137,573
191,782
254,906
-
-
254,906
210,221
14,144,776
-
1,248,359
15,393,135
13,335,673
2,638,271
-
-
2,638,271
2,350,136
497,026
-
-
497,026
468,250
11,369,421
-
1,004,975
12,374,396
11,112,234
302,773
-
-
302,773
272,449
14,807,491
-
1,004,975
15,812,466
14,203,069
(662,715)
-
243,384
(419,331)
(867,396)
185,328
-
-
185,328
(764,924)
83,565
(83,565)
-
-
(393,822)
-
159,819
(234,003)
(1,632,320)
35,645,613
20,372
393,305
36,059,290
37,691,610
35,251,791
20,372
553,124
35,825,287
36,059,290

The Statement of Financial Activities incorporates the income and expenditure account.

All of the 2022 income was unrestricted with the exception of £761,245 of donations and gifts classed as restricted funds. All of 2022 expenditure was unrestricted with the exception of £672,548 Sanctuary Operations Expenditure classed as restricted funds.

22

REDWINGS HORSE SANCTUARY

PARENT COMPANY STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Notes
Income and endowment from:
Donations and legacies
2
Other trading activities:
Merchandising income
3
Lottery income
Estate Grants & other income
Investments
4
Total income
Expenditure on:
Raising funds:
Fundraising and publicity
Charitable activities:
Sanctuary operations
Education
Total expenditure
5
Net (expenditure)/income and net
movement in funds before gains
and losses on investments
Net (gains/(losses) on investments
Net transfers between funds
Net movement in funds
Reconciliation of funds:
Funds brought forward
Total funds carried forward		 Unrestricted
Funds
£
Endowment
£
Restricted
Funds
£
Total
Year Ended
31 December
2023
£
Total
Year Ended
31 December
2022
£
12,910,418
-
-
1,248,359
14,158,777
12,137,692
64,440
-
-
64,440
43,666
285,539
-
-
285,539
307,072
137,573
-
-
137,573
191,782
264,893
-
-
264,893
215,421
13,662,863
-
1,248,359
14,911,222
12,895,633
2,638,271
-
-
2,638,271
2,350,136
11,369,421
-
1,004,975
12,374,396
11,112,234
302,773
-
-
302,773
272,449
14,310,465
-
1,004,975
15,315,440
13,734,819
(647,602)
-
243,384
(404,218)
(839,186)
185,328
-
-
185,328
(764,924)
83,565
-
(83,565)
-
-
(378,709)
-
159,819
(218,890)
(1,604,110)
35,722,156
20,372
393,305
36,135,833
37,739,943
35,343,447
20,372
553,124
35,916,943
36,135,833

The Statement of Financial Activities incorporates the income and expenditure account.

All of the 2022 income was unrestricted with the exception of £761,245 of donations and gifts classed as restricted funds. All of 2022 expenditure was unrestricted with the exception of £672,548 Sanctuary Operations Expenditure classed as restricted funds.

23

REDWINGS HORSE SANCTUARY BALANCE SHEET AS AT 31[ST] DECEMBER 2023

Notes
Fixed assets
Tangible assets
10
Intangible assets
Investments
11
Total Fixed Assets
Current assets
Investments
12
Stocks
13
Debtors
14
Cash at bank and in hand
Total Current Assets
Liabilities
Creditors falling due within one
year
15
Net Current Assets
Net Assets
Funds
17
Endowment fund
Restricted funds
Designated funds
Revaluation reserve
General reserve
Total Unrestricted Funds
Total Funds		 CONSOLIDATED BALANCE SHEET
PARENT COMPANY BALANCE SHEET
31 Dec 2023
£
31 Dec 2022
£
31 Dec 2023
£
31 Dec 2022
£
18,499,397
18,372,761
18,499,397
18,372,761
-
-
-
-
6,136,253
6,063,824
6,136,255
6,063,826
24,635,650
24,436,585
24,635,652
24,436,587
-
-
150,000
150,000
379,139
316,072
260,739
239,545
7,583,516
6,500,979
7,649,240
6,496,251
3,862,314
5,621,105
3,842,708
5,601,794
11,824,969
12,438,156
11,902,687
12,487,590
635,332
815,452
621,395
788,344
11,189,637
11,622,704
11,281,292
11,699,246
35,825,286
36,059,290
35,916,943
36,135,833
20,372
20,372
20,372
20,372
553,124
393,305
553,124
393,305
1,597,378
2,439,578
1,597,378
2,439,578
1,163,196
1,017,991
1,163,196
1,017,991
32,491,217
32,188,044
32,582,873
32,264,587
35,251,791
35,645,613
35,343,447
35,722,156
35,825,287
36,059,290
35,916,943
36,135,833

