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2024-12-31-accounts

ROYAL SCOTTISH FORESTRY SOCIETY

A SCOTTISH CHARITABLE INCORPORATED ORGANISATION

Charity No. SC 002058

FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31 DECEMBER 2024

ROYAL SCOTTISH FORESTRY SOCIETY

Reference and administrative information

For the year ended 31 December 2024

Charity registration number of the Royal Scottish Forestry Society (RSFS) is SC002058.

Trustees

The trustees serving during the year and since the year end were as follows (those in bold form the current board):

Editor

Bankers and investment managers CAF Bank Limited Investec Wealth Management 25 Kings Hill Avenue Quartermile One Kings Hill 15 Lauriston Pl West Malling Edinburgh ME19 4JQ EH3 9EN

Independent Examiner

James Anderson & Co Pentland Estate Straiton, Edinburgh

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ROYAL SCOTTISH FORESTRY SOCIETY

Report of the Trustees

For the year ended 31 December 2024

The trustees present their annual report and financial statements of the charity for the year ended 31 December 2024. The financial statements have been prepared in accordance with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) 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 (Charities SORP FRS 102).

Objectives and activities

The Society is an educational charity with voluntary members whose prime objective is the “Advancement of forestry in all its branches”. Membership is open to all who wish to support the objectives of the Society.

The Royal Scottish Forestry Society actively seeks to meet the needs for practical forestry and woodland education by supporting those in forestry and woodland management meet their development needs and by promoting sustainable forestry more widely. We do this by:

We aspire to continue to move to a model of impact reporting to measure our achievements and performance.

We use each of the six strategic strands to develop objectives and measures against which we will report. It is also our intention to introduce more innovative means of conveying information to readers of these accounts.

The Society’s journal Scottish Forestry , seeks to disseminate original research and technical innovation that will enhance the creation of diverse woodlands, encourage their management for multiple benefits and ensure the wide enjoyment of Scotland’s woodland environment by all. The RSFS promotes a greater understanding of the use of Scotland’s woodlands and timber in new, innovative and beautiful ways.

Achievements and performance

To improve readers’ understanding we have aligned our achievements with our published strategic goals.

Goal 1 We will be a provider of relevant, practically focussed forestry events,

Providing Regional Study Days with the level of engagement, focus on the topics and benefit sought by those attending

Our programme of Regional Field Days (RFD) continues to be well attended. During 2024 we held 11 RFD across Scotland. These events showcased the breadth of Scotland’s woodland types and management objectives. They

provide an opportunity for attendees to learn from experts and practitioners addressing a range of issues relevant to contemporary forestry. All field days are published on the homepage of our website and listed in the fortnightly eNews. We now expect members to book online. This helps the organisers and allows us to monitor attendance.

Running an Annual Study Tour providing an opportunity to showcase the diversity of forests and the work of the RSFS Annual study tour (AST)

Our Annual Study Tours are a means of providing members an opportunity to understand the diversity of forestry in a particular region and the opportunities and challenges faced by owners and managers. It also brings a wide group of people together to share their expertise and build a network of contacts. The 2025 AST was hosted by Central Region and was based around Loch Lomond and the Trossachs and east to Stirling area.

Developing our learning & development offering, including support through bursaries and prizes

Trustees considered that the Society needs to look for opportunities to re-engage with formal forestry education, both participants and providers. Trustees do consider this to be a significant area where the Society could deliver a positive benefit and our approach is being reviewed for future years. Consideration is being given to rationalising our

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ROYAL SCOTTISH FORESTRY SOCIETY

Report of the Trustees (continued)

For the year ended 31 December 2024

academic awards to include a small financial award, a prize for Mensuration was been established. A new column in the journal brings news and views from the forestry educational establishments.

Offering a suite of training days to provide those active in the sector or who are entering it with relevant Continuous Professional Development RSFS training days

We have worked with the senior leaders from the major employers in the forestry sector to develop a suite of CPD Workshops. These are practical courses aimed at:

Goal 2 We will be a reliable and regular provider of information

Publishing information from diverse sources on current research, thinking and forest practice

We publish a high-quality journal, Scottish Forestry , three times a year. Scottish Forestry is available in two formats:

Members can access the entire back catalogue of more than 300 editions of Scottish Forestry (since 1947) and Transactions of the Scottish Arboricultural Society (1858 to 1947) by logging in to our website.

Each year two prizes are awarded for articles appearing in Scottish Forestry. Winning articles will be showcased on our website.

A list of all winners since inception of the prizes is maintained on our website. This year’s and recent winners are:

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ROYAL SCOTTISH FORESTRY SOCIETY

Report of the Trustees (continued) For the year ended 31 December 2024

Bringing people together to promote better links and open discussion on forestry topics

We will begin working on this area following the commencement of the Executive Director.

Developing our Communications to support delivery of key outcomes for the Society

All members receive a fortnightly eNews which is a comprehensive digest of RSFS news and covers a broad range of other current issues from across the media.

The eNews is considered to be the most up to date and comprehensive digest of forestry stories in Scotland. A technical issue with distribution during the year was resolved with open and click through rates remaining high for emailed newsletters.

Promoting what the Society does more widely

Our website continues to be updated regularly and we have a presence on Facebook and X (Twitter).

