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2021-03-31-accounts

CHARITY REGISTRATION NUMBER: 211245

Felix Thornley Cobbold Agricultural Trust Financial statements

31 March 2021

Felix Thornley Cobbold Agricultural Trust

Financial statements

Year ended 31 March 2021

Pages
Trustees' annual report 1 to 10
Independent auditor's report to the trustees 11 to 14
Statement of financial activities 15
Balance sheet 16
Notes to the financial statements 17 to 24

Felix Thornley Cobbold Agricultural Trust

Trustees' annual report

Year ended 31 March 2021

The trustees present their report and the financial statements of the charity for the year ended 31 March 2021.

The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity's governing document, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019.

Reference and administrative details

Registered charity name Felix Thornley Cobbold Agricultural Trust Charity registration number 211245 Principal office 7 Manor Farm Lane Drayton Market Harborough Leicestershire LE16 8SW

The trustees

The trustees who served during the year and at the date of approval were as follows:

J Forrest (Chairman) R Baker J Field P Forbes A Hawes (Vice-chairman) C Leney M May Dr E Ober J Wall

- 1 -

Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Administrator Colin Smith
Land and Property Agents Lacy Scott and Knight
10 Risbygate Street
Bury St Edmunds
IP33 3AA
Solicitors Birketts LLP
24-26 Museum Street
Ipswich
IP1 1HZ
Bankers HSBC
54 Abbeygate Street
Bury St Edmunds
Suffolk
IP33 1LJ
Investment managers CCLA
85 Queen Victoria Street
London
EC4V 4ET
Auditor Lovewell Blake LLP
Chartered accountants & statutory auditor
Bankside 300
Peachman Way
Broadland Business Park
Norwich
NR7 0LB

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Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Objectives and activities

Charitable Objectives

The Trust's objective is to provide grants to "advance and improve agriculture, in particular to educate farmers and young persons in agricultural methods, developments and techniques" in Suffolk and the adjoining counties.

Founded in 1910, the Trust has continued to evolve throughout the past 111 years to ensure it meets the changing needs of agriculture for charitable development support.

Public Benefit

The Trustees confirm that they referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Charity's aims and objectives and on planning future activities and setting the grant making policy.

Fulfilling the Trust Objectives

To further its objectives the Trust maintains links with other organisations:

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Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Much of the trust's public education support has been interrupted by Covid-19 controls.

Grant Making Policy

Grants may be awarded to eligible individuals, educational bodies, organisations or other charities to improve agricultural knowledge and efficiency in the defined region.

Grant applications are accepted only on the Trust's standardised application forms, to ensure that all required information is provided and that all submissions for grant are considered on a fair and equal basis. Applicants may provide additional written information, providing it is relevant.

All applications are assessed by the Administrator for eligibility, processed into an appropriate format, and included on the agenda for consideration by the Trustees at the next quarterly meeting.

John Forrest Memorial Award

This annual award, established in memory of John Forrest, late Chairman of the Trust, currently provides eight agriculturists, with professional training in public communication skills.

The last-held course was the eleventh, a three-day course held at Madingly Hall, Cambridge, 7-9 January 2019. Costs of the course were shared jointly with The Morley Agricultural Foundation,with professional training provided by Green Shoots.

Due to Covid-19 restrictions the twelfth course planned for 5-7 January 2021 was cancelled with the intention of extending invitations to the successful candidates to attend a similar course to be held at Madingly Hall, Cambridge, 4-6 January 2022.

Grant Awards

The primary object of the Trust is to provide grants to individuals and organisations involved in agricultural education, research, improvement and development.

Grants may be awarded in the following categories:

Applications for grants during the year were much reduced with 12 being considered, of which 9 were approved, 3 were rejected and one was deferred. Of the awards, 1 was for training and higher education, 5 were for research projects, 2 for educating children in food, farming and the countryside and one was for capital expenditure for teaching purposes at SNC Rural.

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Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Easton & Otley College

Following the Further Education Commissioner's decision that the college should be separated into its constituent campuses, the Easton campus was duly merged with Norwich City College, and the Otley campus with Suffolk New College (SNC).

