Reglstered number: 15893713 Charity number: 1211473 NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Limited by Guarantee) TRUSTEES, REPORT AND FINANCtAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS IA Company Llmlted by Guarantee) CONTENTS Page Reference and Admlnlstratlvo Dètslls of the Federation, its Trusto9$ and Advi$grs Trustees, Report Ind8pendent Auditorfs Report on the Flnanclal Stat&m•nt8 ststomgnt of Flnancial Actlvltlos 2-12 13-16 17 Balanc• Sheet 18-19 Statement of Cash Flows 20 Notss to tho Financial Statgments 21-44
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS IA Company Llmlted by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE FEDERATION. ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER2025 Tru8tèo8 Drew Bailey (resigned 23 Febntary 20251 Natalie McGinn Marcus Bailey Polly Baines Charlotte Curtl8 (resigned 17 January 20261 Francesca Fowler-walsh James Nixey Thomas Oatey Jossica Rosg Kathryn Hargreaves Alex Mcmenemy lappoinled 23 February 20251 Harry Mitchell (appointed 23 February 20251 Company r9glstgred numbor 15893713 Charity registered number 1211473 isterod offic• YFC Cenlre. Unil 17819 10th Slroel Sloneleigh Park KeniOrth CV8 2LG Company secretary James Eckley Indgpgndent audltor Crowe U.K. LLP Blad( Country House Rounds Green Road Oldbury Wesl Midlands B69 2DG Page 1
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS (A Company Llmlted by Guaranto•) TRUSTEES, REPORT FOR THE YEAR ENDED 31 DECEMBER 2026 Introduction The National Federation of Young Farmers, Clubs INFYFCI is a ch8rit8ble company registsred under Company Number 15893713 and Charty Number 1211473. Charltablo objects The NFYFC'S objects I'objects'l, as recorded in the governing documènts are specifically restricted to the following.. To advance the education of the memb8rs and their knowledge of agriculture, crafts, lrfe skills. rnral affairs and country life., In the interests of the Social weare of the rnembers to promote and support the provision of facilities for recreation, training and other leisure time occupations, being facilities which will improve their conditions of life and will assist in the development of their spiritual and mental ¢apacf(ies, self-reliance and individual rosponsibility so that they may grow to full maturity as individuals and members of the commLtnity', And as means of achieving the above objects lo promote the formation and affiliation of Young Famers. Clubs throughout Engfand and Wales and training of the members to play their full part in the life of thg charity's movement. The charitable aims are delivered through a netwotrt of 47 Young Farmers, Clubs IYFCI County Federations and some 5e5 Young Farmers, Clubs across Engiand and Wales. 22,10 children and young pewe aged 10 to 28 are members of a local YFC. YFCS are affiliated lo and overseen by the YFC County Federdlions, and they assist wth ihe admin18tration, disseminate advice and best practice as well providing support as n8cgssary. YFC8 are also affiliated to the NFYFC. Purpose & publ1¢ benoflt NFYFC fjxisls lo support young people living and wkIng in rural oommunilies by provKling opportunities for personal development skills growth, leadership, and wmmunity participation. The organisalion's activities improve wellbeing, strengthen rural resilience, and ensuw that young people have a voiGe in shaping the future of the rural community and nJral eeonomy. These aims directly support NFYFC'S charitable objectivos and dgliver dear public benefit. ValueB During thg reporting period the NFYFC values have been reviewed. Thgy are: Respect and Integrity- doing the right thing Treat others wf(h kindness, empathy, and honesty Take responsibility lo act fairly. ethically and build trust Foster inclusive friendships so everyone feels welcome and valued Show courage as ambassadors of our positive ¢ullure. Collaboration arKI Leaming- worf(ing together to achieve Encourage teamwork, cooperation and ath.ve wmmunication Listen lo others and value diverse pgrspeclives and dtfferences lo enrich our learning experbbnce Create a fun, safe and supportive environment where everyone can learn together Empower ourselves and others to connect, learn, share and grow. Paga 2
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS {A Company Limlted by Guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2025 Ambition and Inspiration- th8 best we can be to make a differen Take pride in high standards and be role models lo inspire others strive to overcome barriers and open new opportunities with resilience and adaplalility Take ¢)wnership of our impact on ourselves, our community and our environment confident amplrfy the voices of rural youth and the cL)mmunities in which they live. Stru¢turey governanc• and manag8ment The National Federation of Young Farmers, Clubs (NFYFCI is a company, In)rporated in England and Wales on 13 August 2024 registered under Company Number 15893713 and registered as a chartty on 18 December 2024 under Charity Numbar 1211473. From 7 June 1940 until 13 August 2024, the NFYFC was a Friendty Society with Special Authority (registration number 52SAI reporting to and regulated by tho Financial Conduct Authority IFCAI Mutuals Règister. converted to 8 Company on 13 August 2024. Trustees gNe their lime voluntsrily and receNed no benefits from the NFYFC. They may claim out of pockgl expenses against recoipt or travel. OfFicers and Diredors insurance is in place in respect of the Directorsrrruslee8. RecNltsnent and appolntment of Tru8tee8 Responsibility for reGruilment of Trustees is held by the Board, and The TnJsle8s are 8ppointed by the NFYFC Council, in acrdanCe wlh the bye laws of the charity and following the NFYFC safe recruitment proces5. New Board members were appoinlgd in 2025 to meet organisational needs and NFYFC'S rules and byelaws. When there are Trusleos vacancies, these are advertised and applications are invited. Trustees review the appli110n$ and make recommendations to the NFYFC Council for the appointmentlsl to be mad8. Induction and training of Truste88 The Board of DirectoruStees holds responsibility for induction and trainlng of Trust*s, and thi8 is achieved via brieling8 ¢Jn obligations under charity and company law, the articles of association and governing document3. The briefing extends lo the strategic goals, the decisionnang processes and financial reporting. Tho Boatrl i8 responsible for monitoring the composition of the Board lo ensurè that it meets the requirement of NFYFC'S goveming rules including succession planning and monitoring an appropriate balance of expertise, skills, attribul&s and ability among the Board members. De¢181on maklnglgovernanco The Trustees make decisions in accordance with the articles of aSsociatn of the company and the bye laws of the charity in compliance wth the Trustee duties as sel out by the Charities Commission and Companies Housg. Decisions are made collecbvely, and record8 of decisions are maintained. The Board.. The key purwse of the Board is lo manage the NFYFC resources and ensure the8e are used to further the charitable objectives of the NFYFC whilst managing finance, risk and the organisalional reputation of the NFYFC. Page 3
NATIONAL FEDERATION OF YOUNG FARMERS. CLU8S IA Company Llmlt&d by Guaranteol TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2025 The Board reviews which matters are reserved to Ihg Boar(l and which matters can bg delegated. It uses delegation through agreed schemes of delegation which set the detail and limits of authorities in place. The schemes of delegation are used to delegate to a subcommittees or to senior management personnel. The Board reviews the NFYFC'S key poliaes and procedures lo ensure these support the delivery of the NFYFC'S aims and address organisats'on risk and reputation management. The Board ensures that work plans and budgets use funds lo lurther the objectives of the NFYFC and make best use of available resource8. Arranggmonts for sDttlng pay and remuneratlon of kay management personnel Responsibilty for remunerdlion of all staff, including key managemont personnel, is hekl by the Appointments, Staffing & Remuneration subcommritee through tems of reference and a scheme of delegation, approved by the Board of DirectorsruStees. The subcommillee is responsible for examining staffing needs and rgcommending a staff structure. It may advise on revising personnel policies and establishing a salary policy. Organisational ¢hang88 There have not been any org8nisational ch8nge$ during this reporting period. Flnanclal rovlgw The trading deficit for year i81£165,9221, achieved through income of £921,239 against trading expenditure of £1,087,161. This defrt is funded through a budgeted draw down of reserye funds. Net gains on NFYFC investments were £248.515, bringing a total n81 movement in funds to {£82.593). Total funds carried forward al th8 end of the year are £2,840.651. These comprise of r9Stricted funds in the valuo of £1.176,571 Inole 191, and unrestricted funds of £1,664.080. The organisalion's medium term finanrAal plans incorporate the financial impact of the Covid 19 lod(thwns experienced durFng 2a20, 2021 and into 2022, and the delayed financial effect of the subsgquent increases lo the NFYFC member subscription. The NFYFC member subscription continues to represent a Mlal source of inc(xne for Ihe organisalion. The WKler nationd economic environment continues to present signrficant challenges. Increasing operational costs for commercial sponsors and supporters have placèd subslanlial pressure on their budgets, resulting in 9ater drficulty in 8ecurtng external funding. This situation has cr8aled a more constrained and competitive landscape for generating sponsorship and partnership income. The increase in employer National Insurance contributions, effective from April 2025, placed additional pressuro on the organisalion's cost base and increased costs lo many of the services essential to the NFYFC. More use and relianc8 on digital services pul further pressure on costs lo the NFYFC. The Yider geoptslitlcal environment continues to generate 5ignfficant un¢grtainty, contributing lo volatile market conditions. A8 a result. the value and income generated from NFYFC'S investment portfolio are difficult to forecast. Digital transformation of the organisation is a priority and dèdieald staff resource (Field offerS) lo assist county federations with organisational change, most particularty as the lumover of county employed staff is now higher than ever before. The NFYFC has continued and strengthened the county stsff induction tyogramme lo assist YFC county federations and help8d YFC o)unty federations during staffing gaps tQ Provide continuity and consistency a5 nSSary. Page 4
