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2020-12-31-accounts

Company number: 04610194

THE HUMANE SOCIETY INTERNATIONAL

(UK)

ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

THE HUMANE SOCIETY INTERNATIONAL

(UK)

Reference and Administrative Information

Trustees: Cristobel Block
Alexandra Gabrielle Freidberg
Michaelen Kastantin Barsness
Jeffrey Allen Flocken
Company Secretary: Joseph Robinson
Registered Office: 5 Underwood Street
London
N1 7LY
Company Number: 04610194 (England and Wales)
Charity Number: 1098925
Auditors: BDO LLP
55 baker Street
London
W1U 7EU
Bankers: Wells Fargo
90 Long Acre
London
WC2E 9RA
HSBC Bank PLC.
9 The Boulevard Crawley
West Sussex
RH10 1UT
Lawyers: Maurice Turnor Gardner LLP
15th Floor Milton House
Milton St., Londo
EC2Y 9BH
Squire Patton Boggs (UK) LLP
6 Wellington Place, Leeds
LS1 4AP

THE HUMANE SOCIETY INTERNATIONAL

(UK)

Table of Contents

Page
Trustees’ Report 4 ‐ 35
Auditor’s Report 36‐39
Statement of Financial Activities 40
Balance Sheet 41
Statement of Cash Flows 42
Notes to the Financial Statements 43‐47

THE HUMANE SOCIETY INTERNATIONAL (UK) Trustees Report

Chair of Trustees’ Welcome:

Humane Society International works around the globe, with more than 20 offices strategically placed around the world to support our global campaigns, and field activities in more than 50 countries. HSI UK is leading some of our organization’s most critical efforts, and I’m excited to share our past year’s accomplishments for animals.

The UK prides itself as a nation of animal‐lovers, and aspires to set world‐leading animal welfare laws. HSI UK has established itself as a leading force to support the delivery of that ambition, using science and advocacy backed by effectively public campaigning. We are an organization that confronts cruelty, and changes hearts and minds. A powerful example of this is the story of the CEO of the British Fur Trade Association leaving his role and coming to us to declare, in September, his public support for our campaign for a fur import and sales ban. His testimony that fur farming is inherently cruel, along with support from other powerful allies such as fashion designer Stella McCartney, Academy Award‐winning actress Dame Judi Dench, and the Daily Mirror, meant that we were able to make great progress in our campaign to make the UK fur‐free.

We are also tenacious, and in 2020 this paid off when sustained pressure from HSI UK and other organisations led to the Government committing to stop culling badgers and move to badger vaccination instead. This is a policy change that has taken many years to achieve, and will lead to the lives of tens thousands of badgers being spared each year.

The work and programs that HSI UK focuses on are an integral and essential part of HSI’s broader global strategy. HSI is one of the few international organizations working to protect all animals. Through five key global programs, we work to protect companion animals, end animal testing in laboratories, reduce farm animal suffering, safeguard wildlife, and respond to animals in crisis. We also partner with local organizations and national governments to address animal welfare issues in communities around the globe. When disasters strike, our teams deploy on the ground to help provide animal rescue, relief and evacuation services. For more than 25 years, HSI has focused on practical, long‐term solutions to end animal suffering and promote the human‐animal bond through science, advocacy, education and hands‐on projects. With the support of donors and advocates, we are creating a more humane and sustainable world for all animals, through the promotion of respect and compassion.

HSI UK looks forward to continued success in 2021. Thank you for your support! (ay Cristobel Block Chair of Trustees, HSI UK September 17, 2021

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THE HUMANE SOCIETY INTERNATIONAL (UK) Trustees Report

Executive Director’s Welcome:

2020 was an extraordinary and challenging year, a year that forced all charities to re‐evaluate our priorities, respond to unprecedented circumstances, find new ways of working and adjust to new norms. It is highly likely that the global pandemic had its origins in a wildlife market in China, a horrifying affirmation of concerns HSI’s wildlife experts have been expressing for years; that when we keep animals in appallingly cramped, unhygienic and stressful conditions that allow viruses to thrive and mutate, it is only a matter of time until diseases find their way into the human population. 2020 was a major wake‐up call to governments around the world to realise that humans are a part of, not apart from, the natural world, and we fail to treat animals humanely at our own peril.

I am extremely proud of the contribution HSI’s team of experts made during 2020 to drive and inform a global dialogue on ending animal industries that both cause suffering and present an unacceptable human health risk. It is imperative that we do not emerge from this pandemic and carry on with business as usual for wildlife markets, intensive farms pumped full of antibiotics, fur farms, and largely unimpeded global trade in wild animals and products. HSI will continue to work to promote the importance of respectful treatment of animals, for our sake as well as theirs. It is on issues like this, requiring joined up action from governments, where HSI’s reach across so many countries around the world can really deliver global impact and change for animals.

I am also proud to reflect on the way in which we were able to react quickly to new challenges and threats for animals around the world during 2020. Our global network of affiliates gives us in‐country knowledge and capacity, combined with the power and influence of a global organization. We began the year by raising funds and providing grants to assist with the rescue and rehabilitation of animals during Australia’s wildfires, and this soon shifted into providing grants to animal rescue sanctuaries to help them to continue to care for and rescue animals during a time when their usual revenue channels were shut down due to lockdowns. Our animal rescue teams are nothing if not tenacious, finding ways to continue to rescue hundreds of dogs from the dog meat trade, and to provide food for thousands of abandoned street animals, in spite of the huge challenges with lockdowns and travel bans.

Here at home, we concluded 2020 with a sense of cautious optimism that as the dust settles from the UK’s departure from the EU we have ahead of us a series of huge opportunities to push for stronger legal protections for animals in 2021, including a new Animal Welfare (Sentience) Bill, and legislation to ban the importation of cruel products like fur and hunting trophies, as well as bans on cages and crates for farmed animals, and live exports. Looking ahead we are also excited to engage meaningfully with the Climate Conference in Glasgow in 2021, bringing forward evidence and public pressure to show world leaders that cuts in intensive animal agriculture must be part of the toolkit to avoid climate catastrophe.

Finally, I offer my sincere thanks on behalf of HSI’s staff here in the UK and around the world, to our supporters and benefactors (including a growing number of committed companies, trusts and foundations funding our work) who have stood by us during this difficult time. Our mission to compel, inspire and enable governments, companies and individuals to adopt a more compassionate and respectful relationship with animals has never been more urgent or imperative, and we can only continue it with the steadfast backing of our dedicated funders. Thank you for your investment in a brighter, safer future for animals and for people, I hope that this report makes you proud of what we are achieving together.

Claire Bass Executive Director, HSI UK

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KEY ACHIEVEMENTS

Public policy and international affairs

Corporate advocacy and impact

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THE HUMANE SOCIETY INTERNATIONAL (UK) Trustees Report

Training, education and research

Direct animal care and rescue

The Trustees, who are also directors of the charity for the purposes of the Companies Act, submit their annual report and the audited financial statements for the year ended 31 December 2020. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” issued in 2019 in preparing the annual report and financial statements of the charity.

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1. GOVERNANCE, STRUCTURE AND MANAGEMENT

1.1 Governance

The Humane Society International (UK) is a private company limited by guarantee, registered in England and Wales, company number 04610194 and a registered charity, charity number 1098925. The organization was incorporated on 5 December 2002 and was registered as a charity on 11 August 2003. The organization is governed by its Memorandum and Articles of Association as amended on 18 October 2016.

The power of appointing trustees is vested in a majority of the trustees. The trustees periodically review the manner in which trustees are appointed to ensure that the trustee body possess adequate skills to manage the charity’s affairs properly. Any prospective new trustee will meet with the existing trustees and will be fully briefed on his or her obligations as a trustee and on all relevant policies and procedures. Any training needs will be identified at that stage and appropriate training will be provided. The trustees are satisfied that the existing trustees possess both substantial professional and other experience necessary to ensure the proper and effective management of the charity. The trustees have taken note of the new Governance Code for charities, and are in the process of considering how this can be best applied to the Charity.

The trustees who served the charity during the period and up to the date this report was approved, are as follows:

Cristobel Block Alexandra Gabrielle Freidberg Jeffrey Flocken Michaelen Barsness

1.2 Organizational Structure

The Humane Society International (UK) is affiliated with Humane Society International (HSI), incorporated May 1991 in Washington DC, USA. HSI educates audiences worldwide about compassion toward animals, carries out direct animal care, rescue, and disaster response; provides technical and scientific support to local partners; and seeks to increase the priority given to animal protection issues by policy‐makers, industry, and civil society worldwide.

HSI is 100% controlled by The Humane Society of the United States (HSUS), a not‐for‐profit organization, incorporated November 1954 in Delaware, USA. The primary purpose of HSUS is for worldwide advancement of humane treatment of animals through public education, awareness, and direct animal care programs.

The HSI UK is also related to HSI and HSUS in that all current Trustees of HSI UK are also Directors of HSI and HSUS.

1.3 Management Structure

The trustees meet regularly to review the overall objectives of the charity to ensure its effective performance. The administration of the charity and the keeping of its financial books and records are carried out by the staff of the charity with administration and supervision by the trustees. The trustees delegate the day‐to‐day management of the charity to the Executive Director, Claire Bass.

1.4 Remuneration Policy Statement

The policy of the Humane Society of the United States and its affiliates with regard to the remuneration of employees is to pay for performance.

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HSI UK provided merit increases based on the level of each employee’s performance during the review period. The budget for the merit increases is determined by the organisation’s budgetary committee with consultation with the human resources department. A review of salary practices of like‐minded organizations as well as the overall economic climate are considered in setting the budget.

In addition, market research is conducted regularly to ensure that the total compensation and benefit packages available to our employees are competitive with like‐minded non‐profit organizations while still offering the best value to the organisation. Pay for performance coupled with external competitiveness/internal equity ensure that we are award compensation in a fair manner that encourages and attracts a highly motivated staff that will ensure success in our efforts toward a humane society.

1.5 Risk Management

The trustees have assessed the major risks to which the charity is exposed, in particular those relating to the specific operational areas of the charity, its investments and its finances. The trustees believe that by monitoring reserve levels, by ensuring controls exist over key financial systems, and by examining the operational and business risks faced by the charity, they have established effective systems to mitigate those risks. The trustees regularly review these policies to ensure they are both up to date and effective.

The principle risks faced by HSI UK are continued fund generation and HSI UK’s responsibility to its staff, supporters, and volunteers. Fundraising in an uncertain economic environment can be challenging however, the trustees believe that by monitoring reserve levels and by ensuring controls exist over key financial systems; they have established effective systems to mitigate those risks.