Goal 3 We will be a body valued by our membership

Developing a more inclusive and diverse membership to better reflect those active in the sector

Steps taken to modernise the membership structure and pricing (see below) have resulted in a membership dynamic that more properly reflects the sector in which our beneficiaries work.

Individual membership numbers are consistent with prior years and the number of individual members remains above 600. The revised corporate scheme has brought an additional 450 members into the Society. Since offering membership through the online channel, numbers have stabilised, numbers of student members have increased.

Reviewing its membership framework, particularly for organisations

During 2023 the Membership structure of the Society was modified to better reflect the nature of the sector. A new Corporate Membership scheme was introduced during 2023 ready for the 2024 membership year. The scheme enables organisations to nominate three or more staff members in exchange for a modest discount. The staff named members are then eligible to access all member benefits of the Society.

The revised structure is now:

Developing closer links with key partners and stakeholders

We will begin working on this area following the commencement of the Executive Director.

Goal 4 We will be an outward facing and forward- looking land manager

Establishing a clear strategy for Cashel in support of RSFS and a plan to implements it

RSFS is the parent body of Cashel Forest Trust (CFT). During early 2024 a detailed survey of the Cashel farmhouse revealed extensive remedial works required. Following consideration of alternative routes to funding, CFT trustees decided to test the market appetite by marketing for a partial or complete disposal, at valuation, as a means of raising funds to undertake the works or undertake the work of the charity by alternative means.

RSFS members visited Cashel during May 2024 as a part of the Annual Study Tour, followed on by a Question & Answer meeting on 15 Aug 2024 for RSFS members, held at Cashel. A Question & Answer transcript of the meeting was published on the website.

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ROYAL SCOTTISH FORESTRY SOCIETY

Report of the Trustees (continued)

For the year ended 31 December 2024

Agreement was concluded on the disposal of the “Blair Field” to the current occupants of Blair Cottage for £110,000 before fees. This agreement also created a new arrangement for the farmhouse which will be vacated in September 2025.

Providing facilities and access for education, research, leisure, and wellbeing through the restoration and maintenance of Cashel’s natural and built assets

Cashel remains open to the public and those who wish to use it for education and research purposes. There was no Ranger in place during 2024 largely as a result of grant to fund the post not being available.

Over winter 2023-24 the first phase of the Peatland Restoration work was completed. This was funded by Scottish Government through the National Park Authority. The second and final phase went on site in early 2025 and was completed by 31 March 2025.

Goal 5 We will be a well-run and developing charity

Developing our day-to-day operations to facilitate planned growth of the Society

During the year, the Trustees reviewed the resources needed to support the running of the Society.

Following the resignation of was appointed as Membership Officer, with effect from 10 June 2024.

Delivery of the journal and eNews is outsourced to an independent editor. Financial management, governance and secretariat are outsourced to CGPM Consulting LLP.

Diversifying our funding streams to support the delivery of our ambitions

The year ended 31st December 2019 was the first year the Society formally considered fundraising as a separate activity. Due to the limited success of the President’s Fund during the early part of that year; it was decided to some of the funds raised to engage a Fundraiser to develop:

The preliminary Case for Support was prepared in 2019 and the fundraising strategy is underway. However, with the restrictions around COVID-19, that work stalled. We commissioned a review of fundraising and available funders in 2021 and are relaunching our work on development of a fundraising strategy in 2025 as we reach a conclusion on the strategic plan.

We are delighted to have received the first instalment of funding in memory of Ian and Patricia Murgitroyd. A foundation in their memory was established by their family and the foundation is donating a substantial sum to fund up to four awards (an academic prize and three bursaries) each year for the next 25 to 50 years.

In September 2023, RSFS was the chosen charity for the auctioning of a unique, 70-year-old whisky – ‘The Devotion’, created at the Glen Grant distillery to mark the reign of Queen Elizabeth II and kindly donated by Campari, owners of the Glen Grant. The proceeds will be used to create a new native woodland on the Back Burn which runs through the distillery – planting that will protect its banks and sustain water quality.

RSFS is a small charity, and we want to ensure that we tread the careful path between meeting the necessary standards of compliance and good governance while looking for ways to streamline our operations and keep things as simple as we can. Like most charities, the RSFS depends on the support of people who volunteer for various roles or take on particular tasks. Fulfilling a voluntary role is satisfying in its own right, and can provide a range of experience and contribute to professional development. If you feel you can help in any way, let us know. The Society’s lifeblood is enriched by new – particularly young – people with fresh ideas and enthusiasm.

In summary, RSFS is enriched by its members, people who share a belief in and passion for all the benefits brought to us by Scotland’s trees, woods and forests.

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ROYAL SCOTTISH FORESTRY SOCIETY

Report of the Trustees (continued)

For the year ended 31 December 2024

We continue to align more closely our reporting of achievements and performance with our charitable objectives and delivery programme. Trustees will continue to refine our approach in order that we can demonstrate to members and those who provide valuable support to us for the work of the Society to provide practical forestry education.

Going concern and post-balance sheet events

The Society remains reasonably financially secure, as the bulk of our income is increasingly derived from a broad spectrum of activities. Over the past 10 years we have broadened our income sources from primarily membership dues to include investment income, fees from courses and a small number of large donations.

