Company Registration Number
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WENSLEYDALE RAILWAY PLC
COMPANY INFORMATION
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WENSLEYDALE RAILWAY PLC
CONTENTS
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WENSLEYDALE RAILWAY PLC
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
The directors present the strategic report for the year ended 31 March 2024.
The year has continued with the arrangement set up last year to provide a good working relationship between the Company and the Wensleydale Railway Association (Trust) Ltd (referred in this report as “the Trust”), in order to become more efficient and to improve communications between the two Companies. There are four Directors who are also Trustees of the Trust and, during the year, the joint working arrangements have proved beneficial to both organisations.
There were two changes to the Directors in the year: unfortunately, Terry Larder had to resign due to ill health; Carl Les retired from the Board due to his increased workload with the Local Authority; he emphasised that he will continue to support the Company wherever possible. The Board is now actively seeking a new Chair.
In addition to the Directors, three others attend Board meetings – Phil Smith as Company Secretary, Teresa Chapman, Accounts Manager and Tim Gregson, who has recently accepted a voluntary position as Secretary and PA to the management team. Another very important (and long serving) volunteer who supports the Board is Peter Harbord, the Company Registrar, who looks after the extensive administration involved with the 3,900 or so shareholders.
There has been little change in paid staff positions. For most of the year, the Company runs with about 3 or 4 paid staff, with an extra guard and two extra young persons coming on board to assist during the summer. The Board wishes to thank Teresa Chapman (Accounts Manager), Jon Easton (Administration) and Rob Williamson (Operations and Rolling Stock) for their dedication and hard work throughout the year; also to others, paid and unpaid, who have given service, which has enabled Wensleydale Railway to have had, in the judgement of the Board, a successful year. This includes Bobby Smith Hazelton, the Volunteer Coordinator; this part time role was formerly as an employee of the Trust but, since February 2024, is now the responsibility of the Company.
As reported last year, four of the Directors agreed to share the responsibilities previously held by a General Manager, voluntarily as a management team, with their individual responsibilities as follows – Martin Cleaver (Finance and Polar), Terry Larder (Safety and Permanent Way), Nigel Park (Operations and Commercial) and Tim Williamson (Rolling Stock and Engineering). This has worked extremely well in this year and the Board as a whole is very grateful to these Directors for taking on their important responsibilities and the immense workload at no cost to the Company. As reported above, Terry Larder resigned during the year.
It has been not possible to find a Director to take on the enormous responsibility of Safety Director and, for now, the Management Team collectively share that responsibility, advised by Dan Ferguson, who is employed from time to time in a consultancy capacity. A recent requirement by the Rail Regulator is for the Company to adopt a new safety and risk management system (known as RM3) and much work is being done on this in all departments, under the guidance of an RM3 steering group.
The Board had previously agreed that two suitably qualified persons should be employed as Permanent Way Manager and Operations Manager; these are difficult roles to fill, with personality, the ability to lead and to inspire volunteers equally important aspects. So far, we have been unable to find suitable candidates for these positions.
In an agreement with the Trust, Nick Keegan (previously undertaking fund raising for the Trust) is now employed partly by the plc to embrace the marketing of the railway, to include the increasing number and range of special events.
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WENSLEYDALE RAILWAY PLC
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
Much of the day to day work on the railway is carried out by volunteers; some of these devote a full time commitment to this; others give a few hours or days. It is perhaps obvious, but nevertheless to be applauded and recognised, that the railway could not survive without their dedication. In common with many charities and not for profit organisations, Wensleydale Railway needs many more such people and it seems that they are increasingly hard to find! This means an even bigger reliance on the goodwill of both paid staff and current volunteers, who frequently have to step in to fill urgent slots. By doing so, occasions when services have not been able to run, or which have had to be reduced because of staff shortages, have been few and the Board wishes to acknowledge the immense dedication of all those who have given us a successful year.
The Board also wishes to acknowledge with thanks the work of the staff and volunteers of the Trust who also work for the benefit of the railway, whether through raising essential funds, finding volunteers or running community and educational events and projects.
As is well known (but needs repeating!) the Wensleydale Railway is a long line – some 22 miles in all. This involves a huge and continuous effort to manage it and enable trains to run on it safely and economically and to comply with extremely strict national railway regulations.
As reported last year, we have two Permanent Way teams working on the line most weeks. The Vegetation team also meets weekly, often splitting into two sub-teams. Ideally, there would be more teams and more days of such work and there is a constant effort to attract more volunteers. As also reported previously, the work these teams do sometimes takes place in very difficult conditions and in appalling weather, including the huge amount of rainfall during the past year. They do well to keep up morale and even (apparently) to enjoy their work! Again, the Board wishes to thank all those involved.
Unfortunately, services are not yet returning to Redmire due to the state of the track, some of which was further damaged during the year’s heavy rain, which has showed that even more extensive drainage works are needed. The appeal led by the Trust has raised over £60k for the “Return to Redmire” project (a magnificent response from our supporters) but this is insufficient to employ contractors for the whole restoration task and the emphasis now, although more money will be needed, is to recruit additional volunteers to enable the work to be finished in, hopefully, the forthcoming year. A detailed plan has been drawn up (thanks to Colin Brown, who “walked the track” and made his recommendations) including a long section where the track will be slewed beneath Leyburn Shawl, the location of the worst of the weather damage. Jim Wareing is leading the Leyburn team who are doing most of the work in this section and he and the team deserve much praise for their commitment.
Another major piece of work, largely unseen by most, has been carried out by Ray Wilkinson, Richard Kirk and their team who have been trying to address the fencing of 22 miles of track (on both sides!). A major task completed recently was the renewal of all of the palings at Aiskew crossing – very visible to the public and a wonderful job done. Overall they have a massive task but they now have the support of a great new fencing contractor for the bigger jobs.
Major repairs have been made to the crossing at Aiskew, when potholes appeared over winter and it has been retarmacked, and the crossing at Scruton (also retarmacked). Ainderby Gates crossing was earmarked for major works in the current year – now completed. At Bedale, a new crossing gate has been constructed and replaced one showing extreme signs of wear. At Crakehall, a generous donation from volunteer Bob Coombs has enabled very high quality replacement gates to be installed; the Hendy and Pendle Trust presented an award for this project from the National Railway Heritage Association and this was accompanied by a prize of £2,000. Dignitaries (including Lord Hendy, chairman of Network Rail) and representatives of both organisations visited our railway for an official inspection and opening on 3rd June 2024. They also viewed the progress on the restored signal box being reconstructed by a talented group of volunteers led by David Harrison at Constable Burton under the management of the Trust and assisted by a large grant from the Railway Heritage Trust.
As reported last year, a huge quantity of rails have been donated from Suez, Billingham. These have been delivered and placed along the line ready to replace existing rails (which will go for scrap) and will be much valued for infrastructure work, not only for the Leyburn to Redmire section.
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WENSLEYDALE RAILWAY PLC
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
Everyone is delighted to see the Bubble Car back in service; it is such a versatile and useful vehicle, especially for short missions, such as taking school parties to and from Scruton. The two newly purchased Mark 1 coaches are now in service and look fantastic! They are kept for special occasions.
Work is continuing on a Brake Van restoration, the Whickham Trolley and the rail crane, owned by Neil Guest, the completion of which is eagerly awaited!
The Pacers continue to give excellent service, economical and popular with the passengers despite their lack of comfort, due to the excellent views through the large windows.
Finally, after many delays, the LEV 1 vehicle has been returned to the National Rail Museum.
At Leeming Bar station, the sleeper carriage has been removed and replaced with a modified corridor coach next to the buffet car, to create better waiting room facilities; this was also needed to support the Polar Express employees. Many thanks to Alan Standish and his team for this work, which has been a marvellous transformation.
As last year, special thanks go to Christine Butterworth, Tim Gregson and Bob Coombs who, together with their colleagues, manage to keep on top of the cleaning of trains (also, Leeming Bar station house, mess room and toilets).
Further to the report from 2023, Leeming Bar station has had tremendous improvements and is attractive to look at as well as more efficient to use. The newly tarmacked platform, new toilets, sympathetic lighting, information boards, as well as the visual impact of the newly planted shrubs and plants have created a very attractive visual welcome; also the buffet has reopened and, with the station house being staffed regularly by the living history volunteers, the station is a much more pleasant place to visit as well as to catch the train. The mess room, opened last year, for staff and volunteers, with its seating and welcoming fire has been well received and well used; in the coming year, it is hoped to instal improved staff toilets and a shower for those working in what are often very dirty conditions in the yard and workshop. The electrical services to the whole site have been much improved as well.
