The Physiological Society Annual Report and Accounts for the year ended 31 December 2009
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Annual Report and Accounts for the year ended 31 December 2009
Review of the year
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Our activities
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Governance
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Treasurer’s statement
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Independent auditors’ statement
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Statement of financial activities
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Balance sheet
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This is the Trustees’ Annual Report and Accounts for the year ended 31 December 2009 for The Physiological Society. In preparing this report the Trustees have complied with the Charities Act 1993, the Accounting and Reporting by Charities: Statement of Recommended Practice (Revised 2005) (‘SORP’) applicable accounting standards, and also the Companies Act 2006. The Physiological Society was incorporated by guarantee on 27 January 1937 under number 323575. It has no share capital and is registered with the Charity Commission for England and Wales under number 211585. The liability of each Member is limited to £1. The governing document is the Memorandum and Articles of Association of the Company and the members of the Council of Trustees are the Directors of the Company.
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Review of the year
Introduction I am pleased to report that 2009 was another successful year for The Physiological Society, which has continued to increase its membership, its activities and the support it provides for physiology and physiologists. Since this will be my last report as President, I would like to take the opportunity to thank all the Trustees for their hard work, in particular Prem Kumar, who will be standing down as Meetings Secretary in July 2010. I would also like to thank our staff in the London and Cambridge offices on whose expertise and professionalism we rely and, in particular, Mike Collis who will be stepping down as Chief Executive in July, to whom The Society owes much. I hope you enjoy reading this report and encourage your comments and feedback. Clive Orchard, President of The Physiological Society
Physiology is the science of how humans and other animals function in an integrated way and is the basis for many biological and clinical sciences. The Physiological Society was founded in 1876 and is a learned society with over 2,900 Members (including 14 Nobel Laureates) and Affiliates (younger scientists) drawn from 60 countries. The majority of Members are engaged in research, in universities or industry. The Society’s charitable objects are to ‘promote, for the benefit of the public, the advancement of physiology, and facilitate the intercourse of physiologists both at home and abroad, and thereby contribute to the progress and understanding of biomedical and related sciences and the detection, prevention and treatment of disease, disability and malfunction of physical processes in all forms of life.’ The Society’s main strategic objectives are to: • Support physiological research through publications and scientific meetings • Support education in physiology • Communicate the importance of physiology • Support our membership and maintain our operations Through supporting physiology education and research, The Society’s work benefits the health of the population and facilitates the prevention and treatment of disease. 2
Review of the year
Review of the year This Annual Report illustrates the wide range of charitable activities we undertake to support our Members and physiologists around the world.
Meetings The Society runs a variety of scientific meetings for physiologists to share information and discuss new discoveries. Despite the adverse economic climate, attendance at our Meetings increased slightly in 2009. Another positive sign was an increase in the abstracts submissions, which suggests that more of those attending are actively participating in our Meetings.
Despite the current financial climate, the commercial performance of our journal publications has allowed us to carry out and expand our activities, supporting physiology research and education. Journals
We have continued our series of public workshops focusing on the contribution of physiology to health and wellbeing with successful events highlighting the progress and benefits of neuroscience and brain research. Public lectures held at our Main Meeting are now available for all to view on our website.
A major activity of The Society is publishing high quality research papers and reviews to disseminate advances in scientific knowledge. Our two journals are highly regarded by the scientific community and have maintained their rankings this year. Our journals are also the main source of our income which we use to support our activities. Consistent with our charitable objects, institutions in designated developing countries are granted immediate free access to all our journal content. Elsewhere we allow immediate access to review articles and free access to all content one year after publication.
Manchester will be the venue for our Main Meeting in 2010 and we will also be running Themed Meetings as well as participating in a joint meeting with the German and Scandinavian Societies. The Society’s bid to host the 37th IUPS congress in Birmingham in 2013 was endorsed this year and we are
Young scientists at Brain Awareness Week
Poster session at Physiology 2009
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Review of the year
Delegates at the YPS in Leicester
Conference dinner at Physiology 2009 in Dublin
already planning for this major event which will be an increasing focus of our work over the next three years. We are planning a Joint Meeting on exercise and sport to coincide with the 2012 Olympics in collaboration with partners including the British Pharmacological Society.
monthly newsletter in 2009. This has proved popular and is being read by over 1,000 Members each month. Another innovation has been the introduction of a Society Facebook page which has proved popular and has attracted over 700 fans. The Annual General Meeting is the traditional forum where Members can express their views and provide feedback directly to the Trustees. Following agreement at the AGM, in 2010 we will be increasing the time available for Members’ questions and comments.
Membership We have successfully increased our membership in all categories during 2009 and it is particularly encouraging that over 40% of our membership are under 40 years of age, a figure that augurs well for the future of The Society. All of our Members benefit from reduced or free access to our Meetings and publications and can apply for a variety of grants to support attendance at scientific meetings, vacation research projects and seminar schemes.
