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← Hereford Cider Museum Trust

2023-09-30-accounts

Registered Charity Number 1158061

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

Contents Page
Report of the Trustees 1-7
Independent Auditor’s Report 8-11
Statement of Financial Activities (including
Income and Expenditure Account) 12
Balance Sheet 13
Notes to the Accounts 14 -22

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 30 SEPTEMBER 2023

REFERENCE AND ADMINISTRATION INFORMATION

The Trustees who acted during the year were as follows:

Mr D Bailey Mr J Bisset Mr C Bulmer Mr C Fairs Mr D Marshall (Chairman) Mr A Roe Mr J Taplin Mrs H Thomas Mrs G Turner (appointed 23 May 2023) Mrs F Tyler Mrs C Ward Mr S Wright (resigned 18 January 2023)

Senior Management – Ms E Pimblett, Museum Director

Registered office and operational address

21 Ryelands Street Hereford HR4 0LW

Advisors

Independent Auditor James Harper FCA Harper Sheldon Chartered Accountants Midway House, Herrick Way Staverton Gloucestershire Gl51 6TQ

Bankers

CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ

Solicitors

Lambe Corner Solicitors 36/37 Bridge Street Hereford HR4 9DJ

Investment Advisors

Cazenove Capital CCLA Investment Management Ltd 1 London Wall Place Senator House, 85 Queen Victoria Street London London EC2Y 5AU EC4V 4ET

1

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 30 SEPTEMBER 2023

The Trustees present their annual report and financial statements of the charity for the year ended 30 September 2023. The Trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) in preparing the annual report and financial statements.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity’s trust deed, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published on 16 July 2014.

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Hereford Cider Museum Trust is a registered charity (No. 1158061) governed by a declaration of Trust dated 12 August 2014. The Trustees may appoint new or additional Trustees and the following organisations had Trustee representatives as follows:

Bulmers (one representative) National Association of Cider Makers (one representative).

The board of Trustees meets quarterly and therefore has delegated some decision-making to Trustee committees which meet more regularly either in person or by videoconference. There are currently five committees which, respectively, oversee finance, museum operational matters, audience development, the building, and land management.

AIMS AND OBJECTIVES FOR THE PUBLIC BENEFIT

The charitable object of the Hereford Cider Museum Trust is to advance education in the history of the cider and perry industry and related agricultural, orcharding and industrial processes by maintaining a museum for the public benefit. It aims to inspire and educate the public with regard to cider making, and its significance locally, nationally and internationally through

by

stressing the leading world-wide part played by the area in cider making, its development and evolution through to the current day. The Museum will provide access to all, as well as creating important links within the local community, the broader public and with all those interested or active in the making of cider and perry throughout the world. It will be a celebration of cider, cider making, apple orchards and their importance to Herefordshire, the West of England, the UK, and the world. The collection will embrace the diversity of ciders and show how cider is intertwined with the landscape and history of Herefordshire. The important artefacts, buildings and orchards in its care will be protected for future generations and brought to life for the widest possible audience in vibrant and imaginative ways.

A series of specific objectives will help to bring this about. In setting objectives and planning activities, the Trustees have carefully considered the Charity Commission's guidance on public benefit and in particular to its supplementary public benefit guidance on advancing education.

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

2

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 30 SEPTEMBER 2023

Build and maintain a unique collection associated with cider and apples both at the Museum and of cider fruit varieties in its orchards that preserve heritage and tells the history, bringing stories to life and showcasing the assets that stand out as unique and important as identified in the conservation management plan and land strategy. Caring for the museum collection in accordance with museum accreditation standards and augmenting it with new, unique and relevant artefacts, as well as further cider fruit varieties in the orchards in line with the land strategy, the collection will be a resource accessible to visitors, historians, horticulturalists and academics.

Increase audience to bring the story of cider and apple trees to the widest possible audience, increasing income, awareness and recognition by being creative and innovative in communications, exhibitions and events that show the significance of the collection to the story and place. The Museum is recognised as an important asset for both local tourism and for the community and will continue to raise its stature nationally and internationally.

Ensure financial viability by protecting capital investments, welcoming more visitors, attracting grant funding and donations, making best use of the building and land to benefit local communities and identifying innovative ways to raise income streams.

