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← Epping Forest

2022-03-31-accounts

Epping Forest

Annual Report and Financial Statements for the year ended 31 March 2022

Charity registration number 232990

CONTENTS

Origins of the charity ............................................................................................... 1 Structure and governance ....................................................................................... 2 Achievements and performance ............................................................................. 6 Financial review .................................................................................................... 10 Trustee responsibilities ......................................................................................... 12 Independent auditor’s report ................................................................................. 17 Statement of financial activities ............................................................................. 20 Balance sheet ....................................................................................................... 21 Notes to the financial statements .......................................................................... 22 Reference and administration details .................................................................... 38

Epping Forest | Annual Report and Financial Statements 2021/22

ORIGINS OF THE CHARITY

As one of the earliest publicly- accessible wild landscapes in England, Epping Forest predates the UK’s National Parks by nearly 80 years and shares a common bond in seeking to preserve the wildness of a treasured landscape whilst guaranteeing widespread public access.

Purchased by the City of London Corporation under founding legislation The Epping Forest Act 1878, the Forest was then dedicated by Queen Victoria “for the enjoyment of my people forever”, and as the custodian of the Forest, the City and the Forest’s Conservators have continued to conserve it for everyone to enjoy.

Promoting and enabling public access to the Forest remains our guiding principle and we strive to exceed visitors’ expectations by providing a safe and welcoming environment, rich in wildlife, which offers activity and excitement, and peace and tranquillity in equal measure. We welcome 4.2 million people to the Forest every year, and we want all Londoners to continue to value their Forest, and for visitors from further afield to benefit from all that the Forest has to offer.

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Epping Forest | Annual Report and Financial Statements 2021/22

TRUSTEE’S ANNUAL REPORT

STRUCTURE AND GOVERNANCE

The governing documents are the Epping Forest Acts 1878 and 1880 as amended. The charity is constituted as a charitable trust.

GOVERNANCE ARRANGEMENTS

The Mayor and Commonalty and Citizens of the City of London (also referred to as ‘the City Corporation’ or ‘the City of London Corporation’), a body corporate and politic, is the trustee of Epping Forest. The City Corporation is trustee acting by the Court of Common Council of the City of London in its general corporate capacity and that executive body has delegated responsibility in respect of the administration and management of this charity to various committees and sub-committees of the Common Council, membership of which is drawn from 125 elected Members of the Common Council and external appointees to those committees. In making appointments to committees, the Court of Common Council will take into consideration any particular expertise and knowledge of the elected Members, and where relevant, external appointees. External appointments are made after due advertisement and rigorous selection to fill gaps in skills. For Epping Forest, Elected Aldermen and Members of the City of London Corporation are appointed to the Epping Forest and Commons Committee, together with four Verderers - locally elected by Epping Forest Commoners in elections held every seven years - governing Epping Forest for the Court of Common Council of the City of London Corporation.

Members of the Court of Common Council are elected by the electorate of the City of London. The Key Committees which had responsibility for directly managing matters related to the charity during 2021/22 were as follows:

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Epping Forest | Annual Report and Financial Statements 2021/22

All of the above committees are ultimately responsible to the Court of Common Council of the City of London. Committee meetings are held in public, enabling the decision-making process to be clear, transparent and publicly accountable. Details of the membership of Committees of the City Corporation are available at www.cityoflondon.gov.uk

The charity is consolidated within City’s Cash as the City of London Corporation exercises operational control over their activities. City’s Cash is a fund of the City Corporation that can be traced back to the 15th century and has been built up from a combination of properties, land, bequests and transfers under statute since that time. Investments in properties, stocks and shares are managed to provide a total return that:

The trustee believes that good governance is fundamental to the success of the charity. A comprehensive review of governance is ongoing to ensure that the charity is effective in fulfilling its objectives. Reference is being made to the good practices recommended within the Charity Governance Code throughout this review. Focus is being placed on ensuring regulatory compliance and the ongoing maintenance of an efficient and effective portfolio of charities that maximise impact for beneficiaries.

ORGANISATIONAL STRUCTURE AND DECISION-MAKING PROCESS

The charity is administered in accordance with its governing instruments and the City Corporation’s own corporate governance and administration framework, including Committee Terms of Reference, Standing Orders, Financial Regulations and Officer Scheme of Delegations. These governance documents can be obtained via a request to the email address stated on page 38.

Each Member by virtue of their membership of the Court of Common Council, its relevant committees and sub-committees, has a duty to support the City Corporation in the proper exercise of its functions and in meeting its duties as trustee of the charity by faithfully acting in accordance with charity law, the Terms of Reference of the relevant committee or subcommittee, and the City of London Corporation’s agreed corporate governance framework as noted above, backed up by its standards regime.

As part of the City of London Corporation’s restructure, the Open Spaces Department has merged with Planning & Transportation and Port Health & Environmental Services to form a new Environment Department, and Epping Forest became part of the Environment Department from 1 April 2022.

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Epping Forest | Annual Report and Financial Statements 2021/22

INDUCTION AND TRAINING OF MEMBERS

The City Corporation makes available to its Members, seminars and briefings on various aspects of its activities, including those concerning the charity, to enable Members to carry out their duties efficiently and effectively. Induction meetings are provided on specific aspects of the work of Epping Forest. If suitable seminars or other training options are identified that are relevant to the charity, Members are advised of these opportunities.

OBJECTIVES AND ACTIVITIES

The objective of the charity is the preservation of Epping Forest in perpetuity, as an open space for the recreation and enjoyment of the public. The open space consists of the lands known as Epping Forest including Wanstead Park and Highams Park in Essex. Various buffer lands have been acquired by the City Corporation around the edges of Epping Forest.

Investment Policy

The charity’s investments are held in units of the City of London Charities Pool (registered charity number: 1021138). The investment policy is to provide a real increase in annual income in the long term whilst preserving the value of the capital base. The annual report and financial statements of the Charities Pool (which include an analysis of investment performance against objectives set) are available from the Chamberlain of London, at the email address stated on page 38.

Volunteers

Epping Forest welcomes volunteers both directly and through partner organisation in all aspects of Forest management from conservation, to front of house and Rangers.

Remuneration Policy

The charity’s senior staff are employees of the City Corporation and, alongside all staff, pay is reviewed annually. The City Corporation is committed to attracting, recruiting and retaining skilled people and rewarding employees fairly for their contribution. As part of this commitment, staff are regularly appraised and, subject to performance, eligible for the payment of recognition awards.

The above policy applies to staff within the charity’s key management personnel, as defined within note 9 to the financial statements.

The charity is committed to equal opportunities for all employees. An Equality and Inclusion Board has been established to actively promote equality, diversity and inclusion in service delivery and employment practices. The Board is responsible for monitoring the delivery of the Equality and Inclusion Action Plan and progress against the Equality Objectives. This also includes addressing the City Corporation’s gender, ethnicity and disability pay gaps.

Owing to the COVID 19 pandemic and the recommendations from the Tackling Racism Taskforce, which was set up last year to identify the actions that the City Corporation could implement to tackle racism in all its forms, the Corporate Equality and Inclusion Plan will be updated in the autumn. There is work ongoing relating the new Equalities and Inclusion objectives, that will include internal and external consultation. This is expected to take place

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Epping Forest | Annual Report and Financial Statements 2021/22

at the end of April 2023, with publication of the revised Equalities and Inclusion objectives by September 2023.

