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2020-10-31-accounts

Registered number: 04620880 Charity number: 1099076

LIVING COASTS

(A COMPANY LIMITED BY GUARANTEE)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

CONTENTS

Page
Reference and Administrative Details of the Charity, its Trustees and Advisers 1
Trustees' Report 2
Independent Auditors' Report on the Financial Statements 11 - 13
Statement of Financial Activities 14
Balance Sheet 15
Statement of Cash Flows 16
Notes to the Financial Statements 17 - 32

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 OCTOBER 2020

Trustees S E Kings, Chair
R W J Ford, Vice Chair
S Barr BA
A C J Cooper BSc
S J Greinig BA (resigned 4 March 2021)
R Hill BA (Hons), ACA
P R F Chanin MA, PhD
B K McLaughlin
R A Rowe
M S Salmon
P M C Stevens
J P Ravenscroft (resigned 23 September 2020)
Company registered
number
04620880
Charity registered
number
1099076
Registered office
Totnes Road
Paignton
Devon
TQ4 7EU
Principal operating
office
Harbourside
Beacon Hill
Torquay
Devon
TQ1 2BG
Company secretary
C J Pyne
Chief Executive Officer
Executive Director
S J Tonge BSc (res. 30 June 2021)
D Flynn (appt. 1 December 2020)
Independent auditors
Bishop Fleming LLP
Chartered Accountants
2nd Floor Stratus House
Emperor Way
Exeter Business Park
Exeter
EX1 3QS
Bankers
Lloyds Bank plc
Paignton
Devon

Page 1

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT FOR THE YEAR ENDED 31 OCTOBER 2020

The Trustees submit their report and the audited financial statements for Living Coasts for the year ended 31 October 2020. The financial statements comply with the Charities Act 2011 and Companies Act 2006, the Memorandum and Articles of Association and have been prepared in accordance with the requirements of the Statement of Recommended Practice on accounting and reporting for charities (FRS 102) effective 1st January 2019.

Living Coasts operated the Living Coasts site at Beacon Quay, Torquay under licence from South West Environmental Parks Limited.

Site Closure

In line with government requirements to manage the COVID-19 pandemic, the Living Coasts attraction was required to close to visitors on 23rd March 2020.

Living Coasts had recorded substantial deficits in trading since opening in 2003. After nearly 20 years of operation, the fabric of the building along with the plant and machinery were all in need of significant investment and it would have been difficult to justify the level of expenditure required. The financial impact of the pandemic on the related group charities meant that further investment was impossible and so the decision was made not to reopen the site as a visitor attraction.

Following the decision not to reopen Living Coasts, work immediately began to find homes for the animals and by the end of the financial year all of the animals had been successfully relocated.

44 staff were employed at Living Coasts and all of these posts became redundant following the closure. All staff were included in a wider restructuring process with Living CoastV¶�VLVWHU�FRPSDQ\�6RXWK�:HVW� Environmental Parks Ltd (SWEPL) and some staff were offered roles at Paignton Zoo. Regrettably however it was necessary to make a substantial number of staff redundant.

Strategic Report

Strategic Aims & Objectives

Vision

A world rich in wildlife and wild places.

Mission

Living Coasts is an education, scientific and conservation charity dedicated to protecting our global wildlife heritage and inspiring in people a respect for animals, plants and the environment.

Strategic Aims

In order to achieve its mission, the Charity set out four main Strategic aims in its Strategic Plan for 20202025:

  1. Engagement: Inspiration and empowerment of the public to join our conservation culture and actively participate in conservation of the natural world.

  2. Local Conservation: Practical conservation of local habitats and species

3. Global Conservation : Providing leadership, training, expertise, technical support and crucial funds to our overseas conservation partners

Page 2

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

4. Advocacy: Campaigning and advocating for wildlife and the natural world with key organisations and decision makers.

Public Benefit

In setting objectives and planning activities for the year the trustees have given careful consideration to HQVXULQJ�WKDW�WKH�FKDULW\¶V�DFWLYLWLHV�DUH�WR�WKH�SXEOLF�EHQHILW��DQG�WKH\�KDYH�KDG�UHJDUG�WR�WKH�&KDULW\� &RPPLVVLRQ¶V�JXLGDQFH�RQ�SXEOLF�EHQHILW��� Accordingly, the activities at Living Coasts during the last year were for the public benefit and were in accordance with the objects of the charity. They are:

In fulfilling its objectives, the charity is dedicated to conserving our global wildlife heritage and inspiring in its many visitors a life-long respect for animals and the environment. The charity achieves this by:

Achievements and Performance in 2020

Financial Review

With minimal trading at the start of the year prior to its closure in March 2020, the business ran for most of the year with no income. Despite this the business continued to incur significant costs, maintaining the premises and looking after the animals and staff while we went through the process of finding suitable homes for the animals. As a result, Living Coasts showed a deficit on trading for the year of £285K after impairments and a substantial donation from SWEPL (see below).

