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2024-06-30-accounts

Company no. 01053508 Charity no. 277611

The Institution of Environmental Sciences Limited

Report and Audited Financial Statements 30 June 2024

The Institution of Environmental Sciences Limited

Reference and administrative details

For the year ended 30 June 2024

Company number 01053508 Charity number 277611 Registered office and 6-8 Great Eastern Street operational address London England EC2A 3NT Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows: Ms E Antoniades resigned 17 October 2023 Ms E Brierley Dr I Byrne Treasurer Dr B Devereux Chair Dr A E Hill Ms J Hill Chair resigned 8 May 2024 Ms R Jessup Dr I S McLellan appointed 8 May 2024 Ms E Mullings-Smith Ms A D Okpala appointed 8 May 2024 Ms N Parker Mr A Rachwal resigned 21 January 2025 Dr K J Rait appointed 8 May 2024 Mr C Rush Dr E Valentine Chief executive officer Adam Donnan Principal bankers Co-operative Bank Business Direct PO Box 250 Skelmersdale WN8 6WT Auditors Godfrey Wilson Limited Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD

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The Institution of Environmental Sciences Limited

Report of the Trustees

For the year ended 30 June 2024

The Trustees present their report and financial statements for the year ended 30 June 2024.

Reference and administrative information set out on page 1 forms part of this report. The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's Articles of Association, 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 (FRS 102) (effective 1 January 2019)".

Objectives and activities

The Charity's objects are to:

To fulfil these Objects, the Charity undertakes the following activities:

Public Benefit

The Trustees paid due regard to the guidance issued by the Charity Commission on public benefit in deciding what activities the charity (the Institution of Environmental Sciences, abbreviated hereon to IES or the Institution) should undertake. No harm arose from the purposes, and the beneficiaries are the public, educational institutes, and other charitable and Chartered organisations.

The purpose as outlined in the IES strategy is to unite science and people to resolve environmental challenges. We aim to create and sustain a knowledgeable, skilled, diverse, and trusted environmental science profession engaged in the transformation to a sustainable society.

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The Institution of Environmental Sciences Limited

Report of the Trustees

For the year ended 30 June 2024

Public benefits arise from our two Objects. The public benefits that flow from Object I are an improved natural environment that benefits health and wellbeing, preserves the natural capital that underpins the economy, and protects species. The public benefits that flow from Object II are increased opportunities for individuals to understand the processes of the natural world and how to preserve them. This enhances citizenship and helps individuals make decisions that benefit their communities.

In August 2020 the IES committed to achieving climate neutrality by signing up to Pledge to Net Zero campaign and the IES became a signatory to the Professional Bodies Climate Action Charter in 2021. The Institution also undertakes an Environmental and Sustainability Audit under the principles of The Natural Step framework.

Achievements and performance

The Trustees are satisfied with the performance of the charity this year. There have been serious headwinds in the external environment in the past few years including a global pandemic, a cost-ofliving crisis and inflationary pressures. The IES benefits from serving a sector that continues to grow. Throughout this period the IES has continued to grow through increasing its membership, launching new services, and has been significantly strengthened from a significant grant from the Foundation for Water Research (FWR) and a merger with Environmental Protection UK (EPUK).

The IES expanded the number of publications produced and the policy work it undertakes. Through careful management we have managed to do this without the need to significantly expand our headcount. In the 2023-24 the IES made substantive investments in updating its branding with the first tranche of investment used to update our website and CRM system.

The 2023-24 financial year was the final year of the IES 2021-2024 Strategy: Guiding Transformative Change’. In November 2023 we launched a Theory of Change that accompanies this strategy.

Strategic themes: Maintaining focus

1. Specialisation of membership services and reaching new audiences.

Over the past few years, the IES has built infrastructure to support our Communities which are member-led special interest groups. Each community develops an annual workplan that feeds into the events, publications and policies of the Institution. The IES has communities in Air Quality (IAQM), Climate Action, Education & Training (CEDHE), Environmental Impact Assessment, Land Condition, Marine & Coastal, Environmental Policy Implementation and Water (FWR).

Having been selected as the inheritor organisation for the mission of the Foundation for Water Research (FWR), the IES received the second part of the grant associated with the continuation of their mission within the IES family. This builds on the IES’s strengths in land and air, for a truly holistic approach to environmental challenges.

