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2021-03-31-accounts

Registered number: 03462405 Charity number: 1069229

a THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

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TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

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CONTENTS

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Page
Reference and administrative details ofthe Company, its Trustees and advisers 1
Trustees’ report 2-17
Independent auditors’ report on the financial statements 18 - 21
Consolidated statement of financial activities 22
Consolidated balance sheet 23 - 24
Company balance sheet 25 - 26
Consolidated statement ofcash flows 27
Notestothefinancialstatements 28-55

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REFERENCEAND ADMINISTRATIVE DETAILS OF THE COMPANY, ITSTRUSTEES TRUSTEES AND ADVISERS
FORTHE YEAR ENDED 31 MARCH 2021
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Trustees P J Faulkner
Ms D J Hassall
G Johnston
R Wallace
JC Thelwall
R J Calvert OBE
R G Ellis
C S Austin
S Williams
S$ G Dixon
Company registered
number 03462405
Charity registered
number 4069229
Registered office The Forest Centre, Martson Moretaine
Bedford
MK43 OPR
Company secretary J Russell and G Sorrell
Chiefexecutive officer J Russell and G Sorrell
Independent auditors Hillier Hopkins LLP
Chartered Accountants
Statutory Auditor
249 Silbury Boulevard
Milton Keynes
MK9 iNA
Bankers National Westminster Bank plc
National Westminster House
Trinity Gardens
9-11 Bromham Road
Bedford
MK40 2UQ
Solicitors Woodfines LLP
6 Bedford Road
Sandy
Beds
$G191EN

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

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TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2021

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The Trustees present their annual report together with the audited financial statements for the year 1 April 2020 to 31 March 2021. The annual report serves the purposes of both a Trustees’ report and a directors’ report under company law. The Trustees confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).

Objectives and activities

a. Policies and objectives

Our objectives and charitable aims

The objects of the charitable company are stated in the Memorandum of Association of the Trust and are to benefit the public by:

  1. The improvement, protection and preservation of the Marston Vale in Bedfordshire and the surrounding area, for the better development of the rural environment.

The Trust is meeting this aim and realising clear public benefit from the creation of accessible woodland and green space; the regeneration of the rural environment; the protection and proper management of high quality green space; the protection of wildlife and the creation of varied and valuable habitat for plants and animals: influencing the behaviours and strategies of landowners and developers.

  1. The provision of public recreational and other facilities in Marston Vale and the surrounding area to members of the public at large in the interests of education or social welfare.

The Trust meets this objective by the provision of the Millennium Country Park, the facilities at the Forest Centre and the community woodlands across the Forest of Marston Vale, all of which have open access to the general public.

b. Overview

As a charity, the overriding purpose of The Forest of Marston Vale Trust is to spearhead the ongoing creation of the Forest of Marston Vale. In doing this, the Trust is guided by the broad vision and proposals set out in the Forest Plan (2000), a strategic plan produced through extensive public and stakeholder consultation that provides the framework for the creation of the Forest.

To help implement the original 40-year vision for creating the Forest of Marston Vale, the Trust produces periodic operational plans and strategies to identify shorter-term priorities and actions. In 2015, the Trust approved a new Forest Delivery Strategy, which was produced with the engagement of Trustees, staff and volunteers. It identified three key ways (Physically, Emotionally and Economically) in which the Trust will focus on creating the Forest of Marston Vale, and sets three priority objectives for each of these.

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THE FOREST OF MARSTON VALE TRUST

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TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
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ee Objectives and activities (continued)

b. Overview (continued)

The Forest Delivery Strategy is summarised in the graphic below:

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The financial year ending 31 March 2021 marks the sixth year of the Trust working to this new Forest Delivery
Strategy. Accordingly, this Trustees annual report uses this broad framework for reporting on notable
achievements during this period, in the following section ‘Activities for Achieving Objectives’.
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The first two decades of work to create the Forest of Marston Vale have already begun to transform the area, delivering significant social, economic and environmental benefits. The Forest is taking shape — woodland cover has trebled and there is now over 15% tree cover, up from 3.6% in 1995. Research has shown that the 1,140 hectares of new woodland planted between 1995 and 2015 is already providing benefits worth over £12.8m every year, that's an annual benefit of £11,247 per hectare. Overall, every £1 invested in creating the Forest to date, has generated an estimated £11 of social, economic and environmental benefits. An incredible return on investment for the local area — and we're only at the halfway point in creating the Forest, so its potential value is even greater in the future.

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Ne a a eee THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

a TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021 pi Objectives and activities (continued)

c. Activities undertaken to achieve objectives

The sections below are taken from the headings within the Forest Delivery Strategy:

Creating the Forest physically

Create more woodlands

During the winter 2020/21 planting season a total of 34,551 trees were planted across 10 sites by staff, volunteers and contractors.

Planting began on a new community woodland on farmland adjacent to Kings Wood, Houghton Conquest and close to the ruins of Houghton House — land bought in partnership with The Woodland Trust and now held on a 999-year lease by the Forest of Marston Vale Trust. The planting of the site will be phased over 3 years.

Covid restrictions prevented the Trust from going ahead with its biggest community event of the year, a public Tree Planting Day, scheduled for early 2021. Corporate planting days were similarly affected, though many of the Trust's Corporate Friends of the Forest continued to support tree planting through sponsorship. As restrictions eased, the Trust was able to call on its volunteers to help plant the new woodland, with over 30 coming forward to help. Over the course of 2 weeks, they helped to plant 5,610 trees — a significant achievement and a positive and uplifting experience for everyone involved after sucha difficult year.

Work to identify further future planting sites continued in parallel during the year, with discussions held with a range of stakeholders including planners, landowners and developers. Securing additional land for woodland creation and tree planting remains a key objective and challenge for the Trust, but fundamentally important to the ongoing creation of the Forest of Marston Vale.

increased tree planting across the Forest

The Trust, as one of England's Community Forests, is a partner in delivering the new Defra-funded ‘Trees for Climate’ programme. Launched in November 2020, ‘Trees for Climate’ is playing a significant part in the Government's commitment to address climate change and carbon mitigation through tree planting and woodland creation. In the first year of the project, the Trust delivered 19.47 hectares of planting.

Community engagement is critical to the success of the Trust and the ‘Community’ strand of ‘Trees for Climate’ is committed to delivering 2 hectares of tree planting each year with community groups across the Forest. This year the Trust worked with 4 schools, giving nearly 200 children the opportunity to plant trees within their grounds and significantly adding to the Forest School areas of Great Denham Primary School and Sheerhatch Primary School. Another project allowed Elstow Abbey to add to their tree cover in an area used by the community.

Improved recreational infrastructure

New willow huts were installed within a woodland glade at the Millennium Country Park, replacing the previous very well-loved ones which had deteriorated over the years. The 3 new willow huts are all different designs and sizes and create a natural play area within the woodland. As well as benefitting public visitors, they are also being regularly enjoyed by those attending sessions with Marston Vale Forest School. The willow for these structures was grown and sourced locally and installed by Jane and Guy Lambourne from Wasseldine, a small business providing countryside experiences and products from their family farm in Gravenhurst, Bedfordshire.

The arbor and seating area within the Sensory Wildlife Garden was replaced. Located in a quiet corner of the garden, the wooden arbour, complemented by climbers and shade-tolerant ground planting, is a relaxing spot for a picnic, reading a book or just to enjoy some quiet contemplation.

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TRUSTEES’ REPORT (CONTINUED)
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Objectives and activities (continued)
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Creating the Forest emotionally

Boosting the Forest brand and profile

Growing and maintaining awareness locally beyond the Forest Centre proved key during the period of lockdown/restrictions; the Trust focused on reinforcing the positive charity message through good news stories and person-centered storytelling. By amplifying individuals’ voices within the Forest and Volunteer team it was possible to generate experiential content to engage people digitally through a number of online features — ‘Walk in the woods’ video series; nature and wildlife sightings news; ‘What the Forest means to me’ series; gardeners blog. A refresh of visual branding was approached in the same way and focused on utilizing more personcentered media images and videos. The year also saw new partnerships with local media, with regular editorial features in BedsLife magazine (distribution to 47,000 houses in Bedford and surrounding villages) and Raring2GO Bedford and closer working with hyper-local outlets like parish newsletters and community groups and leaders. The varied Covid restrictions in place throughout the year meant it was not possible to run the fundraising activities and events that had proven successful in previous years. However, the need to maintain the drive to raise awareness and engagement with the Charity and so generate support and income remained a priority.

Digital fundraising campaigns were created to target existing supporters and attract new donors. The most successful of these campaigns was ‘Help us get growing again’ which ran from August to December 2020. Primarily a digital campaign with the objective of attracting new Friends of the Forest, it was boosted by some door-to-door leafleting adjacent to our woodlands, which proved very effective.

As a result of the targeted campaign activity, Friends of the Forest experienced significant growth during the year, with an additional 160 individuals choosing to become regular donors — 110 chose to be Individual Friends of the Forest whilst 50 became Family Friends. This represented a 167% increase in new Friends of the Forest compared to the previous year and the new supporters will generate £10,800 pa for the Charity.

Corporate partnerships remained a key tool to raise awareness and engagement within the business community. While all organisations were experiencing unprecedented trading conditions, several continued their support for tree sponsorship, including ABB Ltd, Baileys Heating Company, Blue Chip, Carr Estates, Corporate Greetings UK Ltd, Interfoam, Open University, Willow Tree Gin and Wooden Hill Coffee. New partnerships were agreed with Alameda Garden Buildings, Bedfordshire Woods, Bid & Tender Support, Cawley’s and Raring2Go! An unprecedented, five-year corporate partnership was agreed with Midas Pattern Ltd, a carbon net zero manufacturing company, incorporating the sale of a number of the Charity’s carbon units (PiUs: Pending Issuance Units) and support for 500 trees to be planted every year for the duration of the partnership.

Increasing community engagement

Engagement with communities was challenging throughout the year, as restrictions were in place for a substantial portion of it. The Forest Centre was closed for extended period and fetes, fairs and community events were cancelled over the summer, as was the Trust's planned Wildlife Week. Parkrun along with other externally-organised similar events (sponsored walks, runs etc) normally held in the Millennium Country Park were also cancelled.

The usual varied and busy program of weekly volunteer tasks was put on hold for the majority of the year, with only a brief respite throughout autumn when some much-welcomed tasks resumed prior to the Christmas lockdown. The physical and mental benefits of volunteering could not have been clearer during that autumn, the positive lift to everyone (both volunteers and staff alike) was clear to see, as they were able to get back out again as a team, and to complete much needed practical work.

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THE FOREST OF MARSTON VALE TRUST

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TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
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Objectives and activities (continued)

Volunteer Wood Wardens continued to provide eyes and ears on the ground, and reported visitor numbers in the woods soaring during the period when people were asked to only take exercise close to home. The Friends of Rectory Wood Facebook page, run by volunteers, was full of photos and comments from people who had been enjoying the site, and was used to post some tree information about the various species that have been planted.

The Trust maintained regular communication with volunteers via phone and email throughout the pandemic and as always were impressed by their patience, pragmatism and resilience. A planned ‘thank-you’ for volunteers has been postponed, and will be rescheduled for next year.

Community Payback were not able to attend throughout this period due to restrictions and there were no corporate volunteer days either. This meant much important practical conservation work had to be delayed or fell to the small Ranger team.

The ‘Trees for Climate’ project enabled engagement with schools, albeit mostly remotely. Planned activities around tree planting (assemblies, follow-up activities etc.) were not possible, but when circumstances and restrictions allowed, staff and volunteers met with as many children as possible to talk about the Forest, and why tree planting is important. Members of the Forest Team continued to be proactive in engaging with local communities in whatever ways were possible, including:

Improved, regular digital content delivered an increase in engagement and channel growth across all social media platforms and new newsletter sign ups as the Trust expanded its digital footprint and virtual community. There was also an increase in user-generated content across the Community Woodlands and Millennium Country Park, showing a community that was actively engaging with the work that had been done in their local area. Although sentiment tracking is difficult to measure a more actively engaged online community can be attributed to more directly engaging online content. As well as engaging digitally, huge numbers of people visited the Trust's woodlands to take exercise, spend time outdoors, or find solace away from the challenges of the pandemic; many, reconnecting with nature and expressing their appreciation of the benefits delivered by access to community woodlands.

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nr——— ————— THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee) a TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021 eee Objectives and activities (continued)

Creating the Forest economically

Growing a local woodland economy

The Trust continued to develop its firewood enterprise during 2020/21 season though activities were heavily impacted by Covid restrictions and the related temporary loss of the dedicated firewood volunteers. Despite such challenging circumstances, over 10 tonnes of locally sourced, sustainably produced firewood was sold, as part of demonstrating the Trust's commitment to sustainable woodland management. Towards the end of the year a new volunteer Firewood Enterprise Coordinator was recruited and systems began to be developed to reallocate resources and better position the operation for future years.

Expanding and improving the leisure/sport/recreation ‘offer’ within the Forest

The Forest Centre & Millennium Country Park achieved a 14th consecutive Green Flag Award. The scheme recognises and rewards well managed Parks and green spaces across the UK and around the world. Despite the lack of organised activities within the Millennium County Park and wider Forest Sites, they were busier than ever, particularly throughout the first lockdown period. Local green spaces becamea lifeline for many people through this difficult time. A space for fresh air and nature on ‘daily exercise’ and as restrictions eased, they became a safe place to meet with family and friends. Comments from visitors about how grateful they were to have the Country Park, or a Community Woodland on their doorstep were regular.

While it was fantastic to see many people enjoying the sites, sadly it also brought an unprecedented period of antisocial behaviour. This was a real challenge to the Ranger team in physically trying to manage what was happening but also managing the feelings of sadness and frustration in the sustained damage and destruction of the sites they work so hard to look after. One positive from this period was increased engagement and a closer relationship with the Police, along with welcome support from the Central Bedfordshire Safer Neighbourhood Team.

The enforced closure of the Forest Centre during lockdown allowed for some much-needed maintenance work while the public were unable to use the building. The team also began planning future improvements to the public areas and building infrastructure.

On reopening in the summer, the team pulled together to deliver an adapted offer in difficult circumstances, while negotiating the ever-changing guidance and restrictions. Few activities were possible and further periods of restrictions and lockdown left the Centre closed once again for most of the winter.

Demonstrate Sustainable Development

The majority of the Trust's woodlands continued to be validated under the Woodland Carbon Code (WCC) as the Government-sponsored accreditation standard for claiming carbon stored in woodlands. The Trust is proud to have been involved in piloting various aspects of the Code. The Woodland Carbon Code is potentially a key mechanism for supporting carbon-neutral and sustainable development activities within the UK.

The Trust has continued to proactively engage in planning and development matters within the Forest area, maintaining the pursuit of high environmental quality net environmental gains from any development occurring within the Forest area 61 square miles.

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Objectives and activities (continued)

As part of the original agreement with the operator of the wind turbine at the Millennium Country Park, the Trust secured the creation of a new Community Fund, which receives £10,000 annually from the operator for distributing as small grants to local community groups. It was an important aspect of how the renewable energy development, on the Trust's land, could demonstrate its commitment to social responsibility, as part of sustainable development principles. The Trust helps to administer the Community Fund and during the year promotion and publicity of the Community Fund continued, encouraging local community groups to apply for small grants. In the year 2020/2021, the Community Fund supported projects from The Heart of Marston (outdoor classroom kit); Houghton Conquest Village Hall (stage repairs); Marston Day Nursery (outdoor play and education); Captain Tom Foundation (public art project).

Covid-19

The Trust's plans for 20/21 were significantly impacted by Covid-19 with the Forest Centre having to close from late March, commercial and fundraising events being cancelled, and a number of operational and volunteer activities unable to go ahead because of the restrictions.

The Trust used the period of closure to deliver essential maintenance to the building and to begin the process of making public and staff spaces Covid-secure. The Forest Centre began offering a takeaway service in June, ahead of a fuller reopening on 6th July. Throughout, the Centre team have adapted to ongoing changes in Government guidance, prioritizing colleague and visitor welfare throughout.

During the period of closure, the Trust made use of the Government's Job Retention Scheme (furlough) and business support grants to help support the retention of its front line teams.

Strategic report

Achievements and performance

a. Key performance indicators

Trustees on a quarterly basis review the financial performance of the Trust, against the approved annual budget, via management accounts which include monitoring of;

During the year the charity and its wholly owned trading subsidiaries, Marston Vale Services trading as The Forest Centre Limited and Marston Vale Farms Limited, donated via covenant £nil and £119,337 respectively (2020 - £nil and £124,686).

c. Investment policy and performance

The Trust has an Investment Policy which divides its investments into 4 separate funds, each with a specific purpose and its own objectives for growth and income. The Trust's investments are managed through its appointed Investment Managers, Quilter Cheviot.

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TRUSTEES' REPORT (CONTINUED)
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Strategic report (continued)
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Achievements and performance (continued)

Community Woodland Creation Fund

The Trust is primarily concerned with the creation of community woodland which is well managed woodland with excellent public access. The Trust has built a financial model for the 25 year cost of creating community woodland. This model cost has been endorsed by the Forestry Commission and sufficient restricted funds are secured against the modelled requirements before any new woodland is planted. The Community Woodland Fund is a key Restricted Fund and is monitored: to ensure that there is sufficient funding for all community woodlands being created.

Financial review

a. Going concern

After making appropriate enquiries, the trustees have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.

b. Financial risk management objectives and policies

Statement of Investment Policy of the Forest of Marston Vale Trust - Adopted by the board 27" November 2019:

Introduction

The objects of the charitable company are stated in the Memorandum of Association of the Trust and are to benefit the public by:

  1. The improvement, protection and preservation of the Marston Vale in Bedfordshire and the surrounding area, for the better development of the rural environment.

The Trust is meeting this aim and realising clear public benefit from the creation of accessible woodland and green space; the regeneration of the rural environment; the protection and proper management of high quality green space; the protection of wildlife and the creation of varied and valuable habitat for plants and animals; influencing the behaviours and strategies of landowners and developers.

  1. The provision of public recreational and other facilities in Marston Vale and the surrounding area to members of the public at large in the interests of education or social welfare.

The Trust meets this objective by the provision of the Millennium Country Park, the facilities at the Forest Centre and the community woodlands across the Forest of Marston Vale, all of which have open access to the general public.

Governance

The Forest of Marston Vale Trust is registered as a company limited by guarantee and was set up by a Trust Deed on 7th November 1997 and is a registered charity (number 1069229). The principal object of the company is to provide the environmental regeneration of the Marston Vale through the creation of the Forest of Marston Vale. The creation of the Forest of Marston Vale is guided by the Forest Plan and delivered through the Forest Delivery Strategy.

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THE FOREST OF MARSTON VALE TRUST
(A company limited by guarantee)
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TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
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Governance (continued)
The Board of Trustees is responsible for setting this investment policy and ratifying any changesto it.
All instructions to the Trust's appointed investment managers will be signed off by one member of the
Leadership Team Team (Forest Director or Commercial or Commercial Commercial Director) and one Trustee.
Purpose
The Charity has four funds:
Fund Purpose of fund Objective Risk
Cash buffer reserne for
General emergencies. : ;
Purpose Maximise income & capital value Lower-medium risk
Ongoing income meets day to
day expenses.
: i Capital expenditure plans for ; ; i ;
Capital Projects the next 1-5 years Match time horizon of 1-5 years — Lower-medium risk
Meeting the costs incurred in Maintain and grow the capital
Specific Use (restricted establishing woodlands and value of these restricted funds. Medi isk
funds) maintaining them for 25 years £60,000 annual requirement from ate
from inception year 3 onwards
Weoodlana To provide an income to help To maintain and grow the capital
eeasnt tL maintain woodlands after the value of this long-term fund to : é
Endowment are ores ; : Medium risk
Hecianaiadining) expiration of the initial 25 year achieve a capital value of £1
(desig establishment period million over ten years (2028)
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All instructions to the Trust's appointed investment managers will be signed off by one member of the Leadership Team Team (Forest Director or Commercial or Commercial Commercial Director) and one Trustee.

The lower-medium risk funds will be managed as one portfolio, as will the medium risk funds. The different funds will be designated within these.

Total return target

The total return target for the medium investment portfolio has been set at inflation plus 3.5% p.a. net of fees, and the lower-medium risk portfolio target is set at inflation plus 2% p.a. net of fees annualised over the longterm. This implies nominal targets of 5.5% p.a. and 4.0% p.a. respectively assuming the Bank of England's official 2% target for CPI inflation.

Liquidity requirement

The charity holds in cash reserves sufficient funds to meet immediate cash-flow requirements.

Ethical and other constraints

In principle the Trustees wish to be responsible investors. Therefore, the investment manager is expected to take account of environmental, social and governance (ESG) issues in their investment analysis and decisionmaking processes and engage with company management where appropriate.

Risk tolerance

A reasonable level of capital volatility within the investment portfolios is considered by the Trustees to be acceptable given the charity's risk and return objectives. The two portfolios will be managed in accordance with the risk profiles outlined below:

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THE FOREST OF MARSTON VALE TRUST
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TRUSTEES' REPORT (CONTINUED)
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General Purpose and Capital Projects Funds:
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Estimated range of |) I/We havo a tower to modium tolerance for risk, I/We would only be comfortable with modest
annualised réturn’ || variation or disruption te capital value or current income
Typical equity Suggested minimuny Estimated maximurn peax-to-trough
se weighting = up to S0% investment peried decline across investment period"
[| pau| 3 years :
Specific Use and Woodland Endowment Funds:
Estimated range of || 1/Wo have a madium tolerance for risk and can accopt modost variation or disruption to capital
annualised raturn’ value or current income in order to meet my/our longer-term objectives
Typical equity Suggested minimum Estimated maairnurn peak-to-trougn
[|| t15% weighting - upto 75% nvastment5 yearsperiod decling across investment péricci"
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Specific Use and Woodland Endowment Funds:

Diversification within the portfolio should be such as to limit the downside risk in the portfolio. However, the Trustees accept there maybe times of crisis when the downside risk might be larger as demonstrated in above ‘peak to trough decline’.

Ability to bear loss

The charity has a ‘moderate’ ability to bear investment losses.

For the Specific Use and Woodland Endowment Funds, in extreme circumstances, falls in the value of the portfolio of up to 35% would not have a material impact on the charity's overall financial position and commitments.

For the General Purpose and Capital Projects Funds, in extreme circumstances, falls in the value of the portfolio of up to 20% would not have a material impact on the charity's overall financial position and commitments.

Currency

The charity's liabilities are in sterling therefore the manager is expected to be mindful of this fact when investing the charity's assets.

Permitted asset classes, asset class ranges and benchmark indices The table below shows the strategic asset allocation and benchmark indices against which performance of the portfolio will be monitored. The table also shows the broad asset classes in which investment is permitted. Maximum and minimum ranges have been set in each asset class to limit the degree of divergence from the strategic asset allocation and therefore the overall risk.

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Specific Use and Woodland Endowment Funds:
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Investment pong isin, Zeset isin, Zeset Zeset Ranges Benchmark indices
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Performance of the overall portfolio will be monitored against its target of CPI inflation plus 3.5% p.a. net of fees, the composite of market indices (as shown above) and the ARC Steady Growth Charities Index.

General Purpose and Capital Projects Funds:

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|||||||||||| |---|---|---|---|---|---|---|---|---|---|---| |ScctranteInvestment|«=Sté(‘<‘iéiéw.C Lngrterm:|asset. =)Rangest—“‘“‘“‘zi‘S;S!!!OUUUUOUUUUUUUUUBenchmark|indices| |allocation|(%)| |i| |Fixed|income|35.0|15-45|FTSE|Actuaries|All|Stock|Gilts| |Total|equities|40.0| |UK|25.0|Minimum|15|FTSE|Ail|Share| |Overseas|15.0|Minimum|5|FTSE|All|World|ex|UK| |Alternatives|20.0|0|-|30|Custom|alternatives|benchmark| |Cash|5.0|0-20|UK|interbank|1|week| |ai| |62.5%|Global|hedge|/ 25.0%|FTSE|350|Real|Estate|super|sector/ 12.5% CRB|Commodities.|

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Performance of the overall portfolio will be monitored against its target of CPI inflation plus 2% p.a. net of fees, the composite of market indices (as shown above) and the ARC Balanced Charities Index.

Approach to investment

The Trustees have a preference for direct investment where possible. However, it is understood that collective investment schemes will be used to provide the most efficient means to access a particular markets or asset classes and for reasons of diversification.

Investment manager

The Trustees appointed Quilter Cheviot in June 2018 to manage the assets of the portfolio in accordance with the principles set out in this statement and within the guidelines set down from time to time by the Trustees. The Trustees will monitor the performance of the manager against the stated investment benchmark on a quarterly basis but it is anticipated that the manager will be given a period of tenure of between three and five years.

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EN SS SS SSS SSS SSS
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
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Investment manager (continued)
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Custody of assets: the investment assets are held in Quilter Cheviot’s nominee company who produce an annual verification as part of the audit process.

c. Principal risks and uncertainties

rincipal financial risks to the charity are:

d. Reserves policy

The Trust's reserves policy is to hold sufficient reserves of unrestricted funds to cover one year of the Forest Teams' direct costs. The Forest Team comprises those staff responsible for raising funds for projects and delivering projects. This level of reserve has been selected to secure the team and the long term viability of the Trust and recognises that certain of the Trust's income streams are variable in nature. By ensuring that the Team can be secured for a year ahead, it allows the Trust to respond to down turns in revenue and find alternative income streams or reduce costs in a controlled way. The charity has total funds of £15,223,340 at the year end (2020 - £14,551,220) of which £12,185, 160 (2020 - £11,638,803) is restricted. As a result of this year's activities, the charity's unrestricted General Fund (excluding the designated funds) has increased from £2,167,887 to £2,230,931. However, it should be noted that of this figure, £529,232 (2020 - £516,665) is represented by fixed assets that are not so easily accessible and £1,091,849 (2020 - £969,700) is held for the Capital Projects Fund within the investments in the new structure set up in the year. So only £622,417 being the net current asset, is accessible by the group, which is equivalent to in about 8 months of the Forest Team costs (excluding depreciation charges of approx. £940,300 for 2020 and £660,115 for 2020) in accordance with the charity's reserve policy.

e. Principal funding

The Trust's operating costs are covered by a combination of donated profit from the wholly owned subsidiary companies (Marston Vale Services trading as The Forest Centre Limited and Marston Vale Farms Limited), income from land holdings (including grants and royalty income from mineral processing) and management fees on projects. Income for projects has been secured by the Forest Team from a number of sources including developer contributions (e.g. via Section 106 Agreements), fundraising, corporate donations and a range of grant giving bodies.