HSI UK has a number of responsibilities to its staff, supporters and volunteers. The trustees seek to consult and engage with all groups on a regular basis to ensure specific concerns are identified and resolved in an effective manor to mitigate the risk to HSI UK.

HSI UK annually updates its risk management matrix, considering both internal and external risks. The below table outlines principal risks facing the charity and the measures in place to manage these.

Key risks and management measures in place

Risk Management
COVID‐19 The trustees and executive team continue to monitor
impacts of the outbreak on our ability to carry out our
charitable objectives and to raise revenue to enable our
work to continue. By year end 2020 the financial impact did
not give Trustees cause for concern, and the organisation is
in a stable financial position to help manage any risk arising
in 2021. Steps are being taken, on an ongoing basis, to
minimise the impact of COVID‐19 on the charity’s activities
and the effect this may have on the organisation’s
supporters and beneficiaries. Infrastructure is in place to
allow staff to work remotely and our key priority is to
ensure, as far as possible, that our animal protection
activities are still available when needed.
Reduction in fundraisingrevenue through Diversification of fundraisingefforts to applyrisk over more

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Trustees Report
key channel channels
Budgetary shortfall/overspending Monthly review of actual spend in comparison to budgeted
against forecast and actual revenue, adjustment of
expenditure cashflow as necessary. Monitoring of foreign
exchange exposures.
High staff turnover/loss of key senior staff;
expenditure on recruitment and loss of
continuity		 Competitive, performance‐based remuneration policy;
regular salary and benefits package reviews; promoting
opportunities for continuing professional development for
staff; succession planning in place; process documents in
place for key areas of business.
Reputational risk through negative
communications		 Policies in place to ensure senior staff sign off on
communications, regular training for staff in
communications through media and social channels. A
system is in place for dealing appropriately and promptly
with enquiries and complaints from the public.
Data and intellectual property security Policies in place to ensure compliance with relevant laws
(e.g GDPR) and best practice (Fundraising Regulator Code).
HSI UK operates password‐protection for all of its computer
hardware, email accounts etc. Staff are subject to
contractual arrangements which include clauses on
ownership and confidentiality of HSI UK materials. Staff are
also trained in online data security, for example phishing
attacks and password security. External advice and audits
where necessary and regular staff training for staff to
ensure all are aware of data responsibilities.
IT failure leading to loss of data and
intellectual property		 Email accounts and data storage is provided by the
organisation’s MS Office account, providing cloud back‐up
of all emails and files for recovery in the event of loss of
computer hardware.
Fraud and misappropriation of funds HSI UK's finances are audited by external accountants and
auditors. Internal mechanisms are in place to prevent
internal fund mismanagement, and all partnerships with
other individuals or organisations in the light of reputational
risk, and design Memoranda of Understanding accordingly.

2. TRUSTEES’ RESPONSIBILITIES

The trustees (who are also directors of The Humane Society International (UK) for the purposes of company law) are responsible for preparing the Trustees’ 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 in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable

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law). 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 charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company 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 charity’s transactions and disclose with reasonable accuracy at any time the financial position of the charity 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

3. OBJECTIVES, ACTIVITIES AND RELEVANT POLICIES

3.1 Activities and specific objectives

The principal objectives of The Humane Society International UK (HSI UK) are a) to prevent or suppress cruelty and to relieve the suffering of animals; and b) to advance public education about animals, the animal kingdom and in the care and treatment of animals through the world and to do all such lawful acts as HSI UK may consider to be conductive or incidental to the attainment of these objects. During 2020, HSI UK made all necessary adjustments to our ways of working to ensure we could maintain maximum impact for animals, and continue positive engagement with our supporters, in a COVID‐safe way.

3.2 Public benefit

We have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing our aims and objectives and in planning our future activities and consider that we have complied with our duty to have due regard to the guidance published by the Charity Commission.

The public benefits of our work are expanded upon in section 4 and include, but are not limited to, the following:

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4. ACHIEVEMENTS & PERFORMANCE: IMPACT AGAINST PROGRAMMATIC GOALS

HSI UK’s programmatic work in 2020 consisted of a mixture of campaigns to address animal welfare issues in the UK, and support for global animal protection campaigns and programmes. In supporting global campaigns and programmes, HSI UK works in close collaboration with its overseas affiliates, including Humane Society International (US). Our work was organised under six areas:

4.1 Securing and enhancing animal welfare standards post‐Brexit

Need and scope

The UK government has been vocal and consistent in its stated intent to ensure that animal welfare standards are protected and, where possible, improved in the course of the UK leaving the European Union. However, the considerable uncertainty in the course of the Brexit negotiations and pathway translated into inertia in the animal welfare (and most other) public policy areas. Nonetheless, throughout 2020 HSI UK continued to work with other leading animal protection organisations with a goal of ensuring that the animal welfare standards provided by EU regulations are not lost as the UK leaves the EU; that trade negotiations upwardly harmonise animal welfare standards; and that opportunities to improve on existing welfare laws are acted upon.

Goal

Ensure that Brexit delivers the best possible deal for animal welfare, in policy and practice.

Key activities and outputs

Throughout 2020 HSI UK continued to lead NGO collaboration on the strategic development and co‐ordination of public campaigning and lobbying efforts to promote strengthening of animal welfare standards post‐Brexit, and guarding against losses of key legal protections for animals. HSI UK is one of the four charities to lead the ‘Better deal For Animals’ campaign, which has the support of 45 of the country’s leading animal protection organisations. The aim of the coalition is to unite and strengthen the voices of groups that have a common purpose of ensuring that animal sentience is recognised in UK law post‐Brexit, in conjunction with a duty for government to consider animals’ welfare needs in policy making and implementation.

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Having engaged our supporters towards reaching 100,000 signatures on a government e‐petition calling for sentience legislation, we then enabled them to lobby their MPs to attend the resulting Westminster Hall debate, held on 16[th] March. We were pleased that, in spite of this being an extremely busy time for MPs with urgent business on both Brexit and Covid‐19 matters, over 40 MPs attended the debate and all who spoke did so strongly in support of government action. The government responded affirmatively, that it would bring in legislation as soon as Parliamentary time allowed.

HSI UK drafted a detailed briefing on our ‘red lines’ for inclusion in the sentience Bill, and co‐ordinated sign‐on for 45 animal protection organisations, this was sent to the Prime Minister, Defra Ministers and civil servants. HSI UK’s executive director sat as panelist on Link webinar attended by 20+ MPs and civil servants, outlining our core asks of the Bill, as well as engaging in numerous one to one meetings to brief MPs. As a result of these briefings several written questions about the sentience Bill were raised and answered, keeping the issue firmly on the government’s agenda.

HSI UK’s executive director was invited and attended as an expert participant in workshop held by the London School of Economics assessing sentience in decapod crustaceans, as part of a government‐commissioned project to inform the sentience Bill.

We also continued to act as part of a coalition of ten animal protection organisations advocating for an increase in maximum sentences for animal cruelty offences (from six months to five years). Having failed three times to complete its passage through Parliament, the Animal Welfare (Sentencing) Bill was introduced again in February 2020 as a government‐backed Private Members Bill by Chris Loder MP. With strong public and political support encouraged by our organisations, the Bill should become law in early 2021.

In September 2020 we joined forces with other animal welfare and environmental groups in publicly campaigning for the inclusion of strong animal welfare provisions in the UK’s first Agriculture Bill for over 60 years, including the adoption of a new subsidy system that rewards high welfare/low‐intensity farming systems that are better for animals and the environment. We also urged for animal welfare equivalency to be a legal requirement in free trade agreements. Over 14,000 of HSI UK’s supporters took action to write to the Defra Secretary of State on these matters. When the Bill became law in November 2020 it enacted a new subsidy system that will incentivise and support higher welfare farming, but unfortunately the government refused to agree to an amendment to that would stop trade deals from facilitating and encouraging low welfare product imports.

In light of the post‐Brexit need for animal welfare organisations be able to advocate effectively for animals in free trade negotiations, we partnered with the UK Centre for Animal Law to arrange a 20‐hour (over 10 weeks) training module on trade, run by ‘Trade Strategies’ experts Emily Rees and David Henig. This was well‐attended by relevant HSI UK staff as well as public affairs experts from several other animal protection organisations.

Impact

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4.2 Protect wildlife

Overview

Our campaigns to protect wildlife, expanded on below, are focused on the fur trade; trophy hunting; disease risks associated with wildlife farming and trade; tackling inhumane ‘pest control’ and culling; and enhancing policies and activities to protect whales, dolphins and porpoises.

4.2.1 Wildlife: markets, trade and Covid‐19

Need and scope

For many years, Humane Society International’s wildlife experts have raised evidence of disease risk as a factor in support of ending the trade in wild animals and their parts. In early 2020, as the Covid‐19 pandemic broke and disease transmission experts began to express the belief that the virus had originated in bats and then been transmitted to humans via an intermediary species, we redoubled our efforts to collate the best available scientific findings and opinions, and present them to policy makers to urge action.

As soon as the pandemic hit, HSI UK worked with HSI’s wildlife team in the US to share our expert‐authored White Paper on wildlife markets and pandemics with UK Ministers, Chief Veterinary Officer and civil servants on World Health Day. We urged the UK to play an urgent leadership role in preventing a similar pandemic from emerging in the future, by championing global action at the G20 to end wildlife markets and trade. At the same time, we enabled our supporters to take action, writing to the relevant government Minister, and we secured extensive media coverage in the UK and globally, to further raise awareness and understanding of the risks.

Impact

4.2.2 Wildlife: Fur Free Britain campaign

Need and scope

Although the UK banned fur farming almost twenty years ago, on the grounds that it was inhumane and unethical, since then over £800 million of animal fur has been imported to the UK from animals suffering in factory farms, or wild‐caught in traps, overseas. The UK has effectively been outsourcing animal cruelty; although the trade in cat and dog fur, and seal fur from commercial hunts is already prohibited under EU laws, the government continues to allow the small number of British companies who still trade in fur to import the equivalent of some two million animals (primarily fox, mink, and raccoon dog) worth of fur each year. In addition,

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since 2016 HSI UK has gathered evidence that a significant amount of real animal fur has been mis‐sold as fake fur to unsuspecting consumers who do not wish to buy real animal fur.

By mobilising the public, engaging politicians, and sharing the plight of fur‐bearing animals in the press, HSI UK’s fur campaign is turning the tide on the insidious creep of fur back into the UK. In 2020 we gained further public support and increased political traction towards our overarching campaign aim of convincing the UK government to be the first country in the world to fully close our borders to the cruel, outdated and unnecessary fur trade.