Senior staff posts of the City Corporation are individually evaluated and assessed independently against the external market allowing each post to be allocated an individual salary range within the relevant grade, which incorporates market factors as well as corporate importance.

Fundraising

Section 162a of the Charities Act 2011 requires charities to make a statement regarding fundraising activities. The legislation defines fundraising as “soliciting or otherwise procuring money or other property for charitable purposes”. Although Epping Forest charity does not undertake widespread fundraising from the general public, any such amounts receivable are presented in the financial statements as “voluntary income” including grants.

In relation to the above we confirm that all solicitations are managed internally, without involvement of commercial participators or professional fund-raisers, or third parties. The day to day management of all income generation is delegated to the executive team, who are accountable to the trustee. The charity is not bound by any regulatory scheme and does not consider it necessary to comply with any voluntary code of practice.

From March 2021 a donations page has been created on the Epping Forest webpage, inviting and enabling the public to make on-line donations to either the Epping Forest Common Toad Conservation Project or the Epping Forest New Sculptures and Trail campaign.

The charity has received no complaints in relation to fundraising activities in 2021/22 (2020/21: nil). Individuals are not approached for funds, hence the charity does not consider it necessary to design specific procedures to monitor such activities.

Public benefit statement

The Trustee confirms that it has referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing Epping Forest’s aims and objectives and in planning future activities. The purpose of the charity is the preservation of Epping Forest in perpetuity by the City of London Corporation as the Conservators of Epping Forest, as an Open Space for the recreation and enjoyment of the public.

This charity is operated as part of the City of London Corporation’s City’s Cash. The City of London Corporation is committed to fund the ongoing net operational costs of the charity in accordance with the purpose which is the preservation of Epping Forest in perpetuity by the City of London Corporation as the Conservators of Epping Forest, as an Open Space for the recreation and enjoyment of the public.

Consequently, the Trustee considers that Epping Forest operates to benefit the general public and satisfies the public benefit test.

REFERENCE AND ADMINISTRATIVE DETAILS

The administrative details of the charity are stated on page 38.

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Epping Forest | Annual Report and Financial Statements 2021/22

ACHIEVEMENTS AND PERFORMANCE

The Teams across Epping Forest have ensured that the Forest remained open and accessible throughout the COVID-19 pandemic. However, with the focus on keeping the Forest open, tidy and safe, this did impact on the delivery of some of the projects planned for 2021/22 which will roll over into 2022/23.

Epping Forest’s 2021/22 aims together with their outcomes were:

Carbon Reduction -The Carbon reduction project aims and objectives continue to be reviewed centrally. Key role descriptions have been drawn up and grades assessed, with recruitment planned alongside corporate restructures.

Epping Forest Management Plan and Strategy – The Plan has been finalised and published, with progress being made on key documents, policies and projects detailed within. Some reprioritisation has been necessary due to Covid-19 and corporate restructure.

Local Planning Process - The Charity continues to represent concerns regarding the conservation of Epping Forest through the Local Planning Process with Local Authorities in order to protect the unique and delicate nature of the Epping Forest habitat.

Wanstead Parkland Plan – is progressing and continues to address areas such as Reservoir Risk, Heritage at Risk, Water Abstraction and Flood Risk to address statutory obligations in these areas.

Car Parking - Car parking charging phases one and two are complete with charging introduced at 38 car parks during 2021. Further work on remaining sites is underway, as are complementary workstreams to review Byelaws.

Implementation of Customer Relationship Management (CRM) – Implementation of CiviCRM™ software to enable efficient and compliant handling of contact data, event booking, licensing, work requests, fundraising and other customer contacts has been slower than originally planned but initial testing was completed in March 2022 with go-live expected early in 2022-23 financial year. A concurrent project to adopt StarTraq® software to manage, monitor and support payments and fines for Fixed Penalty Notices (FPNs) and Penalty Charge Notices (PCNs) is almost complete.

Developing sporting partnership opportunities - The charity continues to investigate the benefit of working with partner organisations to improve the sporting offer at Epping Forest, particularly in the existing offer of football and golf, but possibly to include other formal sports, or improve opportunities for informal fitness activities for Forest users. This should also address the issues of the costs of providing these facilities and likely income to the charity. Projects have been delayed due to Covid-19 and the effect this has had, particularly on partner organisations, but projects are being pursued once again.

Lodges – Renovation of lodges particularly at Jubilee Retreat, Blake Hall Road and Wanstead Park have slowed due to structural and internal complications of scheduling and priority. Rangers Road is close to completion of extensive overhaul to become a second holiday let, following the success of the first at Baldwins Hill. Plans for alternative routes for investment in such properties are being considered.

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Epping Forest | Annual Report and Financial Statements 2021/22

Countryside Stewardship Scheme (CSS) - The work programme for the CSS has begun, including final stage procurement of several felling contracts, under 100% capital grant aid, for work across two years from 2021 to 2023.

New Cattle Grazing System - GPS-driven invisible fencing is proving successful and new areas for grazing are being considered following a successful trial at Wanstead Park.

Special Areas of Conservation (SAC) Mitigation Strategy - The Oversight Group has completed negotiations over the strategy’s governance and financing arrangements and the first transfer of tariff monies from the local authorities to Epping Forest to pay for the Strategic Access Management and Monitoring Strategy (SAMMS) works is still under discussion. The priority SAMMS works are likely to include work at Leyton Flats and High Beach on new pathways to reduce damage to ancient trees and flora from visitor pressure.

Sustainable Fleet and Operations – A number of vehicles with much improved environmental performance have been sourced to achieve compliance with recently extended ULEZ.

Budget Management – Financial targets achieved particularly through income diversification, chiefly introduction of parking charges.

Corporate Restructure – Epping Forest is now part of the Environment Department, with structures currently under review.

PLANS FOR FUTURE PERIODS

The global pandemic of Coronavirus was still very much part of operations at the start of 2021/22. This may have an impact on income and ability to deliver some projects in the next 12 months.

Key projects for 2022/23 include:

Corporate Restructure – To continue with the corporate restructure review designed to implement the new City Corporation Corporate Plan as set out, consulting on and embedding new structures in 2022/23 that improve efficiency and bring greater ability to seek opportunities for improved income diversification.

Carbon Reduction - The Carbon Recovery Project has commenced delivery with the arable reversion of Epping Forest Buffer Land at Patmores Field. Specialist Land Agents are advancing discussions on the surrender of arable tenancies, and recruitment to project staff roles are on hold until the completion of the Land use Consultants’ detailed evaluation of the Natural Environment Division’s potential sequestration capacity.

Special Areas of Conservation (SAC) Mitigation Strategy - The Oversight Group has agreed the governance and finance arrangements of the strategy and the City of London await confirmation of approval by all the relevant Local Authority decision making committees. The City of London will act as the 'banker' for the Strategic Access Management and Monitoring Strategy (SAMMS) contributions. The priority SAMMS works will focus on improvements to access infrastructure at Leyton Flats and High Beach, due to their high visitor attraction.

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Epping Forest | Annual Report and Financial Statements 2021/22

Wanstead Parkland Plan – In association with local community partners, initial funding to undertake a phased development of a natural play area has been achieved and work is scheduled. The second phase of community-funded Grotto restoration will be underway in summer 2022; assessments and works to stabilise the Grotto façade are also planned. Next phases for replacing the derelict pump house by the River Roding and for installing land drainage within the Glade will commence. Following the completion of flood modelling research, some £1m of works to strengthen dam faces and level dam tops are anticipated to address the ‘High Risk’ flood safety status notified by the Environment Agency.