Education The Society aims to inspire the next generation of physiologists by supporting education in schools, universities and research institutes. We provide free resources for teachers as well as careers advice and practical training courses for students.
Travel grants are of particular value to our younger Members and we increased the amount we provide this year and extended these for the first time to undergraduates.
New initiatives this year included outreach grants to promote physiologists’ involvement with educational outreach activities and an agreement to sponsor a mobile teaching laboratory (Lab in a Lorry) to visit schools in 2010. New Techniques Workshops will be
Good communication with our membership remains a priority and we introduced a 4
Review of the year
introduced in 2010 and we will pilot our new web-based teaching resource Philter.
(BSF). The BSF has now merged with the Institute of Biology to form The Society of Biology. We will be active participants in this new society as a member organisation and will review its performance and value as it develops.
We work with other learned societies to organise career fairs and contribute to Practical Biology, a web-based resource for schools. We encourage and support young physiologists to organise their own scientific meetings and four were held in 2009.
Five Year Plan One of the major activities of the Council of Trustees this year has been developing a five year plan for The Society. Each committee evaluated its activities and identified ambitious goals to expand and develop for the future. A key strategic goal in the coming years will be to align some activities more closely with clinical and translational science and to this end we are actively seeking opportunities to collaborate with The Academy of Medical Sciences.
Good research informs and enlivens good teaching and The Society will recognise the importance of academic teaching by a teaching symposium at our Main Meeting, awarding a teaching prize and running teaching workshops in 2010. Finances The Society is in good financial health with an increased income from publishing. Our expenditure in 2009 reflected our charitable objectives with publications, scientific meetings, membership services and education accounting for 93% of outgoings. Staff costs and numbers were held at 2008 levels. Our free reserves fell in 2008, but have recovered well in 2009.
We also wish to increase our outreach activities and to do more to demonstrate the importance of physiology to the public, as well as to those in the government and in educational establishments. With this in mind, we will recruit a media relations and communications specialist. A key organisational objective over the next five years is to purchase or rent office accommodation which can house all Society staff with the potential for additional facilities for Members.
Partnerships Where we have common aims we work with other learned societies. We collaborated with the British Pharmacological Society by holding a Joint Meeting on Integrative Physiology and Pharmacology and supporting in vivo training courses. In 2010 we will be collaborating with the BPS and the NC3Rs centre to hold a joint meeting.
Mike Collis, Chief Executive
For a number of years we have provided major financial support to the Biosciences Federation 5
Review of the year
Prize and Plenary Lectures supported by The Society in 2009
The Physiological Society awards a number of Prize Lectures each year. The Lectureships have been instituted at various times in The Society’s history, and many owe their existence to the generosity of donors. Prize Lectures play an important role in The Society’s commitment to advancing and promoting the physiological sciences for the benefit of the public.
Gero Miesenböck (centre) with Richard Ribchester and Louise Robson
Diethelm Richter (right) with David Paterson
Colin Nurse (centre) with Prem Kumar & Jeremy Ward
Mark Boyett
Gavin Stewart (left) with Nicholas Simmons
Eric Kandel (left) with Mike Spyer
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Review of the year
Paton Prize Lecture Diethelm W Richter (George August University, Germany) Pacemakers and the dynamic plasticity of rhythm generation in the in vivo respiratory network Michael de Burgh Daly Lecture Colin A Nurse (McMaster University, Canada) Neurotransmitter and neuromodulatory mechanisms at peripheral arterial chemoreceptors The Physiological Society Public Lecture Stephen O’Rahilly (University of Cambridge) My genes made me eat that! Is fatness inherited? Annual Review Prize Lecture Stephen G Waxman (Yale University, USA) Fire, phantoms and fugu: Sodium channels from squid to clinic Bayliss-Starling Prize Lecture Gero Miesenböck (University of Oxford) The beginnings of optogenetics Stephen O’Rahilly delivered the Public Lecture duing Physiology 2009 at University College Dublin
The following were awarded in 2008 but delivered in 2009. Biller Prize Lecture Gavin Stewart (University College Dublin) The physiological roles of urea transporters Hodgkin-Huxley-Katz Prize Lecture Eric Kandel (Columbia University, New York) On the persistence of memory storage GL Brown Prize Lecture Mark Boyett (University of Manchester) And the heart beat goes on 7
Our activities
Our activities A charitable organisation is legally required to demonstrate that its aims are for the public benefit. The charitable objects of The Society are the advancement of science, the advancement of health and the advancement of education and these aims are at the centre of all The Society’s activities. The major activities we undertake to achieve our charitable objects are Publishing, Events (Scientific Meetings), Membership services, Education, External relations, and Resources, administration and infrastructure. Public Benefit The benefits provided by The Society are the publication of scientific journals, the holding of meetings and conferences to disseminate advances in physiology, the provision of educational materials relating to physiology including the provision of grants to support attendance at scientific meetings, educational activities and training courses and information to the public and in response to consultations. We support our Members who conduct research, providing that this is within the principles of UK legislation. The beneficiaries of The Society include those involved in research, teaching or studying physiology; as well as members of the public who ultimately benefit from physiological advances that promote health and treat disease. Some benefits are restricted to Members of The Society who are scientists or scientific trainees. These benefits (e.g. grants to present work at scientific meetings) are not relevant to the public. Benefits such as educational materials, publications and outreach events are available to all.