Structure, governance and management

a. Constitution

The Forest of Marston Vale Trust is registered as a charitable company limited by guarantee and was set up by a Trust deed on 7th November 1997 and is a registered charity (number 1069229). The principal object of the company is to provide the environmental regeneration of the Marston Vale through the creation of the Forest of Marston Vale. The creation of the Forest of Marston Vale is guided by the Forest Plan and delivered through the Forest Delivery Strategy.

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THE FOREST OF MARSTON VALE TRUST

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(A company limited by guarantee)
-_ SS SS pS Sees ssh
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
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Structure, governance and management (continued)
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b. Methods of appointment or election of Trustees

Under the Articles of Association of The Forest of Marston Vale Trust, each Member has the right to appoint or remove a Trustee. Additional Trustees are co-opted onto the board of Directors to Strengthen key areas, identified through a skills audit review.

c. Organisational structure and decision-making

The Board of Trustees meets at least five times a year (including the AGM).

Until March 2019 a Chief Executive had been appointed by the Board to manage the day to day operations of the Charity. The Chief Executive was also the Managing Director of the operating subsidiaries, Marston Vale Services trading as The Forest Centre Limited and Marston Vale Farms Limited.

From April 2019 the Board restructured the Leadership Team delegating management of the day to day operations of the Charity jointly to the Forest Director and the Commercial Director. The Forest Director is also a Director of Marston Vale Farms Limited; the Commercial Director is also a Director of Marston Vale Services trading as The Forest Centre Limited. The new Leadership Team is supported by a sub-group of 4 Trustees.

Budgets are prepared annually and reviewed by the Board of Trustees before finalisation and approval. Management Accounts are prepared on a quarterly basis and reviewed by the Board. Operational accounts are prepared on a monthly basis and reviewed by the Leadership Team, Trustees sub-group and in-house Accountant.

d. Policies adopted for the induction and training of Trustees

New Trustees are provided with an induction pack which includes background information about the Trust's activities and a summary of Trustees duties and responsibilities. All Trustees are required to sign and return a copy of the duties and responsibilities. Trustees are encouraged to meet with members of the Staff Team and Team members present to the Board on matters of particular interest as and when necessary. Trustees are encouraged to attend public events organised by the Trust from time to time.

e. Pay policy for senior staff

The board of directors, who are also the trustees of the Forest of Marston Vale Trust and the senior leadership team comprise the key management personnel of the charity, in charge of directing and controlling the operation of the Trust on a day to day basis. All directors give of their time freely and no director received remuneration in the year. Details of directors' expenses and related party transactions are disclosed in note 26 to the accounts.

The pay of the senior staff is reviewed annually and normally it is increased in accordance with cost of living increases, such as inflation. In view of the nature of the charity, the directors when recruiting, benchmark against pay levels in other environmental organisations with visitor facilities of a similar size run on a social enterprise basis. Pay for senior managers are set by the Trustee board based on affordability and sustainability of the charity and whether the pay level is appropriate for the specific role. The combined gross salary, including benefits including pension and employers NI, for senior managers at the Trust is £114,487 (2020 - £111,458).

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eee THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

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De SSS sy aS SSS
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
SSE
Structure, governance and management (continued)
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f. Related party relationships

The Forest of Marston Vale Trust is the sole shareholder of two operating subsidiaries (Marston Vale Services trading as The Forest Centre Limited and Marston Vale Farms Limited) which are governed by their own Memoranda and Articles of Association. Marston Vale Services trading as The Forest Centre Limited operates the Charity's commercial operations under license from the Trust. All profits from both subsidiaries are covenanted to The Forest of Marston Vale Trust as the parent charity.

g. Financial risk management

The Trustees have assessed the major risks to which the Group and the Company are exposed, in particular those related to the operations and finances of the Group and the Company, and are satisfied that systems and procedures are in place to mitigate exposure to the maior risks.

h. Risk management

The Trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable insurance cover and policies are in place to provide adequate assurance against fraud and error.

The Trust's reserves policy has been designed to secure the fundraising and delivery activities for a minimum of one year, in the event that Trust unrestricted net income from all sources does not meet operating costs.

i. Public benefit

The Forest of Marston Vale is one of twelve Community Forests in England that were established in the early nineties, with a forty year planned delivery period. In line with all of England's Community Forests, the Forest of Marston Vale was set a Government target of achieving 30% woodland cover as a mechanism for facilitating environmental, social and economic regeneration, by engaging with communities and businesses.

The Forest of Marston Vale Trust is an independent registered charity and a company limited by guarantee. The Trust is committed to the environmental regeneration of 61 square miles of Bedfordshire through the creation of the Forest of Marston Vale. As the largest environmental regeneration project in Bedfordshire, stretching from the M1 to Willington, approximately half of the Forest is in Central Bedfordshire and half in Bedford Borough.

Initially funded by the Countryside Agency and the (then) three local authorities, the delivery of the Forest is now sustained by the Forest of Marston Vale Trust, which was established by the original partners in 1997, as an independent Trust. All commercial activities are carried out by the Trust's wholly owned operating company, Marston Vale Services trading as The Forest Centre Limited; a social enterprise operating enterprises such as the Forest Centre, a commercial visitor and conference ‘Forest Centre’ venture that donates all profits to the Trust as the parent charity.

The charity in turn supports delivery of the Forest of Marston Vale and brings in funding from a wide range of sources (grants from trusts, lottery funding and corporate sponsorship) and delivers high quality public access green space in line with the aims of the original Community Forest and Forest Plans. The Forest of Marston Vale Trust has a second operational subsidiary, Marston Vale Farms Limited, which is a vehicle for securing funding for woodland creation on behalf of the Trust, again all profits are covenanted to the Trust.

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rea er

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

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nee nnn eS Sa SS SS Ss SSS Ss
TRUSTEES’ REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
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a

Plans for future periods Aims for 2021/22:

Secure funding from a variety of sources to continue delivering the Forest of Marston Vale in line with the aims of the Forest Plan, by working with a range of partners, stakeholders and funders.

Continue to work to secure meaningful environmental gains from all approved development schemes (both residential, employment and mixed use) within or adjacent to the Forest area. The key objective is to ensure that all development proposals are policy-compliant in terms of demonstrating how they positively and proportionately contribute to the physical creation of the Forest of Marston Vale.

Plant 2 hectares with local schools and community groups as the second phase of a Community Engagement program which will deliver community planting activities over the next 4 years.

Plant the second phase, 11.46 hectares, of the new woodland adjacent to Houghton Conquest, directly and through public and corporate tree planting events, and a further 18.5 hectares across additional sites. Begin the development of the proposed Woodland Burial site at Wood End.

Enhance the Forest Centre hospitality offer and extend the range of public and kids’ events, attracting new visitors to support its continued operation as a profitable social enterprise by Marston Vale Services Limited t/as The Forest Centre.

To promote the importance and relevance of the Forest of Marston Vale within the proposals for the OxfordCambridge Growth Arc, including associated major infrastructure projects which bisect the Forest area.

Aims for 2022/23 and beyond:

Work to develop a robust 3-4 year ‘project pipeline’ and secure the associated funding to deliver ambitious local tree planting and woodland creation schemes.

Develop and deliver an enhanced visitor offer and experience at the Millennium Country Park and Forest Centre, with the aim being to attract new visitors, encourage longer visits and provide an enriched visitor experience. This will include new all-weather options to address some seasonal elements of the site. It will also need to address the potentially significant impacts on the Trust's flagship site of the proposed nearby major developments and the resulting increased visitor pressure. Ensuring that the award- winning quality of the site is not eroded by this increased pressure, and that all infrastructure and facilities remain ‘fit for purpose’ will be a priority.

Complete works on the Woodland Burial site and launch the business.

Explore further revenue generating projects, fundraising and business opportunities to further fund the creation of the Forest of Marston Vale and the sustainability of the charity. To this end unrestricted income supports the activities of the Trust and the Forest Team, enabling the team to secure restricted funds to deliver projects in furtherance of the objectives of the Forest of Marston Vale.

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a THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

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a ae a a el TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

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Statement of Trustees’ responsibilities

The Trustees (who are also the directors of the Company 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. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Company and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees’ report is approved has confirmed that:

Auditors

The auditors, Hillier Hopkins LLP, have indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees.

