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2023-08-31-accounts

Company Registration No. 04062415 (England and Wales) Charity No: 1085211

Horses and Ponies Protection Association

Report of the Trustees and Financial Statements

for the Year ended 31 August 2023

HORSES AND PONIES PROTECTION ASSOCIATION

CONTENTS

Page
Reference and Administrative Details 2
Report of the Trustees 3
Statement of Trustees Responsibilties 11
Report of the Independent Auditors 12
Statement of Financial Activities 15
Balance Sheet 16
Statement of cashflows 17
Notes to the Financial Statements 18

HORSES AND PONIES PROTECTION ASSOCIATION

REFERENCE AND ADMINISTRATIVE DETAILS

FOR THE YEAR ENDED 31 AUGUST 2023

P A Warren (Chair) J M Farley FCA A Gill M Lonergan V Henderson K Dibbits H Perry

Trustees P A Warren (Chair) J M Farley FCA A Gill M Lonergan V Henderson K Dibbits H Perry Company Secretary S Arthur Chief Executive Officer S Arthur Registered Office Taylor Building, Shores Hey Farm Blackhouse Lane, off Halifax Road Briercliffe Burnley Lancashire BB10 3QU Registered Company Number 04062415 (England and Wales) Registered Charity Number 1085211 Auditor MHA Moore and Smalley LLP Chartered Accountants Richard House Winckley Square Preston PR1 3HP Bankers Yorkshire Bank 14 Broadway Bradford West Yorkshire BD1 1EZ National Westminster Bank 2 Howe Walk Burnley Lancashire BB11 1QD Investment Advisor Investec Wealth & Investment Limited 3 Wellington Place Leeds LS1 4AP Brewin Dolphin Ltd 10 Wellington Place Leeds LS1 4AN

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

The trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 August 2023 which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.

The accounts comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and 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 October 2019).

The full name of the charity is Horses and Ponies Protection Association and is known more generally as HAPPA.

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Trustees are pleased to present their annual report, in the financial year ending 31 August 2023, income from legacies, visitors’ centre, fundraising and other events have significantly increased.

At the date of approving these accounts the Trustees have a reasonable expectation that the Charity will be able to manage the situation and it has sufficient cash resources to enable it to meet its liabilities, as they are due, for at least 12 months from the date of approval. Thus, the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

Governing document

The Charity is a Limited Company, registration no. 4062415, is governed by its Memorandum and Articles of Association revised 4th December 2012 and is registered with the Charity Commission, no. 1085211.

Recruitment and appointment of trustees

All Trustees are appointed in accordance with article 7 of the Company's Articles of Association. The Trustees are aware of the necessity to maintain and improve the level of competence in the equine, commercial and professional areas. The Trustees are also aware of the need to recruit members to ensure continuity of services into the future. The application and recruitment process has seen updates in literature regarding the posts and a thorough selection processes put in place, ensuring that applicants with the appropriate specialist skill sets and personal interests are appointed as Trustees.

Training and induction of trustees

All Trustees complete an induction process that includes elements on governance and the role of a trustee within the Organisation. Training of Trustees is usually informal as the majority are long standing or have been appointed for their specialist business or equine knowledge.

Management responsibilities

HAPPA's Board of Trustees convene every three to four months to monitor the affairs of the Organisation and to set policy and agree expenditure. Board meetings are currently held at the Centre with social distancing and hygiene measures. The Annual General Meeting is held in May. The Board seek advice on matters such as finance, insurance, health and safety, human resources, marketing etc to ensure best practice is always followed. Decision making is made at Board level or delegated, by agreement, to the Chief Executive Officer. Financial expenditure is decided at Board level although expenditure to an agreed level can be authorised by the Chief Officer. Operational Management is largely the responsibility of the Chief Officer who works with the senior management team to ensure the Organisation's day-to-day affairs are managed effectively.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

Risks

The Board have identified three main areas of risk that the Organisation is exposed to. These are: - The availability of finance to allow the operations to continue. Damage to HAPPA's reputation. Health and safety of staff and volunteers.

Risk management

HAPPA's risk management strategy: -

Ensures that risk management is a prime consideration within the Organisation's culture and its approach to operational activities; ensures that potential risks are identified at the planning stage and a raft of options are agreed as to how best to identify and manage potential risks; ensures that internal controls are in place to effectively manage risks as they arise; ensures that professional advice is sought and insurance or other arrangements put in place to manage the impact of unavoidable risks.

ABOUT HAPPA

Founded in 1937 to help fight against the transportation of large horses to the continent for slaughter, HAPPA continues to play a major role in all aspects of equine welfare. Instrumental in achieving better protection for horses with the Riding Establishments Act, The Ponies Act 1969, The Illegal Tethering Act 1991 and by setting up the National Equine Welfare Committee 1997, HAPPA continues to campaign for improvements to existing legislation to ensure that horses, ponies, and donkeys are protected from cruelty and neglect.

Charitable objectives

As defined in the governing document, to prevent unnecessary suffering to horses and neglect of their bodily needs by assisting in the enforcement of laws regarding humane treatment and encouraging and promoting education in the humane treatment of horses.

The HAPPA Strategy 2021-2026 outlines changes to the mission statement, values, and main beliefs. Our vision is every equine in our care deserves a second chance in a forever home. Mission is to strive to give a second chance to neglected, abused and unwanted equines through rescue, rehabilitation, rehoming, and education. Adjustments have been made to match our hopes for every equine that comes into the Charity’s care. The mission is the reason we develop other areas of operations to increase charitable income, enabling financial selfsufficiency and longevity. Education remains a focus due to the importance of every person caring for an equine possessing the necessary knowledge to meet its welfare needs.