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Limitod by Guarantee} TRUSTEES. REPORT {CONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2025 Sooety and local communities continue to evolve, and NFYFC is adapting lo these Changing expectations. This includes maintaining safeguarding and wellbèing proceduies as a priority, supporting YFC lo welu)m& everyone whatever their background, and responding approprialety lo th$ presence and pressures of Sla1 media in the lives ol everyone. Resenos policy The Board C4)nducts an annual review of the reservès policy lo ensure financial stsbilily. The policy is designed to balancp ongoing expenditure with the need for ntIngenCY planning against potential income reductions. Given NFYFC'S annual membership model and past financial impadsldeasions influenced by events such as the COV119 pandemic. the Board has determined that a reservo equivalent to one yearfs operatin9 expenditure Is necessary. At the end of 2025, NFYFC's general free reserves stood al £1.31 million equating to one y&arfs yraling expendilure12028 budgell and ensuring resilience against unforeseen circumstances. Of this amount £81.481 is designated funds. Free resetves amount lo 53% of funds held in reserve. Restricted funds stood at £1.17 million (note 21} represonting 47% of funds hekl in re88Ne. The Trustees Ly)nclude that it is appropriate to treat the NFYFC as a going concern. Investmont poli¢y NFYFC has invested funds in fixed-interest government stocks. corporate tKJnds, and equities. The Board Is S8tisfied with the returns generated from these investrments. Rlsk rèview The Board rnaintains a risk register to assess and mitigate threats. Key area8 of idenlffied risk captured in the risk register, with miligalions against them, include.. Safeguarding risks, induding historical disclosure risk Compliance wth stalulory regulations {Heallh and Safety, Safeguarding, EmployTnenl, elal Exlemal risk (media and PR, fvndgfs and grant holdars, local and UK political land5capelchanges, reputslion risk by assoualionl Financial risk to maintain financial stability - through Intemal controts for authorlslng tTrnsaclions and maintalrbing consistenGy, adequate reserves, diversified and suitsble investments and fundrai&ng pL8ns. and checks to ensure the proper use of charity fLnds and remaining alert to financial fraud risks Conflicts of interests, working to goveming documents, Trustees equipped with necessary knowledge. staff with necessary experience and knowledge. IT and cyber risks- worf( continues and is on-going and will be a cost lo the NFYFC that wntinues. Membership & servIS provided to membership NFYFC recorded 22,090 full members aged 10 to 28 in 2025. Membership is approximately 50% under the age of 18 {childrgnl and 500k young adults. This wid& age range is supported by the NFYFC programmes of work to ensure YFC is member focused - across the age range of 10 10 28 yeaTS. The support is directed lo assist the charty trustees of local YFC clubs to manage their trustee responsibilities and to provide YFC club programming opportunit8 and as8istsnc8 lo meet the charitable obiectivas of these charities. Page 5
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS {A Company Llmited by Guarantefr) TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 DECEMBER2025 NFYFC seNes as the umbrella organisation for Young Farmers, Clubs IYFCS) and county federations to support YFC dubs and county federations wlth-. Governan, leadership and compliancè Assisting set governance standartls for county federations and dubs Providing poliaes, procedure$ and guidante le.g., safeguarding, health and safety, equality, dats protection) Supporting counties with Compliance, risk management and constitutional matters Providing training plans and content club officer training to strengthen dub managemenL Safeguarding & welfare Developlng and maintaining national safeguarding policies Providing training. advice and case handling support lo county federations Offering guidance on collaborating with members with additional needs Ensuring safejuarding standards across the organisalion. Training, ieaming & development Designing and delivering accredited and non-accr8dited training programmes Supporting leadership development for young Peop and volunteers Provpaing resources for skills development. personal development 8nd employability. NFYFC events, competitions & programmes Coordinating the NFYFC competitions programme Delivering national events. summit and conferences Providing intemational travel opportunities for YFC mernbers ProvKling templatss and resour¢es for county and club level delivery. Representation & adv0CY Acting as the national voK8 for young people in rural communf(las agriculture and youth policy Engaging with govemment. rural organisations and stakeholders o Influencing on issues affecting young people and the rural economy. advocating for Iheir interests in Membership support Providing a national membership system Idigilal provlsionl Brokering insurance cover for levèls of thg YFC OffeTing guidance and 5UPPOrt lo county federation6 leaders and staff Providing ac£ess lo piolessional services and support. for example Employment Helpline I Consultancy, GDPRIDPO. Communication8 & digital Providing national communicetion8. branding and promotional materials Managing national social media, website and digital plarfom)s suppOn9 counties with communication messaging. Partnership5, fundraising & sponsorship NFYFC'S activities are signrficanuy funded through membership fees, fundraising efforts and strategic partnerships, which help expand pr¢yJramme content and reach of the charity et)j8¢1s Securing sponsorships and partnerships to further the work and reath of the organ¢sation Managing relationships with corporate supporters and funders. Pagg 6
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS (A Company Llmlt•d by Guarantee) TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2026 Operatlonal & adminlstratlv& Providing operational and administrative guidance lo counls Providing an induction programme for county employed staff ProvKling guides. handbook, templates. toolkits and associated resources Supportlng counties through change, challonges and with adminislr8tlV8 management that are compliant and contemporary. Actlvltigs During the roporb.ng period, NFYFC delivered a WKle range of national programmes and services, including.. A structured national competitions programme promoting skills, teamwork and confidenee Trainlng and development opportunlties for members, volunteers and county officers Safeguarding guidance, case support and policy development for county federations Advocacy and reprntatiOn on issues affecting rural young people. Those activit1 wore dellv•rod in partnernhlp wlth YFC clubs, county federatSons, volunto•ws. sponsors and Sector oryanl8atlons. The keyactmbes AgrlculturB & rural YFC members, staff and visitors are encouraged to use the Agficultural Knowledge Hub, a proiect supported by Defra and shared with industry which offers access to a diverse range of resources from the NFYFC website. This includes an explanation of how the YFC AGRI work represents the rural, next generatson voice. consultation respcll8es, research projects, podcasts, training and many club programming ideas as well as support and information. The addition of new land and business Opportunity services proves the power of collaboration as previous NFYFC feasibility studies and experience were shared to help develop the new schemes. Th& ongoing collaboratNe relationships wlth industy and Defra enable YFG members to have opportunities such as attending the Oxford Faming Conference, funded BASIS Principles of Sustainable Farming online ourses and innovative, ambassadorial training as well as hearing from industry experts. Peor netwgrks are created and feedbgck shared within YFC AGRI'S project pothasts for young peoplè studyin9 or vrking in land- based sectors. A d8dicated and vory sucssful next generation programme of sominars took Pla al Cer&als 2025 and YFC AGRI continues lo work with the Cereals organisers for the 2026 event in GIoUsterslre which will now offer a tsY041ay programme of seminars within the YFC area. After much dk8cussion with YFC members. the D8fra Future Land Use consultation response was submitted and a Submission capturing many Suggestions for Baroness Batter8, Famiing Profitabil Review. A dedicated YFC Uplands discussion was hekl with Defra in Cumbria and a follow-up call allowed much input from a next generakn'on perspective to be shared. There was YFC reprèsentation gt the Defra Futures &>creation workshop and subsequent leedbad( meeb'ng. England's 25-year Faming Roadmap meetings wth Defra were encouraged in 2025 and Buckinghamshira FYFC ware guided to hokl a very successful county event wth Delra in September. The Defra roadmap workshop events continue, and an interactive presentation and workshop was h&ld with Oxfordshire FYFC members and Defra at the beginning of January 2028. The Defra regional wothshop invitations were also extended lo YFC members and a national Defra roadmap workshop held on 22 J8nuary had NFYFC rgpresentalion. Page 7
