2022-03-31-accounts

The Wildlife Trusts Royal Society of Wildlife Trusts Annual Report & Accounts 2021-22

ROYAL SOCIETY OF WILDLIFE TRUSTS 2 ANNUAL REPORT & ACCOUNTS 2021-22

Contents

Contents
Overview of the Year	3
Trustees’ Report	5
Auditors’ Report	28
Accounting Policies	31
Consolidated Statement of Financial Activities	35
Consolidated and Society Balance Sheets	36
Consolidated Cash Flow Statement	37
Notes to the Financial Statements	38

Registered Charity Number 207238 Copyright Royal Society of Wildlife Trusts 2022 Cover Image © Evie + Tom Photography

ROYAL SOCIETY OF WILDLIFE TRUSTS 3 ANNUAL REPORT & ACCOUNTS 2021-22

Overview of the Year

For the year ended 31 March 2022

The climate and ecological emergency have become ever more urgent. We cannot solve one crisis without tackling the other — nature’s recovery is vital for tackling climate change and The Wildlife Trusts are well placed to lead the way.

This year we have taken the time to listen to many people both within and outside of the Wildlife Trust movement and to think about The Wildlife Trusts’ unique role, as well as RSWT’s role within the movement. RSWT led an inclusive process, including Leaders’ Days; Town Hall events open to all staff and trustees; and focussed working groups to tackle some of our challenges. This resulted in our new strategy: “Bringing Nature Back.”

We know that we need to stop and reverse the declines, and put nature in recovery, at scale and at pace, to help restore biodiversity, stabilise the climate, ensure food security, protect the health and wellbeing of billions of people, and much more besides. This can only happen when local communities are supported and empowered to become agents of change, and individuals and businesses across society act together. The recovery of nature must be done by people - inclusive, welcoming, diverse, growing communities of people - if it’s going to happen at the scale and pace required and if it’s going to endure. Wildlife Trusts are well-placed to lead the way, being firmly rooted in their local communities, supported by and accountable to our members. Each Wildlife Trust works in partnership with a wide range of landowners, farmers, fishers, businesses, schools, local authorities, and others to deliver real change on the ground.

By working together as The Wildlife Trust movement and harnessing our collective impact, we are able to imagine, campaign and advocate for change in support of the global movement for nature’s recovery. This is The Wildlife Trusts’ unique contribution: local action, building a collective impact, as part of a global story, and this is the journey we are on.

The role of RSWT - the central charity - is to ensure a strong collective voice for wildlife; to help coordinate work between individual Wildlife Trusts; and to lead the development of the movement.

TeamWilder epitomises our approach, building momentum for people to have their voices heard and taking meaningful action for wildlife. It’s important that we reach out to all people and new funding which RSWT secured from The National Lottery Heritage Fund is enabling Wildlife Trusts to empower people from some of the UK's most underrepresented/deprived areas to take action for nature and make their lives wilder through “Nextdoor Nature”; and unrestricted funding from players of People’s Postcode Lottery is enabling us to drive forward our diversity and inclusivity work, which is a real focus for us at RSWT and across the whole movement. We are assessing all aspects of our work for the impact on equalities, providing training, and making reasonable adjustments where necessary to promote inclusion.

This year, also thanks to funding from players of People’s Postcode Lottery, we have stepped up our work on climate change. For the first time we had a presence at a major United Nations climate conference, COP26 in Glasgow, supporting three Wildlife Trust Projects trialling the IUCN’s Global Standard for Nature-based Solutions. Our daily updates, YouTube broadcasts, Wild LIVE event, infographics on the climate and nature crisis, animation and a dedicated video from Sir David Attenborough were all very popular. We are also leading work within the Wildlife Trust movement to establish a comprehensive programme to reduce our environmental footprint and set ambitious targets.

After a decade of campaigning for new legislation to put nature in recovery led by The Wildlife Trusts, the Environment Act finally became law in November 2021. It requires new legally binding targets to be set for biodiversity, water, waste and air quality, including for the UK Government to halt the decline of nature in England by 2030, and puts in place a requirement for new Local Nature Recovery Strategies. We will continue to

ROYAL SOCIETY OF WILDLIFE TRUSTS 4 ANNUAL REPORT & ACCOUNTS 2021-22

campaign to ensure that the new targets set under the Act aim to reverse the decline of nature and delivery of the Act drives positive change for the environment.

The Wildlife Trusts’ media profile continues to grow with regular appearances on national television and radio and non-stop coverage in national newspapers. Our social media audiences now totals over 2 million followers. Our annual 30 Days Wild in June was again completely digital due to Covid-19 and was our biggest ever, with over 760,000 people taking part. Our series of public YouTube events, Wild LIVE, featuring internal and external speakers, now has a collective viewing of over 120,000.

As Covid restrictions lifted, we had our first face to face Leaders’ conference and, at our AGM, we were delighted to welcome new Vice Presidents - Iolo Williams and Dr Amir Khan.

Our long-term partnerships with businesses including Jordans Cereals, Vine House Farm, Marks and Spencer, Hogan Lovells and Tata Consultancy Services continue to deliver benefits for the environment and people. Covid-19 curtailed our Wild Wellbeing days, but we provided digital content and support which was well received. All of this work helps us reach out to more people so they can benefit from nature and have a voice in the future of our environment.

We have ensured that RSWT and Wildlife Trusts had all the technology, platforms and support in place to grow our collective culture and impact, including the integration of the website platform and Customer Relationship Management systems and an upgrade to WildNet, our intranet. RSWT are leading on a digital transformation programme for the movement so that we can be more resilient, efficient and effective at tackling the threats facing our natural world. In addition, our Talent and Skills programme was delivered virtually again this year and had a fantastic uptake across the movement.

Nature Friendly Schools, a consortium led by RSWT, with funding from the Department for Education and support from Defra and Natural England, to bring thousands of deprived children closer to nature, finished in March

1. Although Covid-19 and reduced funding curtailed activities, 48,000 pupils from 187 schools participated and 94% of schools agreed that the programme had a

demonstrable positive impact on children’s mental health, wellbeing, and resilience. Our Bright Future, a consortium of youth and environmental organisations led by RSWT and funded by The National Lottery Community Fund, is coming to an end this year. It has been a real success, smashing its targets for the number of young people participating; increasing their environmental skills and knowledge; and improving community spaces. Equally as important, it has given young people a voice and provided routes for young people to engage in governance and decisionmaking and driven change within and beyond the participating organisations.

Finally, we want to thank you for your ongoing support and we invite you to be part of our journey to ensure that nature is in recovery by 2030.

Peta Foxall Craig Bennett Chair Chief Executive

ROYAL SOCIETY OF WILDLIFE TRUSTS 5 ANNUAL REPORT & ACCOUNTS 2021-22

Trustees’ Report

but we also strive to be more than the sum of our parts.

For the year ended 31 March 2022

OUR VISION, PURPOSE & APPROACH The Wildlife Trust movement has collectively developed The Wildlife Trusts’ Strategy 2030, Bringing Nature Back which was launched in April 2022.

Our vision is of a thriving natural world, with our wildlife and natural habitats playing a valued role in addressing the climate and ecological emergencies, and everyone inspired to get involved in nature’s recovery.

Our purpose is to bring wildlife back, to empower people to take meaningful action for nature, and to create an inclusive society where nature matters.

Our approach. We are ambitious in our desire not just to slow but to reverse the declines in nature.

We speak with a bold and confident voice, to tell the truth about the state of nature and what needs to be done to put it in recovery.

As a grassroots movement, we are firmly rooted in our local communities where we look after wild places, increasing people’s understanding of and connection to the natural world, on land and at sea.

We look to establish common cause and work in partnership with others, at both a local level and a UK-wide level, to develop new, innovative ways to do what’s right for nature and deliver impact in support of our vision.

We demonstrate what is possible, and inspire, empower, and enable people from all ages, backgrounds, cultures, identities and abilities to bring about our vision with us, embracing the diversity of our society to change the natural world for the better.

As a network of Wildlife Trusts, we work to ensure that our local actions, and our work through the four nations of the UK, add up to have a collective impact and help address global issues. Our differences are our strength,

Our vision is underpinned by three bold goals that, by 2030:

• nature is in recovery, with abundant, diverse wildlife and natural processes creating wilder land and seascapes where people and nature thrive;

• people are taking meaningful action for nature and the climate, resulting in better decision making for the environment at both the local level and across the four nations of the UK

• nature is playing a central and valued role in helping to address local and global problems.

WHO WE ARE

The Wildlife Trusts are a grassroots movement of people from a wide range of backgrounds and all walks of life, who believe that we need nature and nature needs us. We have more than 870,000 members, over 35,000 volunteers, 2,000 staff and 600 trustees and a combined income of over £190 million.

There are 46 individual Wildlife Trusts, each of which is a place-based, independent charity with its own legal identity, formed by groups of people getting together and working with others to make a positive difference to wildlife and future generations, starting where they live and work.

Every Wildlife Trust is part of The Wildlife Trusts federation and a corporate member of the RSWT. Taken together this federation of 47 charities is known as The Wildlife Trusts.

The role of Wildlife Trusts is to bring about nature’s recovery where they operate, to empower people to take action for nature within their communities, and to work together with others to create a society where nature matters and drive landscape-scale change for wildlife.

The work of The Wildlife Trusts remains even more relevant and important in the light of the Covid-19 pandemic as more people have realised the importance of our natural world in their lives. However, the pandemic has

ROYAL SOCIETY OF WILDLIFE TRUSTS 6 ANNUAL REPORT & ACCOUNTS 2021-22

continued to curtail the ability of Wildlife Trusts to carry out much of their face-toface work.

ACHIEVEMENTS AND PERFORMANCE

The Role of RSWT is to ensure a strong collective voice for wildlife, to help coordinate work between individual Wildlife Trusts, and to lead the development of the movement and federation as a whole.

RSWT works in close partnership with the movement to achieve The Wildlife Trusts’ vision. We have set out some highlights for 2021/22 below.

Ensure a strong collective voice for wildlife

DIRECTLY INFLUENCING DECISION MAKERS

• We have campaigned for more than three years for an Environment Act and it came about in November 2021. We worked closely with Greener UK to ensure it included new legislation to boost biodiversity and a requirement for Local Nature Recovery Strategies.

• We have been part of three Westminster Hall debates – on Wildbelt; HS2; and nature and health.

• We have engaged with Government on many key issues including:

• Sustainable Farming Incentive and Local Nature Recovery elements of the Environmental Land Management Schemes

• Biodiversity Metric 3.0, Biodiversity Net Gain Regulations and implementation

• Marine Spatial Prioritisation Programme

• • Offshore Transmission Network Review

• Energy National Policy Statement

• Infrastructure Project review

• Local Nature Recovery Strategies.

• Beaver reintroduction in England

• Derogation on neonicotinoids

• Natural History GCSE

• Green Prescribing for Mental Health programme

• Planning reforms including through our report Planning – a new way forward

and an Environmental Manifesto for the Water Industry Price Review which will determine the environmental spend and activities of water companies for 20252030.

• We have worked closely with The Crown Estate on floating offshore wind in the Celtic Sea to ensure that the environment is considered up front.

CAMPAIGNING AND COMMUNITIES Team Wilder has gone from strength to strength enabling a step change in our campaigning work, including:

• As part of Crack the Crises, we came together with 50 other organisations in a #WaveofHope to urge politicians to work together for a healthier, fairer and greener future as part of the G7 summit in Cornwall.

• As part of Action for Insects, we campaigned against allowing a banned neonicotinoid to be used in England and over 7,000 people tweeted their MP, with every MP on Twitter receiving at least one message to save bees.

• Our e-action on a ban on horticultural peat use resulted in over 49,500 supporting us and 13,000 directly taking part in the consultation.

• We led a coalition of 70 organisations to establish #NatureForEveryone – a response to the Levelling Up Agenda with support from Steve Backshall, Gillian Burke and Deborah Meaden and appeared on BBC Radio 4’s The Moral Maze – a Wildlife Trust first.

• The Wildlife Trusts were pivotal in helping the sector-wide petition “State of Nature” Report signed by over 200,000 people asking for targets within the Environment Bill for achieving nature’s recovery.

• Outdoor Classroom Day brought us together with Our Bright Future to call for at least one hour of Learning / Play Outside to be part of every school child’s day.

• Supporting 13 Trusts to develop their campaigns around local issues, including around the River Wye.

• Through Blueprint for Water, we released two key publications; Blueprint’s Vision

ROYAL SOCIETY OF WILDLIFE TRUSTS 7 ANNUAL REPORT & ACCOUNTS 2021-22

RAISING OUR PROFILE

Our media profile continued to grow with regular appearances on national television and radio and non-stop coverage in national newspapers. This has been a combination of both rapid responses to Government announcements as well as Wildlife Trust-led moments, such as national marine week, the first anniversary of our “30 by 30” collective fundraising campaign and beaver reintroductions.

• Our social media audiences grew to over 2 million followers across all the main Wildlife Trust accounts.

• Wild LIVE on YouTube has a collective viewing of over 120,000. Sessions included the Secretary of State, George Eustice, announcing the addition of a 2030 species abundance target to the Environment Act and a review of the Habitats Regulations; a panel event on outdoor learning and environmental education; and a special ‘in conversation’ episode with Professor Dasgupta on environmental economics.

• We had fantastic COP26 coverage of our issues including our domination of BBC News Channel on Nature Day, front page of Washington Post on peat restoration, launch of COP26 edition of our “Let Nature Help” report and launch of Sir David Attenborough film. Our daily COP26 updates, broadcast on YouTube, received thousands of views.

• We had our biggest ever 30 Days Wild with over 760,000 people taking part at home, in schools, care homes and businesses.

• We welcomed new Vice Presidents – Iolo Williams and Dr Amir Khan.

• The new Wildlife Trusts’ logo went live in January to widespread public approval.

Help co-ordinate work between Wildlife Trusts

We continued to work closely with funders on how they could best support both Wildlife Trust core and project work throughout the pandemic.

FUNDING

• We secured the £5 million in response to a solicitation request by National Lottery Heritage Fund for “Nextdoor Nature” (a part of The Wildlife Trusts’ #TeamWilder), to create a huge matrix of community-led projects, reaching into some of the UK’s most under-represented/deprived areas and empowering people to take action for nature and make their lives wilder. The project was launched in April 2022 and the income will be received over the duration of the four-year project.

• Thanks to players of People’s Postcode Lottery, during the year we received a generous £3.3m of grants for the movement.

• Five additional projects for the Network for Nature programme funded through National Highways have been approved, representing an additional £491k to the existing £5.7 million programme. This will be received and distributed over the course of the four year project.

• We secured nearly £3 million from a new grant funder for our work on peat including capacity for peat policy, campaigns and programme management, and support for eight Trusts to acquire 240 hectares of land and restore another 400 hectares.

• We are developing new approaches that could unlock greater funding for land acquisition and nature’s recovery, including pledges of around £30m to provide philanthropic loans to five Wildlife Trusts allowing them to acquire land more easily.

• Esmée Fairbairn Foundation has provided loan funding or entered into third party temporary “buy and buy back” arrangements that have enabled eight Wildlife Trusts to purchase more than 348 hectares of land and thereby secure its role in nature’s recovery. Over the course of 2021/22, the total value of this provision to the movement was over £4.5 million.

• Nature Friendly Schools, a programme funded by Department for Education and Defra, had reduced funding and a delayed start, partly due to Covid-19, but delivery took place from Summer 2021 term.

ROYAL SOCIETY OF WILDLIFE TRUSTS 8 ANNUAL REPORT & ACCOUNTS 2021-22

• We secured funding of more than £250,000 to begin our collective digital transformation programme.

• We have continued our partnerships with:

• Jordans Cereals which supports their 34 oat farmers to manage at least 10% of their land for nature

• Vine House Farm continues to enable people to enjoy caring for birds and other wildlife in their gardens while raising funds for Wildlife Trusts

• National Highways on the ‘Network for Nature’ programme to deliver habitat improvements on sites which have been impacted by the historic construction and operation of the roads’ network and on the road network itself.

• Hogan Lovells who have provided invaluable pro-bono legal support

• M&S to support produce growers in their Farming with Nature programme.

• Siemens, Hitachi Capital UK and OVO on Wild Wellbeing Days, although Covid-19 continued to curtail this.

• We have embarked new partnerships including with Clear Channel (a large national outdoor advertising and media space provider), leading social housing provider Orbit Group and sustainable bath products company Faith in Nature.

challenging the destruction. Responding to an opportunity for a debate to ask Government to Stop and Rethink HS2, every MP in the country receive a tweet.

• We ran an evaluation piece to establish our starting point for #TeamWilder as a movement, which enabled us to use Trust insight to directly build the NLHF application for Nextdoor Nature.

• A badger cull was proposed for Northern Ireland so, to support Ulster Wildlife, we shared learning from England's badger campaign. As a result, 6,000 people shared their concerns.

• We published a new England policy report revealing the wide-ranging benefits to society that healthy, functioning ecosystems can have.

• We ran a series of webinars on issues relating to the Nature Recovery Network.

• We are developing plans to coordinate land management advice across the Wildlife Trusts.

• We are working with groups of Trusts to develop landscape-scale nature recovery programmes, including Wilder Marches, the Severn Wildbelt, restoring the Celtic Rainforest and Hadrian’s Wall.

• We run over 70 communities of practice across the movement.

JOINT WORKING

• To better map and join up our work across the movement, we are developing a common Geographic Information System (GIS) platform.

• We have developed a climate change position statement for the movement, supported by upcoming reports on our progress on both reducing greenhouse gas emissions and adapting to climate change.

• We are supporting Trusts with keystone species introduction, focussing especially on beavers, as well other species such as wild cat and potentially lynx.

Leading the development of the movement and federation as a whole

CLIMATE

• We held a series of deep-dive webinars with Trusts to discuss and develop the movement’s work on climate.

• We are producing a movement-wide climate change adaptation report, setting out the risks to our land and assets and a five-year plan to address those; the first time The Wildlife Trusts have produced a report of this kind. We hope to use it to advocate for more focus on adaptation in the natural environment with Government.

• Along the HS2 route, we continue to support the fourteen Trusts in

ROYAL SOCIETY OF WILDLIFE TRUSTS 9 ANNUAL REPORT & ACCOUNTS 2021-22

• All Trusts (including RSWT) now have a Carbon Reduction Strategy and action plan in implementation.

• We had a hugely successful COP26 for The Wildlife Trusts — the first time we have been visible and commentating on a major UN climate conference. At a COP event we launched three Wildlife Trust Projects trialling the IUCN’s Global Standard for Nature-based Solutions. Our daily updates, YouTube broadcasts and Wild LIVE event (Let Nature Help) had over 10,000 views. We published high quality, robust reports and infographics on the climate and nature crisis, a very popular animation and a dedicated video from Sir David Attenborough.

RESEARCH & EVIDENCE

• We have started to develop a collective framework for our research to explore issues and answer the questions that will make the biggest difference to achieving our collective goals.

• We published a review of scientific evidence about how to quantify the amount of greenhouse gases being emitted and removed by wildlife habitats in the UK.

• We carried out short investigations to inform our work, including into biological abundance; carbon accounting; grazing and greenhouse gas emissions; horticultural peat use; and income generation from nature-based carbon removal.

• We started to develop new relationships with universities and research organisations, including at the University of Cambridge, the University of Exeter, Royal College of Art, UK Centre for Ecology & Hydrology and National Trust.

EQUALITY, DIVERSITY AND INCLUSIVITY (EDI)

• We have a team of EDI specialists now in post and have created an EDI Policy and Wild About Inclusion Framework which supports The Wildlife Trusts’ Strategy 2030.

• We are taking RSWT on a journey to becoming anti-racist, to support the need

to increase the racial diversity of the organisation at all levels.

• We are providing training and support to all 46 Trusts.

• We are integrating our EDI approach into our community organising to ensure that this area of development authentically reaches a wider cross-section of society.

STRATEGY, LEADERSHIP AND TRAINING

• Our new movement-wide strategy to 2030 was the result of input from across the movement through strategy days, working group meetings and webinars.

• Our first face to face Leaders’ Conference bringing together Chairs and CEOs, and our quarterly ‘Wildlife Trusts’ ‘Town Hall’ events bringing together staff and Trustees from across the movement have been invaluable in developing The Wildlife Trusts’ 2030 strategy.

• We have developed a new indicator framework and data collection programme for the TWT Strategy Impact Measures.

• We have developed an education and learning strategy.

• RSWT supported six Trusts on Governance including Board effectiveness.

• Our Talent and Skills Programme was all run on Zoom again this year. It included training on remote and hybrid working e.g. recording vlogs and presenting virtually. Every Trust accessed training, totalling over 380 interactions across many multimodular topics.

• The Christopher Cadbury Medal, which recognises the outstanding contribution to both nature conservation and The Wildlife Trusts, was awarded to Barrie Wilkinson of Lincolnshire Wildlife Trust for over 70 years contribution. Still active and youthful in his 80s, Barrie continues to be a champion for nature conservation and has been at the vanguard of many approaches we take for granted today.

BACK OFFICE SUPPORT

• To improve cost and carbon savings across the movement we have negotiated a number of joint procurement including for workwear, power tools, stationery and vehicles.

ROYAL SOCIETY OF WILDLIFE TRUSTS 10 ANNUAL REPORT & ACCOUNTS 2021-22

• To improve cost and staff wellbeing, we have negotiated movement-wide deals for Employee Assistance Programme, our HR system BreatheHR, and have undertaken a movement-wide review of terms and conditions/salary levels for employees.

• We have continued to make great strides in driving efficiency and quality through IT projects:

• The Collective Web platform is used by 39 Wildlife Trusts, the UK website, Wildlife Trust Wales, Wildlife Watch and 12 local or national microsites. It has a new appeals functionality and mapping capability and is integrated with our CRM system for membership sign-ups, donations, advocacy and newsletters.

• The Customer Relationship Management system (ThankQ CRM) is used by 39 Wildlife Trusts.

• The Finance system is used by 20 Wildlife Trusts.

• We upgraded WildNet, the movementwide intranet, and it has continued to grow and hosts over 70 communities of practice including safeguarding; cyber security and digital transformation. These groups have reviewed risks, developed training and are roadmaps to align with our new strategy.

• RSWT’s IT and HR teams have supported many Trusts as well as RSWT staff to enable staff to return to office / hybrid working.

• We have updated our Join Anywhere Agreement (which enables Trusts to recruit memberships for each other) .

• We ran two virtual Chair Induction Days, two virtual Open Days, as well as inductions for three new Trust CEOs /Interim CEOs and supported one Trust with CEO recruitment.

Managing central resources

• Following a full Board Effectiveness Review against the Charity Governance Code last year, we have integrated the proposed changes within The Wildlife Trusts’ strategy 2030, including recruiting and inducting a new Equality, Diversity

and Inclusivity Trustee and a new Safeguarding Trustee.

• We have reviewed our Staff Handbook to ensure it is fully inclusive and accessible to all.

• We continued to support RSWT staff working from home and then in hybrid working as we reopened our office.

• We undertook a full staff survey and independent review to understand how we might further improve working conditions to attract and retain the highest calibre employees and become an ‘Employer of Choice’.

Administering Partnership Programmes and Grants

GRANT-MAKING POLICY

Grants are made subject to the terms and conditions placed upon RSWT by the relevant funding bodies. Biffa Award grants are subject to the approval of a Board comprising nominees of Biffa and RSWT (see: www.biffaaward.org). Grants from RSWT’s own unrestricted funds are made at the discretion of Council.

BIFFA AWARD PROGRAMME

A major part of RSWT’s turnover relates to the administration and distribution of Landfill Communities Funding through the Biffa Award programme. We seek to distribute funds to achieve the maximum benefit for the environment, and local community facilities.

Details of the grants offered during the year can be found in Note 29.

KEY ACTIVITIES & ACHIEVEMENTS

A total of £3.9 million of Biffa Award grants were awarded this year to 41 projects in England and Northern Ireland. Cumulatively, more than £186 million has now been awarded since 1997 across England, Scotland, Wales and Northern Ireland.

Highlights of the year included:

• An Impact Assessment report was produced which found that around 10,000 people on average per project are

ROYAL SOCIETY OF WILDLIFE TRUSTS 11 ANNUAL REPORT & ACCOUNTS 2021-22

benefitting each year since Biffa Award funding. Biffa Award funding has helped to address some of the factors that influence the wellbeing of communities such as improving the level of social support available and the physical environment that people access.

• Lincolnshire Wildlife Trust was awarded a Partnership grant of £750k to purchase land at Bourne North Fen, securing it in perpetuity. Once under Trust ownership and the land is managed for the benefit of biodiversity, bittern, crane and greater water parsnip are expected to return to the site.

OUR BRIGHT FUTURE (FUNDED BY THE NATIONAL LOTTERY COMMUNITY FUND) Leading a consortium of eight partner organisations, RSWT oversees a £33.2m portfolio of 31 projects across the UK. The projects enable young people to build their skills and confidence, leadership capability, and connection to the environment while making a genuine positive difference to the environment. All project were completed by December 2021 and programme is due to finish in December 2022.

KEY ACTIVITIES & ACHIEVEMENTS

The programme has been a real success and 128,495 young people have participated in Our Bright Future activities (original target 60,000); 37,795 young people have increased environmental skills and knowledge (original target 26,000); 3,071 community spaces have been improved (original target 450). Furthermore, all projects have utilised the Share Learn Improve function to share best practice, collaborate and develop relationships with organisations that they may not previously have worked with (original target 80%).

Highlights of the year included:

• We have shared evaluation and impact data with funders, government departments, youth and environmental NGOs. Evidence from Our Bright Future has informed RSPB’s youth strategy, National Lottery Community Fund (Wales)’s new employability funding stream, Defra’s youth engagement plans and the Green Recovery Challenge Fund.

• More than half of Our Bright Future partner organisations have established or plan to establish youth-led or youth governance processes or structures. Our Bright Future projects have successfully provided formal routes for young people to engage in governance and decision-making at project and/or organisation-level.

NATURE FRIENDLY SCHOOLS

RSWT led a consortium to secure £6.4m from the Department for Education with support from Defra and Natural England to bring thousands of children closer to nature as the flagship project as part of the Government’s 25 Year Environment Plan. Working with schools with the highest proportion of deprived pupils, its aim was to demonstrate and understand how supported delivery of high-quality activities in natural environments contributes to improved mental health & wellbeing, engagement with school and other key programme outcomes.

KEY ACTIVITIES & ACHIEVEMENTS

The project completed in March 2022. A total of 187 schools participated in the project; the schools consisted of 142 primary, 14 secondary, five alternative provision institutions and 18 special schools. Across the 187 schools, the project engaged with 48,000 pupils and 1,870 teachers. In case-study interviews, teachers attributed a positive impact on pupil mental health and wellbeing to outdoor learning, reporting that children had become more resilient, academic performance had increased and lessons had become more creative.

Highlights of the year included:

• The Nature Friendly Schools project provided transformational outdoor learning opportunities to more than 48,000 children in England.

• The project model increased nature connection within the school week to at least one hour per week for every child.

• Upon project completion, 94% of participating schools agreed that this had a demonstrable positive impact on children’s mental health, wellbeing, and resilience.

ROYAL SOCIETY OF WILDLIFE TRUSTS 12 ANNUAL REPORT & ACCOUNTS 2021-22

Findings from this programme influenced our Education and Learning Strategy, to ensure its legacy is lasting.

Environmental Impact

The Wildlife Trusts can only make an authentic contribution to tackling the climate and ecological emergencies by ensuring our own house is in order. As major owners of land, energy users, consumers of water, catering providers, event organisers, venue providers, vehicle fleet operators, educators, retailers, and consultancies (to name just some of our services), as well as employers and members of the business community, we recognise that we need to lead by example in how we manage our own environment and community impacts.

We are updating our Environment Statement and are working together to establish a comprehensive programme to reduce our environmental footprint and set ambitious targets in relation to key areas such as carbon emissions reduction, use of chemicals on land, and renewable energy generation. RSWT and the majority of Trusts have now calculated their 2020/21 carbon emissions and all Trusts (including RSWT) now have a Carbon Reduction Strategy and action plan in implementation.

Key Factors Relevant to Achievement of RSWT’s Objectives

The continued support of our corporate members, the 46 individual Wildlife Trusts, remains key to the ability of RSWT to continue to achieve its objectives.

PUBLIC BENEFIT STATEMENT

The Trustees confirm that they have complied with the duty in section 4 of the Charities Act 2011 to have due regard to the Charity Commission’s general guidance on public benefit, ‘Charities and Public Benefit’.

RSWT’s public benefit is enshrined in its charitable objects, as set out in the Royal Charter, being: ‘to promote the conservation and study of nature, the promotion of research into such conservation and to educate the public in understanding and appreciating nature, in the awareness of its value and in the need for conservation’.

RSWT fulfils its objects and delivers its public benefit through two main strands of activity: Supporting the work of The Wildlife Trusts; and distributing grant funding to a wide range of external organisations through RSWT’s Grants Programmes.

Equality, Diversity and Inclusivity (EDI)

RSWT prides itself in its proactive approach to equality, diversity and inclusion (EDI) which stems from the Social Model of Inclusion, taking the focus away from the individual and giving it to the environment (this could be a person, policy or place), with the belief that it is environmental barriers that cause a person to become marginalised. RSWT are striving to remove such barriers and promote barrier free design, by assessing all aspects of our work for the impact on equalities, providing training, and making reasonable adjustments where necessary to promote inclusion.

ROYAL SOCIETY OF WILDLIFE TRUSTS 13 ANNUAL REPORT & ACCOUNTS 2021-22

Reference and Administrative Details

Registered name Royal Society of Wildlife Trusts (RSWT)

Also known as The Wildlife Trusts

Previously known as Society for the Promotion of Nature Reserves (SPNR) Society for the Promotion of Nature Conservation (SPNC) Royal Society for Nature Conservation (RSNC)

Registered charity number 207238

Address The Kiln Waterside Mather Road Newark NG24 1WT

Principle Bankers NatWest Bank 225 High Street Lincoln LN2 1AZ

Investment Managers Sarasin & Partners LLP CCLA Investment Management Juxon House Senator House 100 St Paul's Churchyard 85 Queen Victoria Street London EC4M 8BU London EC4V 4ET

Pension Scheme Administrators Capita Pension Solutions Ltd 65 Gresham Street London EC2V 7NQ

Solicitors Chattertons DLA Piper UK LLP St Swithin’s Court Princes Exchange 1 Flavian Road Princes Square Nettleham Road Leeds Lincoln LN2 4GR LS1 4BY

Auditor Saffery Champness LLP 71 Queen Victoria Street London EC4V 4BE

ROYAL SOCIETY OF WILDLIFE TRUSTS 14 ANNUAL REPORT & ACCOUNTS 2021-22

Structure, Governance and Management

RSWT is a body corporate, incorporated under the Royal Charter of 2 March 1976, as amended in 1981, 1994, 1998, 2003 and 2007.

Patron HRH The Prince of Wales

President Liz Bonnin

Presidents Emeritus Sir David Attenborough OM GCMG CH CVO CBE Kt FRS FSA FRSA FLS FZS FRSGS FRSB Simon King OBE Tony Juniper CBE

Vice Presidents Prof J Chris Baines Nick Baker Prof David Macdonald CBE FRSE Bill Oddie OBE Julian Pettifer OB Prof Sir Robert Worcester KBE Gillian Burke Iolo Williams Dr Amir Khan

Council Chair Peta Foxall

Honorary Secretary Stewart Goshawk

Honorary Treasurer Genevieve Landricombe

Genevieve Landricombe to 25 November 2021 Peter Batchelor from 25 November 2021 Other Trustees Steve Garland Ruth Sutherland CBE to 3 November 2021 Rob Pickford OBE David Jordan OBE Joanne Pike Sir Graham Fry KCMG to 25 November 2021 Joanna Davidson CBE Stephen Aston Julian Woolford Nicholas Simon Parsons from 25 November 2021 Nina Ma from 21 April 2022 Ria Shah from 21 April 2022

Interim Honorary Treasurer Peter Batchelor

Chief Executive Craig Bennett

ROYAL SOCIETY OF WILDLIFE TRUSTS 15 ANNUAL REPORT & ACCOUNTS 2021-22

Appointment and induction of Trustees

Council comprises the Chair, Honorary Secretary, Honorary Treasurer, one Wildlife Trust-nominated Trustee from each of Scotland, Wales and Ulster, the Chair of The Wildlife Trusts England Policy Committee and four other Trustees nominated by the English Wildlife Trusts. Trustees are elected by the corporate members at the Annual General Meeting. Council appoints a Vice Chair.