Public benefit

The Trustees have followed the Charity Commissions guidance on Public Benefit in carrying out their activities, through rescue, rehabilitation, rehoming, and education, as set out below. The activities of the Charity are available to all, irrespective of affordability through visiting, memberships; annual memberships are currently fixed at £20 with reductions for senior members. Supporters are encouraged to become a Second Chance Sponsor and support the rehabilitation of a chosen equine. A minimum donation is payable for access to see the resident horses, a donation is not payable for members and sponsors.

Rescue

HAPPA’s Equine Inspectors investigate over 300 cases of cruelty and neglect each year, offering advice and support where possible and preventing cruelty by intervention and prosecution where necessary. They have a wide range of expertise on all aspects of equine welfare and are fully conversant with the laws relating to the application and implementation of equine legislation within the Animal Welfare Act 2006; Animals Act 1971; Horse Passport Regulations 2009; Control of Horses Act 2015.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

Rehabilitation

HAPPA has a fully equipped Rescue Centre to ensure that all rescued and abandoned animals are restored lovingly back to health. Our Centre, based in Lancashire has stabling for approximately 50 equines at any one time with a strong emphasis on rehabilitation and rehoming. We treat each animal as an individual and take great care to provide the right environment and care programme for them all. Our Centre team and facilities has been expanded to deliver more consistent equine care and to offer greater opportunities to all animals at Shores Hey Farm, further developments have seen the refurbishment of existing out buildings into a new Equine Assessment Unit enabling the separation of equines returning from loan homes from rescued equines susceptible to zoonotic and contagious diseases housed in the Isolation Unit. This facility enables a timely turnaround of low risk HAPPA horses.

Through careful analysis of equine care resources, time, and workload the number of equines accommodated at Shores Hey Farm is now maintained to between 40 and 45, this has enabled the care team to concentrate solely on the rehabilitation of fewer allocated equines. As a result, significant improvements are seen in the ability to rescue and rehome equines.

Rehoming

All suitable equines are placed; in private homes through our legally binding loan scheme or those with specialist needs at the HAPPA Rescue Centre. Equine rehabilitation efficiency remains proficient. The average equine stay in centre timeframe has increased in comparison to previous years, this is a concern due to increases in living costs people may be less likely to commit to the financial outlay of rehoming a horse from a rescue centre. The new Project Horse Scheme allows equines at retraining stage to find homes with competent equestrians.

Advice and education

The equine action team are always available to offer advice and guidance on all aspects of equine welfare. Educational horse care sessions are now held onsite throughout the year. The Charity provides a range of free information sheets covering a range of equine related topics. An exciting new junior club with the focus of pony care has been well received with many subscribed to the offering.

Online digital platforms and social media content has been tailored to offer advice and educate followers, further development of the Charity’s online presence has resulted in an increase of brand awareness, followers, supporter demographic and customer engagement.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

OBJECTIVES, ACTIVITIES AND ACHIEVEMENTS

The Charity aims to prevent suffering, cruelty and neglect of equines through rescue, rehabilitation, rehoming and education It aims to achieve its objectives by:-

Maintaining financial security

HAPPA is committed to maintaining financial security, the Charity has invested in the development of the onsite shop, educational activities, and digital technology. Continuing to invest in marketing of legacies throughout. All will ensure the Charity’s survival in unprecedented times.

The conference suites have now been utilised for the expansion of the onsite shop. Within this space income is generated through sale of new and used equestrian items and farm themed gifts and toys. The shop is directly related to the charities core objectives by selling items that enhance the lives of equines. The shop is also a source of discounted, second hand, equestrian products for members of the public to purchase that are struggling financially. Online auctions are generating extra income and an associated ecommerce site is meeting the demands of a trend in safe online shopping.

The onsite café re-opened in June 2021, alongside reopening a new menu launched with the visiting customer in mind. Feedback and sales have been promising with further developments to include evening opening and seasonal events seen in 2022.

By improving income generation through the development of a robust and current donor database, investment in legacy marketing initiatives and the development and delivery of comprehensive digital customer engagement and fundraising strategy the Charity hopes to maintain income at a sustainable level. Greater use of digital and technology, particularly social media will ensure that the brand is promoted to the widest audience possible, and that awareness and new income is generated.

Legacy Marketing - Our legacy leaflets and legacy booklets are kept under review and distributed to solicitors and other interested supporters. The legacy page on the website is regularly reviewed and updated. Active on-going reviews of all administration relating to legacy management will create return.

Donations - Donors can make a secure online donation before visiting the stables and are invited to contribute towards tangible projects via the Charity’s magazines, website appeals and social media campaigns. Donations are also solicited through press releases highlighting latest rescues and through the introduction of mail shots. The donor database builds a robust and current contact list, and we now have the infrastructure in place to effectively support data capture. Further improvements to the utilisation of technology will allow for considerable growth in electronic marketing.

Horse Sponsorship Scheme -This year a rebrand and relaunch of the Sponsorship Scheme will enable supporters to sponsor horses under rehabilitation and in addition those equines helping to deliver the HAPPA educational offering. The new scheme will continue to enable our supporters to become part of offering all our rescue horses a second chance, whether this be in a forever home or assisting in delivering the educational offering at Shores Hey Farm. All the animals we rescue deserve a Second Chance of happiness; we work very hard to rehabilitate every animal admitted to the centre. We are anticipating a significant increase to current sponsor figures during the 2023/24 financial year. The administration of this scheme also attracts donor retention.

Corporate Sponsorship Scheme – Enables local and international businesses to become involved in our work by sponsoring the care of a HAPPA horse or a stable block. Corporate Sponsors receive regular team updates on their sponsorship. Businesses are asked to celebrate our success, to champion when sponsored equines complete their rehabilitation.