Baldwins & Birch Hall Park Ponds Small Raised Reservoirs - Managed under the Health and Safety at Work Act, these Victorian sub-25,000 cubic metre raised reservoirs require significant works to manage leakage and safe overtopping, using procured external specialist contractors.

Sustainable Visitor Strategy and Car Parking – To draw up and publish an Epping Forest Sustainable Visitor Strategy setting out our aims and objectives for balancing visitor numbers and enjoyment of the Forest with protection of this valuable habitat. This includes completion of the final stages of the car parking plan and move to business as usual. The coming year should see a reduction in penalties and vandalism to car parking infrastructure.

Byelaw Review – Last updated in 1980, a very necessary review of the current byelaws in place for Epping Forest and Wanstead Park will be carried out to reflect wider changes to the law, the manner in which our visitors engage with the Forest and additional statutory designations, and where change is needed, the review will engage with Defra to explore how the byelaws can be brought up-to-date in line with the modern demands on the open space.

Implementation of new Customer Service and Regulatory Software - To complete build and testing of CiviCRM™ and StarTraq® software which together will enable efficient and compliant handling of contact data, event booking, licensing, work requests, fundraising, Penalty Charge Notices (PCNs) and other customer contacts, and all associated payment streams.

Developing sporting partnership opportunities - The charity continues to investigate the benefit of working with partner organisations to improve the sporting offer at Epping Forest, particularly in the existing offer of football and golf, but possibly to include other formal sports where possible, or improve opportunities for informal fitness activities for Forest users. This should also address the issues of the costs of providing these facilities and likely income to the charity. Projects have been delayed due to Covid-19 and the effect this has had, particularly on partner organisations, but projects are being pursued once again.

Lodges – To review and reprioritise renovation of lodges, particularly in the light of changing staff terms and conditions through corporate restructure. To review financial structures allowing for more sustainable investment and improved efficiency moving forward.

Countryside Stewardship Scheme (CSS) - The work programme for the CSS Epping Forest #1 Grant has commenced, including final stage procurement of several felling contracts, under 100% capital grant aid, for work across two years from 2021 to 2023. Further bids are in progress for Epping Forest #2, Wanstead Park and Copped Hall Park.

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Epping Forest | Annual Report and Financial Statements 2021/22

Conservation Cattle Grazing – To improve cattle housing buildings at the Great Gregories overwintering facility, test the extension of the cattle grazing season and increase cattle grazing days in the Forest, including new areas identified by the GIS-based Grassland Gazetteer assessment.

Sustainable Fleet and Operations – We will continue to upgrade our ageing fleet to improve environmental performance and achieve compliance with recently extended ULEZ requirements.

The Trustee does not consider there to be any material uncertainty around going concern and further detail regarding this is set out on page 22.

The Trustee is monitoring the situation and will continue with its purpose to preserve Epping Forest in perpetuity by the City of London Corporation as the Conservators of Epping Forest, as an Open Space for recreation and enjoyment of the public.

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Epping Forest | Annual Report and Financial Statements 2021/22

FINANCIAL REVIEW

Overview of Financial Performance

Income

In 2021/22 the charity’s total income for the year was £7,263,658, an overall increase of £623,546 against the previous year (£6,640,112). The principal source of income was from City of London Corporation’s City’s Cash fund (see below).

Income from Charitable Activities comprised £1,359,149 from charges for use of facilities and licences (2020/21: £742,416), £541,531 from rents (2020/21: £430,703) and £100,784 from sales of goods, products and materials (2020/21: £76,905). 2021/22 saw an increase in fees and charges for use of facilities owing to car parking charges being introduced during 2021 and a large scale licenced use of Forest Land for works compound. The increase in rent income was due to a rent review and lettings of Forest lodges.

In total, grant income of £502,243 was received in the year, towards programmes administered by the charity (2020/21: £302,944) (see below).

A restricted donation of £9,000 was received from Transport for London (TfL) for implementation of cycle stands including delivery, materials and staff costs at Epping Forest (2020/21: £12,821 received from the Highams Park Community CIC for improvements at Epping Forest).

Donations – being amounts received from the public through donation boxes at the Temple and at the View. In total £894 was received during the year (2020/21: £56). Donations can be made on the Epping Forest webpage, to either the Epping Forest Common Toad Conservation Project or the Epping Forest New Sculptures and Trail campaign. In total, £635 was received during the year (2020/21: £90). The full amount was held at 31 March 2022 in a restricted fund for ‘Campaign Donations’. Furthermore, £216,004 was received during the year from Orion Harriers towards Epping Jubilee Retreat extension costs for the Staff Welfare Facilities at Epping Forest (2020/21: £nil).

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Epping Forest | Annual Report and Financial Statements 2021/22

Investment income of £3,171 (2020/21: £6,283) received during the year consists of distributions from the Charities Pool and interest receivable on cash balances held on behalf of the Trust.

Other income of £3,112 was received in relation to Coronavirus Job Retention Scheme (2020/21: £8,916). There are no unfulfilled conditions or other contingencies relating to this grant income and no other forms of government assistance have been received in the year.

An amount of £4,527,135 (2020/21: £5,058,978) was received from the City of London Corporation’s City’s Cash as a contribution towards the running costs of the charity.

Expenditure

Total expenditure for the year relating to charitable activities expenditure was £7,351,365 (2020/21: £6,665,397). The increase in expenditure in the year mainly relates to premises related expenses, transport related expenses and supplies and services.

Funds held

The charity’s total funds held decreased by £87,522 to £6,298,463 as at 31 March 2022 (2020/21:decreased of £24,521 to £6,385,985).

The charity’s designated funds consist of unrestricted income funds which the Trustee has chosen to set aside for specific purposes. Such designations are not legally binding, and the Trustee can decide to “undesignate” these funds at any time. Designations as at 31 March 2022 totalled £6,171,657 (2020/21: £6,385,895).

A restricted fund of £126,806 (2020/21: £90) was held at year-end. This relates to Campaign Donations of £725 and to the Countryside Stewardship Scheme of £126,081. Donations can be made on the Epping Forest webpage, to either the Epping Forest Common Toad Conservation Project or the Epping Forest New Sculptures and Trail campaign. Plans are being put in place for utilising these funds.

Details of all funds held, including their purposes, is set out within note 17 to the financial statements.

Investments performance

Over the course of 2021/22 the Charities Pool investment strategy delivered an absolute return (gross of fees) of 11.1% which was below the FTSE All Share Index benchmark return of 13.0%, although this followed a period of outperformance in the prior year (the investment strategy gained 30.7% in 2020/21 versus 26.7% from the benchmark). The Charities Pool invests in an actively managed, high conviction strategy where performance is expected to be volatile over the short term. Over the longer term three and five year horizon, the Charities Pool continues to outperform the FTSE All Share Index as shown below.

2021/22 2020/21
3 years 5 years 3 years 5 years
Fund +7.35% +6.16% +5.04% +7.19%
FTSE All Share +5.31% +4.69% +3.19% +6.29%
Fund outperformance +2.04% +1.47% +1.85% +0.90%

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Epping Forest | Annual Report and Financial Statements 2021/22

Reserves

The charity is wholly supported by the City of London Corporation which is committed to maintain and preserve Epping Forest out of its City’s Cash Funds. These Funds are used to meet the deficit on running expenses on a year by year basis. Consequently, this charity has no free reserves and a reserves policy is considered by the trustee to be inappropriate.