The financial statements of pages 22-37 were approved by the Trustees on 28 August 2024.

M R Little

…………………………………………… ………………………………………….. M Little D Moore FCCA Chair Treasurer 23/09/24 15/09/24

Company Registration Number 03524502

24

REDWINGS HORSE SANCTUARY

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Notes
Cash flows from operating activities
a
Net cash provided by operating activities
Cash flows from investing activities:
Dividends, interest, and rents from investments
Proceeds from the sale of property, plant, and equipment
Purchase of property, plant, and equipment
Proceeds from sale of investments
Purchase of investments
Net cash used in investing activities
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at the beginning of the reporting period
b
Cash and cash equivalents at the end of the reporting period
b
a)
Reconciliation of net (expenditure)/income to net cash flow from
operating activities
Net Income/(expenditure) for the reporting period before gains and
losses on investments
Adjustments for:
Depreciation charges
Dividends, interest, and rents from investments
Profit on the sale of fixed assets
Increase in stocks
Increase in debtors
Decrease in creditors
Net cash used in operating activities
b) Analysis of cash and cash equivalents
Cash in hand
Notice deposits (less than 3 months)
Total cash and cash equivalents		 2023
£
2022
£
(1,168,680)
(553,886)
254,906
211,678
5,480
7,668
(963,397)
(591,335)
425,384
853,656
(312,484)
(584,609)
(590,111)
(102,942)
(1,758,791)
(656,828)
5,621,105
6,277,933
3,862,314
5,621,105
(419,331)
(867,396)
836,764
815,515
(254,906)
(210,221)
(5,482)
85,440
(63,067)
(30,507)
(1,082,538)
(520,168)
(180,120)
173,451
(1,168,680)
(553,886)
2023
£
2022
£
3,362,314
5,121,105
500,000
500,000
3,862,314
5,621,105

A reconciliation of net debt is required by FRS 102.

There was no debt within the group during 2023 and 2022, and there were no non-cash flows to reflect.

25

REDWINGS HORSE SANCTUARY

PARENT STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Notes
Cash flows from operating activities
c
Net cash provided by operating activities
Cash flows from investing activities:
Dividends, interest, and rents from investments
Proceeds from the sale of property, plant, and equipment
Purchase of property, plant, and equipment
Proceeds from sale of investments
Purchase of investments
Net cash used in investing activities
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at the beginning of the reporting period
d
Cash and cash equivalents at the end of the reporting period
d
c)
Reconciliation of net (expenditure)/income to net cash flow from
operating activities
Net Income/ (expenditure) for the reporting period before gains and
losses on investments
Adjustments for:
Depreciation/amortisation charges
Dividends, interest, and rents from investments
Profit on the sale of fixed assets
Increase in stocks
Increase in debtors
Decrease in creditors
Net cash used in operating activities
d) Analysis of cash and cash equivalents
Cash in hand
Notice deposits (less than 3 months)
Total cash and cash equivalents		 2023
£
2022
£
(1,178,962)
(517,162)
264,893
216,879
5,480
7,668
(963,397)
(591,335)
425,384
853,656
(312,484)
(584,609)
(580,124)
(97,741)
(1,759,086)
(614,903)
5,601,794
6,216,697
3,842,708
5,601,794
(404,218)
(833,186)
836,764
815,515
(264,893)
(216,879)
(5,480)
(85,439)
(21,194)
(22,752)
(1,152,990)
(502,998)
(166,949)
163,698
(1,178,962)
(517,162)
2023
£
2022
£
3,342,708
5,101,794
500,000
500,000
3,842,708
**5,601,794 **

A reconciliation of net debt is required by FRS 102.

