**Registered number: 192460 Charity number: 212059** **The Arable Group Limited (A Company Limited by Guarantee)** **Trustees' Report and Financial Statements** **For the Year Ended 31 March 2023** ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Contents** ||Page| |---|---| |**Reference and Administrative Details of the Charity, its Trustees and Advisers**|1| |**Trustees' Report**|2 ‐ 8| |**Independent Auditors' Report on the Financial Statements**|9 ‐ 12| |**Statement of Financial Activities**|13| |**Balance Sheet**|14| |**Notes to the Financial Statements**|15 ‐ 32| **The Arable Group Limited (A Company Limited by Guarantee)** ## **Reference and Administrative Details of the Charity, its Trustees and Advisers For the Year Ended 31 March 2023** |**Trustees**|J E Harrison,Chair| |---|---| ||J E GodfreyOBE| ||Prof M J Caccamo| |**Company registered**
**number**
192460
**Charity registered number**
212059
**Registered office**
93 Lawrence Weaver Road
Cambridge
CB3 0LE
**Company secretary**
Dr J McKee
**Chief executive officer**
Prof M J Caccamo
**Independent auditors**
Moore Kingston Smith LLP
Statutory Auditor
9 Appold Street
London
EC2A 2AP
**Bankers**
Barclays Bank PLC
1 Churchill Place
Canary Wharf
London
E14 5HP
**Solicitors**
Birketts LLP
22 Station Road
Cambridge
CB1 2JD|| Page 1 The Arable Group Limited | Annual Report and Accounts | March 2023 ## TRUSTEES’ REPORT INCORPORATING THE STRATEGIC REPORT STRATEGIC REVIEW ## Background The Arable Group Limited (TAG) was incorporated in September 1923 as the Norfolk Agricultural Station. It became a member of the NIAB Group in September 2009, and the current activities focus on the potato crop following acquisition of the Cambridge University Farm Potato Agronomy Unit (CUF) in 2012. As part of the NIAB Group, CUF continues to lead the way in developing a greater understanding of the potato crop and its cultivation. Access to NIAB’s genetic research, agronomy and national trialing capabilities provides opportunities to address soil management, input use, varietal selection and new product development. ## Mission and Vision Our mission is to support independent science-based research and information to support, develop and promote agriculture and horticulture; helping the industry to fulfil its potential in supplying food and renewable resources, while respecting the natural environment. Our vision is to connect the science base and industry by providing an integrated research and knowledge transfer hub for the entire crop improvement pipeline. ## Strategy The aim of TAG’s scientific work is to conduct innovative applied science and research to support the production of horticultural and agricultural crops, delivering knowledge, products and services to UK and international growers, industries and public bodies through focus on translating science into practice. Working with, and funded by industry, levy boards, charities, partner organizations and institutions, we are committed to ensuring the benefits of high-quality research are transferred effectively into practical agriculture. The research is largely field based and closely integrated with knowledge transfer. Information is disseminated through the publication of scientific papers, and provision of information via the NIAB TAG Network and the Cambridge University Potato Growers Association (CUPGRA), as well as to the breeding and crop protection industries. ## Public Benefit The Arable Group Limited seeks to: - advance science for public benefit, primarily by providing the mechanism to deliver the promise of crop science in addressing global and local challenges; - conduct applied and translational research in genetics and agronomy; - disseminate knowledge through the promotion of research and development work and the publication of the useful results thereof for the benefit of the industry and general public; - provide training to students, and access to training for the wider industry; - promote agriculture, horticulture and arboriculture anywhere in the world. The Trustees are satisfied they have complied with their duty in section 4 of the Charities Act 2011 to have due regard to public benefit guidance published by the Charities Commission. Based on this guidance, and as described in this Trustees’ report, the Trustees believe the activities of The Arable Group Limited to be charitable in nature. Page 2 The Arable Group Limited | Annual Report and Accounts | March 2023 ## Performance Our performance against the 2022/23 objectives is highlighted in the table below: |**Objectives**|**Performance**| |---|---| ||| |Recruit key talent to further potato research|We have focused on expanding the potato research team by| ||involving other staff who have skills and expertise that are key| ||to the successful growing of potatoes within arable crop| ||rotations.| ||| ||| |Continue to grow replacement income following the loss of
a potato levy and resulting loss of funding from the
Agriculture and Horticulture Development Board|
We have targeted a combination of strengthening our
commercially funded R&D and trials income and seeking new
project funding from schemes such as the Defra-funded
Farming Innovation Programme with Innovate UK.| |Build new collaborations and projects across research and|
We have continued to work closely with CUPGRA to ensure a| |industry, supported by a newly appointed Research|positive future for grower-led potato research/information.| |Development Manager and working closely with CUPGRA|We have increased our interactions with potato R&D| ||| ||organisations in Scotland, including the James Hutton Institute| ||| ||and Scottish Agronomy, and with Harper Adams University in| ||England. We have also supported CUPGRA and GB Potatoes in| ||the formation of a GB Potato Cyst Nematode forum.| ||| |Work with CUPGRA, newly formed industry groups, and
other potato research organizations, to maintain access to
knowledge, demonstrations, and events for growers and
their supply chains.|Field events were held in the north, west and east of England
between June and August. We supported CUPGRA with the