The investment portfolio performed better than in 2023 but still lags industry benchmarks, showing an unrealised gain of £13.4k (2023: £4.4k gain). The underperformance of the portfolio is the result of the Investment Manager actively deciding not to hold shares in, or funds holding, the so-called “Magnificent 7” technology stocks that were behind any of the market gains in 2023.

Taking all of the foregoing into account, the trustees have formed the view that the Society remains a Going Concern and has adequate funds in place to sustain its on-going operations.

Financial Review

Results for the year

The results for the year are as stated in the Statement of Financial Activities on page 12.

The Charity had unrestricted fund income amounting to £108.2k (2023: £102.4k) and unrestricted fund expenditure of £71.3k (2023: 70.3k) resulting in a net surplus for the year of £36.9k (2023: £32.1k). Around half of our unrestricted costs are attributable to the costs of producing the Society’s journal ‘ Scottish Forestry ’ and outsourced corporate services. This proportion journal costs is falling due to improved efficiencies achieved.

Our surpluses continue to be invested in the future of the Society and its activities.

The investment assets valuation increased the general fund by £8.4k (2023: increase £2.1k).

The movements on restricted funds are confirmed in pages 24 to 25.

The Society continued to operate as a charity between 1 January 2024 and 31 December 2024 wholly in terms of its objectives, details of which have been submitted to OSCR.

Investment Policy and Performance

The Charity, having regard to its liquidity requirements, holds a portfolio of shares. The shareholdings are held for longterm capital growth and the Charity will invest in shares within the London Stock Exchange Index of 100 Leading Shares. Performance of the portfolio is reviewed every quarter. The Society’s portfolio is managed by Investec Wealth Management on a discretionary basis. In 2024, surplus cash is held in deposit accounts with CAF (Charities Aid Foundation) Bank Limited.

During 2024, the Society reviewed its investment performance and likely treasury management needs over the next 2 to 3 years. CFT trustees were included in this review. The conclusion was to retender the investment management service with an objective of appointing a provider who was able to offer both a longer-term discretionary management service for the existing investment portfolio as well as cash and cash-fund products for our shorter-term needs in to obtain a better return (c4%) than available in a current account (c0.25%) for surplus short-term cash balances. Quilter Cheviot was successful and we are in the process of migrating to them.

Risk Management

The Charity has for a number of years actively managed its risk profile. There are two principal risks faced by the Charity:

As the charity continues to grow and develop, our reliance on a small number of volunteers, contractors and employees acts as a constraint on the capacity of the charity to meet its plans and aspirations. The trustees have decided to invest in the appointment of an Executive Director for a period of two years utilising available reserves. It is hoped that the role becomes self-funding during this period thereby facilitating the ongoing funding of the role.

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ROYAL SCOTTISH FORESTRY SOCIETY

Report of the Trustees (continued) For the year ended 31 December 2024

The nature of membership of the Society is changing. Of itself this is not a risk per se . However, the change does require reconsideration of our constitutional arrangements. In making these changes, whilst giving new forms of membership the franchise, we must ensure that existing member groups are not disenfranchised. Revised constitutional arrangements are being brought to the AGM in May 2025 that aim to address this matter.

The Board regularly reviews all of the risks to which the charity is exposed and the procedures in place to manage these risks.

Reserves policy

The Charity has considered the reserves required and have taken into account their current and future liabilities. The trustees aim to maintain free reserves in unrestricted funds to fund the equivalent of three months unrestricted charitable expenditure. The trustees consider that this level will provide sufficient funds to ensure that support and governance costs are covered.

An analysis of Net Assets between Reserve Funds is disclosed in Note 16 of the accounts. At 31 December 2024 free reserves amounted to £280,531 (2023: £235,187). The charity has in excess of 12 months unrestricted reserves available.

Plans for the future

Production of a new strategic plan for the Society was completed during 2023 setting out plans for RSFS 2023 to 2028. In 2025 we will continue to deliver against the objectives that were set in the plan.

The overarching purpose of RSFS remains to:

Meet the needs for practical forestry and woodland education through supporting those in forestry and woodland management meet their development needs and by promoting sustainable forestry more widely.

To do this we will continue:

Recognising the role of RSFS as a Scottish charity which supports practical forestry education, consideration will be given as to how we can:

These will require us to:

There continues to be a tremendous sense of optimism and renewal which the trustees hope is now permeating throughout the Society.

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ROYAL SCOTTISH FORESTRY SOCIETY

Report of the Trustees (continued)

For the year ended 31 December 2024

Having stabilised and begun to grow the charity over the past 10 years, we are now looking to improve the operating resilience. This will be achieved through improved resourcing, succession planning and having more robust processes underpinning operational activity.

To this end, during early 2025, the trustees recruited an Executive Director to take over the implementation of the strategic plan and day-to-day running of the charity supported by other members of our team as noted above. Cat Wilson joins us in early June 2025.

We hope to achieve a further step forward at the AGM in 2025 as members consider a Special Resolution that will allow us to broaden and diversify our trustee body, and to increase the number of trustees.

During 2024 the first tranche of CPD Workshops took place. Most were well attended. In 2025, 7 are planned, but it remains our aspiration increase the number on offer in future years. These days are open to both members and nonmembers, though members do receive a discount.

