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Annual Report and Accounts 2005-06

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Annual Report and Accounts 2005-06 CONTACT DETAILS WATERWAYS BRITISH Head Office Customer Service Centre Willow Grange, Church Road, Willow Grange, Church Road, Watford WD17 4QA Watford WD17 4QA T 01923 226422 T 01923 201120 ANNUAL REPORT & F 01923 201400 F 01923 201300 PUBLIC BENEFITS [email protected] FROM HISTORIC WATERWAYS BW Scotland Northern Waterways Southern Waterways British Waterways ACCOUNTS 2005/06 Canal House, Willow Grange ANNUAL REPORT & ACCOUNTS 2005/06 Applecross Street, North West Waterways Central Shires Waterways Church Road Glasgow G4 9SP Waterside House, Waterside Drive, Peel’s Wharf, Lichfield Street, Watford T 0141 332 6936 Wigan WN3 5AZ Fazeley, Tamworth B78 3QZ WD17 4QA F 0141 331 1688 T 01942 405700 T 01827 252000 enquiries.scotland@ F 01942 405710 F 01827 288071 britishwaterways.co.uk enquiries.northwest@ enquiries.centralshires@ T +44 1923 201120 britishwaterways.co.uk britishwaterways.co.uk F +44 1923 201300 BW London E [email protected] 1 Sheldon Square, Yorkshire Waterways South West Waterways www.britishwaterways.co.uk Paddington Central, Fearns Wharf, Neptune Street, Harbour House, West Quay, www.waterscape.com, your online guide London W2 6TT Leeds LS9 8PB The Docks, Gloucester GL1 2LG to Britain’s canals, rivers and lakes. T 020 7985 7200 T 0113 281 6800 T 01452 318000 F 020 7985 7201 F 0113 281 6886 F 01452 318076 ISBN 0 903218 28 3 enquiries.london@ enquiries.yorkshire@ enquiries.southwest@ Designed by 55 Design Ltd britishwaterways.co.uk britishwaterways.co.uk britishwaterways.co.uk Printed by Taylor Bloxham July 2006 East Midlands Waterways South East Waterways The Kiln, Mather Road, Ground Floor, 500-600 Witan Gate, Newark NG24 1FB Milton Keynes MK9 1BW T 01636 704481 T 01908 302500 F 01636 705584 F 01908 302510 enquiries.eastmidlands@ enquiries.southeast@ britishwaterways.co.uk britishwaterways.co.uk Wales & Border Counties Waterways West Midlands Waterways Navigation Road, Albert House, Quay Place, Northwich CW8 1BH 92-93 Edward Street, T 01606 723800 Birmingham B1 2RA F 01606 871471 T 0121 200 7400 [email protected] F 0121 200 7401 enquiries.westmidlands@ britishwaterways.co.uk Waterway Map This document is printed on Greencoat Velvet Plus and Cyclus Offset. Greencoat is 80% recycled, 20% pulp from sustainable sources and has been awarded the NAPM and Eugropa recycled marks. Cyclus Offset is 100% de-inked post consumer recycled waste and has been awarded the NAPM. The document has been printed using soya based inks. CONTENTS 02 Our Vision 32 Corporate Responsibility 04 Chairman’s Statement 34 Our People 06 Chief Executive’s Statement 36 Communities 10 Business Review 38 Resource Efficiency 12 Managing Our Waterways 40 Openness and Accountability 16 Environment and Heritage 42 Finance Review 18 Leisure 48 Review of Scotland 22 Customer Satisfaction 54 Board Members & Executive Directors 24 Regeneration 57 Accounts 30 Business Services 101 Map and Contact Details OUR FINANCIAL RESULTS Consolidated financial highlights £m 2005/06 2004/05 restated Trading income 99.9 88.7 Restoration and third party funding 14.5 17.0 Government grants 76.1 73.4 Total revenue 190.5 179.1 Total expenditure (190.1) (186.5) Operating profit/(loss) 0.4 (7.4) Share of operating profits and losses of associates and joint ventures 7.7 1.1 Profit on sale of investment properties 11.5 14.8 Profit on sale of other fixed asset investment 3.5 - Net interest payable (2.1) (3.0) Other finance expense (0.7) (0.5) Profit for the financial year before taxation 20.3 5.0 Taxation (6.8) (2.7) Profit for the financial year after taxation 13.5 2.3 Average number of employees 1,926 1,935 BW Group comprises the British Waterways Board (BW) and those subsidiaries incorporated to act solely on behalf of, and for the benefit of, British Waterways. British Waterways is a public corporation accountable to the Minister for Inland Waterways, England and Wales: Department for Environment, Food and Rural Affairs in England Barry Gardiner MP (from May 2006) and Wales, and the Scottish Executive in Scotland. We manage Jim Knight MP (until May 2006) a 2,000-mile long, 200-year-old network of canals and rivers. Minister for Transport and Telecommunications, Scotland: Tavish Scott MSP (from June 2005) Nicol Stephen MSP (until June 2005) Front cover image: A family enjoy a meal at the Foxton Locks Pub, the first in our new waterside pub venture. OUR VISION Our ambition is that by 2012 we will have created an expanded, vibrant, largely self-sufficient waterway network used by twice as many people as in 2002. It will be regarded as one of the nation’s most important and valued national assets. Visitors will be delighted by the quality of the experience and as a consequence many will become active participants. We will achieve this by an absolute focus on and commitment to our customers. By researching and listening to the wide range of people who visit our waterways, and the many people who run waterside businesses, we will understand their needs, and deliver