The Chair is elected to serve a single five-year term. Honorary Officers are elected and other Trustees are appointed or elected, for up to two terms of three years. Council may also have two additional members possessing specialist skills, knowledge or expertise, as assessed by a skills audit.

The Chair introduces new Trustees at their first Council meeting. New Trustees are also given access to a dedicated intranet website which includes the charity’s key documents, including its Royal Charter, Governance Handbook, Financial Standing Orders, latest Annual Report and Accounts, Five Year Plan, budget, minutes of recent Council meetings, relevant Charity Commission publications, and the Charity Trustee Network’s ‘Code of Conduct for Trustees’. New Trustees are also invited to attend induction sessions at the RSWT’s office in Newark at the earliest convenient opportunity to receive introductory briefings on key work areas. Due to Covid-19 these were moved to Zoom sessions in 2020/21, which were well received and have been continued.

Statement of Trustees’ responsibilities

The Trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

affairs of the group and parent charity and of the incoming resources and application of resources of the group for that period. In

preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently,

• observe the methods and principles in the Charities SORP,

• make judgements and estimates that are reasonable and prudent,

• state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements, and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

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

The Trustees are responsible for the maintenance and integrity of the financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of

ROYAL SOCIETY OF WILDLIFE TRUSTS 16 ANNUAL REPORT & ACCOUNTS 2021-22

Organisational structure

The Royal Charter gives Council the powers to:

• administer the affairs of RSWT under the Bye-laws,

• exercise all the powers of RSWT, subject to the Bye-laws, and

• determine the policy of RSWT.

Council, as RSWT’s governing body, is ultimately responsible, and directly accountable, to the charity’s corporate members, the 46 independent Wildlife Trusts. Council operates a number of sub-committees. The main committees of Council are:

• The Wildlife Trusts’ England Policy Committee (paused from November 2021)

• The Wildlife Trusts’ Countries Committee

• The Wildlife Trusts’ Resources and Audit Committee

• The Wildlife Trusts’ Strategic Development and Research Committee (ceased from April 2022)

• The Wildlife Trusts’ Marketing and Development Committee (paused from December 2020)

• And main boards overseeing partnership programmes and grants:

• Biffa Award Board

• Our Bright Future Steering Group

• Nature Friendly Schools Steering Group

Council is the primary leadership group for The Wildlife Trusts, aiming to deliver its stated purpose and mission as a movement. It also aims to lead The Wildlife Trusts in pursuit of excellent collective governance, ensuring that a collective strategy is in place and that the role of the RSWT as the central charity is clearly identified and effectively delivered.

The England Policy Committee has delegated authority to set English policy issues relating to our outcomes ranging from people being closer to nature to marine conservation.

The purpose of Countries Committee is to focus on building trust and understanding between the respective parts of the UK and headline political discussions relating to coordinating policy across the four countries.

The Strategic Development and Research Committee has responsibility for recommending The Wildlife Trusts’ development and research priorities to Council and for allocating grants that further the movement’s agreed strategic objectives from the Strategic Development Fund and other similar funds held by RSWT.

Resources and Audit Committee has

responsibility for the operational effectiveness of The Wildlife Trusts as well as for overseeing the central charity’s own resources.

The Marketing and Development Committee’s purpose is to support the development of the movement’s strategic approach to marketing, fundraising, mass communications and external reputation.

The Biffa Award Board has delegated powers to make grant offers in respect of our major grant fund, in accordance with the terms agreed with the respective funding bodies. The Biffa Award Board comprises six members, with RSWT and Biffa Group Ltd each appointing three members.

The Our Bright Future Steering Group involves all eight key partners overseeing this major programme of youth and environment work funded by £33m from the National Lottery Community Fund.

The Nature Friendly Schools Steering Group is comprised of a senior representative of each of the ten delivery partners, providing impartial and strategic governance across the programme, funded by the Department for Education (DfE) and the Department for Environment, Food & Rural Affairs (Defra).

Trustee nominations and those for main committees are considered by a standing Nominations Advisory Panel before being presented to Council and onwards to the AGM in the case of Trustees.

Much of the organisation’s work is undertaken by a team of staff, reporting to a Chief Executive who is accountable exclusively to Council for achieving The Wildlife Trusts’

ROYAL SOCIETY OF WILDLIFE TRUSTS 17 ANNUAL REPORT & ACCOUNTS 2021-22

strategic objectives and for complying with Council’s policies.

Remuneration of key personnel

In accordance with the agreed job evaluation framework and available benchmarking information, the Chief Executive has delegated authority to agree salaries. They will normally do so in conjunction with HR executives or, for Director level posts, with the input of key Trustees. The Chief Executive’s own salary is set by the Chair and Honorary Officers.

Fundraising

The individual Wildlife Trusts manage relationships with more than 870,000 members between them. Our members make up our movement and when members are asked for financial contributions it is done in a responsible, respectful and ethical manner. The same applies to all our supporters including those giving one-off donations or legacies to RSWT or to their Wildlife Trust. We are always seeking to improve the ways in which we relate to supporters and RSWT helps Wildlife Trusts to develop and share best practice. To demonstrate our commitment to ethical fundraising practices, RSWT is an organisational member of the Fundraising Regulator and the Institute of Fundraising and adheres to their recognised standards.

• website: www.wildlifetrusts.org/complaints policy

We are also committed to disclosing the number of complaints received. No complaints relating to RSWT’s fundraising practices were received between 1 April 2021 – 31 March 2022.

We are proud of our corporate partnerships and seek to work with businesses with whom we share common cause. Any new collective corporate partnerships are subject to full scrutiny through well-established governance processes. Ongoing partnerships are governed by clear contractual obligations, relationship management and ongoing review and scrutiny by governance committees.

The Covid-19 pandemic has continued to have a big impact on fundraising both for individual Wildlife Trusts and RSWT and we have kept our own finances under close review, as well as working closely with Wildlife Trusts to understand the impact for them and support them where we could, and with government and funders to try to reduce this impact, wherever possible.

The Wildlife Trusts do not believe in approaching vulnerable people for financial support and we aim to avoid causing distress to anyone.

We always want to exceed the expectations of our members and supporters in everything we do. However, we know that there may be times when we do not meet our own high standards. When this happens, we want to hear about it, in order to deal with the situation as quickly as possible and put measures in place to stop it happening again. As such, we have a Complaints Policy in place, to enable members and supporters to contact us and express their concerns. Further information on our Complaints Policy can be found on our

ROYAL SOCIETY OF WILDLIFE TRUSTS 18 ANNUAL REPORT & ACCOUNTS 2021-22

Financial Review of the year

STATEMENT OF FINANCIAL ACTIVITIES

INCOMING RESOURCES

2021/22 Total Income £18,576 (£'000)

----- Start of picture text -----
Wildlife Trusts Contribution £1,967
Legacies £576
Biffa Award (Landfill Donations £468
Communities Fund)
£5,258
Magazine income £219
Wildlife Trusts Wales
£133
Other grant income
£2,279
Nature Friendly Schools Other income from
(DEFRA / DfE) £1,040 charitable activites
£800
Royalties £308
Our Bright Future
(National Lottery Other trading income £294
Community Fund)
£1,922
Investment income £42
Other Income £5
People's Postcode Lottery (PPL) £3,265
----- End of picture text -----

RSWT is very grateful for bequests included in legacy income from the estates of the following individuals:

Muriel May Abbott Margaret Rowena Andrews Victoria Lucy Bavin Anthony Charles Bennett Anne Margaret Bennett Francis George Bramham

Harvey Colin Brown Iris Irene Cherry George Costa Charles Dearlove

Lilian Irene Garthwaite Margaret Leach Noah Muray Adrian Nuttall Charles Olive Phillipa Anne Poole Joan Kathleen White Michael and Joan Wright

ROYAL SOCIETY OF WILDLIFE TRUSTS ANNUAL REPORT & ACCOUNTS 2021-22

19

RESOURCES EXPENDED

Total expenditure during the year amounted to £17.2 million (2020/21: £18.8 million) of which expenditure on charitable activities totalled £16.7 million (97% of the total).

2021/22 TOTAL EXPENDITURE £17,183 (£'000)

Facilitate and lead the development of the Wildlife Trusts £1,690

Biffa Award (Landfill Communities Fund) £4,376 Help co-ordinate work between Wildlife Trusts £2,580 Nature Friendly Schools (Defra/DfE) £1,396 Grants paid from PPL funds £2,100 Our Bright Future (National Lottery Community Fund) £1,976 Ensure a strong collective voice for Movement in Pension deficit -£154 People and Resources £75 Investment management costs and Other £6 Raising funds £475

TRADING ACTIVITIES

The charity’s active trading subsidiary, The Wildlife Trusts Services Limited, provides services to Wildlife Trusts. Subsidiary turnover was £611,000 (2020/21: £560,000), primarily relating to income from corporate relationships. The subsidiary reported a net profit before and after tax of £21,000 (2020/21: £41,000).

Profits are paid as a gift aided donation to the charity in the following accounting year from which they are generated.

INVESTMENT GAIN/LOSS

Our investments in Sarasin & Partners’ Climate Action Endowment Fund and CCLA COIF Charities Ethical Investment Fund reported a total gain of £49,000 (2020/21: £226,000) reflecting the movement in investment markets over the year.

ROYAL SOCIETY OF WILDLIFE TRUSTS 20 ANNUAL REPORT & ACCOUNTS 2021-22

NET MOVEMENT IN FUNDS AND FUND BALANCES

Fund Balances 2021/2022 (£'000)

----- Start of picture text -----
General Fund Designated Fund Restricted Fund Total Funds
£11,645
£10,033
£5,522 £5,739
£3,814
£2,844
£1,667 £2,092
FUND BALANCE AS AT APRIL 2021 FUND BALANCE AS AT MARCH 2022
----- End of picture text -----

The balance of designated funds increased by £217,000 from April 2021 to March 2022. This was mainly due to People’s Postcode Lottery Fund, for which a grant of £750,000 was received in March 2022, with the income due to be spent in financial year 2022/23. The balance of restricted funds increased by £970,000 over the year, with Biffa Award (Landfill Communities Fund) balance increasing by £868,000 in the year and a balance of £434,000 against a new project, Precious Peatlands. £345,000 decrease in Nature Friendly Schools (Defra/DfE) balance as the project ended on 31 March 2022.

BALANCE SHEET

Group Balance Sheet 2021/22 (£'000)

----- Start of picture text -----
FIXED ASSETS
£1,958
CURRENT ASSETS
£15,438
CURRENT LIABILITIES -£5,505
CREDITORS DUE AFTER ONE YEAR -£246
----- End of picture text -----

ROYAL SOCIETY OF WILDLIFE TRUSTS 21 ANNUAL REPORT & ACCOUNTS 2021-22

Financial Reserves

DESIGNATED FUNDS

Designated funds are those unrestricted reserves that the Trustees have designated for particular purposes.

2021/22 DESIGNATED FUNDS £5,739 (£'000)

----- Start of picture text -----
Wildlife Trusts Pension Deficit Strategic Development
Wales £187 Provision £889 Projects £169
Strategic
Legal Advice £99
Development Fund
£734
Landscape
Futures
Recovery £33
Fund £505
Conferences, National Legacy
Seminars and Campaign Fund
Training £98 £591
Fundraising £6 Property
Reinstatement
Living Seas Marine Fund £120
Protected Areas
£14 The Wildlife Trusts
ICT Systems
Projects £236
Campaigns
£173
Strategy Fund
£373
Wilder Future Campaign Climate Fund
People's Postcode
(People's Postcode Lottery) (People's Postcode
£156 Lottery) £137 Lottery Fund £1,219
----- End of picture text -----

FREE RESERVES

Free reserves provide the working capital requirements of the charity, whilst providing a buffer of liquid funds in case of any short-term decline in income, unexpected increase in costs or risk exposure. They are intended to ensure that contractual obligations to staff, premises and funding partners can be met. RSWT calculates its free reserves by deducting fixed assets from its general unrestricted funds.

The Trustees seek to maintain a level of free reserves of between three and six months’ establishment and non-project staff costs.

Free Reserves Calculation	2022 £’000	2021 £’000
General Unrestricted Funds	2,092	1,667
Less: Tangible Fixed Assets	(125)	(80)
Free Reserves	1,967	1,587

ROYAL SOCIETY OF WILDLIFE TRUSTS 22 ANNUAL REPORT & ACCOUNTS 2021-22

This currently equates to a range of £1.1 million to £2.2 million. The current level of free reserves is £2.0 million, falling within the target range and equating to approximately 5.4 months of core costs.

The level of free reserves in recent years, compared with the target range, is shown in the chart below:

Free Reserves versus Target Range (£'000)

----- Start of picture text -----
2,500
1,967
2,000
1,587
1,454
1,500 1,181
1,018 1,042 1,078
902 852
1,000 763
500
0
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Actual 3 months 6 months
----- End of picture text -----

Reduction in 2017 was due to an increase in the pension deficit provision.

INVESTMENT POLICY

RSWT’s Royal Charter empowers the Trustees to invest any funds not immediately required by the charity in any security authorised for the investment of Trust funds. The Trustees’ investment objective is to maximise the charity’s total return from investments, consistent with a moderate level of risk and a socially responsible investment policy.

The Society’s unrestricted investments are managed by two renowned charity investment managers, Sarasin & Partners and CCLA. At 31 March 2021 the Society’s investments were valued at £1.746m, with 51.8% held in the Sarasin Climate Active Endowment Fund and 48.2% in CCLA’s COIF Charities Ethical Investment Fund. During the year the investments produced an income of £40,000 (2021: £36,000).

Market conditions in the final quarter eroded the strong performance seen in the first three quarters of the financial year. The Society’s investments finished the year with total unrealised investment gains of £49,000.

PENSION COMMITMENTS

The last full actuarial valuation of the Wildlife Trusts Pension Scheme, as at 1 April 2019, reported a scheme deficit of £4.7 million.

In accordance with the revised schedule of contributions, RSWT’s deficit recovery payments increased by 3% from August 2021, to £199,070. This equates to 23.7% of the total contributions being paid by The Wildlife Trusts. The repayment plan anticipates that the deficit will be eliminated by August 2026. RSWT’s total commitment at 31 March 2022 amounted to £0.94 million (2020/21: £1.14 million). The present value of this commitment, when discounted at the current yield on AA rated 15 year+ corporate bonds of 2.65% (2020/21: 1.95%), amounted to £0.89 million (2020/21: £1.08 million)

The amount reflected in the balance sheet is based on defined benefit accounting principles, in accordance with FRS102. The assumptions used in this methodology result in a pensions asset for RSWT of £366,000 (2020/21: £324,000 liability). No asset has been recognised in the Society’s accounts as it is not certain that this amount would be recoverable. A designated fund of £889,000 (2020/21: £756,000) sets aside funds representing the value of the payments due under the schedule of contributions.

RELATED PARTIES

RSWT, together with a number of Wildlife Trusts, jointly participate as employers within

ROYAL SOCIETY OF WILDLIFE TRUSTS 23 ANNUAL REPORT & ACCOUNTS 2021-22

the Wildlife Trusts Pension Scheme, which is described in Note 28.

The charity has one active wholly-owned trading subsidiary, The Wildlife Trusts Services Limited, which provides services on a commercial basis to The Wildlife Trusts and makes an annual gift aid donation to RSWT.

Patience Thody, Deputy CEO for RSWT, is also a Director of Wildlife Trusts Services Limited.

Genevieve Landricombe was Honorary Treasurer for RSWT and a Director of Wildlife Trusts Services Limited up to 25 November 2021.

Peter Batchelor, Interim Honorary Treasurer for RSWT, was also appointed as a Director of Wildlife Trusts Services Limited from 5 April 2022.

RSWT’s governing body, Council, includes a number of Trustees and Chief Executives from individual Wildlife Trusts across the federation of The Wildlife Trusts. No individual Trust benefits from their representation on Council.

ROYAL SOCIETY OF WILDLIFE TRUSTS 24 ANNUAL REPORT & ACCOUNTS 2021-22

Plans For the Future

As outlined above, The Wildlife Trusts’ Strategy 2030, Bringing Nature Back has been the result of a collaborative process across the whole movement. It sets us in good stead to work towards our vision of a thriving natural world, with our wildlife and natural habitats playing a valued role in addressing the climate and ecological emergencies, and everyone inspired to get involved in nature’s recovery.

The Wildlife Trusts’ unique contribution is of local action, building a collective impact, as part of a global story and RSWT’s role, as the central charity, is to ensure a strong collective voice for wildlife, to help coordinate work between individual Wildlife Trusts, and to lead the development of the movement and federation as a whole.

There are five strategic transformations that are needed to deliver our strategy, and these will be our focus over the next few years:

• Supporting and developing Wildlife Trusts as strong and effective independent actors

• Working effectively as a distributed network and collective movement

• Inspiring community organising and mobilising, especially amongst young people

• Undergoing a ‘root and branch’ digital transformation

• Delivering a step-change in the scale and diversity of funding for nature’s recovery.

During the coming year, RSWT will support the work of The Wildlife Trusts by:

ENSURING A STRONG COLLECTIVE VOICE FOR WILDLIFE

• Supporting Wildlife Trusts to strengthen their profile and fundraising with the public and with their supporters, and to recruit and retain members.

• Ensuring that The Wildlife Trusts’ Strategy 2030, work and impact are shared widely and raising the profile of nature’s plight, the urgency for its recovery, and the need for people to be close to nature, exposing key risks and telling powerful stories.

• Deepening common cause with key partners, including the key lottery bodies and corporate partners based on our beliefs and mission, championing naturebased solutions to climate change and the importance of nature for health and wellbeing for everyone.

• Influencing the Westminster government, and working with colleagues in the devolved nations, to ensure an ambitious and joined-up approach to both the climate and environmental crisis and to ensure that we achieve 30% of land and sea in recovery by 2030. We also need the same officials and politicians to understand and support nature’s positive impact on people’s health and wellbeing.

• Continuing to campaign for the need for world-leading environmental laws and governance that recognise nature’s recovery is fundamental to our society.

• Pressing for at least 30% of our Marine Protected Areas network to be highly protected, while taking a whole site approach across the network for marine protected areas and influencing decisions affecting these sites and their carbon stores, not least fisheries and offshore developments.

• Ensuring The Wildlife Trusts are engaged with the most effective and cohesive partnerships and coalitions, such as Crack the Crises, to ensure we address diversity and social justice issues as a key part of tackling the nature and climate crises.

HELPING COORDINATE WORK BETWEEN INDIVIDUAL WILDLIFE TRUSTS

• Building on our movement-wide approach for #TeamWilder and establishing support networks as we grow and learn.

• Supporting Wildlife Trusts in their aspirations for landscape recovery, including the role of keystone species reintroductions, land management advice service, access to sophisticated spatial data analysis (GIS) and access to investment funding for land acquisition and land restoration. Further increase synergies in policy making, campaigns and communication across the UK.

ROYAL SOCIETY OF WILDLIFE TRUSTS 25 ANNUAL REPORT & ACCOUNTS 2021-22

• Continuing to integrate the services that The Wildlife Trusts provide to formal and informal health programmes, leading the sector on health and wellbeing for people in relation to their connection with the natural world.

LEADING THE DEVELOPMENT OF THE

MOVEMENT AND FEDERATION AS A WHOLE

• Supporting individual Wildlife Trusts and The Wildlife Trusts movement, continually reviewing where we can add the most value, including through communities of practice.

• Continuing to build the movement’s collective effectiveness and efficiency focussing on the five strategic transformations that are needed to deliver The Wildlife Trusts’ Strategy 2030.

• Working across the movement to reduce our carbon footprint and adapt to climate change, developing and driving forward the delivery of nature-based solutions to climate change and promote new funding mechanisms to achieve this.

• Implementing the movement’s new strategic impact measurement approach.

• Completing development and delivery of a collective framework for science and research.

• Delivery of the Wild About Inclusion Framework; the creation of a webpage that holds Plain English and Easy Read versions of our most read documents; and externally celebrating diversity days/events to showcase our passion for equality, diversity and inclusivity.

• Taking the Our Bright Future legacy, alongside wider youth programmes to the next stage and facilitating a movement wide approach to providing young people with the platform they need to take action for wildlife and lead a change for the better, tackling the nature, climate and health emergencies.

• Supporting Trusts to take up and implement and integrate shared ICT systems, including the introduction of a common GIS platform, the ThankQ Customer Relationship Management system, Xledger Finance system and Collective Web platform, as well as our Wildlife Trust intranet, Wildnet and providing high-quality programmes of Talent and Skills training.

ADMINISTRATION OF PARTNERSHIP PROGRAMMES AND GRANTS

BIFFA AWARD PROGRAMME

Under legislation, the value of The Landfill Communities Fund will decrease from £35m to £30.8m from 1 April 2022. For 2022/23 the maximum percentage Landfill Tax that a site operator may claim for contributions to environmental bodies will remain at 5.3%. The programme’s target for the percentage of total funds which should go towards Partnership projects has been increased to 70% for 2022/23. Programme income and expenditure are expected to increase in 2022/23 and for the next five years.

OUR BRIGHT FUTURE

The final evaluation report and a suite of six learning papers are due to be finalised in July 2022; the main priority for the rest of the programme will be to disseminate the impacts and learnings of the programme. The team will continue its policy and advocacy function with the aim of further embedding the Three Asks, which were developed by young people from the programme.

• Developing the whole life learning approach to our education work, taking forward learning from Nature Friendly Schools and ensuring that each point in people’s lives can be an opportunity to learn more about wildlife and act for nature.

ROYAL SOCIETY OF WILDLIFE TRUSTS 26 ANNUAL REPORT & ACCOUNTS 2021-22

PRINCIPAL RISKS AND UNCERTAINTIES

In March 2021 we carried out a full review of our approach to managing risks, and the Trustees signed off a new risk management policy for RSWT (in accordance with governance best practice) to ensure ongoing and active risk management with a focus on the headline strategic risks which might affect RSWT’s ability to deliver against its strategy. In the opinion of the Trustees, RSWT’s new processes and systems allow the risks identified by them to be mitigated to an acceptable level in its day-to-day operations, even during these uncertain times.

We are currently working on a separate movement-wide risk process as part of the strategy process. In the meantime, Council has reviewed the top risks of Trusts and agreed the collective activity to mitigate them.

These are principally driven by economic uncertainty; Covid-19; weakening environmental legislation and climate change; and events in Ukraine.

The Trustees recognise that we continue to operate in very uncertain times and continue to work closely with the Executive Team to review the best ways forward, being mindful of risks. The Executive Team are, in turn, working closely with Wildlife Trusts to keep abreast of their needs and with funders, stakeholders and other charities to influence where possible.

All our external work to promote our mission is affected by uncertainties in the political, economic and policy environment across the UK and in England. Transferring from EU legislation to national legislation remains a risk, and it is still not clear how the Environment Act 2021 will be implemented.

We have excellent relations with other environmental groups and are working together with key partners to influence policy and legislation and public campaigning. We continue to build relations with Ministers and MPs, and in promoting our views to Government and business sectors. We have a leading role in influencing policy affecting marine wildlife; farmland wildlife and ecological health; environmental legislation

and in demonstrating the value of nature to health and wellbeing.

Other major risks include the building of damaging new infrastructure, such as major new roads, destructive bypasses, vast new areas of housing and HS2. The risks are made worse by the lack of ecological expertise in local authorities, cuts to the government agencies, and weakened planning policy in England. Damaging infrastructure such as HS2 is also exempt from having to meet biodiversity net gain requirements. In mitigation we are actively engaged in influencing central and local Government planning policy and decisions, campaigning publicly where necessary. We continue to engage with forward looking developers.

Trust in charities remains high and Wildlife Trusts are generally well-trusted, helped by the fact that we are local and have 650 Trustees (giving a strong reach into local communities and an unusually close governance eye on day-to-day activities). We always want to exceed the expectations of our members and supporters in everything we do, but we know that there may be times when we do not meet our own high standards. To address this, we have a clear and transparent Complaints Policy to enable us to rectify any mistakes and learn from them.

We are working to increase the diversity of our staff, trustees and volunteers so that we better represent the communities where we work. We now have an Equality, Diversity and Inclusivity (EDI) team at RSWT. We carried out a diversity survey across the whole movement and this, along with the new strategy, will feed into our EDI roadmap. We now have an EDI lead within our own trustee board to help drive this forward. We are expressing our values and explaining how our organisation works more effectively to the public and members, through our website.

We also increasing our safeguarding and have recruited a safeguarding lead. They are developing a suite of templates, leaflets and supporting guidance as well as supporting safeguarding leads within Trusts.

ROYAL SOCIETY OF WILDLIFE TRUSTS 27 ANNUAL REPORT & ACCOUNTS 2021-22

Pension deficit payments remain high despite our Final Salary scheme closing in 2005. We have funds centrally to meet these needs and have set aside a designated fund to cover the deficit payments that are due under the current Schedule of Contributions, which is due to end in August 2026. During the year ended 31 March 2022, the Trustees of the charity were made aware of a potential issue relating to the defined benefit section of the Scheme and legal advice is being taken to clarify the issue. A detailed investigation is currently underway to establish the extent to which this could result in financial liability to RSWT and other participating employers.

As with any organisation we are exposed to the risk of loss of income, failures in executive or governance performance and loss of key trustees or senior staff. Loss of ICT functionality is another ongoing risk. We have a full business continuity plan and our ICT systems are kept up to date, and consistently and comprehensively backed up. This was demonstrated by how effectively we moved to home-working in March 2020 with the outbreak of Covid-19, and how successful home or hybrid working continues to be for staff.

Our principal funding from individual Trusts is a key threat due to the uncertainties of their own funding in light of economic uncertainty, events in Ukraine and Covid-19, and the implications of this for their current and future willingness and ability to pay. In view of this, we continue to work on various future models and contingency plans.

Finally, our Chief Executive has brought the movement together through a very inclusive process to develop The Wildlife Trusts’ Strategy 2030, Bringing Nature Back and this year he has been able to visit some Trusts and we had our first face to face Leaders Conference. Furthermore, our Chief Executive is supported by an excellent senior team.

This Trustees’ Report was approved by Council and signed on its behalf.

Peta Foxall Chair

ROYAL SOCIETY OF WILDLIFE TRUSTS 28 ANNUAL REPORT & ACCOUNTS 2021-22

Auditors’ Report

For the year ended 31 March 2022

Independent Auditors Report to The Trustees of The Royal Society of Wildlife Trusts

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

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

OPINION

We have audited the financial statements of Royal Society of Wildlife Trusts (the ‘parent charity’) for the year ended 31 March 2022 which comprise a consolidated statement of financial activities, group and charity balance sheets, a consolidated statement of cash flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• give a true and fair view of the state of the charity’s affairs as at 31 March 2022 and of its incoming resources and application of resources for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Charities Act 2011.

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

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

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

OTHER INFORMATION

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

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our

knowledge obtained in the course of 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 this gives rise to a material misstatement 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; we are required to report that fact.

ROYAL SOCIETY OF WILDLIFE TRUSTS 29 ANNUAL REPORT & ACCOUNTS 2021-22

We have nothing to report in this regard.

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

• the information given in the Trustees’ Annual Report is inconsistent in any material respect with the financial statements; or

• the charity has not kept sufficient accounting records; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

RESPONSIBILITIES OF TRUSTEES

As explained more fully in the Trustees’ Responsibilities Statement set out on page 5, the trustees 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.

AUDITORS’ RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

We have been appointed as auditors under the Charities Act 2011 and report in accordance with regulations made under that Act.

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below.

IDENTIFYING AND ASSESSING RISKS RELATED TO IRREGULARITIES:

We assessed the susceptibility of the charity’s financial statements to material misstatement and how fraud might occur, including through discussions with management and the trustees, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the charity by discussions with management and updating our understanding of the sector in which the charity operates.

Laws and regulations of direct significance in the context of the charity include the Charities Act 2011, the Charities (Accounts and Reports) Regulations 2008, guidance issued by the Charity Commission for England and Wales and the provisions of the Royal Charter of 2 March 1976, as amended.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material

ROYAL SOCIETY OF WILDLIFE TRUSTS 30 ANNUAL REPORT & ACCOUNTS 2021-22

AUDIT RESPONSE TO RISKS IDENTIFIED:

We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of financial statement disclosures. We reviewed the charity’s records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the charity’s policies and procedures for compliance with laws and regulations with members of management responsible for compliance.

During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve noncompliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of noncompliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner’s review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify noncompliance with laws and regulations and fraud.

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at:

www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

USE OF OUR REPORT

This report is made solely to the charity’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the trustees 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 trustees as a body, for our audit work, for this report, or for the opinions we have formed.

For and behalf of

Saffery Champness LLP

Chartered Accountants and Statutory Auditors 71 Queen Victoria Street London EC1V 4BE

Date:

Saffery Champness LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.

ROYAL SOCIETY OF WILDLIFE TRUSTS 31 ANNUAL REPORT & ACCOUNTS 2021-22

Accounting Policies

For the year ended 31 March 2022

ACCOUNTING CONVENTION

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 preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) Second Edition and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

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

The Trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern. Whilst Covid-19 has undoubtedly caused delays to several of our projects, we have been working closely with our funders and the Government to reduce the impact of the pandemic upon our finances. Reviewing roles and priorities, and moving to new ways of working (such as digital fundraising and online project delivery) has also helped to mitigate the risks faced by the charity in light of Covid-19.

BASIS OF CONSOLIDATION

RSWT’s active wholly owned trading subsidiary, The Wildlife Trusts Services Limited, has been consolidated on a line-by-line basis in the SOFA and balance sheet.

INCOMING RESOURCES

Income is generally recognised on a receivable basis and is reported gross of related expenditure, where there is entitlement and the amount is reasonably certain and when there is adequate probability of receipt. The specific bases used are:

• Donations include grants that provide core funding or are of a general nature.

• Legacies are recognised when there is sufficient evidence to provide the necessary probability that the legacy will be received and the value of the legacy can be measured with sufficient reliability. Income is not recognised for legacies which remain subject to a life interest.

• Fundraising income, comprising corporate sponsorship and royalties, is recorded when receivable.

• Subsidiary trading income is the total amount received for goods and services provided, excluding VAT and trade discounts.

• Contractual income is recorded when receivable.

• Investment income is recorded when receivable.

• Grants and donations are recognised once entitlement and value have been confirmed in writing.

• Grants and donations that are subject to donor-imposed conditions that specify the time period in which the expenditure of resources can take place are accounted for as deferred income and recognised as a liability until the relevant accounting period in which RSWT is allowed by the condition to expend the resource. Grants and donations without such preconditions are not deferred, even if the resources are received in advance of the expenditure on the activity funded by the grant or donation.

• Direct beneficiary lottery income from People’s Postcode Lottery (PPL) has been recorded net. RSWT had no ability to alter the price of tickets, determine the prizes or reduce the management fee. As such, PPL was treated as acting as the principal and not RSWT. Therefore, only net proceeds due to RSWT were recognised under PPL income in the statement of financial activities.

RESOURCES EXPENDED

Expenditure is accounted for on an accruals basis and has been allocated to the appropriate heading in the accounts.

• Fundraising costs relate to expenditure incurred in raising voluntary income for

ROYAL SOCIETY OF WILDLIFE TRUSTS 32 ANNUAL REPORT & ACCOUNTS 2021-22

RSWT, fundraising trading costs and investment management costs.

• Charitable activities’ expenditure relates to expenditure on meeting RSWT’s charitable objects. This includes the costs of fundraising on behalf of individual Wildlife Trusts and the costs of publications, the primary purpose of which is environmental education, awareness and advocacy. It also includes all grant-making programmes.

• Support costs, including finance, human resources, telecommunications, information systems, office accommodation, governance and general management, are fully apportioned to other cost categories, based on direct staffing levels.

• Governance costs are costs associated with the governance arrangements of the charity. These costs include internal and external audit, legal advice for Trustees and costs associated with meeting constitutional and statutory requirements, such as the cost of Trustees’ meetings and the preparation of statutory accounts. This category also includes costs associated with the strategic, as opposed to day-to-day, management of the charity’s activities.

Grants paid and payable are included as a liability when a constructive obligation is entered into by RSWT, being the date a grant offer is communicated to the grant recipient and any conditions relating to the grant are outside the control of RSWT.

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

VOLUNTEER HELP

Honorary Officers and Trustees provide support to RSWT and The Wildlife Trusts. It is not practical or feasible to place a value on the time volunteered in this respect by these persons or other temporary or occasional volunteers.

PENSION COSTS

Pension Scheme (WTPS). This is a multiemployer hybrid scheme, the defined benefit section of which was closed in October 2005.

The defined benefit scheme amount charged in resources expended is the net of the interest cost and interest income relating to the Society’s share of the assets in the scheme. Re-measurements are recognised immediately in Other recognised gains and losses.

The WTPS is funded, with the assets of the scheme held separately from those of the Society, in pension trustee administered funds. Pension scheme assets are measured at fair value and liabilities are measured on an actuarial basis using the projected unit method and discounted at a rate equivalent to the current rate of return on a high-quality corporate bond of equivalent currency and term to the scheme’s liabilities. The Society’s share of the resulting defined benefit asset or liability is presented separately after other net assets on the face of the balance sheet. Full actuarial valuations for the scheme are obtained triennially.

Pension contributions are allocated across unrestricted and restricted funds in line with salary costs.

RSWT also contributes to a group personal pension plan on behalf of eligible employees. The contributions to this scheme are accounted for on an accruals basis.

Full details of RSWT’s pension arrangements are given in Note 28.

FUND ACCOUNTING

General funds can be used in accordance with the RSWT’s charitable objects at the discretion of the Trustees.

Designated funds are funds set aside by the Trustees out of unrestricted funds for specific purposes or projects.

Unrestricted funds are the total of general and designated funds.

RSWT, together with a number of other employers, operates the Wildlife Trusts

ROYAL SOCIETY OF WILDLIFE TRUSTS 33 ANNUAL REPORT & ACCOUNTS 2021-22

Restricted funds are funds set aside for undertaking an activity specified by the donor.

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

CURRENT INVESTMENTS

Current investments represent funds held in interest bearing deposit accounts with notice periods of more than one day and less than 12 months.

DEFERRED INCOME

TANGIBLE ASSETS

Tangible fixed assets are capitalised and included at cost. The minimum capitalisation value for an individual fixed asset is £250.

Fixed assets, with the exception of freehold land, are depreciated so as to write off the cost, less estimated residual value, in equal annual instalments over their useful economic lives, as follows:

Property fixtures and fittings	5-15 years
Computer hardware	3 years
Computer software	3-5 years
Furniture and other office equipment	5 years
Vehicle	6 years

INVESTMENTS

RSWT’s investment in its trading subsidiary is stated at the lower of cost and net asset value and is treated as a fixed asset investment.

Marketable investments are stated at midmarket price at the balance sheet date. The movement shown in the consolidated statement of financial activities comprises both realised and unrealised gains and losses.

The gain or loss on investments is calculated after charging transaction costs but before deducting investment management fees, which are shown separately on the Statement of Financial Activities.

Income which has been received, or is receivable, but which is subject to conditions which prevent its recognition in the current financial year is recognised as a liability in the balance sheet until the relevant accounting period in which RSWT is allowed by the condition to expend the resource.

STOCK

Stock is valued at the lower of cost and net realisable value.

DEBTORS

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

CASH AT BANK AND IN HAND

Cash at bank and cash in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

CREDITORS AND PROVISIONS

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

CONCESSIONARY LOANS

The carrying amount of loans to Trusts is calculated from the original loan value adjusted for any repayments. As programmerelated investments, no effective rate of interest is applied.

OPERATING LEASES

Rentals under operating leases are charged to the statement of financial activities on a straight line basis over the lease term.

FINANCIAL INSTRUMENTS

The charity only has financial assets and financial liabilities of a kind that qualify as

ROYAL SOCIETY OF WILDLIFE TRUSTS 34 ANNUAL REPORT & ACCOUNTS 2021-22

basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

ROYAL SOCIETY OF WILDLIFE TRUSTS 35 ANNUAL REPORT & ACCOUNTS 2021-22

Consolidated Statement of Financial Activities

Unrestricted Restricted Total Unrestricted Restricted Total Funds Funds 2022 Funds Funds 2021 Notes £'000 £'000 £'000 £'000 £'000 £'000 Incoming from: 1 3,051 93 3,144 3,314 27 3,341 2 4,326 10,457 14,783 1,050 10,392 11,442 3 602 - 602 3,208 - 3,208 4 41 1 42 48 4 52 Donations and legacies Charitable activities Other trading activities Investments Other income 5 5 - 5 15 - 15 2022 2021	2021
	3,314 27 3,341 1,050 10,392 11,442 3,208 - 3,208 48 4 52 15 - 15
Total income 8,025 10,551 18,576	7,635 10,423 18,058
Expenditure on: 6 481 Raising funds Charitable activities 7 7,589 9,113 - 481 16,702	433 8,159 10,182 - 433 18,341
Total expenditure 8 8,070 9,113 17,183	8,592 10,182 18,774
Net gains/(losses) on investments 15 49 - 49	226 - 226
Net income/(expenditure) 4 1,438 1,442	(731) 241 (490)
22 468 Transfers between funds Other recognised gains/(losses): 28 170 (468) - - 170 Actuarial gains/(losses) on defined benefit pension scheme	559 55 (559) - - 55
Net movement in funds 642 970 1,612	(117) (318) (435)
Reconciliation of funds Total funds brought forward 7,189 2,844 10,033	7,306 3,162 10,468
Total funds carried forward 7,831 3,814 11,645	7,189 2,844 10,033

The statement of financial activities contains all gains and losses for the year and all activities relate to continuing operations.

ROYAL SOCIETY OF WILDLIFE TRUSTS 36 ANNUAL REPORT & ACCOUNTS 2021-22

Consolidated and Society Balance Sheets

Group Charity Notes £'000 £'000 2022	2021
	Group Charity £'000 £'000
Fixed assets Tangible assets 14 137 137 Investments 15 1,746 1,796 Social investments 16 75 75	80 80 1,303 1,353 254 254
Total fixed assets 1,958 2,008	1,637 1,687
Current assets Stock 37 37 Debtors 17 3,407 3,327 Investments 18 4,293 4,293 Cash at bank and in hand 7,701 7,151	7 7 3,164 3,046 3,355 3,355 8,841 8,294
Total current assets 15,438 14,808	15,367 14,702
Liabilities Creditors: amounts falling due within one year 19 5,505 4,997	6,384 5,873
Net current assets 9,933 9,811	8,983 8,829
Total assets less current liabilities 11,891 11,819	10,620 10,516
Creditors: amounts falling due after more than one year 19 246 195	263 200
Net assets before pension provision 11,645 11,624	10,357 10,316
Pension provision 28 - -	324 324
Total net assets 23 11,645 11,624	10,033 9,992
The funds of the charity: General funds 2,092 2,071 Designated funds 21 5,739 5,739	1,667 1,626 5,522 5,522
Total unrestricted funds 7,831 7,810 Restricted income funds 22 3,814 3,814	7,189 7,148 2,844 2,844
Total funds 11,645 11,624	10,033 9,992

The accompanying accounting policies and notes form an integral part of these financial statements.

The financial statements were approved by Council on 20 July 2022 and signed on its behalf by:

Peter Batchelor Interim Honorary Treasurer

ROYAL SOCIETY OF WILDLIFE TRUSTS 37 ANNUAL REPORT & ACCOUNTS 2021-22

Consolidated Cash Flow Statement

		2022	2021
Group	Notes	£'000	£'000
Cash flows from operating activities:
Net cash provided by / (used in) operating activities	24	259	(359)
Cash flows from investing activities:
Dividends received		40	36
Interest received		1	15
Money market fund income received		1	1
Proceeds from sale of property, plant and equipment		7	20
Purchase of property, plant and equipment		(110)	(54)
Additional investment funds		(400)	-
Net cash provided by investing activities		(461)	18
Change in cash and cash equivalents in the reporting periods		(202)	(341)
Cash and cash equivalents at the beginning of the reporting period		12,196	12,537
Cash and cash equivalents at the end of the reporting period	24	11,994	12,196

ROYAL SOCIETY OF WILDLIFE TRUSTS 38 ANNUAL REPORT & ACCOUNTS 2021-22

Notes to the Financial Statements

1. DONATIONS AND LEGACIES

	Unrestricted Restricted Total Funds Funds 2022 £'000 £'000 £'000 2022	2021
		Unrestricted Restricted Total Funds Funds 2021 £'000 £'000 £'000
Legacies Wildlife Trusts' contributions Donations Wildlife Trusts Wales	576 - 576 1,967 - 1,967 458 10 468 50 83 133	995 - 995 1,840 - 1,840 479 27 506 - - -
Total income from donations and legacies	3,051 93 3,144	3,314 27 3,341

The estimated value of legacies notified, but not included within the accounts, amounted to £569,000 (2021: £793,000), of which £48,000 (2021: £48,000) relates to life interests. The balance of £521,000 (2021: £745,000) relates to residual legacies, where the value of the legacy cannot yet be accurately ascertained.

Donations include a gift in kind for legal and consultancy services which have been valued in the accounts at £24,000.

Following a request from Wildlife Trust Wales (WTW) Council, RSWT completed a unified takeover of WTW on 1 April 2021, with all financial assets of WTW transferred to designated and restricted fund at RSWT and a focus on “business as usual” both internally within the movement and externally.

2. CHARITABLE ACTIVITIES

	Unrestricted Restricted Total Funds Funds 2022 £'000 £'000 £'000 2022	2021
		Unrestricted Restricted Total Funds Funds 2021 £'000 £'000 £'000
Income from charitable activities: Biffa Award (Landfill Communities Fund) - 5,259 5,259 Our Bright Future (National Lottery Community Fund) - 1,922 1,922 Nature FriendlySchools(Defra/DfE) - 1,039 1,039		- 3,919 3,919 - 4,446 4,446 - 1,480 1,480
Grants Team - 8,220 8,220 Magazine income 219 - 219 People's Postcode Lottery grant income 3,265 - 3,265 Government grants -Coronavirus Job Retention Scheme - - - Other grant income 55 2,224 2,279 Other income 787 13 800		- 9,845 9,845 214 - 214 - - - 15 - 15 2 544 546 819 3 822
RSWT (England & UK functions) 4,326 2,237 6,563		1,050 547 1,597
Total income from charitable activities 4,326 10,457 14,783		1,050 10,392 11,442

The funding objectives of the Grants Team's funding bodies are set out in the Trustees' Report. RSWT (England & UK functions) income represents funds arising from the charitable activities of RSWT, acting in its capacity as the co-ordinating body of the England and UK functions of The Wildlife Trusts. Contributions made by individual Wildlife Trusts to RSWT are included within voluntary income, as detailed in Note 1.

3. OTHER TRADING ACTIVITIES

	Unrestricted Restricted Total Funds Funds 2022 £'000 £'000 £'000 2022	2021
		Unrestricted Restricted Total Funds Funds 2021 £'000 £'000 £'000
Income from other trading activities: Royalties Subsidiary trading income People's Postcode Lottery (PPL) income	308 - 308 294 - 294 - - -	354 - 354 222 - 222 2,632 - 2,632
Total income from other trading activities	602 - 602	3,208 - 3,208

ROYAL SOCIETY OF WILDLIFE TRUSTS 39 ANNUAL REPORT & ACCOUNTS 2021-22

3. OTHER TRADING ACTIVITIES (Cont.)

In previous years People's Postcode Lottery (PPL) held draws on behalf of RSWT. RSWT had no ability to alter the price of tickets, determine the prizes or reduce the management fee. As such, PPL was treated as acting as the principal and not RSWT. Therefore, only net proceeds due to RSWT were recognised under People's Postcode Lottery (PPL) income in the statement of financial activities. The net proceeds received are analysed as follows:

	Unrestricted Restricted Total Funds Funds 2022 £'000 £'000 £'000 2022	2021
		Unrestricted Restricted Total Funds Funds 2021 £'000 £'000 £'000
Ticket Value Prize Fund Management Fee	- - - - - - - - -	8,224 - 8,224 (3,284) - (3,284) (2,308) - (2,308)
Net proceeds received	- - -	2,632 - 2,632

Income received from People's Postcode Lottery (PPL) in 2022 was in the form of a grant and is included in charitable income.

4. INVESTMENTS

	Unrestricted Restricted Total Funds Funds 2022 £'000 £'000 £'000 2022	2021
		Unrestricted Restricted Total Funds Funds 2021 £'000 £'000 £'000
Income from investments: Dividends - UK Bank interest - UK Money market fund income - overseas	40 - 40 1 - 1 - 1 1	36 - 36 12 3 15 - 1 1
Total income from investments	41 1 42	48 4 52

Money market fund income relates to income from the Deutsche Global Liquidity Series' Deutsche Sterling Managed Fund. The company is listed in Ireland.

5. OTHER INCOME

	Unrestricted Restricted Total Funds Funds 2022 £'000 £'000 £'000 2022	2021
		Unrestricted Restricted Total Funds Funds 2021 £'000 £'000 £'000
Other income Profit on sale of fixed assets	5 - 5	15 - 15
Total other income	5 - 5	15 - 15

6. EXPENDITURE ON RAISING FUNDS

	Unrestricted Restricted Total Funds Funds 2022 £'000 £'000 £'000 2022	2021
		Unrestricted Restricted Total Funds Funds 2021 £'000 £'000 £'000
Costs of obtaining donations, legacies and grants 187 - 187 Fundraising trading: costs of goods sold and other costs 288 - 288 Investment management costs 6 - 6*		213 - 213 216 - 216 4 - 4
Total expenditure on raising funds 481 - 481		433 - 433

*Expenditure relates primarily to supporting individual Wildlife Trusts with their fundraising but corresponding income is not shown here as it is reported in individual Wildlife Trust accounts.

ROYAL SOCIETY OF WILDLIFE TRUSTS 40 ANNUAL REPORT & ACCOUNTS 2021-22

7. EXPENDITURE ON CHARITABLE ACTIVITIES

	Unrestricted Restricted Total Funds Funds 2021 £'000 £'000 £'000 2021
	298 9,682 9,980 1,904 108 2,012 1,456 34 1,490 4,613 358 4,971 13 - 13 (125) - (125)
Total expenditure on charitable activities 7,589 9,113 16,702	8,159 10,182 18,341

8. TOTAL EXPENDITURE

8. TOTAL EXPENDITURE
	2022
	Direct Other Govern- Staff direct Grants Support ance Total costs costs expended costs costs 2022 £'000 £'000 £'000 £'000 £'000 £'000
Expenditure on raising funds Investment management costs	120 312 - 37 6 475 - 6 - - - 6
Raising Funds Expenditure on charitable activities: Biffa Award (Landfill Communities Fund) Our Bright Future (National Lottery Community Fund) Nature FriendlySchools(Defra/DfE)	120 318 - 37 6 481 149 196 3,897 123 11 4,376 236 275 1,363 86 16 1,976 127 47 1,169 45 8 1,396
Grants Team Ensure a strong collective voice for wildlife Facilitate and lead the development of the Wildlife Trusts Help co-ordinate work between Wildlife Trusts People and Resources Movement ofpension deficitprovision	512 518 6,429 254 35 7,748 1,457 659 62 404 81 2,663 629 643 190 190 38 1,690 544 495 3,455 154 32 4,680 - 75 - - - 75 (154) - - - - (154)
RSWT (England & UK functions)	2,476 1,872 3,707 748 151 8,954
Total expenditure	3,108 2,708 10,136 1,039 192 17,183

ROYAL SOCIETY OF WILDLIFE TRUSTS 41 ANNUAL REPORT & ACCOUNTS 2021-22

8. TOTAL EXPENDITURE (Cont.)

Comparative information:	2021
	Direct Other Govern- Staff direct Grants Support ance Total costs costs expended costs costs 2021 £'000 £'000 £'000 £'000 £'000 £'000
Expenditure on raising funds Investment management costs	138 238 9 38 6 429 - 4 - - - 4
Raising Funds Expenditure on charitable activities: Biffa Award (Landfill Communities Fund) Our Bright Future (National Lottery Community Fund) Nature FriendlySchools(Defra/DfE)	138 242 9 38 6 433 142 120 3,601 109 9 3,981 226 231 3,905 74 12 4,448 146 29 1,317 51 8 1,551
Grants Team 514 380 8,823 234 29 9,980 Ensure a strong collective voice for wildlife 1,047 451 146 316 52 2,012 Facilitate and lead the development of the Wildlife Trusts 541 492 273 159 25 1,490 Help co-ordinate work between Wildlife Trusts 303 453 4,106 94 15 4,971 People and Resources - 13 - - - 13 Movement ofpension deficitprovision (125) - - - - (125)
RSWT (England & UK functions) 1,766 1,409 4,525 569 92 8,361
Total expenditure 2,418 2,031 13,357 841 127 18,774

The RSWT Grants Team distributes funds provided through major funding programmes. The detailed objectives for each of these programmes are included within the Trustees' report. Details of the grants offered within each programme are shown in Note 10. Full details are included within Note 29.