At Scruton station, following a number of complaints and minor accidents, a magnificent volunteer effort allowed the purchase and installation of anti-slip strips to the whole of the wooden platform. Visitors continue to marvel at the restored station, with its enthusiastic and hard working volunteers, including the living history interpreters.
Bedale, Leyburn and Finghall stations continue to look very attractive due to the hard work of their support teams; the tearooms at the two of them have been open for most running days and, although Bedale struggles for numbers of passengers, both are appreciated as a service to visitors, whether travelling on the trains or not.
Redmire station has not been forgotten! The hut providing shelter to passengers waiting for trains had to have its roof stripped and resecured following weather damage and new sign boards are about to be installed. It is hoped shortly to recruit a station support team for future improvements.
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WENSLEYDALE RAILWAY PLC
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
“Normal” rail operations have been successful over the year, with increased passenger numbers (12,365 in 2023, compared with 11,988 in 2022) and a 12% increase in income from ticket sales (including for events). The decision had been taken to freeze fares, including the popular £1 ticket price for children and the result has contrasted with many other visitor attractions in the area, which have reported downturns. For the current year, again, prices have been frozen; there are some adjustments to the days of operation to try, for example, to take advantage of the attractions of local market days in Bedale.
Polar Express was, again, our biggest event of the year, with nearly 60,000 passengers over the six weeks or so of operations. Although PNP Events employ most of the staff and actors, there is still a substantial input from Wensleydale Railway staff and volunteers – the latter are able either to be paid themselves or to work voluntarily with their income donated to the railway. It is a huge commitment by many people and it is the main means by which the Company is able to survive through the long winter months and, indeed, is able to make investments for the future. The Board is well aware of the financial risk of being so dependent upon one big income stream and the strategy is to invest to enable replacement income if/when the Polar Express bubble was to burst.
One major example of investment has been the purchase and installation of a kitchen unit at Leeming Bar, to support catering services on trains. Our afternoon teas have been extremely successful, organised by Mo Park and operated by an enthusiastic volunteer team. These have led to demand for an increasing number of private bookings for lunches, teas and celebrations while using the trains and it is believed that there is great potential for expansion of these. The kitchen unit has already made the organisation so much easier and more efficient, allowing expansion in the future, and enabled an upgraded menu offering. Another and more recent success has been the introduction of fish and chip trains, organised by Martin and Sheila Cleaver, to such an extent that all of the eight (monthly) events in 2024 were sold out immediately upon being advertised. This event has also been much improved due to the new kitchen unit. It should also be noted that the unit was economically and efficiently installed due to the work of the Direct Works team.
The hire of one of our rail coaches by a local gin distillery to run “gin trains” has been so successful that several more have been run this year. Although Wensleydale Railway does not operate the event, the hire fee is very beneficial as these are run on our normal scheduled trains.
In addition to the public “meal” trains mentioned above, we ran (and are running in 2024) two afternoon tea trains for our sponsors, who are much valued supporters of the Company and also a Members train with refreshments to thank those who, by becoming a member of the Trust, very much help our finances each year.
Driver Experience trains have been very successful, being fully booked all of the past year. These are run on days when “normal” passenger operations are not scheduled and they provide valuable income. They require a heavy investment of staff and volunteer time and effort and we thank all those involved.
The Model Rail show weekend was held again and brought large numbers of visitors, both for the show itself and to travel on the trains. Thanks to Terry Larder and Craig Hodkinson for organising these.
The relationship with Sheffield University, reported last year, continues, with a number of research and testing projects undertaken. Slightly reduced compared with the previous year, but the income from these is really helpful.
Several events have been run under the auspices of the Trust – make do and mend, teddy bears’ picnic, etc plus the very successful school trips and experiences. These will be detailed in the annual report from the Trust but the Company is very grateful for these and, indeed, for the overall support of the Trust.