Membership - Supporters are actively encouraged to ‘Join the HAPPA Herd’ and become a member; a membership policy statement is available, and the offering is open to as many members as possible, provided they are over eighteen and genuinely motivated by equine welfare. Fees for the offering are staying consistent; however, the benefits for becoming a member of the Organisation have increased.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

Fundraising Practices

The Head of Marketing and Fundraising organises and manages all fundraising events onsite and online. Coordinating the activities of our supporters both on site and outside of the Organisation. The Charity does not use professional fundraisers or involve commercial participators. There have been no complaints about fundraising activity this year.

The Organisation has signed up to the Fundraising Regulator’s Code of Fundraising Practice, as a result, all the fundraising guidance and working practices have been updated to ensure compliance. Volunteer fundraisers are now given a briefing before they raise funds for the Charity and will also be given forms to complete.

To protect vulnerable persons all direct marketing is undertaken by the development team to ensure that it is not unreasonably intrusive or persistent. Contact is made through direct marketing a maximum of three times a year but usually quarterly. All marketing material contain clear instructions on how a person can be removed from mailing lists. A complaints procedure is in place to protect persons that feel the Charity has not acted in their best interests.

Improving the general infrastructure of HAPPA

We are passionate about ensuring that all staff can develop and complete appropriate training. The Organisation has the required policies and procedures in place to support future development. This includes embracing new technologies that will benefit the organisation and further improve staff development systems and opportunities.

Staff training and development - A comprehensive staff induction scheme is in place. Combined with a modern appraisal system and enhanced opportunities for consultation and communication, staff motivation is high which will impact positively on staff retention levels. Staff are encouraged to attend internal and external training sessions e.g., fundraising, legacy workshops and horse management and participate in external meetings and conferences. Prosecution and PACE training has improved the efficiency and effectiveness of front-line staff and management training for those in a more senior role enhanced knowledge and provided for a more informed and united workforce.

Professional Guidance – The Charity recognises that bespoke professional advice and support is necessary to ensure that the Organisation keeps abreast of changing legislation, manages its financial affairs appropriately and recruits and retains effective and motivated people. The Charity makes use of qualified consultants as and when necessary. In line with good practice, the Charity regularly tenders for professional services to ensure the best level of support at competitive rates.

Data Management - The team have worked hard across the Organisation to ensure that policies and procedures have been updated and improved to ensure compliance with relation to the General Data Protection Regulation (GDPR) as a result; an alternative data management system was sourced in 2019, a data breach reporting procedure put in place and the allocation of responsibility with regards the proper management of supporter data and associated administration.

Staffing Structure – Remains the same, there are no plans to change the staffing structure moving forwards.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

Developing the HAPPA Brand and developing public approval and awareness

OBJECTIVES, ACTIVITIES AND ACHIEVEMENTS

The Charity strives to give a second chance to neglected, abused and unwanted equines through rescue, rehabilitation, rehoming, and education. It aims to achieve its objectives by: -

Maintaining financial security

HAPPA is committed to maintaining financial security, the Charity has invested in the development of the onsite café, shop, educational activities, and digital technology. Continuing to invest in marketing of legacies throughout. All will ensure the Charity’s survival in unprecedented times.

The Charities onsite and online shop has been rebranded and relaunched to enhance the offering. Income is generated through the sale of new and used equestrian items and farm themed gifts and toys. The shop is directly related to the charities core objectives by selling items that enhance the lives of equines. The shop is also a source of discounted, second hand, equestrian products for members of the public to purchase that are struggling financially. The associated ecommerce site is meeting the demands of a trend in safe online shopping.

The onsite visitors centre and café continues to offer high standards of customer care and satisfaction. The addition of evening opening and seasonal events have been well received. Development plans involve refurbishment of the existing building.

By improving income generation through the development of a robust and current donor database, investment in legacy marketing initiatives and the development and delivery of comprehensive digital customer engagement and fundraising strategy the Charity hopes to maintain income at a sustainable level. Greater use of digital and technology, particularly social media will ensure that the brand is promoted to the widest audience possible, and that awareness and new income is generated.

Legacy Marketing - Our legacy leaflets and legacy booklets are kept under review and distributed to solicitors and other interested supporters. The legacy page on the website is regularly reviewed and updated.

Donations - Donors can make a secure online donation before visiting the stables and are invited to contribute towards tangible projects via the Charity’s magazines, website appeals and social media campaigns. Donations are also solicited through press releases highlighting latest rescues and through the introduction of mail shots. The donor database builds a robust and current contact list, and we now have the infrastructure in place to effectively support data capture. Further improvements to the utilisation of technology will allow for considerable growth in electronic marketing.

Horse Sponsorship Scheme -This year a rebrand and relaunch of the Sponsorship Scheme will enable supporters to sponsor horses under rehabilitation and in addition those equines helping to deliver the HAPPA educational offering. The new scheme will continue to enable our supporters to become part of offering all our rescue horses a second chance, whether this be in a forever home or assisting in delivering the educational offering at Shores Hey Farm. All the animals we rescue deserve a Second Chance of happiness; we work very hard to rehabilitate every animal admitted to the centre. The administration of this scheme also attracts donor retention.

Fundraising – The return of onsite fundraising activities has resulted in increased income from associated events and activities. Further focus will be seen moving forwards into the next financial year. The charity is certainly seeing a change in customer needs and wants, there is an increased need for an experience to be offered that supporters of ages can enjoy.

Corporate Sponsorship Scheme - Enables local and international businesses to become involved in our work by sponsoring the care of a HAPPA horse or a stable block. Corporate Sponsors receive regular team updates on their sponsorship. Businesses are asked to celebrate our success, to champion when sponsored equines complete their rehabilitation.

Membership - Supporters are actively encouraged to ‘Join the HAPPA Herd’ and become a member; a membership policy statement is available, and the offering is open to as many members as possible, provided they are over eighteen and genuinely motivated by equine welfare. A review of membership may result in changes to the offering, careful consideration will be given to the benefits received by members.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

Fundraising Practices

The Head of Marketing and Fundraising organises and manages all fundraising events onsite and online. Coordinating the activities of our supporters both on site and outside of the Organisation. The Charity does not use professional fundraisers or involve commercial participators. There have been no complaints about fundraising activity this year.