This grant helped us significantly expand the work of the IES in the water sector. A Transition Advisory Group was established to oversee the initial stages of the IES taking over the legacy of the FWR, and in September 2023 this evolved into a full-fledged Community, governed by a dedicated Committee. Technical panels were established on ‘Water Environment and Ecosystem Services’, ‘Water Resources and Quality’ and ‘Sustainable Wastewater Management’ to feed in technical expertise.

FWR newsletters were published in July, November and March and the FWR led the production of an edition of the environmental SCIENTIST in December 2023, ‘Watertight Solutions’.

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The Institution of Environmental Sciences Limited

Report of the Trustees

For the year ended 30 June 2024

The merger with the former Environmental Protection UK (EPUK) gave us the opportunity to launch a significant workstream – the Environmental Policy Implementation Community (EPIC) – primarily supporting the work of environmental professionals in Local Authorities. This new community was officially launched at the Guildhall London in February 2024 with a keynote given by Dame Glenys Stacey, Chair of the Office for Environmental Protection (OEP). EPIC published updated guidance for developers on garages and petrol filling stations.

Our Communities also led on the development and delivery of several conferences and online events, including the Routes to Clean Air Conference, DMUG conference, the AirTime networking events by the Institute of Air Quality Management (IAQM), the Land Condition Symposium by the Land Condition Community, and the CEDHE Forum, Innovating Environmental Science Education.

Other key community workstreams include the Environmental Impact Assessment (EIA) Community holding events related to extreme weather, climate resilience and EIAs, the Marine & Coastal Science Community delivering events related to its third and fourth themes of their UN Ocean Decadeendorsed Turning the Tide: Systems thinking for a sustainable ocean project, and the Climate Action Community holding events and discussions on sustainability strategies and addressing the nature and climate crises holistically. Three members of the Climate Action Community also attended COP28 in December 2023 as IES delegates. We also operate several early careers networks who held numerous events throughout the year.

In addition to the journal mentioned above, we published journals on Seeking Natural Justice, Britain’s Natural Capital, and Where Green Meets Machine, which explored the use of AI in the environment sector.

The focus of the policy team in 2023-24 was on delivering policy training to upskill members in policy engagement, horizon scanning (see below), providing topical briefings to MPs and IES members, responding to relevant consultations, and developing our work around environmental policy implementation. Our policy work is informed by the External Policy Advisory Committee.

The Policy team published two reports on ‘Progressing or regressing: The future of environmental science under new UK governance’ and ‘Adversarial to integrated: How to make environmental consenting a team sport’. With the announcement in May 2024 of a snap general election, the IES organised seven discussion events engaging with more than 150 environmental professionals to determine what our membership thought the priorities for the next UK Government should be.

3. Scale the organisation in numbers, registers, turnover and accreditations.

During the 2023-24 financial year income grew by 63 per cent. The majority of this increase was due to the £1.3m grant received from the FWR, but there was also a 4 per cent increase in subscribing members, boosting membership revenue. At the end of the financial year there were 5 per cent more IAQM members. The number of programmes accredited by our education committee, CEDHE, grew by 9% to a total of 165 programmes. The number of Chartered Environmentalists registered through the IES increased by 9 per cent and the number of Chartered Scientists by 6 per cent. We were pleased to reach the milestone of having registered 1,000 CEnvs through the IES.

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The Institution of Environmental Sciences Limited

Report of the Trustees

For the year ended 30 June 2024

Strategic themes: Operating model

  1. Recognising our position and role in the wider ecosystem, broadening collaboration, and realising our potential as a convening body.

In recognition that environmental issues do not sit in neat boxes, the IES launched a major new conference, Dialogue between Disciplines, in May 2024. The event was dedicated to fostering collaboration and knowledge-sharing between environmental professionals from across specialisms and sectors and was organised in collaboration with a working group composed of members from each of the IES Communities.

Much of the work mentioned in other sections involved extensive collaboration with other stakeholders in the sector, including our horizon scanning work, which included Natural England, NERC and Defra.