Goals

Key activities and outputs

HSI UK’s fur experts were lead authors on the Fur Free Alliance’s report Certified Cruel, a critique of fur industry welfare certification schemes, which they presented at an event in the European Parliament in January. Several MEPs spoke strongly in support, and the European Commission was urged to consider and act upon the inherent inhumaneness of fur farming.

In March we worked with the Hunt Investigation Team to help expose and bring media and political attention to a Welsh trapper, who was catching foxes in snares and cruelly killing them to sell their fur to Sweden.

In April the first outbreaks of Covid‐19 in mink were reported on Dutch fur farms. Throughout the rest of the year, HSI UK’s fur campaign team closely tracked the emergence of hundreds more outbreaks on fur farms, and collated evidence of expert opinion on the public health risk associated with mink fur farms, which they shared with government ministers and officials. In parallel to lobbying governments to shut‐down fur farms as potential ‘virus factories’, we secured extensive media coverage about the growing public health risk of mink fur farms, and Denmark’s decision to cull all 17 million mink on its farms, including in the Financial Times and Telegraph.

We continued our work exposing the sale of real fur as fake fur, alerting retailers to this error and reporting seven retailers with recurring failings to the Advertising Standards Authority for public sanction. In December we achieved an exclusive with the Daily Mirror to educate consumers on the continued problem of ‘fake faux fur’ sales, including well known retailers such as Amazon, ebay, Shein and Romwe.

HSI UK’s Parliamentary event ‘No Business in Fur’ had been planned for Spring 2020 was postponed due to COVID‐19 and became an online event in September, attended by almost 30 MPs and officials and with speakers including Lord Goldsmith (Minister of State); Leona Lewis; California Assembly member Laura Friedman; former fur trade executive Mike Moser; plus several high profile designers and retailers.

We continued to play a lead role in various aspects of the Fur Free Alliance’s strategies to achieve fur farming bans, including through lobbying and public campaigning. Several European countries, including France, Hungary, Poland, Ireland and Finland, made political progress towards bans, or announced bans.

We also continued our corporate outreach to retailers still selling fur, and welcomed new fur‐free policies including from British luxury brand Holland Cooper. Selfridges listed HSI UK as one of their expert partners, describing us as “a critical partner” that “provides vital expertise to guide our ambitions and commitments, such as the phase‐out of fur and, most recently, exotic skins.”

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We continued to make strong progress politically towards a UK fur import and sales ban. Through the year we held video call meetings with over 30 MPs and Ministers to explain the rationale for a ban, and gain support for a #FurFreeBritain. During 2020 our FurFreeBritain campaign led to 46 written Parliamentary questions being tabled, including 23 to Defra and 18 to Department for International Trade. We promoted an Early Day Motion (EDM) from Tracey Crouch advocating a fur ban, and this eventually became the third most signed EDM of the Parliamentary session, signed by 140 members from across the political spectrum.

July to September were our busiest and most successful months for public campaigning. On 6th July the Daily Mirror ran a front page exclusive with horrific footage and insights from our Asia fur farm investigation, and at the same time announced the paper as official media partner backing our campaign for a #FurFreeBritain.

Following lengthy and careful dialogue we secured a long‐form interview with former CEO of British Fur Trade Association Mike Moser, enabling him to explain why he now opposes fur as cruel, and backs our campaign for a ban. His unprecedented story led to a joint exclusive by Sky News and Daily Mirror in September. We shared this widely with politicians and retailers as compelling evidence of the inherent cruelty of the fur trade.

Throughout the year we secured hundreds of positive media articles for the campaign, including an op‐ed in the Daily Express, opinions in key political titles such as Politico and House/PoliticsHome, influential business and trade media outlets such as MarketPlace.org, and an impressive growth in celebrities backing the campaign, including Dame Judi Dench, Ricky Gervais and Alesha Dixon.

HSI’s experts Iris Ho and Nicci Wright featured in David Attenborough’s documentary ‘Extinction – the facts’, which also featured a strong warning about role of the fur trade in disease risk.

Impact

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4.2.3 Wildlife: Ethical wildlife management

Need and scope

Each year across the UK, untold numbers of animals termed ‘pests’ and ‘vermin’, such as mice, rats and moles, are killed unnecessarily, and suffer from crude and inhumane trapping and killing devices. HSI UK’s work on this issue began in 2015, focused on promoting a ban on rodent glue traps. This work continues, with significant progress being made towards the adoption of an outright ban on glue traps in Westminster and a public use ban in the Scottish Parliament. Since 2018 our programme has expanded to address the problems of inhumane and ineffective ‘pest control’ provision from both local councils and via the DIY market. The default use of lethal traps and poisons are not only bad for animal welfare, but also frequently ineffective at providing a long‐term solution to unwanted wildlife, such as rodents. HSI UK instead promotes Dubois’ 7 Principles of ethical wildlife management.

The badger cull is the single largest slaughter of wildlife in the UK, sanctioned by the government in an attempt to stop the spread of bovine tuberculosis. During 2020, 40,892 badgers were reported killed by a mixture of cage trapping and free‐shooting, across 54 cull zones. This is an issue that HSI UK has worked on since culling began in 2014, adding to the highly compelling body of evidence that culling badgers is neither humane nor effective at controlling bovine tuberculosis.

Goals

Key activities and outputs

HSI UK continued to lead advocacy efforts to secure a ban on rodent glue traps in Scotland, engaging extensively with Scottish Ministers, the Scottish Public Petitions Committee, MSPs and pest control industry representatives. In addition to providing written evidence to the Scottish Public Petitions Committee concerning Petition PE01671, and supplying recommendations in response to industry statements, we coordinated joint briefings with the petitioners and supportive groups to encourage Ministers to take legislative action. In addition, we supported the lodging of Motion S5M‐21244 in the Scottish Parliament in March and through engagement with MSPs achieved strong cross‐party support from 28 MSPs, making it one of the top ten most supported motions in the last year.

Following our lobbying efforts, the Scottish Animal Welfare Commission, a newly‐appointed government agency, identified glue traps as a priority issue in its first Work Plan and in July launched an inquiry with a view to presenting recommendations to the Scottish Government. HSI UK was invited as one of a select group of experts to submit evidence to the Commission’s Glue Traps Working Group.

In December 2020, our expertise on glue traps was also solicited by officials at the UK Government’s Department for Environment, Food and Rural Affairs and we advocated for a robust, comprehensive and enforceable ban on glue traps across the UK.

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With councils playing a critical role in providing ‘pest control’ to the public, we collaborated with Oxford University’s Wildlife Conservation Research Unit to examine public attitudes towards ‘pests’ and the cost of councils’ current services, and to provide recommendations for councils to adopt more humane, effective and financially sustainable practices, publishing our findings in a scientific paper.

We engaged in corporate outreach to major online suppliers of glue traps to the public. We liaised with eBay UK after identifying listings in breach of their no‐glue trap policy, resulting in the immediate removal of 150 listings of glue traps from sale. The company also committed to enhancing internal methods of detecting and removing such listings in future. Online retail platform Gumtree agreed to remove all listings of animal trapping devices we reported to them from public sale.

With the use of ‘pest control’ products by untrained users being a major risk to the welfare of wild animals, we undertook an investigation into the range of amateur ‘pest control’ products and advice offered to the public by the UK’s leading DIY, hardware and gardening retail companies. Our DIY Pest Control report exposed the casual and excessive availability and use of inhumane and highly toxic rodenticides by the public and presents recommendations to the Health and Safety Executive as well as product suppliers to provide more humane, safe and effective solutions. To accompany the report, we commissioned a nationwide public opinion poll by YouGov to determine the British public’s preferred DIY rodent control products. The results indicated a clear consumer demand for humane, non‐lethal products and supported our business case to suppliers of amateur pest control products. The risks of amateur rodenticide use highlighted in our report was covered in The Independent.

Following engagement with the companies investigated, HSI UK was able to secure commitments from three of the UK’s biggest DIY, hardware and gardening retailers, representing a combined annual turnover of £1.4bn, to increase their offering of humane, no‐kill amateur products and advice for managing unwanted wildlife, and to review their staff training on wildlife control strategies. These changes will affect nearly 10,000 members of staff and benefit customers shopping at more than 250 stores nationwide.

In addition to our corporate work, HSI UK, in collaboration with Oxford University’s Wildlife Conservation Research Unit, examined what ‘pest control’ services are provided by UK local authorities. Our scientific research paper ‘Not in My Backyard: Public Perceptions of Wildlife and ‘Pest Control’ in and around UK Homes and Local Authority ‘Pest Control’ was published in the Journal Animals, and determines the drivers of public demand for ‘pest control’ and the cost of ‘pest control’ services provided by councils across the UK while highlighting the inadequacies of the advice and services supplied by councils to the public on prevention/deterrence of unwanted wildlife. We sent the report to all Councils, along with recommendations that would enable them to deliver more humane, effective and cost‐effective wildlife management strategies.

HSI provided financial support for Wild Justice’s campaign to initiate a judicial review questioning the humaneness of the government’s licensing of the free shooting of badgers as part of the badger cull. We also supported Wild Justice's e‐petition and signed on to several joint letters to Ministers and the press highlighting the inhumaneness of the badger cull.

Having previously submitted evidence to Sir Charles Godfray’s TB Policy Review, HSI UK welcomed the government’s long‐awaited response to the review as an important milestone in the badger cull campaign, in that it recognised that the focus should be on cattle‐based disease control measures rather than badgers. In its response, the government stated that it would commit to vaccination for both badgers and cattle and exit from badger culling in the coming years, replacing culling with government‐supported badger vaccination. We continue to urge Government to end the misguided culling of badgers at the earliest possible opportunity.

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Impact

4.2.4 Wildlife: Protect whales and stop whaling

Need and scope

The International Whaling Commission’s (IWC) global moratorium on commercial whaling – a vitally important conservation tool ‐ remains under threat from some countries that favour a resumption of this activity (led by Japan, Norway and Iceland, which continue to kill whales for profit). For several decades, HSI UK and its affiliated sister organizations around the world have been at the forefront of global advocacy to repel assaults on the whaling ban, and we have developed a very good working relationship with the UK government to that end.

Several thousand cetaceans are killed each year in current whaling operations, with a significant percentage suffering long and painful deaths from the crude killing methods used, including exploding harpoons. Japan’s decision to leave the IWC, and recommence commercial whaling, presents a new challenge to the way in which we can try to influence policy making on whaling globally. Japan’s departure combined with the effects of the pandemic on many other IWC member nations has created a financial crisis as membership subscriptions underpin the work of this body. Emergency discussions are underway to try to work out how to stabilise this situation and we are involved in these efforts.