Donations are now being sought which may carried forward into future years to contribute to a larger project, but there is currently no intention to hold them as a minimum amount owing to the deficit funded status of the Charity.

Principal Risks and Uncertainties

The charity is committed to a programme of risk management as an element of its strategy to preserve the charity’s assets. In order to embed sound practice the senior leadership team ensures that risk management policies are applied, that there is an on-going review of activity and that appropriate advice and support is provided. A key risk register has been prepared for the charity, which has been reviewed by the Trustee. This identifies the potential impact of key risks and the measures which are in place to mitigate such risks.

The principal risks faced by the charity, and actions taken to manage them are as follows:

Risk Actions to manage risks
Decline in Assets
condition		 Schedule of statutory checks and visits carried out by City
Surveyor or delegated to site.
Joint inspection of all buildings including residential by
site and City Surveyor to capture maintenance needs.
Improvements to Great Gregories.
Capital funding being sought for essential works to
Aldersbrook changing facilities.
Wanstead Park
Reservoirs		 Engineering study was completed in November 2020
which recommended a lower level of activity than
originally envisaged.
Outline options are being considered with procurement of
professional expertise to refine options.
Raised Reservoirs Weekly inspection of reservoirs / dams.
Statutory inspection visits by engineer every six months.
Complete works on Birch Hall Park Pond.
Undertake surveys and investigate funding options for
works on other ponds.
Accelerated long-term
damage to site		 Implement mitigation program which was developed from
results of Path Survey. Funding for works is being sought.
Invasive Non-Native
Species (INNS)		 Develop an INNS policy - particular focus on Oak
Processionary Moth, although other pathogens and areas
of concern to be tackled.
Track works done to mitigate the spread of Oak
Processionary Moth in Epping Forest.
Development
Consents close to
Forest Land		 Continue to influence the Epping Forest District Council,
London Borough of Waltham Forest and other
surrounding local plans. Look to embed the Epping Forest

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Epping Forest | Annual Report and Financial Statements 2021/22

Risk Actions to manage risks
Special Area of Conservation (SAC) Mitigation Strategy in
Local Plans and to ensure robust monitoring of the
effectiveness of mitigation measures.
Loss of Forest Land
and/or concession of
prescriptive rights		 Audits of all forest compartments to be completed.
Work with City Surveyor’s and Comptroller and City
Solicitor’s Departments to consider whether legal action is
required to settle disputes.
Financial management
and loss of income		 Working to deficit budget reduction targets by increasing
income generation e.g. from car parking charges.
Further efficiencies and income enhancement to be
sought.
Declining Site of
Special Scientific
Interest (SSSI)/Special
Area of Conservation
(SAC) Condition		 Application for a further Countryside Stewardship grant is
likely to be submitted in 2023.
Remodel the in-house grazing expansion plan using the
new GPS invisible fencing system.
Pathogens Implement actions arising from Massaria survey.
Annual inspection of all Rhododendron and Larch to
ensure Ramorum disease does not spread.
Develop a biosecurity policy for whole Forest, building on
Ramorum security policy approach. Measures will be
integrated into the INNS Action Plan during 2022.
Increase in Health and
Safety
incidents/Catastrophic
Health & Safety failure		 Health & Safety training (operational) system in place.
Clear role and responsibilities set out in documentation
and reinforced by training.
Annual Health & Safety checks on all licensed
refreshment and food outlets in the forest (excluding ice
cream vans).
Works identified from tree survey are being prioritised and
options for employing additional staff to undertake the
works are being considered..
Wanstead Park –
Heritage at Risk
Register		 Sources of funding continue to be investigated.
An application for Countryside Stewardship for 2023 is
being actively considered.
Major Incident
resulting in prolonged
‘Access Denial’		 The Emergency Action Plan was tested successfully
during the pandemic using JESIP (Joint Emergency
Services Interoperability Principles) and has been
implemented and supported by additional measures.
Public behaviour Public Spaces Protection Orders (PSPO’s) are in place.
These and other dog control measures are monitored and
action taken where appropriate.
Multi-disciplinary approach with enforcement and
outreach team.
Develop relationships with local authority neighbours,
police services, fire service etc.
Severe Weather
Events		 Incident Management Plan updated to incorporate wildfire
planning and JESIP protocols for joint action across
authorities.

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Epping Forest | Annual Report and Financial Statements 2021/22

Risk Actions to manage risks
Site visits by fire services to confirm infrastructure is
satisfactory have been scheduled.
Tree safety survey has identified necessary works.
Relevant works are being prioritised and options for
employing additional staff or contractors to carry them out
are being considered.
Loss of knowledge of
skilled staff/difficulties
in recruitment		 Succession plan approved and to be reviewed annually.
Talent Management Strategy to be developed but
deferred awaiting outcome of corporate restructure.

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Epping Forest | Annual Report and Financial Statements 2021/22

TRUSTEE’S RESPONSIBILITIES

The Trustee is responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Charity law requires the Trustee to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under charity law the Trustee must not approve the financial statements unless the Trustee is satisfied that they give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing these financial statements, the Trustee is required to:

The Trustee is 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 the Trustee to ensure that the financial statements comply with the Charities Act 2011. The Trustee is 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.

In so far as the Trustee is aware:

Financial statements are published on the Trustee’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements, which may vary from legislation in other jurisdictions. The maintenance and integrity of the Trustee’s website is the responsibility of the Trustee. The Trustee’s responsibility also extends to the ongoing integrity of the financial statements contained therein.

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Epping Forest | Annual Report and Financial Statements 2021/22

Adopted and signed for on behalf of the Trustee.

Henry Nicholas Almroth Colthurst, Deputy Randall Keith Anderson, Deputy Chairman of Finance Committee of Deputy Chairman of Finance Committee The City of London Corporation of The City of London Corporation

Guildhall, London

31 January 2023

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Epping Forest | Annual Report and Financial Statements 2021/22

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEE

OF EPPING FOREST

Opinion

We have audited the financial statements of Epping Forest (‘the charity’) for the year ended 31 March 2022 which comprise the statement of financial activities, 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 Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements:

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 trustee's 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 Trustee with respect to going concern are described in the relevant sections of this report.

Other information

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

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

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Epping Forest | Annual Report and Financial Statements 2021/22

We have nothing to report in this regard.

Matters on which we are required to report by exception

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

Responsibilities of the Trustee

As explained more fully in the Trustee’s responsibilities statement set out on page 15 and 16, the Trustee is 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 Trustee determines 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 Trustee is 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 Trustee either intends to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

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 the Acts and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an 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.

Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and non-compliance with laws and regulations are set out below.

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.

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.

We obtained an understanding of the legal and regulatory frameworks within which the Charity operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Charities Act 2011 together with the Charities SORP (FRS102) 2019. We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

In addition, we considered provisions of other laws and regulations that do not have a direct effect

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Epping Forest | Annual Report and Financial Statements 2021/22

on the financial statements but compliance with which might be fundamental to the Charity’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charity for fraud. The laws and regulations we considered in this context for the UK operations were General Data Protection Regulation (GDPR), Anti-fraud, bribery and corruption legislation, Health and safety legislation, and Employment legislation. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustee and other management and inspection of regulatory and legal correspondence, if any.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing of recognition of income, and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, internal audit, legal counsel and the Audit & Risk Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, and reading minutes of meetings of those charged with governance.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing noncompliance and cannot be expected to detect non-compliance with all laws and regulations.

