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2022-03-31-accounts

Company number: 1459056 Charity number: 279000

The Tree Council

Report and financial statements For the year ended 31 March 2022

The Tree Council

Contents

For the year ended 31 March 2022

Reference and administrative information ...................................................................................... 1 Trustees’ annual report .................................................................................................................. 2 Independent auditor’s report ....................................................................................................... 18 Statement of financial activities (incorporating an income and expenditure account) ................... 22 Balance sheet ............................................................................................................................... 23 Statement of cash flows ................................................................................................................ 24 Notes to the financial statements ................................................................................................. 25

The Tree Council

Reference and administrative information

For the year ended 31 March 2022

Company number 1459056 Country of incorporation United Kingdom Charity number 279000 Country of registration England & Wales Registered office and operational address 14 Dock Offices Surrey Quays Road LONDON SE16 2XU

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: Joel Cadbury Chair Elizabeth Hiester Deputy Chair Jeremy Simons Andrew Fenwick Treasurer Tariq Ahmed Key management Sara Lom Chief Executive & Company Secretary personnel Jon Stokes Director of Trees, Science & Research Clare Bowen Director of Programmes, Partnerships & Communications Ken Sleat Director of Finance (to 31 October 2021) Niloufer Limki Director of Finance (from 1 November 2021) Bankers NatWest Bank Ltd London Bridge Branch PO Box 35, 10 Southwark Street London SE1 1TJ Solicitors Macfarlanes LLP 20 Cursitor Street London EC4A 1LT Auditor Sayer Vincent LLP Chartered Accountants and Statutory Auditor Invicta House 108-114 Golden Lane LONDON EC1Y 0TL

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

The Trustees present their report and the audited financial statements for the year ended 31 March 2022.

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association, the requirements of a directors’ report as required under company law, and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

Objectives and activities

Purposes and aims

The Tree Council was established in 1973 when Dutch elm disease swept across the land and urgent action was required to restore precious British treescapes. In response to the loss of millions of elms, The Tree Council, a national charity, brought everyone together to plant and care for trees across the UK.

Today, nearly fifty years later, The Tree Council continues to bring people together with a shared mission to care for trees, hedgerows and our planet’s future. We inspire and empower organisations, government, communities and individuals, providing knowledge and tools to create positive, lasting change at a national and local level.

Our work has never been more important than it is now, as we face a global climate crisis. We and our volunteers and partners are playing a key role in helping shape policy, find practical solutions, raise awareness, and deliver tree planting and tree care to help achieve the government target of carbon net zero by 2050.

We focus our work on wider treescapes rather than forests – working with partners to protect and establish copses and spinneys, hedgerows and orchards, parkland and wood pasture trees, as well as life-enhancing street trees, urban avenues, roof gardens and city playground plantations.

Our strapline, ‘Working Together for the Love of Trees’ emphasises the common thread of collaboration that runs through our history. It is the truth most often echoed back to us by our partners and stakeholders, that we bring people together for the benefit of trees. It reflects our desire for partnership and our quest for practical solutions. It expresses our deep-rooted, emotional response to trees. These two things, collaboration to find practical solutions and a love for trees, combined with good care and a great sense of fun, summarise our team and its core values today.

We are supported in our work by thousands of amazing volunteer Tree Wardens, plus a growing force of Young Tree Champions in 300 schools across the UK.

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

We have referred to the guidance in the Charity Commission's general guidance on Public Benefit when reviewing our aims and objectives and in planning our future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives they have set. In shaping our objectives for the year and planning our activities, the Trustees have also considered the Charity Commission's guidance on public benefit, including the guidance 'public benefit: running a charity (PB2)'.

Achievements & Performance

The work of The Tree Council spans the UK and has four branches – Community Action, Young Learning, Practical Science & Research, and Partnership. This year has seen renewal, growth and achievement in all four areas.

In 2021/22, with the help of thousands of fabulous volunteers and thanks to the generosity of our wonderful supporters, The Tree Council has enabled the planting of nearly 440,000 trees (including 79 kms of hedgerows) in 1,545 communities, throughout the length and breadth of the UK.

Community: The Tree Warden Scheme

The Tree Council's Tree Warden Scheme is a national initiative which supports local authorities and independent networks to promote, conserve and care for trees, bringing health and wellbeing and new skills to individuals, and an improved environment in their communities.

Tree Warden volunteers gather information about their local trees, engage and help with local issues and organise and take part in tree-related activities, such as seed growing, tree and

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

hedgerow planting, tree care, woodland walks and providing alerts to pests and diseases. Their role promoting, protecting, planting and celebrating trees is vital to help tackle climate change, meet nationally ambitious planting targets, increase biodiversity, and enhance everyone’s health and wellbeing.

Thousands of volunteer Tree Wardens across the country work within local networks which, with our help and support, are set up and managed by public and civil society organisations such as local authorities, parish councils and voluntary groups. The Tree Warden Scheme was launched in 1990 in the aftermath of the Great Storm of 1987.

The Tree Council is enormously grateful to the Tree Wardens for their support. They are capable, committed and inspirational and participate in activities as our representatives, for example, gathering field data, planting and caring for trees, and disseminating information.

As part of the objective to increase communication and cooperation between and with the Tree Wardens, The Tree Council holds annual Tree Warden Forums across the country. Since the pandemic, these have been a mix of online and in person events. The Forums are an opportunity for volunteers to hear key speakers present on locally and nationally important tree related topics and to see and hear about other Tree Wardens' projects.

We are pleased to see the growth in interest from volunteers across the country, including eight newly established Networks, which represents the greatest number of developing Networks since 2005. This growth has been enabled with the kind support of 29th May 1961 Charitable Trust, helping us establish and offer training to new networks.

The national Advisory Group with representatives and deputies from each of our nine regions has continued to meet regularly.

Community: National Tree Week 2021

The Tree Council’s year has five focal points: Seed Gathering Season (autumn), National Tree Week (end of November), Trees Love Care (March/April), National Hedgerow Week, and Walk in the Woods (May). The highlight and main focus of activity is National Tree Week. Launched by The Tree Council in 1975, this is the annual event that brings everyone together to celebrate trees and mark the start of the winter tree planting season.