The IES continued to support the Professional Bodies Climate Action Charter by sitting on the Steering Group. IES contributed to a number of other organisations and groups including: the Equator Project Steering Committee, the Communicating Climate Advisory Group, the Specialist in Land Condition (SiLC) Board and its Professional and Technical Panel, and the Association of the Environmental Clerks of Works. The IES also sits on Natural England's SINE42 project advisory group and contributed to various BSI committees.

The 2023 Burntwood Lecture was given by Professor Robert Costanza, on ‘Societal therapy for a sustainable wellbeing future’. It was followed by an expert panel, including Dimitri Zenghelis and Mark Everard, giving their views on the lecture.

  1. Making our horizon scanning an ‘event’, then organise functions around critical issues identified. Throughout 2023 we undertook a year-long horizon scanning and foresight project, one of the most comprehensive exercises undertaken for the sector.

This concluded with the publication of ‘Transforming the planet: Our vision for the future of environmental science’ in November 2023. A high-level briefing on the report was held at Burlington House in London. The project consisted of more than 20 dedicated events, over a dozen articles and detailed reports and briefing papers on a few key topics. Throughout these activities, more than 30 stakeholder organisations were engaged in the work (from government departments and major environmental NGOs to academics and funding organisations), who either received updates or fed directly into the research, and the project had more than 80 contributors from across the environmental sciences, representing a range of interdisciplinary perspectives on what the future may look like. The events also attracted over 850 attendees across the year, underlining the rich engagement achieved with professionals in the sector.

3. Increasing understanding and use of public engagement.

The IES published a toolkit on environmental whistleblowing.

During the financial year we ran 35 lunchtime webinars that were delivered free of charge and open to the public. Our webinars and other resources are available on our YouTube channel, which at the end of the financial year had over 2,400 subscribers.

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The Institution of Environmental Sciences Limited

Report of the Trustees

For the year ended 30 June 2024

4. Equipping members for the future.

The horizon scanning and foresight exercise had a strong focus on identifying skills that our members will require for the future.

Our extensive CPD offering also provided members with myriad opportunities for gaining knowledge, networking with other environmental professionals and learning new skills. Our Green Meets Machine journal provided a comprehensive investigation of the emerging use of Artificial Intelligence (AI) in the sector.

5. Increase marketing.

In 2024 we began rolling out new branding for the organisation.

6. Seamless digital experience.

The first tranche of our investment in a new CRM system and website was made in this financial year. This will provide a step change in how we engage with our members and will enable a myriad of new member benefits.

Financial review

The accounts reflect the income and expenditure for the year to 30 June 2024 and the variety of activities that the Institution undertook. Total income for the year increased by 63 per cent to £1.939m (2023: £1.192m), largely due to the grant of £1.3m from the FWR, but also through organic growth. Excluding FWR grant income from the past two financial years shows that core business income increased 18 per cent. Resources expended for the year increased 48 per cent to £849k (2023: £575k).

The primary source of funding for the Institution is from members' subscriptions and through a grant from the FWR.

The Trustees do not deem there to be a risk of going concern from the net liabilities position, as a significant amount of funds are invested in portfolios which could be readily liquidated to provide cash flow if needed.

Reserves policy

Fund balances at the end of the financial year were £1.818m (2023: £664k), which the Trustees deemed satisfactory, but will keep under review as activities increase. A formal reserves policy, reviewed on an annual basis and adjusted to meet the needs of the charity, is in place that states that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to three months' contractual and operational expenditure, and funds to cover the remainder of our office lease.

This was calculated as £134,700 for the financial year ended 30 June 2024. It is the policy of the charity that the Trustees continue to consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity's current activities while consideration is given to ways in which additional funds may be raised.

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The Institution of Environmental Sciences Limited

Report of the Trustees

For the year ended 30 June 2024

Investments policy

Working capital needed for the next two months is kept in the current or linked savings account, but other capital that is needed over a medium term time horizon (3-12 months) is kept in interestbearing accounts provided through the Charity Action Fund platform to achieve a higher rate of interest.

Capital grants received from FWR were held in two investment funds: Cazenove Charity Sustainable Multi-Asset Fund (negatively screened) and Rathbone Greenbank (positively screened). Both funds align with the IES investment policy, which will seek to ensure the long-term preservation of the funds received while investing in financial products that align with the Institution’s environmental objectives and take account of wider social and ethical considerations. This will provide an investment return to support the IES’s work in the water sector, as part of the FWR legacy.