The Organisation has signed up to the Fundraising Regulator’s Code of Fundraising Practice, as a result, all the fundraising guidance and working practices have been updated to ensure compliance. Volunteer fundraisers are now given a briefing before they raise funds for the Charity and will also be given forms to complete. To protect vulnerable persons all direct marketing is undertaken by the development team to ensure that it is not unreasonably intrusive or persistent. Contact is made through direct marketing a maximum of three times a year but usually quarterly. All marketing material contain clear instructions on how a person can be removed from mailing lists. A complaints procedure is in place to protect persons that feel the Charity has not acted in their best interests.

Improving the general infrastructure of HAPPA

We are passionate about ensuring that all staff can develop and complete appropriate training the Organisation has the required policies and procedures in place to support future development. This includes embracing new technologies that will benefit the organisation and further improve staff development systems and opportunities. Staff training and development - A comprehensive staff induction scheme is in place. Combined with a modern appraisal system and enhanced opportunities for consultation and communication, staff motivation is high which will impact positively on staff retention levels. Staff are encouraged to attend internal and external training sessions e.g., fundraising, legacy workshops and horse management and participate in external meetings and conferences. Prosecution and PACE training has improved the efficiency and effectiveness of front-line staff and management training for those in a more senior role has enhanced knowledge and provided an informed and united workforce.

Professional Guidance – The Charity recognises that bespoke professional advice and support is necessary to ensure that the Organisation keeps abreast of changing legislation, manages its financial affairs appropriately and recruits and retains effective and motivated people. The Charity makes use of qualified consultants as and when necessary. In line with good practice, the Charity regularly tenders for professional services to ensure the best level of support at competitive rates.

Data Management - The team have worked hard across the Organisation to ensure that policies and procedures have been updated remaining fully compliant with relation to the General Data Protection Regulation (GDPR) as a result. To further reduce the risk of a data breach the Charity introduced a data management system, a data breach reporting procedure, in addition allocated management responsibilities with regards the proper management of supporter data and administration.

Staffing Structure – Remains the same, there are no plans to change the staffing structure moving forwards.

Developing the HAPPA Brand and developing public approval and awareness

A comprehensive Marketing Strategy is updated annually. Publications are constantly reviewed to promote Organisational initiatives and keep the brand fresh. The Charity’s website has been redesigned and updated to address the two clear facets of our Organisation, showcasing the integrity of our equine welfare work, whilst highlighting our commercial activities and our role as a tourist destination, keeping our name at the forefront across all areas of our work. We continually review our public interface to help us deliver a more cohesive and contemporary brand identity that will see all new activities plus our existing core business being promoted in an exciting and innovative way. Promotional merchandise is kept under review and improved where appropriate. Advertising – There is a structured approach to advertising, aiming to continue to focus on building brand awareness using hard copy and digital media. By raising brand awareness, the HAPPA brand will become much familiar, resulting in being attractive to potential donors.

Corporate Style – The HAPPA logo and HAPPA Direct logo are the recognisable brands associated with our charitable operations. The closure of the conferencing suites in 2020 has been a catalyst to dispersing with the previous multifaceted branding approach.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

Pursuing activities that prevent cruelty and suffering to equines.

This is achieved by improving equine accommodation at the Centre, by providing guidance to personnel and members of the public who are involved in assessing equines.

Equine accommodation plus additional Centre facilities - During the year the Charity has continued to maintain and improve the facilities to a high standard, providing the very best facilities for equine care and rehabilitation plus a great experience for visitors to the site. Three stables has recently been refurbished and the Charity successfully securing funding for a utility vehicle.

Training – Workshops and educational days are held at Shores Hey Farm to highlight appropriate methods of safely approaching, controlling, and handling equines, these are currently held onsite. Both employed personnel and members of the public benefit from these workshops.

Education - The educational offering has been developed by way of offering additional adult and child training days, with the focus of improving standards of equine care in the local community. The introduction of a club for young people to join and learn about caring for a horse correctly has been welcomed by the local community. Systems – A complete review and upgrade of existing systems has allowed for the introduction of policies and protocols to better manage animals requiring accommodation and those currently in our care.

Improving the HAPPA experience for volunteers, visitors, and supporters

Improving visitor facilities at Shores Hey Farm and further developing the volunteer programme: Visitor facilities – Reception, activities room, shop, indoor arena, onsite play area, education room and second handbook shop are open 7 days a week. Shores Hey Farm stable areas and outbuilding are also open; the café is open and is accepting walk-ins and table reservations.

The Visitor’s Centre- Including the Café is well supported by members of the public. The introduction of a business hub has encouraged footfall during off peak times. Evening events are fully booked, and their popularity continues to rise.

Volunteer Management - the vital role that volunteers play in delivering HAPPA services and in raising funds has always been recognised and resulted in the development of key volunteer roles and volunteer packs for people that are interested.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

Achievements

During the year the charity has achieved its objectives by attending 228 complaints of cruelty and neglect, accepting 30 needy equines, and rehoming 27 equines on permanent loan. At the year-end 39 equines were in residence at the Rescue Centre, and 238 equines accommodated in homes through our loan scheme.

Shores Hey Farm has seen visitor numbers of 14,573 during the financial year, an in comparison to the year prior. There is an expected increase in the 2023/2024 financial year.

The Charity has been able to educate 907 members of the public on how to care for horses correctly through the delivery of horse care courses and experience days at Shores Hey Farm.

FINANCIAL REVIEW

The financial statements set out on pages 11 to 25 show a net movement in funds for the year amounting to (£131,948) and net assets of £3,270,269 at 31st August 2023.

The net movement in funds: Operating deficit (£122,017) Investment gains (£9,931)

Legacies continue to be the core but volatile source of income for the Charity and the charity is actively working to increase the awareness of the charity to members and the public and encourage them to include legacies to the Charity in their wills. Legacy income in the year has increased from £556k to £745k an increase of £189k in comparison to last financial year.

In common with many other charities, income from other voluntary sources has fallen. The Trustees have considered the most appropriate policy for investing funds and have appointed investment managers to work towards a target return agreed by the Trustees.

RESERVES POLICY

The Trustees have reviewed the reserves of the charity. This review encompassed the nature of the income and expenditure streams, the need to match variable income with fixed commitments and the nature of the reserves. The review concluded that to allow the Charity to continue the current activities a general reserve equivalent to £2 million should be maintained. This equates to approximately two years of unrestricted fund expenditure. At the year end the Charity's general reserve, not already allocated to building projects nor invested in fixed assets, amounted to £1,125,117

Designated reserves are established for fixed assets amounting £2,145,152 The Trustees consider the current reserves to be sufficient.

LAND AND BUILDINGS

In the opinion of the Trustees there is no significant difference between the market value and the book value of the Charity’s interest in land and buildings. However, seeking an up to date valuation will be given consideration.

PLANS FOR FUTURE PERIODS

The Charity has seen an increase of income from legacies, fundraising, and trading activities this year in comparison to the previous financial year. Focus on financial self-sufficiency and reducing the reliance on legacy income remains. The Charity will continue to respond to reports of equine cruelty and neglect, ensuring high standards of care for resident equines. Equine rehoming numbers have decreased. a reduction that the Trustees feel is largely due to the increases seen in the cost of living.

As trading activities develop a trading subsidiary will be considered by the Board of Trustees, advice on the matter will be sought. For financial stability investments will be made in the development of onsite facilities. The situation will be monitored closely by the Board of Trustees; all will continue to safely further the Charity's objectives and activities, as detailed above.

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HORSES AND PONIES PROTECTION ASSOCIATION

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 AUGUST 2023

PLANS FOR FUTURE PERIODS

The Charity has seen an increase of income from fundraising and trading activities this year in comparison to the previous financial year due to Government restrictions being lifted. The Charity will continue to respond to reports of equine cruelty and neglect, ensuring high standards of care for resident equines by following Government restrictions and guidelines in relation to social distancing and hygiene. Rehoming of equines will continue whilst restrictions allow it. Equine throughput has decreased by 28%, a reduction that the Trustees feel is largely due to the increases seen in the cost of living.

The Trustees recognise that Government imposed Corona Virus and the cost-of-living crisis will influence income from immediate and future charitable activities, reserves will be utilised as and when needed to ensure financial security. For financial stability investments will be made in the development of onsite and online income generating activities and advances in digital technology. Alongside this focus has shifted to developing the charities online, educational and customer experience offerings.

The situation will be monitored closely by the Board of Trustees; all will continue to safely further the Charity's objectives and activities, as detailed above.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies act 2006 relating to small companies.

25/03/2024

Approved by order of the board of trustees on …………………. and signed on its behalf by :

PO Wanren

………………………

P A Warren – Trustee

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HORSES AND PONIES PROTECTION ASSOCIATION

STATEMENT OF TRUSTEE RESPONSIBILITIES

FOR THE YEAR ENDED 31 AUGUST 2023

The trustees (who are also the directors of Horses and Ponies Protection Association for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware :-

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HORSES AND PONIES PROTECTION ASSOCIATION

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS

FOR THE YEAR ENDED 31 AUGUST 2023

Opinion

We have audited the financial statements of Horses and Ponies Protection Association (the ‘charitable company’) for the year ended 31 August 2023 which comprise the Statement of Financial Activities, Balance Sheet, Statement of Cashflows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

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

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

Other information

The trustees are responsible for the other information contained within the Report of the Trustees. The other information comprises the information included in the trustees’ annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

-12-

HORSES AND PONIES PROTECTION ASSOCIATION

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS

FOR THE YEAR ENDED 31 AUGUST 2023

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of 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 directors’ report.

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

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 11, 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 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 charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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

-13-

HORSES AND PONIES PROTECTION ASSOCIATION

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS

FOR THE YEAR ENDED 31 AUGUST 2023

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 specific procedures for this engagement and the extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Because of the field in which the client operates we identified that employment law, health and safety legislation and compliance with the UK Companies Act are the areas most likely to have a material impact on the financial statements.

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 is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-and-guidancefor-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-for-audit.aspx. This description forms part of our auditor’s 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 company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Nicola Mason (Senior Statutory Auditor) for and on behalf of MHA Moore and Smalley Chartered Accountants Statutory Auditor

Richard House 9 Winckley Square Preston PR1 3HP

28/03/2024

……………………...

-14-

HORSES AND PONIES PROTECTION ASSOCIATION

STATEMENT OF FINANCIAL ACTIVITIES (Incorporating an Income and Expenditure Account) FOR THE YEAR ENDED 31 AUGUST 2023

Unrestricted Restricted Total Total
general funds funds funds
funds Year ended Year ended
31 August 31 August
2023 2022
Income and endowments from: Note £ £ £ £
Donations and legacies 2 789,379 21,527 810,906 685,039
Charitable activities 3 27,998 - 27,998 15,638
Other trading activities 4 364,587 - 364,587 273,135
Investments 5 25,295 - 25,295 19,848
Other 6 59,981 - 59,981 41,991
Total income 1,267,240 21,527 1,288,767 1,035,651
Expenditure on:
Raising funds 7 411,038 - 411,038 250,285
Charitable activities
Equine welfare 8 958,047 41,699 999,746 1,015,782
Total expenditure 1,369,085 41,699 1,410,784 1,266,067
Net defiict before movement on investments (101,845) (20,172) (122,017) (230,416)
Net gains/(losses) on investments (9,931) - (9,931) (124,060)
Net income/(expenditure) (111,776) (20,172) (131,948) (354,476)
Reconciliation of funds
Total funds brought forward 3,382,045 20,172 3,402,217 3,756,693
Total funds carried forward 3,270,269 - 3,270,269 3,402,217