It was unfortunate that the reformation occurred just before the government's Covid-19 control measures were imposed, which greatly affected recruitment of students and teaching at the new colleges.

Trustees have maintained contact with Viv Gillespie, SNC principal, and have provided tangible support in the form of a grant for farm equipment to be used in teaching farming methods and agricultural engineering.

Achievements and performance

 Land promoters and partners, Pigeon, East Anglian specialists in optimising land development, have successfully negotiated the first stage of the planning process on part of Hope Farm,Sproughton and are negotiating the details of requirements for a section 106 agreement with Babergh District Council following consultations with local interest groups.

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Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Financial review

Income totalled £261,085 of which £45,184 (17%) was produced by stock market investments and interest on the COIF deposit account, £210,794 came from property rents and £5,107 from miscellaneous sources.

A total of £110,000 was transferred from the COIF deposit account to the HSBC general account, reducing the COIF deposit account to £25,553.

Major items of expenditure were:

£83,012 (32% of income) was spent on grants £23,278 (9% of income) on property renovation and management £49,409 (19% of income) on administration and committee costs

£105,386 was carried over against future expenditure

Designated Capital Fund

In the year ended 31 March 2019 the trustees established a designated capital fund to reflect the present value of the property originally bequeathed to the charity with the aim of maintaining the Trust's capital.

Reserves policy

The Trustees aim to establish available reserves at a level which would enable them, amongst other things, to:

The Trustees have a flexible policy on reserves, generally aiming to continue building the investment fund to be able to switch into other assets as appropriate. At 31 March 2021, free reserves (being net current assets) amounted to £128,342 however after deducting contingent liabilities of £108,386 for grants awarded, free reserves totalled £19,956 (2020: deficit £8,001).

Asset strategy

A review of the Trust's asset management policy was carried out in January 2021. Trustees overall asset strategy is: to safeguard the trust's investments, ensure that reserves are sufficient to meet charitable obligations and when possible to grow funds to satisfy increasing demands for support from eligible applicants in the future.

While the Administrator keeps a watchful eye on the Trust's assets the next review of asset management strategy is due in 2022.

The Trust continued with its major holdings in land and property.

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Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Investment Policy

The Trust's income is derived from rents on property and land, dividends on stock-market investments, and interest on cash holdings.

Property holdings consist of: the site of Otley College, including Charity Farmhouse, extending to 24.5 hectares, plus an additional 38.54 ha of grazing land; three blocks of farmland, Charity Farm, Stanaway Farm, and Hope Farm totalling 248.3 ha in the parishes of Otley, Ashbocking and Sproughton, let on agricultural leases; Allotments of 1.23 ha in the village of Sproughton; Stanaway Farmhouse, let on a residential lease; three former farm buildings at Stanaway Farm, let on commercial leases.

The house at Hope Farm, together with the farm buildings and 2.1 ha of grassland is let for combined residential and business use. A planning application is in progress to build up to 105 houses, with community facilities, car park and woodland on part of Hope Farm.

Land and property holdings were revalued at £8,936,000 for accounts purposes as at 31 March 2021. Returns on investment properties yielded 2.3 per cent.

Equities are held in two CCLA funds: COIF Charities Investment Funds and Global Equities Investment Fund (GEIF). These funds are invested mainly in equities, both in the UK (about 16%) and overseas (about 46%), property and other assets (about 20%), cash (about 14% and fixed interest (about 3%).

COIF holdings at 31 March 2021 amounted to £1,370,038, GEIF totalled £243,485 and the COIF deposit account held £25,553.

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Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Plans for future periods

 To continue to support the development of Suffolk New College Otley Campus as a centre of excellence in land-based education and training to serve the farming industry in Suffolk.

 To administer the John Forrest Memorial Awards and provide the finance in conjunction with The Morley Agricultural Foundation.

 To provide financial support to young people, farmers, agricultural research, public knowledge and environmental conservation in Suffolk and the adjoining counties, to perpetuate the work and wishes of the Trust's benefactor Felix Thornley Cobbold in his bequest of 1909.

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Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Structure, governance and management

Governing instrument

The Trust's origins date back to a scheme made by the Charity Commission in 1910. The present charity was registered on 27 August 1962 and is now governed under the most recent revision of its governing instrument, a scheme approved by the Charity Commission on 5 December 2007.

Trustees Recruitment and Appointment

Trustees are selected to provide the Trust with the range of knowledge and understanding of agriculture related matters necessary for the Trust to meet its charitable obligations. The Trust has nine Trustees. Three Trustees retire by rotation at each AGM and become available for reappointment. Mr Field, Mr May and Mr Wall retired by rotation at the AGM on 3 November 2020, and were re-elected as Trustees.

Trustees Induction and Training

Prior to appointment Trustees are given an outline of their role and responsibilities to the Charity by the Administrator.

Governance and Management

Trustees are selected to provide the Trust with the range of knowledge and understanding of agriculture related matters necessary for the Trust to meet its charitable obligations.

Meetings are held in January, April, July and November to discuss and decide action on issues brought before it by its Legal and Financial Advisers, Land Agents and Administrator. A major item on the agenda at each meeting is to consider grant applications for the improvement of agriculture.

The Land Agents manage the Trust's estate of land and property, liaise with tenants, collect rents, pay some minor bills and transfer income from property to the Trust's HSBC general account.

The Administrator manages the Trust's charitable activities, assesses and processes applications for grants, monitors progress of grant funded projects, manages the bank general account and keeps Trustees informed of the state of investments and reserves. The Administrator's responsibilities include making all VAT returns to HMRC and managing the John Forrest Memorial Award. The Administrator's responsibilities have been extended to include the renovation and extension of Stanaway Farmhouse, and the proposed development of Hope Farm.

The Administrator is responsible for the Trust's information, promotion and development activities, and also carries out any other business agreed with Trustees.

True and fair override

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 Accounting and Reporting by Charities: Statement of Recommended Practice applicable in the UK and Republic of Ireland issued in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice from 1 April 2005 which has since been withdrawn.

Risk Management Policy

Trustees have considered risks appropriate to the Trust's activities and are of the opinion that the procedures and controls in place are sufficient to mitigate these risks. A procedure for annual review is established.

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Felix Thornley Cobbold Agricultural Trust

Trustees' annual report (continued)

Year ended 31 March 2021

Trustees' responsibilities statement

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 and Wales requires the trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that period.

In preparing these financial statements, the trustees are required to:

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

The trustees' annual report was approved on 20 July 2021 and signed on behalf of the board of trustees by:

J Forrest (Chairman) Trustee

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Felix Thornley Cobbold Agricultural Trust

Independent auditor's report to the trustees of Felix Thornley Cobbold Agricultural Trust

Year ended 31 March 2021

Opinion

We have audited the financial statements of Felix Thornley Cobbold Agricultural Trust (the 'charity') for the year ended 31 March 2021 which comprise the statement of financial activities, balance sheet 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 FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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 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.

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Felix Thornley Cobbold Agricultural Trust

Independent auditor's report to the trustees of Felix Thornley Cobbold Agricultural Trust (continued)

Year ended 31 March 2021

Other information

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

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

We have nothing to report in this regard.

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:

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement, 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.

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Felix Thornley Cobbold Agricultural Trust

Independent auditor's report to the trustees of Felix Thornley Cobbold Agricultural Trust (continued)

Year ended 31 March 2021

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

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

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:

 Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.

 Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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Felix Thornley Cobbold Agricultural Trust

Independent auditor's report to the trustees of Felix Thornley Cobbold Agricultural Trust (continued)

Year ended 31 March 2021

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 auditor’s report.

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. 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 auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Lovewell Blake LLP Chartered accountants & statutory auditor Bankside 300 Peachman Way Broadland Business Park Norwich NR7 0LB

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Felix Thornley Cobbold Agricultural Trust

Statement of financial activities

Year ended 31 March 2021

2021 2021 2020
Unrestricted
funds Total funds Total funds
Note £ £ £
Income and endowments
Investment income 4 256,085 256,085 246,433
Other income 5 5,000 5,000 –
ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ
Total income 261,085 261,085 246,433
৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶
Expenditure
Raising funds
Investment management and support costs 6 67,989 67,989 944,574
Charitable activities 7 87,710 87,710 118,146
ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ
Total expenditure 155,699 155,699 1,062,720
৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶
Net income/(expenditure) and net movements in funds
before gains and losses on investments 105,386 105,386 (816,287)
Net gains on investments 8 (1,184,761) (1,184,761) (439,221)
ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ
Net income/(expenditure) and net movement in funds 1,290,147 1,290,147 (377,066)
৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶
Reconciliation of funds
Total funds brought forward 9,387,717 9,387,717 9,764,783
ৄৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ
Total funds carried forward 10,677,864 10,677,864 9,387,717
৶৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 17 to 24 form part of these financial statements.

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Felix Thornley Cobbold Agricultural Trust

Balance sheet

31 March 2021

2021 2020
Note £ £ £ £
Fixed assets
Investments 10 10,549,522 9,254,761
Current assets
Debtors 11 66,498 54,738
Investments 12 25,553 90,262
Cash at bank and in hand 81,107 97,327
ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ
173,158 242,327
Creditors: Amounts falling due within
one year 13 (44,816) (109,371)
ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ
Net current assets 128,342 132,956
ৄৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ
Total assets less current liabilities 10,677,864 9,387,717
ৄৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ
Net assets 10,677,864 9,387,717
৶৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶
Funds of the charity
Unrestricted funds 10,677,864 9,387,717
ৄৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ
Total charity funds 14 10,677,864 9,387,717
৶৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶

These financial statements were approved by the board of trustees and authorised for issue on 20 July 2021, and are signed on behalf of the board by:

J Forrest (Chairman) Trustee

The notes on pages 17 to 24 form part of these financial statements.

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Felix Thornley Cobbold Agricultural Trust

Notes to the financial statements

Year ended 31 March 2021

1. General information

The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is 7 Manor Farm Lane, Drayton, Market Harborough, Leicestershire, LE16 8SW.

2. Statement of compliance

The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity's governing document, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019.

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with 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 issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Accounting Practice.

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 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 issued 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.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

The accounts have been prepared on the going concern basis and the Trustees believe that no material uncertainties exist. The Trustees have considered the level of funds held and the expected income and expenditure for the next 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the Trust to be able to continue as a going concern. The Trustees have taken into account the impact of COVID 19 in making this assessment.

Fund accounting

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of the Trust objectives.

Designated funds are unrestricted funds earmarked by the Trustees for particular future projects or commitment.

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Felix Thornley Cobbold Agricultural Trust

Notes to the financial statements (continued)

Year ended 31 March 2021

3. Accounting policies (continued)

Income

Income is included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

Expenditure

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

Investment property

Investment properties are re-valued annually by the trustees on an open market basis. Changes in the market value are recognised in the statement of financial activities for the period. No depreciation is provided on freehold investment properties or on leasehold investment properties where the unexpired lease term exceeds 20 years. Details of the current value and historical cost information for investment properties are given in Note 9.

Where investment property is refurbished this is charged as expenditure in the statement of financial activities.

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverableamount being estimated where such indicators exist. Where the carrying value exceeds therecoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed forpossible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount ofan individual asset, an estimate is made of the recoverable amount of the cash-generating unit towhich the asset belongs. The cash-generating unit is the smallest identifiable group of assets thatincludes the asset and generates cash inflows that largely independent of the cash inflows from otherassets or groups of assets.

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Felix Thornley Cobbold Agricultural Trust

Notes to the financial statements (continued)

Year ended 31 March 2021

3. Accounting policies (continued)

Financial instruments

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

4. Investment income

Unrestricted Total Funds Unrestricted Total Funds
Funds 2021 Funds 2020
£ £ £ £
Rent 210,794 210,794 194,131 194,131
Dividend income 45,184 45,184 48,145 48,145
Interest received 107 107 4,157 4,157
ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ
256,085 256,085 246,433 246,433
৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶
5. Other income
Unrestricted Total Funds Unrestricted Total Funds
Funds 2021 Funds 2020
£ £ £ £
Other income 5,000 5,000 – –
৶৶৶৶৶৶ ৶৶৶৶৶৶ ৶৶৶৶ ৶৶৶৶
6. Investment management and support costs
Unrestricted Total Funds Unrestricted Total Funds
Funds 2021 Funds 2020
£ £ £ £
Property maintenance and refurbishment 23,278 23,278 899,905 899,905
Administration 27,096 27,096 29,458 29,458
Professional fees 16,044 16,044 14,323 14,323
Sundry costs 1,571 1,571 888 888
ৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ
67,989 67,989 944,574 944,574
৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶

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Felix Thornley Cobbold Agricultural Trust

Notes to the financial statements (continued)

Year ended 31 March 2021

7. Expenditure on charitable activities by activity type

Grants

Grants
2021 2020
£ £
AFCP 3,700 4,950
BCPC-NIAB 2,000 –
Cranfield University 13,250 13,250
Essex Agricultural Society – 2,500
Essex Schools 2,500 –
Game & Wildlife Conservation Trust – 3,000
Green Shoots Productions – 10,000
NIAB 6,245 6,245
Red Poll Cattle Society – 2,050
SNC Rural College 2,650 –
Suffolk Agricultural Association 7,000 4,000
School Farm and County Fair (SAA) – 7,000
Suffolk Federation of Young Farmers – 5,000
Suffolk Horse Society 5,000 5,100
The Country Trust – 6,600
University of Hertfordshire 10,000 10,000
H Allison 5,750 5,750
N Bolton 1,500 1,500
J Crosby 3,500 3,500
G Day 3,000 3,000
M Dring 3,000 –
J Nunns 2,500 –
R Patterson 2,000 4,000
J Salisbury 1,520 –
W Smith 4,397 –
U Solanki 3,500 –
L Spinks – 4,600
L Tiller – 5,000
H Turner – 4,000
Other grants and donations – 506
ৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ
83,012 111,551
৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶
Governance costs
2021 2020
£ £
Auditors remuneration
- audit services 4,698 4,566
- non audit services – 600
Meeting costs and trustee expenses – 1,492
ৄৄৄৄৄৄ ৄৄৄৄৄৄ
4,698 6,658
৶৶৶৶৶৶ ৶৶৶৶৶৶
Total expenditure on charitable activities 87,710 118,146
৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶

Grants payable in the year were for the furtherance of agriculture and included £53,865 (2020: £67,695) payable to institutions.

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Felix Thornley Cobbold Agricultural Trust

Notes to the financial statements (continued)

Year ended 31 March 2021

In addition to the grants shown above the charity has contingent liabilities at 31 March 2021 totalling £108,386 (2020: £140,957). These relate to grants awarded, but not accrued, as payment in future periods is subject to relevant conditions being met, as follows:

2021-22 2022-23 2023-24 2024-25
£ £ £
Essex Schools 2,500 – – –
Green Shoots 6,000 – – –
Harper Adams University 2,700 – – –
John Forrest Memorial award 5,500 5,500 – –
Suffolk Agricultural Association 11,000 4,000 – –
Suffolk Young Farmers 5,000 – – –
University of Hertfordshire 13,500 8,500 8,500 –
University of Lincoln 2,231 2,298 2,367 –
University of Nottingham 5,000 5,000 – –
H Allison 5,750 – – –
E Bullock 2,000 – – –
G Day 3,000 – – –
G Duffield 1,000 – – –
R Patterson 2,000 2,000 – –
J Salisbury 3,040 – – –
ৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄ ৄৄৄৄ
70,221 27,298 10,867 –
৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶ ৶৶৶৶
Net gains on investments
Unrestricted Total Funds Unrestricted Total Funds
Funds 2021 Funds 2020
£ £ £ £
Gains/(losses) on investment property 926,500 926,500 459,500 459,500
Gains/(losses) on listed investments 258,261 258,261 (20,279) (20,279)
ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ
1,184,761 1,184,761 439,221 439,221
৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶

8. Net gains on investments

9. Trustee remuneration and expenses

No trustee or any person connected with them received any remuneration during the year. The Trust paid no Trustee's expenses in the year. (2020:£Nil).

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Felix Thornley Cobbold Agricultural Trust

Notes to the financial statements (continued)

Year ended 31 March 2021

10. Investments

Listed Investment
investments properties Total
£ £ £
Cost or valuation
At 1 April 2020 1,245,261 8,009,500 9,254,761
Additions 110,000 – 110,000
Fair value movements 258,261 926,500 1,184,761
ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄৄ
At 31 March 2021 1,613,522 8,936,000 10,549,522
৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶৶
Impairment
At 1 April 2020 and 31 March 2021 –
৶৶৶৶৶৶৶৶৶৶৶৶
Carrying amount
At 31 March 2021 1,613,522 8,936,000 10,549,522
৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶৶
At 31 March 2020 1,245,261 8,009,500 9,254,761
৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶৶

All investments shown above are held at valuation.

Investment properties

Investment properties were valued on an open market existing use basis as at 31 March 2021 by the external valuers, Lacy Scott & Knight (Chartered Surveyors), acting on behalf of the trustees, in accordance with the guidelines issued by the Royal Institution of Chartered Surveyors. No depreciation is provided in respect of investment properties.

Financial assets held at fair value

Listed investments are held at market value as at 31 March 2021.

11. Debtors

2021 2020
£ £
Rents receivable from tenants 51,441 39,681
Prepayments and accrued income 15,057 15,057
ৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄ
66,498 54,738
৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶
12. Investments
2021 2020
£ £
Short-term deposits 25,553 90,262
৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶
13. Creditors: Amounts falling due within one year
2021 2020
£ £
Rents received in advance 7,812 7,307
Accruals and deferred income 5,940 67,834
Other creditors 31,064 34,230
ৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ
44,816 109,371
৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶

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Felix Thornley Cobbold Agricultural Trust

Notes to the financial statements (continued)

Year ended 31 March 2021

14. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
At 1 April Investment At 31 March
2020 Income Expenditure Transfers gains/(losses) 2021
£ £ £ £ £ £
General fund 334,717 261,085 (155,699) – 42,247 482,350
Designated Capital
Fund 9,053,000 – – – 1,142,514 10,195,514
ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄৄ
9,387,717 261,085 (155,699) – 1,184,761 10,677,864
৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶ ৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶৶
At 1 April Investment At 31 March
2019 Income Expenditure Transfers gains/(losses) 2020
£ £ £ £ £ £
General fund 1,137,338 246,433 (1,062,720) – 13,666 334,717
Designated Capital
Fund 8,627,445 – – – 425,555 9,053,000
ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄ ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ
9,764,783
৶৶৶৶৶৶৶৶৶৶৶		 246,433
৶৶৶৶৶৶৶৶৶		 (1,062,720)
৶৶৶৶৶৶৶৶৶৶৶		 –
৶৶৶৶		 439,221
৶৶৶৶৶৶৶৶৶		 9,387,717
৶৶৶৶৶৶৶৶৶৶৶

The trustees have established a designated capital fund to reflect the present value of the property originally bequeathed to the charity with the aim of maintaining the Trust's capital.

15. Analysis of net assets between funds

As at 31 March 2021

Designated Total Funds
General Fund Capital Fund 2019
£ £ £
Investment properties – 8,936,000 8,936,000
Listed investments 354,008 1,259,514 1,613,522
Net current assets 128,342 – 128,342
ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄৄ
Net Assets 482,350 10,195,514 10,677,864
৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶৶
As at 31 March 2020
Designated Total Funds
General Fund Capital Fund 2019
£ £ £
Investment properties – 8,009,500 8,009,500
Listed investments 201,761 1,043,500 1,245,261
Net current assets 132,956 – 132,956
ৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ ৄৄৄৄৄৄৄৄৄৄৄ
Net Assets 334,717 9,053,000 9,387,717
৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶ ৶৶৶৶৶৶৶৶৶৶৶

16. Contingencies

At 31 March 2021 the charity has contingent liabilities totalling £108,386 relating to grants awarded, the payment of which is subject to relevant conditions being met, as detailed in note 6.

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Felix Thornley Cobbold Agricultural Trust

Notes to the financial statements (continued)

Year ended 31 March 2021

17. Related parties

The Trust paid grants in the year to:

Suffolk Agricultural Association of £7,000, a related party by virtue of common Trustees (2020: £11,000).

Suffolk Horse Society of £5,000, a related party by virtue of common Trustees (2020: £5,100)

18. Controlling party

The ultimate controlling party is considered to be the Trustees.

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