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS IA Company Limited by Guarant86) TRUSTEES, REPORT ICONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2025 Current Defra Grant projects, progress is as follows.. Launth of Business Innovation Challenge during National Young Farmers. Week Mentoring and Coaching offer from Twocan Mentoring was introduced al the NFYFC Oetobef One Team confence and funded places will be available for len YFC members. The New Voices 2 training event took place in November al the National Conference Cenlrg. Birmingharn and a podcast of the event is scheduled for release late January l Fèbruary. This enabtes those who were Unale to attend to hear training techniques and advice. Two fami and campu5 visits were held in Novernber 2025 01 FAI Fams Oxford. An overview of project work underiaken at FAI FaThs, home of the Adapltve Mulli Pacldock IAMPI grazing projo¢t and sponsored by McDonald's and the Warwick University Crop Centre, ShOn9 YFC members ongolng reSeah on outdoor and protected crop3, particulady field vegetables. YFC members are conllnually represented at relevant industy and Defra meetings. These Include the Fami Tenancy Forum, TIAH'S Industry Careers Group, the RPA Welfare Forum, Defra Farming and Countyside Programme Forum, Farming Advice Service Stakeholder group, Countyside Classr¢)om, LEAF gnd LEAF Education, NFU Farming Organisations, Roundtable lo name just a few. Where and when possible, YFC represenlalives are given the opportunity to attend, and feedback and opinions are gathered from the extensive YFC AGRI group and shgred. The ongoing geopolitical instability and the impacts of climate change continue to comptrund the challenges facing the UK'S family faming businesses, small and medium sEed enterprises, and charities. These pressures are intensrfied by uncertainty on govemment policy and support for many faming, rur81 and community-based organisalions. The implications extend beyond economic pressures, and unity and informed, impartial support is essential. NFYFC continues to demonsttalè a strong commitment io supporting its members and v4ider communities, promoting ideas. resilience and awareness, and providing encouragement wherever possible. Compgtitions & trav NFYFC competitions remain very popular, providing valuable leaming experiences. The NFYFC devises a programme comprising of 34 competitions," designed to form a YFC dub activity focused on leaming, teamwork. gaining new experiences and seW4evelopmènL The outcome8 of the competitions include inGreased confidence, aquiring new skills and experiences together with leamlng of the power of teamwork and importantly, establishes social connections. that are essential lo young pecple and Iheir wellbging. YFC Members participated In travel programmes to destinations induding.. Hungary Iceland Latvia New Zealand Slovenia South Afrle Sri Lanka Herefordshire (Youth Adventure}. Communlty engagoment YFC clubs aclivety engage in communlty seNice, such as organising events around n8tKJnal celebrations and raising funds for rural charities. Page 8
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS IA Company Llmitgd by Guaranto01 TRUSTEES, REPORT {CONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2025 Dlgltsl transforniation NFYFC has priorilsed digital working, including.. Continued development of ils Webte for access to infomialion. guidance and resources on demand. Streamlined membership administration via the SILO system. During 2025 a digitsl process was pilotad IfoT 2026 launch) lo adminlster YFC aclivitles, principally YFC competitions Communication via digitsl new8leller8, online meetings, surveys, and social media platloms. Communicating cyber risks and management practiceshools to minimi5e this. Training & leaming NFYFC has accessible training through an on4emand e-lgaming platform, providing safeguarding awarenes8 training for charity Iruslees those charity trustees in every YFC club and county federation. Key training initiatives in 2025 included.. Online safeguarding awargness training for all club offiua18 and those in posllion8 of trus DesKJnaled ISpoke safeguardlng officer training for the Designatsd Safeguarding Leads in county federations Designated safeguarding officer refresher training for the De$ign8led Safeguarding Leads in Gounty federations County staff indlsclion (new staff employed by YFC county federations). 3 cohorts participated in the Induction programme Regular county staff workshops Ad hoc training for County stsff and those in leadership roles Conference for county leaders and county staff Mental heatth first aid- for all NFYFC staff Volunteers Volunteer5 remain essgntral to YFC operations, with 10%+ of members seNing as chaTity Trustees and another 10%+ involved in event planning. Thousands more provide local club support, ensuring YFC remains a vibrant and inclusive organi8ation. NFYFC 1$ Indebted to and gxpresse8 its gratitude to all members, volunteers, and partnerslsupporter8 0 contribute to the ongoing work of the NFYFC. These people are the mainylay of YFC activities and programming. Outputs achieved NFYFC'S wotk resufieAJ in a range of mgasuTable outputs. including.. Delivery of national competitions and events attended by YFC members from across Englantl and Wales Training sessions supporting leadership. safeguarding, officer development and personal ski118 Publication of updated safeguarding and governance rgsources Engagement with govemmenl and industy bodies on rural is5ugs and youth issues Support to counties in meeb.ng compliance and operational requirements These outputs demonstrate the breadth of NFYFC'S national role as an umbrella body. Page 9
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS IA Company Limitèd by Guaranto&) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2025 Outcomes for members & eommunilie8 Feedback from members. volunteers and county federations indicates that NFYFC'S acllvmies contributed to-. Increased confidenee, communication and leadership skills among young people Improved safeguarding practice and safer environments for children and vulnerable members Greater inclusion and support for individuals with additional needs Enhanced wellbeing and reduced isolation through social and communlty actrvities Stronger governanee and operational resilience within county federations Increased awareness of fUTal issues and the role of young people in agriculture and community life These outc(*nes reflect NFYFC'S contribution to the personal dovelopment and wellbeing of young Feople In rural areas. Impact Young Famers Clubs continue to play a significant role in supporting the personal development, wellbeing and future prospects of young wopl8 living in rural communities, through a combination of youlh-led activity. volunteering, training and social engagement Opportunrties that are often limited or inaGGessibie lo young people in rural areas. NFYFC'S work to support county federations and YFCS continues lo have a meaningful impact on rural young people and their communities. In particular, the organisalion.. Provides a national framework that enables thousands of young people lo accfyss safe, structured and developmental opportunities through local Young Farmers Clubs. Strengthens the capaaty of county federations to deliver high-quality youth w¢J1( by provhding guidance, training, govemancfy support and national coordination. Contributes to the resilience of rural Gommunilies through volunteering, community projects, charitable activity and sustained Ial engagemt. Amplffies the voice of young people in national discLJssions on faTming, 'food security, land use, environmental policy and rural livelihoods, ensuring rural youth persptiveS are represented at a strategic lgvel. Evidence from the 2024 Membership Experien Survey demonstrates that participation In YFCS delfvers positive oulcgmes across a wide range of areas. Members report increased confidence, improved practical and transferable skills, stronger soelal connections and a greater sense of belonging within their local communities. These outcomes are particulady important given the geographic isolation, transport challenges and limited aCsS to seNices experienced by many rural young people. To strengthen understanding of this impact, NFYFC undertook a Social Retum on Investrnent ISROII analysis during the reporting period. The analysis was informod by 2,836 responses to the 2024 Membership Experience Survey Irepresenling approximalety 12% of membership) and independentw calculated using the Social Value Engine, an online tool accredited by Social Value International. The SROI analy518 found that for every £1 invested in NFYFC activity, £4.51 of swal value is crealgd, demonstrating a strong relum on inveslmanl and the effectsveness of YFCS in delivering meaningful oulcom8S for young people and rural communities. Page 10