There was no debt within the group during 2023 and 2022, and there were no non-cash flows to reflect.

26

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

1 - Accounting policies

Redwings Horse Sanctuary ("the Charity") is an incorporated Charity limited by guarantee, domiciled, and registered in England which constitutes a Public Benefit entity as defined by FRS102. The address of the Charity is stated on page 3. The principal activity of the Charity is to provide and promote the welfare, care and protection of horses, ponies, donkeys, and mules.

a. Basis of preparation

The financial statements have been prepared in accordance with the Statement of Recognised Practice: Accounting and Reporting by Charities 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 United Kingdom and Republic of Ireland (FRS 102) and the Companies Act 2006. The financial statements have been prepared under historical cost convention modified to include investment property and fixed asset investments at fair value. The financial statements are prepared in sterling which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.

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

b. Assessment of Going Concern

The Trustees consider that there are no material uncertainties about the Charity's ability to continue, as a going concern, and therefore these accounts have been prepared on a going concern basis. The budgeted income and expenditure are sufficient with the levels of reserves for the charity to be able to continue as a going concern. The current economic climate was considered by the Trustees when making this assessment, including consideration, and forecasting of inflationary pressures and challenges relating to the employment and recruitment markets. Budgets and cashflows have been prepared (twelve months from the date of signing these financial statements) considering the decrease in legacy income during 2020 and 2021, subsequent increase in 2022 and 2023, combined with a general increase in donations during 2022 and 2023 (some of which were exceptional). Notwithstanding the aforementioned concerns relating to the projected 2024 budget deficit, with a revised financial strategy for 2025 onwards, we anticipate being able to continue our day-to-day operations without the need to sell any of our long-term investments. With our current level of liquid reserves, we will be able to provide adequate resources to cover our commitments whilst the changes are delivered.

c. Basis of consolidation

The financial statements comprise the assets, liabilities and funds, and the statement of financial activities of Redwings Horse Sanctuary and its 100% owned subsidiary, Redwings Enterprises Limited (company number 02841087).

d. Income

All income is accounted for in the Statement of Financial Activity (SOFA) when the Charity is legally entitled to the income, it is capable of measurement, and it is probable that the income will be received.

Income includes donations and legacies. For legacies, entitlement is recognised from the earlier of the date of receipt or when sufficient notification is received by the Charity to enable it to quantify its entitlement with probability. Income is not recognised for legacies, which remain subject to a life interest. Donations are recognised when the Charity has received the income. If the donation is subject to a restriction the Charity will recognise when the restriction is met or wholly within the control of the Charity.

Other income comprises merchandising income, lottery income, investment income, property rentals, and estate grants & other income. The merchandising income is generated by Redwings Enterprises Limited and is recognised as unrestricted income on a receivable basis. The lottery income is recognised as at the closing date of the draw when the charity is entitled to the income. Rental income form assets leased under operating leases is recognised on a straightline basis over the term of the lease. All other income is accounted for on a receivable basis.

27

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

e. Expenditure

All expenditure is included in the SOFA on an accruals basis and is recognised when there is a legal or constructive obligation to pay, it is probable that settlement will be required, and the amount of the obligation can be measured reliably.

f. Support costs

Support costs include human resources, finance IT, health and safety and premises costs. Support costs have been apportioned between fundraising costs and charitable activities on the basis of activity and income.

g. Pension costs

The Charity operated a defined contribution scheme, which is a Group Personal Plan. The cost of providing pension benefits is charged in the year for which they are payable.

h. Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost, less depreciation. No depreciation is provided on freehold land, or assets under construction. Depreciation is provided on all other tangible fixed assets, at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life, as follows:

Freehold buildings over 50 years Wasting structures over 3 or 10 years Plant and equipment over 5 years

Assets under construction are not depreciated until the work is complete.

i. Intangible assets and amortisation

Intangible assets are stated at cost, less amortisation, at rates calculated to write off the cost of each asset on a straightline basis over its expected useful life, as follows:

Software over 5 years

j. Investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted bid price. The SOFA includes the net gains and losses arising on revaluation and disposals through the year. Gains and loss on investment disposals is based on the previous months market value and the consideration received on disposal.

Investment property is initially measured at cost and subsequently measured at fair value determined annually by the trustees. No depreciation is charged. Changes in fair value are recognised in the SOFA.

Investments in subsidiaries are measured at cost less accumulated impairment.

k. Operating leases

Rentals are charges to the SOFA on a straight-line basis over the lease term.

l. Stocks

Stocks are valued at the lower of cost and net realisable value. Cost is determined using the first in first out method.

28

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

m. Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Accrued income and tax recoverable are included at the best estimate of the amount receivable at the balance sheet date.

n. Creditors

Creditors are recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any discounts due.

o. Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Endowment funds represent those assets which must be held permanently by the Charity, principally investments. Income arising on the endowment funds can be used in accordance with the objects of the Charity and is included as unrestricted income.

Investment income and gains are allocated to the appropriate fund.

p. Critical accounting estimates and areas of judgement

The Trustees are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. These estimates and judgements are continually evaluated and are based on historical experience and other factors that are considered relevant. Actual results may differ from these estimates.

The judgements estimates and assumptions which have significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are addressed below:

Legacy debtor

The Charity has entitlement to legacy income at 31st December, but which will be received after the year end. An estimate of the amount of be received has to be made at the year-end. See note 14 for the legacy receivable debtor at the year-end. “Pecuniary legacies are recognised once the charity has been formally notified that a gift is payable. Residuary legacies are recognised once confirmation has been received that the charity will benefit and sufficient information has been made available by the Personal Representatives to estimate the charity’s entitlement with reasonable certainty. Estimates are calculated based on experience with previous Estates and knowledge of the likely deductions to be incurred.”

2. Income from donations and legacies

Donations
Legacies		 2023
£
2022
£
3,495,763
2,682,683
10,663,014
9,455,009
14,158,777
12,137,692

29

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

3. Merchandising income

Parent company
Subsidiary company
Total income
Merchandising costs
Subsidiary company costs of sales
Administration expenses
Total costs
Merchandising surplus/(deficit)
. Income from investments
Interest
Dividends
Rent
Investment income - charity
Interest
Dividends
Rent
Investment income - group
. Analysis of expenditure
Fundraising and publicity
Sanctuary operations
Education
Expenses - charity
Merchandising costs
Expenditure - group		 Sale of
Donated
Goods
£
Redwings
Enterprises
Ltd Sales
£
64,440
-
-
491,900		 Total
Year Ended
31 December
2023
£
Total
Year Ended
31 December
2022
£
64,440
43,666
491,900
445,239
64,440
491,900
-
282,192
-
214,834		 556,340
488,905
282,192
270,973
214,834
197,277
-
497,026		 497,026
468.250
64,440
(5,126)		 59,314
20,656
2023
£
2022
£
111,832
43,332
163,131
172,089
(10,070)
-
264,893
215,421
101,845
38,132
163,131
172,089
(10,070)
-
254,906
210,221
Staff
Costs
£
Direct
Charitable
Costs
£
Other
Costs
£
Total
Year Ended
31 Dec
2023
£
Total
Year Ended
31 Dec
2022
£
725,559
-
1,912,712
2,638,271
2,350,136
8,545,532
3,828,864
-
12,374,396
11,112,235
77,899
224,874
-
302,773
272,448		 2023
£
2022
£
111,832
43,332
163,131
172,089
(10,070)
-
264,893
215,421
101,845
38,132
163,131
172,089
(10,070)
-
254,906
210,221
9,348,990
4,053,738
1,912,712
15,315,440
13,734,819
85,627
-
411,399
497,026
468,250
9,434,617
4,053,738
2,324,111
15,812,466
14,203,069

4. Income from investments

5. Analysis of expenditure

Both staff costs and other costs contain costs that are directly allocated to activities as well as support costs that have been apportioned in accordance with the methods outlined in note 1f.