organisation and delivery of the 33rdAnnual Cambridge Potato
Conference in December, and the hosting and presentation of
the Annual Research Review in February.| ## Objectives for 2023/24 The Arable Group Limited plans to address the following objectives for the year 2023/24: - Pursue new potato R&D projects funded commercially or through government administered schemes such as the Farming Innovation Programme - Continue to strengthen collaborations across research and industry, working with CUPGRA, GB Potatoes and Universities/Institutes across the UK and internationally. - Work with CUPGRA, industry groups, and other potato research organisations, to maintain access to knowledge, demonstrations and events for growers and their supply chains. Page 3 The Arable Group Limited | Annual Report and Accounts | March 2023 ## FINANCIAL REVIEW ## Income The total incoming resources for the period were £314k (2022: £320k). This income is derived from a mixture of research contracts, a support grant from NIAB as well as recharging costs to other group companies relating to contracts recognized by another group entity. ## Fundraising The Arable Group Limited does not undertake fundraising activities. ## Expenditure The outgoing expenditure totaled £223k (2022: £458k). The main operating costs relate to payroll, support services and premises costs. Staff costs in the year were £182k (2021: £121k). Included within expenditure is a total of £46k support costs (2022: £41k). The Arable Group Limited is integrated within the wider NIAB Group structure, and support costs are recharged to the charity by NIAB. ## Capital Expenditure The charity funds capital purchases from unrestricted income. No purchases were made in the year (2022: nil). ## Business Review and key performance indicators The Arable Group Limited continue to review the most appropriate Key Performance Indicators by which the development, performance or position of the various elements of its operations can be effectively measured. In working towards the charitable objectives of The Arable Group Limited, the following are considered among the Key Performance Indicators: |Performance Indicators:||| |---|---|---| ||2023|2022| |Charitable Income|£314k|£320k| |Staff Costs|£182k|£121k| |Average Staff Numbers|4|4| |Support Costs|£46k|£41k| The overall income is a measure of the charity’s ability to maintain a sustainable research facility. The staff costs and number of staff are also an important measure. Although the staff costs have fallen during the year within the charity, the activities have been supported by staff in other group companies. It is important that support costs are controlled tightly, to ensure the overall operating costs of the charity do not exceed the costs recoverable on the grants and contracts that have been awarded. ## Subsidiaries and related parties The Arable Group Limited is part of the NIAB Group of companies; NIAB (Charity No: 1064230) controlling The Arable Group Limited through its membership of the charity. The results of The Arable Group Limited are consolidated into NIAB’s financial statements. ## Reserves Policy The Trustees have reviewed the reserves of the charitable company. The review encompasses the nature of the income and expenditure streams, the need to match variable income with fixed commitments, and the nature of the reserves. The Trustees are also cognizant of the fact that the charity is a subsidiary of NIAB and therefore dependent on NIAB. The going concern section of this report outlines this dependency. Given the current state of agriculture, the trustees concluded that to facilitate long-term planning they would aim to achieve a general reserve, equivalent to two months’ unrestricted fund expenditure. At 31 March 2023 charity’s reserves excluding fixed assets stood at £5k (2022: £93k deficit). ## Accounting Period The trustees present their report and the financial statements for the year ended 31 March 2023. The company's year-end (Accounting Reference Date) is 27 March, although the financial statements continue to be prepared to 31 March as permitted by section 390(3) of the Companies Act 2006. ## Related parties Other than other group entities within the NIAB group there were no related parties. Page 4 The Arable Group Limited | Annual Report and Accounts | March 2023 ## Going Concern The trustees have acknowledged the guidance on going concern and financial reporting published by the Financial Reporting Council in 2016. . The ultimate parent undertaking is NIAB (charity no: 1064230). The Trustees have reviewed the NIAB Group cash flows and management accounts supporting NIAB’s activities for the period to 31 March 2025. The Trustees have considered the following in arriving at their conclusions on going concern: - 1. NIAB’s cash flow forecast and latest management accounts, which give confidence that the charity can continue to pay its debts as they fall due, through the provision of ongoing support of National Institute of Agricultural Botany Trust (TRUST). 2. TRUST have confirmed to the NIAB group that, through the provision of facilities and funding, said support will remain in place to March 2025. 3. The TRUST’s joint responsibility to the Pension Scheme including to fund future Pension Scheme Recovery Plan payments. After making enquiries and considering the current uncertainties the Trustees have a reasonable expectation that both the charity and NIAB have adequate resources to continue in operational existence for the foreseeable future, being at least twelve months from the date of approval of these financial statements, and are not aware of any other material uncertainties which may adversely affect the organisation. Accordingly, the financial statements continue to be prepared on the going concern basis. Page 5 The Arable Group Limited | Annual Report and Accounts | March 2023 ## RISK ASSESSMENT AND MANAGEMENT The risks of The Arable Group are considered by the NIAB Board of Trustees who are responsible for ensuring there are effective and adequate risk management and internal control systems in place to manage the major risks to which the NIAB group is exposed. In addition, the Arable Group Trustees, review and monitor any charity specific risks. Principal Risks and Uncertainties relating to The Arable Group |**Risk Area**|**Risk**|**Management**|**Management**| |---|---|---|---| ||||| ||||| ||||| |||The financial strategy of the charity is closely interlinked with|| ||||| |||that of the parent charity NIAB. The charity operates within the|| ||||| |||Agronomy business unit and forms part of the strategy of that|| ||||| |Customer /||unit. The CEO and Executive team remain focused on the|| ||Dependence on NIAB, the parent||| |Stakeholder||actions required to deliver the Business Strategy and Annual|| ||charity||| |||Business Plan, whilst ensuring the short-term focus on the|| ||||| |||Business Continuity plan.|| ||||| |Financial Risks|USS Pension Scheme|The number of employees of the charity who are members of
the scheme is currently 2. Participation in the scheme will be
monitored. A valuation was produced on 31 March 2021 and
new contributions agreed. This is a multi-employer scheme. In
the context of the NIAB Group this cost will remain small but
further support from the NIAB Group may be necessary.|| Page 6 The Arable Group Limited | Annual Report and Accounts | March 2023 ## STRUCTURE, GOVERNANCE and MANAGEMENT ## Members NIAB is the sole category A member of The Arable Group Limited. Category B members, who do not have voting rights, comprise the membership of the NIAB TAG Network. ## Board of Trustees The Board of Trustees comprises the Chair and up to eleven additional trustee directors. The following Trustees have served during the period: J E Harrison - Chair J E Godfrey OBE Professor M J Caccamo ## Recruitment, induction and training of Trustees The Arable Group Limited recruits Trustees with the relevant skillset to support the charity’s activities. An induction programme has been put in place for newly appointed Trustees and is kept under review and updated where appropriate. In addition, Trustees are in regular contact with the chief executive and executive team and receive updates on key areas of activity. ## Organisation and governance The Arable Group Limited is a Company limited by guarantee (registration number 192460) and was incorporated on 12 September 1923 as The Norfolk Agricultural Station. NIAB became the sole voting member in September 2009 when The Arable Group Limited became a subsidiary of NIAB. The financial statements have been prepared in accordance with the Charities Act 2011, the Companies Act 2006 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 (FRS102). ## Trustee Remuneration The Arable Group Limited does not remunerate the Trustees. ## Decision making and key management The Board of Directors (Trustees) administer the company and meet regularly. A Chief Executive is appointed by the directors to manage the day-to-day operations of the company. To facilitate effective operations, the Chief Executive and Executive Team have delegated authority, within the terms of delegation approved by the Board, for all operational matters. The key management personnel are appointed by NIAB’s Chief Executive; they have authority and responsibility for planning, directing and controlling the activities of The Arable Group Limited. As The Arable Group Limited forms part of a larger group, it is managed on a group basis. ## Employees The average number of employees for the period was 4. A policy of equal opportunity is pursued throughout, including the treatment of applications for employment from people who may be disabled, taking account only of the qualifications and abilities of each individual. Should any employee become disabled during the course of employment every effort would be made to retain that person's services and to provide necessary re-training. Continuing education and training are regarded as vital for the continuance of the company's work and assistance to this end is provided to employees. ## Liability Insurance The Trustees have effected liability insurance as permitted by the company’s articles. This insurance does not provide cover in the event that a Trustee is proved to have acted fraudulently or dishonestly. Page 7 TheArable Grovp Limited l Annual Peport and Accounts l Ma￿h 2023 STATEMENT OF TRUSTEES, RESPONSIBILITIES IN RESPECT OF THE ANNUAL REPORT AND FINANCIAL STATEMENTS 2C¥J6. They are also responslble for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detectiorTr of fraud and other IrregularltSes. The Trustees (who are also directors of The Arable Group Llmited forthe purposes of company lawl are responsible for preparfn8 the Trustees. Report, incorporatlng the Strate8iC Report. and the financial statements in accordance with applicable law and regulatlons. ThÈTrustees confirm that.. sofaras each Trustee Is aware, there Is no relevant audlt information of whkh the auditors are kbnaware. and the Try5tee5 have taken all the steps that they ought to have taken a5 Trustees In order to make themselves aware of any relevant audit Information and to establSsh that the charitable companvs auditor Is aware of that Informa￿On. Cornpany law requlres the Trustees to prepare financial ststernents for eath financial year. Under that law the Trustees have elected to prepare the financial statements in accordance ￿th United Klngdom Generally Atcepted Accounting Practice Iunlted Kingdom accounting standards and appllcable lawl, Includln8 FRS102, thefinancial reporting standard applitable In the UK and Republlc of Ireland. Under company law the Trustee5 must not approve the financial statements unless they are satisfied thatthey givea true and fairviewof the state of affairs of the charitablecompany and of the Incoming resource5 and application of resources. Includlng the Income and expenditure. of the charitablè company for that period. In preparfng these financial statements, the Trustees are reqvired to.. Thè Trustees are responsible for the malntenance and integrity of the corporate flnancial infomiation included on the charltable ¢ompanTrls webslte. LegI￿atIOn in the United Kln8dom governin8 the preparation and dlssemination of finantial statements may differ from legislat￿n in other lurisdictions. The Trustees approve the Trustees Report incorporating the Strategic Report. and financial statements whl¢h are signed on behalf of the Board of ees of The Arable Group Limited. selectsuitable ?ccountin8 policie5 and then apply them cons15tently,' obseNethe methodsand prineiples in th*Charftles 50RP IFRS1021,' mzke judBments ar￿ attountin8 estimates that are reasonable and prudent; J E Harri Date: 14 November2022 state whether applicable UK Accountln8 Stsndards have been followèd. subleet to any material departures disctosed and explaiThed in the ffinancial statements.. and prepare the financial ststements on the going concern basis unless it is'lnapproprlate to presume that the charitable company will continue in business.. The Trustees ale responslble for keepln6 proper accounting records that disclose with reasonable accuracy at any tirne the flnanclal posltion of the charitable company and enable them to ensure that the flnancial statements comply with the Companies Art Page 8 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Independent Auditors' Report to the Members of The Arable Group Limited** ## **Opinion** We have audited the financial statements of The Arable Group Limited (‘the company’) for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Summary Income and Expenditure Account, the Balance Sheet and notes to the financial statements, including 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: - give a true and fair view of the state of the charitable company’s affairs as at 31 March 2023 and of its 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 Companies Act 2006. ## **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 charitable company 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 charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ## **Other information** The other information comprises the information included in the annual report, other than the financial statements and our auditor’s 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 there is 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. Page 9 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Independent Auditors' Report to the Members of The Arable Group Limited (continued)** ## **Opinions on other matters prescribed by the Companies Act 2006** In our opinion, based on the work undertaken in the course of the audit: - the information given in the strategic report and the trustees’ annual report for the financial year for which the financial statements are prepared is consistent with the financial statements; and - the strategic report and the trustees’ annual report have been prepared in accordance with applicable legal requirements. ## **Matters on which we are required to report by exception** In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the trustees’ annual report. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or - the financial statements are not in agreement with the accounting records and returns; or - certain disclosures of trustees’ remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit; or - the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption in preparing the trustees’ annual report and from preparing a strategic report. ## **Responsibilities of trustees** As explained more fully in the trustees’ responsibilities statement set out on page 8, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitable company’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 charitable company or to cease operations, or have no realistic alternative but to do so. ## **Auditor’s Responsibilities for the audit of the financial statements** Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the charitable company’s internal control. Page 10 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Independent Auditors' Report to the Members of The Arable Group Limited (continued)** - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees. - Conclude on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charitable company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charitable company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. ## **Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud** 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. The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charitable company. Our approach was as follows: - We obtained an understanding of the legal and regulatory requirements applicable to the charitable company and considered that the most significant are the Companies Act 2006, the Charities Act 2011, the Charity SORP, and UK financial reporting standards as issued by the Financial Reporting Council - We obtained an understanding of how the charitable company complies with these requirements by discussions with management and those charged with governance. - We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance. - We inquired of management and those charged with governance as to any known instances of non‐compliance or suspected non‐ compliance with laws and regulations. - Based on this understanding, we designed specific appropriate audit procedures to identify instances of non‐compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required. There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non‐ compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. Page 11 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Independent Auditors' Report to the Members of The Arable Group Limited (continued)** ## **Use of our report** This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charitable company and charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. Andrew Stickland (Senior statutory auditor) for and on behalf of ## **Moore Kingston Smith LLP** Statutory Auditor 9 Appold Street London EC2A 2AP December 2023 Page 12 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Statement of financial activities (incorporating income and expenditure account) For the Year Ended 31 March 2023** |**Note**