Discontinued Operations

As Living Coasts is no longer operating as a visitor attraction, the activities have been reported as discontinued operations in line with FRS 102. The few remaining assets will be disposed of and the remaining conservation activities will be transferred to the sister charity (SWEPL) during 2020/21. SWEPL is the leaseholder of the Living Coasts VLWH�DQG�ZLOO�WDNH�RYHU�WKH�PDQDJHPHQW�RI�WKH�VLWH�ZKHQ�/LYLQJ�&RDVWV¶� licence to operate is cancelled in 2021.

In light of the closure of the site the Trustees do not consider that it would be appropriate to report on a going concern basis. The current intention is to give up the licence to operate the Living Coasts site and to dispose

Page 3

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

of the remaining assets. The assets have therefore been impaired to their realisable value in these accounts. (see below). The company continues to enjoy support from the sister Charity (SWEPL) and so Trustees are confident that the Company will be able to discharge its few remaining liabilities as they fall due.

Incoming Resources

The Charity received some income from gate receipts at the start of the year along with £78K from the Job Retention Scheme. The bulk of the income in the year was £622K donated by South West Environmental Parks Ltd to cover running costs. This was essential to ensure that the animals could be found suitable homes.

The Company also received a grant of £4,600 from Morrisons to buy equipment to help run a pilot “ Quiet Hour´ scheme for autistic children. Unfortunately the pilot was suspended due to the COVID lockdown but we hope to continue with this in partnership with Paignton and Newquay Zoos when social distancing measures permit.

The breakdown of the income in 2019/20 is shown in the following chart.

Fundraising

All of the charity's fundraising activities are undertaken in -house and we do not employ or partner with third parties for this purpose. The charity is registered with the Fundraising Regulator demonstrating our commitment to good fundraising. The Charity complies fully with the scheme’s Fundraising Promise and the associated Code of Fundraising Practice.

Fundraising during 2019-20 was minimal, with the majority of funds raised coming from grant applications, corporate sponsorship, events organised in-house and legacies. The Trustees wish to express their gratitude to the members of the public who made generous donations to support the charity during an exceptionally difficult time.

In the year ended 31st October 2020 the company received no complaints about its fundraising activities. We did not carry out any fundraising activities which would be unreasonably intrusive or place undue pressure on people to give money or other property.

Page 4

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

Resources expended

Expenditure for the year came to £1,207,733, which included a £231,750 impairment for assets that could no longer be considered to have a value in use following the closure of the site.

Wage costs continued to represent the biggest single cost to the charity and in 2019/20 the average headcount was 28 staff, accounting for 40% of the total expenditure. This includes redundancy costs of £30,651 and wage costs for staff furlou ghed under the government’s Job Retention Scheme.

The Charity held £4,945 at the start of the year in a restricted fund relating to the Ocean Connections project. This is a European research project involving universities, zoos/aquariums and schools to improve ocean conservation education, through the use of creativity and AR/VR technologies. During the year, the Charity spent £1,961 on developing resources and working with local schools. The remaining funds will be used to continue the project in 2020/21, working in partnership with the sister charity, SWEPL.

A breakdown of expenditure in 2019/20 is shown in the following chart

Reserves

It is the general policy of South West Environmental Parks Ltd (SWEPL) and its subsidiary charity, Living Coasts, to apply towards their charitable objectives as much cash as they reasonably can, to avoid accumulating excessive reserves. Where considered appropriate and being mindful not to overcommit the Charity, borrowings may be used to fund elements of significant capital projects.

In setting its reserves policy the Charity takes account of its continuing financial commitments in terms of staffing and overheads including the costs of maintaining the animal and plant collections and funding its

Page 5

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

charitable activities. The Charity also considers the risk that its income for any particular year may be impacted by a number of factors outside of its control such as periods of prolonged wet weather at peak visitor times, varying levels of economic prosperity and employment, alongside the potential for closure of the zoo to visitors due to the outbreak of contagious disease.