30

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

6. Support costs

Human resources
Health & Safety
Finance/IT
Premises/Office costs
Central Services
Depreciation/amortisation
Support costs - group
Human resources
Health & Safety
Finance/IT
Premises/Office costs
Central Services
Depreciation/amortisation
Support costs - charity		 Fundraising
And publicity
£
Sanctuary
Operations
£
Education
£
Merchandising
Costs
£
Total
2023
£
Total
2022
£
23,985
53,094
302
5,357
82,738
93,551
21,696
56,800
-
710
79,206
75,424
323,901
331,003
-
10,864
665,768
559,646
177,279
12,727
6,655
5,647
202,308
155,839
87,799
661,240
3,175
156,126
908,340
868,682
169,818
665,980
-
965
836,763
815,496
804,478
1,780,844
10,132
179,669
2,775,123
2,568,638
Fundraising
And publicity
£
Sanctuary
Operations
£
Education
£
Merchandising
Costs
£
Total
2023
£
Total
2022
£
25,498
56,915
325
-
82,738
93,551
21,696
56,800
-
-
78,496
74,765
323,901
331,003
-
-
654,904
547,906
177,279
12,727
6,655
-
196,661
151,553
78,251
654,388
3,175
-
735,814
711,788
169,818
665,980
-
-
835,798
814,494
796,443
1,777,813
10,155
-
2,584,411
2,394,057

7. Staff costs

7. Staff costs
Year ended Year ended
31 December 31 December
2023 2022
£ £
Wages and salaries 8,001,802 7,053,652
Social security costs 607,480 537,557
Pension costs 389,197 352,738
8,998,479 7,943,947
Number of employees by function
Sanctuary and welfare 329 296
Fundraising and administration 87 84
416 380
The number of employees whose emoluments exceeded £60,000 in the year was as follows
£60,001 - £70,000 1 2
£70,001 - £80,000 2 -
£100,001 -£110,000 1 1

Remuneration for the eight (2022: nine) Senior Management Team members totalled £523,460 (2022: £594,129). The Senior Management Team and Trustees are considered to be the key management personnel of the Charity and Group.

8. Pension costs

The Charity operates defined contribution pension schemes on behalf of certain employees. The contributions to the schemes are paid into external independently administered funds. The pension cost charge represents contributions payable by the Charity to the schemes, which amounted to £389,197 (2022: £352,738). This included a contribution of £24,376 (2022: £18,448) made on behalf of the employees earning above £60,000. No contributions (2022: £40,503) were payable to the fund at the year end and are included in other creditors.

31

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

9. Net income for the year

. Net income for the year
Year Ended Year Ended
31 December 31 December
2023 2022
£ £
Net income for the year is stated after charging/(crediting)
Remuneration of the Charity auditors
-
Audit of these accounts		 26,500 24,100
-
Audit of subsidiary undertakings		 6,500 5,850
-
Taxation compliance services		 5,825 5,450
Depreciation of tangible owned assets 836,764 815,516
Operating leases
-
Land and buildings		 31,000 26,500
Profit/(Loss) on sales of assets 5,480 (85,439)
0. Tangible fixed assets
Group and Charity
Freehold Assets under Wasting Plant & Total
Property Construction Structure Equipment
£ £ £ £ £
Costs
01 January 2023 16,765,741 286,959 7,028,262 4,453,818 28,534,780
Additions - 440,017 266,330 257,050 963,400
Disposals - - (12,200) (33,330) (45,530)
Transfers - (96,841) 95,683 1,158 -
31 December 2023 16,765,741 630,135 7,378,075 4,678,699 29,452,650
Depreciation
01 January 2023 2,138,202 - 4,023,186 4,000,631 10,162,019
Charge in year 135,734 - 483,854 217,176 836,764
Eliminated on disposal - - (12,200) (33,330) (45,530)
31 December 2023 2,273,936 - 4,494,840 4,184,477 10,953,253
Net book value
31 December 2023 14,491,805 630,135 2,883,235 494,222 18,499,397
31 December 2022 14,627,539 286,959 3,005,076 453,187 18,372,761

10. Tangible fixed assets

All assets are owned by the Charity and are free from charge. The cost of freehold land not being depreciated included in land and buildings is £9,812,307 (2022: £9,812,307).

