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Integrated Annual Report 2017

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Integrated Annual Report 2017 Integrated Annual Report 2017 For the year ended 31st March 2017 Sustainable stewardship Integrated Annual Report For the year ended 31st March 2017 Presented to Parliament pursuant to Section 2 of the Duchies of Lancaster and Cornwall (Accounts) Act 1838 2 3 Welcome Isles of Scilly Sustainable stewardship This Integrated Annual Report summarises activity on the Duchy of Cornwall Estate for the year ended 31st March 2017 and aims to describe how our ‘integrated thinking’ has developed since we first addressed this The Duchy is a private estate that provides an two years ago. Integrated thinking means considering how our decisions income to The Duke of Cornwall. It is affect communities and natural environments in the course of meeting our commercial responsibilities. managed in harmony with The Prince’s ethos in order that it can be passed on with pride 4 REVIEW OF THE YEAR Integrated thinking to the next generation. 4 The year in brief We have always aimed for integrated thinking at the Duchy estate. Our ambition is to show how this is applied systematically across the 6 STRATEGIC REPORT estate to optimise financial results, add value in 6 The Duchy of Cornwall our communities, and enhance the Duchy 8 Tour of the Duchy estate estate’s living legacy of landscape and waters. 10 From the Secretary and Keeper of the Records 12 How we work Integrated reporting 14 External context Our 2014/15 Annual Report was an initial 16 Strategic objectives and key performance indicators step towards integrated reporting <IR>. It was 18 The Duchy estate’s material risks informed by the International <IR> Framework 20 Key stakeholders and their priorities developed by the International Integrated 22 Creating value for… Reporting Council, and reflected discussions about our mission and strategy with our staff and key stakeholders. We summarised our 34 GOVERNANCE business model, provided an overview of strategic 36 The Prince’s Council and Committees objectives, outlined the key factors influencing 38 Governance in action performance and described our governance 40 Other disclosures structure in more detail. 41 Proper Officers’ report In our 2015/16 Annual Report, we built on this 42 Principal financial risks and uncertainties work by providing more information on strategic risk and by describing our capitals – the financial 44 ACCOUNTS and non-financial resources we produce and use. 44 Independent auditor’s report to This included the initial results from a corporate The Duke of Cornwall natural capital account that we had produced, 46 Group Revenue Account Statement of which was one of the first large-scale applications Comprehensive Income of this method in the UK. We also considered 47 Group Capital Account Statement of Comprehensive Income how our strategic objectives align with the UN 48 Group balance sheet Sustainable Development Goals, launched in September 2015. 49 Duchy of Cornwall balance sheet 50 Group statement of changes in capital and reserves This year we complete our transition to a fully 51 Duchy of Cornwall statement of changes integrated report. We have developed our in capital and reserves reporting on our stakeholders, their priorities, 52 Group statement of cash flows and how we create value for them. We have 53 Duchy of Cornwall statement of cash flows expanded the section on the external context in 54 Notes to the financial statements which we operate and we discuss progress on key 82 Treasury consents and Appendix performance indicators for our strategic objectives. 86 The Duchy of Cornwall estates www.duchyofcornwall.org Duchy of Cornwall Integrated Annual Report 2017 Duchy of Cornwall Integrated Annual Report 2017 4 REVIEW OF THE YEAR The year in brief REVIEW OF THE YEAR 5 DECEMBER 2016 Review of the year Cadets from Truro mark the 75th anniversary of the RAF Air Training Corps by planting trees in Duchy estate woodlands. Thirteen cadets aged A small selection of the many initiatives, events and visits that made up between 12 and 17 years old from 730 Squadron another busy year across the Duchy estate. planted 50 donated trees in Ladock Wood. They included silver birch, hornbeam, wild cherry, oak and rowan trees. JANUARY 2017 The Prince’s Countryside Fund awards £44,000 to the Dartmoor Hill Farm Project, which was set up to ensure SEPTEMBER 2016 a viable future for Dartmoor farmers. It offers advisory The Duke and Duchess services on legislative changes, grant schemes and land of Cambridge make their management, as well as bringing the farming community first joint trip to the estate. together and keeping them updated on key issues. Their visit includes Cornwall and Churchtown Farm on St. Martin’s in the Isles of Scilly to see flower packing. MAY 2016 Twenty-eight homes OCTOBER 2016 and businesses in rural Her Majesty The Queen visits Herefordshire benefit Poundbury with The Duke from full-fibre gigabit- of