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Approved by order of the members of the board of Trustees and signed on their upniallt by:
Piver e fl FED.
Ms D J s R J Calvert Ofe
Trustee Trustee
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Date: om \ 2\ 202|
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eee THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee) SS SS hy SS INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE FOREST OF MARSTON VALE TRUST Nee

Opinion

We have audited the financial statements of The Forest of Marston Vale Trust (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 March 2021 which comprise the Consolidated statement of financial activities, the consolidated balance sheet, the company balance sheet, the consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of lreland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 the 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.

re

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

Se INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE FOREST OF MARSTON VALE TRUST (CONTINUED)

See

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditors’ 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. 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.

Opinion 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 our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ report including the Strategic report.

We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

a_i p Sv y INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE FOREST OF MARSTON VALE TRUST (CONTINUED) — co SSSSSSeSSSSSSeSSSSSSSSSSSSSSSSSSSFSMSSee

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement, 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 the 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 the parent charitable company or to cease operations, or have no realistic alternative but to do So.

Auditors’ 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 auditors’ 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.

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

° — the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;

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Neen cece cece cece ccc cceccee ae a THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

a INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE FOREST OF MARSTON VALE TRUST (CONTINUED)

eee As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud. We also obtained an understanding of the legal and regulatory frameworks that the Group operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. We focused on laws and regulations that could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006, Charities Act 2011 and relevant tax legislation.

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

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

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors’ 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 and its members, as a body, for our audit work, for this report, or for the opinions we haveC.) Grant FranklintACA (senior statutory auditor) for and on behalf of Hillier Hopkins LLP Chartered Accountants Statutory Auditor 249 Silbury Boulevard Milton Keynes MK9 1NA

14 December 2021

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St

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

UUUU0,==-0,-=

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021

ee ee ee ee ee ee
Unrestricted Restricted Total Total
funds funds funds funds
2021 2021 2021 2020
Note £ £ £ £
Income from:
Donations and legacies 4 369,354 - 369,354 347,389
Charitable activities 5 13,695 341,294 354,989 524,811
Other trading activities 6 583,824 - 583,824 1,075,228
Investments a 12,225 60,117 72,342 75,821
Other income 8 127,655 - 127,655 10,998
Total income 1,106,753 401,411 1,508,164 2,034,247
Expenditure on:
Raising funds 9 541,573 - 541,573 820,450
Charitable activities 10 626,293 397,746 1,024,039 742,647
Total expenditure 1,167,866 397,746 1,565,612 1,563,097
Net (expenditure)/income before net
gains/(losses) on investments (61,113) 3,665 (57,448) 471,150
Net gains/(losses) on investments 186,876 542,692 729,568 (202,124)
Netmovement in funds 125,763 546,357 672,120 269,026
Reconciliation offunds:
Total funds brought forward 2,912,417 11,638,803 14,551,220 14,282,194
Net movement in funds 125,763 546,357 672,120 269,026
Totalfundscarriedforward 3,038,180 12,185,160 15,223,340 14,551,220

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eee

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee) REGISTERED NUMBER: 03462405

RENN SSS SS SSS Ss icf

CONSOLIDATED BALANCE SHEET AS AT 31 MARCH 2021

eee eee eee eee
2021 2020
Note £ £
Fixed assets
Tangible assets 16 10,127,534 10,161,620
Investments 17 4,278,151 3,558,709
14,405,685 13,720,329
Current assets
Stocks 18 26,285 28,048
Debtors 19 208,609 259,525
Cash at bank and in hand 944,314 785,632
1,179,208 1,073,205
Creditors: amounts falling due within one
year 20 (334,368) (227,735)
Net current assets 844,840 845,470
Total assets less current liabilities 15,250,525 14,565,799
Creditors: amounts falling due after more
than one year 21 (15,208) -
Provisions for liabilities (11,977) (14,579)
Total net assets 15,223,340 14,551,220
Charity funds
Restricted funds 23 12,185,160 11,638,803
Unrestricted funds 23 3,038,180 2,912,417
Totalfunds 15,223,340 14,551,220

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THE FOREST OF MARSTON VALE TRUST
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(A company limited by guarantee) REGISTERED NUMBER: 03462405

CONSOLIDATED BALANCE SHEET (CONTINUED) AS AT 31 MARCH 2021

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

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Ms D J Hassall —— <~ RJ Calvert OBE
Trustee Trustee
Dates OM | i2| 202)
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The notes on pages 28 to 55 form part of these financial statements.

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Seenree eee e nee ne ne

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee) REGISTERED NUMBER: 03462405

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|||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---|---| |SS|SSS|SS|i|SSS|So| |COMPANY|BALANCE|SHEET| |AS|AT|31|MARCH|2021| |i=n| |2021|2020| |Note|£|£| |Fixed|assets| |Tangible|assets|16|10,064,494|10,084,885| |Investments|17|4,278,153|3,558,711| |14,342,647|13,643,596| |Current|assets| |Debtors|19|350,841|308,199| |Cash|at bank|and|in|hand|826,660|657,204| |1,177,501|965,403| |Creditors:|amounts|falling|due|within|one| |year|20|(239,555)|(105,810)| |Net current|assets|937,946|859, 593| |Total|assets|less|current|liabilities|15,280,593|14,503, 189| |Total|net|assets|15,280,593|14,503, 189| |Charity|funds| |Restricted|funds|23|12,185,161|11,638, 802| |Unrestricted|funds| |Designated|funds|23|807,249|744,530| |General|funds|23|2,288,183|2,119,857| |Total|unrestricted|funds|23|3,095,432|2,864,387| |Total|funds|15,280,593|14,503,189| |The|Company's|net|movement|in|funds|for|the|year was|£777,404|(2020|-|£220,470).|

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aa

THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee) REGISTERED NUMBER: 03462405

SSS SSS SSS a ae a ag a a COMPANY BALANCE SHEET (CONTINUED) AS AT 31 MARCH 2021 eee sss

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

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va
Ms D JHassall ~-— J Calvert fe rf
Trustee Trustee
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Date: OA IDj202,

The notes on pages 28 to 55 form part of these financial statements.

I

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eee

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

SS

eh SSS fs SSG

CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2021

Eee

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|||||||||||| |---|---|---|---|---|---|---|---|---|---|---| |2021|2020| |£|£| |Cash|flows|from|operating|activities| |Net cash|used|in|operating|activities|201,742|483,534| |Cash|flows|from|investing|activities| |Dividends,|interests|and|rents|from|investments|12,225|16,571| |Proceeds|from|the|sale|of tangible|fixed|assets|208|14,975| |Purchase|of tangible|fixed|assets|(65,619)|(129,506)| |Proceeds|from|sale|of investments|1,344,003|905, 861| |Purchase|of investments|(1,333,877)|(709,893)| |Net cash|(used|in)/provided|by|investing|activities|(43,060)|98,008| |Change|in|cash|and|cash|equivalents|in|the|year|158,682|581,542| |Cash|and|cash|equivalents|at|the|beginning|of the|year|785,632|204,090| |Cash|and|cash|equivalents|at the|end|of the year|944,314|785,632|

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The notes on pages 28 to 55 form part of these financial statements

i

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  1. Accounting policies

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

Ne NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 eee 1. General information The company is a company limited by guarentee. The members of the company are the Trustees named on page 1. In the event of the company being wound up, the liability in respect of the guarentee is limited to £10 per member of the company.

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Forest of Marston Vale Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The consolidated statement of financial activities (SOFA) and consolidated balance sheet consolidate the financial statements of the Group and its subsidiary undertakings. The results of the subsidiaries are consolidated on a line by line basis.

The Group has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own statement of financial activities in these financial statements.

All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Grants are included in the consolidated statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Donated services or facilities are recognised when the company has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use of the company of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), the general volunteer time of the Friends is not recognised and refer to the Trustees' report for more information about their contribution..

On receipt, donated professional services and facilities are recognised on the basis of the value of the gift to the Company which is the amount it would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

ee“

Page 28

eee

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

a

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Eee

2. Accounting policies (continued) 2.2 Income (continued)

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service. Turnover for Marston Vale Services trading as The Forest Centre Limited comprises revenue recognised by the company in respect of goods and services supplied during the year, exclusive of Value Added Tax and trade discounts. Turnover for Marston Vale Farms Limited presents grants that the company were entitled to receive during the year and do not relate to what has been received during the year.

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Fundraising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Support costs are those costs incurred directly in support of expenditure on the objects of the company and include project management carried out at Headquarters. Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.

Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds. Charitable activities and Governance costs are costs incurred on the company's educational operations, including support costs and costs relating to the governance of the company apportioned to charitable activities. 2.4 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

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Page 29

eee THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee) —_— NS SSS SSS SSS SS NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 SSeS 2. Accounting policies (continued)

2.5 Taxation

The Company is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

2.6 Tangible fixed assets and depreciation

Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of financial activities. Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost. Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives.

Depreciation is provided on the following bases:

Forest Centre and Millennium - 2% oncost
Country Park
Long-term leasehold property - 2% oncost
Short-term leasehold property - Lease period
Plantand machinery
Motor vehicles		 - 5- 10 years on reducing balance
- 25% on reducing balance
Fixtures and fittings - 5-10 years on cost
Office equipment - 5- 10 years on cost
Computerequipment -15-20%reducingbalance

2.7 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the consolidated statement of financial activities.