The Society's activities on behalf of The Wildlife Trusts aim to ensure that the interests of the movement are represented at a UK and England level when a strong collective voice is required, and to provide leadership for its development.

An element of staff costs is contained within support and governance costs.

Total Expenditure includes:	2022	2021
	£'000	£'000
Operating lease rentals:
Land & buildings	38	38
Cars & office equipment	15	8
Auditor's remuneration:
Fees payable to the Charity’s auditor for the audit of the Charity’s annual accounts	16	13
The audit of the Charity’s subsidiary, pursuant to legislation	4	4
Accountancy services	1	-
All other services	5	8
Depreciation:
On owned assets	51	40
Payments to Trustees:
Trustees expenses	1	1

Two Trustees were reimbursed for reasonable and necessary expenses incurred in the performance of their duties (2020:

Four). No Trustees were remunerated for their services during the year (2021: none).

ROYAL SOCIETY OF WILDLIFE TRUSTS 42 ANNUAL REPORT & ACCOUNTS 2021-22

9. ANALYSIS OF SUPPORT COSTS

9. ANALYSIS OF SUPPORT COSTS
				2022
					Premises
					and
					administ-
	General				rative	Govern-	Total
management		Finance	HR	IT	support	ance	2022
	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Expenditure on raising funds	7	7	5	10	8	6	43
Expenditure on charitable activities:
Biffa Award (Landfill Communities Fund)	12	10	9	16	76	11	134
Our Bright Future (National Lottery Community Fund)	18	15	13	22	18	16	102
Nature FriendlySchools(Defra/DfE)	9	8	7	11	10	8	53
Grants Team	39	33	29	49	104	35	289
Ensure a strong collective voice for wildlife	89	76	68	114	57	81	485
Facilitate and lead the development of the Wildlife Trusts	40	33	31	50	36	38	228
Helpco-ordinate work between Wildlife Trusts	35	29	26	45	19	32	186
RSWT (England & UK functions)	164	138	125	209	112	151	899
Total support costs 2022	210	178	159	268	224	192	1,231

Support costs are allocated to activities on the basis of the weighted average number of staff directly engaged in those activities.

Comparative information:				2021
					Premises
					and
					administ-
General management		Finance	HR	IT	rative support	Govern- ance	Total 2021
	£'000	£'000	£'000	£'000	£'000	£'000	£'000
Expenditure on raising funds	8	8	6	9	7	6	44
Expenditure on charitable activities:
Biffa Award (Landfill Communities Fund)	11	11	8	13	66	9	118
Our Bright Future (National Lottery Community Fund)	14	16	11	18	15	12	86
Nature FriendlySchools(Defra/DfE)	10	12	8	13	8	8	59
Grants Team	35	39	27	44	89	29	263
Ensure a strong collective voice for wildlife	63	70	48	81	54	52	368
Facilitate and lead the development of the Wildlife Trusts	31	34	24	38	32	25	184
Helpco-ordinate work between Wildlife Trusts	19	20	14	23	18	15	109
RSWT (England & UK functions)	113	124	86	142	104	92	661
Total support costs 2021	156	171	119	195	200	127	968

ROYAL SOCIETY OF WILDLIFE TRUSTS 43 ANNUAL REPORT & ACCOUNTS 2021-22

10. ANALYSIS OF GRANTS EXPENDED

			2022
	Activities	Grants to	Grants to	Administ-
undertaken		Wildlife	other	ration and	Total
	directly	Trusts	**institutions **	support costs	2022
Programme	£'000	£'000	£'000	£'000	£'000
Biffa Award (Landfill Communities Fund)	-	939	2,958	479	4,376
Our Bright Future (National Lottery Community Fund)	-	421	942	599	1,962
Nature Friendly Schools (Defra/DfE)	-	633	536	227	1,396
Strategic Development Fund	-	190	-	103	293
People's Postcode Lottery Fund (People's Postcode Lottery)	203	2,100	-	76	2,379
Precious Peatlands	-	532	-	20	552
Network for Nature (National Highways)	-	599	-	111	710
30 by 30 Campaign	54	7	-	13	74
Campaigns (Big Wild Walk)	-	23	-	12	35
Landscape recovery	-	27	-	10	37
Distribution of royalties (Vine House Farm)	10	204	-	5	219
Marine Protected Areas Fighting Fund (Tubney)	-	(3)	(3)	-	(6)
Water Voles Database	-	5	-	-	5
Legacy distribution to Wildlife Trusts	-	20	-	-	20
Wildlife Trusts Wales grants	-	6	-	-	6
Total grants expended	267	5,703	4,433	1,655	12,058

RSWT does not issue grants to individuals. A full list of grants expended during the year is included in Note 29.

Comparative information:			2021
	Activities	Grants to	Grants to	Administ-
undertaken		Wildlife	other	ration and	Total
	directly	Trusts	**institutions **	support costs	2022
Programme	£'000	£'000	£'000	£'000	£'000
Biffa Award (Landfill Communities Fund)	-	1,713	1,888	380	3,981
Our Bright Future (National Lottery Community Fund)	-	1,263	2,642	543	4,448
Nature Friendly Schools (Defra/DfE)	-	813	504	234	1,551
Strategic Development Fund	-	273	-	85	358
People's Postcode Lottery Fund (People's Postcode Lottery)	147	1,935	-	36	2,118
Climate Fund (People's Postcode Lottery)	17	1,660	-	2	1,679
Campaigns (People's Postcode Lottery)	69	32	-	13	114
30 by 30 Campaign	133	78	-	-	211
JustGiving donations distribution to Trusts	-	9	-	1	10
Healthy Minds (Cadent Foundation)	-	226	-	5	231
Distribution of royalties (Vine House Farm)	3	286	-	1	290
Marine Protected Areas Fighting Fund (Tubney)	-	15	12	2	29
Water Voles Database	-	5	-	-	5
Offshore Wind (Esmée Fairbairn Foundation)	29	3	-	-	32
Total grants expended	398	8,311	5,046	1,302	15,057

11. STAFF COSTS
		2022	2021
The movement in the year is after charging:	Note	£'000	£'000
Wages and salaries		2,945	2,313
Holiday pay accrual		(6)	29
Social security costs		294	230
Pension costs	28	561	477
RSWT Staff		3,794	3,049
Seconded staff costs		63	46
Total		3,857	3,095

ROYAL SOCIETY OF WILDLIFE TRUSTS 44 ANNUAL REPORT & ACCOUNTS 2021-22

11. STAFF COSTS (Cont.)

The average number of employees, calculated on a head count	2022	2021
basis, analysed by function was:	Number	Number
The Wildlife Trusts (England & UK functions)	50	35
Grants Team	13	12
Fundraising and trading	6	5
Support and governance	21	21
Total staff (Headcount)	90	73
Total staff (FTE basis)	86	69
The number of employees whose emoluments (including taxable benefits in kind but	2022	2021
excluding employer pension costs) exceeded £60,000, was as follows:	Number	Number
£120,000 - £129,999	1	1
£80,000 - £89,999	1	1
£60,000 - £69,999	4	2
Total over £60,000	6	4

Of the charity's employees, seven members of staff classify as key management personnel (2021: seven). The total amount of employee benefits received by key management personnel during the year for their services to the charity was £566,779 (2021: £499,793).

12. SUBSIDIARY COMPANY

RSWT's wholly owned trading subsidiary, The Wildlife Trusts Services Limited (company number: 02540956), provides a range of services to Wildlife Trusts and RSWT. Its trading performance and balance sheet are summarised as follows:

Profit and loss account

	2022	2021
	£'000	£'000
Turnover	611	560
Cost of sales	(490)	(419)
Gross profit	121	141
Administrative expenses	(100)	(100)
Operating profit	21	41
Interest received	-	-
Profit for the year before and after tax	21	41
Assets, liabilities and funds
Assets	651	674
Liabilities	(580)	(583)
Total net assets and shareholder's funds	71	91

WTS Ltd made a profit of £21,000 in the year (2021: £41,000 profit).WTS Ltd gift aids its profits to RSWT.

RSWT charged WTS Ltd £92,000 (2021: £91,000) in the year for staff and administration charges. WTS Ltd also purchased a group life assurance deal for RSWT and eight other Trusts and finance software services for RSWT and 20 other Trusts. RSWT paid WTS Ltd for its share of these costs.

The inter-company balance WTS Ltd owed to RSWT at the accounting date was £15,000 (2021: £8,000).

RSWT has two other wholly owned trading subsidiaries, Natural Solutions Services Limited and Wilder Futures Services Limited. These are both currently dormant.

ROYAL SOCIETY OF WILDLIFE TRUSTS 45 ANNUAL REPORT & ACCOUNTS 2021-22

13. RSWT CHARITY RESULTS (EXCLUDING SUBSIDIARY)

	2022	2021
The summarised results of the parent charity are as follows:	£'000	£'000
Total incoming resources	18,100	17,623
Total resources expended	(16,687)	(18,346)
Net incoming resources	1,413	(723)
Holding gains/(losses)	49	227
Actuarialgains on Definedpension schemes	170	55
Net movement in funds	1,632	(441)
Funds brought forward	9,992	10,433
Funds carried forward	11,624	9,992

14. TANGIBLE FIXED ASSETS

Fixtures, Freehold Fixtures, Fixtures, Freehold Fixtures, fittings & Land & fittings & fittings & Land & fittings & equipment buildings equipment Total equipment buildings equipment Total (finance lease) (owned) (owned) 2022 (finance lease) (owned) (owned) 2021 Group £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Cost 1 April 22 5 547 574 22 10 494 526 Additions - - 110 110 - - 54 54 Disposals (22) - (126) (148) - (5) (1) (6) 2021 2022	Fixtures, Freehold Fixtures, Fixtures, Freehold Fixtures, fittings & Land & fittings & fittings & Land & fittings & equipment buildings equipment Total equipment buildings equipment Total (finance lease) (owned) (owned) 2022 (finance lease) (owned) (owned) 2021 Group £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Cost 1 April 22 5 547 574 22 10 494 526 Additions - - 110 110 - - 54 54 Disposals (22) - (126) (148) - (5) (1) (6) 2021 2022	2021
Cost 1 April Additions Disposals		22 10 494 526 - - 54 54 - (5) (1) (6)
31 March	- 5 531 536	22 5 547 574
Depreciation 1 April Disposals Charge for the year	22 - 472 494 (22) - (124) (146) - - 51 51	22 - 433 455 - - (1) (1) - - 40 40
31 March	- - 399 399	22 - 472 494
Net book value Preceeding 31 March	- 5 75 80	- 10 61 71
31 March	- 5 132 137	- 5 75 80
Fixtures, Freehold Fixtures, Fixtures, Freehold Fixtures, fittings & Land & fittings & fittings & Land & fittings & equipment buildings equipment Total equipment buildings equipment Total (finance lease) (owned) (owned) 2022 (finance lease) (owned) (owned) 2021 Charity £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Cost 1 April 22 5 463 490 22 10 410 442 Additions - - 110 110 - - 54 54 Disposals (22) - (126) (148) - (5) (1) (6) 2021 2022		2021
		22 10 410 442 - - 54 54 - (5) (1) (6)
31 March - 5 447 452		22 5 463 490
Depreciation 1 April 22 - 388 410 Disposals (22) - (124) (146) Charge for the year - - 51 51		22 - 349 371 - - (1) (1) - - 40 40
31 March - - 315 315		22 - 388 410
Net book value Preceeding 31 March - 5 75 80		- 10 61 71
31 March - 5 132 137		- 5 75 80

ROYAL SOCIETY OF WILDLIFE TRUSTS 46 ANNUAL REPORT & ACCOUNTS 2021-22

15. INVESTMENTS

Investments in subsidiaries	Charity £'000 £'000 2022 Group	2021
		Group Charity £'000 £'000
The Wildlife Trusts Services Limited and other subsidiaries - £1 ordinary shares - - The Wildlife Trusts Services Limited - 5%preference shares 50 -		- - - 50
Total subsidiary investment Other investments reflects holdings at market value	50 1,746 - 1,746	- 50 1,303 1,303
Total investments	1,796 1,746	1,303 1,353
Analysis of movements in other investments Group and charity	Unrestricted Total 2022 £'000 £'000 2022 Funds	2021
		Unrestricted Total Funds 2021 £'000 £'000
Market value at 1 April Add: Additions at cost Less: Investment management fees Add: Net gain on revaluation	1,303 400 (6) 49 1,303 400 (6) 49	1,081 1,081 - - (4) (4) 226 226
Market value at 31 March	1,746 1,746	1,303 1,303

Other investments reflects holding in both CCLA COIF Charities Ethical Investment Fund and Sarasin & Partners’ Climate Action Endowment Fund.

16. SOCIAL INVESTMENTS

16. SOCIAL INVESTMENTS
Amounts falling due within oneyear	Charity £'000 £'000 2022 Group	2021
		Group Charity £'000 £'000
Loans to Trusts due within one year Loans to Trusts due after more than one year	42 33 42 33	97 97 157 157
Total	75 75	254 254

The loans to Trusts balance relates to three Trust loans from the Strategic Development Fund. Repayment schedules vary between loans. In 2021/22 all loans were interest free. If loans are repaid late interest is charged at Bank of England base rate plus 7%.

17. DEBTORS

Amounts falling due within oneyear	Charity £'000 £'000 2022 Group	2021
		Group Charity £'000 £'000
Trade debtors Amounts due from group undertakings Other debtors Prepayments and income receivable	318 15 - 2,991 - - 3,016 388	529 423 - 8 1 1 2,629 2,609
Total	3,324 3,404	3,159 3,041
Amounts falling due after more than oneyear	Charity £'000 £'000 2022 Group	2021
		Group Charity £'000 £'000
Prepayments and income receivable	3 3	5 5
Total	3 3	5 5

ROYAL SOCIETY OF WILDLIFE TRUSTS 47 ANNUAL REPORT & ACCOUNTS 2021-22

18. SHORT-TERM INVESTMENTS

18. SHORT-TERM INVESTMENTS
Market value at 1 April Net additions	Group Charity £'000 £'000 2022	2021
		Group Charity £'000 £'000
	3,355 3,355 938 938	5,934 5,934 (2,579) (2,579)
Market value at 31 March	4,293 4,293	3,355 3,355

Short-term investments represent monies held on Deutsche Bank's Dublin based money market funds and interest-bearing deposit accounts at UK banks, with notice periods of up to 12 months.

19. CREDITORS

19. CREDITORS
Amounts falling due within oneyear	Group Charity £'000 £'000 2022	2021
		Group Charity £'000 £'000
Trade creditors Other taxes and social securities Other creditors Accruals Grants payable Deferred income	434 297 95 102 36 36 377 297 4,229 4,229 334 36	348 251 111 107 27 27 365 263 5,188 5,188 345 37
Total	5,505 4,997	6,384 5,873
Amounts falling due after more than oneyear	Group Charity £'000 £'000 2022	2021
		Group Charity £'000 £'000
Deferred income Grants payable	66 15 180 180	63 - 200 200
Total	246 195	263 200

20. ANNUAL OPERATING LEASE COMMITMENTS

Total operating lease commitments of the group and charity:	Land & buildings Other £'000 £'000 2022	2021
		Land & buildings Other £'000 £'000
Within one year Between one and five years	38 15 38 20	38 5 77 5
Total	76 35	115 10

ROYAL SOCIETY OF WILDLIFE TRUSTS 48 ANNUAL REPORT & ACCOUNTS 2021-22

21. DESIGNATED FUNDS

21. DESIGNATED FUNDS
Group and charity		2022
	Balance 1 April 2021 £'000	Balance Incoming Expended Transfers 31 March resources in year in year 2022 £'000 £'000 £'000 £'000 Movement in Funds
Strategic Development Fund Futures Fund Tubney Closure Fund National Legacy Campaign Fund Property Reinstatement Fund The Wildlife Trusts ICT Systems Projects Strategy Fund People's Postcode Lottery Fund (People's Postcode Lottery) Climate Fund (People's Postcode Lottery) Wilder Future Campaign (People's Postcode Lottery) Campaigns Fundraising Living Seas Marine Protected Areas (Michael Uren Foundation) Conferences, Seminars and Training Landscape Recovery Legal Advice Wildlife Trusts Wales Pension Deficit Provision Strategic Development Projects	1,207 400 105 200 150 339 621 769 319 242 158 33 15 23 70 - - 756 115	15 (308) (180) 734 - - 105 505 - - (105) - 576 (205) 20 591 - (40) 10 120 59 (199) 37 236 - (248) - 373 3,265 (2,555) (260) 1,219 4 (186) - 137 11 (129) 32 156 54 (104) 65 173 - (34) 7 6 - - (1) 14 - - 75 98 - (37) - 33 - (1) 100 99 183 (115) 119 187 - - 133 889 - (64) 118 169
Total Designated Funds	5,522	4,167 (4,225) 275 5,739

The Strategic Development Fund supports strategically important initiatives for The Wildlife Trusts movement. £190,000 of grants were made to Wildlife Trusts during the year. The fund also provides loans to Wildlife Trusts, reducing the cash available in the fund to £659,000. Where projects are managed by RSWT the funds are shown in Strategic Development Projects. £130,000 was allocated to these projects during the year. A further £50,000 was allocated to Wildlife Trusts ICT Systems Projects.