Following the COVID -19 pandemic and the consequence this has had for the organisation the Trustees are currently reviewing the reserves policy however at the year end the reserves policy was that having considered these factors, SWEPL maintains minimum available cash reserves of £1m at all times. Such reserves would be sufficient for SWEPL to operate and support the remaining activities of Living Coasts of up to one month. Similarly, the Charity considers that unrestricted reserves at the end of any financial year not exceeding 100% of the total resources expended during the year could properly be regarded as both reasonable and justified.

As Living Coasts has now discontinued operations the policy is not to hold reserves in Living Coasts with SWEPL donating funds when required to fund cashflow requirements until such time as the licence to operate is cancelled.

Restricted Funds

Restricted income funds derive from donations, grants and legacies received and are put towards a variety of capital projects and outreach activities. At 31[st] October 2020, Living Coasts had restricted funds totalling £2,984 which related to the Ocean Connections grant. The intention is for these funds to be utilised in the 2020/21 financial year.

Unrestricted income fXQGV�PD\�EH�WLHG�XS�LQ�IL[HG�DVVHWV�RU�IUHHO\�DYDLODEOH�IRU�WKH�&KDULW\¶V�JHQHUDO� charitable purpose.

Free Reserves

At 31 October 2020, the Charity had total funds employed of £36,544, including the restricted funds of £2,984 detailed above. Following the closure of the site, the majority of the fixed assets were impaired in the year and the value of the remaining fixed assets was £20,805, representing assets that will be disposed of in the 2020/21 financial year. It was therefore considered that the company had free reserves at the year-end of £12,755, which was consistent with the reserves policy for the charity.

Plans for Future Periods

In 2020/21 we will be;

Principal Risks and Uncertainties

The major risks, to which the charity is exposed, as identified by the trustees, have been reviewed and systems and procedures have been established to manage those risks. Further details of these systems and procedures are given below.

Page 6

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

Risk Management

The trustees have in place ongoing measures to assess business risks and implement risk management strategies. These involve identifying the types of risks the charity faces, prioritising them in terms of potential impact and likelihood of occurrence and identifying means of mitigating the risks. Principal risks are identified, assessed and monitored by:

The Trustees maintain a register of risks which could possibly impact on the Group, including Living Coasts, which is regularly reviewed and updated. The Risk Management & Audit Sub Committee conducts a formal review of the register and the principal risks identified on a six monthly basis and subsequently reports its findings and recommendations to the full Board of Trustees.

At the last review in February 2021, the register identified 49 main risks and the control measures that the organisation has in place to manage them. With the control measures that are in place the organisation does not consider that any of the risks represent a significant threat to the organisation although the long term impact of climate change remains the primary risk to future viability of operations.

While there is a requirement for continual review and assessment, the trustees consider that the procedures that are in place for risk identification and management are adequate and that actions have been taken to keep risks to an acceptable level.

Key Staff & Remuneration

The TrusteeV�FRQVLGHU�WKDW�WKH�%RDUG�RI�7UXVWHHV��ZKR�DUH�WKH�&KDULW\¶V�GLUHFWRUV��WKH�Chief Executive Officer Mr D Flynn and the remainder of the Senior Leadership Team comprise the key management personnel of the SWEPL group of which the Charity is part. All Trustees give of their time freely and no Trustee received remuneration in the year.

At 31st October 2020 the Senior Management Team comprised:
Executive Director Mr S Tonge
Chief Operating Officer (Chief Executive Officer since 1.12.2020) Mr D Flynn OBE
Director of Finance & HR Mr C Pyne
Director of Marketing & Development Ms P Craddock
Director of Conservation Dr K Pullen
Director of Operations Ms H Warren

The Trustees determine and agree the overall policy for the remuneration and pension arrangements for all WKH�FKDULW\¶V�HPSOR\HHV�DQG�RYHUVHH�DQ\�PDMRU�FKDQJHV�WR�HPSOR\HH�EHQHILWV��7KH�&KDULW\�RSHUDWHV�DQ�

Page 7

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

Equal Pay policy and operates a job evaluation system to ensure that remuneration is fair for all employees. The Charity aims to provide a reward package that is competitive within the sector it operates in although exceptions are permitted where there are justifiable reasons, usually in specific areas of the labour market where skilled workers are in short supply.