-15-

HORSES AND PONIES PROTECTION ASSOCIATION

BALANCE SHEET

FOR THE YEAR ENDED 31 AUGUST 2023

Unrestricted Restricted Total funds Total funds
funds funds 2023 2022
Note £ £ £ £
Fixed assets
Intangible assets 14 679 - 679 1,359
Tangible assets
Investments		 15
16		 2,142,365
657,796		 -
-		 2,142,365
657,796		 2,181,418
744,301
2,800,840 - 2,800,840 2,927,078
Current assets
Stock 24,202 - 24,202 20,042
Debtors 17 327,986 - 327,986 301,876
Cash at bank and in hand 186,426 - 186,426 195,556
538,614 - 538,614 517,474
Creditors: amounts falling due
within one year 18 (69,187) - (69,187) (42,335)
Net current assets 469,427 - 469,427 475,139
Total assets less current liabilities 3,270,267 - 3,270,267 3,402,217
Net assets 3,270,269 - 3,270,269 3,402,217
Funds
Unrestricted funds
Restricted Funds		 3,270,269
-		 -
-		 3,270,269
-		 3,382,045
20,172
-
20 3,270,269 - 3,270,269 3,402,217

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

25/03/2024

The financial statements were approved by the Board of Trustees on …………….. and were signed on its behalf by :

P A Warren – Trustee

Company number: 04062415 (England and Wales)

-16-

HORSES AND PONIES PROTECTION ASSOCIATION

STATEMENT OF CASHFLOWS

FOR THE YEAR ENDED 31 AUGUST 2023

FOR THE YEAR ENDED 31 AUGUST 2023
Note
Cash generated (used in)/ generated by in operating activities
21
Cash flows from investing activities		 2023
£
(78,527)
Investment income 25,295
Purchase of fixed assets (29,876)
Purchase of investments
Proceeds on disposal of investments		 (45,783)
119,761
Cash (used in)/provided by investing activities 69,397
(Decrease)/Increase in cash and cash equivalents in the year (9,130)
Cash and cash equivalents at the beginning of the 195,556
year
Total cash and cash equivalents at the end of
the year		 186,426

-17-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

1 ACCOUNTING POLICIES

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

Basis of preparing the financial statements

The financial statements of the charitable company have been prepared in accordance with ‘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 October 2019) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Horses and Ponies Protection Association 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 note.

The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £.

Preparation of the accounts on a going concern basis

The trustees assess whether the use of going concern is appropriate, ie whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charitable company to continue as a going concern. The trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the accounts and have concluded that the academy trust has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the academy trust’s ability to continue as a going concern. Thus they continue to adopt the going concern basis of accounting in preparing the accounts.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. Grant income is recognised when the charity is entitled to the funds. This include income in respect of the coronavirus job retention scheme and the retail and hospitality grant.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings, they have been allocated to activities on a basis consistent with the use of resources.

Allocation and apportionment of costs

Support costs include central functions and have been allocated to charity cost categories on a basis consistent with the use of resource, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.

-18-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

1. ACCOUNTING POLICIES – continued

Intangible assets

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment annually, and whenever there is an indication that the asset may be impaired.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Software - 20% p.a. straight line

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold interest in land and buildings - 2% p.a. straight line
Stables and equipment - 10% p.a. on reducing balance
Fixtures and fittings - 10% -30% p.a. on reducing balance
Motor vehicles - 25% p.a. on reducing balance

Stocks

Stocks are valued at the lower cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

The company is a registered charity and to the extent that its income is applied on the specific charitable objects of the charity is exempt from taxation. Income receivable in respect of non primary purpose trade is taxable.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company’s pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

-19-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

1. ACCOUNTING POLICIES – continued

Legacies

Income from legacies is recognised when the charity has sufficient evidence that a gift has been left to them, that where required, probate has been granted, the executor is satisfied the property in question will not be required to satisfy claims in the estate, that is probable that the amount will be received by the charity, and the amount to be received can be estimated with sufficient accuracy, and that any conditions attached to the legacy are either within the control of the charity or have been met.

Where a payment is received from an estate or is notified as receivable by the executors after the reporting date and before the accounts are authorised for issue but it is clear that payment had been agreed by the executor prior to the end of reporting period, then the amount concerned is treated as an adjusting event and accrued as income in accounting period if receipt is probable.

Where the charity has established entitlement to a legacy but there is uncertainty as to the amount of the payment, details of the legacy are disclosed as a contingent asset until the criteria for the income recognition are met. Where a legacy is subject to the interest of a life tenant, the legacy is not recognised as income until the death of life tenant. At the year end there are not such amounts.

If it is doubtful that the full settlement of the legacy debtor will be received, the adjustment is made to reduce the amount of the legacy debtor and legacy income rather than charging the adjustment as expenditure in the SOFA.

Governance costs

Governance costs include costs of the preparation and audit of the statutory accounts, the costs of the trustees meetings and costs of any legal advice to trustees on governance or constitutional matters.

Fixed assets

Individual fixed assets costing £500 or more are initially recorded at cost.

Investments

Fixed asset investments are included at market value at the balance sheet date.

Realised gains and losses on investments are calculated as the difference between sales proceeds and their market value at the start of the year, or their subsequent cost, and are charged or credited to the statement of the financial activities in the period of disposal.

Unrealised gains and losses represent the movement in market values during the year and are credited or charged to the statement of financial activities based on the market value year end.

Operating leases

Rental payable under operating leases are charged in the statement of financial activities on a straight line basis over the lease term.