Highlights of the 2021 National Tree Week include:

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

Community: Network Rail

In August 2021, Network Rail Southern confirmed a £1 million community planting programme over three years, to sit alongside the existing four-year national partnership already in place.

By the end of the planting season in March 2022, the combined programmes had established 75,753 trees (including 11.8 kms of hedgerow), working with 23 community partners and 785 volunteers on sites ranging from Glasgow to Plymouth. The schemes have brought a wide variety of environmental and social benefits, including flood attenuation, ancient woodland restoration, habitat conservation and connectivity, urban improvements, and climate change and air pollution mitigation.

Community: ‘Close the Gap’ Hedgerow Project

Close the Gap, a £1.8 million project to raise awareness of the value of urban and rural hedges and establish bigger, healthier, better-connected hedgerows, was a primary focus for The Tree Council this year.

The 18-month initiative was designed to help tackle climate change, capture carbon, improve biodiversity, increase wellbeing, and inspire younger generations to consider land-based careers. It also exemplifies our motto, ‘working together for the love of trees’ being jointly delivered by The Tree Council, with People’s Trust for Endangered Species (PTES), Farming & Wildlife Advisory Group (FWAG), Moor Trees, University of Reading and Hedgelink, (the partnership organisation for those with an interest in hedgerows). The Tree Council was the lead partner guiding the delivery of the programme, supported by a Steering Group with representatives from each organisation.

Achievements of the programme include:

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

We are delighted that, although ‘Close the Gap’ finished officially in March 2022, we heard on 25 March 2022 that our work with hedgerows will continue through a new, £500,000, three-year programme, funded by Defra’s Trees Call to Action Fund, starting in June 2022.

*The Green Recovery Challenge Fund is funded by Defra and is being delivered by The National Lottery Heritage Fund in partnership with Natural England and the Environment Agency.

Community: Grants Programme

The Tree Council’s ‘Branching Out’ small grants programme focuses on supporting smaller planting projects, hedges, copses and orchards - establishing the right trees, in the right places, to create greener and healthier local communities, in city and rural locations, for the benefit of the public.

The grants require the involvement of young people and, through the programme, thousands of children have engaged with the wonders of the natural world and started to explore the importance of nature in their everyday lives. They have learnt how to plant and care for trees; increased their knowledge of maths and science; discovered the joy of preparing and eating home-grown produce; and seen the benefits of working together as a team.

Equally importantly, the programme instils an understanding of the importance of trees for the future of our planet and for their own wellbeing - and it nurtures the next generation of active environmentalists.

In 2021/22, our Branching Out grants continued to support small planting schemes with funds from our Jubilee Partners and Animal Friends partnership. More than 19,371 trees were planted with help from young people, usually under the age of 16, in schools and community spaces across the UK. The children were helped by their parents, teachers, the community and The Tree Council's volunteer Tree Wardens.

Young Learning: National Schools Programme

Learning has underpinned The Tree Council’s work for decades, whether it be skills shared with volunteer Tree Wardens, the learning acquired through science and research, or the knowledge acquired by young people benefiting from the charity’s community tree planting grants.

Our learning programme has become more formal and strategic in nature following the significant receipt of funds from the Daily Mail ‘Be a Tree Angel’ campaign in 2019 and from M&G plc in 2020. We launched our new National Schools Programme in 2020/21and the programme has continued to thrive and grow in 2021/22, focusing on work with some of the most diverse and deprived communities across the UK.

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

We have identified four issues that negatively impact children, young people and nature in schools:

  1. Growing social anxiety and other related mental health concerns associated with the climate and biodiversity crises (eco-anxiety) and the global pandemic.

  2. Gap in understanding the value and role of trees in addressing the crises and in particular a lack of technical horticulture knowledge and skills.

  3. Inequality that is prevalent in society with regards to children and young people having a voice and opportunity to influence positive change.

  4. Nature poor school grounds and access to nature for the purposes of learning and health and wellbeing.

The schools’ team (comprising a National Programme Manager and an Officer), with support from the wider Tree Council team, aims to tackle these issues and is responsible for the three elements of the programme: ‘Orchards for Schools’ ‘Young Tree Champions’ and ‘Young Tree Champion Ambassadors’.

The programme’s call to action is to be a #ForceForNature, with young people working together to connect, learn and share the power of trees and nature to help tackle the climate crisis.

Highlights of 2021/22 include:

Orchards for Schools planted 5,595 fruit trees and 8 kms of fruiting hedgerow in 1,219 schools across England, Wales, Scotland and Northern Ireland. The schools received a package of teacher training and curriculum-linked resources to support them in planning and learning to care for their trees and share their experiences. Online evaluation with participating teachers was very encouraging with 95% of 83 respondents finding the materials and support extremely helpful.

Young Tree Champions continued to be supported by generous three-year funding from M&G plc, working in partnership with Speakers Trust, Learning through Landscapes and Derby University.

Each of the 300 or more Young Tree Champion schools has benefited from a combination of free trees, a tech kit and access to an online hub to network and share activities, as well as a comprehensive package of teacher training, support and resources. Pupils also take part in public speaking workshops to build their confidence and help them find their voice and become ambassadors for trees and nature. In 2021/22, 109 of the schools who had not yet planted, took up the tree offer and planted 515 mixed trees and 270 metres of hedgerow.

Young Tree Champion Ambassadors (15-26 years old) In March 2021, the programme was given an exciting boost with a grant confirmed by The Kusuma Trust. This has enabled us to appoint and provide training to eight Young Ambassadors from a wide range of backgrounds, including musicians, artists, poets and horticulture students. Their role is to inspire young people to become a #ForceForNature and to help create, plan and deliver the annual #ForceForNature Schools Tour

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

and Festival. In 2021/22, this also included filming a message for the leaders at COP26, with one young ambassador, James Owen Thomas, invited to meet the Prime Minister at 10 Downing Street.

Science & Research: Ash Dieback (ADB) and Oak Processionary Moth (OPM)

The Tree Council partners with Defra, Fera Science, Forest Research, Network Rail and leading universities on a variety of research programmes that help shape national policy and best practice. We aim to increase knowledge and apply science to help establish varied and biodiverse treescapes across Britain, which will be resilient to climate change and pests and diseases.