Be a great place to work with motivated and trained staff and volunteers who are provided opportunities to develop and grow within robust employment, health and safety, and safeguarding governance.

A centre of excellence for the history and heritage of cidermaking and orchards that offers expertise through the archive of cider pomology and other resources, encouraging learning through talks and courses, and acts as a hub and signpost to other experts in cider making, orchard habitat, social history and other related skills.

Work with others, delivering in partnership with other organisations where this brings synergies or opens access to a wider audience, including sharing the collection through loans and digital media and participating in national and international networks of expertise for cider, apples and orchards.

Be an asset to our local community where this aligns with the charitable object, being seen as an important part of a strong local network, both because the Museum and in its orchards are places that can be used by local communities and by making the local importance of cider and apple trees relevant to a wide range of audiences through creative engagement, including with schools through education and outreach.

Invest in the long term, sustainable future ensuring the building, land and collection are attractive and accessible, allowing for the most flexible and creative uses of the Museum’s assets whilst preserving them for future generations through care, generating income and containing costs. At the same time help with wider global challenges by reducing carbon footprint, enhancing natural resources and improving social impact.

The Trustees gratefully acknowledge the support of staff, the many unpaid volunteers, and those who provide donations and services free of charge to the Charity.

ACHIEVEMENTS AND PERFORMANCE – HOW WE DELIVERED PUBLIC BENEFIT

The Museum is housed in the old Bulmer’s factory in Hereford which is the birthplace of the largest cidermaker in the world. It also owns 47 acres of orchard in Breinton, west of Hereford, and manages a further 77 acres of land in Breinton and Yarpole.

This year has been a time of change as the Museum repositions itself to strongly deliver against its objectives and to find its place in the world.

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

3

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 30 SEPTEMBER 2023

Build and maintain a unique collection associated with cider and apples

The Museum holds Full Accreditation status by the Arts Council, England, which is the UK standard for museums and galleries and defines the working practices for collection care. Being the only Accredited Museum in the country to focus upon the story of cider and the apple, the Museum seeks to showcase and promote the heritage of cider and orchards across the United Kingdom. The Museum offers a unique combination of industrial heritage, unrivalled collections from across the country, and cultural worth set in a County that has a central role in the history and production of cider. Housed in an historic factory building where major technical and scientific advances took place, the Museum has a collection that combines agricultural and industrial machinery alongside exquisite collections of glassware and art works, and holds an extensive archive of papers, images and books. Its collections are further enhanced by loans from others., The Museum sits in the centre of Herefordshire, a rural county that accounts for a sixth of all the cider produced in the world and is the largest Museum anywhere in the world dedicated to cider and its agricultural and social context. During the year the collection has been enhanced including by the gift of a scratter from Monmouthshire, the recovery of a painting by Henry Bryan Ziegler that had been stolen in 1991, and a new collection of model apples commissioned from Somerset artist Lottie Sweeney. Books and documents gifted by the late Gillian Bulmer are being processed into the archive. All assets donated to the Museum are held by the Trust and recorded in the Accession Register. The Trustees will not normally dispose of any accessioned assets; however unwanted items may warrant disposal or dispersal from time to time, and such may be authorised by the Trustees within the strict provisions of the Museum's Access and Disposal policy. Care has been enhanced during the year by establishing a new quarantine area to isolate incoming artefacts and by training new volunteers to catalogue the collection.

Increase audience

The number of visitors was impacted because significant building repair work commenced during the year. Whilst the Museum remained open throughout, some service had to be curtailed including hire of meeting rooms. As a result, a total of 9,236 visitors came to the Museum in the year, down from 9,355 visitors in the previous year when the Museum reopened following the COVID-19 pandemic lockdowns. However, reach has been increased through social media, including the Apples & People online exhibition programme, loans of artworks to the National Trust, and featuring on the popular BBC programme Bargain Hunt. A trustee committee is now focused on establishing the vision and changes to attract a much wider audience.

Ensure financial viability

Increasing audience through improved experiences and enhancing retail profitability are important factors for the Museum as is pursuing other opportunities to diversify income. The Charity registered for VAT during the year and implemented new accounting processes and budgeting to enhance control.