We were looking to refresh our Regional committees during 2024; this was not wholly successful. Two committees in particular, North and North East, continue to seek fresh blood and younger more active membership. Serving on a Regional committee can be great fun (organising RFD, organising an AST one year in five, promoting the Society within the sector locally, etc) and it is important that from time to time they are refreshed, giving those who have served a welldeserved break.

Structure, Governance and Management

Governing Document

On 9 May 2017 Royal Scottish Forestry Society was incorporated as a Scottish Charitable Incorporated Organisation (SCIO) in terms of the new Constitution adopted on 9 May 2017 by the members and approved by the Office of the Scottish Charity Regulator (OSCR) on 5 December 2016. The charity was previously an unincorporated association, and the assets of the unincorporated association were transferred to the SCIO on 9 May 2017. The unincorporated association was instituted on 16th February 1854 and was registered as a charity by OSCR with effect from 2004 charity number SCO2058. We have retained our charity number on incorporation. Prior to 2004, the Society was granted charitable status by HM Revenue & Customs.

Appointment of New Trustees (Board Members)

The trustees of the Society are listed on page 1. New trustees are proposed by the Board and confirmed by a vote of the members at the Annual General Meeting which is ordinarily held in May each year.

Recruitment of new Trustees

The President usually holds office for two years. Other office bearers, Vice President and Treasurer, are eligible for reelection at the AGM. New office bearers are proposed by the Board from people who have the necessary skills.

Five trustees are appointed as a consequence of their being the Chair of their regional committee. All other trustees are proposed and appointed to ensure that there is a balance of skills within the Board.

Induction and training of Board members

New Board members are briefed on their legal obligations under charity law, the content of the Constitution, the decisionmaking processes and recent performance of the charity.

Structure

The Board decide the policy and programme of the Society and meet on a quarterly basis or more often if necessary. Regional Committees organise activities within their Regions.

Parent Undertaking

Royal Scottish Forestry Society submitted an application for membership of Cashel Forest Trust (then called RSFS Forest Trust Company) on 1 January 2017 and thereby became a Parent Member of that organisation with the rights attached to

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ROYAL SCOTTISH FORESTRY SOCIETY

Report of the Trustees (continued)

For the year ended 31 December 2024

that membership in terms of its Articles of Association. The two organisations have similar objectives, align strategic plans and share resources.

Key management personnel remuneration

The trustees consider themselves to comprise the key management personnel of the charity in charge of directing and controlling the charity. Three contractors were engaged during 2023 to deliver:

All trustees give of their time freely and no remuneration was paid to them during in the year in respect of their duties as a trustee. Details of trustee expense payments are disclosed in note 3.

Trustees are required to disclose all relevant interests and register them with the Board Secretary and, in accordance with the Charity’s policy, to withdraw to from decisions where a conflict of interest arises.

Reference and administrative information

The information is contained in page 1 of the report.

Trustees’ responsibilities in relation to the financial statements

The charity trustees are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in Scotland requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that period. In preparing the financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charity Accounts (Scotland) Regulations 2006 (as amended), and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

The financial statements were approved and signed on behalf of the Board of the Society on 13[th ] May 2025.

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ROYAL SCOTTISH FORESTRY SOCIETY

Independent Examiner’s Report to the trustees of the Society For the year ended 31 December 2024

I report on the accounts of the Society for the year ended 31 December 2024 which are set out on pages 12 to 26.

Respective responsibilities of committee and independent examiner

The charity’s trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. The charity’s trustees consider that the audit requirement of Regulation 10(1) (a) to (c) of the Accounts Regulations does not apply. It is my responsibility to examine the accounts as required under section 44 (1) (c) of the Act and to state whether particular matters have come to my attention.

Basis of Independent examiner’s statement

My examination is carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. An examination includes a review of the accounting records kept by the Society and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeks explanations from the Council concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the view given in the accounts.

Independent examiner’s statement

In the course of my examination, no matter has come to my attention:

  1. which gives me reasonable cause to believe that in any material respect the requirements:

  2. to keep accounting records in accordance with Section 44 (1) (a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations, and

  3. to prepare accounts which accord with the accounting records and comply with Regulation 8 of the 2006 Accounts Regulations

have not been met, or

  1. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

James Anderson & Co Chartered Accountant (ICAS) Pentland Estate STRAITON Edinburgh EH20 9QH

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ROYAL SCOTTISH FORESTRY SOCIETY

Statement of Financial Activities

For the year ended 31 December 2024

Note
Income from:
Donations and legacies
4
Charitable activities
5
Investment income
6
Other trading activities
7
Total income
Expenditure on:
Raising funds
8
Charitable activities
9
Total expenditure
Net income
Gain/(loss) on revaluation of
12
investment assets
Net movement on funds
Fund balances brought forward
15
Fund balances carried
forward
15		 Unrestricted
Funds
£
80,302
6,129
13,463
8,336
108,230
35
71,277
71,312
36,918
8,426
45,344
288,237
333,581		 Restricted
Funds
£
-
7,928
-
-
7,928
-
16,047
16,047
(8,119)
4,708
(3,411)
185,943
182,532		 Endowment
Funds
£
-
-
-
-
-
-
-
-
-
222
222
5,203
5,425		 Total
Funds
2024
£
80,302
14,057
13,463
8,336
116,158
35
87,324
87,359
28,799
13,356
42,155
479,383
521,538		 Total
Funds
2023
£
140,670
15,704
8,037
8,874
173,285
-
78,632
78,632

