2023-12-31-accounts

Company & Charity numbers: RC000442 & 209961

Royal Agricultural Society of England

Trustees' report and financial statements

for the year ended 31 December 2023

Royal Agricultural Society of England

Contents

	Page
Reference and administrative details of the Society, its Trustees and advisers	1
Chairman's statement	2 - 3
Trustees' report	4 - 8
Independent auditor's report on the financial statements	9 - 12
Consolidated statement of financial activities	13
Consolidated balance sheet	14 - 15
Society balance sheet	16 - 17
Consolidated statement of cash flows	18
Notes to the financial statements	19 - 48

Royal Agricultural Society of England

Reference and administrative details of the Society, its Trustees and advisers for the year ended 31 December 2023

Honorary Trustees	His Most Gracious Majesty The King
	H.R.H. The Duke of Gloucester, KG, GCVO, GCStJ, FRIBA
	H.R.H. The Duchess of Edinburgh, GCVO, DStJ, CD
	R.F.H. Cowen, CBE
Trustees	Philip Gready, Chair
	Joanna Price
	Nick Tapp FRAgS
	Michael Fiddes
	Julie Butler
	Paul Westaway (appointed 18 October 2023)
	Robert Drewett (appointed 18 October 2023)
	Alastair Morrison (resigned 18 July 2023)
Company and Charity registered numbers RC000442 & 209961 Principal office Stoneleigh Park Kenilworth Warwickshire CV8 2LZ Chief executive officer David Grint Independent auditors Dains Audit Limited 15 Colmore Row Birmingham B3 2BH Bankers Coutts & Co 440 Strand London WC2R 0QS Solicitors (charity, governance, commercial) Wright Hassall LLP Olympus Avenue Leamington Spa Warwickshire CV34 6BF

Page 1

Royal Agricultural Society of England

Chairman's statement for the year ended 31 December 2023

The Chairman presents his statement for the year.

I am pleased to report that 2023 has been a particularly busy year as the Society strives to make a more impactful contribution to the complex debates and issues facing the nation in its use of land and for the agricultural industry more broadly.

Under the leadership of our new CEO, David Grint, and with the support of the Trustees three strategic objectives have been set: -

1. To establish the Society as a force for positive change within the agricultural sector, focusing on the application of science to meet the future challenges that the sector faces.

2. To create the infrastructure that facilitates a sustainable future for the Society.

3. To be the leading independent agricultural organisation supporting farmers with the science of farming and its benefit to the wider society.

In March 2022 the Society published a comprehensive report entitled ‘Farm of the Future – Journey to Net Zero’ that offers farmers, land managers, industry stakeholders and policymakers a vision of change for the industry. ‘Farm of the Future’ was very well received. I am pleased to report that in 2023, the Society was awarded further grant funding by the Esmée Fairbairn Foundation to disseminate the learnings and help to enable the transition to a low-carbon farming future. This very generous funding has allowed the Society to share information and make nature friendly farming techniques more accessible to farmers; facilitate direct engagement of farmers in activities that promote nature friendly farming and input reduction and ultimately change attitudes among farmers and allow them to deliver practical change on farms. Notably, some 20,000 free copies of ‘Journey to Net Zero – A Guide to Action’ were circulated with the Farmers Guardian in the summer of 2023. Additionally, a series of action groups, demonstration events and farm study tours, were conducted throughout 2023, engaging with the farming community on scale and cross sector. Similar events and activities are planned for 2024 with the support of Innovation for Agriculture (IfA).

The Society also seeks to re-engage with its existing members and to reach out to new members to help support its strategic objectives. Membership administration is now being co-ordinated by a specialist team; the RASE website has been greatly enhanced to showcase its activities; seminars, webinars and podcasts have been curated on a range of relevant topics and membership events have been scheduled throughout 2024 which kicked off with the RASE New Year lectures presented by Professor Jude Capper FRASE who asked 'Are cows really killing the planet?' and Professor Simon Pearson delivering a captivating lecture entitled 'Feeding the planet with Agri-tech – what’s next?'.

The Society continues to celebrate leadership in agriculture and the RASE Awards 2023 day was held in the wonderful surroundings of the Crown Estate in Windsor with the winners showcasing the best in class of the English agricultural sector:

Bledisloe Gold Medal, supported by Evelyn Partners, was awarded to the Courteenhall Estate in Northamptonshire and presented to Dr Johnny Wake in recognition of his outstanding stewardship of the estate in the ten years since taking over the running of Courteenhall Farms, during which time he has overseen its development from a primarily agricultural estate to one with a much more diverse and sustainable footing.

Excellence in Practical Farming, supported by Trinity Natural Capital Pro Council, was awarded to Rob Havard, in recognition of how he has used his farming knowledge and his experience as a trained ecologist to farm sustainably, both financially sense and environmentally.

National Agricultural Award, supported by Savills, was awarded to Dr Alastair Leake in recognition of his leadership of The Allerton Project, which has pioneered and popularised farming with nature.

Science and Technology Award, supported by Trinity AgTech, was awarded to Professor Rob Edwards in recognition of how he has championed the interaction between the farming industry and academia.

Brothers Paul and John Cherry were the first-time winners of the Farm of the Future Award, supported by Virgin Money, in recognition of how the Groundswell event has promoted regenerative agriculture and instilled confidence in many farmers to start their journey towards more sustainable farming systems.

Page 2

Royal Agricultural Society of England

Chairman's statement (continued) for the year ended 31 December 2023

Once again, the Awards brought people together to celebrate the leaders in the industry and to be inspired by what can be achieved. The Society are most grateful to the Crown Estate for hosting such an enjoyable day and for their generous support to the Society.

As I write this year’s Chairman’s Statement, I look forward to attending the British Pig and Poultry Fair that takes place at the NEC in Birmingham on 15th and 16th May 2024. The hosting of shows continues to be of critical importance to the Society both in terms of knowledge exchange and income generation. The delivery and management of this year’s event has been taken inhouse and I am most grateful to the team at Stoneleigh Park for their efforts in organising what I hope will be a step change in the event’s impact and reach. Over 300 exhibitors and 7,500 visitors are expected to attend this year’s event, comfortably accommodated across 19,500m2 of quality exhibition space. The Poultry and Innovation Theatres will be hosting 45 informative forums with expert and producer speakers and the DEFRA Minister, the Rt. Hon. Mark Spencer will be in attendance and opening the show.

The Society has worked alongside its sister charity, Innovation for Agriculture, for many years and in June 2023 RASE became the sole financial member of IfA. This change provides a secure financial platform for all those involved in supporting IfA and I am most grateful to the Board of IfA and its members for their input throughout the process.

From a financial perspective I am pleased to report that RASE generated a small but welcome surplus of £64,619 in 2023 it will be noted within the accounts that on consolidation the result improves to £255,086, principally due to recognition of negative goodwill of £113,00 as a one-off benefit following the change in RASE’s relationship with IfA. In achieving this result, I am particularly grateful to the estate of Tony Townsend for his very generous legacy, to the Esmée Fairbairn Foundation and to Savills for their substantial unrestricted donations. These are an essential part of our funding and enable us to carry out our charitable works.

I would like to thank the members of the RASE Membership Council for their continuing work of peer reviewing applications for the awarding of RASE Fellowship status (FRASE) to applicants from the membership base and led by its Chair, Ed Barnston. The Membership Council acts independently of RASE to ensure that RASE Fellows are leaders within the agricultural sector. Similarly, I would like to thank the RASE English Panel who review the CARAS awards, FRAgS and ARAgS, on behalf of the Society and under its Chair, Andrew Blenkiron.

Additionally, I would like to thank my fellow trustees for their hard work and continued support. I would especially like to acknowledge the guidance and encouragement that Alastair Morrison has given to the Board. Alastair stepped down as Trustee in 2023 after many years of service and we thank him enormously for his contributions and dedication. I am delighted to report that Paul Westaway and Robert Drewett agreed to become Trustees of the Society. This year I also welcome Emily Stillwell as Company Secretary to the Society and thank her for her considerable efforts over the years in administrating the work of the Board and RASE staff. I look forward to working with them all as the Society renews itself for the challenges that face agriculture in the years ahead.

Finally, I would like to express our profound thanks and appreciation to His Majesty King Charles III who has confirmed that he will accept Patronage of the Royal Agricultural Society of England which will be welcomed by all our members.

_________ P J Gready Chairman

Date: 14 May 2024

Page 3

Royal Agricultural Society of England

Trustees' report for the year ended 31 December 2023

The Trustees present their annual report together with the audited financial statements of the Society for the year 1 January 2023 to 31 December 2023.

Objectives and activities

a. Policies and objectives

The Objects for which the Society is constituted, according to its Royal Charter, are:

• To promote and improve the science, technology, art and practice of agriculture, forestry, horticulture, kindred activities and the husbandry of livestock (including horses) and land and to promote the application of improved methods and processes connected therewith by demonstration and other appropriate means.

• To promote agricultural and environmental education, research and development and experimental work by maintaining and conducting a learned Society and by publications, grants, and other means.

• To advance religion by the promotion of religious activities and values amongst rural communities in such ways as the Board of Trustees may from time to time determine.

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

b. Strategies for achieving objectives

Our aim is to be a forward thinking, vibrant, independent, and apolitical charity that aims to deliver value to the industry specifically focusing on Practice with Science in the Agricultural Sector:

Details of our strategies, objectives and activities are set out in the Chairman's statement on pages 2 & 3.

c. Activities undertaken to achieve objectives

Details of our activities are set out in the Chairman's statement on pages 2 & 3.

d. Main activities undertaken to further the Society's purposes for the public benefit

The Trustees consider that these objectives, activities and goals have a clear public benefit in enhancing the economic, social and cultural well being of rural communities.

In drafting these statements, the Trustees have complied with the duty in Chapter 1, Section 4 of the Charities Act 2011, to have due regard to the public benefit guidance published by the Charity Commission.

e. Review of activities

Details of our Achievements and Performance are set out in the Chairman's statement on page 2 & 3.

Page 4

Royal Agricultural Society of England

Trustees' report (continued) for the year ended 31 December 2023

Financial review

a. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Society has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

b. Review of financial performance

A review of financial performance is included in the Chairman's statement on pages 2 & 3.

Regular management accounts and forecasts are prepared and reviewed by the Trustees.

The principal source of income for the Society in 2023 is trading activities income. No events took place this year which is usually the principal source of income.

Information on Permanent Endowment, Restricted and Designated Funds is given in note 23 to the Financial Statements.

c. Financial management policies

To ensure the Society is managed efficiently and effectively, the Board of Trustees have delegated a range of day-to-day decision-making powers to the Executive Team, which reports directly to the Board of Trustees. The Board of Trustees has also established appropriate controls and reporting mechanisms to ensure that the Society operates within the scope of the powers delegated to it. The delegation policy is updated on an ongoing basis and is formally reviewed and approved by Trustees as amendments are required. The most recent review was in March 2012.

d. Reserves policy

The policy is to hold sufficient unrestricted funds to cover exceptional capital and operating expenditure which cannot be funded from the normal general contingency set aside within operational budgets. This policy would normally require holding total unrestricted operating funds of at least £500k. Total unrestricted funds at the yearend amounted to £6,883k (2022 - £6,640k). However, after allowing for designated funds of functional fixed assets in charitable use of £1,093k, funds tied up in investment property of £4,000k, a long-term rental prepayment of £577k and funds held in escrow of £591k, the resulting total free reserves were £622k (2022 - £352k).

e. Pension

Total unrestricted funds as shown in the accounts include a funding deficit of £Nil (2022 - £Nil) calculated under FRS102 in respect of the Charity's defined benefit pension scheme.

The full calculation showed a surplus of £4,394k (2022: £3,705k), but this cannot be recognised in the Financial Statements as it is not recoverable.

The Trustees believe that this funding calculation, which can vary considerably year on year according to the assumptions made at each year end, has no material effect on the Charity's cash flows in the short term, and that in the longer term its effects are sustainable out of future income. Hence, they consider that it should be disregarded for reserves policy purposes. The Trustees take their responsibilities to members of the Pension Fund very seriously and make it a high priority to ensure that obligations to members can be met.

Page 5

Royal Agricultural Society of England

Trustees' report (continued) for the year ended 31 December 2023

f. Grant making policy

The Society makes grants to organisations or individuals where these are considered valid in support of its charitable objectives.

g. Material investments policy and performance

Assets relating to endowment or restricted funds are invested with CCLA Investment Management Ltd in their Charities Investment Fund and Charities Deposit Fund. Movements in world markets over 2023 have led to a gain on investment assets of £9k (2022 - loss of £13k).

Structure, governance and management

a. Constitution

The Society is registered as a charitable company limited by guarantee and was set up by a Royal Charter.

The company is constituted under a Royal Charter dated 1840 and is a registered charity number 209961. The Society’s charter and bye-laws set out the composition and tenure of the Board of Trustees which comprises six elected members, four ex officio members (or other such number as the Trustees shall from time to time decide) and up to two additional members who can be co-opted on an annual basis. The non-elected Trustees serve for a period of three years and can be re-elected for a further three year period. At the end of the period of this report, there were five elected Trustees.

Trustees are recruited from Members of the Council of the Society. Newly appointed Trustees receive induction training.

The Trustees are responsible for determining the strategy of the Society and for its overall governance. The day to day implementation of strategy and operation of the Society are delegated to the senior executive team.

b. Methods of appointment or election of Trustees

The management of the Society is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.

c. Organisational structure and decision-making policies

To ensure the Society is managed efficiently and effectively, the Board of Trustees have delegated a range of day-to-day decision-making powers to the Executive Team which reports directly to the Board of Trustees. The Board of Trustees also has established appropriate controls and reporting mechanisms to ensure that the Society operates within the scope of the powers delegated to it. The delegation policy is updated on an ongoing basis and is formally reviewed and approved by Trustees as amendments are required. The most recent review was in March 2012.

d. Policies adopted for the induction and training of Trustees

It is anticipated that new trustees will be briefed on the history of the Society and all trustees are encouraged to attend Charity Trustee Training events to update and maintain their knowledge about statutory and other responsibilities.

Page 6

Royal Agricultural Society of England

Trustees' report (continued) for the year ended 31 December 2023

Structure, governance and management (continued)

e. Pay policy for key management personnel

When setting the remuneration of staff, the Society aims to achieve a balance between fair pay to attract and keep appropriately qualified staff to lead, manage and support the Society’s aims, and considerations of the Society’s financial objectives.

f. Financial risk management

The Trustees have assessed the major risks to which the Society are exposed, in particular those related to the operations and finances of the Society, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.

Plans for future periods

The Society continues to support the “Innovations for Agriculture” initiative and is preparing for the British Pig & Poultry Fair at NEC Birmingham in May 2024.

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).

The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial which give a true and fair view of the state of affairs of the Group and the Society and of their incoming resources and application of resources, including their income and expenditure, 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 of the Charities SORP (FRS 102);

• make judgements and accounting estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;

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

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Society's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Society and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Group and the Society and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:

• so far as that Trustee is aware, there is no relevant audit information of which the charitable group's auditors are unaware, and

• that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charitable group's auditors are aware of that information.

Page 7

Royal Agricultural Society of England

Trustees' report (continued) for the year ended 31 December 2023

Auditors

The auditors, Dains Audit Limited, have indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees.

Approved by order of the members of the board of Trustees and signed on their behalf by:

_________ Philip Gready Chairman

Date: 14 May 2024

Page 8

Royal Agricultural Society of England

Independent auditors' report to the Members of Royal Agricultural Society of England

Opinion

We have audited the financial statements of Royal Agricultural Society of England (the 'parent charity') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flowsthe consolidated statement of financial activities, the consolidated balance sheet, the society balance sheet, the consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

This has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

In our opinion the financial statements:

• give a true and fair view of the state of the Group's and of the parent charity's affairs as at 31 December 2023 and of the Group's incoming resources and application of resources, including its income and expenditure 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

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.

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 Group's or the parent 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.

Page 9

Royal Agricultural Society of England

Independent auditors' report to the Members of Royal Agricultural Society of England (continued)

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditors' report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the 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.

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 where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

• the information given in the Trustees' report is inconsistent in any material respect with the financial statements; or

• the parent charitable Society has not kept sufficient accounting records; or

• the parent charitable Society 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, the Trustees are responsible for the preparation of the financial statements which 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 Group's and the parent 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 Group or the parent charity or to cease operations, or have no realistic alternative but to do so.

Page 10

Royal Agricultural Society of England

Independent auditors' report to the Members of Royal Agricultural Society of England (continued)

Auditors' responsibilities for the audit of the financial statements

We have been appointed as auditor under section 151 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an 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 extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

• the senior statutory auditor ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

• we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the charity sector;

• we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the financial reporting legislation, Charities Act 2011, taxation legislation, anti-bribery, employment, and environmental and health and safety legislation;

• we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and

• identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

• making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and

• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

• performed analytical procedures to identify any unusual or unexpected relationships;

• tested journal entries to identify unusual transactions;

• assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

• investigated the rationale behind significant or unusual transactions.

Page 11

Royal Agricultural Society of England

Independent auditors' report to the Members of Royal Agricultural Society of England (continued)

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

• agreeing financial statement disclosures to underlying supporting documentation;

• reading the minutes of meetings of those charged with governance;

• enquiring of management as to actual and potential litigation and claims; and

• reviewing correspondence with HMRC, relevant regulators and the company’s legal advisors.

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

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 charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Dains Audit Limited

Statutory Auditor Chartered Accountants

Birmingham 14 May 2024

Dains Audit Limited are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 12

Royal Agricultural Society of England

Consolidated Statement of financial activities for the year ended 31 December 2023

Note Income and endowments from: Donations and legacies 4 Charitable activities 5 Other trading activities 6 Investments 7 Other income 8 Total income and endowments Expenditure on: Raising funds 9 Charitable activities 10 Total expenditure Net income / (expenditure) Net gains/(losses) on investments Net movement in funds before other gains/(losses) Gains on revaluation of fixed assets Net movement in funds Reconciliation of funds: Total funds brought forward 23 Net movement in funds Total funds carried forward 23	Unrestricted funds 2023 £000 276 66 570 14 113 1,039 571 225 796 243 - 243 - 243 6,640 243 6,883	Restricted funds 2023 £000 242 - - 3 - 245 - 242 242 3 - 3 - 3 47 3 50	Endowment funds 2023 £000 - - - - - - - - - - 9 9 - 9 111 9 120	Total funds 2023 £000 518 66 570 17 113 1,284 571 467 1,038 246 9 255 - 255 6,798 255 7,053	Total funds 2022 £000 153 18 329 4 - 504 433 152 585 (81) (13) (94) 600 506 6,292 506 6,798