The Charity recognises that it should not and does not compete directly with the private sector in terms of remuneration but aspires to provide an overall reward package that is competitive enough to attract and retain high calibre staff who wish to be part of the ChDULW\¶V�ZRUN�

The remuneration of the Senior Management Team is reviewed annually and they normally receive an inflationary increase in line with other employees. The remuneration of the Executive Director, the Chief Executive Officer and the Director of Finance & HR is reviewed annually by the Trustees following a review of WKH�SUHYLRXV�\HDU¶V�SHUIRUPDQFH�LQ�D�VHSDUDWH�SURFHVV��5HJXODU�EHQFhmarking is also undertaken against similar positions within the sector.

Off Payroll

The charity has introduced a policy on off payroll working and training has been given to managers to enable them to identify possible off payroll issues. Where these situations are identified, procedures are in place to ensure that the charity correctly accounts for all off-payroll workers. In 2019/20 the charity had no such arrangements.

Safeguarding

Living Coasts operates a Child Protection and Safeguarding policy with a designated Child Protection Officer on site.

The group Education Officer has provided his annual report on Safeguarding in line with our Safeguarding Policy. All new staff receive training in safeguarding as part of their induction training.

No incidents were reported to the safeguarding team at Living Coasts in 2019/20

Structure, Governance and Management

The charity (Number 1099076) is a company limited by guarantee (Number 4620880) governed by memorandum and articles of association. The charity is run by a board of trustees, who are also directors for purposes of the Companies Act and who are named at the front of this report.

In accordance with the governing document, trustees are appointed to the Board by a majority vote of the exist trustees.

A skills audit of the existing Board is maintained with a target list of expertise and experience; it provides criteria for future appointments. A recruitment procedure is in place to ensure that any nominees have expertise and experience that will enhance and benefit the Board and its objectives. It has been us successfully.

Training of trustees is reviewed against individual training needs and a full introduction and induction to charity is given to new trustees upon appointment.

The Board meets approximately ten times a year to review strategy and performance and a number subcommittees meet on a regular basis to focus on specific areas. Whilst the trustees are responsible strategy and policy issues, the day-to-day administration and management of the charity is delegated to the C Executive Officer, who reports regularly to the Board. In 2019/20 assistance was provided by five directors w were responsible for the proper functioning of the zoo.

Page 8

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2020

The charity is closely connected with Wild Planet Trust (charity number 306622) and South West Environme Parks Limited (charity number 300923), charities that have similar objectives and the same Trustees. The trading activities were undertaken by South West Zoo Enterprises Limited, a limited company (num 02494361) whose directors are the trustees of the charity.

By order of the Board By order of the Board ty,CJ C J Pyne Pyne Company Secretary C ny Secretary 1

Page 9

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

(CONTINUED)

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The Trustees (who are also the directors of the Charity 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. 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 its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the 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.

Page 10

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF LIVING COASTS

OPINION

We have audited the financial statements of Living Coasts (the 'charity') for the year ended 31 October 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

BASIS FOR OPINION

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

EMPHASIS OF MATTER RELATED TO GOING CONCERN

We draw attention to note 2.2 in the financial statements the charity closed its doors to visitors during the COVID pandemic and does not intend to reopen and the financial statements have been prepared on a basis other than that of the going concern basis. This basis includes where applicable, writing down the charity's assets to net realisable value. No provision have been made for the future costs of terminating the charity such as the costs of winding down the charity unless such costs were committed at the balance sheet date.

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 Auditors' Report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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

We have nothing to report in this regard.

Page 11

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF LIVING COASTS (CONTINUED)

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

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

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.

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

RESPONSIBILITIES OF TRUSTEES

As explained more fully in the Trustees' Responsibilities Statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the 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.

