Natural England

Future management of National Trails (AP01/49)

FOR DECISION

to proceed to the next stage of establishing a National Trails Trust - the objectives and proposed structure are set out at paragraphs 4 and 7-8 below; launch a consultation process with highway authorities, other partners and DEFRA which aims to secure a broad degree of agreement about the proposed way forward for National Trails through establishment of a Trust; agree in principle that the Trust (which will be an arms length body ) should receive long term financial support from the Agency to promote, develop and enhance National Trails in England and seek opportunities for new regional trails; agree in principle to seek sponsorship and a substantial endowment for the new body to provide a secure income stream for future Trail enhancements.

Relevance to Strategy and Corporate Plan: The corporate plan states that we will agree and implement new arrangements for the management of the National Trail network by 2004/2005.

Staff and financial implications: the establishment costs (£150k) of a new body are provided in the Corporate Plan; the corporate plan takes account of a predicted reduction in the amount of staff time spent on the detailed management of National Trails by 2004/05.

Main issues to concern the Board: Are the Board content to make the necessary long term financial commitment to support and promote national trails through the Trust mechanism? Is the creation of a Trust the best way to discharge our strategy aims? Are there any other mechanisms we should explore before proceeding to the next stage? Is it realistic to expect a Trust to lever sufficient additional resource to make a real difference given the ongoing difficulties in resourcing trail maintenance? Should we be asking the Trust to identify new "regional trails" (eg the Tarka Trail in Devon) before the current trails have been brought up to the national standard? Given concerns expressed privately by some Highways Authorities about our outline proposals are we right to press ahead, albeit with the benefit of a formal consultation exercise, which could be viewed as a smokescreen for a done deal?

Introduction

1. The Board agreed in May (AP01/11) a recommendation to establish a special new Trust (Company limited by guarantee with charitable status) to oversee management of the National Trail network. This paper provides further details and seeks Board agreement to progress to the next stage. 

Background2. Annex 1 sets out background information on National Trails, the Agency's statutory position, its current role and level of activity and the drivers for change.Focus of this paper3. This paper:

• sets out the suggested objectives of the Trust;
• proposes a structure for the Trust;
• considers the relationship between the Agency, the Trust and local authorities;
• discusses the resourcing of National Trails;
• outlines the next steps required to create the Trust.  

Suggested Trust objectives 

4. Officers have taken legal advice on the establishment of a new charitable body and solicitors are currently undertaking informal discussions with the Charity Commission. The charitable "objects" of the new body are likely to be along the lines of:

1. • to advance public recreation by promoting, encouraging, or assisting in the management of long distance routes approved under section 52 of the National Parks and Access to the Countryside Act 1949 (otherwise known as National Trails);
   • to promote, encourage and assist in the provision of facilities for informal recreation, along or adjacent to individual sections of National Trails; and 
   • to preserve areas of natural beauty by promoting the considerate use of National Trails by the public, having regard to the other functions of land over which they pass and to the protection of conservation and heritage features on such land.  
2. 5. Officers recommend that the Trust's key activities should be to:
3. • receive and distribute all Countryside Agency investment in National Trails based on a three year rolling programme;
   • work with highway authorities to direct the local management of National Trails and deliver accepted National Trail maintenance and management standards;
   • employ, support and help train local National Trail staff;
   • secure additional funds from local authorities and third parties - so increasing the gearing of use of Agency resources and the total available for promotion, development and enhancement;
   • work with regional and local bodies to identify opportunities for the development of regionally significant trails eg the Tarka Trail in Devon;  

• act as a 'champion' for National Trails, develop and exploit a new Trail brand and promote locally, regionally, nationally and internationally.  

6. Officers have considered whether the scope of the trust should include all other non motorised routes (eg Greenways) and have concluded that this may be premature. It may however be possible to draw up the memoranda and articles of association sufficiently broadly to enable the trust to encompass other activities such as Greenways without further reference to the Charity Commissioners - we will explore this in more detail with solicitors in the next phase of our planned work.Trust structure 7. We propose to establish a Board of Trustees with 10 members. Three trustees would be nominated by the Agency, three from highway authorities, one nominated by DEFRA and three from among individual trail support groups. Support groups (eg South West Coast Path Association) would be invited to nominate from within their membership with the aim of drawing one trustee each from the southern, central and northern trails.

8. We plan to establish a Trust officer team with a manager at about principal manager level. The team would comprise three main posts - resources/personnel, operations and fund raising/marketing plus an administrative officer. The Trust should over a period of time, and through negotiation with the relevant highway authorities, consider direct employment of the individual trail teams.

The relationship between the Agency, the Trust and highway authorities 

9. We envisage the Trust taking over day to day responsibility for managing, developing and improving individual trails in close consultation with the highway authorities - which retain legal responsibility for their maintenance. The Agency would retain responsibility for proposing new trails and securing Secretary of State agreement for Variation Reports.

10. The Agency remains committed to National Trails and should continue to provide long term financial support to improve and upgrade the trail network. We propose to invite the Trust to submit three year rolling bids for resources and to demonstrate how Agency support can be used to draw in significant funds from other sources eg lottery, EU, tax aid, legacies, sponsorship and business support. 

11. The National Trails Trust will act as an umbrella organisation for the management and promotion of National Trails. It will be responsible for directing local management of individual National Trails (through National Trail Officers), liaising with highway authorities to deliver agreed maintenance and management standards. The Trust will seek to bring efficient management to Trails based on an agreed strategy and business plan and will allocate Agency and other funds to individual Trails. 12. Highway authorities will continue to be major partners in the management of National Trails (indeed for some National Trails there will be very little change). Highway authorities will be encouraged to work as part of a team to manage National Trails that pass through more than one local authority area. The Agency will encourage authorities to recognise and reflect in their contributions to National Trails, the economic value of Trails to the local economy.The resourcing of National Trails (details set out at Annex 4)

13. Until the late 1980s, work on National Trails was reimbursed at 100%. This was subsequently reduced for maintenance to up to 75% in the late 1980s. Creation, restoration, project staff and running costs, surveys and strategies continuing to be reimbursed at up to 100%. In the last full financial year (2000/01) the Agency contributed £1.4 million to existing National Trails compared to highway authority contributions of c. £295k. The Agency remains committed to supporting National Trails and it is proposed that, for at least the duration of the new Corporate Plan, funding (for management, maintenance and restoration) is maintained at the following levels:

1. 2002/03 2003/04 2004/05
2. £1300k £1300k £2100k   

14. Establishing the new body will cost the Agency about £150k over two years and this is provided for in the Corporate Plan. We will also explore the possibility of establishing a substantial endowment fund for the Trust that would enable it to provide a long term income stream and supplement funds received from the Agency and highway authorities. Next steps15. Subject to the Board's agreement to proceed, the next steps are as follows:

1. • discuss our proposals with DEFRA, highway authorities and other partners (a major conference is planned for February 2002) seeking commitment to the broad direction of travel and invite suggestions for making improvements;
   • consult formally on our detailed proposals with the aim of securing a broad degree of concensus amongst key partners;
   • report back to the Board the outcomes of the consultation and seek agreement to the administrative and legal arrangements for the Trust (autumn 2002);
   • explore further the possibilities for securing an endowment for the Trust;
   • seek to influence new ROW improvement plans and other guidance and funding;
   • finalise the legal work to establish the trust and prepare all the necessary documentation for final Board approval (winter 2002/03).
   • establish a shadow body in 2003/04 with formal establishment on 1 April 2004. 

Risks and Mitigation measures16. The main risks are as follows:

1. Difficulty in establishing the right legal or practical mechanisms to govern the future relationship between the Agency and the Trust. We are addressing this by taking legal advice and working with British Waterways which has established a similar trust to the one we are proposing.
2. Securing commitment from partners - particularly highway authorities. We will seek to minimise the risk by engaging early with partners, undertaking a formal consultation exercise and ensuring that the process is, and seen to be, open and fair. The Board will also take the final decision with the benefit of feedback from partners.
3. Ensuring the Trust operates efficiently and effectively and makes a real difference on the ground. The mechanisms for appointing trustees and for employing key staff will be made as robust as possible - drawing from experience elsewhere. We will also ensure the Agency has a mechanism to exit from the Trust should it not achieve the objectives agreed by the trustees.  

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Annex 1

The Agency's statutory position, current role and drivers for change

Introduction

1. National Trails - first recognised in the National Parks and Access to the Countryside Act 1949 as "long distance routes" - provide an outstanding opportunity to walk, cycle or ride through some of the best countryside in England. Recognised both nationally and internationally, they are 'flagships' of the rights of way network. They provide for a wide range of interests and ability, from very challenging routes for long distance walker to more accessible opportunities for short local walks.