Our science and action research this year has continued to support government and local authorities in England and Scotland as they tackle threats from ash dieback and Oak Processionary Moth.

Science & Research: Local Authority Tree Strategies

A strategic approach is one of the most important factors underpinning well-planned and resourced, thriving treescapes – and yet just over one third of local authorities have a tree strategy. A well-written local tree strategy sets out the vision for how a local treescape will be managed now and for the future and acts as go-to reference for a wide range of local stakeholders.

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

As large and increasing numbers of local authorities are announcing climate emergencies, we have continued our work with Defra and Fera Science to give practical guidance to help local authorities develop tree strategies for themselves.

During the research phase of this project, we held cross-departmental government workshops with representatives from Defra, Forestry Commission, Natural England, Department for Transport, Department for Levelling Up, Housing and Communities. We also engaged with 40 individuals, from 22 local authorities, and 5 non-governmental organisations/consultants, plus separate workshops to elicit perspectives from community volunteer groups involving 30 individuals.

This work will culminate in a Trees and Woodland Strategy Toolkit, which we have consulted widely on in 2021/22 and will be launched in 2022/23.

Science & Research: Shared Outcomes

This research project with Defra and Natural England aims to establish new techniques to grow ‘Trees outside Woodlands’ and is funded through Treasury’s ‘Shared Outcomes Fund’. The project’s vision is to develop new ways of expanding bio-secure tree cover at reduced costs, to meet increased UK tree planting ambitions and reverse trends in tree losses. The Tree Council is co-ordinating five pilot schemes with local authority partners looking at: urban tree establishment, agro-forestry and orchards, community tree nurseries, hedgerow tree management, and subsidised planting.

Science & Research: Sentinel Treescapes

This tree-health monitoring project, in partnership with Newcastle University, Fera Science and our Norfolk Tree Wardens, has installed ‘tree talkers’ on the trunks of Sentinel Trees and, through the year, has been recording data on their health. Volunteer Tree Wardens have downloaded their observations onto a new App, alongside the data provided by the ‘Tree Talkers’. This is the first step towards developing a Regional Tree Health Index, using the Sentinel Trees as signposts for the state of the wider health of the tree population.

Science & Research: UK Treescapes and Connected Treescapes

We are a core part of the ‘Connected Treescapes’ project funded under the UK Treescapes programme. This 3-year research project with the Universities of York, Derby, Strathclyde, Newcastle, Edinburgh and the James Hutton Institute, aims to understand how we can expand treescapes in a way that is resilient and facilitates connection between people and trees. The Tree Council will produce a tool to help land managers navigate decision-making around tree planting, identifying risks and benefits.

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

Partnership: Hedgelink

Hedges are Britain’s most widespread Priority Habitat – providing connectivity and homes to more than 130 national priority species. They have a high biodiversity and carbon storage value, as well as helping improve air quality in cities.

The Tree Council is Chair of Hedgelink, the partnership that brings everyone interested in hedgerows together, to share knowledge and ideas, to encourage and inspire, and to work with farmers and other land managers to conserve and enhance our hedgerow heritage.

The partnership comprises nearly 30 organisations including, People’s Trust for Endangered Species (PTES), Farming & Wildlife Advisory Group (FWAG), Campaign to Protect Rural England (CPRE), Defra, Woodland Trust, National Farmers Union (NFU) and the Centre for Ecology and Hydrology (CEH).

This year, in addition to grant giving for hedgerows and hedgerow trees through our community programme, we have worked with partners to develop joint responses to consultations and policy announcements, such as the Environmental Land Management (ELM) schemes.

With the ongoing work of ‘Talk to the Hedge’ hedgerows will remain an important component of The Tree Council's work going forward.

Partnership: National Representation

The Tree Council chairs or serves on more than a dozen, national, high-level, policy, practice and advisory boards to governments in the UK nations and EU on the topics of tree health/disease, tree safety, habitats, biodiversity, climate change, and tree features. In these fora, we represent the views and concerns of our member organisations, enhancing the operating environment and highlighting issues of concern.

Partnership: Membership

The Tree Council began as an informal coalition of tree organisations at the time Dutch elm swept through the UK and it was instituted as a registered charity in 1973.

This model of collaboration between a diverse range of public, not-for-profit and private bodies united by concern for trees is a powerful one and our membership remains the driver for lobbying, joint consultation responses, campaigning and influencing, helping to develop policy with a stronger, unified voice. We speak with the combined weight and expertise of our member organisations behind us and are generally recognised as the trusted voice of the tree sector.

In 2021/22, working with our charity coalition group, we reviewed and fed back to government on Plant Biosecurity and the new Environmental Land Management (ELMs) schemes.

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

In June 2021, we completed a review of our membership, its purpose, structure and benefits, and introduced a three-tier scheme recognising the differing sizes of our partners. On 31 March 2022, our membership stood at around 100, including not-for-profit organisations with a national remit (full members); local authorities and Tree Warden networks; consultative members; and commercial enterprises that support our objectives (associate members).

Partnership: The Queen’s Green Canopy

The Tree Council sits on the Urban Greening Advisory Board of The Queen’s Green Canopy, a unique tree planting initiative encouraging people across the UK to ‘Plant a tree for the Jubilee’ in honour of Her Majesty The Queen’s 70 years of service to the nation. The Jubilee planting and tree care takes place over two winter seasons, 21/22 and 22/23.

We have been delighted to welcome a group of corporate Jubilee Partners who collectively, have pledged support to plant 35,000 trees and 7 kms of hedgerow over the two planting seasons. While most of the planting will take place in the 2022/23 season, the first 4,000 trees have already been established in 2021/22 and corporate volunteers have created two new green corridors in Bicester, Oxfordshire. This included planting some rare black poplar trees, only c10,000 of which remain in the UK.

Looking forward to 2022/23 & beyond

Management:

Community:

Young Learning:

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

Science & Research:

Partnership:

Beneficiaries of our services

The beneficiaries of our services include: our volunteers and members; pupils and teachers participating in our National Schools Programme; communities and landowners receiving grantfunding to establish trees; local authorities supported to help tackle tree pests and diseases and plan future tree strategies; our coalition of conservation charities whom we bring together to comment on consultations and address tree-related challenges; and the UK general public who receive the important social benefits of our tree, hedgerow and orchard planting. In addition, our work helps conserve wildlife and habitats, improves biodiversity and contributes to tackling climate change and safeguarding the future health of our planet. All these are covered in greater detail in the achievements and performance section above.

Financial review

The Tree Council is entirely self-funding with income generated through grants and gifts from major donors, charitable trusts, corporate partnership, membership fees and legacy giving.

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

In 2021/22, the charity boosted restricted income to £2,157,869. The charity's unrestricted reserves increased by £168,084. Total income for the year was £2,803,166 (compared to £1,294,902 the previous year) and total expenditure was £2,794,169 (compared to £1,177,714 last year).

Unrestricted reserves at the end of the financial year were £447,063 and restricted reserves (mainly tree planting funds) were £642,052. Total reserves were £1,089,115.

Reserves policy and going concern

It is the policy of the Tree Council to maintain unrestricted funds at a level which equates to at least six months core costs. The budgeted core costs for 2022/23 are about £666,000 and so unrestricted reserves at £447,063 are equivalent to 8 months of core costs.

The Trustees continue to keep the risks facing The Tree Council under close review and ensure that costs are carefully controlled. The Trustees continue to keep all the reserves in the form of interest-earning bank accounts and deposits.

The Trustees, as part of their continuous risk assessment, monitor any ongoing implications of the pandemic, the rapid changes in the economy, and their normal activities.

The Tree Council has generated many new grants and contracts over the past two years and is confident of its ability to operate as a going concern.

Risk Assessment

The Board maintains a risk assessment system which is based on a numerical assessment of risk, with an accompanying management commentary. Trustees consider these reports regularly both for the organisation as a whole and for major projects. The aim is to highlight and measure potential risks to the success of an activity or process, assess the impact, and put in place appropriate management action. The system encompasses all areas of our activities, although the continuing increased projects and programmes with corporate partners marks this area out for ongoing development.

Risks are reviewed in depth under six headings: financial, operational, regulatory, reputational, strategic and external.

Our top two key risks identified and their mitigation are:

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

Accordingly, we can confirm that the major risks to which the Council is exposed have been reviewed and systems are in place to mitigate those risks.

Fundraising

The charity’s fundraising objective was to reach £1m sustainable annual income by 2021, of which c25% to be unrestricted. This has been achieved once again in 2022, which will enable us to develop and, in the longer-term, establish ambitious programmes for public benefit in our four key areas of work: Community Action, Young Learning, Practical Science & Research, and Partnership.

We are incredibly grateful to our partners for their support, which has included funding for core costs on projects, as well as key activities such as comms and marketing. Grants from M&G, National Lottery Heritage Fund, Network Rail and C. Hoare & Co have been greatly appreciated to help us invest in the future successful growth of the charity. These funds have enabled us to achieve significant public benefit with little additional fundraising expenditure.

The current fundraising approach focuses on a mix of corporate partnerships, research applications and philanthropic fundraising. Our fundraising does not include direct marketing or telephone campaigns and we remain mindful at all times of the need to safeguard vulnerable people.

The Tree Council does not use professional fundraisers or agencies and received no complaints in this financial year.

Structure, governance and management

The organisation is a charitable company limited by guarantee, incorporated on 5 December 1979 and registered as a charity on 17 December 1979.

The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association.

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

All Trustees give their time voluntarily and receive no benefits from the charity. The Trustees have not claimed any expenses.

The members of the Board of Trustees meet regularly to review its affairs, review the charity’s aims, objectives and activities, as well as report on the benefits for the public good. The Board has a Finance Committee, chaired by the Treasurer, to oversee the charity’s financial affairs, to report to the Board and make recommendations as appropriate at each meeting.

The Chief Executive, Sara Lom, together with the Senior Team comprising the Director of Trees, Science & Research, the Director of Programmes, Partnerships & Comms and the Director of Finance manage the day-to-day administration of the charity.

The Tree Council moved offices this year upon expiry of its current lease. The team has grown over recent years but since the pandemic, more team members are based across the UK and people continue to work flexibly with some days from home. A new lease for 14 Dock Offices, a slightly smaller space in the same building, was therefore signed by all parties on 2 March 2022, including a Deed of Surrender for 4 Dock Offices, together with a notice relating to the Landlord & Tenant Act 1954. British Land will pay £18,000 to The Tree Council following the Surrender.

I would like to thank our outgoing Deputy Chair, Elizabeth Hiester and Jeremy Simons, for their outstanding support over more than half a decade and my fellow Trustees for their wonderful commitment and shared expertise.

We have appointed new team members through the year. We offer a warm welcome to them and huge thanks to the existing team, who manage to juggle daily deadlines and a wide range of national programmes and projects - always with enthusiasm, professionalism and smiles on their faces.

Appointment of Trustees

The Tree Council subscribes to the seven principles of the Nolan Rules in appointing trustees. These are: selflessness, integrity, objectivity, accountability, openness, honesty and leadership. In addition, the Tree Council looks for the following qualities, skills and experience:

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

The number of Trustees is required to be no less than three, with no maximum number. One third of Trustees retire at each annual meeting and are eligible for reappointment, subject to the provision in the Articles that Trustees shall normally serve for no more than six years.

The Board is responsible for ensuring that an appropriate succession strategy is adopted for the replacement of Trustees. The Chair and Chief Executive take responsibility for informing the Board when new Trustees need to be appointed.

In order to identify Trustees, when a vacancy is about to occur, the Chair and Chief Executive review the balance of skills, attributes and experience on the current Board relative to the future needs of the organisation. Trustees are appointed to ensure the positive evolution of the charity. Prior to appointment, new Trustees meet formally with at least two current Trustees and usually attend at least one Board Meeting as an observer.

Induction for new Trustees is carried out by the Chief Executive and includes familiarisation with people, activities and events over a number of months.

Remuneration policy for key management personnel

The Tree Council’s Remunerations Committee, chaired by the Treasurer, comprises 3 appropriately experienced Trustees, reviews the remuneration of all employees, based on market data and performance.