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Llmltod by Guaranteo) TRUSTEES, REPORT (CONTINUED} FOR THE YEARENDED 31 DECEMBER 2025 Across the rewrting period, NFYFC activity generated an estlmated £10.0 million in total social value, based organisalional expenditure and a further £0.96 million contribution Ihrough volunteer time and leadership. Thi8 highlights the vital role of volunteer8 in extending the reach and impact of YFC actwity- The soaal value generated was primarily drivèn by.. Improved mental health and emotional wellbeing, accounting for approximal8ty 25% of total social value, linked to increased confidence, selfsteeM and rèsllienee. Personal development and sknlls, representing around 35% of total value, including teamwoth, communication. leadership and practical capability. Employment and economic outcomes, contributing approximatety 18% of totsl valua, reflecting the development of work-ready skills and pathways into rural employment. Social connection and community engagomenl, accounting foT around 9% of totsl value. through participatlon in clut>s, committees and community projects. Theso findings a supported by survey evidenc8, wrfch 77'kn of members reporbng improved career prospects, 85% developing new practical skills. 91% reporting increased confidence working as part of a team, and 94% ststing that participation in YFC aclivf(ies contributes positivety to their mental health and emotional wellbeing. The SROI analysis also demonstrated strong alignment with the United Nations Sustainable Development Goa15, particularly Good Health and Wellboing (approximately 88% of total Social valuel and Decgnt Worf< and Economic Growth (approximate 32%). This independènt SROI anatysis strengthens NFYFC'S sustainability by providing dear, credible evidence of impact that meets the expectations of society and of funders. Trustees can be confident this wotli provides robust evidence base lo support strategic deasion-making. Evldence & improvement NFYFC gathets evidence through.. Member and volunteer feedback and surveys County federation consultations Safeguarding and governance casework Event evaluabons and training assessments Engaggment Mth external partners and stakeholders This &vidence informy continuous improvement and ensures that NFYFC'S programmes remain rel8van(8ale and effectiVO. Futtjre plans NFYFC has idenlrfied 8ev8ral prlorlties for the coming year.. strengthening impact measurement and dats collection across national and county activities Continuing to enhance safeguarding practice and Inclusion Providing training and development opporlunits85 for membgrs and volunteers Supporting countle8 lo adapt to changing expectations in governance, compliance and working wth and for childron and young people An ambition to increase advocacy on topics affecting rural young pople These are reflected NFYFC'S strategic plan and ils ambrtion lo deliver public benefft and improving the experiences of young people in rural England and Wales. Page11
NATIONAL FEDE14ATION OF YOUNG FARMERS. CLUBS IA Company Llmltod by Guaranteg) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 DECEM8ER 2025 statemgnt of TN$tges' rosponsibilitios The Trustees are responsible for preparing the Trustees, report and the financlal ststemenl8 in accordance with applicabl6 law and United Kingdom Accounting Standards IUnf(ed Kingdom General Accepled Accounting Practice). The law applicable to charities in England & Wales requires the Trustees to prepare finanryal stalernonls for each financial which gNe a true and fair view of the state of affairs of the Charity and of ils incoming resources and application ol resources, induding ils income and expenditure, for Ih8t period, In preparin9 these financial slatemenls, the Trustees are required lo.. Select suitable accounting poliaes and then apply them ¢on81gtenly' Observe the methIS and principles of the Charilios SORP IFRS 1021., Mak?judgmenls and accounting estimates that 8re reasonable and prudent.. stste whether applicAble UK Accounting Standards IFRS 1021 have been foll¢)wed, subject to any material departures disclosed and explained in the financial ststements.. Prepare the financial slalements on the going concem basis unless it is inappropriate to presume that the Charity will continue in business. Thg Ttwstses are responsible for keeping adequate accounting records that are sufficient to show and explBin the Charity's transacts.ons and disek)se with reasonable accuracy at any lime the financial position of the Charity and enable them to ensure that the finanrAal statement8 comply with the ChaTilies Act 2011, the Charity {Accounts and Reports} Regulations 2008 and the provision5 of the Trust deed. They are also responsible for safeguarding the assets of the Charity and hen for taking reasonable step5 for the prevention and detection of fraud and other irregularities. Dl$clo$uro of infomiatlon to audltor Each of the persons who are Trustees al the time when Ihls Tru8tees' report is approved has confirmed that. so far as that Trustee is aware, there is no relevant audit inforrnalion of which the charity's auditor is unaware, and that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charty's auditor is aware of that information. Audlt¢r The auditor, Crowe U.K. LLP, has indicatod their willingne5S to wntinue in office. The designated Tru$to95 will propose a mots'on r¢appointing the auditor at a meeting of the Trusteg$. Approved b order of the members of the Board of Trustees and signed on their behalf by.. Nat Trustee D*e.' 1013126 Page 12
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Limitad by Guaranteg) INDEPENDENT AUDrroR'S REPORT TO THE BOARD OF MANAGEMENT OF NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS Opinion We have audited the financial 8t8temenls of National Federation of Young Famiers, Clubs {Ihe'Federation') for the year ended 31 December 2025 which comprise thè Slalement of Financial Activities, the Balance Shee( th8 Statement of Cash Flows and the related notes, including a summary of signrficant accounting policies. The rinancial rewrting framewort that has begn applied in Ihoir preparation is applicable law and Unit8d Trfjngdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporbng Standard applicabl& in the UK and Republic of Ireland. (United 'ngdoM Generalty Accepted Accounting Practice). In our oynion the financial statemerbts.. give a truo and fair view of the stale of the charitable company's affairs as at 31 Docember 2025 and of ils incoming resources and 8pp5icalion of resources, induding its income and e%nditUre tor the year then ended., have been property prepared in accordanee wlh United lQngdom Generally Accepted Accounting Practicg., and have been prepared in accordance with the requirements of the Companies Act 2006. Ba$ls for opinion We conducted our audit in accordance with Intemalional SlandaTds on Auditing (UK} IISAS IUKI) and applicable law. Our responsibiltties under those standards are further described in the Auditorf8 responsibilities for the audit of the financial statements sects'on of our report. We are independent of the charitable company in accordance with the ethi¢al requirements that are relevant tD our audit of the financial statem&nts in the United Kingdom, including the Financial Roporting Council's Ethical Standard, and we have fulfilled our other ethal responsibilities in accordance with these requirements. We b8liev$ that the audit evidence we have obtsined is sufficient and appropriate to provide a basis for our opinion. Concluslons rolatlng to golng conc8rn In auditing the financial Statements. hav8 concluded that the TNstses' u$? of the going concern basts of accounting in tho preparation of the financial ststements 15 8ppropri8te. Based ¢)n the work we have performed, we have not identified any material uncertaintie8 relating lo events or conditions that, individually or collectively. may cast significant doubl on the charitablè company's abllity lo continue as a going n¢ern for a perlod of al least twelve months from when the financial stalemonls are authorised for issue. OUT responsibilitie5 and the responsibilities of the Trustees vjilh respect lo going concem are described In the relevant sections of this report. Page 13
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS IA Company Limited by Guarantee) INDEPENDENT AUDrroR'S REPORT TO THE BOARD OF MANAGEMENT OF NATIONAL FEDERATION OF YOUNG FARPJIERS. CLUBS (CONTINUED} Other Inforniatlon The other infomiation comprises the infomalion included in the Annual Report other than the finanrial statements and our Audilorfs Report thereon. The Trustees are responsible for the other infomialion contained wilhln the Annual Report. Our opinion on the financial slalemenls does not cover the other infom)ation and. except to the extent otherwise explicitly staled in our Teport, wè do not expr6ss any fomi of assurance conclusion thereon. Our responsibility is to read tho other information and, in doing so, consider whether the other infomialion 1$ materially inconsistent with thè financial statem¢nts or our knowledge obtained in the course ol the audit, or otherwise appears lo be materially misstated. If we identsty such material inconsistencies or apparent material misstatements, we are required lo delemiine whether this gives ris8 to a mateTial misslalemenl in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, are required lo report that fact. We have nothing lo report in this regard. Opinion on other matters proscrid by th• Companles Act 2006 In our opinion, based on the work undertak8n in the course of the audit.. the infomiation given in th& Trustees. Report for the financial year for which the finan¢ial statements a prepared is consislenl with the financial slalemenls. the Trustees. Report has been prepafed in accordance wth applicable legal requirements. Matt•rs on whi¢h wo are roquired to report by •xcoptlon In the light ol our knedge and understanding of the charitsble company and its environment obtsined in the course of the audit, have not idents'fied malerial misstatements in the TNslees' Report. We have nothing lo report in respect of the following matters in relation to which Companies Ad 20C6 requires us to report to you rf, in our opinion.. adequate accounting record5 have not been kept, or relums a(kquale for our audit have not been leived from branches not visited by us,. or the financial stslements are not in agreement with the accounting records and rebJms-, or certain disclosures of Trustees, remuneration Specified by law are not mada., or we have not received all the inforniation and explanations we require for our audit.. or the Trustees werè not entitled to prepare th8 financial statements in accordance with the small companies regime and lake advantage of the small companio$' exemptions in preparing the Twste&s' Report and from the requirement to prepare a Strategic ReporL Page 14
