Tell us more about the ICAEW Finance for the Future award.
Earlier this year, recognising the importance of sustainable finance, the ICAEW - in partnership with NatWest and supported by the Prince of Wales - launched the Finance for the Future Awards. These are designed to celebrate business decisions that embed innovative practices and take a long-term view of capital allocation, investment and risk management, thus resulting in sustainable finance.
There were a lot of entrants from very diverse institutions. What did the judging processes involve and what made the judges select Hadlow as the winner?
You are right about the numbers and diversity of the entrants. Putting it into perspective, Companies House, a much larger organisation than Hadlow, was the runner-up.
The processes were very intensive and rigorous. We had to provide a very detailed submission, after which we were visited by a team of judges who spent nearly three quarters of a day at the college talking to staff. We were then shortlisted and underwent a further pretty intensive interview in London, during which we made a video. The finalists were shortlisted to three. We heard we had won at the awards ceremony a few weeks later.
It is an accolade for the college, but how do you rate the importance of the college’s sustainable finance portfolio?
The answer is very simple. In the past the public sector has relied on government funding, but times are very tough and cuts hit hard. Way back in 2005, there was money on the table but we had the foresight to recognise that relying entirely on government funding made us vulnerable. We developed a commercial arm with the intention of protecting our core business - the provision of education and training for horticulture, agriculture and other land-based industries.
Today we derive one third of our entire income from commercial activities. The money supports our core business and enables us to extend and give added value to our students. Our commercial portfolio includes three farms, farm shops, a tearoom, a floristry, a garden centre and several other enterprises, all of which are directly related to the academic subjects we offer. This enables our students to gain real-life business experience, which sits well with potential employers.
How do you put this into perspective with the horticulture industry in particular?
The horticulture and agriculture industries need vibrant, forward-thinking, progressive land-based colleges to safeguard the skill needs of these vitally important sectors. We cannot achieve this without getting the bottom line right - this is why sustainable finance is so crucial. It is vital we plan for the future. Align this to the fact that Hadlow is currently one of very few institutions to offer a degree in production horticulture and yet alarm bells are already ringing about the world’s ability to provide food security for a vastly expanding population.
Do you see the college as a role model for other institutions?
The judges described Hadlow as a ‘role model’ for the sector. These are difficult times and no doubt many other public sector institutions will be forced to find innovative ways of increasing their income. Some are already doing so and they will be the ones to thrive.
What are your thoughts on the issues of graduate fees and the shortage of entrants into the horticulture industry? Do you have any solutions?
I think this is a very, very difficult problem to resolve. Shortage of entrants to horticulture shouldn’t be perceived as entirely finance-related. The biggest problem relates to the inability to make young people - and their parents and careers advisors - aware of the opportunities offered to entrants of all abilities, including the very brightest.
I do consider horticulture to be a special case, and of course I would like to see some special funding made available. At the same time, I think horticulture and its support services should be prepared to offer financial incentives in the form of bursaries and scholarships. The industry as a whole would benefit from the publicity attached to such a scheme.
In your opinion, is the government doing enough to support entrants into the land-based sector?
I assume this question refers to financial support and we have already touched upon that subject. However, I would welcome the industry being helped to develop a structure that defines career routes and progression - something that will be even more essential when the Agricultural Wages Board is abolished. -
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