Statement of responsibilities of the Trustees

The Trustees (who are also directors of The Tree Council for the purposes of company law) are responsible for preparing the Trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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 charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

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The Tree Council

Trustees` annual report

For the year ended 31 March 2022

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company 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 £1 to the assets of the charity in the event of winding up. The total number of such guarantees at 31 March 2022 was 14 (2021: 14). The Trustees are members of the charity but this entitles them only to voting rights. The Trustees have no beneficial interest in the charity.

Auditor

Sayer Vincent LLP was appointed as the charitable company's auditor during the year and has expressed its willingness to continue in that capacity.

The Trustees’ annual report has been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.

The Trustees’ annual report has been approved by the Trustees on 18 October 2022 and signed on their behalf by

Joel Cadbury Andrew Fenwick Chairman Treasurer

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Independent auditor`s report

To the members of

The Tree Council

Opinion

We have audited the financial statements of The Tree Council (the ‘charitable company’) for the year ended 31 March 2022 which comprise the statement of financial activities, balance sheet, statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

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Independent auditor`s report

To the members of

The Tree Council

Other information

The other information comprises the information included in the trustees’ annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions 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 charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual 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 Trustees

As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, the trustees (who are also the directors of the charitable company for the purposes of

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Independent auditor`s report

To the members of

The Tree Council

company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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

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

Capability of the audit in detecting irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

20

Independent auditor`s report

To the members of

The Tree Council

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

A further description of our responsibilities is available 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 charitable company's members as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Fleur Holden (Senior statutory auditor) 11 November 2022

for and on behalf of Sayer Vincent LLP, Statutory Auditor Invicta House, 108-114 Golden Lane, LONDON, EC1Y 0TL

21

The Tree Council

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

For the year ended 31 March 2022

2022 2021
Unrestricted Restricted Total Unrestricted Restricted Total
Note £ £ £ £ £ £
Income from:
Donations and legacies 2 163,890 37,500 201,390 39,504 - 39,504
Charitable activities
Tree and hedge planting 10,000 1,955,869 1,965,869 - 712,868 712,868
Science and Research 441,097 - 441,097 396,708 396,708
Education and community engagement 3 10,990 164,500 175,490 - 142,800 142,800
Investments 4 174 174 392 - 392
Other 19,146 - 19,146 2,629 - 2,629
Total income 645,297 2,157,869 2,803,166 439,234 855,668 1,294,902
Expenditure on:
Raising funds 5 147,837 54,000 201,837 139,540 19,838 159,378
Charitable activities
Tree and hedge planting 5 86,428 2,129,743 2,216,171 17,723 741,228 758,951
Science and Research 5 59,111 - 59,111 38,543 38,543
Education and community engagement 5 183,838 133,212 317,050 220,842 - 220,842
Total expenditure 477,213 2,316,955 2,794,169 416,648 761,066 1,177,714
Net income / (expenditure) 168,084 (159,086) 8,998 22,586 94,602 117,187
Transfer between funds - - - - - -
Net movement in funds 168,084 (159,086) 8,998 22,586 94,602 117,187
Reconciliation of funds:
Total funds brought forward 278,979 801,138 1,080,117 256,393 706,536 962,930
Total funds carried forward 447,063 642,052 1,089,115 278,979 801,138 1,080,117

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 17a to the financial statements."

22

The Tree Council

Balance sheet

Balance sheet Balance sheet
As at 31 March 2022 Company no. 01459056
Note
£
Fixed assets:
12
Current assets:
13
515,781
1,098,453
1,614,234
Liabilities:
14
(550,374)
17a
447,063
Total unrestricted funds
Restricted income funds
General funds
Total charity funds
Unrestricted income funds:
Total net assets
The funds of the charity:
Total assets less current liabilities
Net current assets
Debtors
Cash at bank and in hand
Tangible assets
Creditors: amounts falling due within one year		 2022
£
25,254		 £
153,620
1,149,210		 2021
£
3,859
25,254
1,063,859		 3,859
1,076,257
1,614,234
(550,374)		 1,302,831
(226,574)
447,063 278,979
1,089,114 1,080,117
1,089,115 1,080,117
642,052
447,063		 801,138
278,979
1,089,115 1,080,117

Approved by the trustees on 18 October 2022 and signed on their behalf by:

Joel Cadbury Chairman

Andrew Fenwick Treasurer

23

The Tree Council

Statement of cash flows

For the year ended 31 March 2022

Note
£
£
Cash flows from operating activities
Net (expenditure)/income for the reporting period
8,998
(as per the statement of financial activities)
Depreciation charges
5,730
(Increase)/decrease in debtors
(362,161)
Increase in creditors
323,801
Net cash provided by operating activities
(23,632)
(27,125)
(27,125)
(50,757)
1,149,210
1,098,453
Analysis of cash and cash equivalents
At 1 April 2021
Cash flows
£
£
Cash at bank and in hand
1,149,210
(50,757)
Total cash and cash equivalents
1,149,210
(50,757)
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Net cash used in investing activities
2022
Cash flows from investing activities:
Purchase of fixed assets		 Note
£
£
Cash flows from operating activities
Net (expenditure)/income for the reporting period
8,998
(as per the statement of financial activities)
Depreciation charges
5,730
(Increase)/decrease in debtors
(362,161)
Increase in creditors
323,801
Net cash provided by operating activities
(23,632)
(27,125)
(27,125)
(50,757)
1,149,210
1,098,453
Analysis of cash and cash equivalents
At 1 April 2021
Cash flows
£
£
Cash at bank and in hand
1,149,210
(50,757)
Total cash and cash equivalents
1,149,210
(50,757)
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Net cash used in investing activities
2022
Cash flows from investing activities:
Purchase of fixed assets		 Note
£
£
Cash flows from operating activities
Net (expenditure)/income for the reporting period
8,998
(as per the statement of financial activities)
Depreciation charges
5,730
(Increase)/decrease in debtors
(362,161)
Increase in creditors
323,801
Net cash provided by operating activities
(23,632)
(27,125)
(27,125)
(50,757)
1,149,210
1,098,453
Analysis of cash and cash equivalents
At 1 April 2021
Cash flows
£
£
Cash at bank and in hand
1,149,210
(50,757)
Total cash and cash equivalents
1,149,210
(50,757)
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Net cash used in investing activities
2022
Cash flows from investing activities:
Purchase of fixed assets		 £
£
117,187
4,941
30,603
165,413
318,144
(1,854)
(1,854)
316,289
832,921
1,149,210
Other non-
cash changes
At 31 March
2022
£
£
-
1,098,453
-
1,098,453
2021		 £
£
117,187
4,941
30,603
165,413
318,144
(1,854)
(1,854)
316,289
832,921
1,149,210
Other non-
cash changes
At 31 March
2022
£
£
-
1,098,453
-
1,098,453
2021
(23,632)
(27,125)
(50,757)
1,149,210		 318,144
(1,854)
316,289
832,921
At 1 April 2021
£
1,149,210		 Other non-
cash changes
£
-
1,098,453 1,149,210
Cash flows
£
(50,757)		 At 31 March
2022
£
1,098,453
1,149,210 (50,757) - 1,098,453