94,653
4,492
99,145
380,238
479,383

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ROYAL SCOTTISH FORESTRY SOCIETY

Balance Sheet

At 31 December 2024

Fixed assets
Note
Tangible assets
11
Investments
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors – amounts falling due within one year
14
Net current assets
Net assets
Funds
Permanent endowment fund
15
Unrestricted funds
15
Restricted funds
15
Total charitable funds		 32,347
246,460		 2024
£
53,050
290,279
178,209
521,538
5,245
333,581
182,532
521,538		 42,542
174,068		 2023
£
53,050
278,322
148,011
278,807
(100,598)		 216,610
(68,599)
479,383
5,203
288,237
185,943
479,383

The notes on pages 14 to 26 form part of these accounts.

The financial statements were approved and signed on behalf of the Board of the Society on 13[th ] May 2025.

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ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements For the Year ended 31 December 2023

1. Statutory information

Royal Scottish Forestry Society is a Scottish Charitable Incorporated Association (SCIO) which was registered in its current legal form on 9 May 2017. The charity was previously an unincorporated association which transferred its assets to the SCIO on 9 May 2017.

The company’s registration number and registered office address can be found on the Reference and Administrative Details on page 1.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

2.

Accounting Policies

The principal accounting policies adopted, judgement and key sources of estimation and uncertainty in the preparation of the financial statements are as follows:

The financial statements have been prepared under the historical cost convention unless otherwise specified, within these accounting policies and in accordance with:

Advantage has been taken of the exemption permitted in section 1A of FRS102 not to prepare a Cash Flow Statement and accompanying notes.

Royal Scottish Forestry Society 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 notes to these accounts.

b) Going Concern

The financial statements have been prepared on a going concern basis under the historical cost convention, modified to include certain items as fair value. The Trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern as it has sufficient available funds to meet its anticipated expenditure. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.

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ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements For the Year ended 31 December 2024 (continued)

2. Accounting Policies (continued)

Unrestricted income funds comprise those funds which the trustees are free to use for any purpose in furtherance of the charitable objects. Unrestricted funds include designated funds where the trustees, at their discretion, have created a fund for a specific purpose.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donor.

Endowment funds represent those assets which must be held permanently by the charity, principally investments. Income arising on the endowment funds can be used in accordance with the objects of the charity and is included as unrestricted income. Any capital gains or losses arising on the investments form part of the fund. Investment management charges and legal advice relating to the fund are charged against the fund.

Further explanation of the nature and purpose of each fund are disclosed in note 15.

d) Income recognition

All income is recognised once the charity has entitlement to the income, there is sufficient certainty or receipt and so it is probable that the income will be received, and the amount of income receivable can be measured reliably.

Donations and grants are recognised when they have been communicated in writing with notification of both the amount and settlement date. In the event that a donation or grant is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity, and it is probable that those conditions will be fulfilled in the reporting period.

For legacies, entitlement is the earlier of the charity being notified of an impending distribution or the legacy being received. At this point income is recognised. On occasion legacies will be notified to the charity however it is not possible to measure the amount expected to be distributed. On these occasions, the legacy is treated as a contingent asset and disclosed.

Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

Advertising income is recognised in the year in which the edition of ‘ Scottish Forestry ’ was issued in which the adverts appear.

Interest on funds held on deposit is included upon notification of the interest paid or payable by the Bank. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.

e) Government and other grants

Government and other grants are recognised at fair value when the charity has entitlement, after any performance condition is met, where it is probably that the income will be received, and the amount can be measured reliably.

f) Donated services

The society benefits greatly from the involvement and support of its volunteers. In accordance with FRS 102 and the Charity’s SORP (FRS 102) economic contribution of volunteers is not recognised in the accounts.

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ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements For the Year ended 31 December 2024 (continued)

2. Accounting Policies (continued)

g) Expenditure recognition

Expenditure is recognised as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis. All expenses, including support costs and governance costs, are allocated or apportioned to the applicable expenditure headings in the statement of financial activities.

All expenditure relates to charitable actions and governance costs being an Independent Examiner, bookkeeper and investment manager.

h) Irrecoverable VAT

Irrecoverable VAT is charged against the expenditure heading for which it was incurred.

i) Tangible fixed assets and depreciation

All assets costing more than £1,000 are capitalised and valued at historical cost. Depreciation is charged from the year of acquisition on operating assets on a 15% reducing method and on Canopy development at 20% straight line. Artefacts which have been gifted to the Society over many years have been introduced at independent historic valuation and are subject to an annual impairment review.

j) Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

k) Fixed asset investments

Investments are initially recognised at their transaction value and subsequently measured by the investment manager at their market value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

l) Stocks

The stock of merchandise on hand is valued at the lower of cost price or net realisable value.

m) 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.

n) Cash at bank and in hand

Cash at bank and cash in hand includes costs 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.