AUDITORS' RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

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

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

Page 12

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF LIVING COASTS (CONTINUED)

USE OF OUR REPORT

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Mark Munro FCA (Senior Statutory Auditor)

for and on behalf of Bishop Fleming LLP Chartered Accountants Statutory Auditors 2nd Floor Stratus House

Emperor Way Exeter Business Park Exeter EX1 3QS

Date: 7/7/2021

Page 13

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE) ACCOUNT FOR THE YEAR ENDED 31 OCTOBER 2020

Note
INCOME FROM:
Donations and legacies
4
Charitable activities
5
Other trading activities
6
Investments
Other income
TOTAL INCOME
EXPENDITURE ON:
Charitable activities
7
TOTAL EXPENDITURE
NET MOVEMENT IN FUNDS
RECONCILIATION OF
FUNDS:
Total funds brought forward
Net movement in funds
TOTAL FUNDS CARRIED
FORWARD		 Unrestricted
funds
2020
£
631,224
203,171
4,991
3
-
839,389
1,122,808
1,122,808
(283,419)
316,979
(283,419)
33,560		 Restricted
funds
2020
£
83,004
-
-
-
-
83,004
84,965
84,965
(1,961)
4,945
(1,961)
2,984		 Continuing
operations
2020
£
7,094
(7,094)
-
-
-
-
-
-
-
-
-
-		 Discontinued
operations
2020
£
707,134
210,265
4,991
3
-
922,393
1,207,773
1,207,773
(285,380)
321,924
(285,380)
36,544		 Total
funds
2020
£
714,228
203,171
4,991
3
-
922,393
1,207,773
1,207,773
(285,380)
321,924
(285,380)
36,544		 Continuing
operations
2019
£
-
-
-
-
-
-
-
-
-
-
-
-		 Discontinued
operations
2019
£
353,655
849,595
12,328
5
335
1,215,918
1,212,178
1,212,178
3,740
318,184
3,740
321,924		 Total
funds
2019
£
353,655
849,595
12,328
5
335
1,215,918
1,212,178
1,212,178
3,740
318,184
3,740
321,924

The Statement of Financial Activities includes all gains and losses recognised in the year.

Page 14

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:04620880

BALANCE SHEET AS AT 31 OCTOBER 2020

2020 2020 2019
Note £ £
FIXED ASSETS
Tangible assets 12 20,805 298,572
20,805 298,572
CURRENT ASSETS
Stocks 13 1,957 11,445
Debtors 14 68,644 70,949
Cash at bank and in hand 2,251 44,427
72,852 126,821
Creditors: amounts falling due within one
year 15 (57,113) (103,469)
NET CURRENT ASSETS 15,739 23,352
TOTAL ASSETS LESS CURRENT
LIABILITIES 36,544 321,924
TOTAL NET ASSETS 36,544 321,924
CHARITY FUNDS
Restricted funds 16 2,984 4,945
Unrestricted funds 16 33,560 316,979
TOTAL FUNDS 36,544 321,924

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

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

The financial statements were approved and authorised for issue by the Trustees on _______16/6/2021 and signed on their behalf by:

S E Kings - RW J Ford S E Kings Chair R W J Ford Vice Chair Chair Vice Chair

The notes on pages 17 to 32 form part of these financial statements.

Page 15

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 OCTOBER 2020

CASH FLOWS FROM OPERATING ACTIVITIES
Net cash (used in)/provided by operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Interest income
Purchase of tangible fixed assets
NET CASH USED IN INVESTING ACTIVITIES
CASH FLOWS FROM FINANCING ACTIVITIES
Interest paid
NET CASH USED IN FINANCING ACTIVITIES
CHANGE IN CASH AND CASH EQUIVALENTS IN THE YEAR
Cash and cash equivalents at the beginning of the year
CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR
The notes on pages 17 to 32 form part of these financial statements		 2020
£
(33,267)
3
(8,462)
(8,459)
(450)
(450)
(42,176)
44,427
2,251		 2019
£
68,134
5
(73,885)
(73,880)
(573)
(573)
(6,319)
50,746
44,427

Page 16

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

1. GENERAL INFORMATION

Living Coasts (registered number 04620880) is a private company, limited by guarantee and incorporated in England and Wales. The registered office is Totnes Road, Paignton, Devon, TQ4 7EU. Living Coasts is a registered Charity (registered number 1099076).

2. ACCOUNTING POLICIES

2.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

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

2.2 GOING CONCERN

As noted in the trustees report, following the initial period of lockdown, the decision was taken in June 2020 not to re-open the Living Coasts site. From that point, the Charity ceased all activities. Accordingly, these financial statements are prepared on a basis other than going concern. No adjustments to, or re-classification of the amounts included in these financial statements have been required as a result of this change.

Page 17

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

2. ACCOUNTING POLICIES (continued)

2.3 INCOME

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

The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the Charity has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the Charity, can be reliably measured.