Investments in subsidiaries are valued at cost less provision for impairment.

gee

Page 30

ee

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

a NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

eee

2. Accounting policies (continued)

2.8 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

2.9 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.10 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Liabilities and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the consolidated statement of financial activities as a finance cost.

2.12 Deferred taxation

Full provision is made for deferred tax assets and liabilities arising from all timing differences between the recognition of gains and losses in the financial statements and recognition in the tax computation.

A net deferred tax asset is recognised only if it can be regarded as more likely than not that there will be suitable taxable surpluses from which the future reversal of the underlying timing differences can be deducted.

Deferred tax assets and liabilities are calculated at the tax rates expected to be effective at the time the timing differences are expected to reverse.

2.13 Financial instruments

The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

Page 31

a THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

ae

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

eee

2. Accounting policies (continued)

2.14 Operating leases

Rentals paid under operating leases are charged to the consolidated statement of financial activities on a straight line basis over the lease term.

2.15 Pensions

The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.

The Group operates a defined benefits pension scheme and the pension charge is based on a full actuarial valuation dated 05/04/2019.

2.16 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 Group 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 designated 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 Group for particular purposes. The costs 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.

Investment income, gains and losses are allocated to the appropriate fund.

3: Critical accounting estimates and areas of judgment

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions:

The Company makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

SSS SS a NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

eee

4, Income from donations and legacies

----- Start of picture text -----
||||| |---|---|---|---| |Unrestricted|Restricted|Total| |funds|funds|funds| |2021|2021|2021| |£|£|£| |Donations|369,354|-|369,354| |Unrestricted|Restricted|Total| |funds|funds|funds| |2020|2020|2020| |5|£|£| |Donations|346,429|960|347,389|

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  1. Income from charitable activities

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|||||||||| |---|---|---|---|---|---|---|---|---| |Unrestricted|Restricted|Total| |funds|funds|funds| |2021|2021|2021| |£|£|£| |Creation|of community woodland|13,695|341,294|354,989| |Restricted|Total| |funds|funds| |2020|2020| |£|£| |Income|from|charitable|activities|-|Creation|of community woodiand|524,811|524,811|

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a ae

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

Ce TT

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

6. Income from other trading activities

Income from fundraising events

Unrestricted Total
funds funds
2021 2021
£ £
Royalties and rents receivable from the extraction of minerals under licence
fees 179,914 179,914
Miscellaneous income 367 367
Wind turbine income 54,089 54,089
234,370 234,370
Unrestricted Total
funds funds
2020 2020
E £
Royalties and rents receivable from the extraction of minerals under licence
fees 114,557 114,557
Miscellaneous income 2,911 2,911
Wind turbine income 60,064 60,064
177,532 177,532
Income from non charitable trading activities
Unrestricted Total
funds funds
2021 2021
£ £
Marston Vale Services trading as The Forest Centre Limited 227,503 227,503
Marston Vale Farms Limited 121,951 121,951
349,454 349,454

Page 34

THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

i nnn mmm ss mm

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EEE eel
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

6. Income from other trading activities (continued)

income from non charitable trading activities (continued)

Unrestricted Total
funds funds
2020 2020
£ £
Marston Vale Services trading as The Forest Centre Limited 696,834 696,834
Marston Vale Farms Limited 200,862 200,862
897,696 897,696

re Investment income

Unrestricted Restricted Total
funds funds funds
2021 2021 2021
£ £ £
Rents received and licence fees 12,000 - 12,000
Subsidiaries bank interest 4 - 1
Investment income for charity 224 60,117 60,341
12,225 60,117 72,342
Unrestricted Restricted Total
funds funds funds
2020 2020 2020
£ £ £
Rents received and licence fees 16,235 - 16,235
Subsidiaries bank interest 9 - 9
Investment income for charity 507 59,070 59,577
16,751 59,070 75,821

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THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

8. Other incoming resources

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||||||||| |---|---|---|---|---|---|---|---| |Unrestricted|Total| |funds|funds| |2021|2021| |£|£| |Government|grants|receivable|127,655|127,655| |Unrestricted|Total| |funds|funds| |2020|2020| |£|£| |Profit|on|sale|of|fixed|assets|10,998|10,998|

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Government grants receivable

9. Expenditure on raising funds Costs of raising voluntary income

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|||||| |---|---|---|---|---| |Unrestricted|Total| |funds|funds| |2021|2021| |£|£| |Other|costs|52,987|52,987| |Wages|and|salaries|19,407|19,407| |National|Insurance|costs|2,077|2,077| |74,474|74,471|

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

9. Expenditure on raising funds (continued)

Costs of raising voluntary income (continued)

Unrestricted Restricted Total
funds funds funds
2020 2020 2020
£ £ Ez
Other costs 78,678 11,737 90,415
Wages and salaries 18,911 - 18,911
National Insurance costs 2,021 - 2,021
99,610 11,737 111,347

Other trading expenses

Unrestricted Total
funds funds
2021 2021
£ £
Marston Vale Services trading as The Forest Centre Limited costs 106,929 106,929
Marston Vale Farms Limited costs 8,717 8,717
Subsidiary staffcosts 335,696 335,696
Subsidiary depreciation 15,760 15,760
467,102 467,102

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

SSS a SSS a Sa a SSS 000

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SS
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

9. Expenditure on raising funds (continued)

Other trading expenses (continued)

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|||||||||||| |---|---|---|---|---|---|---|---|---|---|---| |Unrestricted|Total| |funds|funds| |2020|2020| |£|£| |Marston|Vale|Services|trading|as The|Forest|Centre|Limited|costs|277,135|277,136| |Marston|Vale|Farms|Limited|costs|26,589|26,589| |Subsidiary|staff costs|401,638|401,638| |Subsidiary|depreciation|3,741|3,741| |709,103|709,103|

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10. Analysis of expenditure on charitable activities

Summary by fund type

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|||||||| |---|---|---|---|---|---|---| |Unrestricted|Restricted|Total| |funds|funds|funds| |2021|2021|2021| |£|£|£| |Creation|of community|woodland|626,293|397,746|1,024,039| |Unrestricted|Restricted|Total| |funds|funds|funds| |2020|2020|2020| |Ez|£|£| |Creation|of community|woodland|490,572|252,075|742,647| |Summary|by|expenditure|type| |Total| |Staff|costs|Depreciation|Other|costs|funds| |2021|2021|2021|2021| |£|£|£|£| |Creation|of community|woodland|364,216|83,737|576,086|1,024,039|

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THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

10. Analysis of expenditure on charitable activities (continued)

Summary by expenditure type (continued)

----- Start of picture text -----
|||||||| |---|---|---|---|---|---|---| |Total| |Staff costs|Depreciation|Other costs|funds| |2020|2020|2020|2020| |E|£|£|£| |Creation|of community|woodland|289,716|82,533|370,398|742,647|

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11. Analysis of expenditure by activities

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||||||| |---|---|---|---|---|---| |Activities| |undertaken|Support|Total| |directly|costs|funds| |2021|2021|2021| |£|£|£| |Creation|of community|woodland|959,377|64,662|1,024,039| |Activities| |undertaken|Support|Total| |directly|cosis|funds| |2020|2020|2020| |£|£|£| |Creation|of community woodland|674,651|67,996|742,647|

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Page 39

THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

SSS SSS SSL SS aD

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

11. Analysis of expenditure by activities (continued)

Analysis of direct costs

Creation of
community Total
woodland funds
2021 2021
£ £
Staff costs 330,377 330,377
Depreciation 83,737 83,737
Grants, tree sponsorship and similar incoming resources 545,263 §45,263
959,377 959,377
Creation of
community Total
woodland funds
2020 2020
£ £
Staffcosts 256,632 256,632
Depreciation 82,533 82,533
Grants, tree sponsorship and similar incoming resources 335,486 335,486
674,651 674,651

Analysis of support costs

Governance costs

Creation of
community
woodland		 Total
funds
2021 2021
£ £
64,662 64,662

Page 40

THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

----- Start of picture text -----
CEed
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

11. Analysis of expenditure by activities (continued)

Analysis of support costs (continued)

Creation of
community
woodland		 Total
funds
2020 2020
£ £
Governance costs 67,996 67,996

12. Auditors’ remuneration

The auditors’ remuneration amounts to an auditor fee of £9,675 (2020 - £9,662), taxation compliance of £995 (2020 - £985) and VAT work £1,460 (2020 - Enil).