Page | 16

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements For the Year ended 31 December 2024 (continued)

2. Accounting Policies (continued)

o) 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.

p) Pension contributions

The charity operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable. At the year-end £0 of contributions remained to be paid over to the provider (2023: £0).

q) Financial instruments

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

r) Realised gains and losses

All gains and losses are taken to the statement of financial activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

s) Taxation

No provision for corporation tax is necessary as the charity does not trade. The charity suffers input VAT on some of its expenditure which it is unable to recover.

t) Consolidated financial statements

As permitted by Charities SORP (FRS 102), advantage has been taken of the exemption available to small groups not to prepare consolidated accounts as the combined gross income of the Royal Scottish Forestry Society and the RSFS Forest Trust Company is less than £500,000.

3 Related party transactions and trustees’ expenses and remuneration

The trustees were not paid or received any other benefits from employment. Services were provided by CGPM Consulting LLP £6,300 (2023 £5,500, part-year), a partnership in whic is a partner.

The value of expenses paid to 2 trustees during the year was £567.04 (2023: £211.50).

Royal Scottish Forestry Society is the parent member of Cashel Forest Trust (CFT). Where Cashel Forest Trust generates revenues via debit and credit cards and Paypal, it uses the RSFS merchant accounts. RSFS incurs certain costs on behalf of CFT and recharges them. Recharges between RSFS and CFT are through and intercompany account with periodic settlement of any balances. The amounts due to and from CFT are disclosed in notes 13 and 14.

Payments to the key management personnel of the charity in the year amounted to £13,241 (2023: £12,008).

Page | 17

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements

For the Year ended 31 December 2024 (continued)

4
Donations and legacies 2024
Personal subscriptions
Corporate subscriptions
Gift Aid recovery
Donations
Legacies
Donations and legacies 2023
Annual subscriptions
Corporate subscriptions
Gift Aid recovery
Donations
Annual subscriptions
5
Charitable activities 2024
Journal sales
Publication income
Training events
Annual Study Tour
Charitable activities 2023
Journal sales
Publication income
Training events
Annual Study Tour		 Unrestricted
Funds
£
40,389
26,972
7,956
2,985
2,000
80,302
38,654
18,768
8,031
11,387
76,840
1,103
71
4,955
-
6,129
2,867
345
5,431
-
8,643		 Restricted
Funds
£
-
-
-
-
-
-
-
-
-
63,830
63,830
-
-
-
7,928
7,928
-
-
-
7,061
7,061		 Total
£
40,389
26,972
7,956
2,985
2,000
80,302
38,654
18,768
8,031
75,217
140,670
1,103
71
4,955
7,928
14,057
2,867
345
5,431
7,061
15,704

Page | 18

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements For the Year ended 31 December 2024 (continued)

6
Investment income 2024
Dividends on listed investments
Bank interest
Realised gains and (losses)
Investment income 2023
Dividends on listed investments
Bank interest
Realised gains and (losses)
7
Other trading activities 2024
Advertising in the journal
Journal Royalties
Other trading activities 2023
Advertising in the journal
Journal Royalties
Other income
8
Expenditure on raising funds 2024
Fundraising costs
Expenditure on raising funds 2023
Fundraising costs		 Unrestricted
Funds
£
9,714
5,148
(1,399)
13,463
7,463
1,924
(1,350)
8,037
7,381
955
8,336
7,702
1,047
125
8,874
35
35
-
-		 Restricted
Funds
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-		 Total
£
9,714
5,148
(1,399)
13,463
7,463
1,924
(1,350)
8,037
7,381
955
8,336
7,702
1,047
125
8,874
35
35
-
-

Page | 19

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements

For the Year ended 31 December 2024 (continued)

OYAL SCOTTISH FORESTRY SOCIETY
otes to the Financial Statements
or the Year ended 31 December 2024 (continued)
9
Charitable activities 2024
Cost of direct activities
Staff costs
Other staff expenses
Scottish Forestry_costs
Education Bursary
Training & event costs
Publication costs
Annual Study Tour
_Overheads
Corporate office
Investment management fees
IT costs
Professional fees
Financial costs
Governance costs_(see below)
Total direct and overhead costs
_Governance costs
Board secretariat
Independent examination
Trustees’ expenses
Total governance costs		 Unrestricted
Funds
£
9,819
1,971
31,482
600
3,585
9
-
47,466
5,882
2,024
1,896
4,295
5,128
4,586
23,811
71,277
2,900
1,119
567
4,586		 Restricted
Funds
£
-
-
-
10,850
479
-
4,468
15,797
-
-
-
-
250
-
250
16,047
-
-
-
-		 Total
£
9,819
1,971
31,482
11,450
4,064
9
4,468
63,263
5,882
2,024
1,896
4,295
5,378
4,586
24,061
87,324
2,900
1,119
567
4,586

Page | 20

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements

For the Year ended 31 December 2024 (continued)

Unrestricted
Funds
£
9
Charitable activities (continued)
Charitable activities 2023
Cost of direct activities
Administrator expenses
360
Scottish Forestry_costs
34,049
Education Bursary
210
Training event costs
4,424
Publication costs
44
Annual Study Tour
-
39,087
_Cost of overheads
Corporate office
11,796
Sundry office costs
75
Investment management fees
31
IT costs
4,040
Professional fees
4,486
Financial costs
6,789
Governance costs_(see below)
3,952
31,169
Total direct and overhead costs
70,256
_Governance costs
Board secretariat
2,500
Legal & professional
40
Independent examination
1,200
Trustees’ expenses
212
3,952
10
Staff costs
Wages and salaries
Social security costs
Pension contributions
No employee earned £60,000 or more in 2024 or 2023.
Average number of staff in the year		 Restricted
Funds
£
-
-
5,850
-
-
2,526
8,376
-
-
-
-
-
-
-
-
8,376
-
-
-
-
-
2024
£
9,035
-
100		 Total
£
360
34,049
6,060
4,424
44
2,526
47,463
11,796
75
31
4,040
4,486
6,789
3,952
31,169
78,632
2,500
40
1,200
212
3,952
2023
£
-
-
-
9,135 -
1 0