**Income from:**
Support grants
3
Charitable activities
4
**Total income**
**Expenditure on:**
Charitable activities
5
**Total expenditure**
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**|**Unrestricted**
**funds**
**2023**
**£000**
**120**
**162**
**282**
**191**
**191**
**91**
**(25)**
**66**|**Restricted**
**funds**
**2023**
**£000**
**‐**
**32**
**32**
**32**
**32**
**‐**
**‐**
**‐**|**Total**
**funds**
**2023**
**£000**
**120**
**194**
**314**
**223**
**223**
**91**
**(25)**
**66**|_Total_
_funds_
_2022_
_£000_
_‐_
_320_
_320_
_458_
_458_
_(138)_
_113_
_(25)_| |---|---|---|---|---| The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on pages 15 to 32 form part of these financial statements. Page 13 The Arable Group Llmlted (A Company Limited by Guarantee) Balanco Sh•ot As at 31 March 2023 2023 £000 2022 Flxed ass•ts Tangible assèts li 61 61 Current assets Debtors 12 1,478 1,490 39 Cash at bank and Sn hand 1,529 Credttors.. amounts fallln8 due within one year 13 {IA371 11,5801 Net current assetsllllabiiitièsj 47 fsl) Total assets less current liabilti•s 17 Ciedfcors: amounts falling due after more ihan one year 14 142) (42) Total netassetsllliabllltlès) 66 (25) Ch•rlty fvnds Restrfcted funds 15 Un￿strICted funds 15 {25J Totsl funds (25J The Trustees acknowledge their responsibilitles for comply1￿8 With the requirements of the Act with respect to accountlng records and preparatlon of flnandal ststernents. The financial ststement5 have been prepared in accordance with the pr￿lS1onS applScable to entities subject to the small ompanies regime. Thefi ial state were approved ènd authorlsed for issue by the Trnstees and signed on their bèhalf bv.. J E Harrlson Ichair of Trustees) Oate.. 14 November 2023 The notes on pages 15 to 32 form part of these financial ststements. Page 14 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **1. General information** 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 (FRS 102) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The particular accounting policies adopted in the preparation of the financial statements are set out below and have been applied consistently. The Arable Group Limited 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. ## **2. Accounting policies** ## **2.1 Basis of preparation of financial statements** The charity has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”. - the requirements of Section 4 Statement of Financial Position paragraph 4.12(a)(iv); - the requirements of Section 7 Statement of Cash Flows; - the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d); - the requirements of Section 11 Financial Instruments paragraphs 11.30 to 11.48a; - the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.29. The Arable Group Limited 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. ## **2.2 Fund accounting** ## _General unrestricted funds_ General unrestricted funds represent income which is expendable at the discretion of the Board in the furtherance of the objects of the charity. Such funds may be held in order to finance both working capital and capital investment. ## _Restricted funds_ Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for a particular purpose. Page 15 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **2. Accounting policies (continued)** ## **2.3 Incoming resources** All incoming resources are included in the Statement of Financial Activities when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policy is applied: ## _Income from charitable activities_ Incoming resources from charitable activities are accounted for in the year in which the service is provided. Grants are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued. ## **2.4 Accrued and deferred income** Income from charitable activities includes income received under contract or where entitlement to grant funding is subject to specific performance conditions and is recognised as earned when the related services are provided. This may mean accruing for invoices not yet raised, and deferring payments received in advance of work done. ## **2.5 Resources expended** Liabilities are recognised as resources expended as soon as there is a legal or constructive obligation committing the charity to the expenditure. Expenditure is allocated as follows: ## Support costs Support costs which include central office functions such as general management, finance, information technology and human resources are allocated across categories of expenditure. The basis of the cost allocation is consistent with the use of the resource e.g. staff costs by time spent and other costs by their usage. ## Governance costs Governance costs comprise the costs of running the charity, including strategic planning for its future development, external audit, any legal advice for the Trustees, professional indemnity insurance for Trustees and officers, and all the costs of complying with constitutional and statutory requirements, such as the costs of Board and Committee meetings and of preparing statutory accounts and satisfying public accountability. All expenditure is inclusive of irrecoverable VAT. ## **2.6 Research and development** All research and development costs are written off as incurred. Deferred research and development costs are reviewed annually, and where future benefits are deemed to have ceased or to be in doubt, the balance of any related research and development is written off to the Statement of Financial Activities. Page 16 **(A Company Limited by Guarantee)** ## **The Arable Group Limited** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **2. Accounting policies (continued)** ## **2.7 Tangible fixed assets and depreciation** All tangible fixed assets are stated at historical cost. Depreciation is provided on fixed assets at rates sufficient to write off the costs of the assets less their estimated residual value over their expected useful lives on a reducing balance basis. Depreciation is provided on the following basis: |Implements and machinery|‐|10%| |---|---|---| |Motor