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Our activities
Publications
The Society publishes original scientific literature online and in print in its two highly regarded journals, The Journal of Physiology and Experimental Physiology, through our publisher Wiley-Blackwell. The journals are also published online on HighWire Press.
The Journal of Physiology and Experimental Physiology ranked at 7th and 28th, respectively. In 2009 The Journal of Physiology held eight sponsored symposia at international meetings across the globe, including two at the IUPS 2009 meeting in Kyoto. Experimental Physiology launched an Early Author Prize which attracted 27 entries from young physiologists which will continue in 2010.
The Society’s quarterly magazine Physiology News provides Members with a wide range of articles prepared by Members, staff and physiologists, as well as Society information and other related activities.
In 2010 The Journal of Physiology will publish virtual issues containing themed past papers and will also launch an author prize. Both journals will introduce non-technical summaries of research papers aimed at students and readers with a moderate knowledge of science and will actively promote the research, where appropriate, with press releases on important new developments.
In 2009 The Journal of Physiology published 24 issues containing high quality research papers in all branches of physiology alongside a range of invited reviews in new and exciting areas as well as commentaries providing expert opinion on the best of the research content. Experimental Physiology published 12 online and six print issues containing high priority research articles in all aspects of physiology with a focus on translation and integration alongside other invited content written by experts in fields of current high interest. In 2009 submissions to Experimental Physiology rose for the 6th year running and the journal increased in size by 20% to 1,200 pages while maintaining its rigorous review criteria.
Key achievements in 2009 • Journal of Physiology – Continued rise in impact factor; established a mechanism for improving visibility • Experimental Physiology – Increased page budget; introduction of an Early Career Author Prize Key goals for 2010 • Journal of Physiology – Encouraging submissions through virtual issues and author prize; improve visibility through non-technical summaries and press releases • Experimental Physiology – Attract young physiologists through promotion of an Early Career Author Prize; increased use of social media and introduction of nontechnical summaries
The impact factor (a measure for ranking journals according to the number of times their articles are cited in later publications) of The Journal of Physiology increased very slightly to 4.65 (2008: 4.58) with the half life of articles rising to 9.5 years (2008: 9.2). The impact factor of Experimental Physiology dropped slightly to 2.91 (2008: 3.014). There was little change in the performance of the journals in the physiology list with 9
Our activities
Events (Scientific Meetings)
In 2009 both attendances and free communications increased at our Main and Themed Meetings. The Society’s Main Meeting, Physiology 2009, took place in July at University College Dublin, attracting over 700 scientists from across the world who viewed over 350 free communications.
and each scientific Theme will be represented. Three Themed Meetings will be held in the UK covering Metabolism & Endocrinology, Cardiac & Respiratory Physiology and a special Cross Theme Meeting. In 2009 we held a Joint International Meeting with the Society of General Physiologists in the USA, a joint meeting with the British Pharmacological Society focusing on in vivo research, and hosted our first UK-based International Workshop in London.
We ran three Themed Meetings, covering Human & Exercise Physiology, Epithelia & Membrane Transport and Cellular & Integrative Neuroscience, completing the cycle of all six Themes introduced in 2008. The Society also supported 14 non-Society meetings covering a wide range of physiological topics of interest.