32

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

11. Fixed asset investments

ixed asset investments
Group Charity
31 Dec 2023 31 Dec 2022 31 Dec 2023 31 Dec 2022
£ £ £ £
Quoted Investments
Market Value at Start of period 5,513,824 6,547,795 5,513,824 6,547,795
Additions at cost 312,485 584,609 312,485 584,609
Disposal proceeds (425,384) (853,656) (425,384) (853,656)
Net investment gains/(losses) 185,328 (764,924) 185,328 (764,924)
Market value at end of period 5,586,253 5,513,824 5,586,253 5,513,824
Investment property
Investment property at start of period 550,000 550,000 550,000 550,000
Revaluation - - - -
Market value at end of period 550,000 550,000 550,000 550,000
Un-quoted investments
Shares in Redwings Enterprises Limited - - 2 2
Total fixed asset investments 6,136,253 6,063,824 6,136,255 6,063,826
Historical Cost of quoted investments at 31 4,973,057 5,045,831 4,973,057 5,045,831
December
Analysis of Quoted Investments at 31 December 2023 between funds:
Fixed Interest UK 697,786 674,522 697,786 674,522
Fixed Interest Overseas 181,807 176,054 181,807 176,054
Equities UK 1,520,398 1,475,318 1,520,398 1,475,318
Equities Europe 428,008 424,591 428,008 424,591
Equities Other 2,237,904 2,100,521 2,237,904 2,100,521
Hedge/Absolute Return Funds 520,350 662,818 520,350 662,818
5,586,253 5,513,824 5,586,253 5,513,824

All investments are carried at fair value. Quoted investments fair values are normally mid-market closing or mid-prices. If the valuation date falls on a non-business day, the prices will be those on the last business day.

Savills plc completed the initial valuation of Spa Farm investment property. The fair value at the balance sheet date is determined annually by the trustees.

The main risk from the charity's investment portfolio is uncertainty in the investment markets. This is managed by appointing professional fund managers who manage the funds on a low-risk basis. Liquidity risk is considered low because investments are in traded securities.

12. Current asset investments

Loan to Redwings enterprises Limited (see note below) Group
Charity
31 Dec
2023
£
31 Dec
2022
£
31 Dec
2023
£
31 Dec
2022
£
-
-
150,000
150,000
-
-
150,000
150,000

33

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

The only financial instrument measured at amortised cost comprises the loan made to Redwings Enterprises Limited. This is unsecured and is due for repayment on demand. Interest is charged on the loan at 2% above the Bank of England base rate.

13. Stock

3. Stock
Stock of feed and consumables
Veterinary supplies
Merchandising goods for resale
4. Debtors
Gift Aid & recoverable tax
Legacies receivable
Accrued income
Amount owed to subsidiary
Prepayments and other debtors
Trade debtors		 Group
Charity
31 Dec 2023
£
31 Dec 2022
£
31 Dec 2023
£
31 Dec 2022
£
167,727
150,210
167,727
150,210
93,012
89,335
93,012
89,335
118,400
76,527
-
-
379,139
316,072
260,739
239,545
Group
Charity
31 Dec 2023
£
31 Dec 2022
£
31 Dec 2023
£
31 Dec 2022
£
38,444
26,133
38,444
26,133
7,346,267
6,324,748
7,346,267
6,324,748
38,512
-
10,069
-
38,512
73,416
10,069
10.860
142,480
120,527
137,903
116,233
17,813
19,502
14,698
8,208
7,583,516
6,500,979
7,649,240
6,496,251

14. Debtors

15. Creditors amounts falling due within one year

Trade creditors
Amount re merged Charity
Other creditors
VAT and social security
Accruals		 Group
Charity
31 Dec 2023
£
31 Dec 2022
£
31 Dec 2023
£
31 Dec 2022
£
488,364
504,537
484,270
486,500
-
-
100
100
26,888
65,588
26,890
65,590
-
114,406
-
114,406
120,080
130,921
110,135
121,748
635,332
815,452
621,395
788,344

16. Subsidiary company

The Charity owns 100% of the share capital of its trading subsidiary Redwings Enterprises Limited, a company registered in England. The Company operates all of the commercial trading activities of the Charity. The Company gift aids its taxable profits to the Charity. A summary of its trading results and capital and reserves is shown below. Audited accounts are filed with the Registrar of Companies. The Company's results are consolidated into the group accounts. The registered office is Norwich Road, Hapton, Norfolk NR15 1SP.