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

Income from the Living Coasts Exhibit represents income from admissions and the related gift aid, and it is recognised at the date of admission. The Charity allows admission to Living Coasts in exchange for a donation of at least 10% more than the usual ticket price, as an alternative to the purchase of an admission ticket. Where visitors have decided to make this donation, the usual admission price is shown as income from charitable activities and the additional amount shown as a donation. Where applicable, the gift aid recovered is allocated pro rata.

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

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

2.4 EXPENDITURE

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

Support costs represent the general operational and administrative costs of the Charity which do not relate directly to individual operations.

2.5 GOVERNMENT GRANTS

Government grants of a revenue nature are credited to the Statement of financial activities as the related expenditure is incurred.

2.6 INTEREST RECEIVABLE

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

Page 18

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

2. ACCOUNTING POLICIES (continued)

2.7 TANGIBLE FIXED ASSETS AND DEPRECIATION

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

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

2.8 ANIMALS

Animals are generally acquired from other zoological organisations without charge, and they are incapable of being reliably valued. Accordingly, no value is attributed to the animals in these financial statements. There were no material purchases or sales of livestock during the current or prior year.

2.9 STOCKS

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

2.10 LIABILITIES AND PROVISIONS

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

2.11 FINANCIAL INSTRUMENTS

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

2.12 PENSIONS

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

Page 19

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

2. ACCOUNTING POLICIES (continued)

2.13 FUND ACCOUNTING

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

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

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

3. CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGMENT

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

Critical accounting estimates and assumptions:

The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The Trustees do not consider there to be any significant estimates or judgements.

Page 20

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

4. INCOME FROM DONATIONS AND LEGACIES

Unrestricted
funds
2020
£
Donations from South West Environmental Parks Limited
622,000
Other donations
2,130
Donations
7,094
Legacies
-
Grants
-
COVID-19 Grant
-
631,224
Donations from South West Environmental Parks Limited
Other donations
Legacies		 Restricted
funds
2020
£
-
-
-
-
4,600
78,404
83,004
Unrestricted
funds
2019
£
130,000
48,036
175,619
353,655		 Total
funds
2020
£
622,000
2,130
7,094
-
4,600
78,404
714,228
Total
funds
2019
£
130,000
48,036
175,619
353,655

5. INCOME FROM CHARITABLE ACTIVITIES

Unrestricted
funds
2020
£
Living Coasts exhibit
107,453
Education
8,070
Charges to South West Zoo Enterprises Limited
87,648
203,171		 Total
funds
2020
£
107,453
8,070
87,648
203,171

Page 21

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

5. INCOME FROM CHARITABLE ACTIVITIES (CONTINUED)

Living Coasts exhibit
Education
Charges to South West Zoo Enterprises Limited		 Unrestricted
funds
2019
£
721,681
31,703
86,172
839,556		 Restricted
funds
2019
£
10,039
-
-
10,039		 Total
funds
2019
£
731,720
31,703
86,172
849,595

6. INCOME FROM OTHER TRADING ACTIVITIES Income from fundraising events

Unrestricted
funds
2020
£
Fundraising
2,150
Adoptions
2,841
4,991
7.
ANALYSIS OF EXPENDITURE ON CHARITABLE ACTIVITIES		 Total
funds
2020
£
2,150
2,841
4,991		 Total
funds
2019
£
5,251
7,077
12,328

Summary by fund type

Unrestricted
funds
2020
£
Living Coasts exhibit
1,081,890
Education
119,322
COVID-19 Grant
(78,404)
1,122,808		 Restricted
funds
2020
£
6,561
-
78,404
84,965		 Total
funds
2020
£
1,088,451
119,322
-
1,207,773

COVID-19 Grant expenditure relates to costs incurred against furlough claims. These costs were incurred across all Charitable activities above, and across both support and direct costs.

Page 22

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

7. ANALYSIS OF EXPENDITURE ON CHARITABLE ACTIVITIES (CONTINUED)

Summary by fund type (continued)

Living Coasts exhibit
Education		 Unrestricted
funds
2019
£
1,095,538
111,545
1,207,083		 Restricted
funds
2019
£
5,095
-
5,095		 Total
funds
2019
£
1,100,633
111,545
1,212,178

8.