The Society’s bid to host the 37th Congress of the International Union of Physiological Sciences (IUPS) was successfully ratified by the IUPS General Assembly. The operational and scientific planning for this major international
In 2010 our Main Meeting, Physiology 2010, will be held at the University of Manchester,
Scientific Meetings in 2009 Human & Exercise Physiology Themed Meeting King’s College London, 1–3 April Physiology 2009 University College Dublin, 7–10 July Epithelia & Membrane Transport Themed Meeting Newcastle University, 6–8 September Joint Meeting with BPS Integrative Pharmacology and Physiology King’s College London, 1–3 September Joint International Meeting with SGP Woods Hole, USA, 9–13 September Cellular & Integrative Neuroscience Themed Meeting Cardiff University, 14–16 December 10
Our activities
meeting, which we hope will attract up to 5,000 scientists, will start in 2010 with establishment of the scientific programme committees and the launching of the official website. In 2010 The Society will sponsor the Joint Meeting of the German and Scandinavian Societies, to be held in Copenhagen. This meeting is expected to attract around 1,000 participants with The Society funding 13 UKbased speakers. In partnership with the British Pharmacological Society and the Turkish physiological and pharmacological societies, we will run an International Workshop in Ankara, Turkey, which aims to attract 50 early career scientists. Key achievements in 2009 • Increased attendance and abstract submission at Themed Meetings and Physiology 2009 • Successful launch of UK-based international workshop • Confirmation of Birmingham IUPS 2013 bid at IUPS 2009 in Kyoto Key goals for 2010 • Further increases in attendance and abstract submission at Meetings • Establish IUPS 2013 scientific programme committees and launch website • Develop international activities and strengthen links with partners
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Our activities
Education
In 2009 we introduced a number of new educational initiatives and a full-time Education Administrator was recruited to allow us to develop new resources and activities in this area. We launched an outreach grant scheme to promote physiology education at school level. Five outreach grants were awarded in 2009, including funding for Ask a Biologist, a website providing students with an opportunity to pose questions to scientists. In 2010 we will be sponsoring the AIMS Mobile Teaching Unit (MTU), a laboratory in a lorry where students can engage in hands-on physiology demonstrations tailored to cover aspects of the science curriculum.
Life Science Careers Conference
scheme funded 36 undergraduates to work in laboratories of our Members and experience research first hand.
In 2009 we co-hosted another extremely popular Life Science Careers Conference, aimed at undergraduates, and attended Nature Source, a careers event for postgraduates. We will attend both of these again in 2010. Our Vacation Studentship
At postgraduate level, The Society supported three Young Physiologists’ Symposia (YPS) in Dublin, Leicester and Sheffield, as well as a Young Life Scientists’ Symposium (YLS) in Bristol. These events, which promote scientific discussion amongst early career scientists, will run again in 2010. We will continue to support Techniques Workshops in in vivo skills and microelectrode techniques, as well as launching four new workshops on molecular biology and imaging for 2010. To encourage physiology teaching in universities, we supported a teaching symposium and workshop at our Main Meeting. In 2010, we plan to run two teaching workshops. We have continued to develop the Physiologists Image Library and Teaching Resource (Philter), an online resource of
The Sheffield YPS organising committee
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Our activities
Ben Fogle (centre) speaking about his experiences in Antarctica with Alice Roberts (University of Bristol) and Dan Martin (UCL) during the Cheltenham Science Festival. The Society was one of the sponsors of this event.
teaching materials, and a pilot version will be online in early 2010. The David Jordan International Teaching Fellowship was also launched with the aim of developing physiology teaching worldwide.
Key Achievements in 2009 • Launch of outreach and international grant schemes • Sponsorship of YPS and YLS meetings • Development of Philter pilot ahead of 2010 launch
The Society recognises that the majority of Members are engaged in basic research and it is therefore important to support networking and collaboration at a local level. We continue to run the Departmental Seminar Scheme which funded 18 universities in 2009.
Key Goals for 2010 • Organise three visits of the MTU to our schools contacts • Run four new Techniques Workshops in Molecular Biology and Imaging • Publish an updated version of Understanding Life and careers leaflet
New International Research Grant schemes have also been introduced to support and develop international physiological research at all levels. 13
Our activities
External Relations
The Society aims to promote physiology and raise its profile with as wide an audience as possible. This involves running events, lobbying government and other organisations on issues of concern to physiologists, fostering relationships with like-minded organisations and liaison with the media.
The Society worked closely with Sense about Science to support the participation of 18 young physiologists in the Voice of Young Science Programme, enabling them to engage more effectively with the media. We also worked with Sense about Science to support their campaign for reform of the UK Libel Laws adversely affecting freedom of speech in science.
In 2009 we ran successful events during Brain Awareness Week and the British Science Association Science Festival to raise public awareness about the progress and benefits of brain research. In 2010 we will be running a series of events on asthma and cystic fibrosis at three science festivals.
The Society continues to be actively represented on a number of external bodies. We responded to ten major science policy consultations, many in conjunction with the Biosciences Federation (now the Society of Biology). We were successfully involved in a major drive, in co-ordination with a coalition of industry and academia, to influence and secure appropriate revisions to the terms of EU Directive 86/609 on animal research. We will continue to work with the Society of Biology and other organisations on responses to consultations in 2010.
In order to support physiological principles in medical education a core physiology curriculum was drafted with input from our Members. Following consultation with major medical stakeholders, this curriculum will be finalised and circulated in 2010. We also participated in the General Medical Council’s Tomorrow’s Doctors consultation. We will be working with other learned societies on a proposed joint project to create an e-learning resource for medical students.