The trustees are currently investing for the future by making extensive repairs to the Museum building as well as planting replacement fruit trees and carrying out infrastructure work in its orchards. This work is being funded from reserves. A grant of £2,333 was received during the year under the West Midlands Museum Development Small Grant Scheme to enhance accessible and inclusive visits for children. Staff and trustees keep donors informed of developments.

Be a great place to work

During the year, with professional advice, roles and responsibilities were reviewed, occupational health support and sick leave policies established, and health and safety awareness extended.

A centre of excellence for the history and heritage of cidermaking and orchards

The Museum has hosted visitors from around the world including cider makers and apple enthusiasts from across Europe, USA, Australia and New Zealand. The online exhibition programme called Apples & People continued throughout the year, sharing stories about the apple from around the world. This is a partnership project with the Brightspace Foundation and National Trust in Herefordshire and has developed international reach, fostering relationships with apple scientists, historians, and growers around the world as well as art institutions and other museums.

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

4

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 30 SEPTEMBER 2023

The Museum plays a leading role in the conservation of cider fruit varieties and its extensive collection of fruit trees has continued to grow under the guidance of the trustees’ land committee and through the diligence of John Teiser, the Museum’s volunteer conservator of fruit. Staff have assisted with requests to access the pomology archives and the Director and various trustees have delivered keynote speeches on cider, apples, and orchards.

Work with others

Artworks were loaned by the Museum to the National Trust for display in An Apple Gathering, an art exhibition at Croft Castle as part of the Apples & People exhibition programme. Understanding of the history and biodiversity of the orchards managed by the Museum is being furthered through research by local experts and involving the local community at Breinton. The Museum is part of Hereford Applefest, the national Orchard Network and the international Ciderlands network of cider culture and tourism destinations.

Be an asset to our local community

The Museum provides volunteering opportunities for local people and hosts monthly education-led mornings for former cider industry employees with support from the Howard Bulmer Charitable Trust. People in Breinton are helping with research into the land there and further opportunities for the community to visit and to volunteer are being developed in the ongoing land strategy review. A Steinway Model D concert grand piano that is owned by the Museum is housed in nearby Holy Trinity Church. Whilst it is booked across the country, local groups can hire at preferential rates, allowing this excellent instrument to be appreciated in Hereford.

Invest in the long term, sustainable future

Work on the Museum’s strategy continues, following a structured approach. An Audience Development plan has been prepared during this year that is based upon the Conservation Management Plan and will underpin the marketing and communications strategy for the Museum in the medium term. Building work is underway, overseen by a facilities manager and the trustees’ building committee, repairing issues identified by the Quinquennial Review. This includes replacing part of the roof of the building and its’ cellars. The land strategy will explore the multiple values of its natural capital and how these can be utilised and enhanced. A sustainability strategy will guide all developments, including the use of renewable energy.

FINANCIAL REVIEW

Income has improved slightly despite the disruption of building work and a difficult economic backdrop. The Trustees are grateful for the donations received in the year particularly the ongoing support received from the Becket Bulmer Fund administered by Herefordshire Community Foundation and from HEINEKEN towards running costs, from Ms Susan Bulmer towards the management of Becket’s Orchard, and the National Association of Cider Makers for the Museum’s archive. Together with income earned on investments, these regular donations are crucial to the Museum’s long-term future.

Operating costs have increased significantly this year, particularly because of professional fees and salaries for the planning and oversight of the building project although most of the cost of building work will fall into the next year. In addition, building works totalling £141,981 that meet the criteria described in the accounting policies in note 1 to the accounts have been capitalised.

Net unrestricted expenditure on unrestricted funds totalled £173,032 (2022: £48,465).

The Trustees will manage expenditure at a pace that ensures that there is sufficient income from investments to underpin the day-to-day activity of the Museum.

The Museum’s properties were revalued on 30 September 2022 by Angus J Jackson MRICS of Jackson Preece Limited (surveyors and commercial agents). The land is valued on a comparable open market value basis and, because of its specialist nature, the building is valued on a depreciated replacement cost basis.

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HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 30 SEPTEMBER 2023

INVESTMENT POLICY AND PERFORMANCE

The Trustees may invest any monies held at their absolute discretion and its investment portfolio is managed by Cazenove Capital Management Limited and CCLA Investment Management Ltd. An unrealised gain of £18,772 (2022: Loss £354,959) has been made on the portfolio in continued volatile markets. During the year, funds totalling £417,000 were withdrawn from the portfolio managed by Cazenove, to pay for building work and operating costs. Investment income remained robust.