Government Grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

-20-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

  1. ACCOUNTING POLICIES – continued

Critical accounting estimates and areas of judgement

Accounting estimates and judgements 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 estimated and assumptions

The charity 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:-

Useful economic life of tangible fixed assets

The useful economic life of tangible fixed assets is judged at the point of purchase.

Impairment of fixed assets

At each balance sheet date, management undertake an assessment of the carrying value of tangible fixed assets to determine whether there is any indication that the value has been impaired. Where necessary, an impairment is recorded as an impairment loss.

2 DONATIONS AND LEGACIES

Donations and subscriptions
Gift Aid donations including tax reclaim
Legacies and bequests		 Unrestricted
Total
Total
general
Restricted
funds
funds
funds
funds
2023
2022
£
£
£
£
43,416
21,527
64,943
127,072
444
-
444
1,821
745,519
-
745,519
556,146
789,379
21,527
810,906
685,039

Income from donations and legacies of £810,906, of which £789,379 was unrestricted; £21,527 was restricted. (2022: £619,247 unrestricted).

3 CHARITABLE ACTIVITIES

CHARITABLE ACTIVITIES
Unrestricted Total Total
general Restricted funds funds
funds funds 2023 2022
£ £ £ £
Membership fees 7,413 - 7,413 7,685
Loan scheme 6,600 - 6,600 6,397
Cross agency fees 5,917 - 5,917 1,079
Educational days 8,068 - 8,068 477
27,998 - 27,998 15,638

Income from charitable activities for both 2023 and 2022 was unrestricted.

-21-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

4 OTHER TRADING ACTIVITIES

OTHER TRADING ACTIVITIES
Unrestricted Total Total
general Restricted funds funds
funds funds 2023 2022
£ £ £ £
Merchandising sales 81,918 - 81,918 83,786
Visitor centre sales 271,551 - 271,551 178,733
Facilities hire 11,118 - 11,118 10,616
364,587 - 364,587 273,135

Income from other trading for both 2023 and 2022 was unrestricted.

5 INVESTMENT INCOME

NVESTMENT INCOME
Income from listed investments
Interest income		 Unrestricted
Total
Total
general
Restricted
funds
funds
funds
funds
2023
2022
£
£
£
£
19,897
-
19,897
19,457
5,398
-
5,398
391
25,295
-
25,295
19,848

Investment income for both 2023 and 2022 was unrestricted.

6 OTHER INCOME

OTHER INCOME
Other income Unrestricted
Total
Total
general
Restricted
funds
funds
funds
funds
2023
2022
£
£
£
£
59,981
-
59,981
41,991
59,981
-
59,981
41,991

Other income for both 2023 and 2022 was unrestricted.

Other income includes £10,121 in respect of Biomass Rebate of (2022: £10,671), Fundraising income £41,121 and £8,738 other income.

-22-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

7 RAISING FUNDS

Donations and legacies

Donations and legacies
Advertising costs
Training costs
Fundraising costs
Other trading activities
Purchases		 Unrestricted
Total
Total
general
Restricted
funds
funds
funds
funds
2023
2022
£
£
£
£
7,228
-
7,228
12,104
10,909
-
10,909
10,279
1,924
-
1,924
3,832
20,061
-
20,061
26,215
186,687
-
186,687
114,051
Staff costs 199,267
-
199,267
103,564
Investment management costs
Investment management fees
Total raising funds		 385,954
-
385,954
217,615
5,023
-
5,023
6,455
5,023
-
5,023
6,455
411,038
-
411,038
250,285

Costs of raising funds related to unrestricted funds in the current and previous year.

8 CHARITABLE ACTIVITIES COSTS

Equine Welfare Direct costs
Support costs Totals
(See note 9)
(See note 10)
£
£
£
962,555
37,191
999,746

The cost of charitable activities related to unrestricted funds in the current and previous year.

-23-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023 9 DIRECT COSTS OF CHARITABLE ACTIVITIES

FOR THE YEAR ENDED 31 AUGUST 2023
9
DIRECT COSTS OF CHARITABLE ACTIVITIES
Staff costs
Establishment costs including insurance
Repairs, Maintenance and replacement
Office expenses
Printing, posting, stationery and newsletters
Animal feedstuff, veterinary fees and miscellaneous costs
Motor expenses
Legal and professional fees
Loss on disposal of assets
Depreciation		 Unrestricted
Total
Total
general Restricted
funds
funds
funds
funds
2023
2022
£
£
£
£
583,558
-
583,558
612,369
93,647
-
93,647
63,357
67,041
18,010
85,051
84,011
6,000
-
6,000
5,987
9,076
-
9,076
11,392
57,995
23,689
81,684
89,925
25,329
-
25,329
28,971
6,499
-
6,499
5,360
(2,413)
-
(2,413)
421
74,124
-
74,124
79,339
920,856
41,699
962,555
981,132

10 SUPPORT COSTS

Management Governance Totals
costs
£ £ £
Equine welfare 21,168 16,023 37,191

Support costs, included in the above, are as follows:

Wages
Social security
Accountancy and payroll fees
Bank charges
Auditors' remuneration
Trustee indemnity insurance		 Unrestricted
Total
Total
general Restricted
funds
funds
funds
funds
2023
2022
£
£
£
£
11,898
-
11,898
11,129
1,029
-
1,029
955
5,907
-
5,907
5,907
8,241
-
8,241
8,129
8,864
-
8,864
6,710
1,252
-
1,252
1,820
37,191
-
37,191
34,650

-24-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

11 NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting) :

2023 2022
£ £
Auditors’ remuneration 8,864 6,710
Depreciation and amortisation – owned assets 74,124 79,339
Operating lease rentals 586 586
Loss on disposal of fixed assets 2,413 421

12 TRUSTEES’ REMUNERATION AND BENEFITS

Trustees’ expenses

No trustees received nor waived any remuneration during the year and no trustees had any expenses reimbursed during the current and prior year.

Trustees indemnity insurance amounted to £837 (2022: £1,820). Donations of £100 were received from trustees in the year.

13 STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 2023
£
738,104
45,207
12,441
795,752		 2022
£
672,509
43,479
11,453
727,441

No employees received emoluments in excess of £60,000

Remuneration of Key Management Personnel which relates to the Chief Executive Officer was £55,785 (2022: £53,162).

The number of employees during the year was:

Administration
Animal welfare
Visitor centre		 2023
2022
13
13
22
21
9
10
44
44

-25-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

14
INTANGIBLE FIXED ASSETS		 14
INTANGIBLE FIXED ASSETS
Computer
Software Total
£ £
Cost or valuation
At 1 September 2022
Additions
Disposals		 13,904
-
-		 13,904
-
-
At 31 August 2023 13,904 13,904
Depreciation
At 1 September 2022 12,545 12,545
Charge in the year 680 680
Eliminated on disposal - -
At 31 August 2023 13,225 13,225
Net book value
At 31 August 2023 679 679
At 1 September 2022 1,359 1,359

15 TANGIBLE FIXED ASSETS

Cost or valuation
At 1 September 2022		 Freehold
premises
Stables and
equipment
Fixtures
and fittings
Motor
vehicles
Total
£
£
£
£
£
2,491,655
468,667
151,461
113,655
3,225,438
Additions 138
15,688
19,050
34,876
Disposals -
-
(11,100)
(11,100)
At 31 August 2023
Depreciation
At 1 September 2022
Charge in the year
Eliminated on disposal
At 31 August 2023
Net book value
At 31 August 2023
At 1 September 2022		 2,491,655
468,805
167,149
121,605
3,249,214
547,663
318,327
76,538
101,485
1,044,013
47,349
15,048
8,127
2,925
73,449
-
-
(10,613)
(10,613)
595,012
333,375
84,665
93,797
1,106,849
1,896,643
135,430
82,484
27,808
2,142,365
1,943,992
150,340
74,923
12,170
2,181,425

-26-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

16 FIXED ASSET INVESTMENTS

At 1 September 2022
Additions
Disposals
Revaluations
At August 2023		 £
744,301
45,783
(119,761)
(12,527)
657,796

Listed investments

Investments having a market value of £657,796 (2022 - £744,301) are listed on a recognised stock exchange.

17 DEBTORS : AMOUNTS FALLING DUE WITHIN ONE YEAR

17
DEBTORS : AMOUNTS FALLING DUE WITHIN ONE YEAR
Other debtors
Prepayments and accrued income
18
CREDITORS : AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
Taxation and social security
Other creditors		 2023 2022
£
1,705
326,281
327,986		 £
1,021
300,855
301,876
2023 2022
£
32,107
17,926
19,154
69,187		 £
13,728
12,360
16,247
42,335

19 OPERATING LEASE COMMITMENTS

The following operating lease payments are committed to be paid:

Within one year
Between one and five years		 2023
2022
£
£
586
586
732
1,318
1,318
1,904

-27-

HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

20 MOVEMENT IN FUNDS

Unrestricted funds
General funds		 At 1 September Incoming
Outgoing
Transfers and
At 31 August
2022 resources
resources
other gains
2023
£
£
£
£
£
1,199,268
1,267,240
(1,297,374)
(44,017)
1,125,117
Fixed asset funds 2,182,777
-
(71,711)
34,086
2,145,152
Restricted funds
Donations
Legacies
Total funds
Unrestricted funds
General funds		 -
90
21,527
(21,617)
-
-
20,082
-
(20,082)
-
-
3,402,217
1,288,767
(1,410,784)
(9,931)
3,270,269
At 1 September Incoming
Outgoing
Transfers and
At 31 August
2021 resources
resources
other gains
2022
£
£
£
£
£
1,517,478
969,859
(1,140,687)
(147,379)
1,199,268
Fixed asset funds 2,239,215
-
(79,760)
23,319
2,182,777
Restricted funds
Donations
Legacies
Total funds		 -
-
16,710
(16,620)
-
90
49,082
(29,000)
-
20,082
3,756,693
1,035,651
(1,266,067)
(124,060)
3,402,217

21 RECONCILIATION OF NET MOVEMENT IN FUNDS TO CASH FLOW FROM OPERATING ACTIVITIES

Net movement in funds
Depreciation
Loss/(Surplus) on disposal
Dividend income shown in investing activities
Decrease/(increase in stock)
Decrease/(increase in debtors)
Increase/(decrease in creditors)
Gains/(losses) on investment assets
Net cash generated by/(used) in operating activities		 Total
Total
funds
funds
2023
2022
£
£
(131,948)
(354,476)
74,129
79,339
(1,926)
1,212
(25,295)
(19,848)
(4,160)
(4,648)
(26,110)
(148,800)
26,852
6,060
9,931
124,060
(78,527)
(317,101)

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HORSES AND PONIES PROTECTION ASSOCIATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

22 PENSION COMMITMENTS

The charity operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the charity to the scheme and amounted £12,411 (2022: £11,453).

There were no outstanding or prepaid contributions at either the beginning or end of the financial year.

23 RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 August 2023 except those as disclosed in note 12 to the accounts.

Controlling entity

The charity is under the control of the trustees

24 CONTINGENT ASSETS

The Charity uses a service which gives notification that it is included in a will. The Charity tracks any legacies that it is notified of but does not recognise them in the accounts until they are entitled to them, receipt is probable and a value can be attributed to them. As such the Charity has contingent assets that it cannot currently quantify.

25 MEMBERS’ LIABILITY

The Charity is a private company limited by guarantee and consequently does not have share capital. Each of the members is liable to contribute an amount not exceeding £10 towards the assets of the charity in the event of liquidation.

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