Page 13

Royal Agricultural Society of England Registered number: RC000442

Consolidated balance sheet As at 31 December 2023

Note Fixed assets Intangible assets 16 Tangible assets 17 Investment property 18 Investments 19 Current assets Debtors: amounts falling due after more than one year 20 Debtors: amounts falling due within one year 20 Cash at bank and in hand Creditors: amounts falling due within one year 21 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 22 Total net assets Charity funds Endowment funds 23 Restricted funds 23 Unrestricted funds Designated funds 23 General funds 23 Total unrestricted funds 23 Total funds	577 445 1,599 2,621 (797) 6,261 622	2023 £000 - 1,092 4,000 159 5,251 1,824 7,075 (22) 7,053 120 50 6,883 7,053	593 350 863 1,806 (228) - 6,640	2022 £000 - 1,104 4,000 144 5,248 1,578 6,826 (28) 6,798 111 47 6,640 6,798

Page 14

Royal Agricultural Society of England Registered number: RC000442

Consolidated balance sheet (continued) As at 31 December 2023

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

_________ Philip Gready Chairman

Date: 14 May 2024

The notes on pages 19 to 48 form part of these financial statements.

Page 15

Royal Agricultural Society of England Registered number: RC000442

Society Balance sheet As at 31 December 2023

Note Fixed assets Tangible assets 17 Investments 19 Investment property 18 Current assets Debtors: amounts falling due after more than one year 20 Debtors: amounts falling due within one year 20 Cash at bank and in hand Creditors: amounts falling due within one year 21 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 22 Total net assets Charity funds Endowment funds 23 Restricted funds 23 Unrestricted funds Designated funds 23 General funds Total unrestricted funds Total funds	577 352 1,424 2,353 (717) 6,261 432	2023 £000 1,090 159 4,000 5,249 1,636 6,885 (22) 6,863 120 50 6,693 6,863	593 350 863 1,806 (228) - 6,640	2022 £000 1,104 144 4,000 5,248 1,578 6,826 (28) 6,798 111 47 6,640 6,798

Page 16

Royal Agricultural Society of England Registered number: RC000442

Society Balance sheet (continued) As at 31 December 2023

The Society's net movement in funds for the year was a surplus of £65,000 (2022 - £507,000).

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

_________ Philip Gready Chairman

Date: 14 May 2024

The notes on pages 19 to 48 form part of these financial statements.

Page 17

Royal Agricultural Society of England

Consolidated statement of cash flows for the year ended 31 December 2023

Note Cash flows from operating activities Net cash used in operating activities 26 Cash flows from investing activities Dividends, interests and rents from investments Purchase of tangible fixed assets Inherited on acquisition of subsidiary Net cash provided by investing activities Cash flows from financing activities Repayments of borrowing Net cash used in financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year 27	2023 £000 591 17 (14) 147 150 (5) (5) 736 863 1,599	2022 £000 (146) 4 (4) - - (5) (5) (151) 1,014 863

The notes on pages 19 to 48 form part of these financial statements

Page 18

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

1. General information

The Royal Agricultural Society of England is a company incorporated by Royal Charter and registered as a charity with the Charity Commission in England and Wales. The address of the registered office is given in the reference and administrative details page of these financial statements. The nature of the charity's and group's operations and principal activities are given in the Chairman's Statement and Trustees' report.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

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

The consolidated statement of financial activities (SOFA) and consolidated balance sheet consolidate the financial statements of the Society and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis.

2.2 Going concern

After making appropriate enquiries, the trustees have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements.

Page 19

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

2. Accounting policies (continued)

2.3 Income

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

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

Members' subscriptions relate to the financial period and are dealt with in the financial statements on a deferral basis. Subscriptions received in advance are not brought in to the Statement of Financial Activities until the year to which they relate. The membership year runs from 1 October to 30 September. One quarter of membership subscriptions received by 31 December 2022 relating to the 2022/23 membership year have been taken to income in the reporting period. Life members' lump sum subscriptions are taken to the Life Members's equalisation account and released to the Statement of Financial Activities in equal annual installments representing the estimated annual proportion of the subscription.

Gifts in kind donated for distribution are included at valuation and recognised as income when they are distributed to the projects. Gifts donated for resale are included as income when they are sold.

Where the donated good is a fixed asset, it is measured at fair value, unless it is impractical to measure this reliably, in which case the cost of the item to the donor should be used. The gain is recognised as income from donations and a corresponding amount is included in the appropriate fixed asset class and depreciated over the useful economic life in accordance with the Society's accounting policies.

On receipt, donated professional services and facilities are recognised on the basis of the value of the gift to the Society which is the amount it would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

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

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

Page 20

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

2. Accounting policies (continued)

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

All expenditure is inclusive of irrecoverable VAT.

2.5 Interest receivable

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

2.6 Taxation

The Society is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Society is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

2.7 Intangible assets and amortisation

Charity combinations that are neither in substance a gift nor a merger are accounted for as an acquisition with goodwill arising representing the difference between the consideration paid and the fair value of the net assets acquired.

Amortisation is provided on the following basis:

Negative goodwill - 100 % Fully amortised in the reporting period of acquisition

Page 21

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

2. Accounting policies (continued)

2.8 Tangible fixed assets and depreciation

Tangible fixed assets costing £1,000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the revaluation model, tangible fixed assets whose fair value can be measured reliably shall be carried at a revalued amount, being their fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Revaluations are made with sufficient regularity to ensure that the carrying amount does not differ materially from that which would be determined using fair value at the end of the reporting date.

Fair values are determined from market-based evidence by appraisal that is normally undertaken by professionally qualified valuers. If there is no market-based evidence of fair value because of the specialised nature of the tangible fixed asset and it is rarely sold, except as part of a contributing business, a Society may need to estimate fair value using an income or depreciated replacement cost approach.

Gains and losses on revaluation are recognised in the consolidated statement of financial activities, with a separate revaluation reserve being shown in the Statement of funds note.

