The trustees present their annual report and financial statements for the year ended 30 November 2023.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's memorandum and articles of association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019).
The charity exists to promote, advance and improve, for the benefit of the public, agriculture, horticulture, forestry and rural crafts and skills, in all their branches, by the improvement of livestock and the demonstration and showing of livestock, machinery, crafts, products, methods and processes connected with agriculture and agricultural education.
In furtherance of these objects a Show was scheduled to be held on 27 and 28 August 2023.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
To produce our show each year committees of volunteers, each trustee-led, take forward plans for their own section, supported by the Show Office and overseen by a Management Committee which reports to the Show Council. The Show is both a charity and a limited company. Members of Show Council are both trustees and directors.
The 2023 event was a well-attended, successful show with over 28,000 paying public attending. With the society’s members and their guests, sponsors, stewards and thousands of competition entrants, the total attendance for 2023 is estimated as 45,000 people. That represents a 12% increase on 2022.
A similar uplift was seen in the income generated for the event by its trade stand bookings. With almost 250 trade stands on site, a contribution to the charity’s income of some £134,000 was successfully delivered (2022: £114,000). Trade stand management on site is overseen by our Trade Stands Committee whose volunteers, assisted by office and paid contractors, prepared stand markings, welcomed all the traders and skilfully managed any issues on the ground. This committee also oversaw the successful delivery of the public catering provision and its income. Now working on a percentage commission basis, the amount contributed benefitted from the high gate number, good weather and from a carefully-curated set of catering stands designed to deliver a wide range of food options, at good value prices, from local farmers and suppliers where possible. In 2023 the catering income rose to £65,000 (2022: £57,000).
The newly-formed Members & Sponsors Committee made some changes to the internal layout of the Members’ Marquee to help facilitate a better welcome for sponsors. With the agreement of the Show President, Jan Boomaars, it had been agreed to forego a President’s Lunch event and dedicated President’s Area this year but instead to invest in a Sponsors’ Drinks event each day, hosted by our President, at which sponsors could be thanked in person and which would provide a greater benefit to more people. This new event had a good start and the committee has numerous ideas to help develop its premise and benefit in 2024. Income from the society’s membership subscriptions grew to £47,000 in the year (2022: £41,000) whilst sponsorship and donations yielded a further £39,000 which was broadly equal to 2022. Increasing the society’s income from sponsorship in the coming years will be a focus for this committee and for the trustee body.
A run of difficult years for our key contractors meant that we faced unavoidable cost increases in 2023 for marquee and toilet hire. The high cost of transport was a very influential factor, with little in mitigation. This caused a review of alternatives and in 2023, for the first time in many years, a second contractor was introduced for our marquee hire. Tents are the society’s biggest cost commitment for the show each year, with these contracts consuming some 26% of total ticket income for 2023. Introducing a second contractor limited the cost increase to a manageable percentage but some compromises were made. The large horticulture tent was historically one of our more costly marquees, but the Horticulture Committee reviewed the layout for its competition classes in 2023 and was able to scale down its tent requirement which helped considerably. The Horticulture marquee once again hosted our friends from the Surrey Federation of Women’s Institutes who ran another successful show and thought-provoking display within.
It is the show’s livestock sections that account for the majority of the marquee requirements, with competition classes in 2023 extremely well-supported by our farmers. With over 500 cattle entries and the largest display of dairy cattle outside of any specialist dairy event the Agriculture Committee are seeing the fruits of hard work to rally support and to maintain the respected standard of competition. Exhibitors were drawn from as far as Telford, Bideford, Bristol, Milton Keynes and Bury St Edmunds to compete. Pig section entries were buoyed by our show being awarded the final of the Kunekune breed championship and qualifying status for the subsequent finals of the Oxford Sandy & Black, Gloucestershire Old Spot, Berkshire, Tamworth and British Saddleback breeds. The Sheep section fielded another comprehensive set of entries spanning 38 different breeds in the purebred classes. With some 450 pens for sheep requiring cover from the elements, a significant tent cost is incurred each year. The trustees are pleased to report that a new open hay barn is to be constructed on the showground site ahead of the 2024 show which, whilst enhancing the farming facilities for our grazier, can double as cover for around 180 pens during show time and reduce our marquee requirement a little each year.