KEY MANAGEMENT PERSONNEL REMUNERATION

The Trustees consider the board of Trustees and Museum Director as comprising the key management personnel of the charity in charge of directing and controlling the charity and running and operating the charity on a dayto-day basis. All Trustees give their time freely and no Trustee remuneration was paid in the year. Details of Trustee expenses and related party transactions are disclosed in notes 2 and 16 to the Accounts.

RISK MANAGEMENT

During the year the Trustees reviewed operational risks which are prioritised in terms of potential impact and likelihood of occurrence, and procedures have been put in place to mitigate risks. There is a programme of staff training.

RESERVES POLICY

The Trustees have reviewed the reserves of the charity. Reserves are largely invested in market securities which may fluctuate in value, but the income stream generated from these assets was reasonable and required to maintain and develop Museum operations and its orchards. The charity has several restricted funds which are detailed in the notes to the financial statements.

PLANS FOR THE FUTURE

Ongoing investment to transform the Museum experience and increase its stature will make the most of the historic building, the unique collections held by the Museum, and the orchards. The Museum will be an asset to our local community, the industry that we celebrate, the agricultural community who grow cider apples, the millions of people who enjoy drinking cider and everyone interested in the social history and value of the landscape from which it comes. Working in partnership with others, further exhibitions, events, and digital engagement is planned to extend reach, attract more visitors, educate new audiences, and increase community involvement.

6

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 30 SEPTEMBER 2023

TRUSTEES RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS

The Charity Trustees are responsible for preparing a Trustees annual report and financial statements in accordance with applicable law and United Kingdom accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the charity Trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that year. In preparing the financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements.

On behalf of the Trustees

…………………………………… D Marshall

16 February 2024

7

HEREFORD CIDER MUSEUM TRUST CHARITABLE ORGANISATION (CIO)

Independent Auditor's Report to the trustees of Hereford Cider Museum Trust

Year ended 30 September 2023

Opinion

We have audited the financial statements of Hereford Cider Museum Trust (the 'charity') for the year ended 30 September 2023 which comprise the statement of financial activities (including income and expenditure account), statement of financial position 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 the Statement of Recommended Practice “Accounting and Reporting by Charities” (revised 2005), and with FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice) and with the Charities Act 2011.

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

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HEREFORD CIDER MUSEUM TRUST CHARITABLE ORGANISATION (CIO)

Independent Auditor's Report to the trustees of Hereford Cider Museum Trust

Year ended 30 September 2023

Other information

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

Opinions on other matters prescribed by the Charities Act 2011

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity 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 the Charities Act 2011 requires us to report to you if, in our opinion:

9

HEREFORD CIDER MUSEUM TRUST CHARITABLE ORGANISATION (CIO)

Independent Auditor's Report to the trustees of Hereford Cider Museum Trust

Year ended 30 September 2023

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement, the trustees (who are also the directors 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 charity'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 charity or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

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

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

· Conclude on the appropriateness of the trustees' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.

10

HEREFORD CIDER MUSEUM TRUST CHARITABLE ORGANISATION (CIO)

Independent Auditor's Report to the trustees of Hereford Cider Museum Trust

Year ended 30 September 2023

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

This report is made solely to the charity's members. Our audit work has been undertaken so that we might state to the charity's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.

James Harper (Senior Statutory Auditor)

For and on behalf of Harper Sheldon Limited Chartered accountants & statutory auditor Midway House Staverton Technology Park Herrick Way, Staverton Cheltenham, Glos. GL51 6TQ

16 February 2024

11

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT)