Plans for future periods

A new strategy, titled 'Enabling interdisciplinary solutions through science and connections', covers the 2024-27 period.

The strategy outlines five strategic themes (Communities & Connections; Evidence-informed Policy; Training, Skills & Competency; Creating & Sustaining a Diverse Profession; and Uniting Science & People) for the next three years along with associated goals and the operational pillars that support this strategy.

The focus in the 2024/25 financial year will be on forging greater links between Communities, launching a new policy bulletin, expanding our training, and developing competency frameworks.

Structure, governance and management

The IES is a registered charity and is governed by its Articles of Association and Byelaws. The charity is a company limited by guarantee. The Trustee Board is responsible for setting out the ongoing strategic direction of the Institution and exercise all the power of the charity. It also approves the terms of reference and monitors the work of Committees, Panels, external representatives, and the CEO, to which certain powers are delegated.

The Trustees, who are also the directors for the purpose of company law, who served during the year are listed on page 1.

Elected Trustees are elected at the Annual General Meeting each year. Up to four Appointed Trustees can be appointed by a majority vote of the Trustees. New Trustees are given a Trustee induction pack outlining their roles and responsibilities. An induction training session is undertaken by all new Trustees. The Trustees regularly undertake an audit to identify gaps in knowledge and skills.

Many members of the IES undertake voluntary activities in support of the charity, for example through speaking in webinars and other events, writing articles for the website newsletters and the environmental SCIENTIST journal, or working to deliver the programmes of the Communities. We estimate that over 400 individuals volunteer in some capacity for the IES. It is not possible to place a financial value on these activities, but the Trustees and staff are very grateful for the work of volunteers in helping IES meet its objectives.

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The Institution of Environmental Sciences Limited

Report of the Trustees

For the year ended 30 June 2024

The Remuneration & Nominations Committee are responsible for making a recommendation to the board on the remuneration of the CEO, taking into account their performance and benchmarking against pay and conditions of equivalent positions in other professional bodies. The CEO is responsible for setting remuneration of other senior staff (with advice from the Remuneration & Nominations Committee), with the total staff budget approved by the Trustees.

The Audit & Risk Committee are responsible for providing scrutiny of the budget, investment funds and policy, risk register and accounts. Further details may be found in the Financial Review section.

The IES has no subsidiary companies or related parties.

Risk assessments of key risks

The Senior Management Team and Treasurer maintain and review a risk register, with feed-in from the Audit & Risk Committee.

The Trustees review this on an annual basis and receive updates quarterly. The Trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to these major risks.

The principal risks and uncertainties, as well as the steps taken to mitigate the likelihood of their occurrence and impact, are as follows:

Statement of responsibilities of the Trustees

The Trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the Trustees' report and the financial statements in accordance with 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).

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The Institution of Environmental Sciences Limited

Report of the Trustees

For the year ended 30 June 2024

Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing those financial statements the trustees are required to:

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Trustees are aware:

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

Members of the charity guarantee to contribute an amount not exceeding £10 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

Auditors

Godfrey Wilson Limited were appointed as auditors to the charitable company during the year and have expressed their willingness to continue in that capacity.

Approved by the trustees on 21 March 2025 and signed on their behalf by

Dr Bernard Devereux - Chair

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Independent auditors' report

To the members of

The Institution of Environmental Sciences Limited

Opinion

We have audited the financial statements of The Institution of Environmental Sciences Limited (the 'charity') for the year ended 30 June 2024 which comprise the statement of financial activities, balance sheet, statement of cash flows and the related notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

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 the provisions available for small entities, in the circumstances set out in note 6 to the financial statements, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

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. 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.

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Independent auditors' report

To the members of

The Institution of Environmental Sciences Limited

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

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

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 directors’ report included within the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of the trustees

As explained more fully in the trustees’ responsibilities statement set out in the trustees’ report, 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 charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

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Independent auditors' report

To the members of

The Institution of Environmental Sciences Limited

Our 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 the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The procedures we carried out and the extent to which they are capable of detecting irregularities, including fraud, are detailed below:

(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.

(2) We reviewed the charity’s policies and procedures in relation to:

(3) We inspected the minutes of trustee meetings.