Income
Expenditure
Interest payable
(Loss)for the period retained by the subsidiary
The aggregate of assets, liabilities and funds was:
Current assets
Creditors: amounts falling due within one year
Total net liabilities		 2023
£
2022
£
491,900
445,239
(497,026)
(468,250)
(9,987)
(5,200)
(15,113)
(28,211)
145,799
111,527
(237,455)
(188,069)
(91,656)
(76,542)

34

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

17. Funds

7. Funds
Endowment
WJ Turner Settlement
Restricted
Anaesthetic Machine
Anna Sewell House
Aylsham Field Shelter
Ada Cole Stables
Ada Cole Memorial Stables
Aylsham Woodchips
Aylsham
Behaviour Centre
Care for Cinnabar
Oxhill
Oxhill Donkey Barns
Hapton
SWHP
Mountains
Rehoming Horse Box
Tractor
Food & Medical services
Care of the animals
Veterinary expenses
Layby Field Piggots
Alan Fraser Trust
Total restricted
Total endowment & restricted
Designated
Planned capital expenditure
Revaluation reserve
General reserve
Total unrestricted
Group Total		 Funds Movements
Represented by
Opening
Balance
£
Income
£
Expenditure
£
Transfers
Gains &
Losses
£
Closing
Balance
£
Fixed
assets
£
Net
current
assets
£
20,372
-
-
-
20,372
-
20,372
-
6,400
-
-
6,400
6,400
-
-
4,000
(2,468)
-
1,532
-
1,532
-
5,000
-
-
5,000
5,000
-
-
25,000
(25,000)
-
-
-
-
-
6,546
(6,546)
-
-
-
-

-
-
35,000
203,371
(35,000)
(203,371)
-
-
-
-
-
-
-
-
-
1,100
(1,100)
-
-
-
-
-
7,000
(7,000)
-
-
-
-
-
16,700
(16,700)
-
-
-
-
-
41,500
-
(33,565)
7,935
7,935
-
37,518
(37,518)
-
-
-
-
-
16,520
(16,520)
-
-
14,183
(14,183)
-
-
-
-
-
21,899
-
-
21,899
21,899
-
-
50,000
(50,000)
-
-
-
-
724
1,000
1,000
(724)
(1,000)
(1.000)
-
-
-
-
-
-
-
-
-
-
-
13,003
-
(6,567)
-
6,436
380,302
753,898
(630,278)
-
503,921
-
503,921
393,305
1,248,359
(1,004,975)
(83,565)
553,124
41,234
505,453
413,677
1,248,359
(1,004,975)
(83,565)
573,496
41,234
511,889
2,439,578
-
-
(842,200)
1,597,378
-
1,597,378
1,017,991
-
-
145,205
1,163,196
1,163,196
-
32,188,044
14,144,775
(14,807,492)
965,889
32,491,217
23,431,220
9,059,997
35,645,613
14,144,775
(14,807,492)
268,894
35,251,791
24,594,416
10,657,375
36,059,290
15,393,135
(15,812,466)
185,328
35,825,287
24,635,650
11,189,637

Any income or expenditure over £5,000 will be explained in below.

Purpose of funds

urpose of funds
Name - Primary use of funds and designated
Anaesthetic Machine - Anaesthetic machine for the VET unit.
Aylsham Field Shelter - Field shelter for Aylsham.
Ade Cole Stables - New stables at Ada Cole.
Ada Cole Memorial Stables - For general running of Redwings Ada Cole.
Aylsham Woodchips - Woodchips at Aylsham.
Aylsham - For general use at Redwings Aylsham.
Oxhill - For general use at Redwings Oxhill.
Oxhill Donkey Barns - Donkey barns at Oxhill.
Hapton - For general use at Redwings Hapton.
Mountains - For general use at Redwings Mountains.
Rehoming horse box - For purchase of a rehoming horse box.
SWHP - Fore general use at SWHP.
Tractor - For the purchase of a tractor.
Alan Fraser Trust - For use in Scotland only.