Use of our report

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

Crowe U.K. LLP Statutory Auditor

55 Ludgate Hill, London, EC4M 7JW

31 January 2023

Crowe U.K. LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

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Epping Forest | Annual Report and Financial Statements 2021/22

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2022

Unrestricted Restricted
Funds Funds
2021/22 2020/21
Notes 2021/22 2021/22 Total Funds Total Funds
£ £ £ £
Income from:
Voluntary activities 2 238,668 490,108 728,776 315,911
Charitable activities 3 2,001,464 - 2,001,464 1,250,024
Grant from City of London Corporation 4 4,527,135 - 4,527,135 5,058,978
Investments 5 3,171 - 3,171 6,283
Other income 6 3,112 3,112 8,916
Total income 6,773,550 490,108 7,263,658 6,640,112
Expenditure on:
Charitable activities:
Preservation of EppingForest 7 7,203,977 147,388 7,351,365 6,665,397
Total expenditure 7,203,977 147,388 7,351,365 6,665,397
Netgains on investments 12 185 - 185 764
Net expenditure (430,242) 342,720 (87,522) (24,521)
Transfers between funds 216,004 (216,004) - -
Net movement in funds (214,238) 126,716 (87,522) (24,521)
Reconciliation of funds:
Total funds brought forward 17 6,385,895 90 6,385,985 6,410,506
Total funds carried forward 17 6,171,657 126,806 6,298,463 6,385,985

All of the above results are derived from continuing activities.

There were no other recognised gains and losses other than those shown above. The notes on pages 22 to 38 form part of these financial statements.

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Epping Forest | Annual Report and Financial Statements 2021/22

BALANCE SHEET

AS AT 31 MARCH 2022

AS AT 31 MARCH 2022
Notes 2022 2021
Total Total
£ £
Fixed assets:
Heritage assets 10 378,911 379,872
Tangible assets 11 4,849,752 4,971,853
Investments 12 4,058 3,873
Total fixed assets 5,232,721 5,355,598
Current assets
Stock 28,077 46,671
Debtors 13 443,120 262,751
Cash at bank and in hand 1,428,251 1,180,589
Total current assets 1,899,448 1,490,011
Creditors: Amounts falling due within one year 14 (769,946) (411,114)
Net current assets/(liabilities) 1,129,502 1,078,897
Total assets less current liabilities 6,362,223 6,434,495
Creditors: Amounts falling due after more than oneyear 15 (63,760) (48,510)
Total net assets 6,298,463 6,385,985
The funds of the charity:
Restricted income funds 17 126,806 90
Unrestricted income funds 17 6,171,657 6,385,895
Total funds 6,298,463 6,385,985

The notes on pages 22 to 38 form part of these financial statements

Approved and signed on behalf of the Trustee.

Caroline Al-Beyerty

Chamberlain of London and Chief Financial Officer

31 January 2023

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Epping Forest | Annual Report and Financial Statements 2021/22

NOTES TO THE FINANCIAL STATEMENTS

1. ACCOUNTING POLICIES

The following accounting policies have been applied consistently in dealing with items that are considered material in relation to the financial statements of the charity.

(a) Basis of preparation

The financial statements of the charities, which is a public benefit entity under FRS102, have been prepared under the historical cost convention and in accordance with the Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition effective 1 January 2019) and the Charities Act 2011.

(b) Going concern

The financial statements have been prepared on a going concern basis as the Trustee considers that there are no material uncertainties about the charity’s ability to continue as a going concern. The charity’s governing documents place an obligation on the City of London Corporation to preserve the open spaces for the benefit of the public. Funding is provided from the City of London Corporation’s City’s Cash. On an annual basis, a medium-term financial forecast is prepared for City’s Cash, covering the next 5 years from the period covered by these financial statements. The latest forecast anticipates that adequate funds will be available in the 12 months from the date of these financial statements being signed to enable the charity to continue to fulfil its obligations.

In making this assessment, the Trustee has considered the potential ongoing impact of the Covid-19 pandemic and current high inflationary pressures on the financial position, including future income levels and planned expenditure and the liquidity of the charity over the next 12-month period. The assessment helps to provide assurances that the charity can continue to keep operating over the next 12-month period from these financial statements being signed. For this reason, the Trustee continues to adopt a going concern basis for the preparation of the financial statements.

(c) Key management judgements and assumptions

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenditure. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the result of which form the basis of decisions about carrying values of assets and liabilities that are not readily apparent from other sources. The resulting accounting estimates will, by definition, seldom equal the related actual results.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in any future periods affected. Management do not consider there to be any material revisions requiring disclosure.

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In preparing the financial statements, management has made the following key judgements: useful economic life of fixed assets and the recovery of debts.

(d) Statement of Cash Flows

As per section 14.1 of the Charities SORP the Charity is not required to produce a statement of cash flows on the grounds that it is a qualifying entity.

A Statement of Cash Flows is included within the City’s Cash Annual Report and Financial Statements 2022 which is publicly available at www.cityoflondon.gov.uk.

(e) Income

All income is included in the Statements of Financial Activities (SOFA) when the charity is legally entitled to the income; it is more likely than not that economic benefit associated with the transaction will come to the charity and the amount can be quantified with reasonable certainty. Income consists of donations, charges for services and use of facilities, contributions, grants (including government grants), investment income, interest, sales and rental income.

The City of London Corporation’s City’s Cash meets the deficit on running expenses of the charity and also provides funding for certain capital works. This income is considered due each year end once the deficit on running expenses and capital works funding has been confirmed, and is recognised in the SOFA at this point.

(f) Expenditure

Expenditure is accounted for on an accruals basis and has been classified under the principal categories of ‘expenditure on raising funds’ and ‘expenditure on charitable activities’. Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that settlement will be required, and the amount of the obligation can be measured reliably.

Governance costs include the costs of governance arrangements which relate to the general running of the charity as opposed to the direct management of functions inherent in the activities undertaken. These include the costs associated with constitutional and statutory requirements such as the cost of Trustee meetings.

Support costs (including governance costs) include activities undertaken by the City Corporation on behalf of the charity, such as human resources, digital services, legal support, accounting services, committee administration, public relations and premises costs. The basis of the cost allocation is set out in note 8.

The Trustee, the City Corporation, accounts centrally for all payroll related deductions. As a result, the charity accounts for all such sums due as having been paid. From 2021/22, the City Corporation, as Trustee, has taken a decision to seek reimbursement for the administration fees incurred from each of its charities, and these costs are included with support costs.

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Epping Forest | Annual Report and Financial Statements 2021/22

(g) Pension costs

Staff are employed by the City of London Corporation and are eligible to contribute to the City of London Local Government Pension Fund, which is a funded defined benefit scheme. The estimated net deficit on the Fund is the responsibility of the City of London Corporation as a whole, as one employer, rather than the specific responsibility of any of its three main funds (City Fund, City’s Cash and Bridge House Estates) or the trusts it supports.

The Fund’s estimated net liability has been determined by independent actuaries in accordance with FRS102 as £832.7m as at 31 March 2022 (£919.7m as at 31 March 2021). Since any net deficit is apportioned between the financial statements of the City of London’s three main funds, the charity’s Trustee does not anticipate that any of the liability will fall on the charity. The charity is unable to identify its share of the pension scheme assets and liabilities and therefore the Pension Fund is accounted for as a defined contribution scheme in these financial statements.