(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.

(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.

(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. Irregularities that arise due to fraud can be even harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

12

Independent auditors' report

To the members of

The Institution of Environmental Sciences Limited

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

Use of our report

This report is made solely to the charityʼs 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 charityʼs members those matters we are required to state to them in an auditorʼs 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 charityʼs members as a body, for our audit work, for this report, or for the opinions we have formed.

Date: 21 March 2025

Robert Wilson FCA (Senior Statutory Auditor)

For and on behalf of:

GODFREY WILSON LIMITED

Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD

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The Institution of Environmental Sciences Limited

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 30 June 2024

Restricted
Note
£
Income from:
Donations and legacies
3
1,300,000
Charitable activities:
4
Publications and services for members
-
Conferences and consultancy
-
Investments
15,353
Total income
1,315,353
Expenditure on:
Raising funds
-
Charitable activities:
Publications and services for members
160,878
Conferences and consultancy
-
Total expenditure
5
160,878
Net income / (expenditure)
1,154,475
Net gains on investment
10
63,566
Net movement in funds
6
1,218,041
Reconciliation of funds:
Total funds brought forward
556,002
Total funds carried forward
1,774,043		 Unrestricted
£
7,454
557,197
44,042
15,296
623,989
37,350
558,634
92,005
687,989
(64,000)
-
(64,000)
108,386
44,386		 2024
Total
£
1,307,454
557,197
44,042
30,649
1,939,342
37,350
719,512
92,005
848,867
1,090,475
63,566
1,154,041
664,388
1,818,429		 Restated
2023
Total
£
653,581
496,491
41,067
975
1,192,114
214
514,744
59,581
574,539
617,575
-
617,575
46,813
664,388

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 16 to the accounts.

Prior period expenditure has been reclassified as described in note 21. The restatements are purely reclassifications of expenditure and do not affect net income.

14

The Institution of Environmental Sciences Limited

Balance sheet

As at 30 June 2024

Note
Fixed assets
Tangible assets
9
Investments
10
Current assets
Debtors
11
Cash at bank and in hand
Liabilities
Creditors: amounts falling due within 1 year
12
Net current assets / (liabilities)
Total assets less current liabilities
13
Net assets
15
Funds
16
Restricted funds
Unrestricted funds
General funds
Total charity funds
Creditors: amounts falling due after more
than 1 year		 £
40,788
219,612
260,400
(314,584)		 2024
£
2,435
1,878,499
1,880,934
(54,184)
1,826,750
(8,321)
1,818,429
1,774,043
44,386
1,818,429		 Restated
2023
£
1,821
-
1,821
72,503
899,465
971,968
(289,324)
682,644
684,465
(20,077)
664,388
556,002
108,386
664,388

These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.

Approved by the trustees on 21 March 2025 and signed on their behalf by

Dr Bernard Devereux - Chair

15

The Institution of Environmental Sciences Limited

Statement of cash flows

For the year ended 30 June 2024

Cash used in operating activities:
Net movement in funds
Adjustments for:
Depreciation charges
Loss on disposal
Gains on investments
Dividends, interest and rents from investments
Decrease / (increase) in debtors
Increase in creditors
Net cash provided by / (used in) operating activities
Cash flows from investing activities:
Listed investment additions
Listed investment disposal proceeds
Dividends, interest and rents from investments
Purchase of tangible fixed assets
Net cash provided by / (used in) investing activities
Cash flows from financing activities:
Repayment of borrowing
Net cash used in financing activities
Increase / (decrease) in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Cash and cash equivalents comprise:
Cash at bank and at hand
Cash held in investments (note 10)		 2024
£
1,154,041
1,951
311
(63,566)
(30,649)
31,715
25,260
1,119,063
(3,103,975)
1,350,151
30,649
(2,876)
(1,726,051)
(11,756)
(11,756)
(618,744)
899,465
280,721
219,612
61,109
280,721		 2023
£
617,575
2,312
-
-
(975)
(21,997)
28,958
625,873
-
-
975
(1,835)
(860)
(9,729)
(9,729)
615,284
284,181
899,465
899,465
-
899,465

Analysis of net changes in debt are given in note 17.