FOR THE YEAR ENDED 30 SEPTEMBER 2023

INCOME AND ENDOWMENTS
FROM:
Note
Donations and legacies
4
Charitable activities
5
Investments
6
Total income and endowments
EXPENDITURE ON:
Expenditure on raising funds
Expenditure on charitable activities
7
Total expenditure
Net (expenditure)
Transfers between funds
Other recognised gains/(losses):
Revaluation of freehold property
Gains/(losses) on revaluation of investment
assets
8
9
NET MOVEMENT IN FUNDS
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricte
d funds
£
28,818
133,564
130,569
292,951
(32,472)
(433,511)
(465,983)
(173,032)
59,640
-
18,772
(94,620)
5,290,198
5,195,578		 Restricte
d funds
£
2,600
2,333
-
4,933
(576)
(45,631)
(46,207)
(41,274)
(59,640)
-
-
(100,914)
284,258
183,344		 Total
2023
£
31,418
135,897
130,569
297,884
(33,048)
(479,142)
(512,190)
(214,306)
-
-
18,772
(195,534)
5,574,45
6
5,378,92
2		 Total
2022
£
32,17
9
122,598
136,18
8
290,965
(30,529)
(355,507)
(386,036)
(95,071)
-
150,000
(354,959)
(300,030)
5,874,48
6
5,574,45
6

All income and expenditure derive from continuing activities.

The statement of financial activities includes all gains and losses recognised during the year.

12

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

BALANCE SHEET

FOR THE YEAR ENDED 30 SEPTEMBER 2023

FIXED ASSETS
Note
Tangible fixed assets
8
Investments
9
CURRENT ASSETS
Stocks
Debtors
10
Cash at bank and in hand
Creditors: amounts falling due
within one year
11
Net current assets
Total assets less current liabilities
NET ASSETS
Restricted funds
12
Unrestricted funds
General fund
13
Fair value reserve
TOTAL CHARITY FUNDS		 2023
£
1,518,562
3,353,884
4,872,446
33,086
18,867
484,038
535,991
(29,515)
506,476
5,378,922
5,378,922
183,344
4,340,579
854,999
5,378,922		 2022
£
1,395,539
3,992,493
5,388,032
38,457
14,296
166,849
219,602
(33,178)
186,424
5,574,456
5,574,456
284,258
4,435,199
854,999
5,574,456

Approved by the Board of Trustees on 16 February 2024 and signed on its behalf by:

………………………………………. D Marshall

The notes on pages 12 to 20 form part of these accounts.

13

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

1. ACCOUNTING POLICIES

(a) BASIS OF PREPARATION AND ASSESSMENT OF GOING CONCERN

The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice "Accounting and Reporting by Charities", (revised 2005) and with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and with the Charities Act 2011.

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

The Trustees consider that there are no material uncertainties about the Trust’s ability to continue as a going concern. The most significant area of adjustment and key assumptions that affect items in the accounts are to do with the valuation of stock.

(b) FUNDS STRUCTURE

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donor or Trust deed. There are several restricted funds and the purpose of each is stated in note 12.

Unrestricted income funds comprise those funds which the Trustees are free to use for any purpose in furtherance of the charitable objects. Unrestricted funds include designated funds where the Trustees, at their discretion, have created a fund for a specific purpose.

(c) INCOME RECOGNITION

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.

Donations are recognised when the Trust has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to funds, the income is deferred and not recognised until either those conditions are fully met or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.

Legacy gifts are recognised on a case-by-case basis following the granting of probate when the administrator/executor for the estate has communicated in writing both the amount and settlement date. In the event the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title to the asset having been transferred to the charity.

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 bank. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividend yield of the investment portfolio.

Grants are credited as income in the year in which they are receivable, subject to the following;- Grants received for specific purposes are accounted for as restricted funds. Grants are not recognised as receivable until any conditions for receipt have been complied with. Where donor-imposed restrictions apply to the timing of the related expenditure as a pre-condition for its use the grant is treated as deferred income until those restrictions are met.

Grants receivable in respect of expenditure on tangible fixed assets are treated as deferred income and amortised by equal instalments on the same basis as the depreciation charge applicable to the asset concerned.

14

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

(d) EXPENDITURE RECOGNITION

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings. For more information on this attribution please refer to note (g) below.

(e) IRRECOVERABLE VAT

Irrecoverable VAT is charged against the expenditure heading for which it was incurred.

(f) ALLOCATION OF SUPPORT AND GOVERNANCE COSTS

Support costs have been allocated between governance costs and other support costs. Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to the statutory independent examination and legal fees together with an apportionment of overhead and support costs.

(g) CHARITABLE ACTIVITIES

Costs of charitable activities include grants made, governance costs and an apportionment of support costs as shown in note 7.

(h) TANGIBLE FIXED ASSETS AND DEPRECIATION

Expenditure is treated as a fixed asset addition when it provides an economic benefit to the charity on an on-going basis (i.e. for more than one year) because it helps to generate income or contributes to furthering the charity’s objectives. Assets costing over £5,000 that meet this test are be capitalised at historical cost.

The freehold museum building is valued on a depreciated replacement cost basis on a 5-year rolling cycle. The next professional valuation is due in 2027. Other land is valued on a fair value basis using the market price that would be received to sell a comparable asset in an orderly manner at the measurement date. Professional valuations take place every 5 years and is not depreciated as it has unlimited useful life.

Plant and machinery is stated in the balance sheet at cost less depreciation. Distillery equipment includes certain gifted items stated at replacement valuation at time of acquisition. The following rates of depreciation are charged;-

Freehold property – 2% straight line Plant & machinery, fixtures & fittings, and office equipment – 20% straight line Piano – 2% straight line

(i) FIXED ASSET INVESTMENTS

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

The Trust does not acquire put options, derivatives or other complex financial instruments.

The main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.

15

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

(j) REALISED GAINS AND LOSSES

All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year.

Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

(k) PENSIONS

Employees of the charity are entitled to join a defined contribution 'money purchase' scheme. The charity contribution is restricted to the contributions disclosed in note 7. There were no outstanding contributions at the year end. The costs of the defined contribution scheme are included within staff costs and charged to the unrestricted funds of the charity.

The money purchase plan is managed by NOW Pensions and the plan invests the contributions made by the employee and employer in an investment fund to build up over the term of the plan. The pension fund is then converted into a pension upon the employee's normal retirement age which is defined as when they are eligible for a state pension. The Trust has no liability beyond making its contributions and paying across the deductions for the employee's contributions.

The charity made £2,321 of contributions to the pension plan operated by NOW Pensions on behalf of the employees (2022: £1,591). For more information about the pension contributions refer to note 7.

(l) CONTINGENT LIABILITIES

A contingent liability is identified and disclosed for those grants resulting from:

(m) STOCKS

Stocks are stated in the balance sheet at the lower of cost and net realisable value. Cost includes all expenditure incurred in bringing those stocks to their present location and condition.

(n) INALIENABLE OR HERITAGEC ASSETS

The Museum's collection comprises heritage assets held principally for their contribution to knowledge and culture. Most have been gifted over many years and these are not valued in the financial statements as the Trustees are of the opinion that no practical benefit would be achieved by attempting to place a value on these assets, which are not held for resale. When heritage assets are occasionally purchased from own funds, they are capitalised at cost but not depreciated, although impairment in value, due for example to deterioration of condition, is assessed annually.

(o) OPERATING LEASES

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the statement of financial activities as incurred.

(p) VOLUNTARY HELP AND GIFTS IN KIND

The Trustees gratefully acknowledge the many hours of voluntary help donated to the charity each year. No attempt has been made to quantify or value this assistance in the financial statements.

16

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

2. TRUSTEES’ EXPENSES

The Trustees all give freely their time and expertise without any form of remuneration or other benefit in cash or kind (2021: £nil). Expenses paid to the Trustees in the year totalled £156 (2022: £Nil).

3. AUDITORS REMUNERATION

Auditor/accountants remuneration comprises:
Audit services
Management accounts, other and software charges
Payroll bureau services
4.
DONATIONS AND LEGACIES
NACM - archive of cider pomology
The Herefordshire Community Foundation – Becket Bulmer fund
PCC Holy Trinity Church
Ms Susan Bulmer – donations for management of Becket’s Orchard
HEINEKEN
Sundry donations and gift aid
The Church Street Charitable Trust
5.
CHARITABLE ACTIVITIES
Museum shop, café, room hire and orchard income
Museum admissions
Grants
6.
INCOME FROM INVESTMENTS
Listed investments income
Realised profit on the sale of Cazenove Investments		 2023
£
2,350
3,414
1,050
6,814
£
2,600
15,095
4,000
5,000
3,000
1,723
-
31,418
£
100,914
32,650
2,333
135,897
£
110,810
19,759
130,569		 2022
£
2,880
3,728
1,406
8,014
£
2,507
14,894
2,500
2,500
3,000
2,778
4,000
32,179
£
94,558
27,821
219
122,598
£
94,842
41,346
136,188

17

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

7. EXPENDITURE ON CHARITABLE ACTIVITIES

Governance costs:
Museum director and administrator salaries
Telephone and internet costs
Auditor/accountants remuneration
Legal and professional fees
Depreciation of plant and machinery
Bank charges
Administrative costs:
Premises costs
Motor and travel costs
Printing, stationery and advertising
Exhibits and equipment
Depreciation of freehold property
Sundry expenses
Staff costs:
Wages and salaries
Social security costs
Pension costs		 2023
£
57,113
2,659
6,814
76,150
4,296
1,901
154,220
1,418
12,067
26,850
16,600
4,970
106,198
5,565
2,321
479,142		 2022
£
47,019
1,759
8,014
39,279
3,959
1,781
124,172
740
8,120
37,769
-
3,338
77,565
401
1,591
355,507

The average number of employees, calculated on a full-time equivalent basis, analysed by function, was;

Governance staff
Other staff		 2023
2
12
14		 2022
2
12
14

No employees received total employee benefits (excluding employer pensions costs) of more than £60,000.

18

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

8. TANGIBLE FIXED ASSETS

COST OR VALUATION
Balance at 1 October 2022
Additions
Revaluations
Balance at 30 September 2023
ACCUMULATED DEPRECIATION
Balance at 1 October 2022
Charge for the year
Revaluation adjustments
Balance at 30 September 2023
NET BOOK VALUE
At 30 September 2023
At 30 September 2022		 Freehold
property
£
1,345,000
141,981
-
1,486,981
-
16,600
-
16,600
1,470,381
1,345,000		 Plant and
machinery
£
152,784
1,938
-
154,722
102,245
4,296
-
106,541
48,181
50,539		 Total
£
1,497,784
143,919
-
1,641,703
102,245
20,896
-
123,141
1,518,562
1,395,539

Revaluation

Freehold Property was revalued to fair value on 30 September 2022 by Angus J Jackson MRICS of Jackson Preece Limited (surveyors and commercial agents). The land is valued on a comparable open market value basis and, because of its specialist nature, the building is valued on a depreciated replacement cost basis.

If Freehold Property had not been revalued it would have been included at a historical cost of £495,188 with aggregate depreciation of £216,907 (2022: £353,207 historical cost with aggregate depreciation of £223,971). Freehold property includes land valued at £515,000 which is not depreciated.

9. FIXED ASSET INVESTMENTS

Market value at 1 October 2022
Net gains/(losses) on revaluation at 30 September
2023
Eliminated on disposal
Purchased in year
Market value at 30 September 2023
Historical cost as at 30 September 2023		 2023
£
3,992,493
18,772
(1,710,716)
1,053,335
3,353,884
3,143,878		 2022
£
4,345,663
(354,959)
(766,575)
768,364
3,992,493
3,801,258

19

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

9.
FIXED ASSET INVESTMENTS - continued
UK Equities
International Equities
UK Bonds
International Bonds
Portfolio Funds
COIF Charity Funds
Unlisted Securities - at cost
£25 Hereford Co-operative Housing Ltd
4% loan stock
10.
DEBTORS
Amounts falling due within one year:
Trade debtors
Other debtors
11.
CREDITORS
Amounts falling due within one year:
Trade creditors
Taxation and social security payable
Accruals
Other creditors		 2023
£
48,323
814,371
353,362
209,602
390,786
1,537,415
25
3,353,884
£
-
18,867
18,867
£
18,328
3,005
7,646
536
29,515		 2022
£
253,343
1,021,183
161,859
370,821
667,784
1,517,478
25
3,992,493
£
2,640
11,656
14,296
£
15,114
1,795
15,710
559
33,178

12. RESTRICTED FUNDS

The income funds of the Charity include restricted funds comprising the following unexpended balances of donations and grants held on trusts to be applied for specific purposes:

Balance at 1 October 2022
Received during the year
Transfers (to)/
from general fund
Cash expended
Balance at 30 September 2023		 Archive of
Cider
Pomology
Fund
£
19,421
2,600
-
(20,232)
1,789		 Museum
Development
Fund
£
202,692
-
(59,640)
-
143,052
20		 Collection
Fund
£
1,032
-
-
-
1,032		 John Ellerman
Foundation
Fund
£
40,842
-
-
(24,087)
16,755		 Apples &
People
exhibitions
£
20,271
-
-
(1,888)
18,383

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

12. RESTRICTED FUNDS - continued

Balance at 1 October 2022
Received during the year
Transfers between funds
Cash expended
Balance at 30 September 2023		 West
Midlands
Museum
Development
Fund
£
-
2,333
-
-
___
2,333		 Total
£
284,258
4,933
(59,640)
(46,207)
183,344

The Archive of Cider Pomology Fund was established to record the history of pomology of cider, its manufacture, and associated crafts.