Without the prolonged dry weather of 2022 to manage, the Equestrian Committee had a smoother run into the 2023 event, with the competition rings presented in perfect condition. Entry numbers were up by 14% on the previous year with our prestigious qualifiers very well-supported. This was our first year of holding a direct London International Horse Show qualifier for ridden Mountain & Moorland breeds and new ridden coloured qualifiers for the Horse of the Year Show were bursting with impeccably presented combinations. Unaffiliated showjumping is clearly still very popular with our competitors although there is some acknowledged challenge around maintaining the number of entries needed for strong fields in our headline affiliated showjumping classes. In the King’s coronation year we were pleased to welcome his Head Coachman to judge our ever-popular coaching class.
The showground itself looked in excellent condition this year, with all credit due to the team behind the scenes. Its preparation was overseen by the Operations Committee who had to draw upon additional contractor and volunteer resource at short notice when a key team member had to withdraw following injury. This committee also helped ensure that services such as traffic and parking, paygates, security and key contractors were all supported and smooth-running.
Given the pressure on the showground team this year, the Country Sports Committee increased their volunteer hours on site to ensure that all sections of their area were ready for action. This included making repairs and improvements to the farriers’ barn, mowing and strimming demonstration rings and terrier racing course, clearing the fly fishing demonstration pond and preparing the gundog and hound areas. The farrier competition has gone from strength to strength with unprecedented entries and the fly fishing tutors reported their best and busiest show to date.
The Show’s office team remains as two employed members of staff, assisted by part time resource in the weeks ahead of the show and by freelance contractors. The show’s event management and accounting software is working well and there is a strong focus on controlling costs without compromising quality and character of the event. The office team remains central to supporting the vision of each committee and delivering a best practice example in the industry.
Accounts summary
The Trustees report that the net movement in funds for the year was a surplus of £39,003(2022: deficit of £6,207). The Balance Sheet at the year end remains satisfactory with a total of unrestricted funds not designated amounting to £331,865 (2022 : £285,933).
£2,222 was released from deferred income in the year in relation to life governor subscriptions.
Reserves and investments
It is the policy of the charity that unrestricted funds which have not been designated for a specific use or invested in tangible fixed assets should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised.
Investments are discussed with the Show Council but the final decision is made by the Management Committee. We invest in cautious growth together with some income.
Risk management
In conjunction with the Show’s appointed Health & Safety advisor, a review is conducted each year of the principal risks and uncertainties faced in the delivery of the Show. This review helps establish policies and procedures to mitigate the risks identified, such that should those risks materialise, the impact is minimised or managed.
2020 highlighted the risk posed to the activity of charities such as ours from the covid pandemic when our charity had no choice but to use reserve funds to cover the inevitable loss. Similar risks come from great extremes of weather or from other uninsurable events such as war or civil unrest.
The Trustees’ first priority is to keep everyone safe, balancing risk against the continuing obligation to pursue our charitable objectives. Maintaining adequate reserves is essential, with the need to rebuild reserves after the deficit of 2020 remaining a concern.
Formal risk assessments are carried out on more familiar issues such as crowd movement, vehicle movement, marquees, demonstrations and attractions, food hygiene, power generation and distribution, waste, the control of zoonotic diseases, infectious disease control, the installation and operation of the water supply system and fire. An Event Management Plan is developed and reviewed in the course of the planning of the Show and is shared with relevant interested authorities.
The rate of inflation in recent years has resulted in increased costs and remains a risk. The charity relies on key contractors who are experiencing labour shortages and high transport and staffing costs. Typically these risks have been managed with the help of long term contracts in key areas such as marquee hire, toilet hire, electrical services and security. The charity offered key contracts for tender to help ensure competitive pricing and new suppliers were introduced for 2023. Supplier payment terms are also now mainly front-loaded prior to the event, impacting cashflow and requiring negotiation and management. The trustees keep the Show’s operational model under review and continue to seek efficiencies for the long term.
The Show relies on high levels of public attendance to generate income. Adverse weather remains the greatest risk in this regard. Online ticket sales with discounted advance rates benefit our charity by advancing income ahead of the Show, with non-refundable transactions helping mitigate the risk of non-attendance due to weather.
The Trustees have sought to mitigate the risks listed here by holding what are considered adequate reserves, including a Contingency Fund for this purpose.
Grant Making
The Show endeavours to provide financial assistance to other registered charities whose own objectives mirror charitable activities conducted by the Show. One-off grants are made, typically to agricultural and horticultural charities, or those who support those sectors, following recommendations from the Honorary Almoner.
The Trustees agreed to make such grants this year to continue our support for others. Details of the grants for this year are shown in the notes to the accounts.