vehicles|‐|25%| |Fixtures and fittings|‐|15%| |Computer equipment|‐|33%| ## **2.8 Financial instruments** The charity only enters into financial assets and financial liabilities which 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. ## **2.9 Operating leases** Annual rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the lease term. ## **2.10 Pensions** The Arable Group Limited participates in the Universities Superannuation Scheme, a defined benefit scheme which is externally funded and contracted out of the State Second Pension (S2P). The liabilities are valued every three years by a professionally qualified independent actuary using the projected unit method, the rates of contribution payable being determined by the trustee on the advice of the actuary. In the intervening years, the actuary reviews the progress of the scheme. Pension costs are assessed in accordance with the advice of the actuary, based on the latest actuarial valuation of the scheme. The assets of the scheme are held in a separate trustee‐administered fund. The charity is unable to identify its share of the underlying assets and liabilities of the scheme on a consistent and reasonable basis. Under FRS102 the charity has accounted for the present value of the recovery plan contributions payable as identified in the most recent funding agreement. The Arable Group Limited also operates a money purchase scheme. For this, the pension costs charged in the financial statements represent the contributions payable by the company during the year. Page 17 **The Arable Group Limited** **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **2. Accounting policies (continued)** ## **2.11 Foreign currencies** The Arable Group Limited does not hold any foreign currency accounts. Transactions in foreign currencies are recorded at the rate ruling at the date of transaction. All differences are taken to the Statement of Financial Activities. The charity’s functional and presentational currency is GBP. ## **2.12 Cash and cash equivalents** Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition or the balance sheet date and that are readily convertible to known amounts of cash with insignificant risk of change of value. ## **2.13 Debtors** Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. ## **2.14 Creditors** Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any trade discounts due. ## **2.15 Going concern** The trustees have acknowledged the guidance on going concern and financial reporting published by the Financial Reporting Council in 2016. The ultimate parent undertaking is NIAB (charity no: 1064230). The trustees have reviewed the NIAB Group cash flows and management accounts supporting NIAB’s activities for the period to 31 March 2025. The trustees have considered the following in arriving at their conclusions on going concern: ‐ 1. NIAB’s cash flow forecast and latest management accounts, which give confidence that the charity can continue to pay its debts as they fall due, through the provision of ongoing support of National Institute of Agricultural Botany Trust (TRUST). 2. TRUST have confirmed to the NIAB group that, through the provision of facilities and funding, said support will remain in place to March 2025. 3. The TRUST’s joint responsibility to the Pension Scheme, including to fund future Pension Scheme Recovery Plan payments. After making enquiries and considering the current uncertainties the trustees have a reasonable expectation Page 18 ## **The Arable Group Limited (A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **2. Accounting policies (continued)** that both the charity and NIAB have adequate resources to continue in operational existence for the foreseeable future, being at least twelve months from the date of approval of these financial statements, and are not aware of any other material uncertainties which may adversely affect the organisation. Accordingly, the financial statements continue to be prepared on the going concern basis. ## **2.16 Judgements in applying accounting policies and key sources of estimation uncertainty** Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include: - Depreciation, which has been charged in line with the accounting policy above. The amount of depreciation charged and net book value of the assets is included in Note 10. - Income, which has been recognised in accordance with the work completed on contracts. - Retirement benefits, the liability for which has been calculated in line with the accounting policy above. Note 16 contains details of the estimates made in this calculation. ## **3. Support grants** ||**Unrestricted**|**Total**|_Total_| |---|---|---|---| ||**funds**|**funds**|_funds_| ||**2023**|**2023**|_2022_| ||**£000**|**£000**|_£000_| |Grant from parent company|120|**120**|_‐_| Page 19 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **4. Income from charitable activities** Current year ||**Unrestricted**|**Restricted**|**Total**| |---|---|---|---| ||**funds**|**funds**|**funds**| ||**2023**|**2023**|**2023**| ||**£000**|**£000**|**£000**| |Income from charitable activities ‐ Agricultural Services|162|32|**194**| The total income includes recharges made by The Arable Group Limited to NIAB and to NIAB Trading Ltd, where the crop agronomy and research is contracted to a different group company. Prior year ||_Unrestricted_|_Restricted_|_Total_| |---|---|---|---| ||_funds_|_funds_|_funds_| ||_2022_|_2022_|_2022_| ||_£000_|_£000_|_£000_| |Income from charitable activities ‐ Agricultural Services|_282_|_38_|_320_| Page 20 ## **The Arable Group Limited (A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **5. Analysis of expenditure on charitable activities** ## **Summary by fund type** |Current year
Agricultural Services
Prior year
Agricultural Services|**Unrestricted**
**funds**
**2023**
**£000**
191
_Unrestricted_
_funds_
_2022_
_£000_
_420_|**Restricted**
**funds**
**2023**
**£000**
32
_Restricted_
_funds_
_2022_
_£000_
_38_|**Total**
**2023**
**£000**
**223**| |---|---|---|---| ||||_Total_
_2022_
_£000_