The movement under designated funds, planned capital expenditure closing balance represent the Capital project for 2024. The expenditure in 2023 represents the amount less items that were fixed assets the total Capital spend for 2023 was £1,320,555.

35

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

18. Funds – comparative 2022

8. Funds – comparative 2022
Endowment
WJ Turner Settlement
Restricted
Digital x ray system
Dental Floats
Caldecott
Care of Cinnabar
Ada Cole Memorial Stables
Behaviour Centre
Muffin The Mule
Fencing at Piggots
Treatment room
Aylsham
Mountains
Donkeys
Oxhill
SWHP Tractor
Hapton
Layby field Piggots
Vat Unit Hapton
SWHP
Alan Fraser Trust
Total restricted
Total endowment & restricted
Designated
Planned capital expenditure
Revaluation reserve
General reserve
Total unrestricted
Group Total		 Funds Movements
Represented by
Opening
Balance
£
Income
£
Expenditure
£
Transfers
Gains &
Losses
£
Closing
Balance
£
Fixed
assets
£
Net
current
assets
£
20,372
-
-
-
20,372
-
20,372
-
25,000
-
(25,000)
-
-
-
-
7,354
-
(7,354)
-
-
-
-
22,255
(22,255)
-
-
-
-
4,769
2,000
(6,769)
-
-
-
-
-
44,556
(44,556)
-
-
-
-
-
1,000
(1,000)
-
-
-
-
-
500
(500)
-
-
-
-
-
1,000
(1,000)
-
-
-
-
500
-
(500)
-
-
-
-
-
5,000
(5,000)
-
-
-
-
-
17,829
(17,829)
-
-
-
-
-
200
(200)
-
-
-
-
-
1,000
(1,000)
-
-
-
-
-
-
74,247
-
-
25,000
80,746
-
509
28,000
-
(80,746)
(61,244)
(509)
(28,000)
(25,000)
-
-
-
-
-
-
13,003
-
-
-
-
--
-
-
-
-
13,003
-
-
282,446
499,296
(401,440)
-
380,302
-
380,302
361,962
761,245
(672,548)
(57,354)
393,305
-
393,305
382,334
761,245
(672,548)
(57,354)
413,677
-
413,677
2,750,000
-
-
(310,422)
2,439,578
-
2,439,578
1,814,779
-
-
(796,788)
1,017,991
1,017,991
-
32,744,497
12,574,428
(13,350,521)
399,640
32,368,044
23,418,594
8,769,450
37,309,276
12,574,428
(13,350,521)
(707,570)
35,645,613
24,436,585
11,209,028
37,691,610
13,335,673
(14,203,069)
(764,924)
36,059,290
24,436,585
11,622,705

19. Operating leases receivable

The Charity as lessee, holds the following commitments

Within one year

31 Dec 31 Dec
2023 2022
£ £
50,298 50,298

20. Related party transactions

The above transactions are specifically permitted by the Charity’s Memorandum of Association and were at arms-length and in the ordinary course of business.

In 2023 the following transaction took place between the Charity and its wholly owned subsidiary Redwings Enterprises Limited:

36

REDWINGS HORSE SANCTUARY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] DECEMBER 2023

Management charge of £192,713 (2022: £178,415) Rental charge of £3,000 (2022: £3,000) Interest charge of £9,987 (2022: £5,200)

At the 31 December 2023 £73,416 was due from Redwings Enterprises Limited to the Charity (2022: £10,860 was due from Redwings Enterprises Limited) to the Charity. In addition to this, the Charity has provided a loan of £150,000 to Redwings Enterprises Limited. The loan is due for repayment in one year from the balance sheet date. Interest is charged on the loan at 2% above NatWest Bank plc's base rate.

21. Members Guarantee

The Charity has no share capital but is limited by guarantee. Every member of the Charity is a guarantor and undertakes to contribute to the assets of the Charity, in the event of it being wound up, such amounts as may be required. Each guarantor’s liability is limited to £1.

22. Financial instruments

Financial assets measured at fair value 31 Dec
2023
£
31 Dec
2022
£
5,586,253
5,513,824

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The Charity as lessee, holds the followin
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37