After the AGM in 2023, those shareholders and members attending were invited to an afternoon return trip from Bedale to Leyburn; this was well received and will be repeated in 2024.
A number of other “events” during 2023/24 include filming for a new TV episode of “Vera” and a filmed visit for TV by Michael Portillo; both have achieved good publicity as well as income for the railway.
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WENSLEYDALE RAILWAY PLC
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
2023/24 was a reasonably successful year for the Company; it finished with a stable situation with no long term debts and a surplus in the bank! Of course, we must always be ready for unforeseen events and the tremendous rainfall over the winter, as explained above, caused severe problems, particularly along the track. This includes the Leyburn to Redmire section where the track bed was extensively adversely affected.
Polar Express was our major income stream for the year with an income of around £250,000; this requires tremendous dedication and hard work by volunteers and staff and it is particularly noteworthy that, despite the bad weather and the very ambitious programme (often with 6 trains per day), no services were cancelled and nearly all ran to time. We are aware that it is risky to rely on one main source of income and the increasing programme of events, including those involving meals or other refreshments, is being promoted to address this issue.
We have a new ticket system accessible via the website, which is proving efficient and popular with passengers; the proportion of bookings online is rapidly increasing.
It is very pleasing to note that the report from the auditors, as last year, not only accepts the accounts as correct, but also does not contain the usual warning about the financial state of the Company. Well done to all!
Polar Express is at maximum number of passengers and operational days now and there are a number of changes ahead to ensure that the product continues to be attractive. However, it is completely unknown how long the enthusiasm of the public will continue to be shown for this product. Several other heritage railways are now running similar events under the Polar Express heading and, therefore, there is more competition. This is already apparent as bookings (at the time of writing this report) are significantly lower than at the same time last year. We have been fortunate, also, that winters have been less severe than might be the case.
Future planned developments for the service season include, as well as increased effort regarding on-train meals and refreshments, improvement of buffet facilities at Leeming Bar, where this buffet has recently reopened; again, shortage of volunteers is, as in many areas, a big issue. A main aim over the next year is the repair of the track between Redmire and Leyburn, which is dependent upon, not only sufficient finance, but the availability of enough volunteers and, of course, the weather.
Overall, the Company is in a good position financially, especially compared to previous years, but the risks of major incidents, such as landslips or infrastructure failures such as bridges and level crossings leave no room for complacency. The biggest single threat currently, however, is shortage of people – paid staff and volunteers. Those we have (and have had) deserve the grateful thanks of all who support Wensleydale Railway.
This report was approved by the board and signed on its behalf.
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WENSLEYDALE RAILWAY PLC
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
The directors present their report and the financial statements for the year ended 31 March 2024.
The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Company's financial statements and then apply them consistently;
∙make judgments and accounting estimates that are reasonable and prudent;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The profit for the year, after taxation, amounted to £169,933 (2023 - £795,639).
The directors who served during the year were:
The future developments of the company are disclosed in the strategic report.
In accordance with section 414C(11) of the Companies Am 2006 (Strategic Report and Directors' Report) Regulations 2013 the directors have prepared a strategic report which can be found on page 1 of the financial statements.
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WENSLEYDALE RAILWAY PLC
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
The company, as a qualifying entity, has taken advantage, in respect of its separate financial statements, of the disclosure exemptions in FRS 102 paragraph 1.12. The company's shareholders have been notified in writing about the intention to take advantage of the disclosure exemptions and no objection has been received.
The company also intends to take advantage of these exemptions in the financial statements to be issued in the following year. Objections may be served on the company by shareholders holding in aggregate 5 per cent or more of the total allocated shares in the company. They should be served no later than 31 March 2024.
This report was approved by the board and signed on its behalf.
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WENSLEYDALE RAILWAY PLC
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WENSLEYDALE RAILWAY PLC
We have audited the financial statements of Wensleydale Railway plc (the 'Company') for the year ended 31 March 2024, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Cash Flows, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.
In auditing the financial statements, we have concluded that the directors' 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 Company'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 directors with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors 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.
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WENSLEYDALE RAILWAY PLC
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WENSLEYDALE RAILWAY PLC (CONTINUED)
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.