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

Depreciation is provided on the following bases:

• Freehold property Buildings 2% straight-line; Land not depreciated - Fixtures and fittings 20-33% straight line - Computer equipment 33% straight line

2.9 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the consolidated statement of financial activities.

Investments in subsidiaries are valued at cost less provision for impairment.

2.10 Investment properties

Investment properties for which fair value can be measured reliably without undue cost or effort are measured at fair value at each reporting date with changes in fair value recognised in ‘net gains / (losses) on investments’ in the Statement of Financial Activities.

2.11 Debtors

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

Page 22

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

2. Accounting policies (continued)

2.12 Cash at bank and in hand

Cash at bank and 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.

2.13 Liabilities and provisions

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

Liabilities are recognised at the amount that the Society anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the consolidated statement of financial activities as a finance cost.

2.14 Financial instruments

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

2.15 Employee benefits

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

When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.

2.16 Fund accounting

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

Endowment funds are those funds that are required to be invested or retained in furtherance of the charity's objectives and purposes.

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

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

Page 23

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

3. Critical accounting estimates and areas of judgement

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

Critical accounting estimates and assumptions:

The Society makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Critical areas of judgement:

Tangible fixed assets are depreciated over their useful lives taking into account residual values where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing the asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual values consider such things as future market conditions, the remaining life of the asset and projected disposal values.

The fair value of freehold property is estimated based on recent sales data for similar property and on offers received to purchase the property.

The defined benefit pension scheme asset is estimated by placing reliance on an external FRS102 report produced by a professional actuary.

Page 24

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

4. Income from donations and legacies

Unrestricted funds 2023 Restricted funds 2023 £000 £000 Donations 174 - Legacies 102 - Grants - 242 276 242 Unrestricted funds 2022 £000 Donations 3 Legacies 150 153 5. Income from charitable activities Unrestricted funds 2023 £000 Membership subscriptions 18 Agricultural projects 48 66 Unrestricted funds 2022 £000 Membership subscriptions 18	Total funds 2023 £000 174 102 242 518
	Total funds 2022 £000 3 150 153
	Total funds 2023 £000 18 48 66
	Total funds 2022 £000 18

Page 25

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

6. Income from other trading activities

Fundraising income

Unrestricted funds 2023 £000 Property 42 Other 528 570 Unrestricted funds 2022 £000 Property 38 Other 291 329	Total funds 2023 £000 42 528 570
	Total funds 2022 £000 38 291 329

7. Investment income

Unrestricted funds 2023 £000 Dividend income - Bank interest 14 14	Restricted funds 2023 £000 3 - 3	Total funds 2023 £000 3 14 17

Page 26

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

7. Investment income (continued)

Unrestricted funds 2022 £000 Dividend income - Bank interest 1 1 Other incoming resources Unrestricted funds 2023 £000 Amortisation of negative goodwill 113	Restricted funds 2022 £000 3 - 3 Total funds 2023 £000 113	Total funds 2022 £000 3 1 4
		Total funds 2022 £000 -

8. Other incoming resources

Page 27

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

9. Expenditure on raising funds

Costs of raising voluntary income

Unrestricted funds 2023 Total funds 2023 £000 £000 Consultancy 6 6 Fundraising trading expenses Unrestricted funds 2023 £000 Rates, service charges and miscellaneous expenses 38 Premises expenses and show costs 502 Staff national insurance 14 Staff pension costs 11 565 Unrestricted funds 2022 £000 Rates, service charges and miscellaneous expenses 34 Premises expenses and show costs 392 Staff national insurance 3 Staff pension costs 4 433	Total funds 2022 £000 -
	Total funds 2023 £000 38 502 14 11 565
	Total funds 2022 £000 34 392 3 4 433

Page 28

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

10. Analysis of expenditure on charitable activities

Summary by fund type

Unrestricted funds 2023 Restricted funds 2023 £000 £000 Membership services 190 - Agricultural projects 35 242 225 242 Unrestricted funds 2022 £000 Membership services 152	Total 2023 £000 190 277 467
	Total 2022 £000 152

11. Analysis of expenditure by activities

Membership services Agricultural projects Activities undertaken directly 2022 £000 Membership services 10	Activities undertaken directly 2023 £000 - 222 222 Grant funding of activities 2022 £000 75	Support costs 2023 £000 190 55 245 Support costs 2022 £000 67	Total funds 2023 £000 190 277 467
			Total funds 2022 £000 152

Page 29

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

11. Analysis of expenditure by activities (continued)

Analysis of direct costs

Membership services 2023 £000 Staff costs - Professional fees - Event costs - - Membership services 2022 £000 Direct costs 10 Analysis of support costs Membership services 2023 £000 Staff costs 180 Depreciation - Travel and subsistence - Bank charges - Advertising and marketing - Telephone - Insurance - IT contracts - Subscriptions - Rent - Foreign exchange differences - Irrecoverable VAT - Auditor's remuneration 9 Other support costs 1 190	Agricultural projects 2023 £000 197 11 14 222 Agricultural projects 2022 £000 - Agricultural projects 2023 £000 - 1 25 1 8 1 1 3 2 2 (9) 13 5 2 55	Total funds 2023 £000 197 11 14 222 Total funds 2022 £000 10 Total funds 2023 £000 180 1 25 1 8 1 1 3 2 2 (9) 13 14 3 245

Page 30

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

11. Analysis of expenditure by activities (continued)

Analysis of support costs (continued)

Membership services 2022 £000 Staff costs 61 Auditor's remuneration 5 Other support costs 1 67	Agricultural projects 2022 £000 - - - -	Total funds 2022 £000 61 5 1 67

12. Analysis of grants

Grants to IfA Grants to IfA	Grants to Institutions 2023 £000 - Grants to Institutions 2022 £000 75	Total funds 2023 £000 -
		Total funds 2022 £000 75

Page 31

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

13. Staff costs

Wages and salaries Social security costs Pension costs	Group 2023 £000 353 32 16 401	Group 2022 £000 61 3 4 68	Society 2023 £000 180 14 11 205	Society 2022 £000 61 3 4
				68

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

	Group	Group	Society	Society
	2023	2022	2023	2022
	No.	No.	No.	No.
Staff	12	3	6	3

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

		Group	Group
		2023	2022
		No.	No.
In the band £100,001	- £110,000	1	-

Remuneration of key management personnel

Key management personnel are deemed to be those having authority and responsibility delegated to them by the Society for planning, directing and controlling the activities of the Society. During the year, total amounts paid to key management personnel were £105,117 (2022 - £45,900).

14. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2022 - £NIL).

During the year ended 31 December 2023, expenses totalling £535 were reimbursed or paid directly to 1 Trustee in respect of travel and accommodation (2022 - £2,691 paid to 3 trustees).

During the year ended 31 December 2023, the Chairman of the subsidiary charity provided his services to the group via a service contract to facilitate fundraising efforts. During the period he was paid £6,300 by the group.

Page 32

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

15. Net income/(expenditure)

This is stated after charging/(crediting):

	2023	2022
	£000	£000
Amortisation of intangible fixed assets	(113)	-
Depreciation of tangible fixed assets	25	-
Auditor's remuneration - audit of the parent's financial statements	9	6
Auditor's remuneration - audit of the subsidiary's financial statements	5	-
Auditor's remuneration - non-audit services	-	7
Foreign exchange differences	(9)	-

16. Intangible assets

Group Additions At 31 December 2023 Charge for the year At 31 December 2023 Net book value At 31 December 2023 At 31 December 2022 See note 31 for further details.	Negative goodwill £000 (113)
	(113)
	(113)
	(113)
	-
	-

Page 33

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

17. Tangible fixed assets

Group

Cost or valuation At 1 January 2023 Additions On acquisition of subsidiaries At 31 December 2023 Depreciation Charge for the year On acquisition of subsidiaries At 31 December 2023 Net book value At 31 December 2023 At 31 December 2022	Freehold property £000 1,100 - - 1,100 22 - 22 1,078 1,100	Computer equipment £000 4 14 12 30 3 12 15 15 4	Total £000 1,104 14 12 1,130
			25 12 37
			1,093
			1,104

Page 34

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

17. Tangible fixed assets (continued)

Society

Cost or valuation At 1 January 2023 Additions At 31 December 2023 Depreciation Charge for the year At 31 December 2023 Net book value At 31 December 2023 At 31 December 2022	Freehold property £000 1,100 - 1,100 22 22 1,078 1,100	Computer equipment £000 4 11 15 3 3 12 4	Total £000 1,104 11 1,115
			25 25
			1,090
			1,104

Freehold property was valued on 25 March 2022 by Montague Evans LLP based on open market value. The Trustees believe there were no material changes in the value at 31 December 2023.

18. Investment property

Group and Society

Valuation At 1 January 2023 At 31 December 2023	Freehold investment property £000 4,000
	4,000

Freehold investment property was valued on 25 March 2022 by Montague Evans LLP based on open market value. The Trustees believe there were no material changes in the value at 31 December 2023.

Page 35

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

19. Fixed asset investments

Group and Society Market valuation At 1 January 2023 Additions Revaluations At 31 December 2023	Listed investments £000 146 3 9
	159

All the fixed asset investments are held in the UK.

20. Debtors

Due after more than one year Prepayments and accrued income Due within one year Trade debtors Other debtors Prepayments and accrued income	Group 2023 £000 577 Group 2023 £000 106 16 323 445	Group 2022 £000 593 Group 2022 £000 8 25 317 350	Society 2023 £000 577 Society 2023 £000 100 16 237 353	Society 2022 £000 593
				Society 2022 £000 8 25 317
				350

Page 36

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

21. Creditors: Amounts falling due within one year

Bank loans Trade creditors Amounts owed to group undertakings Other taxation and social security Other creditors Accruals and deferred income	Group 2023 £000 5 41 - 82 134 535 797	Group 2022 £000 5 40 - 8 80 95 228	Society 2023 £000 5 40 67 40 80 485 717	Society 2022 £000 5 40 - 8 80 95
				228

Amounts owed to group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand.

Included in the above is deferred income as follows:

Deferred income at 1 January Resources deferred during the year Amounts released from previous periods Deferred income at 31 December	Group 2023 £000 13 494 (13) 494	Group 2022 £000 15 13 (15) 13

Deferred income comprises membership income received in advance of the subscription period, income in respect of 2024 events and grant funding for which conditions and deliverables had not been met at the balance sheet date.

22. Creditors: Amounts falling due after more than one year

Bank loans Deferred income	Group 2023 £000 10 12 22	Group 2022 £000 15 13 28	Society 2023 £000 10 12 22	Society 2022 £000 15 13
				28

The charity took out a 2.5% fixed rate bounce back loan in 2020 totalling £27,250. The loan's capital and interest is repayable in quarterly instalments through to July 2026.

Deferred income comprises membership income received in advance of the subscription period.

Page 37

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

23. Statement of funds

Statement of funds - current year

Unrestricted funds Designated funds Tangible fixed assets Investment property Rent prepayment Funds held in escrow General funds General Funds Total Unrestricted funds Endowment funds RASE Landowner gold medal Farm & Rural building centre	Balance at 1 January 2023 £000 - - - - - 6,640 6,640 34 77 111	Income £000 - - - - - 1,039 1,039 - - -	Expenditure £000 - - - - - (796) (796) - - -	Transfers in/(out) £000 1,093 4,000 577 591 6,261 (6,261) - - - -	Gains/ (Losses) £000 - - - - - - - 3 6 9	Balance at 31 December 2023 £000 1,093 4,000 577 591 6,261
						622
						6,883
						37 83 120

Page 38

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

23. Statement of funds (continued)

Restricted funds RASE Landowner gold medal Farm & Rural building centre H2020 - FAIRshare H2020 - DECIDE Climate Farm Demo Climate Smart Advisors Dulverton Trust Elizabeth Creak Farm of the Future Total of funds	Balance at 1 January 2023 £000 16 31 - - - - - - - 47 6,798	Income £000 1 2 32 9 44 7 14 19 117 245 1,284	Expenditure £000 - - (32) (9) (44) (7) (14) (19) (117) (242) (1,038)	Transfers in/(out) £000 - - - - - - - - - - -	Gains/ (Losses) £000 - - - - - - - - - - 9	Balance at 31 December 2023 £000 17 33 - - - - - - - 50
						7,053