Edinburgh, The Prince of capable broadband, Wales and The Duchess as part of a community of Cornwall to mark the project we enabled. completion of Queen Mother FEBRUARY 2017 Square. The square is the The Prince of Wales visits central hub of Poundbury The Prince of Wales pub and Her Majesty unveiled a on Ham Hill to meet local statue of The Queen Mother business owners from North by sculptor Philip Jackson. Street Farm Workshops. The workshops were set MARCH 2017 up by the Duchy in 1980 The Prince’s Trust supported the sixth annual to support new start-ups Get Into Woodlands course for young people, hosted NOVEMBER 2016 and local businesses. on the Duchy’s Herefordshire estate. The six-week Archaeologists discover a new monument on the site of the Neolithic/Bronze Ham Hill in Somerset has course provides practical skills and experience, Age stone circles known as the Hurlers, on Bodmin Moor in Cornwall, part been part of the Duchy of including work placements, to boost the participants’ of the Duchy estate. The five-day excavation was undertaken by the Cornwall Cornwall estate since 1421. confidence and improve their employability. Archaeological Unit, which believes the stone was probably brought to the site by early humans and may have marked the head of a processional avenue. Duchy of Cornwall Integrated Annual Report 2017 Duchy of Cornwall Integrated Annual Report 2017 6 STRATEGIC REPORT The Duchy of Cornwall The Duchy of Cornwall STRATEGIC REPORT 7 Strategic Report 2016/17 highlights DISTRIBUTABLE COMMITMENT Founded in 1337, the Duchy of Cornwall is a private ASSETS SURPLUS TO FARMERS estate of approximately 53,300 hectares in 23 counties of England and Wales. Investment Average length up 1.6% property valuation of equipped farm to business tenancy is £20.7m up 10m See page 23 21 years to £913m Through sustainable, commercial management of land and property, the Duchy estate provides an See key performance See page 11 indicators on page 17 income to the present and future Dukes of Cornwall. DIRECT CARBON and Creating value EMISSIONS for tenants on page 24 Our approach RECREATION The Prince of Wales is the 24th Duke of Cornwall and is actively involved in running the Duchy. The way in which the estate is managed reflects his belief that economic and social development will best 53% CHERISHING succeed when it works in harmony with nature and is of meaningful value to the local community. reduction on THE ESTATE baseline £6m The aim is to improve the estate and pass it on in a stronger and better condition, which means See Carbon report The value of free continually pursuing a well-balanced commercial, social and environmental performance. on page 84 visits made by the £31.3m public to mountains, Five-year capital moor, heath and investment plan RENEWABLE coast across the See key performance ENERGY Duchy estate indicators on page 17 See Creating value HISTORY AND CONSTITUTION MW for the environment 3,459 on page 30 NEW HOMES of renewable energy AND JOBS installed capacity The Duchy of The estate is The Charter ruled The Duke of across the estate TREE PLANTING new homes Cornwall was created governed by the that each future Cornwall has no See key performance 60 in 1337 by Edward original Charter and Duke of Cornwall access to the Duchy’s indicators on page 17 and new III to provide an Duchy of Cornwall would be the eldest capital value and 362 income for his son, Management Acts surviving son of the pays income tax on 54,000 jobs at Poundbury in 2016; Prince Edward. 1863 to 1982. Monarch, who is also the annual revenue TENANT trees planted heir to the throne. surplus that he receives SATISFACTION this year 1,428 homes from the Duchy. See Creating value for the environment and 2,338 90% on page 30 jobs since overall satisfaction development started amongst residential See key performance tenants indicators on page 17 See Creating value and Creating value for for tenants on page 24 communities on page 26 Dartmoor Duchy of Cornwall Integrated Annual Report 2017 Duchy of Cornwall Integrated Annual Report 2017 8 STRATEGIC REPORT Tour of the Duchy estate Tour of the Duchy estate STRATEGIC REPORT 9 Tour of the Duchy estate The Duchy of Cornwall estate extends across 23 counties in England and Wales. 4 5 6 The map highlights a number of examples from the varied portfolio. DUCHY OF CORNWALL DUCHY OF CORNWALL WATERS HOLIDAY COTTAGES NURSERY Lostwithiel Including the Dart, Salcombe and We have a small number The nursery opened its doors Kingsbridge, Avon, Tamar, Looe, of period properties available as to the public in 1975 and includes Helford and Camel estuaries and holiday cottages. a renowned café. coastal foreshore around Cornwall and the Isles of Scilly. 7 8 9 DARTMOOR AND LLWYNYWERMOD POUNDBURY 8 12 13 PRINCETOWN The Welsh home of Their Royal The urban extension to Dorchester Most of Dartmoor’s 27,300 hectares Highnesses The Prince of Wales and Poundbury is built on principles 15 have been part of the Duchy estate The Duchess of Cornwall.
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