Barnett Waddingham, an independent actuary, carried out the latest triennial actuarial assessment of the scheme as at 31 March 2019, using the projected unit method. The 31 March 2022 valuation is being carried out in 2022/23 and must be finalised before 31 March 2023, which will set contribution rates for the period 01 April 2023 to 31 March 2026. Contribution rates adopted for the financial years 2020/21, 2021/22 and 2022/23 have been set at 21% (2019/20: 21%).

(h) Taxation

The charity meets the definition of a charitable trust for UK income tax purposes, as set out in Paragraph 1 Schedule 6 of the Finance Act 2010. Accordingly, the charity is exempt from UK taxation in respect of income or capital gains under part 10 of the Income Tax Act 2007 or section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

(i) Fixed Assets

Heritage Land and Associated Buildings

Epping Forest comprises 2,485 hectares (6,142 acres) of land stretching 12 miles from Manor Park in East London to just north of Epping in Essex, together with associated buildings. The object of the charity is the preservation of Epping Forest in perpetuity as an Open Space for the recreation and enjoyment of the public. Epping Forest is considered to be inalienable (i.e. may not be disposed of without specific statutory powers).

Land and the original associated buildings are considered to be heritage assets. In respect of the original land and buildings, cost or valuation amounts are not included in these financial statements as reliable cost information is not available and a significant cost would be involved in the reconstruction of past accounting records, or in the valuation, which would be onerous compared to the benefit to the users of these accounts

Additions to the original land and capital expenditure on buildings and other assets would be included as fixed assets at historic cost, less provision for depreciation and any impairment, where this cost can be reliably measured.

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Epping Forest | Annual Report and Financial Statements 2021/22

Tangible fixed assets

Assets that are capable of being used for more than one year and have a cost greater than £50,000 are capitalised. Such assets are stated at cost less accumulated depreciation and accumulated impairment losses. Depreciation is charged from the year following that of acquisition, on a straight-line basis, in order to write off each asset over its estimated useful life as follows. Land is not depreciated.

life as follows. Land is not depreciated.
Years
Operational buildings 30 to 50
Improvements and refurbishments to buildings up to 30
Equipment 5 to 25
Infrastructure up to 20
Heavy vehicles and plant 5

(j) Investments

Investments are made in the City of London Charities Pool (charity number 1021138) which is an investment mechanism operating in a similar way to a unit trust. This enables the City of London Corporation to “pool” small charitable investments together and consequently obtain better returns than would be the case if investments were made individually.

Investments are valued at bid-price. Gains and losses for the year on investments held as fixed assets are included in the Statement of Financial Activities.

(k) Stocks

Stocks are valued at the lower of cost or net realisable value. All stocks are finished goods and are held for resale as part of the charity operation.

(l) Cash

Cash and cash equivalents include cash in hand, overdrafts (if any) and short term deposits and other instruments held as part of the Corporation’s treasury management activities with original maturities of three months or less.”

(m) Funds structure

Income, expenditure and gains/losses are allocated to particular funds according to their purpose:

Restricted funds – These include income that is subject to specific restrictions imposed by donors, with related expenditure deducted when incurred.

Unrestricted income funds – these funds can be used in accordance with the charitable object at the discretion of the Trustee and include both income generated by assets held representing unrestricted funds. Specifically, this represents any surplus of income over

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Epping Forest | Annual Report and Financial Statements 2021/22

expenditure for the charity which is carried forward to meet the requirements of future years, known as free reserves.

Designated funds – these are funds set aside by the Trustee out of unrestricted funds for a specific purpose.

(n) Insurance

The charity, elected Members and staff supporting the charity’s administration are covered by the City Corporation’s insurance liability policies, and otherwise under the indemnity the City Corporation provides to Members and staff, funded from City’s Cash.

2. INCOME FROM VOLUNTARY ACTIVITIES

----- Start of picture text -----
Unrestricted Restricted Total Unrestricted Restricted Total
funds funds 2021/22 funds funds 2020/21
£ £ £ £ £ £
Grants 237,774 264,469 502,243 302,944 - 302,944
Donations and legacies 894 225,639 226,533 12,877 90 12,967
Total 238,668 490,108 728,776 315,821 90 315,911
----- End of picture text -----

3. INCOME FROM CHARITABLE ACTIVITIES

Unrestricted Unrestricted
funds funds
2021/22 2020/21
£ £
Charges for use of facilities 1,359,149 742,416
Sales 100,784 76,905
Rental income 541,531 430,703
Total 2,001,464 1,250,024

4. INCOME FROM THE CITY OF LONDON CORPORATION

Unrestricted
funds
2021/22
£		 Unrestricted
funds
2020/21
£
5,058,978
Revenue and capital grants from City of London
Corporation		 4,527,135

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5. INCOME FROM INVESTMENTS

----- Start of picture text -----
Unrestricted Unrestricted
funds funds
2021/22 2020/21
£ £
Interest 3,171 6,283
----- End of picture text -----

6. OTHER INCOME Other income

----- Start of picture text -----
Unrestricted Unrestricted
funds funds
2021/22 2020/21
£ £
Other income 3,112 8,916
----- End of picture text -----

Income for the year included:

Grants – being amounts received from organisations towards programmes operated by the charity.

Donations – being amounts received from the public through donation boxes at the Temple and at the View. Donations can be made on the Epping Forest webpage, to either the Epping Forest Common Toad Conservation Project or the Epping Forest New Sculptures and Trail campaign. A restricted donation was received from Transport for London (TfL) for implementation of cycle stands including delivery, materials and staff costs at Epping Forest.

Grants from the City of London Corporation – being the amount received from the City of London Corporation’s City’s Cash to meet the deficit on running expenses of the charity, alongside funding for capital purchases.

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Investment income – being the amount received from the Charities Pool and interest receivable on cash balances held on behalf of the Trust.

Charitable activities – being amounts generated from the sales of leaflets, books, maps cards and other publications relating to Epping Forest; charges made to the public for the use of facilities, admissions and services and from rental income.

Other income - included in Other Income on the Statement of Financial Activities is Coronavirus Job Retention Scheme income. There are no unfulfilled conditions or other contingencies relating to this grant income and no other forms of government assistance have been received in the year.

7. EXPENDITURE

----- Start of picture text -----
Expenditure on charitable activities
Direct Support Total Direct Support Total
costs costs 2021/22 costs costs 2020/21
£ £ £ £ £ £
Preservation of Epping Forest 6,225,588 1,125,777 7,351,365 5,564,546 1,100,851 6,665,397
----- End of picture text -----

Charitable activity

Expenditure on the charitable activities includes labour, premises costs, equipment, materials and other supplies and services incurred in the running of Epping Forest.

Auditor’s remuneration and fees for other services

Crowe U.K. LLP are the auditors of the City of London’s City’s Cash Fund and provide assurance services to all of the different charities of which it is Trustee. The City of London Corporation charges the audit fee to its City’s Cash Fund. From 2021/22, the City Corporation, as Trustee, has taken a decision to seek reimbursement for the audit fee incurred from each of its charities. In 2021/22 an audit fee of £5,000 was recharged (2020/21: £nil). No other services were provided to the charity by its auditors during the year (2020/21: £nil).