13. Staff costs

Group Group Company Company
2021 2020 2021 2020
£ E £ £
Wages and salaries 618,550 681,697 288,765 285,625
Social security costs 81,721 5,083 81,721 5,083
Contribution to defined contribution pension
schemes 21,125 25,506 15,214 19,940
721,396 712,286 385,700 310,648

The average number of persons employed by the Company during the year was as follows:

Group Group
2021 2020
No. No.
Total employees 55 52

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

13. Staff costs (continued)

The average headcount expressed as full-time equivalents was:

----- Start of picture text -----
Group Group
2021 2020
No. No.
Forest creation 10 10
Social enterprise 20 22
Governance 1 fi
31 33
----- End of picture text -----

No employee received remuneration amounting to more than £60,000 in either year.

The senior management team's remuneration for the year was £114,487 (2020 - £111,458).

14. Trustees’ remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2020 - £NIL).

During the year ended 31 March 2021, no Trustee expenses have been incurred (2020 - Enil).

15. Taxation

The Forest of Marston Vale Trust is a registered charity and therefore is not liable to income tax or corporation tax on income or gains derived from its charitable activities, as they fall within the various exemptions available to registered charities.

During the previous years Marston Vale Services trading as The Forest Centre Limited has had taxable losses to offset against future profits of £177,163 (2020 - £82,972) as a result of the pension scheme deficit payment in the previous years. The tax benefit of these losses have not been reflected as a deferred tax asset of £33,661 (2020 - £15,765) due to the uncertainty of when this will arise due to the restrctions on the covenant.

Factors that may affect future tax charges

Legislation will be introduced in Finance Bill 2021 to set the charge to Corporation Tax and set the main rate of Corporation Tax for all non-ring fence profits to 19% for Financial Year 2022 and to set the charge to Corporation Tax and set the main rate at 25% for Financial Year 2023. Legislation will also introduce a small profits rate and will set this at 19%.

The small profits rate will apply to profits below the lower limit of £50,000 and profits exceeding the upper limit of £250,000 will be charged at the main rate. The thresholds that apply for determining whether a company is chargeable at the small ring fence profits rate at s279E Corporation Tax Act 2010 will be aligned with these limits.

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

a

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

ee 16. Tangible fixed assets Group

Other Forest Other
Freehoid Centre and Fixtures and
and = Millennium
Leasehold
Country		 Motor Fittings,
Plantand
Land Park vehicles Equipment Total
£ £ £ £ £
Cost or valuation
At 1 April 2020 4,885,283 6,967,817 34,229 75,063 11,962,392
Additions - 62,927 : 2,692 65,619
Disposals - (1,240) - : (1,240)
At 31 March 2021 4,885,283 7,029,504 34,229 77,755 12,026,771
Depreciation
At 1 April 2020 - 1,720,442 25,788 54,543 1,800,773
Charge forthe year - 93,467 2,110 3,481 99,058
On disposals . (593) - - (593)
At 31 March 2021 - 1,813,316 27,898 58,024 1,899,238
Net book value
At 31 March 2021 4,885,283 5,216,188 6,331 19,731 10,127,533
At31March2020 4,885,283 5,247,375 8,441 20,521 10,161,620

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee) a a NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

ee

16. Tangible fixed assets (continued)

Company

Other Forest Other
Freehoid Centre and Fixtures and
and
Leasehold		 Mitlennium
Country		 Motor Fittings,
Plantand
Land Park vehicles Equipment Total
£ £ £ £ £
Cost or valuation
At 1 April 2020 4,885,283 6,877,323 34,229 75,063 11,871,898
Additions ° 60,862 - 2,692 63,554
Disposals - (1,240) - - (1,240)
At 31 March 2021 4,885,283 6,936,945 34,229 77,755 =11,934,212
Depreciation
At 1 April 2020 - 1,706,683 25,788 54,543 1,787,014
Charge for the year - 77,707 2,110 3,481 83,298
On disposals - (593) - - (593)
At 31 March 2021 - 1,783,797 27,898 58,024 1,869,719
Net book value
At 31 March 2021 4,885,283 5,153,148 6,331 19,731 10,064,493
At 31March2020 4,885,283 5,170,640 8,441 20,521 10,084,885

Other freehold and leasehold land comprises:

Leasehold land with net book value of £50,000 (cost - £50,000) which was acquired on a 125 year lease of which 114 years were remaining at the balance sheet date; and

Leasehold land with a net book value of £640,000 was acquired during the year on a 999 year lease jointly with The Woodland Trust.

Freehold land at cost.

The Forest Centre is subject to a legal charge in favour of The Millennium Commission.

Other freehold and leasehold land includes a 70 hectare parcel of land at Rectory Farm that is subject to a legal charge in favour of Grantscape.

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THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

SSS SSS a ea

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

———ee

17. Fixed asset investments

Listed
securities
Group £
Cost or valuation
At 1 April 2020 3,558,709
Additions 1,333,877
Disposals (1,344,003)
Revaluations 729,568
At 31 March 2021 4,278,151
Net book value
At 31 March 2021 4,278,151
At 31 March 2020 3,558,709
Investments
in
subsidiary Listed
companies investments Total
Company £ £ £
Cost or valuation
At 1 April 2020 2 3,558,709 3,558,711
Additions - 1,333,877 1,333,877
Disposals - (1,344,003) (1,344,003)
Revaluations - 729,568 729,568
At 31 March 2021 2 4,278,151 4,278,153
Net book value
At 31 March 2021 2 4,278,151 4,278,153
At31March2020 2 3,558,709 3,558,711

Page 45

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THE FOREST OF MARSTON VALE TRUST (A company limited by guarantee)

SS SSL SSS ae ea aay a a NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

18. Stocks

Group Group
2021 2020
£ £
Finished goods and goods for resale 26,285 28,048
19. Debtors
Group Group Company Company
2021 2020 2021 2020
£ £ £ £
Due within one year
Trade debtors 5,008 33,562 644 15,270
Amounts owed by group undertakings - - 214,564 128,131
Other debtors 2,897 1,829 1,528 1,829
Prepayments and accrued income 200,704 224,134 134,105 162,969
208,609 259,525 350,841 308,199
20. Creditors:Amountsfallingduewithinoneyear
Group Group Company Company
2021 2020 2021 2020
£ iS £ £
Trade creditors 122,128 76,313 98,153 51,318
Other taxation and social security 45,765 31,966 35,850 -
Other creditors 21,689 16,041 15,973 11,699
Accruals and deferred income 144,786 103,415 89,579 42,793
334,368 227,735 239,555 105,810
Group Group Company Company
2021 2020 2021 2020
£ £ £ £
Deferred income at 1 April 2020 41,878 52,023 22,823 31,254
Resources deferred during the year 34,870 33,088 19,218 19,379
Amounts released from previous periods (20,980) (43,233) (19,089) (27,810)
55,768 41,878 22,952 22,823

Deferred income relates to rents received in advance, deposits and project income not yet spent.

Page 46

THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

a

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

——— 21. Creditors: Amounts falling due after more than one year

----- Start of picture text -----
Group Group
2021 2020
£ £
Accruals and deferred income 15,208 -
22. Deferred taxation
Group
2021 2020
£ £
At the beginning of the year 14,579 -
(Credit)/Charge for the year (2,602) 14,579
11,977 14,579
The deferred tax liability is made up as follows:
Group Group
2021 2020
£ £
Accelerated capital allowances 11,977 14,579
----- End of picture text -----

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THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

SS SSS

eS

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

a 23. Statement of funds Statement of funds - current year

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |Balance|at| |Balance|at|1|Transfers|Gains/|31|March| |April|2020|Income|Expenditure|in/out|(Losses)|2021| |£|£|£|£|£|£| |Unrestricted| |funds| |Designated| |funds| |England| |Woodland|Grant| |Scheme|744,530|13,695|-|49,024|-|807,249| |General|funds| |General|Funds|-| |all|funds|2,119,854|718,959|(688,482)|(49,024)|186,876|2,288,183| |Subsidiaries| |reserves|48,033|374,099|(479,384)|-|-|(57,252)| |2,167,887|1,093,058|(1,167,866)|(49,024)|186,876|2,230,931| |Total| |Unrestricted| |funds|2,912,417|1,106,753|(1,167,866)|-|186,876|3,038,180| |Restricted| |funds| |The|Forest| |Centre|and| |Country|Park|4,759,672|-|(46,654)|-|-|4,713,018| |Land|aquired|for| |the|creation|of| |Community| |Woodland|4,885,283|-|-|-|-|4,885,283| |Creation|of| |Community| |Woodland|Fund|1,993,848|401,411|(351,092)|-|542,692|2,586,859| |11,638,803|401,411|(397,746)|-|542,692|12,185,160| |Tota!|of funds|14,551,220|1,508,164|(1,565,612)|-|729,568|15,223,340|

----- End of picture text -----

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THE FOREST OF MARSTON VALE TRUST

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

SSE

  1. Statement of funds (continued)

The Forest Centre and Country Park

This fund represents funding received for the original creation of the Forest Centre and Millennium Country Park.

Land acquired for the Creation of Community Woodland

This fund represents funding received for the acquisition of specific areas of land for the creation of community woodland.

Creation of Community Woodland Designated and Restricted Funds

These funds represent funding received for the long term creation of community woodland.