Key achievements in 2009 • Significant influence on revisions to the terms of the EU Directive 86/609 • A series of public events focusing on brain research • Successful involvement in international capacity building meeting
The Society contributed to a successful meeting about opportunities for learned society involvement in science & technology capacity building in developing countries. A report of this meeting was circulated to the Parliamentary International Development Committee and the World Bank. We are also working with the UK Collaborative on Development Sciences to raise the profile of UK learned societies’ existing capacity building programmes.
Key goals for 2010 • Develop options for an e-learning initiative • Run event on the 3Rs and cardiovascular research in partnership with BPS and NC3Rs • Run a series of events on asthma and cystic fibrosis
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Our activities
The Society ran successful events during Brain Awareness Week The Society ran successful events during Brain Awareness Week.
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Our activities
Membership
In 2009 membership numbers increased in each category with an overall increase of 10% to 2,968. While 63% are Ordinary Members, we now have a growing number of Affiliates and Undergraduates who will hopefully become the Ordinary Members of the future. In 2010 we will introduce a fully automated application process to more easily enable our Affiliates to upgrade to Ordinary membership.
was increased for Ordinary and Affiliate Members and introduced for Undergraduates. 443 travel grants were submitted and, of these, 347 were funded – a 78% acceptance rate. In 2010 we plan to promote schools’ membership to make resources that encourage learning and interest in physiology more readily available to teachers. We will also reintroduce our corporate membership category to forge closer links with industry.
As part of an active recruitment drive in 2009 we visited several universities across the UK and Ireland which also allowed us to engage with, and gather feedback from, our current Members. We plan to continue these activities into 2010. A network of over 60 Society Representatives at universities across the world has been established to promote The Society and foster communication between current and prospective Members. In 2010 this will be developed by providing additional funding to assist Representatives.
Key Achievements in 2009 • 10% increase in membership • Supported first Undergraduate Conference in Physiological Sciences • Introduced travel grant funding for undergraduates • Establishment of women’s mentoring scheme Key Goals for 2010 • 5% increase in membership • Promote schools membership • Introduce automated progression from Undergraduate to Affiliate and from Affiliate to Ordinary or Associate
In 2009 The Society ran the first Undergraduate Physiological Sciences Conference at the University of Oxford. This event, which highlighted developments in physiology research, enabled over 130 undergraduates from 34 universities to present their work and to liaise with senior scientists in an informal setting.
1,874
We also established a new mentoring scheme (in co-operation with the UK Resource Centre for Women in Science, Engineering and Technology) to help address issues of retention of women in physiology, with 10 mentor relationships established.
The total number of Members as of 31 December 2009 was 2,968.
759
Travel grant funding remains the most valued benefit of Society membership. In 2009 the amount of funding available to all Members
246 31 Ordinary
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Affiliate
Associate
Undergrad
Our Activities activities
Resources, administration & infrastructure
Throughout 2009 Trustees, committee members and staff developed a business plan and strategy for The Society, summarising how we should develop over the next five years. The plan looks at all our activities, accommodation and staffing requirements, and sets priorities. A summary version of the plan will be made available to Members in early 2010 for consultation. It is envisaged that the plan will be an evolving document.
Achievements in 2009 • Development of business plan • Improved communications with membership Key goals for 2010 • Publish business plan and open consultation with Members • Recruitment of Media & Marketing Manager
The Trustees have decided that having all of The Society’s staff and activities in one office is the most cost-effective and efficient way to operate. Discussions with consultants are underway to determine whether purchasing or renting new office accommodation is preferable. In 2009 a monthly email newsletter was introduced to highlight Society news and events which is read by over 1,000 Members. We also launched a Facebook page which has proved popular. An increased number of Council and committee meetings are now held at our Scientific Meetings so that Trustees and officers are more visible to Members. Communication with Members continues to be reviewed and at the AGM in 2009 it was agreed to allow more time in future for Members to raise issues of concern and ask questions of Trustees and officers. In 2010 The Society will employ a Media & Marketing Manager to increase the external exposure of The Society and to promote the importance of physiology to a wider audience and range of stakeholders.
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Governance
Governance are satisfied that they give a true and fair view of the state of affairs of The Society and the income and expenditure for that year. In preparing these financial statements, the directors are required to:
Council of Trustees The Trustees are legally responsible for the overall governance, management and policy of The Society, ensuring that the charitable objectives for which it has been set up are met. The Trustees are also the Directors of the company. The Council of Trustees meets three times a year.
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Select suitable accounting policies and then apply them consistently Observe the methods and principles in the Charities SORP Make judgments and accounting estimates that are reasonable and prudent Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business
Elections to the Council take place each year, and any Member of The Society is eligible to stand. The normal length of service on Council is four years. The current size of the Council is 20. Meetings of the Council are chaired by the President.