NATIONAL FEDEIiATION OF YOUNG FARMERS. CLUBS (A Company Llmlted by Guarnntsg) INDEPENDENT AUDITOR'S REPORT TO THE BOARD OF MANAGEMENT OF NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS {CONTINUEDI Rosponslbllltlès of Trn8to•s As explained more fully in the Trustees, Responsibilities Statement, the Trustees Iwho aTe also the directors of the tharitable company for the purposes of company lawl are responslble for the preparation of the financial statements and for being satisfied that they give a true and fair view. and for Such intemal control as the Trustees detemine is necessary lo enable the prepamtion of financial statements that are free from material misststsment, whether due to fraud or error. In preparing the financial statements, th& Truslo9$ arg responsible foT assessing the charitsble company's ability lo continue as a going concem, disclosing, as applic8ble, mallers related to going concern and using the going Conrn basis of acojunling unless the Trustees eithèr intend to liquidate the charitable company or to cease operations, or have no realistic altemative bul lo do so. Audltorfs re8pon8lbllltl•s for tho audlt of the flnanclal statem9nts Our objectives are lo obtain reasonable assurance about whether the financial statements as 8 whole are free from material misstatement, whether due lo fraud or error, and to issue an Audilorfs Rep)rt that includes our opinion. Reasonable assurance ts a high level of assurance, bul is not a guarantee that an audit conducted in acLordance with ISAS {UKI will aayS dele¢t a material misslalemenl when it exists. Misslalements can arise from fraud or error and are considered material if. individually or in the aggregate, they could reasonably be expected to Influen the economic decisK)ns of users taken on the baws of these financial Statements. Irregularities, including fraud, are instsnos of non<ompliance wth laws 8nd regulations. We design procedures in line with our responsibilities, outlined above, lo delect material mi8Stalemenls in respect of iiregularilie5, including fraud. The extent lo which our procedures are Capab of detecting irregularities, induding fraud is detailed below.. We obtainèd an understanding of tho legal and regulatory tramework5 withln which the FederatM)n oporates, focusing on those laws and regulations that have a direct effect on the detemiinalion of material amounts and di8clo8ures in the financial slalemenls. The laws and regutL)n3 we considered in this context were the Companres Act 2008, Financial Reporting Stsndard 102 and Charities Statemenl of Recommended Practice ISORP}. We identified the greatest risk of matgrial impact on the financial statements from irregularities. including fraud, to be the override of controls by managem&nl. Our audit procedures to respond to these risks included enquiries of management about their own idenlificalion and assessmenl of the risks of irregularities. sample testing on the posting of journals and reviewng accounting estimates for biases, reviewing regulatory orrespondence and reading of minutes of meebngs of those charged with govemance. Because of the inher¢nt limitalions of an audit, there is a risk that will not do18Ct all irregularities, including those leading lo a material misststem?nl in the financial statements or non-compliance wf(h regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, a8 we will be less likety to become aware of instances of non-compliance. The risk is also greater regaiding irregularities occurring due to fraud rather than error, as fraud involve5 intsnlional coneealment, forgery, collusion, omission or misrepres8nlalion. A further description of our responsibilitie5 for the audit of the financial slalem8nts 1$ located on the Financial Reporting Councivs websits al.. -uklaudi oisies nsibilities. This description fomis part of our Auditorfs Rèwt. P8ge15
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS {A Company Lim5ted by Guaranteal INDEPENDENT AUDITOR'S REPORT TO THE BOARD OF MANAGEMENT OF NATIONAL FEDERATION OF YOUNG FARIAERS. CLUBS (coKfiNUED Uso of our rgport This report is made solely to the Federation in accordance with Chapter 3 of Part 16 of the Companies Act 20(E. Our audit work has been undertaken so that we might slate to the Federation th08e matters we are required to state lo them in an Audilorfs Report and for no other purpose. To the fullest extent permittèd by law, we do not accept or assume responsibility lo anyone other than the Federab'on for our audit wort(, for this report, or for Ihg opinions have fomied. Helen 81undell LLB FCA FCIE DChA (Senlor Ststutory Audltorl for and on behalf of Crowe U.K. LLP statutory Auditor Black Country House Rounds Greèn Road Oldbury West Midlands B89 2DG Dale: 29 April 2026 Page 16
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS (A Company Limited by GuaTant•el STATEMENT OF FINANCIAL ACTIVITIES IINCORPOFiATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2025 Unrestrlcted fund8 2025 RestrScted fund8 2025 Totsl funds 2025 Tot funds 2024 Noto Incomè from: Donations. sponstsrship and legac$ Charitable activities.. Membership subscription Investments.. other investment income Other incom& 83,260 59,574 142,834 217.262- 646.457 646N57 563,228 44,978 75,193 11,777 66.755 75,193 64, 709 82,246 Total income 849,888 71.351 921,239 927,445 Exp&ndlture on: Charitsbl8 actllieS.. Direct programm8 expenditure Other expenditure 401,023 595,413 64,991 26,734 466,014 621,147 521.228 667,513 Totsl 8xpendlturn 996,436 90,725 1.087,161 1, 188, 741 Net expenditure before net galns on Invostm•nts Net gains on investments 1146,548) 184.382 {19,374} 133 1165.922) 248,515 (261.296) 121,502 14 Not movgm•nt in funds 37,834 44,759 82.593 (139,794) Roconclllallon of funds.. Total funds brought fotward Net movement in fund8 1,626.246 37.834 1.131,812 44.769 2,758,058 82.S93 2,897,852 (139,794) Total fund8 carrfod fobvmrd 1.664.080 1.176,571 2,840,661 2,758,058 The notes on pages 2110 44 form part of Ihe8e financial statements. Page 17
NATIONAL FEDEIIATION OF YOUNG FARMERS. CLUBS IA Company Limited by Guarantèe} REGISTERED NUMBER: 15893713 BALANCE SHEET AS AT 31 DECEMBER 2025 2026 2024 Note Flxed a880ts Tangible assets Investments 13 14 382,823 2,488,066 421,720 2,444,059 2.870,889 2,865,7T9 Current assets stoi*s Debtors Cash at bank and in hand 3,133 52,559 496.949 4,458 60.225 329.028 15 552,641 393,711 Currnnt Ilabllttlgs Creditors.. amounts falling due within one year 16 1577.647) (495,079) Net currnnt assgts 1 liabilitigs (25,0061 (101.368) Totsl a$sots le88 current liabilities 2.845,883 2,764,411 Credilots: amounts falling due after more than one year 17 {5,232> (6,353) Total ngt assots 2,840.651 2, 758,058 Page 18
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Llmlted by Guarant99} REGISTERED NUMBER.. 15893713 BALANCE SHEET IcoKfiNUED) AS AT 31 DECEMBER 2025 2025 2024 Nots ChaTIty fvnds Restricted funds Unreslrthd funds 19 19 1,176,571 1.664,080 1, 131,812 1,626,246 Total funds 1840,651 2, 758.058 The Trustses acknowledge their responsibilities for comptying with the requirements of the Acl with respect to accounting records and preparation of financial slatemenls. The financial slalemenls have been prepared in accordance with the provlslons applicable to entities subject to the small companies regime. The financial statoments wero approved and aulhorised for issue by the Trustees and signed on their behdf by= Natali8 hlcGinn Trustse Date.. The not9$ on paw 21 to 44 fomi part of these financial statements. Page 19
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Limited by Guarantse) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2026 2025 2024 Note Cash flows from operating activiti Net cash used in operating activities (81.3091 (163,815) Cash flows from Investlng actlvltios Dividend5, interests and rents from investments Purchase of tangible fixed assets Purchase of investments Disposals of investments 66.755 1770} (56.755) 250,000 64,709 (2,947) (64,671) 200,000 Net ca¥h provided by Investlng actlvlt108 249,230 197.091 Change in catsh and Cash equfvalents In tho year Cash and cash equivelenls al the beginning of the year 167,921 329,028 33,276 295, 762 Cash and cash oqulvalènts at the end of the year 23 496.949 329.028 Th¢ notes on pages 21 to 44 form part of these financial Statements Page 20