Page | 21

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements

For the Year ended 31 December 2024 (continued)

11
Tangible fixed assets
Cost or valuation
At 31stDecember 2023
Valuation
Additions
Disposals
At 31stDecember 2024
Depreciation
At 31stDecember 2023
Charge for the year
Disposals
At 31stDecember 2024
Net book value
At 31stDecember 2024
At 31stDecember 2023		 Operating
Assets
£
1,176
-
-
-
1,176
1,176
-
-
1,176
-
-		 Canopy
Development
£
6,525
-
-
-
6,525
6,525
-
-
6,525
-
-		 Heritage
Assets
£
40,000
-
-
-
40,000
-
-
-
-
40,000
40,000		 Trophies &
Prizes
£
13,050
-
-
-
13,050
-
-
-
-
13,050
13,050		 Total
£
60,751
-
-
-
60,751
7,701
-
-
7,701
53,050
53,050

Artefacts which have been gifted to the Society over many years have been included at independent valuation and are subject to an annual impairment review. During 2023, the charity had various trophies valued for insurance purposes; these previously had been held at £0 value.


urposes; these previously had been held at £0 value.
12
Investments
Market value at 1 January
(Decrease) Increase in amounts held as cash
Additions at cost (net of equalisations)
Disposals at carrying value
Net gain on revaluation
Market value at 31 December		 2024
£
278,322
(2,534)
13,617
(12,482)
13,356
290,279		 2023
£
275,180
2,876
38,909
(43,134)
4,491
278,322

All investments are carried at their fair value. Investment in equities and fixed interest securities are all traded in quoted public markets, primarily the London Stock Exchange. Holdings in common investment funds, unit trusts and open-ended investment companies are at the bid price. The basis of fair value for quoted investments is equivalent to the market value, using the bid price. Asset sales and purchases are recognised at the date of trade at cost (that is their transaction value).

The Society manages these investment risks by retaining expert advisors and operating an investment policy that provides for a high degree of diversification of holdings within investment asset classes that are quoted on recognised stock exchanges. The Society does not make use of derivatives and similar complex financial instruments as it takes the view that investments are held for their longer-term yield total return and historic studies of quoted financial instruments have shown that volatility in any particular 5-year period will normally be corrected.

Page | 22

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements For the Year ended 31 December 2024 (continued)

13
Debtors
Trade receivables
Other debtors and prepayments
Intercompany account
14
Creditors
Amounts falling due within one year
Creditors & accruals
Intercompany account
Income in advance
Income in advance – membership
Opening balance
Income released in the year
Income received in advance
Being subscriptions relating to the new financial year received
(individual) or paid (corporate) during current financial year
Income in advance – Journal subscription
Opening balance
Income released in the year
Income received in advance
Being subscriptions relating to the new financial year received
during current financial year
Income in advance – Annual study tour
Opening balance
Income released in the year
Income received in advance
Being income relating to the annual study tour relating to the new
financial year received during current financial year.		 2024
£
28,638
3,205
504
32,347
40,075
27,789
32,734
100,598
15,729
(15,729)
32,734
32,734
487
(487)
-
-
2,450
(2,450)
-
-		 2023
£
19,449
19,098
3,995
42,542
32,481
17,452
18,666
68,599
888
(888)
15,729
15,729
1,472
(1,472)
487
487
1,505
(1,505)
2,450
2,450

Page | 23

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements For the Year ended 31 December 2024 (continued)

15
Statement of funds 2024
Unrestricted funds
Conference Fund
Educational Fund
Excursions Fund
Glen Grant Fund
Jeffrey Schools
Competition Fund
Lecture Fund
Monitor Woods Fund
Murgitroyd Fund
Overseas Groups Fund
Trophy Fund
Restricted funds total
Permanent Endowment
Total funds		 Balance at
1 January
2024
£
288,237
185,943
5,203
479,383
1,763
35,654
5,590
63,830
10,428
111
18,844
48,294
409
1,020		 Income
£
108,230
7,928
-
116,158
-
-
7,928
-
-
-
-
-
-
-		 Expenditure
£
(71,312)
(16,047)
-
(87,359)
(479)
(5,600)
(4,718)
-
-
-
-
(5,250)
-
-		 Investment
Revaluation
£
8,426
4,708
222
13,356
-
2,944
-
-
-
-
-
1,764
-
-		 Balance at
31 December
2024
£
333,581
1,284
32,998
8,800
63,830
10,428
111
18,844
44,808
409
1,020
182,532
5,425
521,538

The Permanent Endowment Fund represents those assets which must be held permanently by the Society. The Restricted Funds represent funds received and raised for specific purposes. A detailed schedule follows.