Designated funds

These funds represent funding recieved for EWGS (England Woodland Grant Scheme) money. It is designated for the future management of the Trust's woodland sites.

Transfers

During the year it was noted that income of £49,024 should have been allocated to the England Woodland Grant Scheme designated fund, so this has been transferred from the general unrestricted funds.

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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

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23. Statement of funds (continued)

Statement of funds - prior year

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||||||||||| |---|---|---|---|---|---|---|---|---|---| |Balance|at| |Balance|at|Gains/|31|March| |1|April|2019|Income|Expenditure|(Losses)|2020| |£|£|£|£|£| |Unrestricted|funds| |Designated|funds| |England|Woodland|Grant| |Scheme|744,530|-|-|-|744,530| |General|funds| |General|Funds|-|all|funds|2,161,344|551,709|(450, 145)|(143,054)|2,119,854| |Subsidiaries|reserves|(523)|897,696|(849, 140)|-|48,033| |Pension|reserve|-|-|-|-|-| |2,160,821|1,449,405|(1,299,285)|(143,054)|2,167,887| |Total|Unrestricted|funds|2,905,351|1,449,405|(1,299,285)|(143,054)|2,912,417| |Restricted|funds| |The|Forest|Centre|and|Country| |Park|4,807,143|-|(47,471)|-|4,759,672| |Land|aquired|for|the|creation|of| |Community|Woodland|4,885,283|-|-|-|4,885,283| |Creation|of|Community| |Woodland|Fund|1,684,418|584,841|(216,341)|(59,070)|1,993,848| |11,376,844|584,841|(263,812)|(59,070)|11,638,803| |Total|of funds|14,282,195|2,034,246|(1,563,097)|(202,124)|14,551,220|

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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

SENN

  1. Summary of funds

Summary of funds - current year

Balance at
Balance at 1
April 2020		 Income Expenditure Transfers
in/out		 Gains/
(Losses)		 31 March
2021
£ £ £ £ £ £
Designated
funds 744,530 13,695 - 49,024 - 807,249
General funds 2,167,887 1,093,058 (1,167,866) (49,024) 186,876 2,230,931
Restricted funds 11,638,803 401,411 (397,746) - 542,692 12,185,160
14,551,220 1,508,164 (1,565,612) - 729,568 15,223,340
Summary offunds - prior year
Balance at
Balance at
1 April 2019		 Income Expenditure Gains
(Losses)		 31 March
2020
£ £ £ £ £
Designated funds 744,530 - - - 744,530
General funds 2,160,821 1,449,405 (1,299,285) (143,054) 2,167,887
Restricted funds 11,376,844 584,841 (263,812) (59,070) 11,638,803
14,282,195 2,034,246 (1,563,097) (202,124) 14,551,220
Analysis of net assets between funds
Analysis of net assets between funds - current year
Unrestricted Restricted Total
funds funds funds
2021 2021 2021
£ £ £
Tangible fixed assets 529,232 9,598,302 10,127,534
Fixed asset investments 1,691,293 2,586,858 4,278,151
Current assets 1,179,208 - 1,179,208
Creditors due within one year (334,368) (334,368)
Creditors due in more than one year (15,208) - (15,208)
Provisions for liabilities and charges (11,977) - (11,977)
Total 3,038,180 12,185,160 15,223,340

25. Analysis of net assets between funds

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SS ila aaa aaa a a a NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 ——aCe PS! 25. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior year

Unrestricted Restricted Total
funds funds funds
2020 2020 2020
a £ £
Tangible fixed assets 516,665 9,644,955 10,161,620
Fixed asset investments 1,564,861 1,993,848 3,558,709
Current assets 1,073,205 - 1,073,205
Creditors due within one year (227,735) - (227,735)
Provisions for liabilities and charges (14,579) - (14,579)
Total 2,912,417 11,638,803 14,551,220

26. Reconciliation of net movement in funds to net cash flow from operating activities

Group Group
2021 2020
£ £
Net income forthe year (as per Statement of Financial Activities) 672,120 269,026
Adjustments for:
Depreciation charges 99,058 86,274
Gains on investments (729,568) 202,124
Dividends, interests and rents from investments (12,225) (16,571)
Loss/(profit) on the sale of fixed assets 439 (10,998)
Decrease in stocks 1,763 4,809
Decrease in debtors 50,916 2,575
Increase/(decrease) in creditors 88,824 (53,705)
Netcashprovidedbyoperatingactivities 171,327 483,534

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ee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 ee 27. Analysis of cash and cash equivalents

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Cash in hand
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28. Analysis of changes in net debt

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Cash at bank and in hand
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Group Group
2021 2020
£ £
944,314 785,632
At 1 April At 31 March
2020 Cash flows 2021
£ £ £
785,632 158,682 944,314
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29. Pension commitments

The group operates a defined contributions scheme on behalf of the employees. The assets of the scheme are held separately from those of the company in an independently administered fund. The contributions paid by the group in the year to the defined contribution scheme were £21,125 (2020 - £25,506). There were outstanding contributions at the balance sheet date of Enil (2020 - £nil).

The group operates a Defined benefit pension scheme.

Day to day management of the pension fund, is delegated to the investment managers under the guidance of the trustees. The assets of the scheme are held in separate funds administered by the trustees and are in the name of Marston Vale Services trading as The Forest Centre Limited. A formal actuarial valuation is carried out once every three years by an independent professionally qualified actuary, in order to assess the amount of assets that need to be set aside to meet the pension obligations, and to determine the future level of funding that the company should put into the scheme. The last formal valuation was carried out on 5 April 2019. The market value of the assets of the fund was £996,000 at that date. The actuarial valuation of these assets showed they were sufficient to cover 101% of the benefits which had accrued to members.

The contribution made for the year ended 31 March 2021 was E£nil (2020 - £nil). The agreed contribution rate for future years is either 28.3% or 28.8% depending on the employee contribution rates.

The scheme was in deficit and the group has entered into an agreement to make deficit payments from April 2014 at £2,083 per month for 10 years. This has now ceased due to the additional deficit payments that have been paid during the prior years. The scheme closed to new entrants during the year.

Principal actuarial assumptions at the Balance sheet date (expressed as weighted averages):

2021 2020
Discount rate at 31 March 3.5% 3.5%

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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

eee 29. Pension commitments (continued)

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2021 2020
£ £
Market value of assets 1,114,316 996,000
Present value of scheme liabilities (1,114,316) (996,000)
Surplus/(Deficit) in the scheme - -
Related deferred tax asset/(liability) - .
Net pension liability “ :
2021 2020
£ £
Movements in deficit during the year:
Deficit in scheme at beginning of year - -
Contributions - -
Actuarial gainl(loss) - -
Surplus/(Deficit) in scheme at end of year - -
Operating lease commitments
At 31 March 2021 the Group and the Company had commitments to make future minimum lease
payments under non-cancellable operating leases as follows:
Group Group Company Company
2021 2020 2021 2020
£ £ £ £
Not later than 1 year 935 891 132 597
Later than 1 year and not later than 5 years 1,301 1,092 272 1,092
Later than 5 years 970 974 970 974
3,206 2,957 1,374 2,657
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30. Operating lease commitments

At 31 March 2021 the Group and the Company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

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— SS SSS SSS SSS i SSS NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

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31. Related party transactions

C Austin is an employee of Bedford Borough Council which provided funding to the charity during the year of £2,000 (2020 - £nil) Also during the year the group made sales to them of fnil (2020 - £379) and purchases of £3,004 (2020 - £3,103), of which £200 (2020 - £200) was owed to them at the year end, included in creditors.

During the year the group made sales to Central Bedfordshire Council of £4,453 (2020 - £5,685) and grants totalling £41,120 (2020 - £360,000), purchases of £(504) (2020 - £24,933), of which £nil (2020 - £7,077) is due to the group at the year end and £nil due to them (2020 - £156), included in debtors & creditors. S Dixon is an elected member of this council.

During the year the group made sales to Cranfield University of £40 (2020 - £258), of which Enil (2020 - £48) is due to them at the year end. G Ellis is an employee at Cranfield University.

32. Principal subsidiaries

The following were subsidiary undertakings of the Company:

Names Company
number		 Principal activity Class of
shares		 Holding
Marston Vale Services trading asThe
Forest Centre Limited		 03538255 Commercial operation Ordinary
ofthe visitor centre		 100%
and conference centre
Marston Vale Farms Limited 06537891 Managing land to
raise funds for its		 Ordinary 100%
parent company
The financial results of the subsidiaries for the year were:
Names Income
£		 Expenditure _ Profit/(Loss)
£
/ Surplus/		 Net assets
£
(Deficit) for
the year
£
Marston Vale Services trading asThe
Forest Centre Limited		 238,453 (332,644) (94,191) (108,312)
MarstonValeFarmsLimited 135,646 (146,739) (11,093) 51,062

The financial results of the subsidiaries for the year were:

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