ANALYSIS OF EXPENDITURE BY ACTIVITIES

Operation of the park
Education
Operation of the park
Education		 Activities
undertaken
directly
2020
£
483,057
61,229
544,286
Activities
undertaken
directly
2019
£
559,346
78,332
637,678		 Support
costs
2020
£
605,394
58,093
663,487
Support
costs
2019
£
541,287
33,213
574,500		 Total
funds
2020
£
1,088,451
119,322
1,207,773
Total
funds
2019
£
1,100,633
111,545
1,212,178

Page 23

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

8. ANALYSIS OF EXPENDITURE BY ACTIVITIES (CONTINUED)

Analysis of support costs

Staff costs
Establishment costs
Administration costs
Financial costs
Cleaning
Marketing
Depreciation
Governance - auditors' fees
Impairment of assets
Staff costs
Establishment costs
Administration costs
Financial costs
Cleaning
Marketing
Depreciation
Governance - auditors' fees		 Operation
of the park
2020
£
56,634
15,490
205,666
3,666
7,079
53,643
49,709
2,048
211,459
605,394
Operation of
the park
2019
£
77,615
22,267
223,200
4,604
15,075
139,394
55,536
3,596
541,287		 Education
2020
£
5,434
1,486
19,736
352
679
5,148
4,770
197
20,291
58,093
Education
2019
£
4,769
1,367
13,713
283
926
8,564
3,412
179
33,213		 Total
funds
2020
£
62,068
16,976
225,402
4,018
7,758
58,791
54,479
2,245
231,750
663,487
Total
funds
2019
£
82,384
23,634
236,913
4,887
16,001
147,958
58,948
3,775
574,500

Page 24

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

9. AUDITORS' REMUNERATION

2020 2019
£ £
Fees payable to the Charity's auditor for the audit of the Charity's annual
accounts 1,245 2,000
Fees payable to the Charity's auditor in respect of:
All non-audit services not included above 1,000 1,775

10. STAFF COSTS

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes		 2020
£
433,613
24,572
26,659
484,844		 2019
£
469,072
31,603
28,234
528,909

Staff costs includes redundancy payments of £30,651 (2019: £Nil). These have been funded by unrestricted reserves and accounted for on an accruals basis.

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

Employees
The average headcount expressed as full-time equivalents was:
Operation of the parks
Education		 2020
No.
28
2020
No.
17
3
20		 2019
No.
30
2019
No.
18
4
22

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

Key management personnel remuneration is borne by the parent Charities in respect of services of the Group. Full details can be found in the parent Charities' accounts.

11. TRUSTEES' REMUNERATION AND EXPENSES

During the year, no Trustees received any remuneration or other benefits (2019 - £NIL).

Page 25

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

11. TRUSTEES' REMUNERATION AND EXPENSES (CONTINUED) TRUSTEES' REMUNERATION AND EXPENSES (CONTINUED)
During the year ended 31 October 2020, no Trustee expenses have been incurred (2019 - £NIL).
12. TANGIBLE FIXED ASSETS
Fixtures and
fittings
£
COST OR VALUATION
At 1 November 2019 730,838
Additions 8,462
At 31 October 2020 739,300
DEPRECIATION
At 1 November 2019 432,266
Charge for the year 286,229
At 31 October 2020 718,495
NET BOOK VALUE
At 31 October 2020 20,805
At 31 October 2019 298,572
13. STOCKS
2020 2019
£ £
Consumables 1,957 11,445

Page 26

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

14. DEBTORS

DUE WITHIN ONE YEAR
Trade debtors
Other debtors
Prepayments and accrued income
Tax recoverable		 2020
£
-
4,790
51,953
11,901
68,644		 2019
£
606
41,172
29,171
-
70,949

15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income		 2020
£
7,544
1,727
1,414
46,428
57,113		 2019
£
41,469
36,397
3,266
22,337
103,469

Page 27

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

16. STATEMENT OF FUNDS

STATEMENT OF FUNDS - CURRENT YEAR

UNRESTRICTED FUNDS
Unrestricted funds
RESTRICTED FUNDS
Ocean Connections - Erasmus
COVID-19 Grant
Quiet Hour Grant
TOTAL OF FUNDS		 Balance at 1
November
2019
£
316,979
4,945
-
-
4,945
321,924		 Income
£
839,389
-
78,404
4,600
83,004
922,393		 Expenditure
£
(1,122,808)
(1,961)
(78,404)
(4,600)
(84,965)
(1,207,773)		 Balance at
31 October
2020
£
33,560
2,984
-
-
2,984
36,544

COVID-19 Grant

This fund relates to the income and expenditure associated with furlough claims made.