what they want. 02 OUR VISION The delight of watching boats cruise along the historic Grand Union Canal at Hatton. MEASURING SUCCESS How we measured our success in 2005/06* • Making our waterways vibrant and valued, so we double visitor Steady visitor numbers as planned, see page 18 numbers by 2012 (compared to 2002 figures) • Providing visitors with an experience which will delight them, Positive increases in customer satisfaction levels so they are encouraged to become active participants and and public perception, see page 23 appreciate waterway heritage, wildlife and traditions • Eliminating the backlog of statutory maintenance arrears and Substantial progress towards reducing maintenance meeting targets for water availability and quality so that arrears, see page 12 waterways are safe and reliable to use Good water availability, see page 12 • Growing our businesses and services, so they enhance customer Promising developments for leisure business, see pages satisfaction, as well as help deliver greater self-sufficiency 18-21 and property business, see pages 24-27 • Developing our culture to improve safety, openness and Improvements in corporate responsibility areas, accountability, sustainability, commercial awareness and see pages 32-41 customer service, so we can better serve our stakeholders • Completing our restoration schemes, so that they deliver more Major involvement in high profile regeneration, see pages 26-27 opportunities to visit waterways and create wider public benefits Excellent progress towards restoration, see pages 28-29 such as access to heritage, jobs, tourism and regeneration • Proactively working with government and partners, so we deliver Delivering good value, see examples throughout the report exemplar public service which is good value for money * Performance measures stated in the Annual Report & Accounts 2004/05 Success over 2006/07 will be measured by our progress towards: • Improving customer satisfaction and growing visitor numbers • Providing a safe environment for our people, contractors and visitors • Making a major contribution to regeneration in both urban and rural communities • Maintaining a safe and reliable infrastructure • Developing our people and increasing job satisfaction levels • Delivering greater self-sufficiency We could measure success in many different ways given the wide Greater financial self-sufficiency means that we will strive to range of social, economic, environmental, heritage and educational maximise the financial contribution from our commercial activities benefits we deliver. However, we believe visitor numbers reflect and improve our efficiency in running and maintaining the core how well we maintain the infrastructure, environment, heritage and waterway network. Greater net income will be generated by the culture of the waterways. That is why we have made doubling the expected increase in visitor numbers together with significant number of waterway visits our prime objective. growth in the contribution from our commercial activities. We know that our waterways act as an effective catalyst for urban and rural regeneration. We see and plan the change in waterway corridors well ahead of others and we often pioneer regeneration. We will continue to work closely with local, regional and central government to harness their resources to enable our waterways to deliver increasing social and economic benefit to local communities. Through our property estate and joint venture companies we will develop exemplar mixed use brownfield waterside developments that optimise their relationship with the waterways. OUR VISION 03 PUBLIC BENEFITS FROM HISTORIC WATERWAYS Britain’s waterways are a vital part of our national heritage and environment. In my first year as chairman I feel a real sense of pride to have joined such a quality organisation so committed to delivering public benefit from a wonderful historic asset. The challenge for the Board and the management is to ensure that we protect what is best from the past, and also make our waterways relevant to the widest numbers in society, today and for years to come. Canals were tremendous technological inventions, they were part of radical social and economic change that forged the modern industrial world. Today society is still changing, lifestyles are evolving, technology is different, the environment is altering. We respond to these changes by ensuring our waterways are relevant and remain capable of delivering public benefit across a wide geographical and social spread. Indeed our waterways are probably the single greatest catalyst for urban and rural regeneration in the UK enriching many people’s lives. 04 CHAIRMAN’S STATEMENT Out and about on one of our historic waterways, chairman, Tony Hales learns more about Stourport Basin from moorings officer, Helen Underhill. CHAIRMAN’S STATEMENT • contributed to the regeneration agenda across the country through partnerships that leverage our assets and skills We depend for nearly half our costs on financing from the public while limiting our risks through a series of joint ventures.
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