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WENSLEYDALE RAILWAY PLC
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WENSLEYDALE RAILWAY PLC (CONTINUED)
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 Auditors' 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 is detailed below:
-We obtained an understanding of laws and regulations that affect the company, focusing on those that had a direct effect on the financial statements or that had a fundamental effect on its operations. Key laws and regulations that we identified included the UK Companies Act, tax legislation and occupational health and employment legislation, Railways and Other Guided Transport Systems (Safety) Regulations 2006 (as amended) (ROGS), Transport and Works Act Orders, Light Railway Act Orders and private Acts of Parliament, Train Driving Licences and Certificates Regulations 2010, The Rail Vehicle Accessibility (Non-Interoperable Rail System) Regulations 2010, The Railway Safety (Miscellaneous Provisions) Regulations 1997, The Railway Safety Regulations 1999 (RSR 99), The Health and Safety (Enforcing Authority for Railways and Other Guided Transport Systems) Regulations 2006 (as amended) (“EARR”). -We enquired of the directors and reviewed correspondence for evidence of non compliance with relevant laws and regulations. We also reviewed controls the directors have in place to ensure compliance. -We gained an understanding of the controls that the directors have in place to prevent and detect fraud. We enquired of the trustees about any incidences of fraud that had taken place during the accounting period. -The risk of fraud and non compliance with laws and regulations and fraud was discussed within the audit team and tests were planned and performed to address these risks. We identified the potential for fraud in the following areas: management overide, bias and intervention, and revenue recognition focused on cut off where transactions may be recognised in the wrong year. -We reviewed financial statements disclosures and tested to supporting documentation to assess compliance with relevant laws and regulations discussed above. -We enquired of the directors and third patty advisors about actual and potential litigation and claims. -We performed analytical procedures to identify any unusual or unexpected relationships that might indicate risks of material misstatement due to fraud. -In addressing the risk of fraud due to management override of internal controls we tested the appropriateness of journal entries and assessed whether the judgements made in making accounting estimates were indicative of a potential bias.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.
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WENSLEYDALE RAILWAY PLC
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF WENSLEYDALE RAILWAY PLC (CONTINUED)
This report is made solely to the 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 Company's members those matters we are required to state to them in an Auditors' 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 Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Chartered Accountants
Statutory Auditors
Third Floor
10 South Parade
Leeds
LS1 5QS
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WENSLEYDALE RAILWAY PLC
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024
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WENSLEYDALE RAILWAY PLC
REGISTERED NUMBER: 04093919
BALANCE SHEET
AS AT 31 MARCH 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 16 to 29 form part of these financial statements.
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WENSLEYDALE RAILWAY PLC
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
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WENSLEYDALE RAILWAY PLC
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
Wensleydale Railway plc is a private company limited by shares incorporated in England and Wales. The registered office is Leeming Bar Station, Leases Road, Leeming Bar, Northallerton, North Yorkshire, DL7 9AR.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).
The financial statements are prepared in sterling, which is the functional currency of the company.
The company is exempted from preparing consolidated finical statements as per sections 405 (2) of the Companies Act 2006 and paragraph 9.9A of FRS 102 in that inclusion of all its subsidiaries is immaterial as both are dormant
The following principal accounting policies have been applied:
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
2.Accounting policies (continued)
These financial statements are prepared on the going concern basis. The directors have a reasonable expectation that the company will continue in operational existence for the foreseeable future but the directors are aware of significant material uncertainties which may cast doubt an the company's ability to continue as a going concern.
In order to prepare the financial statements on the going concern basis, the directors have completed detailed financial projections set out in their Business Plan which take account of the following: • normal operating conditions; • risks to operating income: • "do minimum" expenditure plans; • continuing grants and donations from fundraising appeals for infrastructure works; and • costed known variable factors which have affected the forecast in the past and likely to continue to have an impact. However, the ongoing Impact of visitor numbers and maintenance schedules is making the forecasting very challenging resulting in several possible outcomes. The directors have prepared a Business Plan but acknowledge that it is impossible to predict the effect of reduced visitor numbers, scarcity of volunteers end fuel costs. The directors are meeting maintenance objectives to ensure the income stream can be secured. Visitor numbers determine profit and cash flow through the peak operation period so that funding decisions regarding essential infrastructure work can be funded through the closed period with the support of the Wensleydale Railway Association (Trust) Limited (the 'Trust"). Visitor numbers will depend on full passenger operations, a range of exciting visitor experiences and delivery of Polar Express. Historically, appeals made by the Trust to support infrastructure work have been well subscribed and this has continued to be the case during the pandemic. Finally, the grants from the National Lottery Heritage Fund ("NLHF") have been vital and the NLIIFS review of the Board's Business Plan, prepared in accordance with HM Treasury's "Guide to Developing the Project Business Case" supportive. The directors continue to seek support from a variety of funding organisations and individuals to provide grants donations and bequests.