Page 39

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

23. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds General Funds Endowment funds RASE Landowner gold medal Farm & Rural building centre Restricted funds RASE Landowner gold medal Farm & Rural building centre Total of funds	Balance at 1 January 2022 £000 6,124 38 86 124 15 29 44 6,292	Income £000 501 - - - 1 2 3 504	Expenditure £000 (585) - - - - - - (585)	Gains/ (Losses) £000 600 (4) (9) (13) - - - 587	Balance at 31 December 2022 £000 6,640
					34 77 111
					16 31 47
					6,798

Page 40

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

23. Statement of funds (continued)

H2020 - FAIRshare: (Digital Tools for Farm Advisors)

Funded by the European Commission under the Horizon 2020 initiative and led by Teagasc, the Irish Agriculture and Food Development Authority, FAIRshare was a project that brought together 22 partners from 15 countries across Europe. The 5-year project enabled and empowered the independent farm advisory community, through the sharing of digital tools and services, expertise and experiences. IfA led on the Learnings from the adoption of new Digital Agriculture Tools & Services (DATS) element of the project which was completed in Q4 2023 with the EU final review meeting, in January 2024.

H2020 - DECIDE

This project is a five-year Horizon 2020 project which commenced in 2021 and will develop data-driven decision support tools that offer robust and early signals of disease emergence and options for diagnostic confirmation. Options will be provided for controlling the disease along with their implications in terms of disease spread, economic burden and animal welfare. IfA has successfully conducted the pilot focus groups for the UK which are now considered among the core focus groups in the cattle cluster and IfA is expecting to contribute to the pilots (cattle living labs) which will test on the ground, the diagnostic tools for early diagnose of herd diseases. Evaluation of the matrix of tools that connects the tools, species, countries will be finalised in the next few months to explore ways to collaborate across species or countries. Next General Assembly meeting will be hosted by INRAE in Nantes (FR).

Climate Farm Demo

This seven-year project commenced in Q4 2022 and its objective is to build a European-wide network of pilot farms implement and demonstrate climate smart solutions for a carbon neutral Europe. IfA has the role of national coordinator for the UK network supervising and organising the farm related activities at national level and coordinating the UK farming networks. IfA is also leading the thematic network on herd management. A network of 130 demo farms will be established across the UK of which IfA will recruit c45 farms. These farms will showcase best-practice in climate smart farming, hosting demonstration events for the wider farming community, to share their experiences of implementing climate adaption and mitigation measures. Demo farmers will receive support from a climate smart advisor, and they will work together to produce a climate adaption and mitigation plan which is tailored to their own farm business.

Climate Smart Advisors

This project is a sister programme to Climate Farm Demo and has seven-year life span to mobilize the European agricultural advisory community, leading to an acceleration of the adoption of climate smart farming practices by the wider farming community. Climate Smart Advisors commenced in Q2 2023 and will boost the role of agricultural advisory services by strengthening their capacity in providing targeted advice, and by implementing the approaches and sharing the solutions developed by Climate Farm Demo on a wider scale, across Europe and associated countries. In figures, the project will directly engage with a minimum of 1,500 advisors - 140 to be trained as Climate Smart Coaches, equipped to support capacity building in their peers, and 1,360 supported in their development as Climate Smart Advisors.

IfA is the National Coordinator for the UK, leading an extended group of five project partners including Scotland's Rural College (SRUC) and Department of Agriculture, Environment and Rural Affairs, NI (DAERA) too. IfA will be responsible for 6 Communities of Practice and will recruit and train a total of 36 advisors who will support the farms taking part in the Climate Farm Demo project with climate proofing their businesses.

Dulverton Trust

The Dulverton Trust have funded 1 years’ worth of knowledge exchange programmes focusing specifically on ways farmers can reduce greenhouse gas emissions. This will include one large technical event and the development of 1 focus group which consists of 8 farmers meeting regularly to discuss mitigation strategies.

Page 41

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

23. Statement of funds (continued)

Elizabeth Creak

The Elizabeth Creak Charitable Trust awarded funding for a 1-year programme which works to bring together farmers and policy makers to collectively tackle problems and to work together in the development of future policy. This will include 3 separate groups focusing on 3 different challenges facing the agricultural sector.

Farm of the Future

The farm businesses of the future must optimise food production, farm profitability, taking care of the environment and people. The RASE Farm of the Future initiative, supported by the Esmée Fairbairn Foundation, which is delivered in partnership with IfA, identifies and shares agricultural solutions, technologies and practices which can help farm businesses, people and wider communities to thrive. The initiative began with the publication of the RASE Farm of the Future: Journey to Net Zero report in 2022, which set out a vision for how farm businesses in the UK could maintain their primary purpose of food production while responding to the climate crisis and biodiversity loss.

24. Summary of funds

Summary of funds - current year

Designated funds General funds Endowment funds Restricted funds	Balance at 1 January 2023 £000 - 6,640 111 47 6,798	Income £000 - 1,039 - 245 1,284	Expenditure £000 - (796) - (242) (1,038)	Transfers in/out £000 6,261 (6,261) - - -	Gains/ (Losses) £000 - - 9 - 9	Balance at 31 December 2023 £000 6,261 622 120 50 7,053

Summary of funds - prior year

General funds Endowment funds Restricted funds	Balance at 1 January 2022 £000 6,124 124 44 6,292	Income £000 501 - 3 504	Expenditure £000 (585) - - (585)	Gains/ (Losses) £000 600 (13) - 587	Balance at 31 December 2022 £000 6,640 111 47 6,798

Page 42

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

25. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted funds 2023 £000 Tangible fixed assets 1,092 Fixed asset investments - Investment property 4,000 Debtors due after more than one year 577 Current assets 1,939 Creditors due within one year (703) Creditors due in more than one year (22) Total 6,883	Restricted funds 2023 £000 - 39 - - 105 (94) - 50	Endowment funds 2023 £000 - 120 - - - - - 120	Total funds 2023 £000 1,092 159 4,000 577 2,044 (797) (22) 7,053

Analysis of net assets between funds - prior year

Unrestricted funds 2022 £000 Tangible fixed assets 1,104 Fixed asset investments - Investment property 4,000 Debtors due after more than one year 593 Current assets 1,199 Creditors due within one year (228) Creditors due in more than one year (28) Total 6,640	Restricted funds 2022 £000 - 33 - - 14 - - 47	Endowment funds 2022 £000 - 111 - - - - - 111	Total funds 2022 £000 1,104 144 4,000 593 1,213 (228) (28) 6,798