The Futures Fund sets aside funds to meet future needs.

The Tubney Closure Fund was created from funds arising on the transfer of Tubney Charitable Trust’s remaining assets to RSWT in March 2012. The balance of the fund has been transferred to the Futures Fund.

The National Legacy Campaign Fund supports the costs of our legacy campaign.

The Property Reinstatement Fund sets aside funds to meet the costs of refurbishing or relocating at the end of the charity’s Newark office lease.

The Wildlife Trusts ICT Systems Projects sets aside funds for future development of The Wildlife Trusts ICT systems, including a Customer Relationship Management system and intranet.

The Strategy Fund provides funds to assist with the implementation of the latest strategy across the Wildlife Trusts.

The People's Postcode Lottery Fund supports the Forest Schools initiative delivered by Trusts, campaigns and strategy. During the year £89,000 was transferred to General funds, £31,000 to Wilder Future Campaigns, £50,000 to other Campaigns, £20,000 towards National Legacy Campaign Fund, £20,000 to The Wildlife Trusts Development and Training Fund and £50,000 to Wildlife Trusts Wales. £2,100,000 was given out in grants to Trusts. The current balance of the fund will be used over the coming year.

The Climate Fund was set up through funding from People's Postcode Lottery draws.

The Wildlife Future Campaign (People's Postcode Lottery) fund received transfers from People's Postcode Lottery.

Campaigns includes funds raised to be used towards the target of seeing that at least 30% of land and seas be connected and protected for nature's recovery by 2030.

The Fundraising Fund is being used to support Trust fundraising.

ROYAL SOCIETY OF WILDLIFE TRUSTS 49 ANNUAL REPORT & ACCOUNTS 2021-22

21. DESIGNATED FUNDS (Cont.)

The Michael Uren Foundation donated £30,000 to RSWT in 2019/20 which has been designated towards Livings Seas Marine Protected Areas.

Conferences, Seminars and Training income has been designated to support face to face events and training in the future.

£70,000 of corporate donations were designated in 2020/21 for use on Landscape Recovery.

The Legal Advice fund has been created to cover legal costs relating to potential issues with the defined benefit pension scheme.

The Wildlife Trusts Wales designated project was set up to ensure that funds received by Wildlife Trusts Wales are ring-fenced.

The Pension Deficit Provision has been created to set aside funds to cover the value of the payments due under the schedule of contributions (see Note 28 for further details).

Comparative information: Group and charity		2021
	Balance 1 April 2020 £'000	Balance Incoming Expended Transfers 31 March resources in year in year 2021 £'000 £'000 £'000 £'000 Movement in Funds
Strategic Development Fund 591 Futures Fund 250 Tubney Closure Fund 105 Marketing Fund 10 National Legacy Campaign Fund 200 Property Reinstatement Fund 140 The Wildlife Trusts ICT Systems Projects 295 Strategy Fund 434 People's Postcode Lottery Fund (People's Postcode Lottery) 2,488 Climate Fund (People's Postcode Lottery) - Wilder Future Campaign (People's Postcode Lottery) 295 Campaigns - Fundraising 46 Living Seas Marine Protected Areas (Michael Uren Foundation) 30 Conferences, Seminars and Training 12 Landscape Recovery - Wildlife Trusts Wales - Pension Deficit Provision 732 Strategic Development Projects 153		8 (358) 966 1,207 - - 150 400 - - - 105 - - (10) - 998 (203) (795) 200 - - 10 150 40 (111) 115 339 3 (187) 71 321 635 (2,144) (210) 769 1,997 (1,678) - 319 4 (101) 44 242 171 (213) 200 158 - (13) - 33 - - (15) 15 8 (11) 14 23 - - 70 70 7 (7) - - - - 24 756 - (109) 71 115
Total Designated Funds 5,781		3,871 (5,135) 705 5,222

ROYAL SOCIETY OF WILDLIFE TRUSTS 50 ANNUAL REPORT & ACCOUNTS 2021-22

22. RESTRICTED FUNDS

22. RESTRICTED FUNDS
Group and charity		2022
	Balance 1 April 2021 £'000	Balance Incoming Expended Transfers 31 March resources in year in year 2022 £'000 £'000 £'000 £'000 Movement in Funds
Biffa Award (Landfill Communities Fund) Our Bright Future (National Lottery Community Fund) Nature FriendlySchools(Defra/DfE)	1,204 56 345	5,260 (4,058) (334) 2,072 1,922 (1,976) - 2 1,039 (1,384) - -
Grants Team funds 1,605 Building Momentum for_A Living Landscape_(Tubney) 835 Marine Protected Areas Fighting Fund (Tubney) 155 John Ellerman Fisheries (John Ellerman Foundation) 31 Marine Projects (Tubney Marine Protected Area Fighting Fund) 10 Wildflowers on the Verge (Rees Jeffreys Road Fund) 4 Henocq Law Trust Restricted Donation 23 Local Partnerships Development Fund (Aggregate Industries) 7 CaBA Programme (Rivers Trusts) 7 Healthy Minds (Cadent Foundation) 23 Nature Based Solutions 70 Transformation and Innovation Fund - Offshore Wind (Esmée Fairbairn Foundation) 35 Wild School Award (UPS) 17 Funding Nature (The Prism Charitable Trust) 5 Badger Campaign 6 Precious Peatlands - Nextdoor Nature (National Lottery Heritage Fund) - Network for Nature (National Highways) 11 Landscape Recovery (Restricted Donation) - Nature Recovery Networks (Natural England) - Wildlife Trusts Wales -		8,221 (7,418) (334) 2,074 - - (66) 769 - 7 (13) 149 - (1) - 30 - (13) 13 10 - - - 4 - - - 23 - (3) - 4 2 - - 9 - (13) - 10 100 (81) - 89 125 (42) - 83 67 (50) - 52 - - (10) 7 - (5) - - - - - 6 980 (546) - 434 1 (1) - - 842 (838) - 15 10 (10) - - 42 (30) - 12 161 (69) (58) 34
RSWT (England & UK functions) 1,239		2,330 (1,695) (134) 1,740
Total Restricted Funds 2,844		10,551 (9,113) (468) 3,814

Biffa Award funds are contributed by Biffa Group Ltd under the Landfill Communities Fund. In 2020/21 £324,000 was transferred from the fund to General funds to cover the administration costs of the programme. A further £10,000 of the fund contributed to the Designated Property Reinstatement Fund.

Our Bright Future is a grants programme funded by the National Lottery Community Fund which has a portfolio of 31 projects across the UK.

RSWT is one of 11 partners working together to deliver the Nature Friendly Schools project, which is funded by Defra and DfE. The project supports the delivery of increased outdoor learning in recruited schools. The project ended on 31st March 2022.

Tubney Charitable Trust made a substantial contribution to our work on A Living Landscape and Living Seas, prior to its closure in March 2012. £60k of the Building Momentum for A Living Landscape fund was used in the year towards our work with corporates in helping to improve land usage. The Marine Protected Areas Fighting Fund is available for RSWT and other conservation charities to apply for funding towards marine projects which help protect seas around the UK.

The Henocq Law Trust Restricted Donation is restricted for use towards education.

The Cadent Foundation provided £254,000 for the Healthy Minds project. Four Wildlife Trusts are delivering the projects which connect people with nature to improve health and wellbeing.

RSWT is receiving three years of funding to support our work in publishing and evidencing how Nature Based Solutions can tackle the global climate crisis and benefit communities and the economy.

RSWT secured two years of Transformation and Innovation funding to support collective digtal development.

Three years of funding has been secured from the Esmée Fairbarin Foundation to support work on Offshore Wind, working to minimise the harm to the marine environment resulting from expansion of offshore wind farms.

ROYAL SOCIETY OF WILDLIFE TRUSTS 51 ANNUAL REPORT & ACCOUNTS 2021-22

22. RESTRICTED FUNDS (Cont.)

RSWT secured funding for a Precious Peatlands project . This funding will support eight Wildlife Trusts in restoring and aquiring peatland in their area.

Network for Nature is a four year programme funded by National Highways to focus on improving, creating and restoring habitat that has been impacted by historic road building activity.

Natural England has provided grant funding for insight work into Nature Recovery Networks.

Wildlife Trusts Wales' restricted projects include Stand for Nature Wales youth climate change project and Peatland Restoration Project.

Comparative information: Group and charity		2021
	Balance 1 April 2020 £'000	Balance Incoming Expended Transfers 31 March resources in year in year 2021 £'000 £'000 £'000 £'000 Movement in Funds
Biffa Award (Landfill Communities Fund) Our Bright Future (National Lottery Community Fund) Nature FriendlySchools(Defra/DfE)	1,284 58 403	3,923 (3,696) (307) 1,204 4,446 (4,448) - 56 1,480 (1,538) - 345
Grants Team funds Building Momentum for_A Living Landscape_(Tubney) Marine Protected Areas Fighting Fund (Tubney) John Ellerman Fisheries (John Ellerman Foundation) Marine Projects (Tubney Marine Protected Area Fighting Fund) Wildflowers on the Verge (Rees Jeffreys Road Fund) Henocq Law Trust Restricted Donation Local Partnerships Development Fund (Aggregate Industries) Network for Natures Recovery (Highways England) Rethink HS2 (Catalyst Foundation) CaBA Programme (Rivers Trusts) Healthy Minds (Cadent Foundation) Nature Based Solutions (Samworth Foundation) Offshore Wind (Esmée Fairbairn Foundation) Website development (National Lottery Heritage Fund) Wild School Award (UPS) Funding Nature (The Prism Charitable Trust) Badger Campaign Nature RecoveryNetworks(Natural England)	1,745 1,085 184 32 11 4 25 56 8 2 10 - - - - - - - -	9,849 (9,682) (307) 1,606 - - (250) 835 - (27) (2) 155 - (1) - 31 - (1) - 10 - - - 4 10 (12) - 23 - (49) - 7 81 (78) - 11 - (2) - - 1 (4) - 7 254 (231) - 23 97 (27) - 70 67 (32) - 35 28 (28) - - 17 - - 17 10 (5) - 5 7 (1) - 6 2 (2) - -
RSWT (England & UK functions)	1,417	574 (500) (252) 1,239
Total Restricted Funds	3,162	10,423 (10,182) (559) 2,844

ROYAL SOCIETY OF WILDLIFE TRUSTS 52 ANNUAL REPORT & ACCOUNTS 2021-22

23. ANALYSIS OF GROUP NET ASSETS BETWEEN FUNDS

Fund balances at 31 March 2022 are represented by:

Group Note	2022
	Total General Designated Restricted Funds £'000 £'000 £'000 £'000 Unrestricted
Tangible fixed assets 14 Investments 15 Social investments 16	125 12 - 137 1,746 - - 1,746 - 75 - 75
Fixed assets Stock Debtors: amounts falling due within one year 17 Debtors: amounts falling due after more than one year 17 Short-term investments 18 Cash and bank	1,871 87 - 1,958 37 - - 37 727 382 2,295 3,404 3 - - 3 - 2,000 2,293 4,293 598 4,148 2,955 7,701
Current assets Grants payable: amounts falling due within one year Other creditors: amounts fallingdue within oneyear	1,365 6,530 7,543 15,438 204 564 3,460 4,228 874 134 269 1,277
Current liabilities 19 Long term liabilities 19 Pension deficit 28	1,078 698 3,729 5,505 66 180 - 246 - - - -
Total net assets	2,092 5,739 3,814 11,645

Comparative information: Group	2021
	Total General Designated Restricted Funds £'000 £'000 £'000 £'000 Unrestricted
Tangible fixed assets Investments Social investments	80 - - 80 1,303 - - 1,303 - 254 - 254
Fixed assets Stock Debtors: amounts falling due within one year Debtors: amounts falling due after more than one year Short-term investments Cash and bank	1,383 254 - 1,637 7 - - 7 748 347 2,064 3,159 5 - - 5 - 1,000 2,355 3,355 951 5,522 2,368 8,841
Current assets Grants payable: amounts falling due within one year Other creditors: amounts fallingdue within oneyear	1,711 6,869 6,787 15,367 286 1,468 3,434 5,188 754 127 315 1,196
Current liabilities Long term liabilities Pension deficit	1,040 1,595 3,749 6,384 63 6 194 263 324 - - 324
Total net assets	1,667 5,522 2,844 10,033

ROYAL SOCIETY OF WILDLIFE TRUSTS 53 ANNUAL REPORT & ACCOUNTS 2021-22

24. NOTES TO THE CASH FLOW STATEMENT

24. NOTES TO THE CASH FLOW STATEMENT	24. NOTES TO THE CASH FLOW STATEMENT
2022 2021 Group £'000 £'000
Reconciliation of net income / (expenditure) to net cash provided by / (used in) operating activities Net income/ (expenditure) for the reporting period (as per the statement of financial activities) 1,442 (490) Depreciation 51 40 Gain on investments (49) (226) Investment management fees 6 4 Investment income (42) (52) New loans issued to Trusts - (199) Loan repayments received 179 158 Gain on sale of fixed assets (5) (15) Increase in stock (30) (1) Increase in debtors (243) (860) (Decrease) / increase in creditors (1,050) 1,282
Net cash provided by / (used in) operating activities	259 (359)
Analysis of cash and cash equivalents	2022 2021 £'000 £'000
Cash at bank and in hand Cash deposits	7,701 8,841 4,293 3,355
Net cash and cash equivalents	11,994 12,196
Movements in cash and cash equivalents	2022
	At 1st April Cashflow At 31 March £'000 £'000 £'000
Cash at bank and in hand Cash deposits	8,841 (1,140) 7,701 3,355 938 4,293
Net cash and cash equivalents	12,196 (202) 11,994
Comparative information: Movements in cash and cash equivalents	2021
	At 1st April Cashflow At 31 March £'000 £'000 £'000
Cash at bank and in hand Cash deposits	6,603 2,238 8,841 5,934 (2,579) 3,355
Net cash and cash equivalents	12,537 (341) 12,196

25. CONTINGENT ASSETS

Future legacy income notified but not yet included within these financial statements is detailed in Note 1.

26. CONTINGENT LIABILITIES

The charity participates in and is the principal employer of the Wildlife Trusts Pension Scheme, a multi-employer pension scheme, as described in Note 28. During the year ended 31 March 2022, the Trustees of the charity were made aware of a potential issue relating to the defined benefit section of the Scheme and legal advice is being taken to clarify the issue. A detailed investigation is currently underway to establish the extent to which this could result in financial liability to RSWT and other participating employers. As it is not possible to reliably estimate the value of any potential liability, no provision has been made for this in the financial statements above the setting aside of a designated fund to cover the net present value of the deficit recovery payments which RSWT continues to make on an ongoing basis (as described in Note 28).

27. RELATED PARTY TRANSACTIONS

The charity, RSWT has one active wholly owned subsidiary, The Wildlife Trusts Services Limited. An overview of transactions between

the two organisations can be found in Note 12.

RSWT’s governing body, Council, includes a number of Trustees and Chief Executives from individual Wildlife Trusts across the federation of The Wildlife Trusts. No individual Trust benefits from their representation on the Council.

ROYAL SOCIETY OF WILDLIFE TRUSTS 54 ANNUAL REPORT & ACCOUNTS 2021-22

28. PENSION COSTS

The Society operates two pension arrangements: a Royal London group personal pension, and The Wildlife Trusts Pension Scheme. Auto-enrolment into the group personal pension scheme commenced in July 2014.