24

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

1 Accounting policies

a) Statutory information

The Tree Council is a charitable company limited by guarantee and is incorporated in England and Wales.

The registered office address is 4 Dock Offices, Surrey Quays Road, LONDON, SE16 2XU

b) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP FRS 102), The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

In applying the financial reporting framework, the trustees have made a number of subjective judgements, for example in respect of significant accounting estimates. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The nature of the estimation means the actual outcomes could differ from those estimates. Any significant estimates and judgements affecting these financial statements are detailed within the relevant accounting policy below.

c) Public benefit entity

The charity meets the definition of a public benefit entity under FRS 102.

d) Going concern

The trustees have considered the covid-19 pandemic, inflation, the uncertain economic climate and their normal activities and confirm that there are no material uncertainties about the charity's ability to continue as a going concern. In particular they have reviewed the future cash flows and commit,ments and have ascertained that there are sufficient unrestricted reserves and future cash flows to confirm that the charity is a going concern.

Key judgements that the charity has made which have a significant effect on the accounts include estimating the liability for multi-year grant commitments.

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

e) Income

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

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material.

Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met.

25

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

1 Accounting policies (continued)

f) Donations of gifts, services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised so refer to the trustees’ annual report for more information about their contribution.

On receipt, donated gifts, 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.

g) 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.

h) Fund accounting

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular purposes.

i) 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. Expenditure is classified under the following activity headings:

 Costs of raising funds relate to the costs incurred by the charity in inducing third parties to make voluntary contributions to it, as well as the cost of any activities with a fundraising purpose

 Expenditure on charitable activities includes the costs of delivering services, exhibitions and other educational activities undertaken to further the purposes of the charity and their associated support costs

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

j) Grants payable

Grants payable are made to third parties in furtherance of the charity's objects. Single or multi-year grants are accounted for when either the recipient has a reasonable expectation that they will receive a grant and the trustees have agreed to pay the grant without condition, or the recipient has a reasonable expectation that they will receive a grant and that any condition attaching to the grant is outside of the control of the charity.

Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable.

26

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

1 Accounting policies (continued)

k) Allocation of support costs

Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, is apportioned on the following basis which are an estimate, based on staff time, of the amount attributable to each activity.

Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the costs associated with this publicity are allocated to charitable expenditure.

Where such information about the aims, objectives and projects of the charity is also provided to potential donors, activity costs are apportioned between fundraising and charitable activities on the basis of salary time by each activity each year. For this year the percentages are

are
Tree and hedge planting 75%
Education and community activities 9%
Science & Research 2%
Fundraising 6%
Support costs 6%
Governance costs 2%

Support and governance costs are re-allocated to each of the activities on the following basis which is an estimate, based on staff time, of the amount attributable to each activity

Tree and hedge planting 79%
Education and community activities 11%
Science & Research 2%
Fundraising 7%

Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities.

l) Operating leases

Rental charges are charged on a straight line basis over the term of the lease.

m) Tangible fixed assets

Items of equipment are capitalised where the purchase price exceeds £500. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.

Where fixed assets have been revalued, any excess between the revalued amount and the historic cost of the asset will be shown as a revaluation reserve in the balance sheet.

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. Fixtures & Fittings and Office & Computer Equipment are depreciated over 3 years.

n) 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.

o) 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.

p) Creditors and provisions

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.

27

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

1 Accounting policies (continued)

q) Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

2 Income from donations and legacies

Income from donations and legacies
Jubilee Partners Fund
Friends of the Tree Council
Subscriptions
Donations and legacies		 Unrestricted
£
91,685
25,000
29,310
17,896		 £
4,000
33,500
-
-
Restricted		 2022
Total
£
95,685
58,500
29,310
17,896		 Unrestricted
£
10,440
-
23,034
6,030		 £
-
-
-
-
Restricted		 2021
Total
£
10,440
-
23,034
6,030
163,890 37,500 201,390 39,504 - 39,504

3 Income from charitable activities

Network Rail Community Planting
Close the Gap
Tree planting grants
Animal Friends
Science & Research
M & G
Income from cash deposits
Income from investments
Total income from charitable activities
Tree and hedge planting
Education and community engagement
Kusuma Trust		 Unrestricted
£
-
-
-
10,000
441,097
10,990
-		 £
682,000
1,226,545
7,324
40,000
-
164,500
-
Restricted		 2022
Total
£
682,000
1,226,545
7,324
50,000
441,097
175,490
-		 Unrestricted
£
-
-
-
-
396,708
-
-		 £
395,000
250,000
58,268
-
-
142,800
9,600
Restricted		 2021
Total
£
395,000
250,000
58,268
-
396,708
142,800
9,600
462,087 2,120,369 2,582,457 396,708 855,668 1,252,376
Unrestricted
£
498		 £
-
Restricted		 2022
Total
£
498		 Unrestricted
£
392		 £
-
Restricted		 2021
Total
£
392
498 - 498 392 - 392

4 Income from investments

28

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

5a Analysis of expenditure (current year)