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Administrative support is provided to the Council and its committees by The Society’s staff based in our offices in London and Cambridge.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain The Society’s transactions and disclose with reasonable accuracy at any time the financial position of The Society and enable them to ensure that the financial statements comply with the Companies Act 2006.
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Trustees’ responsibilities The Trustees, as directors of the charitable company, are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations.
Trustees are also responsible for safeguarding the assets of The Society and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Company law requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).
The Trustees have confirmed that as far as they are aware at the time the report is approved there is no relevant audit information of which The Society’s auditors are unaware, and that they have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that The Society’s auditors are aware of that information.
Under company law the Trustees must not approve the financial statements unless they
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Governance
Trustee induction and training On appointment each Trustee is sent a Trustee Handbook which includes Charity Commission leaflet CC3 and Companies House leaflet GBA1. All new Trustees are invited to attend an external Trustee Training course. In 2009, six Trustees attended a Trustee Training course and two Trustees on the Finance Committee, along with the two invited external members, attended a Charity Finance Directors’ Group Introduction to Charity Finance course.
Executive Committee (l-r): Rod Dimaline, Mike Collis, Jeremy Ward, Clive Orchard, Mike Spyer, Prem Kumar, Louise Robson, Ian McGrath
Trustees have a legal duty to avoid conflicts of interest so that they can focus exclusively on the best interests of The Society. If and when any conflicts of interest arise, Trustees are required to make a declaration to be recorded on The Society’s Register of Interests, which is maintained by the Company Secretary and reviewed by the Council on an annual basis.
day operations of The Society and meets frequently throughout the year. Members are drawn from, and elected by, the Council. The Council can delegate any of its powers to the Executive Committee as it sees fit. The normal term of office on the Executive Committee is four years.
Executive Committee
Committees
The Executive Committee in 2009 comprised: Clive Orchard Mike Spyer Graham McGeown Rod Dimaline Prem Kumar Louise Robson Jeremy Ward Ian McGrath # until July 2009
The Council also has committees and working groups to which it delegates powers, and these groups report back to the Council. Membership of committees is drawn from the Council but also includes other invited members who may be Members of The Society or external.
President Deputy President Honorary Treasurer # Honorary Treasurer * Meetings Secretary Chair, Education C’tee Chair, Ext Rel Policy C’tee Chair, Publications C’tee
Committees are aligned with the various functional groups in the London and Cambridge offices. The main committees are Education, External Relations Policy, Finance, Meetings and Publications,
* from July 2009
The Executive Committee works through the Chief Executive to oversee the day-to-
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Governance
The Finance Committee acts as a reviewing mechanism of all strategic and statutory financial aspects of The Society. It is delegated by Council to oversee all financial aspects so as to ensure The Society’s short and long term ability to achieve its charitable objectives.
Volunteers We could not achieve our charitable objectives without the commitment and hard work of our Members (and some non-Members), many of whom give freely of their time to act as journal editors, committee members and volunteers to support our events and activities. The Society wishes to thank all those who have supported it over the last year.
Management and administration The Society employs a Chief Executive who reports on performance against the strategic and operational plans approved by the Trustees.
Benevolent Fund The Benevolent Fund of The Physiological Society was established in 1976 ‘for the purpose of assisting Members of The Society, staff and former staff (who by the nature of their employment can be considered to have contributed to the advance of physiology) employed at teaching, research and industrial establishments who are in necessitous circumstances, and their dependants.’
The Society has two offices. The Main Office in London provides central direction for all aspects of policy and strategy implementation. The Publications Office in Cambridge supports the publishing activities of The Society, including The Journal of Physiology and Experimental Physiology. Annual General Meeting
Income in 2009 was £4,800, of which £2,900 came from charitable giving, £325 from raffles and the remainder from investment income and bank interest. In 2009, two grants totalling £3,000 were made and £100 of vouchers was given to children of current or recent beneficiaries.
The Society’s Annual General Meeting was held on 9 July 2009 at University College Dublin during the Main Meeting. Minutes of the AGM are available on The Society’s website. Risk management The Trustees have considered the major risks to which The Society is exposed and have reviewed those risks and established systems and procedures to manage them. Financial risk falls within the remit of the Finance Committee. During the year particular attention was paid to the risks associated with banking, insurance, property and the IUPS meeting in 2013.
The Society is connected by virtue of common object and administration with The Benevolent Fund of The Physiological Society (Registered Charity No. 272800) and may be contacted at the registered office of The Society. The Society supports The Benevolent Fund by the provision of employees’ time and administrative resources free of charge.
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Governance
Standing Information The Physiological Society is registered in England as a company limited by guarantee, No. 323575. Registered Charity No. 211585.