Page 43

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

26. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the year (as per Statement Activities) Adjustments for: Depreciation charges Amortisation charges (Gains)/losses on investments Dividends, interests and rents from investments Increase/(decrease) in debtors Increase in creditors Net cash provided by/(used in) operating activities 27. Analysis of cash and cash equivalents Cash at bank Total cash and cash equivalents 28. Analysis of changes in net debt At 1 January 2023 £000 Cash at bank and in hand 863 Debt due within 1 year (5) Debt due after 1 year (15) 843	of Financial Cash flows £000 589 - 5 594	Group 2023 £000 255 25 (113) (9) (17) 74 376 591 Group 2023 £000 1,599 1,599 Acquisition of subsidiaries £000 147 - - 147	Group 2022 £000 (94) - - 13 (4) (86) 25 (146) Group 2022 £000 863 863 At 31 December 2023 £000 1,599 (5) (10) 1,584

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Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

29. Pension commitments

Defined contribution pension scheme

The company operates a Defined contributions pension scheme. The assets of the scheme are held separately from those of the Charity in an independently administered fund. The pension cost charge represents contributions payable by the Charity to the fund and amounted to £15,794 (2022 - £3,807). Contributions totalling £2,943 (2022 - £1,900) were payable to the fund at the balance sheet date and are included in creditors.

Defined benefit pension scheme

The Group operates a defined benefit pension scheme.

The Charity contributed to a Defined Benefits pension scheme, the Royal Agricultural Society of England (1978) Pension & Life Assurance Scheme. Rates are set by the Scheme actuary and advised to the Charity by the Scheme Administrator. This scheme is being accounted for under FRS 102, with the annually calculated surplus or deficit on the funding of the scheme shown in the accounts, which is deducted from Unrestricted Funds in the balance sheet. The trustees believe that the scheme currently meets statutory minimum funding requirements. The Trustees note that the calculated deficit or surplus calculated under FRS 102 can vary greatly from year to year depending on the assumptions made at the valuation date, but with normally little or no effect on short term cash flows.

The scheme was closed during 2010.

A comparison of the fair value of the scheme assets with the present value of funding obligations has given rise to a surplus of £4,394,000 (2022 - £3,705,000). However, a surplus can only be recognised in the accounts if it is possible for the employer to obtain a refund from the scheme. No refund is permitted until all benefits have been fully bought out. The assets are insufficient to meet the full buyout cost so it is unlikely the charity will receive a refund.

A full actuarial valuation was carried out as at 31 December 2021. The results have been rolled forward to 31 December 2023 and then recalculated based on the following assumptions:

Principal actuarial assumptions at the balance sheet date (expressed as weighted averages):

	At 31	At 31
	December	December
	2023	2022
	%	%
Discount rate at 31 December	4.40	4.65
Rate of increase in price (RPI)	3.10	3.10
Rate of increase in price (CPI)	2.45	2.45
Rate of statutory revaluation	2.45	2.45

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Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

29. Pension commitments (continued)

The Group's share of the assets in the scheme was:

Present value of funded obligations Fair value of scheme assets Surplus not recognised Net value of pension scheme	At 31 December 2023 £000 (10,657) 15,051 (4,394) -	At 31 December 2022 £000 (10,494) 14,199 (3,705) -

The actual return on scheme assets was £(1,469,000) (2022 - £1,704,000).

Movements in the present value of the defined benefit obligation were as follows:

Opening defined benefit obligation Interest cost Actuarial gains Benefits paid Closing defined benefit obligation Movements in the fair value of the Group's share of scheme assets were as follows: Opening fair value of scheme assets Return on Scheme assets excluding interest income Interest income Benefits paid Closing fair value of scheme assets	2023 £000 10,494 474 306 (617) 10,657 2023 £000 14,199 995 474 (617) 15,051

Page 46

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

30. Related party transactions

The Society is controlled by the Directors (the Trustees), whose names are shown on page 1. The Charity has paid for Professional Indemnity Insurance however the premium cost is not separately identifiable within the overall insurance cover premium. This cover protects the Charity from losses arising from the neglect or default of Trustees and seconded employees. It also indemnifies the Trustees or other officials against the consequences of any neglect or default on their part.

During the year the Society recharged £66,759 (2022 - £7,294) to its subsidiary Innovation for Agriculture for rent and office running costs.

The Society also made grants to Innovation for Agriculture totalling £Nil (2022 - £75,000).

The Society incurred recharges of £214,867 from Innovation for Agriculture. This related to salary recharges of £34,925 (2022 - £Nil) and specific charges relating to projects outsourced to Innovation for Agriculture of £179,942 (2022 - £Nil).

At the balance sheet date, a net balance of £67,252 (2022 - £57,620) was due to Innovation for Agriculture.

31. Charity combination

Effective from 1 June 2023, the Society became the sole beneficial member of Innovation for Agriculture (IfA), a charity with registered number 1155563. The combination has been accounted for as an acquisition with the negative goodwill arising being written off immediately in the reporting period. Since the consideration payable was £Nil, the negative goodwill arising was equal to the net assets of Innovation for Agriculture on 1 June 2023:

	Unrestricted
	funds
	£000
Tangible fixed assets	3
Cash at bank	147
Debtors	153
Creditors: amounts falling due within one year	(190)
Net assets acquired	113

No fair value adjustments were deemed necessary.

Page 47

Royal Agricultural Society of England

Notes to the financial statements for the year ended 31 December 2023

32. Principal subsidiary

The Society is the sole beneficial member of Innovation for Agriculture (IfA), a charity with registered number 1155563 and registered office address Arthur Rank Centre, Stoneleigh Park, Kenilworth, Warwickshire, CV8 2LZ.

The principal activity of IfA is carrying out charitable projects in partnership with leading agricultural researchers, businesses, landowners, and farmers to develop the knowledge and technologies that will make modern farming more sustainable, resilient, and productive.

The result for the period 1 June 2023 to 31 December 2023, included in the consolidation, was as follows:

		Net assets
		31
	Surplus in	December
	period	2023
	£000	£000
Innovation for Agriculture	77	190

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