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
2.Accounting policies (continued)
Income in the shops and within coaches during events are recognised at the point of sale, whereby ownership of the goods having physically been transfered to the customer at a predetermined price paid at the tills. Rendering of services Income for event ticket sales are recognised upon attendance on the day of the event. This is due the payment for the event occurring in advance, of the company delivering the service, in turn resulting in deferred income being generated but release upon attendance of the event. Grants awarded to fund revenue expenditure are recognised in the expenditure is incurred. Grants awarded to fund capital expenditure are recognised In the statement of financial position and are amortised in line with the method of depredating the fixed assets they funded. Rental income from operating leases is recognized on a straight line basis over the term of the relevant lease.
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
Interests in subsidiaries are initially measured at cost and subsequently measured at fair value.
A subsidiary Is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
At each reporting period end date. the company 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 (it any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
The railway has historically operated at a loss so has been reliant on the support of the Wensleydale Railway Association (Trust) Limited and the general public for grants and donations to assist with funding infrastructure works to maintain the railway line to the required standard to operate passenger services. Therefore, the sustainability of the business may be in doubt and the annual impairment review has identified these factors as significant risks. An impairment loss occurs when the carrying amount of an asset exceeds its recoverable amount. The directors have identified that, given the specialised nature of the company's assets, being unique to the operation of a railway, they are susceptible to a write down to a recoverable amount materially less that the carrying amount Track and railway infrastructure is carded on the balance sheet at £1,342,164, office equipment at £70,524 and plant and equipment at £294,690. If the railway was to cease operations the recoverable amount of these assets may only be the scrap value, net of the costs to recover and recycle materials. The recoverable amount of freehold land and buildings may also be less than its value as carried on the balance sheet of £250,000 as the buildings may have limited alternative uses or may need modifying to be used for another purpose
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
2.Accounting policies (continued)
Fair values of freehold, plant and machinery and office equipment are determined from market based evidence normally undertaken by professionally qualified valuers. Track and rail infrastructure have been determined by management by reviewing the market for replacement costs and recent costs of acquisitions, management are also well experienced to ensure the most appropriate value has been determined.
The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues of FRS 102 to all of its financial instruments.
Financial Instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset. with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision effects only that period, or in the period of the revision and future periods if the revision effects both current and future periods. The Directors consider that the key judgments and sources of estimation made in preparation of the financial statements are: 1) The level of uncertainty within the financial statements with regards to the carrying value of tangible fixed assets. During the year all of the tangible fixed assets had been either value by an external expert valuer or by management, who have extensive experience in the industry. The related increase in value has been booked as an uplift to fixed assets with the related gain/loss being taken direct to reserves. In doing so the directors assessed the carrying value of assets have either been below the value deemed appropriate by the market and potential buyers, or in line with market expectations. The Directors have not identified any reasons for there to be a further impairment in the current year. 2) The level of uncertainty within the financial statements with regards to the carrying value of deferred capital grants. Following the review of its tangible fixed assets, the deferred capital grants have been appropriately adjusted to ensure it is in line with the assets still in use, with the residual released to other income.
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
.Taxation (continued)
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
As per the Articles of Association, shareholders are not entitled to a dividend, Other benefits, including travel and dining benefits, will be dependent on the level of subscription.
During the year, 1,400 new ordinary share of £1 each were issued at par (2022 – 1,600).
Revaluation reserve
Profit and loss account
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WENSLEYDALE RAILWAY PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
The company operates a defined contribution pension scheme for all qualifying employees. The amount charged to profit or loss in respect of defined contribution schemes is £
Ultimate control parties are the
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