In parallel to our concerns about ongoing whaling, whales, dolphins and porpoises are facing an unprecedented assault of other threats from human activities in the oceans, including plastic pollution, and noise pollution, as well as poorly managed whale‐watching operations. One of the most serious threats to whales is their accidental capture and death in fishing gear, an estimated 300,000 cetaceans are killed globally in fishing gear each year. In the very worst cases whales towing fishing gear are slowly killed by the effects of their entanglement, a process that can take many months.

Goals

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Key activities and outputs

Informed by research coordinated by HSI UK’s Senior Marine Scientist, and published in Marine Policy Journal, the Scottish government acted on concerns over the humaneness of seal shooting, and banned the shooting of seals to protect fisheries.

In October, HSI UK’s Senior Marine Scientist co‐ordinated a letter from over 350 scientists from 40 countries warning of extinction risk for cetaceans. The letter was sent to policy makers in the UK and in other countries, and secured significant policy interest as well as associated media. HSI UK’s experts continued to make significant contributions to key meetings of the IWC, including its Scientific Committee.

In June, as the majority of countries in the world went into major lockdowns to prevent the spread of Covid‐19, we drew media attention to the ongoing whaling and sealing activities of Japan and Norway, during lockdown . Further to the high profile capture of a minke whale in a ‘net trap’ in Taiji, Japan, HSI UK helped bring diplomatic pressure to bear for the release of this animal, including a statement from the UK Prime Minister including the sentiment that “ it is more important than ever to take a stand against the cruel practice of whaling. I look to Japan, a world leader on climate change and free trade, to stand with me in the fight against the killing of these beautiful mammals and take steps to help preserve our precious marine life for future generations .” Tragically, in spite of our efforts, the whale was killed.

Impacts

4.2.5 Wildlife: end trophy hunting

Need and scope

The UK currently allows the import and export of animal parts taken from animals hunted and killed as ‘trophies’. Over the last ten years, the UK has allowed imports of hundreds of hunting trophies, including from endangered species such as polar bears, cheetah and rhino. HSI UK believes that trophy hunting is immoral and colonialist; it causes suffering to hunted animals and has been shown to have a detrimental impact on species conservation in many cases, including for endangered species. Many claims are made by the hunting lobby, including that hunting provides a value to animals by providing funding for conservation efforts and that trophy hunting puts money into local economies. However, these claims are largely unfounded, with funds generated from hunts predominantly applied to the maintenance of the status quo of enabling trophy hunting.

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In 2019 after considerable pressure from HSI UK, the Campaign to Ban Trophy Hunting, and Born Free Foundation, and our supporters, the UK Government launched a consultation into a potential ban on trophy hunting imports/exports, and at the 2019 election the Conservative Party committed to a ban on the import of hunting trophies from endangered species.

Throughout 2020, HSI UK continued to rally public support for a ban on the import and export of hunting trophies, in addition to directly lobbying Ministers and MPs, engaging media, holding events, carrying out polling and exploring ways to fund non‐invasive conservation efforts.

Given the Government’s committment to a trophy hunting ban in the 2019 Queens Speech, our work centered around campaigning to ensure that the legislation was robust; we advocate for a total ban on the import and export of hunting trophies, in line with the expectations of the British public.

Goals

Key activities and outputs

During the year we carried out a number of activities to engage the public, politicians and key stakeholders to push for the strongest possible hunting trophy trade ban.

In early 2020 we worked with Centre for Biological Diversity to submit a joint 53 page evidence report to the Government’s Call for Evidence, and encouraged and enabled over 95,000 of our supporters to sign a letter supporting our submission. In January we joined forces with other NGOs to hand in a total of one million signatures to the Prime Minister at Number 10 Downing Street, this received several pieces of positive media coverage.

Also in January we commissioned polling through YouGov which demonstrated that 80% of the British public support a trophy hunting ban, and further that 76% want a ban to apply to all species, not only endangered ones. This polling data was used in an open letter to The Times in February from a cross‐party group of MPs that we co‐drafted and organized. We also joined a group of NGOs, academics, celebrities and other stakeholders to write an open letter to The Times.

In July on the anniversary of Cecil the Lion’s death we launched a petition to ask our supporters to pressure the government to release the results of the trophy hunting consultation. In November we partnered with Wild Life Drawing to hold a supporter event with over 100 paying attendees. The online drawing class taught participants how to draw a leopard, whilst hearing from HSI’s expert how trophy hunting is impacting leopard populations in Africa.

Throughout 2020 we held meetings with a number of MPs, leading to the submission of numerous Parliamentary Questions as well as letters to the Secretary of State urging legislative action on trophy hunting. In parallel, we were part of a group of three NGOs that Defra sought engagement with, to feed into shaping the legislation. We also worked with our coalition partners to secure more than 65 MPs sending a joint letter to the Prime Minister

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on the issue of trophy hunting. We also encouraged our supporters to ask their MPs to sign an Early Day Motion (EDM) on trophy hunting; this EDM became the most popular of the year with 168 signatures.

After giraffes were listed as an Appendix II species by the Convention on International Trade in Endangered Species (CITES) in 2019 we submitted a Freedom of Information Act requesting information from Government about imports of giraffe hunting trophies. We have subsequently followed up with DEFRA to ensure that the appropriate due diligence is carried out when giraffe trophies are imported. This work is continuing while we campaign for a total ban on the import and export of hunting trophies.

In 2020 with the switch to virtual meetings and gatherings very much in evidence, we explored opportunities for technology to create revenue from sustainable non‐invasive interactions with wildlife, to support conservation efforts in place of trophy hunting. For this we teamed up with a group called Prospect 100 who run hackathon events which engage young people to solve real world problems. In September Prospect 100 and HSI UK ran a hackathon with 16 teams competing to answer “ How can we leverage technology to create a business proposition that will generate a target amount of revenue annually for conservation efforts ?” HSI continues to work with the winning team to find avenues to promote the winning model.

When Parliament returned from recess in the autumn, we joined with other lead NGOs to contribute to a webinar for MPs and supporters. In October we worked with the Shadow DEFRA Secretary Luke Pollard on an Op‐Ed piece which ran in the Independent on the issue of trophy hunting. In it he set out Labour’s support for a ban on imports of all hunting trophies, not only those from endangered species.

In 2020 we provided financial support towards the production of the film ‘Lions, Bones and Bullets’, an expose of Africa’s lion‐farming industry to provide bones for Chinese Traditional Medicine, and its linkages with trophy hunting and the cub petting industry. The film will be released internationally in 2021.

Impacts

4.3 Protect companion animals

Need and scope

Asia’s dog meat trade claims the lives of an estimated 30 million dogs each year and causes immense suffering. It also represents a significant risk to human health, facilitating the spread of deadly diseases like rabies. And around the world, millions of street dogs suffer inhumane treatment, including culls, in failed attempts by authorities and communities to curb their populations. While HSI does not have any hands‐on programmes helping homeless dogs in the UK, since this need is ably met by other charities, HSI UK employs staff who are deployed to deliver projects in other parts of the world, and raises restricted funds that are used to deliver dog campaigns and programmes via our HSI affiliates overseas. HSI UK’s companion animal experts are driving positive change for dogs through strategies that engage with partner organisations; the public and dog owning

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communities; and governments and local authorities in the countries where the street animal welfare challenges are greatest.

Goals

Key activities and outputs

HSI secured extensive global media coverage ‐ including Sky News, Newsweek, Daily Mail, New York Times, Reuters ‐ for our partner groups' efforts to help dogs and cats abandoned during pandemic‐related evacuations or persecuted through COVID‐19 fears, as well as the suffering of dogs and cats for the meat trade in Yulin and HSI’s partner group’s rescue of dogs from a local market.

We worked with our HSI India colleagues to bring global attention to several positive achievements in our efforts to end India's dog meat trade. In Mizoram, the law was amended to remove dogs from the definition of animals suitable for slaughter, and we celebrated the incredible victory that in Nagaland the sale of dogs and dog meat for human consumption was banned.

Our work in South Korea to end the dog meat trade was given global prominence through multiple media and communications efforts led by HSI UK. We worked with ITV’s Good Morning Britain on an exclusive video package featuring music mogul Simon Cowell meeting HSI dog meat trade rescue, Robin and endorsing our efforts to end the suffering to a huge global audience. We worked with HSI South Korea and our Seoul‐based PR company on a global press release to highlight the suffering of dogs to make dog meat soup for Bok Nal, and our public awareness and social media campaign. We also promoted two HSI dog meat farm closures, saving hundreds of dogs, including providing $200,000 towards our 17th dog meat farm closure. We secured substantial international media coverage for these closures including in the Washington Post, ABC news, and Independent. We also provided media attention for a scientific study of stress hormones involving dogs from our farm rescues; the adoption of a golden retriever from our farm closure by Korean American actor Daniel Henney, and the rescue of dogs from a farm in Gimpo coordinated with Korean partners LIFE.

HSI welcomed the news that the first two cities in mainland China ‐ Shenzhen and Zhuhai ‐ banned dog and cat meat consumption, and the Chinese national government's announcement that dogs are classified as companions, not animals for consumption. HSI spokespeople provided commentary in national and international titles including the Financial Times, South China Morning Post, Reuters, and People magazine.

HSI UK also continued to financially support the strategic work of the Dog Meat Free Indonesia Coalition, of which HSI is a member, to end the dog meat trade in that country.

HSI UK continued to invest in expert consultants in Mauritius to support work promoting the humane management of roaming dog populations. Plans had to be rapidly adapted from spay‐neuter work, as Mauritius went on a national lockdown from mid‐March to end June due to Covid‐19 and the team had to adapt to the new circumstances and provide emergency food and water for the roaming dogs and cats on the island.

During the months of 2020 when community engagement and sterilisations were feasible, HSI collaborated with a local veterinarian to provide spay‐neuter services one day a week to tackle the large demand received and to help the community. This was extremely well received by the community, who are very supportive and

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appreciative of our Noutoutou programme. Each dog received an HSI branded collar as many come without owners using metal chain were provided with new soft collars, and the welfare benefits explained. The Community Engagement team is vital in ensuring that dogs are brought to get sterilised, but most importantly to understand the impact they have as dog owners and community members. The team reached a total of 5,445 people in 2020 through multiple activities (over 100 meetings with different groups).

As a result of education and engagement by HSI’s team, many hotels are changing their approach to dog management, acknowledging that the catching and removal of dogs simply isn’t a humane, effective or sustainable solution. The HSI team has been working with several hotel groups to assist with the development of strategic action plans that benefit dogs, islanders, their reputation as hotels, and also the reputation of Mauritius as a premier holiday destination.

During lockdown there was an absence of support or clarity from the authorities with regard to providing guidance for dog owners, the community or animal welfare organisations. Roaming dogs lacking the usual supply of food from human activities were clearly at risk of starvation so HSI worked with volunteers across the island to co‐ordinate and sponsor provision of food and water. From 14th April to 30th June, 3,976 kilos of feed was shared, providing 85,615 meals (71,625 meals to dogs and 13,990 to cats). The team also provided essential veterinary treatments (such as snare removal and mange treatment).

Impact

4.4 Reduce the number of animals suffering on farms

Need and scope

HSI UK’s global affiliates are active to help animals on farms in many countries around the world, working with companies and governments to move away from intensive confinement systems such as battery cages and sow stalls, and advocating for greater uptake in plant‐based diets. In the UK, HSI UK’s Forward Food programme focuses on inspiring and enabling food service companies to reduce their animal product procurement, by serving more tasty, nutritious and environmentally and health‐friendly plant‐based foods.

Reacting to the risk and opportunity that Brexit present for animals in agriculture, we are also engaged in ensuring that welfare standards in UK farms, or products imported into the UK, do not become diluted in the course of Brexit changes.

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Goals

Key activities and outputs

At the beginning of 2020, we had seven culinary workshops planned for Q2. Unfortunately, these were all postponed due to the national Covid‐19 lockdown, so our focus shifted to enhancing our communications assets. We developed a suite of resources to provide greater support to the needs of our collaborators, including a business case, toolkit, greenhouse gas report and implementation guide.

We continued to support PSC (Public Sector Catering) with the launch of their 20% Less Meat campaign, providing them a detailed estimate of the carbon emissions the campaign would save for inclusion within their campaign communications. The Forward Food campaign was influential in creation of this campaign through inclusion of Forward Food Programme Manager Charlie Huson within the top 20 most influential people in Public Sector Catering 2019. We also supplied PSC with case studies of universities we have collaborated with in achieving meat reduction targets and media outreach.

Our consultant partners FoodSteps continued to work with us on various projects including menu analysis for Sky’s UK operations, and our analysis of House of Commons catering. The House of Commons analysis demonstrated the GHG reductions that be achieved by cuts in animal product procurement and we will disseminate it amongst MPs and relevant media in early 2021.

HSI released a white paper on the links between intensive farming and disease risk that was shared with the UK Government and other G20 nations, and resulted in several pieces of substantial media coverage, including the Independent. We were also instrumental in prompting over 40 MPs to attend a debate in Parliament to #EndTheCageAge. HSI UK also became part of the All Party Parliamentary Group (APPG) for Food & Health and attended their online events, as well as taking part in a meeting with the Vegan & Vegetarian APPG.

We collaborated with TUCO in hosting a 4‐part webinar series on Forward Food, with each session dedicated to one of our toolkits (taste, texture, pulses, and grains). We also invited experts to present including representatives from Plant Based Health Professionals UK, Vegetarian Express, Chatham House and Hodmedods. Over 50 participants joined our live sessions with others accessing the webinar later.

Our Forward Food team engaged directly with students, taking part in two presentations with members of the student union at Worcester College and Sussex University. The two universities were preparing for a referendum on meat reduction at their respective colleges and we gave a talk on how to sustainably reduce meat and animal products in catering.

Throughout 2020 HSI UK promoted EatKind, our support‐facing campaign, on social media. This included cooking videos with our renowned chef, Jenny Chandler and an interview with Dr. Michael Greger. We also launched our EatKind guide, which supporters had access to once they took our pledge to eat kind. In December we released our EatKind festive guide, to show our supporters how to shop and eat kinder at Christmas, including recipes from celebrities.

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Impact

4.5 Promoting the development and use of non‐animal methods in research and testing

Need and scope

3.4 million scientific procedures were carried out on animals in the UK in 2019 (the most recent data available). Although this represents a 3% decrease from 2018, this is only a reduction of 100,000 animals and therefore is insignificant considering the plethora of available non‐animal approaches that are more cost‐effective, faster and produce data more relevant to humans. The vast majority of these animals are rodents (61% mice, 9% rats), but the other animals used in procedures in the UK in 2019 included dogs, cats, horses, sheep, rabbits, fish, birds, monkeys and other non‐human primates. These animals are used in experimental testing of compounds, to ascertain chemical safety, and for biomedical research. Most of the animals are killed at the end of the experimental procedure.

Many animals (predominantly mice) used in scientific procedures in the UK have undergone some form of genetic modification (GM). In 2019, 1.67 million animals were used in the creation and maintenance of GM offspring for use in experimental procedures but were not themselves used in experimental procedures, representing a very inefficient process in terms of animal lives, time, effort and money. GM animals are frequently used for disease modelling – genes that associate with human disease are altered in an attempt to create a model of a human disease, or human (or other animal) genes are added to the mouse, again to try and recreate disease symptoms in these animals. This approach is not just costly in terms of the number of ‘excess’ animals who are bred and killed but also in the lack of any benefit or advance to humanity (the main reason used for justification of destructive animal use in the life sciences). Animal models of disease do not recapitulate the features of human disease. Adding one human gene to a mouse does not create an accurate replica of a human disease and this is evidenced by the lack of progress that these methods permit. To date, despite almost 200 different, genetically modified mouse models of Alzheimer’s disease, over 200 potential treatments which had proven successful in the animal models have been evaluated in more than 400 clinical trials on people with Alzheimer’s and yet there are still no new medicines.

There is mounting evidence that animals are not the best model with which to investigate human disease processes and evaluate possible treatments. The translational ability of an animal model refers to the likelihood that a new drug which effectively treats a disease modelled in animals will prove equally successful in the relevant (human) patient group. These translation rates are uniformly, shockingly low. More than 9 out of every 10 drugs that are effective in animal models of disease fail to have the requisite, positive impact for human patients. This equates to huge loss of life ‐ both animal and human, wasted research funding and ultimately, a delay in the delivery of effective treatments to patients.

The Research and Toxicology team works closely with relevant stakeholders both in the UK and internationally ‐ the scientific researchers, regulators and industrial partners – to promote the development and use of more human‐relevant non‐animal methods for testing and research.

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Goals

Key activities and outputs

To reduce the inefficient breeding of genetically altered animals, with a view to the ultimate replacement of these models, HSI UK’s scientists are part of the organising committee for a European Commission‐led Expert Working Group. This international group includes researchers, industry, commercial breeders and animal protection organisations and is developing guidance on the use of genetically‐altered animals. The guidance will help to reduce excessive breeding and will ensure greater protection of the animals ‐ with higher welfare requirements for those animals bred to endure more harmful mutations. We remain engaged with the UK regulators through the meetings with the Animals in Science Regulation Unit and we are presenting our work at International conferences in order to gain more visibility on this issue.

To redirect research funding away from animals and promote further uptake of the non‐animal methods in toxicity testing, in order to enable more effective support and widespread application of human‐relevant approaches, we actively engage in scientific conferences, meetings, workshops and respond to public consultations. In addition, HSI UK’s experts sit within the following groups:

In 2020 HSI UK submitted scientifically‐justified, evidence‐based comments in response to the following consultations:

We maintain two science industry‐facing websites and social media platforms (twitter and LinkedIn) – http://www.afsacollaboration.org/ has a toxicity testing focus and www.biomed21.org is designed for biomedical science and life science researchers. AFSA brings together corporate and non‐profit leaders who share the goal of accelerating a modern, species‐relevant approach to safety assessment globally to better

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protect people and our planet, and hasten the replacement of animal testing. We use these multi‐stakeholder platforms to engage with scientists, promoting the development and application of innovative non‐animal methodologies, events and research funding opportunities that focus on human‐relevant approaches. Both platforms have achieved a steady increase in twitter followers (around 65 new followers per month for AFSA and 22 new followers per month for BioMed21).

We interacted with politicians in both the UK and the European Union parliaments, analysing proposed and pending legislation and policy initiatives, and co‐ordinating interventions as appropriate to further the goal of ending animal use in laboratories.

We engaged positive media interest in animal use for scientific research and testing in the UK, including in specialist publications like the European Pharmaceutical Manufacturer. We also secured a full interview in Lab Mate UK (trade publication for pharmaceutical industry personnel) about the potential opportunities that independence from the EU could offer in terms of replacing animal use for scientific purposes.

Impact

4.6 Disaster response

Our emergency appeal in January, in response to the devastating wild fires in Australia, raised funds to support HSI’s disaster response work. Funds were immediately used to support HSI’s disaster response team who were deployed to Australia to rescue and assist with rehabilitation of injured, starving, dehydrated and displaced wildlife. The team spent 5 weeks on the ground in Kangaroo Island and were ultimately able to rescue and treat over 100 animals, including wallabies, koalas and kangaroos.

HSI UK worked in partnership with HSI Australia to co‐ordinate global media for our joint deployment to Kangaroo island, leading to national and global media coverage, including HSI being featured on Channel 4’s documentary ‘Australia on fire: Climate emergency’ about the battle to save people, animals and property from the devastating fires, broadcast in the UK and the United States.

During the summer and autumn of 2020, it became clear that the pandemic and associated lock‐downs were having a significant impact on the ability of many direct‐care animal charities to continue their work of providing rescue, homes, food and veterinary care for animals. Hardest hit were sanctuaries who normally rely on donations from visiting members of the public. HSI UK therefore provided four £10,000 emergency grants to three UK animal sanctuaries affected by covid19, and one grant of £4,000 for an Italian sanctuary. We also provided a $100,000 emergency grant to the Pan African Sanctuary Alliance to enable them to support their member sanctuaries with the rescue and care of primates across Africa.

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4.7 General

HSI UK continued its involvement with, and contributions to, several umbrella bodies during 2020, including the Association of Lawyers for Animal Welfare; the All‐Party Parliamentary Group for Animal Welfare; the CITES Liaison Group with the UK CITES Management Authority; the Fur Free Alliance, and Wildlife and Countryside Link. HSI UK’s Executive Director remained Chair of Link’s Animal Welfare Strategy Group for a fourth year, and HSI UK’s Senior Campaign Consultant continues to hold a seat on the Fur Free Alliance’s Executive Committee.

4.8 Media communications, celebrity engagement and online support engagement

During 2020, HSI UK continued to achieve high levels of international and national media coverage for both our UK and global campaigns including HSI’s wildlife rescue efforts during Australia’s bushfires; animal markets and the COVID‐19 pandemic; the rescue of dogs and cats abandoned in China; fur trade and exotic skins; the sale of fake faux fur; trophy hunting; the dog meat trade in China, Indonesia, Cambodia, India and South Korea; plant‐ based eating/Forward Food; street dog welfare in Bhutan; whaling in Norway and Japan; captive wild cats; changing rules on animal testing for cosmetics in China; UK animal research statistics; COVID‐19 outbreaks on fur farms; lethal shark control programs in Australia; factory farming; extinction threat for whales and dolphins; and captive animal confinement cruelty.

HSI UK recorded hundreds of media hits including in the Guardian, La Stampa; Channel 4; Sky News; Sky Kids; Voice of America; Daily Telegraph, BBC and BBC World Service; Good Morning Britain; Le Monde; Independent; Huffington Post; The Sun; Daily Mirror; Sunday People; Daily Mail, Washington Post; Reuters; AFP; The Media Eye; New York Times; Metro; IBTimes; Business Insider; Channel News Asia; Times of India; Economic Times; Haaretz; People; Lad Bible; Just‐Style; WWD; Al Jazeera; Mother Jones; China Daily; 24brasil; ABC News; National Geographic; Asia Nikkei; Newsweek; Bangkok Post and more.

2020 saw HSI UK grow its celebrity support portfolio with engagement from Sia, Dame Judi Dench; Danni Minogue, Jason Donovan, Dermot O’Leary, Simon Cowell, Gemma Atkinson, Dr Amir Khan, and Stella McCartney.

UK citizens account for the second largest following (after the HSUS) on HSI’s global Facebook account. During the year, @HSIUKorg’s twitter following rose to over 8,400. Since its launch in July 2017, HSI UK’s Facebook

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page, dedicated to engaging with UK supporters on HSI’s UK animal protection campaigns, has gained just under 15,300 followers, and HSI UK’s Instagram account has gone from strength to strength, rising to over 14,000 followers by the end of 2020.

5 FUNDRAISING, SUPPORTER LIAISON AND OPERATIONAL MANAGEMENT

5.1 Fundraising approach

HSI UK’s work in the UK and around the world would not be possible without the generosity of our supporters. We offer many different opportunities for our fundraisers and donors to engage with us, and help us to fulfil our charitable objectives. HSI UK has a range of fundraising activity and events including individual giving through the post and online; corporate, trust and foundation giving; legacy giving; and community/sponsorship events.

The 2020 global pandemic presented challenges around ensuring our supporters continued to feel valued and connected, even though in person activities were cancelled. The fundraising team were innovative and resilient, moving key activities online to ensure supporters remained engaged and committed to our mission.

HSI UK continues to raise the majority of its revenue through online campaigns, using both email and social media platforms such as Facebook. Our online email file at year‐end consisted of almost 150,000 active UK supporters and we perform regular reviews of the database to ensure that we are communicating with an active, engaged supporter base. HSI UK also runs a direct mail programme, using third party agencies for design and print (Art Connection) and response handling (Telebank).

Our supporter newsletter Animal Allies was redesigned and relaunched in a new A4 16page format and mailed to over almost 10,000 regular supporters. The new format was well received by donors with more than 2,000 responding, generating income of more than £33,000 and our highest number of new direct debit donors to date. HSI UK closed the year with over 2,000 regular givers by post, and the programme as a whole exceeded its revenue target of £450,000.

Our plans for acquisition of new supporters were adversely affected by the COVID lockdown restrictions, which meant that leaflet inserts to the goody bags at two public events were postponed. The programme trialed leaflets using Royal Mail and magazine inserts to Dogs Today and BBC Wildlife but these did not yield results favourable to expanding the pilots. In 2021 the team will be conducting research and testing to determine the best acquisition channels to increase the size and diversity of our supporter base.

A growing number of supporters elected to undertake sponsored events in aid of HSI UK’s work through a number of online platforms including Just Giving, Virgin Money Giving and Facebook. Community‐led income is an import ant element of our fundraising strategy and an area we are aiming to slowly grow in the coming years.

The generosity of legacy donors meant that HSI UK received £935,741 (2019: £437,648) in legacies during 2020. HSI UK maintained a consultancy partnership with Legacy Link, who are tasked with identifying legacies that name HSI UK, and ensuring their efficient and lawful processing.

Our regular sell‐out Stand up for Animals at the Comedy Store was cancelled due to Covid‐19, however, the Comedy Store created a compilation of ‘best bits’ from previous years, and online ticket sales realised around £2,000 in revenue for HSI UK.

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HSI UK was extremely grateful to receive over £113,000 philanthropic donations from high‐net‐worth individuals, Trusts and Foundations and Corporate donors. Several of these donations were restricted to specific projects including HSI’s street dog programme, and our campaign to end the dog meat trade in South Korea.

5.2 Commitment to responsible fundraising and personal data protection

HSI UK is a member of the Chartered Institute of Fundraising (IOF) and follows its Code of Fundraising Practice. HSI UK also follows the guidance and requirements of the Charity Commission fundraising guide (CC20). HSI UK voluntarily subscribes to the Fundraising Regulator and abides by its code. In 2020 we received and actioned 9 requests to stop communications via the Fundraising Regulator’s Fundraising Preference Service, compared to 13 in the previous year.

Third parties contracted by HSI UK to engage in fundraising/data management activities on its behalf are also required to adhere to all relevant regulations as well as abiding by the above codes, and HSI UK staff maintain close oversight to ensure this. HSI UK staff provide regular training to third party companies representing the organization to supporters, including for fundraising purposes.

HSI UK generally receives very enthusiastic and positive responses to our communications with supporters. In 2020 only three complaints were officially registered relating to fundraising practices, and all complaints were addressed and concerns rectified within three working days of receipt, according to our policy. HSI UK considers all complaints very carefully and we will continue to adjust our fundraising approaches in order to provide a positive experience for donors and supporters both on and offline, including looking at where improvements could be made to enhance our website users’ experiences.

HSI UK’s privacy policy (available on the website at http://www.hsi.org/privacy‐notice.html) makes various commitments to ensure donors and supporters can be sure that their personal data is kept secure, in accordance with relevant data protection laws, as well as our commitment to be clear and transparent around the data we keep. HSI UK has established a policy not to share any of its supporter data with other charities or companies. HSI UKs privacy policy was updated in 2020 and circulated to supporters.

HSI UK has had a vulnerable persons policy, with respect to its fundraising activities, since September 2016. This includes guidance to staff, and companies carrying out fundraising and donation processing on our behalf, on how to identify potentially vulnerable persons, a flagging procedure to ensure that such risks are appropriately recorded, and a policy to provide clear guidance for when donations should be questioned and/or potentially politely declined.

5.3 Human Resources

In March 2020, in accordance with Government requirements, we closed our office and facilitated a shift to home‐working, relying significantly on zoom to enable meetings and webinars to continue to take place. We also arranged training and provision for home work station assessments, including the safe use of Display Screen Equipment (DSE).

HSI UK’s Executive Director and Operations Manager, in conjunction with Trustees, conducted Covid‐19 risk assessments and health and safety protocols to allow for essential work to be carried out in the office, safely. Due to travel restrictions, travel activities were significantly reduced however, going forward, essential

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THE HUMANE SOCIETY INTERNATIONAL (UK) Trustees Report

international and domestic staff business travel is allowed on a case by case basis, with regular reviews in place to adapt to changes in government guidance and rules.

Our ability to pivot to online working meant that no HSI UK employees were put on furlough. HSI UK recruited three new members of staff (Senior Director of Fundraising – UK/Europe; Public Affairs Manager; Regulatory Science Adviser (animal testing)) during 2020, all of which were newly created positions to meet HSI UK’s needs as a growing organisation. We also recruited cover for two members of staff who left on maternity leave.

During 2020, HSI UK benefited from the support of five volunteers, who collectively contributed 225 volunteer hours to support HSI UK’s mission.

HSI UK managed compliance with responsibilities under the Pensions Regulator. In 2020 HSI UK was informed by its pension provider that its existing Master Trust workplace pension would be wound‐up by the end of the year and an alternative would need to be chosen. To make an informed decision to best meet the needs of the organisation and staff, we sought advice from independent pension advisers Aspect8 to select new pension scheme. Their recommendation to opt for Royal London was approved by the Trustees, and this transition was made in October 2021, with staff kept fully informed as to the options available to them, throughout.

Throughout the year staff attended several training seminars and workshops, including training in charity fundraising, public affairs, managing across difference, and diversity, equality and inclusion.

Trustees noted and acted upon changes and updates in the Charity governance code, including new recommended practices for diversity, equality and inclusion. HSI is undertaking a major initiative, throughout its global affiliates, to embed DEI principles throughout its internal procedures and outward‐facing programmes.

6 FINANCIAL REVIEW

6.1 Overview of financial position

HSI UK ended FY2020 with net income of £843,794 compared to a net income of £113,261 in FY2019.

The 2020 revenue of £3,159,033 (2019 : £1,728,227) was comprised of donations and legacies by generous supporters through our various fundraising campaigns and events. Legacies accounted for £935,741 in 2020 (2019 : £437,648). The increase in legacy income from 2019 to 2020 can be attributed to one particularly large legacy in 2020 (c.£450,000). We anticipatethe level of legacy income in 2021 to revert to prior year levels.

Spending for 2020 was £2,315,239 broken down as follows:

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THE HUMANE SOCIETY INTERNATIONAL (UK) Trustees Report

creating disseminating education materials/newsletters, mailings, and other materials to policy makers; corporations; existing donors; and the general public.

Advantage has been taken of the small companies’ exemption.

2016 – 2020

The illustration below shows our financial activities and position for the last 5 years.

----- Start of picture text -----
Statement of Financial Statement of Financial
Activities 2016‐2020 Position 2016‐2020
£4,000,000 £4,000,000
£3,000,000
£3,000,000
£2,000,000
£2,000,000
£1,000,000
£1,000,000
£-
2016 2017 2018 2019 2020 £-
2016 2017 2018 2019 2020
Revenue Expenses
net Income/(Loss) Assets Liabilities Net Assets
----- End of picture text -----

6.2 Reserves policy

Each year the trustees consider the appropriate level of free reserves. HSI UK's reserve policy is to maintain a level of free reserves that will enable to maintain a continuity of activity and to adjust, in a measured way, to changes in the economic environment. The trustees agree that free reserves equivalent to 3 months of operating expenditures are appropriate.

At 31 December 2020, free reserves measured as £2,291,887 (2019: £1,198,657) which exceeds the company reserves policy (three months of expenditures in 2020 total to approximately £578,810 (2019: £299,664)). Excess of the reserves over the established level will be proactively used in 2021 and 2022 to further support animal protection work on HSI’s priority campaigns via HSI UK’s affiliates overseas, as well as to cover unexpected expenses, such as response to the pandemic, natural disasters, etc. The trustees intend to continue to work towards maintaining free reserves and financial success achieved during 2020.

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THE HUMANE SOCIETY INTERNATIONAL (UK) Trustees Report

6.3 Going Concern

The trustees reviewed the HSI UK financial plans in December 2020, as part of their normal annual review, as well as our principal financial risks. At that time, they were satisfied that the HSI UK had sufficient resources to continue operating for the foreseeable future and the accounts have been prepared in the knowledge that the HSI UK is a financially viable organisation.

Since then, the effect of COVID‐19 and changes in the charity’s external environment (such as the effects of the UK’s departure from the EU) have also been assessed by the management and trustees in July 2021, as a part of the 2022 budget cycle, reviewing the organisation’s ongoing forecasts and projections to ensure that the organisation remains financially viable. With regard to the next accounting period, the year ending 31 December 2022, the most significant areas that are likely to affect the charity’s net assets are volume of incoming donations and the level of income.

As of today, the trustees have not made any decisions to reduce costs. 2021 budget remains at the same level as it was originally approved. As an animal protection organisation, we will ensure that we will continue to operate as normal, as much as we can.

With all the measures that we took, the most recent forecasts do not show any potential cashflow shortfall and we are planning to maintain the present reserves policy. The charity has a strong balance sheet, with unrestricted Net Assets of around £2.6M, so the trustees are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due. The parent organisations in the US, The Humane Society of the United States and Humane Society International, will continue supporting HSI UK.

6.4 Grant giving policy statement

HSI UK disburses grants to other non‐for‐profit organizations. Each grant has specific eligibility requirements. Grant approval process includes several steps. Details of the approval process are described below:

7 PLANS FOR FUTURE PERIODS

In 2021, the Trustees look forward to overseeing the charity to continue with its existing campaigns, as well as respond reactively to key opportunities or threats to animal welfare in the UK.

The Trustees also continue to encourage and support HSI UK in its endeavours to assist, through both advocacy campaigns and financial provisions, HSI’s programmes to improve animal welfare around the world.

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THE HUMANE SOCIETY INTERNATIONAL (UK) Trustees Report

HSI UK would not be able to continue its work to protect animals around the world without the support it receives from its many friends and supporters in the UK. We are able to achieve our campaign successes and owe so much to them and their continued dedication to protecting the welfare of animals.

Thank you. Approved by the trustees on (ay Cristobel Block Trustee September 17, 2021

and signed on their behalf by

35

INDEPENDENT AUDITOR’S REPORT TO MEMBERS OF THE HUMANE SOCIETY INTERNATIONAL (UK)

Opinion on the financial statements

In our opinion, the financial statements:

We have audited the financial statements of the Humane Society International (UK) (“the Charitable Company”) for the year ended 31 December 2020 which comprise the statement of financial activities, the balance sheet, the cash flow statement 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).

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 believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We remain independent of the Charitable Company in accordance with the ethical requirements 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.

Conclusions related 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. The other information comprises the information included in the Annual Report, other than the financial statements and our auditor’s report thereon. The other information comprises: the trustees’ 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 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.

36

We have nothing to report in this regard.

Other Companies Act 2006 reporting

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

In the light of the 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 Strategic report or the Trustee’s 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, 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 determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the 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

We have been appointed as auditor under the Companies Act 2006 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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

Extent to which the audit was capable of detecting irregularities, including fraud

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:

37

Based on our understanding of the charitable company and the industry in which it operates, we identified that the principal laws and regulations that directly affect the financial statements to be the Companies Act 2006 and the relevant charities’ acts in the UK. We assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.

In addition the charitable company is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines or litigation. We identified the following areas as those most likely to have such an effect: Employment Law, Data Protection and Health and Safety Legislation. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Board and other management and inspection of regulatory and legal correspondence if any.

Audit procedures capable of detecting irregularities including fraud performed by the engagement team included:

There are inherent limitations in the audit procedures performed and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council’s (“FRC’s”) website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the 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 auditor’s report and for no other purpose. To the fullest extent permitted by law,

38

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.

Jill Halford (Senior Statutory Auditor) 73D8B18FE9AC4C89... For and on behalf of BDO LLP, statutory auditor London, UK Date 22 September 2021

BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).

39

THE HUMANE SOCIETY INTERNATIONAL (UK) STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020

(incorporating an income and expense account)

Note
INCOME FROM:
Donations and legacies
2
Total income
EXPENDITURE ON:
Raising funding
3
Charitable activity
Promoting animal welfare
4
Total expenditure
Net income
RECONCILIATION OF FUNDS
Fund balance brought
forward at 1 January 2020
Fund balance carried
forward at 31 December
2020		 Unrestricted
Funds
£
2,617,023
2,617,023
446,257
1,077,537
1,523,793
1,093,230
1,198,657
2,291,887		 Restricted
Funds
£
542,010		 2020
£
3,159,032
3,159,032
446,257
1,868,981
2,315,238
843,794
1,759,204
2,602,998		 Unrestricted
Funds
£
1,569,732
1,569,732
270,264
1,000,828
1,271,092
298,640
900,017
1,198,657		 Restricted
Funds
£
158,495
158,495
337
343,537
343,874
(185,379)
745,926
560,547		 2019
£
1,728,227
542,010 1,728,227
-
791,445		 270,601
1,344,365
791,445 1,614,966
(249,435)
560,547		 113,261
1,645,943
311,111 1,759,204

The Humane Society International (UK) has no recognised surpluses or deficits other than those disclosed above. All transactions relate to continuing activities. This incorporates the income and expenditure account.

The notes on pages 43 to 47 is an integral part of these financial statements.

40

THE HUMANE SOCIETY INTERNATIONAL (UK) BALANCE SHEET AT 31 DECEMBER 2020

Registration number 4610194 (England and Wales)

Note 2020 2019
£ £ £ £
CURRENT ASSETS
Debtors 10 668,601 289,010
Cash at bank and in hand 2,265,956 1,675,575
2,934,557 1,964,585
CURRENT LIABILITIES
Creditors: amounts falling due within one year 11 (331,559) (205,381)
NET CURRENT ASSETS 2,602,998 1,759,204
NET ASSETS 2,602,998 1,759,204
FINANCED BY:
Restricted funds 12 311,111 560,547
Unrestricted funds 12 2,291,887 1,198,657
TOTAL FUNDS 2,602,998 1,759,204

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of

These financial statements were approved by the Board of Directors and authorized for issue on .....September 17, 2021…… They were signed on its behalf by:

………………………………..

Michaelen Kastantin Barsness Treasurer

The notes on pages 43 to 47 is an integral part of these financial statements.

41

THE HUMANE SOCIETY INTERNATIONAL (UK) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2020

Note
Cash from operating activities
Net cash provided by operating activities
A
Increase in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Total cash and cash equivalents at the end of the year
A) Reconciliation of net income to net cash flow from operating activities
Net income for the reporting period (as per the statement of
financing activities)
(Increase) / Decrease in debtors
Increase in creditors
Net cash provided by operating activities
Analysis of changes in net debt
At 1 Jan
2020
Cash flows
£
£
Cash at bank and in hand
1,675,575
590,381
TOTAL
1,675,575
590,381		 2020
590,381
590,381
1,675,575
2,265,956
2020
£
843,794
(379,591)
126,178
590,381
Other
changes
£
-
-		 2019
473,231
473,231
1,202,344
1,675,575
2019
£
113,261
240,025
119,945
473,231
At 31 Dec
2020
£
2,265,956
2,265,956

The notes on pages 43 to 47 is an integral part of these financial statements.

42

THE HUMANE SOCIETY INTERNATIONAL (UK) Notes to the Financial Statements for the year ended 31 December 2020

1. Legal Structure and Signficant Accounting Policies

1.1 Legal Structure

The Humane Society International (UK) is a private company limited by gurantee, registered in England and Wales, compnay number 04610194 and a registered charity number 1098925. The organisation was incorporated on 5 December 2002 and was registered as a carity on 11 August 2003. The organisation is governed by its Memorandum and Ariticles of Association as amended on 18 October 2016.

1.2 Accounting convention

The financial statements 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 (FRS102) (effective 1 October 2019) - (Charities SORP (FRS102)(second edition - October 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) and Companies Act 2006.

Basis of measurement

The financial statements have been prepared on a historical cost basis. The preparation of financial statements in compliance with FRS102 requires the use of certain critical accounting estimates. It also required management to exercise judgement in applying accounting policies.

1.3 Income

Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants income is recognised when the charity has entitlement to the funds, it is probable the income will be received, the amount can be measured reliably and any performance conditions have been fully met.

Income from grants, where relating to performance and specific delivery requirements are recognised when the charity earns the right to consideration by its performance.

1.4 Funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the Charity

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure that meets these criteria is charged to the fund. Restricted

funds are mostly comprised of donations received for Street Animal Welfare, International Animal Rescue, and Dog Meat Trade campaigns.

1.5 Allocation of expenditure

Support costs have been allocated to raising funds and charitable activities on the basis of expenditure incurred, pro-rated where appropriate using the proportions of the staff time engaged in these functions. Expenditure includes irrecoverable VAT where applicable

Expenditure has been recognized on an accruals basis

Grants payable, which do not have any conditions attached, are accounted for in full as liabilities of the Charity when approved by the trustees and notified to the recipient. Grant payables to third parties are included in expenditure for charitable activities. Where unconditionalgrants are made, these amounts are recognized when a legal or constructive obligation is created, typically when the receipient is notified that a grant will be made to them. Where grants are conditional on performance, the grant is only recognized once any unfulfilled conditions are outside of the control of the Charity.

Expenses that can be identified with a specific program or support service are charged accordingly to their natural expenditure classification. Certain costs common to multiple functions have been allocated among raising funds and promoting animal welfare. General and administrative expenses include those costs that are not directly identifiable to any specific function, but provide for the overall support of the Charity.

1.6 Foreign currencies

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange prevailing at the accounting date. Transactions in foreign currencies are recorded at the date of the transactions. All differences are taken to the Statement of Financial Activities.

1.7 Financial instruments

The Charity has financial assets and liabilities only of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognized at transaction value and subsequently measured at their settlement value.

1.8 Going concern

The Trustees are required to prepare the financial statements on the going concern basis unless it is not appropriate. The trustees have reviewed the going concern status of the Charity by considering the cash position of the Charity as at 31 December 2020, together with the anticipated level of funding for the coming year and the continued support of its parent, The Humane Society of the United States (HSUS). Based on this review, the trustees have concluded that the financial statements should continue to be prepared on the going concern basis.