The Unrestricted Fund represents the unrestricted funds which the Council of the Society is free to use in accordance with the charitable objects of the Society.

Statement of funds 2023
Unrestricted funds
Conference Fund
Education Fund
Excursion Fund
Glen Grant Fund
Jeffrey Schools
Competition Fund
Lecture Fund
Monitor Woods Fund
Murgitroyd Fund
Overseas Groups Fund
Trophy Fund
Restricted funds total
Permanent Endowment
Total funds		 Balance at
1 January
2023
£
254,002
1,739
39,050
1,041
-
10,286
111
18,587
49,159
403
1,006
121,382
4,854
380,238		 Income
£
102,394
-
-
7,061
63,830
-
-
-
-
-
-
70,891
-
173,285		 Expenditure
£
(70,256)
-
(5,600)
(2,526)
-
-
-
(250)
(8,376)
-
(78,632)		 Investment
Revaluation
£
2,097
24
2,204
14
-
142
-
257
(615)
6
14
2,046
349
4,492		 Balance at
31 December
2023
£
288,237
1,763
35,654
5,590
63,830
10,428
111
18,844
48,294
409
1,020
185,943
5,203
479,383

Page | 24

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements For the Year ended 31 December 2024 (continued)

15 Statement of funds (continued)

The restricted funds of the Society and the purposes for which they have been given are:

Restricted fund name Purpose

Conference fund Amounts donated for the purpose of supporting RSFS attendance at conferences and seminars. Education fund Donations made to fund educational prizes. Excursion fund The surpluses accrued on sponsorship received in support of the attendance of young Incorporating the foresters at the Society’s Annual Study Tour. Gilbert Brown Memorial fund George Leven Memorial fund Hunter-Blair Trophy fund A grant made to fund the maintenance of the RSFS trophies. Glen Grant fund A donation made by the Glen Grant to fund riperian planing and its maintenance in the Glen Grant vicinity and other projects agreed with the donor. Jeffrey Schools Competition A grant made Mrs Jeffrey on the passing of former RSFS President Graham Jeffrey fund During the year, the trustees sought and received consent from OSCR to modify the terms of the fund to extend its geographic reach to include East Dumbartonshire and to permit the application of the funds for the amended purposes of supporing transport costs and to providing prizes to P7 children for written or media work in connection with Cashel or Cashel's activities in alignment with Curriculum for Excellence or any successor thereto. Lecture fund The surpluses accrued from RSFS lectures to fund future lectures. McNeil Bequest A bequest made by Mrs McNeil to support tree planting by school children in Midlothian to further their education. Monitor Woods fund A grant to fund the pilot study for the benchmarking of exemplar forest and woodlands and the systems and processes to support this. Murgitroyd fund A bequest made for the purpose of funding a range of bursaries and prizes in memory of Ian Murgitroyd. Overseas Groups fund A donation made to support overseas foresters attend RSFS events in the UK. Trophy valuation fund Representing the revaluation reserve on valuation of perviously unrecognised trophies.

16
Analysis of net assets
between funds 2024
Unrestricted funds
Restricted funds
Permanent endowment		 Fixed
Assets
£
53,050
-
-
53,050		 Investment
Portfolio
£
173,939
110,915
5,425
290,279		 Cash
£
174,843
71,617
-
246,460		 Net
Current
Liabilities
£
(68,251)
-
-
(68,251)		 Total
£
333,581
182,532
5,425
521,538

Page | 25

ROYAL SCOTTISH FORESTRY SOCIETY

Notes to the Financial Statements

For the Year ended 31 December 2024 (continued)

16 Analysis of net assets between funds (continued)

Analysis of net assets
between funds 2023
Unrestricted funds
Restricted funds
Permanent endowment		 Fixed
Assets
£
53,050
-
-
53,050		 Listed
Investments
£
154,040
112,554
5,203
271,797		 Cash
£
1,544
4,981
-
6,525		 Net
Current
Assets
£
79,603
68,408
-
148,011		 Total
£
288,237
185,943
5,203
479,383

17 Prior year Statement of Financial Activities

Income from:
Note
Donations and legacies
4
Charitable activities
5
Investment income
6
Other trading activities
7
Total income
Expenditure on:
Raising funds
8
Charitable activities
9
Total expenditure
Net income
Gain/(loss) on revaluation of
12
investment assets
Net movement on funds
Fund balances brought forward
15
Fund balances carried
forward
15		 Unrestricted
Funds
£
76,840
8,643
8,037
8,874
102,394
-
70,256
70,256
32,138
2,097
34,235
254,002
288,237		 Restricted
Funds
£
63,830
7,061
-
-
70,891
-
8,376
8,376
62,515
2,046
64,561
121,382
185,943		 Endowment
Funds
£
-
-
-
-
-
-
-
-
-
349
349
4,854
5,203		 Total
Funds
2023
£
140,670
15,704
8,037
8,874
173,285
-
78,632
78,632
94,653
4,492
99,145
380,238
479,383

18 Events after the reporting date

The Trustees appointed an Executive Director with effect from 1[st ] June 2025. The role is charged with executing the Trustees delivery plan for the RSFS Strategy 2024-28. No additional income is anticipated in the short-term and the appointment may need to be funded from Reserves for a period of up to two years after which it is expected to become self-funding.

Page | 26