Main Office and Registered Office
Peer House, Verulam Street, London WC1X 8LZ Tel: 020 7269 5710 Fax: 020 7269 5720 www.physoc.org
Publications Office
PO Box 502, Cambridge CB1 0AL Tel: 01223 400 180 Fax: 01223 246 858
Chief Executive
Michael Collis
Company Secretary
Simon Kellas
Finance Manager
Casey Early
Auditors
haysmacintyre, 15 Fulwood Place, London WC1V 6AY
Solicitors
Russell-Cooke, 2 Putney Hill, London SW15 6AB
Bankers
Child & Co, 1 Fleet Street, London EC4Y 1BD
Investment managers Bestinvest (Brokers) Ltd, 6 Chesterfield Gardens, London W1J 5BQ Property consultants
Bidwells, Trumpington Road, Cambridge CB2 2LD
Pension advisors
Punter Southall Financial Management Ltd, 126 Jermyn Street, London SW1Y 4UJ
Trustees in 2009
J Ashmore1
S Bolsover2
P de Winter
R Dimaline2
J Dow2
S Egginton2
V Gladwell
J Hanrahan1
S Jones
P Kumar
JG McGeown1
JC McGrath
M
Morrell2
Schwiening1
M Shipston2
C Orchard
C
L Robson
G Smith1
KM Spyer
D Sugden1
A Tepikin1
T Tiffert1
A Trafford2
J Ward
J Winpenny
D Wyllie
M 1
White2
to July 2009
2
from July 2009 21
Treasurer’s statement
Treasurer’s statement The principal funding sources of The Society this year were its publishing income (£3,386,000), events income (£78,000), membership subscriptions (£141,000), and income from The Society’s Investments (£393,000). The expenditure for 2009 has supported the objectives of The Society as set out in the Statement of Financial Activities on page 25 of this report.
A rolling budget will be introduced for approval by the Trustees in May of each year, at a time when a critical element of management information, the Wiley-Blackwell publishing income reforecast, is available. At the same time, the main Committees will be given the opportunity to update their proposed activities in response to the increase (or reduction) in funding availability. The Trustees will be reviewing charitable spend during 2010 with a view to increasing it in light of the additional income available.
For the second consecutive year, The Society experienced a large positive variance in the planned operating surplus yielding total net incoming resources of £773,000. The main contributory factor was a better than expected income from the publisher of our journals.
The Society held freely available income funds of £10,708,000 at the year end. These reserves are held to ensure the long-term viability of The Society, particularly in the event of a serious decline in its publishing income. £9,855,000 is held in investments to generate income to support the charitable activities of The Society for the longer term.
The publishing income was specifically boosted this year by the weakness of sterling; a large proportion of the income is priced in US dollars. Plainly this trend could reverse in the future as exchange rates fluctuate. Publishing income may also come under pressure as the effects of the current and seemingly inevitable future reductions in UK University Funding are realised.
During the year, the Trustees initiated a business review of all The Society’s activities, including the development of a property strategy. The reserves policy will be updated in the light of this review.
During the lifetime of the current publishing contract The Society is protected from the effects of major reductions in publishing income by virtue of a guaranteed minimum income arrangement with the publisher.
The Trustees reviewed the level of designation in respect of the fund to underwrite IUPS 2013 and considered that the existing level of £1,000,000 was both reasonable and prudent. This fund will be expended in the run-up to and during 2013. This fund and all other funds are presented at note 15 to the accounts. No funds are in a deficit position.
The uncertainty of the publishing income is a major factor that hinders accurate budgeting. Budgets have previously been set at a time when only early projected (often conservative) estimates of publishing profits were available. In order to mitigate the variances that this can cause, the Trustees have approved a number of changes to The Society’s budgetary planning processes.
Due to both the ongoing business review and the uncertainty surrounding future publishing incomes, The Society takes a medium term view on its investments and their performance. 22
Treasurer’s statement
Where our money has gone (£3.24m)
Where our money came from (£4m)
Publications 52%
Events 18%
Other income 1% Membership services 11%
Publications 84% Investment income 9%
External relations 3%
Events 2%
The Society aims to produce above average returns on its portfolio whilst adopting a cautious risk profile. All investment income is reinvested. The Society’s investment fund portfolio is managed by Bestinvest (Brokers) Ltd. The value of The Society’s investment fund increased by £1,273,000 over the year, outperforming its APCIMS benchmark by 14.3%. Despite the current fragility in the capital markets, The Society’s fund investments are almost back to the levels seen in 2007. The Society invests in collective investments (unit and investment trusts) plus investment companies. This is designed to give a broad level of diversification across all major asset classes, with the exception of property which has been specifically excluded. The managers have general discretion over the asset allocation and selection of investments within agreed investment parameters.