8. SUPPORT COSTS

Support costs include activities undertaken by the City of London Corporation on behalf of the Charity, such as human resources, digital services, legal support, accounting services, committee administration and premises costs. Such costs are determined on a departmental basis, and are allocated on a cost recovery basis to the charity based on time spent, with associated office accommodation charged proportionately to the space occupied by the respective activities, with the split of costs as follows:

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Charitable
activities Governance 2021/22 2020/21
£ £ £ £
Department:
Chamberlain 170,320 - 170,320 161,195
Comptroller & City Solicitor 32,965 - 32,965 -
Town Clerk - 104,294 104,294 123,958
City Surveyor 334,933 - 334,933 368,381
Open Spaces directorate 223,295 - 223,295 163,511
Other governance & support costs 84,877 5,000 89,877 78,147
Digital Services 170,093 - 170,093 205,659
Sub-total 1,016,483 109,294 1,125,777 1,100,851
Reallocation of governance costs 109,294 (109,294) - -
Total support costs 1,125,777 - 1,125,777 1,100,851

All support costs are undertaken from unrestricted funds. Governance costs are allocated based on a proportion of officer time spent on the administration of Trustee and Committee related meetings.

9. DETAILS OF STAFF COSTS

All staff that work on behalf of the charity are employed by the City Corporation. The average number of people directly undertaking activities on behalf of the charity during the year was 77 (2020/21: 81).

Amounts paid in respect of employees directly undertaking activities on behalf of the charity were as follows:

were as follows:
2021/22 2020/21
£ £
Salaries and wages 2,237,668 2,328,878
National Insurance costs 213,948 219,772
Employer'spension contributions 478,609 486,762
Total emoluments of employees 2,930,225 3,035,412

The number of directly charged employees whose emoluments (excluding employer’s pension contribution and national insurance contribution) for the year were over £60,000 was 1.0 (2020/21: 1.0).

was 1.0 (2020/21: 1.0).
2021/22 2020/21
£70,000 - £79,999 1.0 1.0
Remuneration of Key Management Personnel

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Epping Forest | Annual Report and Financial Statements 2021/22

The charity considers its key management personnel to comprise the Members of the City of London Corporation, acting collectively for the City Corporation in its capacity as the Trustee, and the Director of Natural Environment who manages the seven open spaces funded by the City of London Corporation. A proportion of the Directors’ employment benefits are allocated to this charity.

Support is also provided by other chief officers and their departments from across the City of London Corporation, including the Town Clerk and Chief Executive, Chamberlain, Comptroller and City Solicitor and City Surveyor.

The amount of employee benefits received by key management personnel totalled £45,781 (2020/21: £29,721). The members of the Finance Committee of the City of London Corporation are not remunerated and expenses are not reimbursed for acting on behalf of the Trustee during 2021/22 (2020/21: £nil).

10. HERITAGE ASSETS

2018 2019 2020 2021 2022
£ £ £ £ £
Cost
At 1 April 388,382 388,382 388,382 388,382 388,382
At 31 March 388,382 388,382 388,382 388,382 388,382
Depreciation
At 1 April 4,667 5,628 6,589 7,550 8,510
Charge for theyear 961 961 961 960 961
At 31 March 5,628 6,589 7,550 8,510 9,471
Net book value
At 31 March 2022		 382,754 381,793 380,832 379,872 378,911
At 31 March 2021 384,675 382,754 381,793 380,832 379,872

Since 1878 the primary purpose of the charity has been the preservation of Epping Forest for the recreation and enjoyment of the public. As set out in Note 1(i), the original heritage land and buildings are not recognised in the Financial Statements. Policies for the preservation and management of Epping Forest are contained in the Epping Forest Conservation Management Plan. Records of heritage assets owned and maintained by Epping Forest can be obtained from the Executive Director Environment at the principal address as stated on page 38.

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11. TANGIBLE FIXED ASSETS

Land and Infrastructure Vehicles and Equipment Total
Buildings Plant
£ £ £ £ £
Cost
At 1 April 2021 3,661,845 4,332,633 255,528 409,738 8,659,744
Additions 280,525 7,487 50,000 - 338,012
At 31 March 2022 3,942,370 4,340,120 305,528 409,738 8,997,756
Depreciation
At 1 April 2021 1,697,785 1,513,672 131,759 344,675 3,687,891
Charge for theyear 197,833 230,954 25,904 5,422 460,113
At 31 March 2022 1,895,618 1,744,626 157,663 350,097 4,148,004
Net book value
At 31 March 2022		 2,046,752 2,595,494 147,865 59,641 4,849,752
At 31 March 2021 1,964,060 2,818,961 123,769 65,063 4,971,853

12. FIXED ASSET INVESTMENTS

The investments are held in the City of London Corporation Charities Pool, a charity registered in the UK with the Charity Commission (charity number 1021138). The Charities Pool is a UK registered unit trust.

The value of investments held by the charity are as follows:

2022 2021
£ £
Market value 1 April 3,873 3,109
Gain/(loss)for theyear 185 764
Market value 31 March 4,058 3,873
Cost 31 March 438 438
Units held in Charities Pool 438 438

The geographical spread of listed investments as at 31 March 2022 was as follows:

Held Total at 31 Held Total at 31
Held in the outside the March Held in the outside the March
UK UK 2022 UK UK 2021
£ £ £ £ £ £
Equities 3,299 463 3,762 3,164 449 3,613
Bonds - - - - - -
Pooled Units 239 - 239 206 - 206
Cash held byFund Manager 57 - 57 54 - 54
Total 3,595 463 4,058 3,424 449 3,873

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Epping Forest | Annual Report and Financial Statements 2021/22

13. DEBTORS – AMOUNTS DUE WITHIN ONE YEAR

2022 2021
£ £
Rental debtors 24,576 85,573
Prepayments and accrued income 39,049 36,119
Recoverable VAT 119,586 48,296
Other debtors 259,909 92,763
Total 443,120 262,751

Other debtors consist of non-property related debtors of £65,013 (2020/21: £23,411) and sundry debtors of £194,896 (2020/21: £69,352). The increase in sundry debtors relates to the new Countryside Stewardship Scheme.

14. CREDITORS – AMOUNTS DUE WITHIN ONE YEAR

2022 2021
£ £
Trade creditors 263,919 86,460
Accruals 352,531 228,177
Deferred income 123,899 70,619
Other creditors 29,597 25,858
Total 769,946 411,114

Other creditors consist of sundry creditors.

Deferred income relates to rental income received in advance for periods after the year-end.

2022 2021
Deferred income analysis within creditors: £ £
Balance at 1 April 70,619 85,802
Amounts released to income (70,619) (85,802)
Amounts deferred in theyear 123,899 70,619
Balance at 31 March 123,899 70,619

15. CREDITORS – AMOUNTS DUE AFTER MORE THAN ONE YEAR

Sundry deposits 2022
2021
£
£
63,760
48,510

These consist of rent deposits due after more than one year.