The Museum Development Fund was established to be used towards the development of the Museum premises and exhibits. During the year, the value of capital work that improves or extends the visitor offering of the Museum has been charged to this restricted fund by transfer to unrestricted funds.

The Collection Fund was established for the restoration of the Museum collection exhibits.

The John Ellerman Foundation provided funding over three years to support work to transform the Museum, including increased curatorial capacity and partnership delivery of THE APPLE WORLD exhibition programme. Costs charged during the year relate to curation, research, and completion of the Conservation Management Plan.

The Apples & People partnership exhibition programme continued online during the year together with an exhibition called An Apple Gathering at the National Trust’s Croft Castle. A complementary exhibition called A Variety of Cultures will be at the Museum from October 2023 and run through Spring 2024. The grant funding was received from the East Malling Trust, the Worshipful Company of Fruiterers, the John Ellerman Foundation, Howard Bulmer Charitable Trust, Art Fund with Weston Loan Programme, Hereford City Council, Herefordshire Council, HEINEKEN, Becket Bulmer Fund administered by Herefordshire Community Foundation, Ms Susan Bulmer, the Friends of Herefordshire Museums and Arts and a private donor.

Funds have been received from the West Midlands Museum Development programme to help make the museum and its website more accessible. This was provided through the WMMD Small Grant Scheme on behalf of Arts Council England and Art Fund.

These funds are held in the bank account of the Trust and in investments held by Cazenove.

13. GENERAL FUND

At 1 October 2022
Incoming resources
Outgoing resources
Gains on investment assets
Transfer from Museum Development Fund
At 30 September 2023		 £
4,435,199
292,951
(465,983)
18,772
59,640
4,340,579

14. CAPITAL COMMITMENTS

There were no capital commitments contracted for but not provided in the accounts at the year end.

21

HEREFORD CIDER MUSEUM TRUST CHARITABLE INCORPORATED ORGANISATION (CIO)

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 30 SEPTEMBER 2023

15. ANALYSIS OF GROUP NET ASSETS BETWEEN FUNDS

Fund balances at 30 September 2023 are represented by:
Tangible fixed assets
Investments
Current assets
Current liabilities
Total net assets
Unrealised (gains) included above on tangible fixed assets
Unrealised (gains) included above on investment assets
Total unrealised (gains) at 30 September 2023
Reconciliation of movement in unrealised (gains) and losses on
freehold property and investment assets:
Unrealised (gains) at 1 October 2022
Net (gains) arising on revaluation of investment assets in the year
Unrealised (gains) at 30 September 2023		 Unrestricted
funds
£
1,518,562
3,210,832
495,699
(29,515)
5,195,578
(854,999)
(185,129)
(1,040,128)
(1,021,356)
(18,772)
(1,040,128)		 Restricted
funds
£
-
143,052
40,292
-
183,344		 Total
£
1,518,562
3,353,884
535,991
(29,515)
5,378,922

16. RELATED PARTY TRANSACTIONS

D Bailey (a Trustee) is also a trustee of the Brightspace Foundation and General Manager at the National Trust in Herefordshire which are partners with the Museum in THE APPLE WORLD exhibition programme, and D Marshall (a Trustee) is also a director of Damage Limited, an Associate consultant with the Brightspace Foundation,

Because the exhibition programme is being managed in partnership, some transactions relating to the exhibition pass between the Museum, the Brightspace Foundation, and the National Trust. Potential conflicts of interest have been declared and are avoided by an independent Trustee representing the Museum on THE APPLE WORLD partnership programme board.

17. POST BALANCE SHEET EVENT

In November 2023, a legacy of £2 million was received from the Executors of the late Gillian Bulmer. This is a part of her estate left to the Museum in her Will. Gillian Bulmer was a trustee of the Museum until her death in 2021.

.

22