Page 32 - ALG Issue 3 2023

low priority and suggest they go for a devolved management route to stop the increase.
A NAS has a webinar to explain processes, advantages/disadvantages.
S In order to benchmark the council rent, can the rent be shown on the database?
TREASURERS REPORT – YEAR ENDED JANUARY 2023
Although the Accounts for the year ended 31st January 2023 still show a stable and healthy financial position, the results for this period indicate that the organisation has been affected by the cost-of-living crisis and inflationary pressures caused by the war in Ukraine. Income has held up well at £492k, compared to £486k in 2022 with affiliate fees up nearly 4%. Seed income commission is down by 10% but still well above pre-pandemic levels.
Costs are considerably up in 2022. If you discount the revaluation of our investment portfolio, costs are £521k compared to £389k
in 2022. However, it is important to point out that costs were much lower in 2022 due to cancellation of shows, curtailment of activities in the regions and reduced management expenses due to enforced restrictions. Salaries are up by some 19% which reflects cost-of-living increases and the important addition of our Research and Development Officer employed on special projects to move the organisation forward. Many other areas of expenditure have been affected by inflationary pressures.
The overall result is a deficit of £46k including a downturn of nearly £18k on our investments revaluation. The Management Committee, in the circumstances, are focusing their efforts on enhanced income streams as well as looking
critically at all expenditure.
As mentioned in previous reports, we have completed a review of our banking facilities and have switched bankers to the Co-operative Bank who have been operating as an ethical bank for 150 years. They have been given the best ESG rating of any UK High Street Bank and crucially don’t invest in fossil fuels.
We have recently made an investment in
an Ethical Fund and are committed to this agenda as long as it is in the interests of the organisation and its members. There are
tax implications of switching monies from
our existing investments but these will also
be reviewed and switches considered if appropriate and as long as our new investment is performing satisfactorily.
Finally, I would like to thank all those at Head Office for their support in producing information and looking after the day-to-day running of the finances.
Jeff Davies, Treasurer
ATTENDEES QUESTIONS, ANSWERS
AND STATEMENTS ABOUT THE
FINANCE REPORT
S It was difficult to understand the accounts because it looked as if admin had gone up 50% as it included the increase within the gain/loss in investments. It would be better to take it out for a better view.
A The accountants produce it this way.
S Investment in R&D but cannot quantify it. S Affiliation fees 4%, commission on seeds down 10% but still 15% above pre-pandemic. Training was mainly webinars.
S Salaries biggest cost with 19% increase which is cost-of-living increase, R & D Officer and marketing and promotions.
S Working on getting the deficit eradicated. S Tangible assets (under fixed assets) are the premises.
S Changed banks with £250K invested in ethical funds.
Are the problems with the Co-op Bank a thing of the past?
A Due diligence was done, and the Co-op came up as number one on the list.
Why revalue property assets at 2% per annum?
A The accountants devalue it.
Are the employees full time equivalent or numbers?
A 3 full time, 5 part time employees so the 8 covers the number of employees not the full time equivalent.
Showing a deficit of £50K – how is that going to be rectified?
A A slide showing an increase in membership fees from 1 February 2024 was shown. Proposal put forward by Treasurer on behalf of the Management Committee. Proposed new rates are below:-
Associations – increase of 25p.
Individuals – increase of £2.
Local Authorities - increase of £45 Landowner - increase of £5 Schools - increase of £15
The Governance Committee was asked why wasn’t due process followed on the membership fee increase and why wasn’t it on the agenda?
A This was presented to the Governance Committee on 17th April and amendments were suggested to the Management Committee and presented at the May meeting.
S We will lose town councils and parish councils with this increase.
S Increase for associations too low.
S Schools increase unrealistic, and we will lose them.
S A motion should be put to the members (especially those not here) as it feels like this is being shovelled through.
S We need extra benefits to allow for the increase.
S Learning points; do not leave 14 years for the next increase.
ACCEPTANCE OF MEMBERSHIP INCREASE
Not accepted – 127. All members voted for
the proposal to go back to the Governance Committee and all the members for a vote on the proposed increase. The others thought the vote did not go through because Wyn Marshall ended by saying a vote on whether the proposal needed to be voted on, did not need to take place and the matter was dropped.
ACCEPTANCE OF THE ACCOUNTS
YEAR END 2023
Accepted – 125, Not Accepted – 1, Abstain – 1
APPOINTMENT OF ACCOUNTANTS
Accepted - 126, Abstain – 1
VOTE FOR INSPECTION OF ACCOUNTS RATHER THAN AUDIT
Accepted – 126, Abstain – 1
NOMINATIONS AND AWARDS
Paul Howgill was elected as the regional representative for East Midlands for another full term (3 years).
Tom Terrence was elected as the regional representative for West Midlands for another full term (3 years).
Ray How was elected as the regional representative for Eastern for another full term (3 years).
Phil Gomersall was elected as the president for another full term (3 years).
Keith Meakin was elected as a member of the Governance Committee for full term (3 years).
Chairman Tom Terrence presented the awards.
Jeff Barber was awarded an Honorary Life Vice President Membership, nominated by the London Region with a recognition tribute by Terry Dickinson.
Ron Jones was awarded an Honorary Life Vice President Membership, nominated by the Governance Committee with a recognition tribute by Libby Earle.
32 Allotment and Leisure Gardener