Staff costs (Note 8)
Tree Warden Scheme
Office and Facility costs
Grants Payable (Note 6)
Audit and other governance costs
Recruitment, Training & Consultancy
Website, IT,data management & telephone costs
Marketing and Brand costs
Depreciation
Travel costs
Support costs
Governance costs
Total expenditure 2022
Total expenditure 2021		 Raising funds
£
115,467
-
-
-
-
-
-
63,917
-
-		 Charitable activities Charitable activities Governance
costs
£
50,251
-
-
-
8,100
-
-
-
-
-		 Support costs
£
56,954
-
56,546
-
-
15,746
31,203
-
5,730
-		 2022
Total
£
733,553
7,857
56,546
1,847,087
8,100
19,370
31,203
63,917
5,730
20,806		 2021
Total
£
530,185
7,611
25,843
503,884
9,291
42,531
21,483
27,962
4,941
3,983
Tree and
hedge planting
£
240,055
-
-
1,847,087
-
3,624
-
-
-
13,140		 £
238,001
7,857
-
-
-
-
-
-
-
3,833
Education and
community
engagement		 £
32,826
-
-
-
-
-
-
-
-
3,833
Science &
Research
179,384
16,618
5,835		 2,103,906
83,089
29,175		 249,691
49,853
17,505		 36,659
16,618
5,835		 58,351
-
(58,351)		 166,178
(166,178)
-		 2,794,169
-
-		 1,177,714
-
-
201,837 2,216,171 317,050 59,111 - - 2,794,169 1,177,714
159,378 758,952 220,842 - - -

29

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

5b Analysis of expenditure (prior year)

Charitable activities

Staff costs (Note 8)
Tree Warden Scheme
Office and Facility costs
Grants Payable (Note 6)
Audit and other governance costs
Recruitment, Training & Consultancy
Website, IT,data management & telephone costs
Marketing and Brand costs
Depreciation
Travel costs
Support costs
Governance costs
Total expenditure 2021		 Raising funds
£
90,899
-
-
-
-
-
-
27,962
-
258
119,120
28,648
11,610
159,378		 Tree and
hedge planting
£
153,129
-
-
503,884
600
24,921
-
-
-
2,343
684,877
52,713
21,362
758,952		 £
165,538
7,611
-
-
-
-
-
-
-
993
174,142
33,232
13,467
220,841
Education and
community
engagement		 £
38,543
-
-
-
-
-
-
-
-
-
38,543
-
-
38,543
Science &
Research		 Governance
costs
£
37,749
-
-
-
8,691
-
-
-
-
-
46,440
-
(46,440)
-		 Support costs
2021
Total
£
£
44,328
530,186
-
7,611
25,843
25,843
-
503,884
-
9,291
17,610
42,531
21,483
21,483
-
27,962
4,941
4,941
388
3,982
114,593
1,177,714
(114,593)
-
-
-
-
1,177,714

30

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

6a Grant making (current year)

Grant making (current year)
Cost
Network Rail
M & G
Schools & community groups
At the end of the year		 Grants to
institutions
£
262,724
38,857
1,545,506		 Support costs
£
-
-
-		 2022
£
262,724
38,857
1,545,506
1,847,087 - 1,847,087

During 2022 and 2021 the Tree Council used an internal committee to assess grant applications as well as having a joint committee with Network Rail for the grants made from their restricted funds. The most significant individual grants were to Moor Trees for capital works and trainee programme of a community tree nursery in Devon £423,876, the University of Reading for work to deliver an online Hedgerow Hub on best practise management of hedgerows £31,000, PTES for development of Hedgerow App and volunteer training £74,860 and FWAG for hedgerow planting £385,000 (2021: Farming and Wildlife Advisory Group South West £32,987, Harting Parish Council £32,179 & Another Way Cumbria £31,229).

6b Grant making (prior year)

Cost
Schools, community groups and Good Gifts Guide
At the end of the year		 Grants to
institutions
£
503,884		 Support costs
£
-		 2021
£
503,884
503,884 - 503,884

7

Net income for the year

This is stated after charging / (crediting):

2022 2021
£ £
Depreciation 5,730 4,941
Operating lease 30,546 -
Auditor's remuneration (excluding VAT):
Audit 8,100 7,750

31

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

8 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

Staff costs were as follows:

Employer’s contribution to defined contribution pension schemes
Salaries and wages
National insurance		 2022
£
628,587
62,671
42,294		 2021
£
456,642
44,389
29,154
733,553 530,185

The following number of employees received employee benefits (excluding employer pension costs and employer's national insurance) during the year between:

£60,000 - £69,999

2022 2021
No. No.
2 1

The total employee benefits (including pension contributions and employer's national insurance) of the key management personnel were £276,399 (2021: £236,125).

The charity trustees were neither paid nor received any other benefits from employment with the charity in the year (2021: £nil). No charity trustee received payment for professional or other services supplied to the charity (2021: £nil).

There were no payments to trustees for expenses (2021: nil).

9 Staff numbers

The average number of employees (head count based on number of staff employed) during the year was 15.2 (2021: 12.2).

Staff are split across the activities of the charity as follows (full time equivalent basis):

Tree and hedge planting
Science & Research
Education and community engagement
Support, Fundraising and marketing
Governance		 2022
No.
4.5
1.5
6.9
2.0
0.3		 2021
No.
3.5
1.0
2.8
3.9
0.6
15.2 11.8

10 Related party transactions

There are no related party transactions to disclose for 2022 (2021: none).

There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties.

32

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

11 Taxation

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

12 Tangible fixed assets

At the start of the year
All of the above assets are used for charitable purposes.
At the end of the year
Net book value
At the end of the year
At the end of the year
Depreciation
At the start of the year
Charge for the year
Cost
At the start of the year
Additions in year		 Fixtures and
furniture
£
2,838
-		 Office and
computer
equipment
£
40,267
27,125		 Total
£
43,105
27,125
2,838 67,392 70,230
2,838
-		 36,408
5,730		 39,246
5,730
2,838 42,138 44,976
- 25,254 25,254
- 3,859 3,859

13 Debtors

Accruals
Trade creditors
Taxation and social security
Creditors: amounts falling due within one year
Grants and sponsorship receivable
Prepayments and other debtors
Accrued income		 2022
£
256,339
3,836
255,605		 2021
£
112,923
11,368
59,932
515,781 184,223
2022
£
235,564
84,536
230,275		 2021
£
6,626
38,708
15,827
550,374 61,161

14 Creditors: amounts falling due within one year

33

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

15 Pension scheme

The company pays 7% to nest for its employees, and the employee contributes 1% in compliance with the rules of auto enrolment.