Education 8% Governance 6%
Membership subscriptions 4%
Investment fees 1%
£695,000), hinting at signs of a recovery in the commercial property market. Since taking over the role of Honorary Treasurer I have been extremely grateful for the help and advice provided by the Finance Committee, which was established in 2008. This committee, on behalf of Council, oversees all financial aspects of The Society to support its short and long term ability to achieve its charitable objects. The Finance Committee has now settled into an established business cycle and is making important contributions to the financial management of The Society. Rod Dimaline, Honorary Treasurer The Annual Report and Accounts were approved by the Trustees of The Physiological Society and signed on 13 May 2010 on their behalf by:
The Society’s investment property portfolio is managed by Bidwells Property Consultants. Rental income (£174,000) was applied to charitable activities during the year. The portfolio’s value fell by £75,000 (08: fall of
CH Orchard President 23
R Dimaline Honorary Treasurer
Independent auditors’ statement
Independent auditors’ statement We have examined the summarised financial statements of The Physiological Society set out on pages 25 & 26.
Basis of opinion We conducted our work in accordance with Bulletin 2008/03 “The auditors’ statement on the summary financial statement” issued by the Auditing Practices Board for use in the UK.
Respective responsibilities of Trustees and auditors The Trustees are responsible for preparing the summarised financial statements in compliance with the relevant requirements of section 426 to 429 of the Companies Act 2006 and the regulations made there under.
Opinion In our opinion, the summarised financial statements are consistent with the full financial statements and the Trustees’ Annual Report for the year ended 31 December 2009.
Our responsibility is to report to you our opinion on the consistency of the summarised financial statements with the full financial statements and Trustees’ Annual Report.
haysmacintyre Chartered Accountants Registered Auditors Fairfax House, 15 Fulwood Place London WC1V 6AY
We also read the other information contained in the summarised Annual Report and consider the implications for our report if we become aware of any apparent misstatements or material inconsistencies with the summarised financial statements.
13 May 2010
The summarised accounts are a summary of information extracted from the annual accounts and contain information relating to both the Statement of Financial Activities and the Balance Sheet. These summarised accounts may not contain sufficient information to allow for a full understanding of the financial affairs of The Society. For further information, the full accounts, which received an unqualified audit opinion, should be consulted. These may be obtained from the registered office or from www.physoc.org. The annual accounts were approved by the Trustees on 13 May 2010 and have been submitted to the Charity Commission and Companies House.
24
Statement of financial activities
Statement of financial activities Unrestricted Funds
Restricted Funds
Total 2009
Total 2008
£’000
£’000
£’000
£’000
393
-
393
400
3,621
2
3,623
3,029
4,014
2
4,016
3,429
36
-
36
25
1,679
-
1,679
1,508
Events
575
3
578
604
Membership Services
370
-
370
291
Education
263
-
263
239
External Relations
109
-
109
109
208
-
208
203
3,240
3
3,243
3,009
774
(1)
773
420
Incoming Resources Activities for generating funds: Investment income Incoming resources from charitable activities Trading in furtherance of charitable objectives
Total incoming resources
Resources Expended Cost of generating funds: Investment management costs Charitable activities: Publications
Governance costs
Total resources expended
Net incoming/(outgoing) resources Realised losses on listed investments
(90)
-
(90)
(330)
1,194
-
1,194
(1,284)
(75)
-
(75)
(695)
Net movement in funds
1,803
(1)
1,802
(1,889)
Fund balances as at 1 January 2009
9,929
98
10,027
11,916
11,732
97
11,829
10,027
Unrealised gains/(losses) on listed investments Revaluation on investment property
Fund balances as at 31 December 2009
All the above results are derived from continuing activities. All gains and losses in the year are included above; accordingly a statement of total realised gains and losses has not been prepared.
25
Balance sheet
Balance sheet 2009
2008
£’000
£’000
Fixed Assets Tangible assets
20
19
9,855
8,657
9,875
8,676
Debtors
2,980
2,033
Cash at bank and in hand
1,339
960
4,319
2,993
(2,365)
(1,642)
1,954
1,351
11,829
10,027
10,728
8,925
Investments
Current Assets
Liabilities Creditors: Amounts falling due within one year Net Current Assets Net Assets Funds Unrestricted Funds General Designated
1,004
1,004
11,732
9,929
97
98
11,829
10,027
Restricted Total Funds
Approved and authorised for issue by the Trustees of The Physiological Society on 13 May 2010 and signed on their behalf by:
CH Orchard President
R Dimaline Honorary Treasurer
26
27
Physiology 2011 University of Oxford, UK 11–14 July 2011
www.physiology2011.org 28
Abstract submission & registration opens 1 March 2011
Many members of staff contributed to this report. Edited by Simon Kellas.
29
Printed by The Lavenham Press Ltd.
The Physiological Society Peer House, Verulam Street London WC1X 8LZ Tel: 020 7269 5710 Fax: 020 7269 5720 www.physoc.org 30