The trustees reviewed the HSI UK plans in June 2021 and were content that these plans were affordable and that the accounts should be prepared on a going concern basis. However, the impact of the recent COVID-19 outbreak and its financial effect has meant that the executive team and trustees have been reviewing financial plans for the next 12 months to ensure the HSI UK can continue its business-critical activities and remain a going concern. It is not expected that the Government’s decisions on social distancing will have a significant effect on the HSI UK financial situation.

43

THE HUMANE SOCIETY INTERNATIONAL (UK) Notes to the Financial Statements (continued) for the year ended 31 December 2020

1. Legal Structure and Signficant Accounting Policies (continued)

1.8 Going concern (continued)

The length of the COVID-19 outbreak and the measures taken by the Government to contain this are not known and outside of our control but we have put processes in place to manage cashflow on a monthly basis and review financial stability as matters progress.

Given the strength of the balance sheet and availability and liquidity of unrestricted Net Assets, totalling around £2.6M, the trustees believe that, while uncertainty exists, this does not pose a material uncertainty that would cast doubt on the charity’s ability to continue as a going concern. The trustees, therefore, consider it appropriate for the accounts to be prepared on a going concern basis. The potential effect on the balance sheet for 2020 is explained further in Note 1.11.

1.9 Judgment in applying accounting policies and key sources of estimation

The preparation of financial statements requires management to make estimates and judgments that affect the reported amounts of assets and liabilities and actual outcomes could differ from those estimates.

1.10 Concentration of credit risk

The Charity's assets that are exposed to credit risk consist primarily of cash, gifts and other receivables, and related party transactions. The Charity's gifts and other receivables balance consists primarily of amounts due from individuals and corporations. Historically, the Charity has not experienced significant losses related to the receivable balances and, therefore the credit risk to them is minimal.

1.11 Legacy accounting policy

For legacies, entitlement is taken as the earlier of the date on which either; the charity is aware that probate has been granted, the estate has been finalized and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material.

2. Donations and legacies

Donations
Legacies
Royalty & License fees
Other income		 Unrestricted
Funds
£
1,566,263
935,741
112,993
2,026		 Restricted
Funds
£
542,010
-
-
-		 2020
£
2,108,273
935,741
112,993
2,026		 2019
£
1,283,304
437,648
-
7,275
2,617,023 542,010 3,159,033 1,728,227

The donations and legacies income in 2019 was £1,728,227 of which £1,569,732 was unrestricted and £158,495 was restricted. As at 31 December 2020 legacies where HSI UK have entitlement but the remaining revenue recognition criteria have not been met, amount to £9,000 (2019:£172,500).

3. Raising funds

Campaign costs Unrestricted
Funds
£
446,257		 Restricted
Funds
£
-		 2020
£
446,257		 2019
£
270,601
446,257 - 446,257 270,601

The campaign costs in 2019 were £270,601 of which £270,264 was unrestricted and £337 was restricted.

4. Promoting Animal Welfare

Advocacy for animal welfare costs
Grants paid (note 5)
UK support costs (note 6)
Governance costs (note 7)		 Unrestricted
Funds
£
694,771
32,500
331,798
18,468		 Restricted
Funds
£
430,324
360,345
776
-		 2020
£
1,125,095
392,845
332,574
18,468		 2019
£
895,455
49,947
385,872
13,091
1,077,537 791,445 1,868,982 1,344,365

Expenses for promoting animal welfare in 2019 were £1,344,365 of which £1,000,828 was unrestricted and £343,537 was restricted.

44

THE HUMANE SOCIETY INTERNATIONAL (UK)

Notes to the Financial Statements (continued) for the year ended 31 December 2020

5. Grants paid

Hopefield Animal Sanctuary
University of Oxford
Humane Society International
Humane Society International India
Humane Society International Australia
Future Labs Group Limited
Bardsey Bird and Field Observatory
Whale and Dolphin Conservation
Pan African Sanctuaries Alliance
Associazione Etica Antispecista “Jill Phipps”
Wild Justice
Secret World Wildlife Rescue
Retreat Animal Rescue		 Unrestricted
Funds
£
-
20,000
-
-
-
2,500
-
-
-
-
10,000
-
-		 Restricted
Funds
£
10,000
-
230,205
5,000
6,860
-
800
2,600
79,735
5,145
-
10,000
10,000		 2020
£
10,000
20,000
230,205
5,000
6,860
2,500
800
2,600
79,735
5,145
10,000
10,000
10,000		 2019
£
10,000
20,000
19,947
-
-
-
-
-
-
-
-
-
-
32,500 360,345 392,845 49,947

Grants paid in 2019 were £49,947 of which £30,000 was unrestricted and £19,947 was restricted. 3 grants (3 - 2019) were paid to institutions in year and nil grants (nil - 2019) were paid to individuals.

6. UK Support Costs

Management overhead
Staff costs
Legal and professional fees
Rent
Bank charges
Insurance
Subscriptions
Accountancy
Printing, postage and stationery
Travel
Telecommunications
Sundry expenditure
Foreign exchange differences		 Unrestricted
Funds
£
165,884
42,236
43,033
37,495
14,802
688
6,054
2,100
10,867
4,999
2,643
474
523		 Restricted
Funds
£
-
-
-
-
-
-
-
-
35
521
-
220
-		 2020
£
165,884
42,236
43,033
37,495
14,802
688
6,054
2,100
10,902
5,520
2,643
694
523		 2019
£
124,964
84,822
68,855
37,233
36,598
7,318
6,209
4,500
5,174
5,531
2,844
941
883
331,798 776 332,574 385,872

HSI UK office costs in 2019 were £385,872 of which £379,489 was unrestricted and £6,383 was restricted.

7. Governance costs

Audit fees:
Current period		 Unrestricted
Funds
£
18,468		 Restricted
Funds
£
-		 2020
£
18,468		 2019
£
13,091
18,468 - 18,468 13,091

The governance costs in 2019 were £13,091 of which £13,091 was unrestricted and £Nil was restricted.

8. Wages and salaries

8. Wages and salaries
Wages and salaries
Social security costs
Employee Benefits		 Unrestricted
Funds
£
643,954
51,313
14,865		 Restricted
Funds
£
-
-
-		 2020
£
643,954
51,313
14,865		 2019
£
507,604
54,595
9,742
710,132 - 710,132 571,941

The wages and salaries costs in 2019 were £571,941 of which £571,941 was unrestricted and £Nil was restricted. The average number of employees during the year was 16 (2019: 15).

The Trustees consider the Trustees and Executive Director as the key management personnel of the Charity. The total employment benefits including

employer pension contributions of the key management personnel were £74,572 (2019: £62,424).

£60,000 - £70,000 2020
Number
1		 2019
Number
1
1 1

No Trustees received remuneration for performance of their role as Trustee during the year. No (2019: Nil) expenses were reimbursed to Trustees during the year.

45

THE HUMANE SOCIETY INTERNATIONAL (UK) Notes to the Financial Statements (continued) for the year ended 31 December 2020

9. Taxation

The Humane Society International (UK) is a registered charity and therefore is not liable to income tax or corporate tax on income or gains derived from its charitable activities, as they fall within the various exemptions available to registered charities.

10. Debtors
Other debtors:
Other debtors
Prepayments and accrued income
11. Creditors: amounts falling due within one year
Trade creditors
Accruals
12. Funds
Analysis of net assets between funds
Cash at bank and in hand
Debtors
Current liabilities
At 31 December 2020
Analysis of net assets between funds
Cash at bank and in hand
Debtors
Current liabilities
At 31 December 2019
13. Movement of Funds
Analysis of Fund movements
Restricted
Unrestricted
Total
Analysis of Fund movements
Restricted
Unrestricted
Total
14. Restricted Funds
Breakdown of Restricted Funds
International Animal Rescue
Street Animal Welfare
Dog Meat Trade
Mauritius Program
Seals UK
Pets for Life		 Balance
2019
b/frw
£
560,547
1,198,657		 Unrestricted
£
1,954,845
668,601
(331,559)		 2020
£
185,895
482,706		 2019
£
134,700
154,310
668,601 289,010
2020
£
268,158
63,401		 2019
£
152,060
53,321
331,559 205,381
Restricted
£
311,111
-
-		 2020
£
2,265,956
668,601
(331,559)
2,291,887 311,111 2,602,998
Unrestricted
£
1,115,028
289,010
205,381		 Restricted
£
560,547
-
-		 2019
£
1,675,575
289,010
205,381
1,609,419 560,547 2,169,966
Incoming
resources
£
542,010
2,617,023		 Resources
expended
£
791,445
1,523,793		 Balance
2020
c/frw
£
311,111
2,291,887
1,759,204 3,159,033 2,315,238 2,602,998
Balance
2018
b/frw
£
745,926
900,017		 Incoming
resources
£
158,495
1,569,732		 Resources
expended
£
343,874
1,271,092		 Balance
2019
c/frw
£
560,547
1,198,657
1,645,943 1,728,227 1,614,966 1,759,204
Balance
2019
b/frw
£
14,037
127,333
133,474
77,120
12,672
-		 Incoming
resources
£
436,187
45
85,912
-
-
2,000		 Resources
expended
£
353,956
32,849
159,732
31,131
-		 Balance
2020
c/frw
£
96,268
94,529
59,654
45,989
12,672
2,000
364,636 524,143 577,668 311,111

46

THE HUMANE SOCIETY INTERNATIONAL (UK) Notes to the Financial Statements (continued) for the year ended 31 December 2020

15. Lease commitments

At 31 December 2020, the company had total commitments under non-cancellable operating leases as follows:

Expiry date:
Within one year		 2020
£
7,125		 2019
£
7,125

16. Related parties

During the year, the Charity received a grant of £6,303 (2019: £Nil) from The Humane Society of the United States (the HSUS).

Included within other debtors and falling due within one year is an amount due from the HSUS totalling £Nil (2019: £14,428).

Included within other creditors and falling due within one year is an amount due to the Humane Sociaty International totalling £165,884 (2019: £124,964).

17. Post Balance Sheet Events

The Trustees have assessed whether there is any known impact on the value of the year and assets and liabilities. Assets in the balance sheet are considered to be fully recoverable and therefore no adverse effects to cash flows in the coming 12 month period have been identified.

18. Ultimate Controlling Party

The Charity's ultimate controlling party is The Humane Society of the United Society (HSUS), a not-for-profit organization in the United States, with registration number 53-0225390. The HSUS seeks to prevent and bring an end to animal cruelty in all of its forms, and to celebrate and strengthen the human-animal bond. The controlling party exercises control over by virtue of common trustees. Copies of the consolidated group accounts are available at https://www.humanesociety.org .

47