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16. ANALYSIS OF NET ASSETS BY FUND

At 31 March 2022 Unrestricted Income Funds Unrestricted Income Funds Restricted
General Designated Funds Total at 31 Total at 31
Funds Funds March 2022 March 2021
£ £ £ £ £
Heritage Assets - 378,911 - 378,911 379,872
Tangible Assets - 4,849,752 - 4,849,752 4,971,853
Investments - 4,058 - 4,058 3,873
Current Assets 833,706 938,936 126,806 1,899,448 1,490,011
Current Liabilities (769,946) - - (769,946) (411,114)
Non-Current Liabilities (63,760) - (63,760) (48,510)
Total - 6,171,657 126,806 6,298,463 6,385,985
At 31 March 2021 Unrestricted Income Funds Unrestricted Income Funds Restricted
General Designated Funds Total at 31 Total at 31
Funds Funds March 2021 March 2020
£ £ £ £ £
Heritage Assets - 379,872 - 379,872 380,832
Tangible Assets - 4,971,853 - 4,971,853 5,357,428
Investments - 3,873 - 3,873 3,108
Current Assets 459,624 1,030,297 90 1,490,011 1,075,484
Current Liabilities (411,114) - - (411,114) (357,836)
Non-Current Liabilities (48,510) - (48,510) (48,510)
Total - 6,385,895 90 6,385,985 6,410,506

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Epping Forest | Annual Report and Financial Statements 2021/22

17. MOVEMENT IN FUNDS

Total as at 1 Gains & Total as at 31
At 31 March 2021 April 2021 Income Expenditure (losses) Transfers March 2022
£ £ £ £ £ £
Restricted funds:
Campaign Donations 90 635 - - - 725
Transport for London Cycle Stands - 9,000 (9,000)
Countryside Stewardship Scheme - 264,469 (138,388) - - 126,081
Orion Harriers - 216,004 - - (216,004) -
Total restricted funds 90 490,108 (147,388) - (216,004) 126,806
Unrestricted funds:
General funds - 6,598,676 (6,558,078) - (40,598) -
Designated funds:
Tangible fixed assets 4,971,853 56,874 (460,113) - 281,138 4,849,752
Heritage assets 379,872 - (961) - - 378,911
Capital fund 549,620 118,000 (184,003) - (65,134) 418,483
Sports ground deposit 3,968 - - 185 - 4,153
Golf course machinery fund 27,716 - - - 30,001 57,717
Knighton Wood maintenance 5,801 - - - - 5,801
Branching Out project 42,423 - - - - 42,423
Future green infrastrucure fund 6,824 - (822) - - 6,002
Cattle purchase fund 97,168 - - - 10,597 107,765
Wanstead Park/Flats future projects
fund 100,000 - - - - 100,000
South Lodge The Warren 200,650 - - - - 200,650
Total designated funds 6,385,895 174,874 (645,899) 185 256,602 6,171,657
Total unrestricted funds 6,385,895 6,773,550 (7,203,977) 185 216,004 6,171,657
Total funds 6,385,985 7,263,658 (7,351,365) 185 - 6,298,463
Total as at 1 Gains & Total as at 31
At 31 March 2021 April 2020 Income Expenditure (losses) Transfers March 2021
£ £ £ £ £ £
Restricted funds:
Campaign Donations - 90 - - - 90
Total restricted funds - 90 - - - 90
Unrestricted funds:
General funds - 6,245,348 (6,195,820) - (49,528) -
Designated funds:
Tangible fixed assets 5,357,428 67,024 (467,833) - 15,234 4,971,853
Heritage assets 380,832 - (960) - - 379,872
Capital fund 437,854 127,000 - - (15,234) 549,620
Sports ground deposit 3,204 - - 764 - 3,968
Golf course machinery fund 27,716 - - - - 27,716
Knighton Wood maintenance 5,801 - - - - 5,801
Branching Out project 42,423 - - - - 42,423
Future green infrastrucure fund 7,608 - (784) - - 6,824
Cattle purchase fund 47,640 - - - 49,528 97,168
Wanstead Park/Flats future projects
fund 100,000 - - - - 100,000
South Lodge The Warren 200,650 - - - 200,650
Total designated funds 6,410,506 394,674 (469,577) 764 49,528 6,385,895
Total unrestricted funds 6,410,506 6,640,022 (6,665,397) 764 - 6,385,895
Total funds 6,410,506 6,640,112 (6,665,397) 764 - 6,385,985

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Epping Forest | Annual Report and Financial Statements 2021/22

Purposes of restricted funds

Restricted funds have been set aside by the Trustee for the following purposes:

Purposes of designated funds

Designated funds have been set aside by the Trustee for the following purposes:

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Epping Forest | Annual Report and Financial Statements 2021/22

18. RELATED PARTY TRANSACTIONS

The City Corporation is the sole Trustee of the charity, as described on page 2. The City Corporation provides various services to the charity, the costs of which are recharged to the charity. This includes the provision of banking services, charging all transactions to the charity at cost and crediting or charging interest at a commercial rate. The cost of these services is included within expenditure, as set out in note 6.

The charity is consolidated within the accounts of City’s Cash, a fund of the City of London Corporation (the City Corporation, the Corporate Trustee of the charity), by virtue of the deemed control arising from the provision of the shortfall between the charity’s income and expenditure by City’s Cash, whose place of business is Guildhall, London EC2P 2EJ. The principal purpose of City’s Cash is to manage its investments in properties, stocks and shares to provide returns which allows the City Corporation to use the income for the provision of services that are of importance to the City and Greater London as well as nationally and internationally, and to maintain the asset base so that income will be available to fund services for the benefit of future generations. The financial statements of City’s Cash can be obtained from the address provided above.

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Epping Forest | Annual Report and Financial Statements 2021/22

The charity is required to disclose information on related party transactions with bodies or individuals that have the potential to control or influence the charity. Members are required to disclose their interests, and these can be viewed online at www.cityoflondon.gov.uk.

Members and senior staff are requested to disclose all related party transactions, including instances where their close family has made such transactions.

Figures in brackets represent the amounts due at the balance sheet date. Other figures represent the value of the transactions during the year.

Related party Connected party 2021/22 2020/21 Detail of transaction £ £ The City of London The City of London Corporation's City of London Corporation is the City's Cash meets the deficit on Corporation Trustee for the charity 4,527,135 5,058,978 running expenses of the charity (nil) (nil) Administrative services provided 1,125,777 1,100,851 for the charity (nil) (nil) Distribution from the Charities 3,171 6,283 Pool (nil) (nil)

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Epping Forest | Annual Report and Financial Statements 2021/22

REFERENCE AND ADMINISTRATION DETAILS

CHARITY NAME: Epping Forest

Registered charity number: 232990

PRINCIPAL OFFICE OF THE CHARITY & THE CITY CORPORATION:

Guildhall, London, EC2P 2EJ

TRUSTEE:

The Mayor and Commonalty & Citizens of the City of London

SENIOR MANAGEMENT:

Chief Executive

John Barradell OBE - The Town Clerk and Chief Executive of the City of London Corporation (retired 31 December 2022)

Treasurer

Caroline Al-Beyerty - The Chamberlain & Chief Financial Officer of the City of London Corporation

Solicitor

Michael Cogher - The Comptroller and City Solicitor of the City of London Corporation

Environment Department

Juliemma McLoughlin – Executive Director of Environment (appointed 2 August 2021 )

Colin Buttery – Director of Open Spaces (retired 31 October 2021)

AUDITORS:

Crowe U.K. LLP, 55 Ludgate Hill, London, EC4M 7JW

BANKERS:

Lloyds Bank Plc., P.O. Box 72, Bailey Drive, Gillingham Business Park, Kent ME8 0LS

INVESTMENT ADVISORS:

Artemis Investment Management Limited, Cassini House, 57 St. James's Street, London, SW1A 1LD

Contact for The Chamberlain, to request copies of governance documents & of the Annual Report of City’s Cash:

PA-DeputyChamberlain@cityoflondon.gov.uk

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