Ocean Connections - Erasmus

This was funding received for a specifc project, received in the prior year and the project continued throughout the year.

Quiet Hour Grant

Funding received to cover quite opening periods. This was fullly spent in the year.

Page 28

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

16.
STATEMENT OF FUNDS (CONTINUED)
STATEMENT OF FUNDS - PRIOR YEAR
UNRESTRICTED FUNDS
Unrestricted funds
RESTRICTED FUNDS
Ocean Connections - Erasmus
TOTAL OF FUNDS
17.
SUMMARY OF FUNDS
SUMMARY OF FUNDS - CURRENT YEAR
General funds
Restricted funds
SUMMARY OF FUNDS - PRIOR YEAR
General funds
Restricted funds		 Balance at
1 November
2018
£
318,184
-
318,184
Balance at 1
November
2019
£
316,979
4,945
321,924
Balance at
1 November
2018
£
318,184
-
318,184		 Income
£
1,205,879
10,039
1,215,918
Income
£
839,389
83,004
922,393
Income
£
1,205,879
10,039
1,215,918		 Expenditure
£
(1,207,084)
(5,094)
(1,212,178)
Expenditure
£
(1,122,808)
(84,965)
(1,207,773)
Expenditure
£
(1,207,084)
(5,094)
(1,212,178)		 Balance at
31 October
2019
£
316,979
4,945
321,924
Balance at
31 October
2020
£
33,560
2,984
36,544
Balance at
31 October
2019
£
316,979
4,945
321,924

Page 29

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

18. ANALYSIS OF NET ASSETS BETWEEN FUNDS

ANALYSIS OF NET ASSETS BETWEEN FUNDS - CURRENT PERIOD

Unrestricted
funds
2020
£
Tangible fixed assets
20,805
Current assets
69,868
Creditors due within one year
(57,113)
TOTAL
33,560
ANALYSIS OF NET ASSETS BETWEEN FUNDS - PRIOR PERIOD
Unrestricted
funds
2019
£
Tangible fixed assets
298,572
Current assets
121,876
Creditors due within one year
(103,469)
TOTAL
316,979		 Restricted
funds
2020
£
-
2,984
-
2,984
Restricted
funds
2019
£
-
4,945
-
4,945		 Total
funds
2020
£
20,805
72,852
(57,113)
36,544
Total
funds
2019
£
298,572
126,821
(103,469)
321,924
Tangible fixed assets
Current assets
Creditors due within one year
TOTAL

Page 30

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

19.
RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW
ACTIVITIES
Net income/expenditure for the period (as per Statement of Financial
Activities)
ADJUSTMENTS FOR:
Depreciation charges
Impairment charges
Loss on the sale of fixed assets
Decrease/(increase) in stocks
Decrease/(increase) in debtors
Increase/(decrease) in creditors
Interest payable
Interest received
NET CASH PROVIDED BY/(USED IN) OPERATING ACTIVITIES
20.
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash in hand
21.
ANALYSIS OF CHANGES IN NET DEBT
At 1
November
2019
£
Cash at bank and in hand
44,427
44,427		 FROM OPERATING
2020
2019
£
£
(285,380)
3,740
54,479
58,948
231,750
-
-
16,970
9,488
(2,962)
14,206
(9,861)
(58,257)
731
450
573
(3)
(5)
(33,267)
68,134
2020
2019
£
£
2,251
44,427
Cash flows
At 31
October
2020
£
£
(42,176)
2,251
(42,176)
2,251

22. RELATED PARTY TRANSACTIONS

As a wholly owned subsidiary undertaking of their ultimate parent, Wild Planet Trust, the company has taken advantage of the exemption in section 33.1A of FRS 102 in not disclosing intra-group transactions where 100% of the voting rights are controlled within the group.

Page 31

LIVING COASTS (A COMPANY LIMITED BY GUARANTEE)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

23. CONTROLLING PARTY

The immediate parent undertaking is South West Environmental Parks Limited, which controls the Charity by virtue of the dominant influence over the Charity exercised by its Trustees. South West Environmental Parks Limited is a company incorporated in England and Wales. The ultimate parent undertaking and controlling party is Wild Planet Trust.

The registered office of both parents is Totnes Road, Paington, Devon, TQ4 7EU.

Consolidated financial statements are prepared for South West Environmental Parks Limited and are available at Companies House.

Page 32