The trustees present their annual report and financial statements for the year ended 31 August 2025.
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)".
Objectives of the Charity, principal activity and organisation of our work
The Charity is constituted as a company limited by guarantee, and is therefore governed by a Memorandum and Articles of Association. It objectives are:
1. To preserve and improve the standard of horses and ponies in general, and in particular, the breed of horse known as the Haflinger in Great Britain by promoting and encouraging the breeding and importing of pure bred Haflinger horses.
2. To advance public education in all districts and countries in the various arts and sciences connected with the use and management of horses and ponies in general and of the Haflinger in particular.
3. To improve general standards in the management, use and treatment of horses and ponies, with particular reference to the special features of the Haflinger horses, by the education of the breeders, importers, exporters, judges, veterinarians, trainers and members of the public.
4. To provide, or assist in the provision, for the public benefit, of facilities for recreation or other leisure time occupation through the use of horses and ponies.
5. To prevent cruelty to horses and ponies.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
As members will know, the Society's main aim is to preserve and improve the Haflinger breed in Great Britain. The Society’s income comes primarily from our membership subscriptions and profits from the Breed Show. Being a member allows Haflinger owners to keep in touch with others and share news and experiences via our newsletter, website, and members Facebook group. We value our members and are continually striving to provide them with value for money.
We ran the annual 3 day breed show with entries maintained at the same level as the previous year and we were also able to run the Inspections as part of this show. The society worked hard to manage the costs of the breed show, given the current climate has meant that expenses have been increasing.
The society has also run quarterly online dressage competitions, and photo shows that has enabled members to still stay active in informal and friendly events during the year.
Our Social media presence has continued to increase. In particular we have driven more content through Facebook and Instragram, and it has been interesting to see which topics create the most reactions and comments from our members.
The charity reported a surplus of £4,261 in the financial year (2024 - surplus of £3,340).
Reserves policy
Unrestricted funds are needed to provide funds, which can be designated to specific projects to enable these projects to be undertaken at short notice and to cover governance costs without which the charity could not function.
At the financial year end the charity held £27,588 (2024 - £23.327) of unrestricted reserves.
Investment policy
Under the Memorandum and Articles of Association, the Charity has the power to make any investments which the trustees deem appropriate. The trustees have considered the most appropriate policy to invest funds and have found that the operation of a bank savings account allows them flexibility in managing the charity cash flows.
Risk management
The trustees have a duty to identify and review the risks to which the charity is exposed to and to ensure that appropriate controls are in place to provide reasonable assurance against fraud and error.
Plans for the future
Haflinger Society of Great Britain has no plans to change the way in which it operates in the future.
The charity is a company limited by guarantee. The charity, registered with the Charity Commission registration number 1100783 is controlled by its Memorandum and Articles of Association, and constitutes a limited company, limited by guarantee, registered number 04548232 (England and Wales) as defined by the Companies Act 2006.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Recruitment and appointment of trustees
The Board can appoint a member of the Charity as a Trustee to fill a vacancy on the membership of the Board. They will hold office until the next annual general meeting they may be elected by the members (unless they cease to be a Trustee prior to that virtue of Article 39 or 40). For the purposes of this Article, the Board shall decide how many vacancies there are, subject to the maximum and minimum numbers given in Article 33.1.1.
The Board can also co-opt up to four additional persons onto the Board at any time, in excess of the maximum number of Trustees set out in Article 33.1.1. who shall hold office until the next general meeting, unless they cease to be a Trustee prior to that by virtue of Article 39 or 40. A co-opted Trustee may be removed by the Board at any time and may not be co-opted more than six times. In the event that a co-opted Trustee goes on to be elected by the members, for the purposes of the maximum terms of office referred to in Article 34, his initial appointment shall be the date on which he was first co-opted.
The trustees, who are also the directors of The Haflinger Society of Great Britain for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of The Haflinger Society of Great Britain (the charity) for the year ended 31 August 2025.
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.
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.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The Haflinger Society of Great Britain is a private company limited by guarantee incorporated in England and Wales. The registered office is Park Farm, Moorgate, Blickling, Norwich, NR11 6PU, England.
The financial statements have been prepared in accordance 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 is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
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 financial statements have been prepared under the historical cost convention. 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.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
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. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources.
All expenditure is inclusive of irrecoverable VAT.
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:
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.
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The charity 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 charity's balance sheet when the charity 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.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Income from charitable activities
Haflinger breed shows
Registration fees & passports
Inspection income
Sale of Points Books
Online dressage
Income from other trading activities
Haflinger breed shows
Registration fees
Inspection costs
Merchandise for sale
Insurance
Advertising and website
Printing, postage and stationary
Subscriptions
Sundry expenses
AGM & committee meeting costs
Support costs and governance costs have all been allocated to the only charitable activity undertaken.
There were no employees during the year (2024 - nil).
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The unrestricted funds of the charity comprise the unexpended balances of 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.
There were no disclosable related party transactions during the year (2024 - £nil).