The Wildlife Trusts Pension Scheme (WTPS)

The WTPS is a multi-employer scheme with RSWT acting as the lead employer on behalf of 12 other Wildlife Trusts. The defined contribution section of the Scheme, which included further Trusts, was closed with effect from 31 March 2019.

The defined benefit or ‘final salary’ category closed to future accrual of benefits in September 2005. This section of the Scheme provides retirement benefits based on members’ salaries when they left employment. The assets of the Scheme are held in a separately administered fund and the Scheme is administered by the Trustee (independent of the Employers) who is responsible for ensuring that the Scheme is sufficiently funded to meet current and future obligations. However, the assets and liabilities are not segregated between the Employers.

The liabilities set out in this note have been calculated based on the preliminary results of the full Scheme Funding Assessment as at 31 March 2019, updated to 31 March 2022. The present value of the defined benefit obligation was measured using the projected unit credit method.

credit method.
	2022	2021
	£'000	£'000
Pension liability at 1 April	324	504
Contributions paid	(197)	(199)
Costs included in Net income/(expenditure)	43	74
Movement of pension deficit provision (Note 7)	(154)	(125)
Remeasurements included in Other recognised gains/(losses)	(170)	(55)
Pension provision at 31 March on Defined Benefit basis	-	324

The Employers have agreed a funding plan with the Trustee. The FRS102 valuation at 31 March 2022 showed a surplus of £366,000 (2021: £324,000 liability) but with uncertainty over the recoverability of this sum, nil asset has been recognised in the accounts. A Designated Fund of £889,000 (2021: £756,000) exists to cover the net present value of the deficit recovery payments at the same date, up to the end of the current Schedule of Contributions which is August 2026.

The following disclosures are based on calculations carried out as at 31 March 2022 by an independent qualified actuary.

Changes in the present value of the defined benefit obligation

Changes in the present value of the defined benefit obligation
	2022	2021
	£'000	£'000
Defined benefit obligation at start of year	4,337	3,909
Benefits paid	(161)	(144)
Administration expenses	38	63
Interest expense	83	87
Remeasurements - actuarial gains and (losses)	(432)	422
Defined benefit obligation at end of year	3,865	4,337

ROYAL SOCIETY OF WILDLIFE TRUSTS 55 ANNUAL REPORT & ACCOUNTS 2021-22

28. PENSION COSTS (Cont.)

Changes in the fair value of assets

Changes in the fair value of assets
	2022	2021
	£'000	£'000
Fair value of assets at start of year	4,013	3,405
Interest income	78	76
Remeasurements - return on Scheme assets excluding interest income	104	477
Employer contributions	197	199
Benefits paid	(161)	(144)
Fair value of assets at end of year	4,231	4,013

Costs relating to defined benefit scheme included in the SOFA

Costs relating to defined benefit scheme included in the SOFA
	2022	2021
	£'000	£'000
Interest expense	(83)	(87)
Interest income	78	77
Administration expenses	(38)	(64)
Costs included in Net income/(expenditure)	(43)	(74)
Return on Scheme assets excluding interest income	104	477
Actuarial gains and (losses)	432	(421)
Net surplus on scheme not recognised in the accounts	(366)	-
Remeasurements included in Other recognised gains/(losses)	170	56
Net defined benefit liability recognised in the balance sheet
	2022	2021
	£'000	£'000
Fair value of Scheme assets	4,231	4,013
Defined benefit obligation	(3,865)	(4,337)
Defined benefit asset not recognised in the accounts	(366)	-
Asset / (liability) recognised in the balance sheet	-	(324)
Principal assumptions
	2022	2021
	per annum per annum
Discount rate	2.65%	1.95%
Retail Prices Index (RPI) Inflation	3.65%	3.45%
Consumer Prices Index (CPI) Inflation	2.85%	2.65%
Future increases to deferred pensions	2.85%	2.65%
Rate of increase to pensions in payment:
Fixed 5% per annum	5.00%	5.00%
RPI max 5% per annum	3.35%	3.20%
	2022	2021
	years	years
Life expectancy of a male aged 65 at the Balance Sheet date	22.4	22.7
Life expectancy of a male aged 65 in 20 years from the Balance Sheet date	23.7	24.0
Life expectancy of a female aged 65 at the Balance Sheet date	24.9	25.0
Life expectancy of a female aged 65 in 20 years from the Balance Sheet date	26.3	26.4

Mortality (before and after retirement) assumptions for both years: Males: 96% of S3PA, Females: 95% of S3PA. CMI_2019 / CMI_2020 with a long term rate of improvements of 1.25% per annum and initial addition to mortality improvements of 0.5% and w2020 of 15%.

ROYAL SOCIETY OF WILDLIFE TRUSTS 56 ANNUAL REPORT & ACCOUNTS 2021-22

28. PENSION COSTS (Cont.)

Cash commutation assumptions for both years: Members are assumed to take 25% of their pension as tax-free cash, subject to HMRC restrictions, using cash commutation factors currently in force.

For the avoidance of doubt, the financial assumptions above are in absolute terms. They are single equivalent rates, however in practice full yield curves are used.

Asset breakdown

The major categories of Scheme assets as a percentage of total Scheme assets are:

	2022	2021
UK Equities	4.7%	4.3%
Overseas Equities	31.5%	29.9%
Diversified Growth Funds	23.0%	23.5%
UK Government Fixed Interest Bonds	12.5%	14.3%
UK Government Index Linked Bonds	15.3%	14.7%
UK Corporate Bonds	8.6%	9.7%
Property	2.5%	2.1%
Cash	1.9%	1.5%
Total	100.0%	100.0%

The pension scheme has not invested in any of the Royal Society of Wildlife Trusts' own financial instruments, nor in properties or other assets used by the Royal Society of Wildlife Trusts. The assets are all quoted in active markets.

Pension contributions in the year

Pension contributions in the year
	2022	2021
	£'000	£'000
Wildlife Trusts Pension Scheme - RSWT	197	190
Wildlife Trusts Pension Scheme - Section 75 allocation	-	8
Group personal pension scheme	364	287
Total employer pension contributions	561	485

Employer contributions include contributions in respect of salary sacrifice arrangements.

The charity makes contributions to the scheme deficit in accordance with an agreed recovery plan. The charity paid contributions of £197,000 in the year ended 31 March 2022 (2021: £199,000). The amount paid by the charity exceeds the expense for the year as calculated on an actuarial basis by £154,000 (2021: £125,000). This difference is separately presented as a reduction in expenditure in Note 7. Estimated contributions payable in 2022/23 are £203,000.

Pension contribution liabilities

The following pension contributions were payable at the year-end and are included within creditors:

	2022	2021
	£'000	£'000
Wildlife Trusts Pension Scheme	17	16
Group personal pension schemes	36	26
Total pension contribution liabilities	53	42

ROYAL SOCIETY OF WILDLIFE TRUSTS 57 ANNUAL REPORT & ACCOUNTS 2021-22

29. GRANT EXPENDITURE

RSWT Grants

RSWT Grants Alderney Wildlife Trust Avon Wildlife Trust Berkshire, Buckinghamshire & Oxfordshire Wildlife Trust Cheshire Wildlife Trust Cornwall Wildlife Trust Cumbria Wildlife Trust Derbyshire Wildlife Trust Devon Wildlife Trust Dorset Wildlife Trust Durham Wildlife Trust Essex Wildlife Trust Gloucestershire Wildlife Trust Gwent Wildlife Trust Hampshire and Isle of Wight Wildlife Trust Herefordshire Wildlife Trust Hertfordshire & Middlesex Wildlife Trust Isles of Scilly Wildlife Trust Kent Wildlife Trust Leicestershire & Rutland Wildlife Trust Lincolnshire Wildlife Trust London Wildlife Trust Manx Wildlife Trust Montgomeryshire Wildlife Trust Norfolk Wildlife Trust North Wales Wildlife Trust Northumberland Wildlife Trust Nottinghamshire Wildlife Trust Radnorshire Wildlife Trust Scottish Wildlife Trust Sheffield Wildlife Trust Shropshire Wildlife Trust Somerset Wildlife Trust Staffordshire Wildlife Trust Suffolk Wildlife Trust Surrey Wildlife Trust Sussex Wildlife Trust Tees Valley Wildlife Trust The Wildlife Trust for Bedfordshire, Cambridgeshire and Northamptonshire The Wildlife Trust for Birmingham and the Black Country Ltd The Wildlife Trust for Lancashire, Manchester & North Merseyside The Wildlife Trust of South & West Wales Ulster Wildlife Warwickshire Wildlife Trust Wildlife Trusts Wales Wiltshire Wildlife Trust Worcestershire Wildlife Trust Yorkshire Wildlife Trust Grants to Non-Trusts Under £25,000	2022			Grand Total £'000 10 70 38 72 13 17 177 101 13 13 11 35 62 32 62 26 10 46 70 114 88 10 12 52 286 209 67 36 518 87 13 124 15 78 27 21 10 94 82 393 75 10 93 - 72 14 232 (3)	2021
	£'000 £'000 10 - 66 - 10 - 66 - 10 - 10 - 10 162 66 - 10 - 10 - 10 - 10 18 60 - 10 (13) 10 - 10 - 10 - 10 - 66 - 10 - 66 - 10 - 11 - 10 - 28 - 205 - 66 - 7 25 505 - 66 (2) 10 - 10 - 10 - 10 - 10 - 10 - 10 - 10 - 66 - 116 - 69 - 10 - 66 - - - 10 - 10 - 225 - - - People's Postcode Lottery Strategic Develop- ment Fund		Other £'000 - 4 28 6 3 7 5 35 3 3 1 7 2 35 52 16 36 4 104 22 1 42 258 4 1 4 13 23 3 114 5 68 17 11 - 84 16 277 6 - 27 - 62 4 7 (3)		£'000 £'000 20 - 86 24 20 6 106 - 20 5 150 - 40 - 155 - 25 - 20 - 47 - 20 15 23 - 41 - 20 6 20 - 20 18 23 - 86 - 20 - 86 10 20 - 20 45 20 - 20 10 225 - 106 - 30 - 530 (3) 106 - 20 5 121 28 20 - 20 - 20 - 181 - 23 - 46 - 86 23 136 - 45 61 20 - 86 - 200 - 24 20 20 - 434 - - - People's Postcode Lottery Strategic Develop- ment Fund		Other £'000 - 8 23 8 - 6 102 13 5 5 15 10 3 20 4 11 - 13 6 19 27 - 1 11 4 4 3 - 17 27 4 6 6 10 11 16 1 19 40 81 8 1 7 - 7 6 34 12	Grand Total £'000
								20 118 49 114 25 156 142 168 30 25 62 45 26 61 30 31 38 36 92 39 123 20 66 31 34 229 109 30 544 133 29 155 26 30 31 197 24 65 149 217 114 21 93 200 51 26 468 12
Total RSWT grants	2,100	190	1,417	3,707	3,627	273	634	4,534

Figures in brackets indicate grants previously offered which have been underspent or withdrawn by the Fund

ROYAL SOCIETY OF WILDLIFE TRUSTS 58 ANNUAL REPORT & ACCOUNTS 2021-22

29. GRANTS EXPENDITURE (Cont.)

Biffa Award Grants

Biffa Award Grants
306th Manchester Scouts Avon Wildlife Trust Bebington Sea Cadets Belbroughton Recreation Centre Berkshire, Buckinghamshire & Oxfordshire Wildlife Trust Birch Community Association Boston Spa Village Hall Bucklesham and Foxhall Village Hall Carleton Rode Village Hall Cavendish Hall Cheshire Wildlife Trust Cogenhoe & Whiston VHMC Colliers End Village Hall Community Life Church Creeting St Mary Diamond Jubilee Hall Crewe United Football and Social Club Crondall Village Hall Derbyshire Wildlife Trust Devon Wildlife Trust Dunston Activity Centre Durham Wildlife Trust Eppleton Cricket Club Essex Wildlife Trust Flixton Cricket and Sports Club Glascote Methodist Church Gloucestershire Wildlife Trust Great Dalby Playground Project Greetham Jubilee Community Centre Harbury Village Hall Heads Together Productions Henbury Village Hall Hilton Village Hall Kent Wildlife Trust Lincolnshire Wildlife Trust Littleworth Community Association Monkchester Community Association CIO	2022 £'000 17 - 74 - - 75 33 13 20 - - (2) 15 - 72 (9) - (3) - - 44 - 20 16 - 25 20 - - - - 48 750 - 38	2021 2022 £'000 £'000 - Nedging with Naughton Village Hall and Community Council 5 20 Norfolk Wildlife Trust 44 - Nutley Memorial Trust CIO 15 33 Otterbourne Village Hall 34 34 Oulton Institute - - Pelsall Methodist Church - 51 RSPB 301 - RUC Athletics Association 54 - Scotter War Memorial Playing Fields - - Sheffield Wildlife Trust 19 43 Somerset Wildlife Trust - 41 South London Harriers 29 15 Spen Valley Civic Society - - St Chad's Church Hall 17 11 St Edburgha's Church Yardley 40 - St John the Baptist Parish 11 75 St John the Divine Thorpe Edge 14 (1) St Peters Pavilion Ltd 30 41 Stretford Church Hall and Institute Limited 15 44 Swannington Play Area - 75 Teesside Athletic FC Limited 20 - Thatto Heath Crusaders ARLFC - 264 The Cathedral of St John the Baptist Trust 41 - The Customs House Trust Ltd 391 - The Deep 381 66 The Froglife Trust 51 - The Pelham CIO 75 - The Sheppey Hall Trust - 66 The Wildlife Trust for Lancashire, Manchester & North Merseyside 10 31 The Woodland Trust 799 41 Walsall Rugby Football Club Ltd 65 (2) West Bromwich Baptist Church 50 - Wiltshire Wildlife Trust - - Windmill Community Church 49 75 Winterton Bowling & Recreation Club - - Yorkshire Wildlife Trust 71 Total Biffa Award grants 3,897	2021 £'000
			70 - - - 75 74 470 - 70 - 55 - (5) - - - - - - 6 - (15) - - - - - 39 671 550 - - 443 - 75 -
			3,601

Figures in brackets indicate grants previously offered which have been underspent or withdrawn by the Fund

ROYAL SOCIETY OF WILDLIFE TRUSTS 59 ANNUAL REPORT & ACCOUNTS 2021-22

29. GRANTS EXPENDITURE (Cont.)

Our Bright Future Grants

Our Bright Future Grants
2022 £'000 151 123 66 - 54 83 - - 140 71 39 - 85 Avon Wildlife Trust Belfast Hills Partnership Trust Centre for Sustainable Energy Cornwall Wildlife Trust Down to Earth Project Falkland Stewardship Trust Foundation for Social Entrepreneurs t/a UnLtd Friends of the Earth Trust Global Feedback Limited Groundwork London Hill Holt Wood Impact Arts (Projects) Ltd Middlesbrough Environment City Trust Ltd	2021 2022 £'000 £'000 126 North Wales Wildlife Trust (19) 92 Probe Limited 7 112 Sense 153 210 Shropshire Wildlife Trust 78 132 St Mungo Community Housing Association - 136 Students Organising for Sustainability UK 60 143 The Wildlife Trust for Lancashire, Manchester & North Merseyside 34 167 Ulster Wildlife 62 261 UpRising Leadership - 168 Wiltshire Wildlife Trust 92 162 Women's Technology Training Limited - 171 Yorkshire Dales Millennium Trust 63 99 Yorkshire Wildlife Trust 21 Total Our Bright Future grants 1,363	2021 £'000
		219 128 76 147 117 137 150 177 101 109 326 115 124
		3,905

Nature Friendly Schools

Nature Friendly Schools
Devon Wildlife Trust Essex Wildlife Trust Federation of Groundwork Trusts Field Studies Council Sensory Trust	2022 £'000 20 68 92 218 145	2021 2022 £'000 £'000 26 Shropshire Wildlife Trust 56 72 The Wildlife Trust for Birmingham and the Black Country 117 155 The Wildlife Trust for Lancashire, Manchester & North Merseyside 186 46 Yorkshire Wildlife Trust 186 152 Young Minds Trust 81 Total Nature Friendly Schools grants 1,169	2021 £'000
			54 174 225 262 151
			1,317

Figures in brackets indicate grants previously offered which have beens underspent or withdrawn by the Fund