16

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

1. Accounting policies

The Institution of Environmental Sciences Limited is a charitable company limited by guarantee registered in England and Wales. The registered office address is 6-8 Great Eastern Street, Shoreditch, London, England, EC2A 3NT.

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) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Prior period comparatives have been restated as described in note 21 to the accounts.

The Institution of Environmental Sciences 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 note.

b) Going concern basis of accounting

The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves. There are no material uncertainties about the charity's ability to continue as a going concern. The Trustees do not deem there to be a risk of going concern from the net liabilities position, as a significant amount of funds are invested in portfolios which could be readily liquidated to provide cash flow if needed.

c) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Membership income is deferred upon receipt and recognised over the duration of the membership period.

d) Donated services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item, is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised.

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

e) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity: this is normally upon notification of the interest paid or payable by the bank.

17

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

1. Accounting policies (continued)

f) Funds accounting

g) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

h) Allocation of support and governance costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities based on the proportion of staff time occupied by each activity as follows:

2024 2023
Charitable activities 100% 100%

i) Tangible fixed assets

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

Computer equipment 3 years
Fixtures and fittings 4 years

Items of equipment are capitalised where the purchase price exceeds £500.

j) Listed investments

Listed investments traded on a recognised stock exchange are stated at fair value at the reporting date, which is deemed to be their market value. Any gain or loss, whether realised or unrealised, is taken to the Statement of Financial Activities.

k) 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.

l) Cash at bank and in hand

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

18

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

1. Accounting policies (continued)

m) Creditors

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

n) Financial instruments

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

o) Pension costs

The company operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA.

p) Foreign currency transactions

q) Accounting estimates and key judgements

The 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The trustees do not consider there to be any critical accounting estimates or judgements applied in the preparation of the financial statements.

19

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

2. Prior period comparatives: statement of financial activities

2.
Prior period comparatives: statement of financial activ
Income from:
Donations and legacies
Charitable activities:
Publications and services for members
Conferences and consultancy
Investments
Total income
Expenditure on:
Raising funds
Charitable activities:
Publications and services for members
Conferences and consultancy
Total expenditure
Net income and net movement in funds
3.
Income from donations and legacies
Grants
Total income from donations and legacies
Prior period comparative:
Grants
Total income from donations and legacies		 ities
Restricted
£
£
650,000
3,581
-
496,491
-
41,067
-
975
650,000
542,114
-
214
92,875
421,869
1,123
58,458
93,998
480,541
556,002
61,573
Restricted
£
£
1,300,000
7,454
1,300,000
7,454
Restricted
£
£
650,000
3,581
650,000
3,581
Unrestricted
Unrestricted
Unrestricted		 Restated
2023
Total
£
653,581
496,491
41,067
975
1,192,114
214
514,744
59,581
574,539
617,575
2024
Total
£
1,307,454
1,307,454
2023
Total
£
653,581
653,581

20

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

4. Income from charitable activities

Income from charitable activities
Publications and services for members
Conferences and consultancy
Total income from charitable activities
Prior period comparative:
Publications and services for members
Conferences and consultancy
Total income from charitable activities		 Restricted
£
£
-
557,197
-
44,042
-
601,239
Restricted
£
£
-
496,491
-
41,067
-
537,558
Unrestricted
Unrestricted		 2024
Total
£
557,197
44,042
601,239
2023
Total
£
496,491
41,067
537,558

21

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

5. Total expenditure

Total expenditure
Staff costs (note 7)
Depreciation and loss on disposal
Publications
Events and training
Premises and services
Administrative expenses
Computer and website
Travel
Audit
Accountancy
Marketing
Payment processing fees
Investment manager fees
Sub-total
Allocation of support and governance costs
Total expenditure
Total governance costs were £21,404 (2023: £16,352).		 Raising funds
£
-
-
-
-
-
-
-
-
-
-
26,879
9,297
1,174
37,350
-
37,350		 Publications
and member
services
414,496
2,262
52,272
-
-
96,315
-
-
-
-
-
-
-
565,345
154,167
719,512		 Conferences
and
consultancy
£
37,796
-
-
54,209
-
-
-
-
-
-
-
-
-
92,005
-
92,005		 Support and
governance
costs
£
-
-
-
-
35,754
19,759
69,189
8,061
12,600
8,804
-
-
-
154,167
(154,167)
-		 2024 Total
£
452,292
2,262
52,272
54,209
35,754
116,074
69,189
8,061
12,600
8,804
26,879
9,297
1,174
848,867
-
848,867

22

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

5.
Total expenditure (continued)
Prior period comparative
Staff costs (note 7)
Depreciation
Publications
Events and training
Premises and services
Administrative expenses
Computer and website
Travel
Audit
Accountancy
Fundraising
Sub-total
Allocation of support and governance costs
Total expenditure		 Raising funds
£
-
-
-
-
-
-
-
-
-
-
214
214
-
214		 Publications
and member
services
330,424
2,312
40,119
-
-
-
-
-
-
-
-
372,855
141,889
514,744		 Conferences
and
consultancy
£
30,600
-
-
27,310
-
-
-
-
-
-
-
57,910
1,671
59,581		 Support and
governance
costs
£
-
-
-
-
27,681
76,897
13,190
9,440
13,000
3,352
-
143,560
(143,560)
-		 2023 Total
£
361,024
2,312
40,119
27,310
27,681
76,897
13,190
9,440
13,000
3,352
214
574,539
-
574,539

23

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

6. Net movement in funds

This is stated after charging:

Depreciation
Operating lease payments
Trustees' remuneration
Trustees' reimbursed expenses
Auditors' remuneration:
Statutory audit (excluding VAT)
Other services		 2024
£
1,951
16,900
Nil
804
10,500
Nil		 2023
£
2,312
16,900
Nil
894
10,833
2,793

In common with other charities of our size and nature we use our auditors to assist with the preparation of the financial statements.

Three Trustees (2023: five Trustees) were reimbursed for expenses relating to travel and accommodation for Council meetings during the year.

7. Staff costs and numbers

Staff costs were as follows:

Salaries and wages
Social security costs
Pension costs
Employees earning more than £60,000 during the year:
Between £90,000 and £99,999		 2024
£
398,249
38,413
15,630
452,292
2024
No.
1		 2023
£
316,774
31,215
13,035
361,024
2023
No.
1

The key management personnel of the charitable company comprise the Trustees and the Chief Executive Officer. The total employee benefits of the key management personnel were £107,465 (2023: £97,702).

Average head count 2024
No.
12		 2023
No.
10

8. Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

24

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

9. Tangible fixed assets

Tangible fixed assets
Cost
At 1 July 2023
Additions in year
Disposals
At 30 June 2024
Depreciation
At 1 July 2023
Charge for the year
On disposals
At 30 June 2024
Net book value
At 30 June 2024
At 30 June 2023		 Fixtures,
fittings and
equipment
4,387
-
-
4,387
4,387
-
-
4,387
-
-		 Computers
15,155
2,876
(699)
17,332
13,334
1,951
(388)
14,897
2,435
1,821		 Total
£
19,542
2,876
(699)
21,719
17,721
1,951
(388)
19,284
2,435
1,821

25

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

10. Investments

Market value at 1 July
Additions
Disposals proceeds
Gains / (losses)
Market value at 30 June
Cash held pending re-investment
Total investments
Investments comprise:
Listed investments
Cash and cash equivalents
Total investments
11. Debtors
Trade debtors
Prepayments
Other debtors
12. Creditors: amounts falling due within 1 year
Bank loans
Other creditors
Accruals
Deferred income (see note 14)		 2024
£
-
3,103,975
(1,350,151)
63,566
1,817,390
61,109
1,878,499
1,817,390
61,109
1,878,499
2024
£
909
33,399
6,480
40,788
2024
£
10,650
23,586
12,600
267,748
314,584		 2023
£
-
-
-
-
-
-
-
-
-
-
2023
£
4,552
61,471
6,480
72,503
2023
£
10,650
13,272
15,338
250,064
289,324

26

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

13. Creditors: amounts falling due after 1 year

Loans 2024
£
8,321		 2023
£
20,077

A bounceback loan of £50,000 was taken out in 2021 as a precautionary measure by the institution relatively early in the pandemic, before it was possible to estimate the effect of the pandemic on the charitable company's finances. The loan has a 72 month payback period and is due to be fully paid off in 2027.

14. Deferred income

At 1 July
Deferred during the year
Released during the year
At 30 June		 2024
2023
£
£
250,064
220,277
267,748
250,064
(250,064)
(220,277)
267,748
250,064

Deferred income relates to annual membership fees paid up front.

15. Analysis of net assets between funds

Tangible fixed assets
Investments
Current assets
Current liabilities
Long term liabilities
Net assets at 30 June 2024
Prior period comparative (restated)
Tangible fixed assets
Investments
Current assets
Current liabilities
Long term liabilities
Net assets at 30 June 2023		 £
-
1,774,043
-
-
-
1,774,043
£
-
-
556,002
-
-
556,002
Restricted
funds
Restricted
funds		 £
2,435
104,456
260,400
(314,584)
(8,321)
44,386
£
1,821
-
415,966
(289,324)
(20,077)
108,386
General
funds
General
funds		 Total
funds
£
2,435
1,878,499
260,400
(314,584)
(8,321)
1,818,429
Total
funds
£
1,821
-
971,968
(289,324)
(20,077)
664,388

27

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

16. Movements in funds

Restricted funds
Total restricted funds
Unrestricted funds
General funds
Total unrestricted funds
Total funds
Foundation for Water
Research		 At 1 July
2023
£
556,002
556,002
108,386
108,386
664,388		 Income
£
1,315,353
1,315,353
623,989
623,989
1,939,342		 £
(160,878)
(160,878)
(687,989)
(687,989)
(848,867)
Expenditure		 £
63,566
63,566
-
-
63,566
Gains		 £
1,774,043
At 30 June
2024
1,774,043
44,386
44,386
1,818,429

Purposes of restricted funds

Foundation for Water Research

A grant from the Foundation for Water Research (FWR) for the purpose of developing and carrying out the FWR legacy implementation plan. The grant is intended to generate sustainable income over a number of years.

Prior period comparative (restated)

Restricted funds
Total restricted funds
Unrestricted funds
General funds
Total unrestricted funds
Total funds
Foundation for Water
Research		 £
-
-
46,813
46,813
46,813
At 1 July
2022		 £
£
650,000
(93,998)
650,000
(93,998)
542,114
(480,541)
542,114
(480,541)
1,192,114
(574,539)
Income
Expenditure		 £
556,002
At 30 June
2023
556,002
108,386
108,386
664,388

28

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

17. Analysis of changes in net debt

Analysis of changes in net debt
Cash
Loans falling due within 1 year
Loans falling due after 1 year
Total		 At 1 July
2023
899,465
899,465
(10,650)
(20,077)
868,738		 (618,744)
(618,744)
11,756
-
(606,988)
Cash flows		 -
-
(11,756)
11,756
-
Other non-
cash
movements		 280,721
At 30 June
2024
280,721
(10,650)
(8,321)
261,750

18. Operating lease commitments

The charity had operating leases at the year end with total future minimum lease payments as follows:

Amount falling due:
Within 1 year
Within 1 - 5 years		 2024
£
11,267
-
11,267		 2023
£
16,900
12,675
29,575

19. Related party transactions

There were no related party transactions in the current or prior period, except those transactions with trustees disclosed in note 6.

20. Financial instruments at fair value

Financial instruments at fair value
2024 2023
£ £
Financial assets measured at fair value 1,817,390 -

Financial assets measured at fair value comprise listed investments.

29

The Institution of Environmental Sciences Limited

Notes to the financial statements

For the year ended 30 June 2024

21. Prior period restatement

Prior period expenditure has been reclassified to allocate £92,275 of previously unrestricted expenditure to the Foundation for Water Research restricted fund. The effect of the restatement is set out below:

Charitable activities: Publications and services for members

Expenditure as originally stated at 30 June 2023
Adjustment to reclassify restricted expenditure
Expenditure as restated at 30 June 2023
Funds
Funds as originally stated at 30 June 2023
Adjustment to reclassify restricted expenditure
Funds as restated at 30 June 2023		 Restricted
Unrestricted
£
£
600
514,144
92,275
(92,275)
92,875
421,869
Restricted
Unrestricted
£
£
648,277
16,111
(92,275)
92,275
556,002
108,386		 Total
£
514,744
-
514,744
Total
£
664,388
-
664,388

The restatements are purely reclassifications of expenditure and do not affect net income.

30