16a Analysis of net assets between funds (current year)

Analysis of net assets between funds (current year)
Net assets at 31 March 2021
Analysis of net assets between funds (prior year)
Tangible fixed assets
Net current assets
Net assets at 31 March 2022
Tangible fixed assets
Net current assets		 General
unrestricted
£
25,254
421,809		 Designated
£
-
-		 Restricted
£
-
642,052		 Total funds
£
25,254
1,063,861
447,063 - 642,052 1,089,115
General
unrestricted
£
3,859
275,120		 Designated
£
-
-		 Restricted
£
-
801,138		 Total funds
£
3,859
1,076,258
278,979 - 801,138 1,080,117

16b Analysis of net assets between funds (prior year)

17a Movements in funds (current year)

Total restricted funds
General funds
Total unrestricted funds
Total funds
Animal Friends Fund
Shoosmiths
29 May Charitable Trust
M & G Fund
Siemens Fund
Close the Gap Fund
Kusuma Trust Fund
Southern Network Rail
Jubilee Partner Fund
Vernon Hill Branching Out 2
Good Gifts Guide
Tree Angel Planting Funds
Orchards for Schools
Special Assignment Fund
Network Rail Fund
Restricted funds:
Branching Out 1		 At 1 April
2021
£
109,263
81,650
10,411
52,349
292,043
628
1,807
29,439
19,790
195,118
8,640
-
-
-
-
-		 Income
£
2,500
180
-
-
144
-
408,000
164,500
-
1,226,545
-
274,000
33,500
40,000
1,500
7,000		 Expenditure
£
(8,693)
(2,133)
-
(167)
(169,528)
-
(374,725)
(133,212)
(16,000)
(1,397,008)
(5,500)
(160,114)
(14,449)
(33,926)
(1,500)		 Transfers
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-		 At 31 March
2022
£
103,070
79,697
10,411
52,183
122,659
628
35,082
60,727
3,790
24,655
3,140
113,886
19,051
6,074
-
7,000
801,138 2,157,869 (2,316,955) - 642,052
278,979 645,297 (477,213) - 447,063
278,979 645,297 (477,213) - 447,063
1,080,117 2,803,166 (2,794,169) - 1,089,115

The narrative to explain the purpose of each fund is given at the foot of the note below.

34

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

17b Movements in funds (prior year)

Total restricted funds
General funds
Total funds
Total unrestricted funds
Unrestricted funds:
Network Rail Fund
M & G Fund
Siemens Fund
Close the Gap Fund
Kusuma Trust Fund
Branching Out 1
Vernon Hill Branching Out 2
Good Gifts Guide
Tree Angel Planting Funds
Orchards for Schools
Special Assignment Fund
Restricted funds:		 At 1 April
2020
£
141,195
110,237
10,411
39,821
404,244
628
-
-
-
-
-		 Income & gains
£
18,970
-
-
14,098
-
-
395,000
142,800
25,200
250,000
9,600		 Expenditure &
losses
£
(50,902)
(28,587)
-
(1,570)
(112,201)
-
(393,193)
(113,361)
(5,410)
(54,882)
(960)		 Transfers
£
-
-
-
-
-
-
-
-
-
-
-		 At 31 March
2021
£
109,263
81,650
10,411
52,349
292,043
628
1,807
29,439
19,790
195,118
8,640
706,536 855,668 (761,066) - 801,138
256,393 439,234 (416,648) - 278,979
256,393 439,234 (416,648) - 278,979
962,929 1,294,902 (1,177,714) - 1,080,117

Purposes of restricted funds

The Branching Out 1 Tree Planting Funds are for planting with schools and community groups.The majority of the funds have been donated by an anonymous donor's Charitable Trust.

The Vernon Hill Branching Out 2 Tree Planting Funds are for planting projects for schools and community groups The Fund was made possible by a generous gift from Vernon Hill to the Daily Mail 'Be a Tree Angel' campaign.

The Good Gifts Catalogue makes grants to the Tree Council for the planting of oak saplings, bluebell woods and meadows of flowers.

Tree Angel Funds are dedicated to a variety of tree planting and have been funded by public and corporate gifts to the 'Be a Tree Angel campaign.

The Orchards for Schools Funds are to fund orchards and fruiting hedgerows planting in schools. The fund was created following generous gifts from Lord Sugar, Richard Caring and Sir Jony Ive plus an anonymous donor following the Daily Mail campaign.

The Special Assignment Fund is to carry out specific tree research projects in overseas countries.

The Network Rail Fund is a four-year programme of community tree and hedgerow planting in cities and the countryside, mainly in England.

M&G Fund is a three-year programme dedicated to inspiring young people in schools across the UK to become Young Tree Champions and to gain the skills to become a #ForceForNature

The Welsh Trees Siemens fund is dedicated to a tree planting project with the local community at Wolf’s Castle in Pembrokeshire

The Green Recovery Fund supports an 18-month programme, ‘Close the Gap’, to establish bigger, healthier, better connected hedgerows and hedgerow trees in England, working with Defra, National Lottery Heritage Fund and five charity partners.

35

The Tree Council

Notes to the financial statements

For the year ended 31 March 2022

17b Movements in funds

Purposes of restricted funds (continued)

The Kasuma Trust funds The Tree Council's Young Ambassadors programme.

The Southern Network Rail fund is a four-year programme of community tree and hedgerow planting in the Southern Network Rail region.

The Jubilee Partner Fund is a two-year programme in partnership with the Queen's Green Canopy to plant trees in celebration of Her Majesty's 70 years on the throne.

Animal Friends Fund is a programme focussed on tree and hedgerow planting projects that prioritise wildlife and biodiversity benefits.

Shoosmiths was a fund to plant trees at Cold Ashby in Northants.

29 May Charitable Trust is a fund to support volunteer Tree Warden networks, especially new networks, with training and other materials.

18 Operating lease commitments payable as a lessee

The charity's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods

Within one year
Within one to two years		 2022
£
17,600
35,200
Land and		 2021
£
-
-
buildings
52,800 -

19 Legal status of the charity

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £10.

36