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 202S General infom)ation The National Federation of Young Farmers, Club is a charitable company limited by guarantee, registered with Companies House {regislered numb6r.' 15893713 England & Wales) and the Charity Commission (registered number.. 12114731. Its registered principal office is Yfc Centre Unit 17819 10th Street, Stoneleigh Park. KenIorth, Warwickshire, CV8 2LG. On 13 August 2024, the Society converted from Friendly Society to Charitable Company. The Charitable Company was a180 subsequently registered with the Charity Commission. Accountlng pollclos 2.1 Ba818 of prgparatlon of flnanclal 8tatomonts The financial statements have bo8n pr8pared in accordance wth the Charities SORP IFRS 1021- Accounts"ng and Reporting by Charilies.. Statement of R8commended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 leffeclive 1 January 20191, the Financial Reporting Stsndard applicable in the UK and RepubliG of Ireland IFRS 1021 and the Companies Act 20C6. National Fedgralion of Young Farmers, Clubs meets th8 definition of a public ben?fii entity under FRS 102. Assets and liabilities aTe initially recognised at historical cost or transaction value unless otherwise stsled in the relevant account.ng policy. Tho Comp8ny applied merger accounting rath&r than acquisition accounting for the transfer of th@ Society into a Charttable Company. Under merger accounting basis. the financial statements have been presented as rf they have ay5 been a Charitsble Company and no g(x)dvlI has arIn as a rgsull of this. 2.2 Golng concern The Board of Management are of the view that the Charity holds sufficient free reserves lo meg1 its obligation for the forèseeable future and these accounts are therefor& prepared on a going concem basis. 2.3 Income Donations. sponsorship and grants re1vable for speafiG purposes are recogni5ed a8 inwme when the amount rgceivable can be Teliabty m&a8ur8d, receipt is probable and the Federation is &ntilled to the income. AJI othgr income is accounted for on an accruals basis. P4e 21
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS IA Company Llmlted by Guarant&•} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEM8ER 202S Ac¢ounting policias Icontlnued} 2A Expendlturo Expendllura 5$ recognised On there is a legal or constructive obligation to transfer economic bonafil to O third party, it is probable that a transfer of economic benefrts will be required in settlement and the amount of the obligation can be measured reliably. Expendrture is dassified by activity, The costs of each activity are made up of the total of direct costs and shared costs, ineluding SUPPDrt cDsts involved in undertaking each activity. Direct costs allributable lo a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributsble lo a single activity are apportioned between th¢)se activities on a basis consislenl with the use of resources. Central staff costs are allocated on the basis of lime spent, and depreciation charges allOted on thg portion of the asset's use. Expenditure on charitable acliwties is incurred on directty undertaking the activiligs whth further the Federation's ol'ectives, as well as any assoualed support costs. Charitable activities and Govemance costs are costs incurred on the Federation's operations, including support costs and cx)sts relating to the govemance of the Fgderats'on apportsoned to charitable activities. The resoureÉ5 expended are classified under the Federation's functional calegorfes of expenditsJre rather than the type of expense in order lo provide more useful infomialion. Costs induded within each functional category comprise direct expenditure induding direct staff costs attribLrtable to the activity. Where costs cannot be directly attributed, they havo been allocated to activities on a basis consistent with budgoted u$9 of resources. 2.5 Govommont grants Government grants are creditod to the Statemgnt of Financial Activities as the related expenditure is incurred. 2.6 Intangible assets and amortisation Intangible assets are capitalised and recognised when future economic benefrts are probable and the cost or value of the asset can be measured reliabty. Intangible assets are initially recognised al cost After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisalion and any accumulated impairment losses. Amortisats'on is provlded on Intangible assets at rae5 calculated lo write off the cost of each asset on a slraighl-line baws over its expected useful lrfe. Amortisalion is provided on the following basls.. Softrrnre 20 % straight line basis Page 22
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Limlted by Guarantee NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 Accounting policie5 Icontinuodl 2.7 Tanglble fixed assets and depreclatlon Tangible fixed assets arè initially recognised al cosL After recognition. under the cost model, tsngible fixed assets are measured at CDSt less accumulated depreCIatn and any accumulated impairment losses. Al costs incurred lo bring a tangible fixed asset into ils intended working condith?n should be included in the measurement of cost Depreciation is charged so es to allocate the cost of tangible fixed as*ts less their residual value over their esb"maled useful lives. Depreciation is provided on the following bases.. Short-lerm leasehold property Fumiture and oquipment over the period of the lease 3-7 years straight line basls 2.8 Inv•stm8nts Fixed asset investments are a form of financial instrument and are initially reeognised al their transaction cost and subsequentty measured at fair value at the Balance Sheet dale, unless the value cannot be measured reliably in which case it is measured al cost less impairment. Investment gains and losses, whether realised or unre81ised. are combined and presented as'Gainsl(L088esl on inveslmenls, in th& Slalemenl of Financial Activi118S. The investment policy of the Truslges is long term to ensure the protection of tho Federation'8 capital base as well as providing an annual income. The effect of this poli is that the surplus arising on the annual revaluation of investments 18 not regarded a8 available for distribution. 2.9 Stock8 Slccks are valued at the lower of cost and nel lgalisablg valu8 after making due allowance for obsolete and slowrymoving sloths. 2.10 Flnanoial instruments The Faderatioft onty enters into a basic fin8ncial instrument transactDns that Te8uIt in the reGognition of thg financial assets and liabilities like trade and other debtors and creditors. Debtors Trade and other debtors are recognised at the settlement amount after any trade dlscounl offer8d. Prepayments are valued at the amount prepaid net of any trade discounts due. Cash al bank and In hand Cash at bank and in hand includes cash and short-temi hKJhty liquid inveslmonls ¥Mth a short malurty of three months or le8s from the dale of acquisition or opening of the deposit or similar )unt. Page 23
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Llmlted by Guaranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 202S Aceounting polici6s {¢ontlnued) Llabllltle8 and provl8lon8 Llablllb'e8 are racognised when there is an obligation al Ihg Balancg Sheet dale as a result of a past 8V8nl, it is probable that a transfer of economic benefit will be required in setllemenl, and the amount of the setllement can be estimated reliably. ProvlsKJns are measured al the b&sl estimat& of tho amounts required to settle the Oblallon. 2.11 Pgnslons The Federation operates a dofined contribution pension scheme and the is charged to the Statement of Financial A¢livities. The Federation also parbcipales in a Mult1mployer defined benefit pension scheme. 11 is not possib foT the Federation to obtain sufficient information to enable it lo aOunt for the scheme as defined benefit thorelore it is accounted for as a defined conlribulion scheme. 2.12 Fund a¢¢ountlng General fijnds are unrestrithd funds which are available for use at the discretion of the Trustees in furtheran of the general objectiV8s of thè Federation and which have not been desKJnaled for other purtx)se& Designated funds Comprise unrestricted funds that have been set aside by the Twstees for particular purposes. The aim and use of each designated fvnd is set out in the notes to the financial slatemenls. Restricted fiJnds aTe frJnds which are to be used in accordance with specific restriction8 imposecl by donors or which have been rais by the Federation for particular purposes. The costs of ralsing and adininistering such funds are charged agoinst the specific fvnd. The aim and use of each reslricled fund is set out in the notes to the financial statements. Investment income. gains and losses are allocated to the 8ppropri8te fund. 2.13 Operatlng loasgs Rentals paid under operating leases aro chorggd lo th¢ Slalem8nt of Financial A¢tivities on a straight line basis over Ihelgaso term. Crltlcal accountlng estlffiat and arnas of judgement Management has not made any slgnificanl judg8ments in tho process of applylng the accL)Urtling policies and there are no areas of astimation nrtainlY that have a significant risk of causiro a material adjustment lo the Carrying amounts of assets and liabilities within the next financial year. Page 24
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Limltod by Guaranto9) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 Incom• from donatlons andlogacles Unrestricted Restiicted funds funds 2025 202S Total fund8 2025 Donations and sponsorship Grants 30,260 53,000 14,809 44,765 46.069 97,765 Total 2025 83,260 59,574 142.834 un$triad fijnds 2024 Resliided funds 2024 Total fvnds 2024 Donations and sponsorship Grdnts 42,814 48,000 9,069 117,379 51,883 165.379 Totsl 2024 90,814 126,448 217,262 Grants rocolvod 2025 2024 Defra Jonathan Billing Charitsble Trust Elizabeth Creak Charitable Trust NFU Mutual Charitable Trust Rural Youth Trust 28,949 23,983 43,981 10,000 38.000 36,255 13, 16Q 15,000 38.000 Famiing the future Students Organising for Sustainabilty UK Young Garngchangor$ Fund Fami Safety Foundation IFCNI 5258 4,S58 6,000 97.765 165,379 Page 25
NATIONAL FEDEf4ATION OF YOUNG FARMERS. CLUBS IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 InveBtment incorno Unrestrfctod R•8trfctsd funds frjnds 2025 2025 Total funds 2025 Investment income 44.978 11,777 56,755 Unrestricted funds 2024 Resliicted funds 2024 Total funds 2024 Investment income 47,994 16,715 64, 709 other Incomlng rosourcos Unrestricted funds 2025 Total funds 2026 Club supplies Other receipts 2,931 72,262 2,931 72,262 Total 2025 75,193 75.193 unSIn¢t8d funds 2024 Total funds 2024 other receipts Club supplies T9,149 3.097 79,149 3,097 Total 2024 82,246 82,246 Page 26
4TIONAL FEDERATION OF YOUNG FARMERS, CLUBS {A Company Limitod by Guarantsol NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 Analys1¥ ol rn8ourcas 8xpond9d Salary costs Othor D•pre¢lafjon ¢o$ts 2025 2024 Diro¢t programm¥ oxpandlturn Club supplies Youth and training Tra1 Compelitior Agric1 and rural issues 26 Co¢ty support 3,189 209,219 11,797 72,899 39,726 3.085 51,940 12.998 32,078 20,621 8,482 6,254 261,159 24.795 104,977 60.347 8A82 9,819 315,068 23,027 84,262 77.426 11,626 336,830 129.184 466.014 521.228 Other èxp•ndlturg Central Management Goveman FK[raiSing and marketiThJ Inf¢Jination lethnology 55,827 38,411 53,271 40,801 41,648 229,958 118,650 74,444 28.198 99,506 32,Y24 351,522 38.455 212,932 112.85S 79,469 140.307 75.584 621147 228,466 112,014 88,869 157,731 80,433 667,513 1,212 39,687 Totsl 2026 566.788 480.706 39.667 1.087,161 1188.741 Tot812024 607, 145 541.234 40.362 1, 133,225 1,133,225 Page 27
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS IA Company Umlted by Guarantse) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 Analysls of rosources oxpended {¢ontinued) Salary Other Deweciation costs 2024 2023 Directpmgrnmme expendtsrn Club suppl8 Youth VK>rfrand training Travel Competitions Agncultursl andrural issues 26 Counfy support Ball Event 7,356 244,075 11.011 53,052 48,227 2,463 70.993 12,016 31.210 29. 199 71.626 9,819 315.068 23,02r 84,262 77,426 11,626 9,235 266,974 20,374 74,345 74,491 16,522 14,541 476,482 363,721 157,507 521228 Othwexpen¢&tsre Cont1 Man8genFent Govomanc& Fundraising andmarkating Infom18tK)n technology 61, 139 35,001 67,343 39,814 40,127 243,424 129,642 77,013 21,526 117,917 37,629 383,727 37,685 228,466 112,014 88,869 157,731 228,466 112,014 68,869 157,731 80,433 667,513 2,67T 40,362 607513 Totsl 2024 607.145 f 188 741 1133.225 Total 2023 581,20 510,396 47,624 1. 133,225 942.622 Auditoes rnmun9ratlon 2025 2024 Foes payab lo the Federation's auditor for the audit of the Federation's annual accounts 16,500 15,750 Fees payable to the Feder8tion's auditor in respect of.. Other non-audit services 6.810 2,375 Page 28
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS (A Company Limlted by Guaranteg) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 Not galns on Invosth)onts Unro8tri¢tsd Rostrfctsd fund$ funds 2025 2025 Total funds 2025 Nel realised and unrealised gainslllosses} on listed investments 184,382 64,133 248,515 UnTrstritrted fvnds 2024 Total fvnds 2024 Net realised and unrealised gainslllossesl on listed investments 121,502 121,502 10. Slaff eosts 2025 2024 Wages and salaries Social socurity costs Conlrlbullon to defined contributn pension schemes 484,569 49,722 32,497 524,252 49,292 33,601 566,788 607, 145 During the year there were no redundancy OT teminalion payments recognised. The average number of person$ employed by the Federation durfng the year was as fotlows-. 2025 No. 2024 No. Employees 13 14 The numbor of employees whose empk)yee benefits lexduding empk)yer pension costs) exceeded £60,000 was: 2025 No. 2024 No. In the band £70,001- £80,000 Key management personnel for the Federation is considered to be the Executive Directots who receNed emoluments of £257,382 (2024- £262,426). Page 29
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Llmltsd by Guarantse) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 11. TNstoes' remuneratlon and expan80S During the year, no Trustees received any remuneration 01 other benefits. During the previous year, four Trustees wero paid Honoraria lolalling £6,000 in respect of $orvi¢es provided. This was previously pemiissible under Friendly Society regLslations however payments ceased since registration with the Charity Commission was confimied on 18 Dember 2024. During th8 year ended 31 DeG8mber 2025, expenses lotalling £11,867 were relmbursed or paid directly to 9 Trustees (2024- £7,930 to 11 Tmsl8es). 12. Intanglble assets Softwarn Cost Al 1 January 2025 6.200 Al 31 De¢embor 2025 5,200 Amortlsatlon At 1 January 2025 5,200 At 31 Decemter 2025 5,200 No¢ l)ook valug Al 31 December 2025 At 31 December2024 Page 30
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Limlted by Guaranleo) NOTES TO THE FINANCIAL STATEMENTS FOR THE Y&4R ENDED 31 DECEM8ER 2025 13. Tangiblt fixed a8sets Shgrt-term Igasohold property Furnilurg and ¢quipment Total Cost or valuatlon At 1 January 202S Additlons 511,821 157.969 770 669,790 Al 31 December 2025 511,821 158,739 670.560 DÈpreclation At 1 January 2D25 Charge for the year 144,821 18,2n 103.249 21,390 248,070 39,667 At 31 December 2025 163,098 124,639 287,737 Not book valuo Al 31 December 2025 348.723 34,100 382,823 Al 31 Dember2O24 367.000 54, 720 421, 720 Page 31
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS (A Company Llmlt•d by Guarant80} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 1& Flxèd a88et Invostments Llstod Inv88tments Cash wlth broker Total C08t orv4luatlon At 1 January 2025 Atlditi'ons Disposals Gain on inve51men15 less investment managers fees Transfers 2.396.822 47,237 56.755 1250,0001 2,444.059 56.755 {250,0001 237,252 237.252 1161.4681 161,468 Al 31 December 2025 2.472.606 15,460 2.488,066 The lolal investrnenl gain induded in the note above relates only lo the net unreallsed gains that contribute lo the investments held al the year end. 15. Debtorn 2025 2024 Trade debtors Olhgr d@btors Pr8paymenls and accrued income 19.563 221 32.775 28,077 32,148 51559 60,225 Page 32
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Limitod by Guarnnteo) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 16. Credltorn: Amounts falllng due wlthln one year 2025 2024 Membership subscription recefv8d In advance Trade edItorS Other taxation and social security Pension liability (see note 251 Accruals and deferred income 463A60 7,731 18,626 4,186 83,644 414.455 9.498 20,759 5. 705 44,662 577,647 495,079 Membership subscription recieved in advan related to quarterty payments of memberships all related to the subsequent financial period which is all of which released in the subsequent financial period. 2025 2024 Dgfvrrgd incomg Delerred income at 1 January 2025 Resources deferTed duTing the yeaT Amounts released from previous periods 10.852 42.790 110,852> 58,489 10,852 (58,489) 42.790 10,852 DefetTed income Yelated lo grant and event income re8Ved for proj8Ct8 and events in fvrture periods. this is included in the accrua15 and deferred income ligure within creditors. 17. Creditors: Amounts falling due after more than one year 2025 2024 Pension liabilty (see noto 25} 5,232 6,353 18. Flnanclal Instruments 202S 2024 Financial a8Set8 Financial 0ss8ts moasurod al fair value through income and expenditure 2,472,606 2,396,822 Financial assols measurod at fair value through income and exp8nditure compriso li$led investrnents. Page 33
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Llmlted by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 19. Statemgnt of fund8 Statement of fund$- current y•ar Balancg at 31 Gainsl December (Lo95) 2025 Balance at 1 January 2025 Income Expendiiure Unrestrlctsd funds De81gnated funds International fund Investsnenl reserve 29,432 52,049 29,432 52.049 81,481 81,481 General funds General funds NFU Mutual Trust EIEabelh Creak Trust 1.544.765 7%,888 38.000 15.000 {943.436} 138.000} 115,000} 184,382 1,582,699 1.544,765 849,888 {996A36} 184,382 1 W2,599 Total Unr68triclad funds 1.626,246 849,888 (996A36> 184,382 1,664,080 Page 34
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Llmlted by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 19. Statement of fund8 Icontlnuedl Balance at 31 Galnsl Dtcembgr ILossès> 2025 Balanco 4t 1 January 2025 Incom• Expendlture Restrieted funds YFC Centre endowment fund YFC Centre fi'xed assot fund King George Vl development fund Int8rnalional fund Cotlerell fund Australia fund Wheaand memorial trust J Billing Charitable fund NFU Mutual Fami Safety Foundation The Farmers Company Charitable Fund Archer Daniels Midlands 22.193 367,000 4S7 1458) {18.27n 2.487 24,679 348.723 550.082 29.446 2,824 28,871 6,882 124,514 11,320 {11,320) 61,648 611,728 29,446 2.824 28,871 5.786 124,514 {1,096> 6,000 {6,000 1.700 {1,700 {ADMI 9.652 (9.652 Y¢Jung Fam7ers Ambassadors (YFAI Tenbury Show Famiing the future DEFRA 2,000 1,458 6,258 28,948 4.558 12,000 11A581 IS,2581 (28.9481 14.658) Young Gamethangers Fund 1,131.812 71,351 {90,725) 64,133 1,176,571 Total of fundB 2,758,058 921.239 {1.087,161) 248,515 2,840.6S1 Page 35
NATIONAL FEDERATION OF YOUNG FARMERS, CLUBS {A Company Llmlted by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 19. Statsmènt of funds (contlnued) Statgmgnt of funds - prior year Balan at 31 Deornb&r 2024 Balance at 1 J&nu&ry 2024 G8insJ {LossesJ Incom& Expendkure Unrastrfctod funds Doslgnaled fund8 Inlem81ional fund Investment reserv& 29,432 52,049 29,432 52,049 81.481 81,481 Gonaral funds General funds NFU Mutual Trust Elvzabelh Creak Trust 1,655, 192 736,282 38,000 10,000 (968,211) (38,OQO) (20,000) 121,502 1,544,765 to,000 1,665, 192 784,282 (1,026,211) I21,2 1,544.765 Total Unrgstrfcted fund 1,746,6T3 784,282 (1,026,211) I21.2 1,626,246 Page 36
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Llmlted by Guarant99) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 19. Statement of funds (¢ontlnued) 8alancg at 31 Gainsj December (Losses) 2024 Balan at 1 January 2024 Inwme Expendits Restrlcted funds YFC Centrg gndowment fund YFC Centre fixed asset fund King George Vl development fund International fund Cgtterell fund Australia funrl Whealland memorial trust Defra grant J Billing Charitable fund The Famers Company Charitable Fund Famiing the Futsjre Archer Daniels MKllands (ADMI 22,193 385,277 387 6.726 (387) (25,003) 22,193 367,000 550,082 29.446 2.824 29,IT8 7,755 (90) 124.514 9.602 (9.602) 550,082 29,446 2,824 28,871 6,882 (307) (873) (23,893J {43,981J 23,983 43,981 124,514 1.500 13, 160 (1.500) (13. 160) 4.111 (4,111) Young Farmers Ambassadors (YFAI Tonbury show Rural Youth Trust 2,000 1,458 36,255 (2,000) (1,458) (36,255) 1. 1st, 179 143. 163 (162,530) 1, 131,812 Total of funds 2,897,852 927,445 (1,188. 741) 121,502 2.758,058 Page 37
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Llmhed by Guarantoe) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER2025 19. Statement of fundB Icontinuedl Designated fund$ The designated funds represent.. 1. Amounts held lo meet the costs of specific programmes or future costs at the discretion of the Trustees. 2. AnK)unts available lo protect future operations from shortfalls in income. Restrlctgd funds YFC Centro endowmgnt fund The fund comprises investments earmaTked lo provide capital for additions to. or replacement of Federation assets. The income from the investments is usod lo support the annual tunning costs of the premi8es and equipment. YFC Centre fixod assot fund The fund comprisès the premises and equipmanl of the Federation. King G&org• Vl developmont fund The fund comprises earmarf(ed investments from which the inwme is used to meet th9 costs of development worf(. Internatlonal fund To enable the Federation to enhance its intemational work, particular through exchange visits. Cotterell fund This fund will be used to support the cost of the attendance of a YFC delegate at Ihe Oxford Farming Conference. Australia fund This fund represents mongy collected by people in the Midlands. IncL)me from the fund is to be used to fund NYFYFC Scholarships to Australia for YFA members resdenl in certain untIeS in England, and to meet the costs of travel Inside the UK for Australian visitors while on NFYFC's official oxchange programme. Wheatland MgmorSal trust fund This fund is for the promotion of fami safety and the ongoing costs of the Nats'onal EfficienGy with Safety ompelition. Dofra grant This grant 18 provided by Defra for the NFYFC to Cary out agreed projects that form part of the agricultural and rural issues programme of work and is ongoing at yeor ond. J Billlng Charitable fund This fund is to be used to assist with ongoing training and karning {induding cc*mpetilion8 leaming) programmes of work. Thè Farniers Company Charltable Fund - Swnsorghip for 3 people to attend the Oxford Farming Conferoncé. Archer Daniels Midland {ADM)- A donation for Cwkery Competition. NFU Mutual Charftable Trust- A donation to cDvgr th8 training costs of travel and Safeguarding. Page 38
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Llmlted by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER2025 20. Summary of fund8 Summary offund$-¢urrontyear Balanoe at 31 Gain D&cèmber ILossg$} 2025 Balance at January 2025 Incomg Expènditure Designated fund8 General funds ReStrted fvnds 81,481 1,544,765 1,131.812 81.481 1.582.599 1.176,571 849,888 71,351 (996,436 (90.725 184,382 04,133 2,758,058 921.239 (1,087,161) 248.515 2,840.661 Summary ol funds- prior ygar Balance at 31 Gains/ December (Losses) 2024 Balance at l January 2024 Income Expendituro Designated funds General funds Restricted funds 81,481 1,665, 192 1,151,179 81,481 1,544,765 1, 131,812 784.282 (1,026,211) 143. 163 (162,530) 121,502 2,897, 852 927,445 (1,188, T41) 121,502 2, 758.058 21. Analysls of net a88ets bètween funds Analysls of net a88et8 between fund8- current year Unrestrlcted Restrictgd fund6 funds 2025 2025 Total funds 2026 Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Credrtors due In more than one year 34,100 1,851,658 361.201 1577,6471 {5,232) 348,723 63S,408 191,440 382.823 2.488.066 552,641 (6,232 Totsl 1,664,080 1,176.571 2,840,651 Page 39
NATIONAL FEDERATION OF YOUNG FARfvIERS' CLUBS (A Company Llmltod by Guarantoel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 21. Analysis of not assets bthen fvnds Icontlnuod) Analy¥l8 of net a88et8 betsvoon funds- prior year UnStricted nds 2024 Rest17Cted fvnds 2024 Tot funds 2024 Tangible fixed a8sets Fixed asset investments Current a88ets CredTtors due within one year Creditors duo in more than one year 54. T20 1,845,467 227.491 (495,079) (6,353) 367,(0 598,592 166,220 421,720 2,444,059 393.711 (495.079) {6,353) Total 1,626,246 1. 131.812 2,758.058 22. RencilIation of net mov•m8nt in lunds lo not cash flow from operatlng actlvltles 2026 2024 Net incomeleXndltur8 for the year las pei Slalemont of Financial Activities} 82.593 (139, 794J Adjuslmènts for: Depreciation charges Gain on investments Dividends. interests and rents from invostsnents Investment manager fees Ilncreaselldecrease in stod(s Decrease in debtors Incrgas8 in creditors IDecrea8eVincrease in pension scheme liability 39.667 42,583 1248.5151 (121,502) 156,7551 (64, 709) 11.263 10,732 1.325 (1,601) 7,666 96.325 84,087 8,116 12,640) 6,035 Net ¢a$h u8od In opgrating actlvlties (81,309) (163,815) Page 40
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Llmited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEPJIBER 2025 Analys18 of ca8h and ¢a8h oqulvalents 2025 2024 Cash in hand 496.949 329,028 Analys18 of changes In net debt At1 January 2025 Ca8h flow8 At31 DMr 2026 Cash at bank and in hand 329,028 167,921 496,949 329,028 167,921 496.949 Page41
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS IA Company Umlted by Guarant89) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 Ponslon commitmgnts The Federation partiapales in the scheme. a multi-employer scheme which providos benefits to some 521 non-assoaated participating employers. The scheme is a defingd benefit scheme in tha UK It is not possible for th8 Federation lo obtaln sufficient information lo enabl& il 10 account for the scheme as a defined benefit schemo. Therefore it accounts for the scheme as a defined contribution scheme. The scheme is subject lo the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Penstons Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, sel out the framework for funding defined benefit occupats'onal pension schemes in the U The hem8 Is classified as a 'l8St4man standing arrangemenf. Therefore the FederalK)n is potential liab for other participating employers, obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the schema. Participating employers are legally required to meet Ihoir share of the scheme deficit on an annuity purchase basis on withdrawal from the Scheme. A full actuarial valuation for the scheme was carried out at 30 September 2023. This valuat showed assets of £514.9m, liabilities of £531.Om and a deficit of £16.Im. To eliminate this funding shortfall, the Tw$tso has asked Ihe partiapating employers to pay additional contributions to the scheme. Where the scheme is in deficit and wherg the Federation has reed lo a deficit funding arrangement the Federation recognises a liability for this obligation. The amounl recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated Un9 the discount rate detailed in these distbsures. The unwinding of the discount tate 18 recognised as a finance co81. The contributions required and share of liabilities attributsble lo the Federation are sel out b81¢)w'. Prnsènt value of provl81¢)n 31 31 31 Docembor DecDmber Decembor 2025 2024 2023 12 31 Dècember 2022 31 December 2021 Present value of provision 11 Reconclllatlon of opening and clo8lng provisions 2025 2024 Provlsion al start of period Unwinding of the discount factor (interest expense) Defial contribution paid Remeasurements- impact of any change in assumptlon5 Remeasuremenls- amendments to the contribution schedule 12,058 504 (3.6151 78 6,023 170 (5,705) 75 11,495 Pn>vision at end of perlod 9.025 12,058 Page 42
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS (A Company Llmited by Guaranteo NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025 Inoorng and oxpgndlture Impacl 2025 2024 Interest expense Remeasuremenls- impact of any change in assumptions R&meaurements- amendments to the contribution schedule 604 78 ITO 75 11.405 Costs rocognlsod In Incomg and expondltur• account 582 11,650 As8umptlon8 31 Decombor 2025 Aper annum 31 De¢•mbor 2024 %por annum 31 D&c•mb•r 2023 °h p•r annum 31 Dember 2022 %per annum 31 Dècember 2021 %per annum Rate of discount 4.05 4.90 5.31 4.96 1.18 The discount rates shown above are the equivalenl single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporal8 bond yield curve to discount tho same recovery plan solutions. Operatlng laasa commltmonts At 31 December 2025 the Fgderalion had commitsmenls to make futur8 minimum lease payment8 under non-cancellable operating leas8s as follows.. 2025 2024 Not later than 1 yoar Later than 1 year and not later than 5 years Later than 5 years 16,208 56,976 190.125 20,769 66,048 203,625 263,309 290,442 The following lease payments have been recogni8ed as an expense in the Slalement of Financial Aclivilig& 2026 2024 Operating lease rentals 23.287 22,136 Page 43
NATIONAL FEDERATION OF YOUNG FARMERS. CLUBS {A Company Llmited by Guarantse) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER2025 27. Related party transactions A number of members of the Board of Managomenl are also trustees of Rural Youth Trust. During the yaar orant8 of £Nil {2024- £36,255) w88 received from Rural Youth Trust. Page 44