Volunteers
The Show is totally dependent on its volunteers to enable it to function. The Trustees and Sub-Committees work tirelessly throughout the year, whilst countless other volunteers give their time freely before, during and after Show days to ensure a successful event. In addition, wherever practicable, the Show engages with local community interest and similar organisations rather than commercial businesses. In accordance with the Charities SORP (FRS102), the economic contribution of general volunteers is not recognised in the accounts.
Recruitment of trustees is made on recommendation from each Sub-Committee Chairman if and when a vacancy occurs. Generally, unless they possess a particular skill of value to the Charity, no trustee is appointed until they have served several years as a member of one of the sub-committees. Any new trustee is therefore well briefed on the aims of the Show and how it is run well before appointment to the Council.
The affairs of the Society are conducted by a Council consisting of up to forty five unpaid, voluntary members who are elected at the Annual General Meeting. There are currently eight sub-committees.
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of Edenbridge and Oxted Agricultural Show (the charity) for the year ended 30 November 2023.
As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ICAEW, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
Investments
Expenditure on raising funds
Expenditure on charitable activities
The statement of financial activities includes all gains and losses recognised in the year.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are as follows:
The financial statements have been prepared in accordance with the charity's [governing document], the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The accounts have been prepared under the historical cost convention, modified to include the revaluation of financial instruments at fair value. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
The uncertain economic outlook and the levels of attendance at the Show, particularly in the event of adverse weather, is a significant area of financial uncertainty which the trustees have sought to mitigate by holding what are considered adequate reserves, including the creation of a Contingency Fund for this purpose.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount.
No income value is attributed to services provided by volunteers.
Annual subscriptions from members and sponsorship income are included in the year to which they relate. Life Governors' subscriptions are credited to deferred income and released to income in equal instalments over 10 years.
Charitable expenditure is included on an accruals basis.
Grants are included in the accounts to which they relate. Grants are formally awarded by the trustees at their December meeting.
All costs, with the exception of investment management, are allocated to the sole charitable activity of providing an annual show.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold land is not depreciated.
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
Fixed asset investments are a form of other financial instrument and are initially measured at fair value, which is normally the transaction price. They are subsequently carried at fair value and the changes in fair value are recognised in net income/(expenditure) for the year.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Cash and cash equivalents include cash in hand and deposits held at call with banks.
With the exception of fixed asset investments, the charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially measured at transaction value and subsequently measured at their settlement value.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Edenbridge and Oxted Agricultural Show is a private company limited by guarantee incorporated in England and Wales. The registered office is The Old Dairy, Wintersell Farm, Dwelly Lane, Edenbridge, TN8 6QD.
Subscriptions
Investments
Expenditure on charitable activities
Direct costs
Support costs
Governance costs
Charitable expenditure
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year for their services as a trustee.
The average monthly number of employees during the year was:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
Freehold land and buildings include land at a cost of £264,597. In the trustees' opinion the market value is in excess of this figure but a formal valuation has not been obtained.
The Show also owns a number of donated trophies which are shown at nil value in the accounts, but have an insurance value of £160,098.
CAF Fixed Interest Bond
M&G Charifund
Investments are revalued using mid-market price or the last closing dealing price as provided by the investment managers Quilter Cheviot.
Deferred income is included in the financial statements as follows:
During the year £2,222 (2022 - £3,000) was released to income in relation to Life Governor subscriptions
The unrestricted income funds of the charity comprise the unexpended balances of show surplus, donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
A contingency fund has been created by the trustees to provide against the possibility of financial loss brought about by bad weather over the show weekend and also to provide funds for major repairs and improvements to the showground and any other contingencies. Although not due to bad weather, there was no show in 2020 as a result of the Covid-19 global pandemic and thus the continency funds were part utilised.
The Tangible fixed assets fund represents the book value of tangible fixed assets used in the furtherance of the Show's objects as they are not part of the Show's free reserves.
Whilst the terms of the W Meadows dec'd legacy do not form a restricted fund, the trustees would like to apply the legacy in accordance with the wishes of the donor and so this has been designated for use on sponsorship of the goat section.
Amounts contracted for but not provided in the financial statements:
The charity has committed to building a barn on the land. A deposit has been paid in the current period (£7,647 within debtors) with the remainder payable in the 2024 financial year.
There were no disclosable related party transactions during the year or in the comparative period.
The charity, in the normal course of its activities, enters into financial arrangements with certain suppliers in connection with the provision of services for future Shows. These arrangements are subject to cancellation clauses in certain circumstances.
At the reporting end date the charity had outstanding commitments for future minimum payments under non-cancellable agreements, which fall due as follows: