REGISTERED COMPANY NUMBER: |
REGISTERED CHARITY NUMBER: |
Report of the Trustees and |
Unaudited Financial Statements for the Year Ended 31 May 2024 |
for |
North Sutherland Community |
Forestry Trust |
REGISTERED COMPANY NUMBER: |
REGISTERED CHARITY NUMBER: |
Report of the Trustees and |
Unaudited Financial Statements for the Year Ended 31 May 2024 |
for |
North Sutherland Community |
Forestry Trust |
North Sutherland Community |
Forestry Trust |
Contents of the Financial Statements |
for the Year Ended 31 May 2024 |
Page |
Report of the Trustees | 1 | to | 5 |
Independent Examiner's Report | 6 |
Statement of Financial Activities | 7 |
Balance Sheet | 8 | to | 9 |
Notes to the Financial Statements | 10 | to | 16 |
North Sutherland Community |
Forestry Trust (Registered number: SC161610) |
Report of the Trustees |
for the Year Ended 31 May 2024 |
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 May 2024. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). |
OBJECTIVES AND ACTIVITIES |
Objectives and aims |
For the public benefit of the community of Tongue and Farr parishes as defined by Community Council areas of: Tongue, Bettyhill, Strathnaver and Altnaharra; Strathy and Armadale and Melvich. |
To provide or advance the accessibility of recreational facilities, and/or organising recreational activities, which will be available to members of the community and public at large with the object of improving the conditions of life of the community. |
Advancement of citizenship or community development, including rural or urban regeneration. To promote for the public benefit rural regeneration, following principles of sustainable development, where 'sustainable development' means development which meets the needs of the present without compromising the ability of future generations to meet their own needs, in areas of social and economic deprivation within the community. |
To advance educational opportunities in the community relating to environment, culture, heritage and/or history, including the relief of unemployment in such ways as may be thought fit, including assistance to find employment; the advancement of education, training or retraining, particularly amongst unemployed people, and providing unemployed people with work experience; the creation of training and employment opportunities by the provision of workspace, buildings and/or land for use on favourable terms; |
To advance environmental protection or improvement including preservation, sustainable development and conservation of the natural environment, the maintenance, improvement or provision of environmental amenities for the community and/or the preservation of buildings or sites of architectural, historic or other importance to the community. In particular woodlands and forests |
North Sutherland Community |
Forestry Trust (Registered number: SC161610) |
Report of the Trustees |
for the Year Ended 31 May 2024 |
OBJECTIVES AND ACTIVITIES |
Significant activities |
Forest Management |
Continuing management of the 37 ha of forest purchased in Forsinain. The felling plan through the management agreement with RSPB has now concluded. A site visit was undetaken this year alongside a forestry consultant to begin working up a plan for the forest which will feed into the new forest plan. |
Forsinain Saw Mill |
From June to December 2023 the trust continued to provide a small-scale community firewood service, processed by the trustees at the sawmill in Forsinain. The logs were available due to a contract with RSPB around the felling for peatland restoration. Bythe end of 2023 wood stocks were diminished and the decision was taken to cease offering the service. |
In June 2023 the Trust took delivery of three arctic loads of logs, which we provided by SSE as part of their felling for Strathy South Wind Farm. The logs were donated to the following three Community Council areas: Melvich; Strathy & Armadale; and Bettyhill, Strathnaver and Altnaharra. The Trust had agreed to process the firewood on behalf of the Community Councils ready for distribution in Winter 2024/25. Funding was received from SSE Strathy North Wind Farm Fund to cover the costs of processing. |
Discussions over the future use of the sawmill building and equipment continue to take place with external support. |
Borgie Log Cabin |
The Trust continue to manage the small cabin at Borgie Breco, organising events and making the space available for hire to the local community. During this year a new water heater has been installed under the kitchen sink and the outside of the cabin has been treated. |
During the year the cabin was hired for 9 events, activities or meetings by local individuals or groups, as well as 7 private bookings. In addition, the Trust hosted a big local picnic event funded by the Highlands and Islands Climate Hub in September 2023. It was also used for a lantern making session as a collaboration between North Sutherland Wildlife Group and the Trust in December 2023. |
Borgie Polycrub |
The Polycrub behind the cabins continued to be used as a workspace for the building of a traditional fishing boat in partnership with Strathnaver Museum. The first stage of the boat building project was nearing completion at the end of the year with a first launch scheduled for September 2024. |
Borgie Second Cabin |
Forestry and Land Scotland (FLS) wish to dispose of their log cabin adjacent to ours in Borgie Forest. Both log cabins are sited on the same area of land currently held by FLS. Discussions around the Trust acquiring the larger cabin and solum of the land on which the two cabins are situated continued this year with the Trustees discussing the potential uses for the cabin and considerations that need to be made before a Community Asset Transfer could be submitted. |
North Sutherland Community |
Forestry Trust (Registered number: SC161610) |
Report of the Trustees |
for the Year Ended 31 May 2024 |
OBJECTIVES AND ACTIVITIES |
Borgie Forest |
The joint management agreement between Forestry and Land Scotland and the Trust continued throughout the year as did the monthly working parties at the forest, Borgie Forest Friends. Tasks carried out by the volunteers during the year included path clearing, clearing of areas and making a picnic area around the two cabins, and making new routes into areas of the forest. One session saw our volunteers joined by volunteers and young people from Dunnet Community Forest who helped to make a walking route to a clearing at Borgie Breco. |
We also worked closely with North Sutherland Wildlife Group and Species on the Edge on quarterly events to mark the Solstices and Equinoxes. These activities were focussed around the Gaelic Alphabet Spiral Walk and featured storytelling, music and forest craft alongside the provision of snacks and drinks. |
We have worked closely with Forest and Land Scotland's team during the year, including a meeting to look at tree thinning in the Spiral Walk, tree planting at Borgie Breco, and input into new signage for the Forest. |
Rosal |
Community acquisition of the Rosal Clearance Village site is underway with a Community Asset Transfer being approved by Forestry and Land Scotland. Final arrangements are being discussed before an application is made to Round 2 of the Scottish Land Fund. |
In January 2024 was hosted two day of events to gather community support and feedback. The events began with talks about Rosal and Patrick Sellars at Strathnaver Museum, followed by a film screening of 'The Cheviot, The Stag and the Black Black Oil' and a meal at Strath Halladale Hall. The following day we organised a walk to the Clearance Village from Syre followed by tea and chat at Strathnaver Hall. For these events we worked closely with a team from Glasgow Caledonian University who were investigating the process of Community Asset Transfers and had chosen the Trust and the Rosal project as the only project in Scotland they were involved with. |
In April we hosted a further community consultation event at The Store in Bettyhill, featuring a presentation on the Clearances and land ownership as well as music from author Rob Gibson. |
Talks with Forestry and Land Scotland continued throughout the year as the Community Asset Transfer processed progressed. Our application for a Community Asset Transfer of the Clearance Village was agreed during the year and funding from the Scottish Land Fund was successfully secured to cover the cost of purchasing the land and the legal fees associated with the transaction. |
STRUCTURE, GOVERNANCE AND MANAGEMENT |
Governing document |
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. |
North Sutherland Community |
Forestry Trust (Registered number: SC161610) |
Report of the Trustees |
for the Year Ended 31 May 2024 |
STRUCTURE, GOVERNANCE AND MANAGEMENT |
Organisational structure |
The charity is administered by the board of directors who meet together regularly. |
As of August 2022, the Directors have been supported by a contracted Finance and Administration Officer. |
Directors are not remunerated for their work. |
REFERENCE AND ADMINISTRATIVE DETAILS |
Registered Charity number |
SC034731 |
Registered office |
The Drying Plant |
Forsinain |
FORSINARD |
Sutherland |
KW13 6YT |
Trustees |
H Black |
T A Curtis |
A M Easthope |
A Herfurt |
A MacConnell |
R Macintosh |
A M Murray |
IM Forbes - resigned 20.02.2024 |
I Barnes - resigned 20.02.2024 |
C Macleod - resigned 10.11.2024 |
A Whitworth - resigned 20.02.2024 |
G MacPherson - appointed 30.04.2024 |
D Marks - appointed 30.04.2024 |
Independent Examiner |
Mackay & Co |
Chartered Accountants |
Unit 8 |
Golspie Business Park |
Golspie |
Sutherland |
KW10 6UB |
Approved by order of the board of trustees on |
North Sutherland Community |
Forestry Trust (Registered number: SC161610) |
Report of the Trustees |
for the Year Ended 31 May 2024 |
Independent Examiner's Report to the Trustees of |
North Sutherland Community |
Forestry Trust |
I report on the accounts for the year ended 31 May 2024 set out on pages seven to sixteen. |
Respective responsibilities of trustees and 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 (as amended). 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 the independent examiner's report |
My examination was 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 charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees 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 by the accounts. |
Independent examiner's statement |
In connection with my examination, no matter has come to my attention : |
(1) | which gives me reasonable cause to believe that, in any material respect, the requirements |
- | to keep accounting records in accordance with Section 44(1)(a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and |
- | to prepare accounts which accord with the accounting records and to comply with Regulation 8 of the 2006 Accounts Regulations |
have not been met; or |
(2) | to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. |
Marcus D. MacIver |
The Institute of Chartered Accountants of Scotland |
Mackay & Co |
Chartered Accountants |
Unit 8 |
Golspie Business Park |
Golspie |
Sutherland |
KW10 6UB |
25 February 2025 |
North Sutherland Community |
Forestry Trust |
Statement of Financial Activities |
for the Year Ended 31 May 2024 |
31.5.24 | 31.5.23 |
Unrestricted | Restricted | Total | Total |
fund | fund | funds | funds |
Notes | £ | £ | £ | £ |
INCOME AND ENDOWMENTS FROM |
Donations and legacies |
Other trading activities | 2 |
Total |
EXPENDITURE ON |
Raising funds |
Charitable activities |
Total |
NET INCOME/(EXPENDITURE) | ( |
) | ( |
) | ( |
) |
RECONCILIATION OF FUNDS |
Total funds brought forward |
TOTAL FUNDS CARRIED FORWARD | 307,073 |
North Sutherland Community |
Forestry Trust (Registered number: SC161610) |
Balance Sheet |
31 May 2024 |
31.5.24 | 31.5.23 |
Unrestricted | Restricted | Total | Total |
fund | fund | funds | funds |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 7 |
CURRENT ASSETS |
Stocks | 8 |
Debtors | 9 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 10 | ( |
) | ( |
) | ( |
) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
NET ASSETS |
FUNDS | 11 |
Unrestricted funds | 259,573 |
Restricted funds | 47,500 |
TOTAL FUNDS | 307,073 |
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 May 2024. |
The members have not required the company to obtain an audit of its financial statements for the year ended 31 May 2024 in accordance with Section 476 of the Companies Act 2006. |
The trustees acknowledge their responsibilities for |
(a) | ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company. |
North Sutherland Community |
Forestry Trust (Registered number: SC161610) |
Balance Sheet - continued |
31 May 2024 |
These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime. |
The financial statements were approved by the Board of Trustees and authorised for issue on |
North Sutherland Community |
Forestry Trust |
Notes to the Financial Statements |
for the Year Ended 31 May 2024 |
1. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. |
Income |
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. |
Expenditure |
Liabilities are recognised as expenditure 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. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. |
Tangible fixed assets |
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. |
Improvements to property | - |
Plant and machinery | - |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Taxation |
The charity is exempt from corporation tax on its charitable activities. |
Fund accounting |
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. |
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. |
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. |
North Sutherland Community |
Forestry Trust |
Notes to the Financial Statements - continued |
for the Year Ended 31 May 2024 |
1. | ACCOUNTING POLICIES - continued |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. |
2. | OTHER TRADING ACTIVITIES |
31.5.24 | 31.5.23 |
£ | £ |
Sawmill sales |
Norbord Income | - | 10,225 |
Rental income | 930 | 5,225 |
Other income | 4,824 | - |
3. | NET INCOME/(EXPENDITURE) |
Net income/(expenditure) is stated after charging/(crediting): |
31.5.24 | 31.5.23 |
£ | £ |
Depreciation - owned assets |
Other operating leases | 2,200 | 1,929 |
4. | TRUSTEES' REMUNERATION AND BENEFITS |
There were no trustees' remuneration or other benefits for the year ended 31 May 2024 nor for the year ended 31 May 2023. |
Trustees' expenses |
There were no trustees' expenses paid for the year ended 31 May 2024 nor for the year ended 31 May 2023. |
North Sutherland Community |
Forestry Trust |
Notes to the Financial Statements - continued |
for the Year Ended 31 May 2024 |
5. | STAFF COSTS |
The average monthly number of employees during the year was as follows: |
31.5.24 | 31.5.23 |
Admin wages |
6. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES |
Unrestricted | Restricted | Total |
fund | fund | funds |
£ | £ | £ |
INCOME AND ENDOWMENTS FROM |
Donations and legacies |
Other trading activities |
Total |
EXPENDITURE ON |
Raising funds |
Charitable activities |
Total |
NET INCOME/(EXPENDITURE) | ( |
) | ( |
) |
RECONCILIATION OF FUNDS |
Total funds brought forward | 272,143 | 47,500 |
TOTAL FUNDS CARRIED FORWARD |
259,573 |
47,500 |
307,073 |
North Sutherland Community |
Forestry Trust |
Notes to the Financial Statements - continued |
for the Year Ended 31 May 2024 |
7. | TANGIBLE FIXED ASSETS |
Improvements |
Freehold | to | Plant and | Motor |
property | property | machinery | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 June 2023 |
Additions |
At 31 May 2024 |
DEPRECIATION |
At 1 June 2023 |
Charge for year |
At 31 May 2024 |
NET BOOK VALUE |
At 31 May 2024 |
At 31 May 2023 |
8. | STOCKS |
31.5.24 | 31.5.23 |
£ | £ |
Stocks |
9. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.5.24 | 31.5.23 |
£ | £ |
Trade debtors |
VAT |
North Sutherland Community |
Forestry Trust |
Notes to the Financial Statements - continued |
for the Year Ended 31 May 2024 |
10. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.5.24 | 31.5.23 |
£ | £ |
Accrued expenses |
11. | MOVEMENT IN FUNDS |
Net |
movement | At |
At 1.6.23 | in funds | 31.5.24 |
£ | £ | £ |
Unrestricted funds |
General fund | 259,573 | (28,606 | ) | 230,967 |
Restricted funds |
Restriced fund |
47,500 | 577 | 48,077 |
TOTAL FUNDS | (28,029 | ) | 279,044 |
Net movement in funds, included in the above are as follows: |
Incoming | Resources | Movement |
resources | expended | in funds |
£ | £ | £ |
Unrestricted funds |
General fund | 3,176 | (31,782 | ) | (28,606 | ) |
Restricted funds |
Restriced fund |
4,218 | (3,641 | ) | 577 |
TOTAL FUNDS | ( |
) | (28,029 | ) |
North Sutherland Community |
Forestry Trust |
Notes to the Financial Statements - continued |
for the Year Ended 31 May 2024 |
11. | MOVEMENT IN FUNDS - continued |
Comparatives for movement in funds |
Net |
movement | At |
At 1.6.22 | in funds | 31.5.23 |
£ | £ | £ |
Unrestricted funds |
General fund | 272,143 | (12,570 | ) | 259,573 |
Restricted funds |
Restriced fund |
47,500 | - | 47,500 |
TOTAL FUNDS | 319,643 | (12,570 | ) | 307,073 |
Comparative net movement in funds, included in the above are as follows: |
Incoming | Resources | Movement |
resources | expended | in funds |
£ | £ | £ |
Unrestricted funds |
General fund | 26,014 | (38,584 | ) | (12,570 | ) |
TOTAL FUNDS | 26,014 | (38,584 | ) | (12,570 | ) |
A current year 12 months and prior year 12 months combined position is as follows: |
Net |
movement | At |
At 1.6.22 | in funds | 31.5.24 |
£ | £ | £ |
Unrestricted funds |
General fund | 272,143 | (41,176 | ) | 230,967 |
Restricted funds |
Restriced fund |
47,500 | 577 | 48,077 |
TOTAL FUNDS | 319,643 | (40,599 | ) | 279,044 |
North Sutherland Community |
Forestry Trust |
Notes to the Financial Statements - continued |
for the Year Ended 31 May 2024 |
11. | MOVEMENT IN FUNDS - continued |
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows: |
Incoming | Resources | Movement |
resources | expended | in funds |
£ | £ | £ |
Unrestricted funds |
General fund | 29,190 | (70,366 | ) | (41,176 | ) |
Restricted funds |
Restriced fund |
4,218 | (3,641 | ) | 577 |
TOTAL FUNDS | 33,408 | (74,007 | ) | (40,599 | ) |
12. | RELATED PARTY DISCLOSURES |