_458_| Page 21 ## **The Arable Group Limited (A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **6. Analysis of expenditure by activities** |Current year
Agricultural Services
Prior year
Agricultural Services
**Analysis of support costs**
Management
Finance
Information Technology
Human Resources
Governance|**Activities**
**undertaken**
**directly**
**2023**
**£000**
177
_Activities_
_undertaken_
_directly_
_2022_
_£000_
_417_|**Support costs**
**2023**
**£000**
46
_Support costs_
_2022_
_£000_
_41_
**Total**
**funds**
**2023**
**£000**
**5**
**14**
**1**
**1**
**25**
**46**|**Total**
**funds**
**2023**
**£000**
**223**| |---|---|---|---| ||||_Total_
_funds_
_2022_
_£000_
_458_| ||||_Total_
_funds_
_2022_
_£000_
_‐_
_14_
_1_
_1_
_25_| ||||_41_| Support costs have been allocated to activity cost categories on a basis consistent with the use of resources. Page 22 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **7. Auditors' remuneration** ||**2023**|_2022_| |---|---|---| ||**£000**|_£000_| |Fees payable to the Charity's auditor for the audit of the Charity's annual||| |accounts|**5**|_4_| The Charity has taken advantage of the exemption not to disclose amounts paid for non‐audit services as these are disclosed in the consolidated accounts of the parent Charity. ## **8. Staff costs** |Wages and salaries
Social security costs
Contribution to defined contribution pension schemes
Operating costs of defined benefit pension schemes|**2023**
**£000**
**148**
**9**
**4**
**21**
**182**|_2022_
_£000_
_90_
_4_
_3_
_24_| |---|---|---| |||| |||_121_| The average number of persons employed by the Charity during the year was as follows: ||**2023**|_2022_| |---|---|---| ||**No.**|_No._| |Technical and scientific|**4**|_4_| No employee received remuneration amounting to more than £60,000 in either year. ## **9. Trustees' remuneration and expenses** No Trustees received any remuneration or other benefits from the Charity during the year and no Trustee expenses were incurred during the year (2022 ‐ £Nil and £Nil). Page 23 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **10. Taxation** The Arable Group Limited is a registered charity and is thus exempt from tax on income and capital gains falling within section 505 of the Income and Corporation Taxes Act 1988 or section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objectives. No tax charges have arisen in the Charitable Company. There is no provision for deferred tax on fair value adjustments because any chargeable gains are applied to charitable objectives so no tax liability arises. ## **11. Tangible fixed assets** |**Cost or valuation**
At 1 April 2022
Disposals
At 31 March 2023
**Depreciation**
At 1 April 2022
Charge for the year
On disposals
At 31 March 2023
**Net book value**
At 31 March 2023
_At 31 March 2022_|**Implements**
**and**
**machinery**
**£000**
**114**
**‐**
**114**
**49**
**6**
**‐**
**55**
**59**
_65_|**Motor**
**vehicles**
**£000**
**19**
**(1)**
**18**
**16**
**1**
**(1)**
**16**
**2**
_3_|**Total**
**£000**
**133**
**(1)**
**132**
**65**
**7**
**(1)**
**71**
**61**
_68_| |---|---|---|---| Page 24 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **12. Debtors** |**Due within one year**
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income|**2023**
**£000**
**1**
**1,446**
**1**
**30**
**1,478**|_2022_
_£000_
_26_
_1,328_
_1_
_135_| |---|---|---| |||| |||_1,490_| Page 25 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **13. Creditors: Amounts falling due within one year** |Trade creditors
Amounts owed to group undertakings
Other taxation and social security
Other creditors
Accruals and deferred income
Deferred income at 1 April 2022
Resources deferred during the year
Amounts released from previous periods
**Deferred income at 31 March 2022**|**2023**
**£000**
**1**
**1,417**
**4**
**8**
**7**
**1,437**
**2023**
**£000**
**114**
**‐**
**(114)**
**‐**|_2022_
_£000_
_2_
_1,369_
_2_
_8_
_199_| |---|---|---| |||| |||_1,580_| |||_2022_
_£000_
_56_
_114_
_(56)_| |||| |||_114_| ## **14. Creditors: Amounts falling due after more than one year** ||**2023**|_2022_| |---|---|---| ||**£000**|_£000_| |Other creditors|**42**|_42_| Page 26 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** |**15.**
**Statement of funds**
**Statement of funds ‐ current year**
**Unrestricted funds**
Unrestricted funds
**Restricted funds**
Restricted Grant income
**Total of funds**
**Statement of funds ‐ prior year**
**Unrestricted funds**
Unrestricted funds
**Restricted funds**
Restricted Grant income
**Total of funds**|**Balance at 1**
**April 2022**
**£000**
**(25)**
**‐**
**(25)**
_Balance at_
_1 April 2021_
_£000_
_113_
_‐_
_113_|**Income**
**£000**
**282**
**32**
**314**
_Income_
_£000_
_282_
_38_
_320_|**Expenditure**
**£000**
**(191)**
**(32)**
**(223)**
_Expenditure_
_£000_
_(420)_
_(38)_
_(458)_|**Balance at 31**
**March 2023**
**£000**
**66**
**‐**
**66**
_Balance at_
_31 March_
_2022_
_£000_
_(25)_
_‐_
_(25)_| |---|---|---|---|---| Page 27 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **16. Analysis of net assets between funds** **Analysis of net assets between funds ‐ current year** |Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
**Total**
**Analysis of net assets between funds ‐ prior year**
Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
**Total**|**Unrestricted**
**funds**
**2023**
**£000**
61
1,484
(1,437)
(42)
66
_Unrestricted_
_funds_
_2022_
_£000_
_68_
_1,529_
_(1,580)_
_(42)_
_(25)_|**Total**
**funds**
**2023**
**£000**
**61**
**1,484**
**(1,437)**
**(42)**
**66**
_Total_
_funds_
_2022_
_£000_
_68_
_1,529_
_(1,580)_
_(42)_
_(25)_| |---|---|---| Page 28 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **17. Pension commitments** Defined Benefit Pension Scheme |Liability less than 1 year
Liability more than 1 year
Total|2023
£'000
3
42
45|2022
£'000
3
42
45| |---|---|---| Since the charity cannot identify its share of the assets and liabilities of the USS scheme, the following disclosures have been provided by the pension scheme to reflect those relevant for the scheme as a whole. ## **Universities Superannuation Scheme (USS** ) Following changes to the USS, this scheme now comprises two parts, USS Retirement Income Builder which is a defined benefit arrangement and USS Investment Builder which is a defined contribution arrangement. The latest formal actuarial valuation of the USS defined benefit liabilities has been carried out as at 31 March 2020 to meet the requirements of the Pensions Act 2004 and was published in March 2022. This actuarial valuation shows a shortfall of £14.1bn in the USS with the scheme assets being sufficient to cover 83% of its ‘technical provisions’ liabilities. Based on this valuation the actuary has determined that the Employer's deficit contributions will be 6.2% of salary until 31 March 2024 and 6.3% thereafter. The past service deficit contributions are expected to correct the deficit by 30 April 2038. To reflect the liability for these contributions the charity has used a financial modeller to calculate the provision it needs to recognise in the financial statements. The calculated amount is recognised in the balance sheet and any changes in the value of the deficit liability each year are shown on the Statement of Financial Activities. The assumptions used as part of this modelled for the year ended 31 March 2023 are shown below. Further details on, and a copy of, the 2020 Actuarial Valuation of the USS can be found on the USS website. Page 29 ## **The Arable Group Limited (A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **16. Pension commitments (continued)** Further information on the 2020 actuarial valuation of the USS Scheme is included below: Of the charity’s 4 employees at 31 March 2023 (2022: 4), 2 were members of USS (2022: 2). The Arable Group Limited’s calculated share of the USS defined benefit pension liability amounts to £45k (2022: £45k) and the total cost charged to the Statement of Financial Activities in respect of USS amounts to £NIL (2022: £15k). The liability has been re‐calculated using the USS model provided with reference to the remaining deficit recovery period of 18 years from 2020 to 2038. Since the charity cannot identify its share of the assets and liabilities of the USS scheme, the following disclosures have been provided by the pension scheme to reflect those relevant for the scheme as a whole. The following assumptions were used to calculate the charity’s share of the USS liability: ||2023|2022| |---|---|---| |Discount rate|5.5%|2.22%| |Projected salary inflation|3.0%|2.7%| Salary inflation assumptions take into account the level of annual pay increases set in the April before the relevant year‐end, prevailing CPI rates, and the Bank of England long‐term inflation target of 2%. The calculation reflects an assumption that there may be some reduction in member numbers in the forward years. The assumptions underpinning the calculation reflect a prudent assessment of the available information and options but represents a key area of estimation uncertainty in the financial statements. Analysis of the charge to the income and expenditure statement is set out below: |Employer contributions
Contributions allocated to deficit provision
Change in contributions from past expectations
Contribution costs total
Interest payable
Pension costs total|2023
£'000
21
(6)
(16)
(1)
1
‐|2022
£'000
8
‐
7
15
1
16| |---|---|---| Page 30 ## **The Arable Group Limited** ## **(A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **16. Pension commitments (continued)** Defined benefit liability numbers for the scheme have been produced using the following assumptions: ||2023|2022| |---|---|---| |Discount rate|5.5%|2.75%| |Pensionable salary growth|n/a|n/a| |Pension increases (CPI)|2.7%|2.7%| The main demographic assumption used relates to the mortality assumptions. These assumptions are based on analysis of the scheme's experience carried out as part of the 2020 actuarial valuation. The mortality assumptions are based on the following mortality tables: ||2020|2018| |---|---|---| |Male members mortality|101% of S2PMA|71% of AMC00| ||light|(duration 0)| |Female members mortality|95% of S3PFA|112% of AMFG00| |||(duration 0)| Future improvements to mortality are based on the Continuous Mortality Investigation’s (CMI) 2019 projections with smoothing parameter of 7.5, an initial addition of 0.5% and a long‐term improvement rate of 1.8% for males and 1.6% for females. The current life expectancies on retirement at age 65 are: ||2023|2022| |---|---|---| |Males currently aged 65 years|24.0|23.9| |Females currently aged 65 years|25.6|25.5| |Males currently aged 45 years|26.0|25.9| |Females currently aged 45 years|27.4|27.3| Summary of the Scheme position as at 31 March is set out below: ||2023|2022|2021| |---|---|---|---| |Scheme assets|£129.3bn|£124.4bn|£80.6bn| |Total scheme liabilities|£82.9bn|£77.1bn|£95.8bn| |FRS102 Total scheme deficit|£46.4bn|£47.3bn|£15.2bn| |FRS102 Total funding level|111%|83%|84%| Page 31 **The Arable Group Limited (A Company Limited by Guarantee)** ## **Notes to the Financial Statements For the Year Ended 31 March 2023** ## **18. Related party transactions** The charitable company has taken advantage of the exemption conferred by Financial Reporting Standard 102 not to disclose any transactions with its parent undertaking and wholly owned subsidiary undertakings. No transactions have been undertaken with key management personnel during the year (2022: None). ## **19. Members** The charitable company is incorporated as a company limited by guarantee having no share capital and, in accordance with the Memorandum of Association, every member is liable to contribute a sum of 25 pence in the event of the company being wound up. At 31 March 2023 there were 1 Category A and 3 Category B members. A Category A member has voting rights, the Category B members have the right to attend statutory meetings. ## **20. Immediate and ultimate parent undertaking** The immediate and ultimate parent undertaking of this company is NIAB, which is incorporated in England and is a registered charity. The consolidated accounts of NIAB are available from its registered office at 93 Lawrence Weaver Road, Cambridge, CB3 0LE. Page 32