2. There are 13 National Trails in England at different stages of development. When all are fully open they should comprise some 3650 km of well managed and promoted routes (Table 1). The Pennine Bridleway, the Cotswold Way and Hadrian's Wall Path are still in the process of being developed. Others, though formally 'open' require varying (and sometimes substantial) ongoing funding for further improvement or maintenance work.The Agency's statutory responsibilities and obligations  3. Section 51 of the 1949 Act provides powers for the Countryside Agency to prepare and submit reports making proposals for long distance routes. The Act does not appear to impose any duty on the Countryside Agency to implement an approved scheme or to support the maintenance of an approved route. 

4. So while the Agency (and the Countryside Commission before it) has commonly referred to itself as having a 'statutory responsibility' for National Trails, this description is rather misleading. It is a statutory power only to the extent that it is for the Agency alone in England to recommend to the Secretary of State that any new National Trail be designated.

5. Where the Agency decides to submit a report to the Minister under s.51(1), the legislation defines the matters which must be covered (s.51(2)). The report must contain a map showing the route and must set out such proposals as the Agency may think fit for:

1. • the maintenance and improvement of the existing rights of way along which the route passes;
   • the provision and maintenance of any new rights of way;
   • the provision and operation of any ferries that are needed; and
   • the provision of accommodation, meals and refreshments.  

6. The Act requires, among other things, that any report recommending the creation of a National Trail is to contain an estimate of the capital outlay needed to establish the route and the annual costs of maintenance (s.51(5)). There is nothing in the legislation to compel the Agency to take action to implement an approved proposal. We seem to be at liberty to assume that implementation (and subsequent management) of an approved proposal could be left as a matter for others, though in practice we have sought agreement with the local highway authorities.

7. The 1949 Act also enables the Agency to vary an approved proposal (s55) Over the years almost 300 varying reports have been submitted to and approved by the Secretary of State.

8. In the past the Agency (and its predecessor's) role in promoting and assisting National Trails included:

1. • general policy development and oversight;  

• assessment of the need for, consultation on and recommendation of new National Trails to the Secretary of State for approval;
• on confirmation and in partnership with highway authorities - the physical establishment or improvement of the route; and
• longer term support for the management, maintenance and promotion of National Trails, including the employment of National Trail Officers and other staff (usually, but not always employed by a highway authority).  

Current activity9. The new Corporate Plan describes the following objectives for the next three years: 

• the completion of Hadrian's Wall Path by 2003; the Pennine Bridlewayand the Cotswold Way by 2004; and (subject to agreement by the Secretary of State and the availability of sufficient funds) the completion of the Pennine Bridleway Northern Extension by 2006.  

1. • the completion of all major restoration and alignment projects, and adequate pre-emptive maintenance for all existing National Trails by March 2004/05; and  
2. • the agreement and implementation of new arrangements for the management of the network by 2004/05.  

10. The corporate plan budget  (excluding Agency staff and overheads of £0.4 million per annum) for this work is:

1. Year Maintenance Creation Total
2. 02/03 £1.3m £1.7m net (£2.5m gross) £3.9m gross
3. 03/04 £1.3m £1.2m £2.5m
4. 04/05 £2.1m £0.3m £2.4m 

11. This level of funding will allow the retention of current National Trail Officer and associated posts and a limited programme of maintenance and realignment work. It will not provide enough funds to bring the network up to the standards recommended in 'Meeting the Grade' (published by the Countryside Commission in 1997 (CCP 514)), which we estimate would require about £4 m per annum for the next 5 - 10 years.Drivers for change12. The Agency, its predecessors and its highway authority partners have often struggled to provide the funding necessary for consistent high quality maintenance. Different Trails have required different approaches over time (eg. the Pennine Way required several millions of pounds of investment to overcome difficult ground conditions along some of the designated route). Long term under funding and consequent differential management standards means that the quality of some parts of some Trails falls well below the agreed standard.

13. In 1992 a 'value for money' study recommended that the funding and management of Trails should be fundamentally reviewed. In 1995/6 a short internal study was carried out and some limited changes introduced. 

14. In 1998 the Countryside Commission decided to investigate the scope for setting up an umbrella body for National Trails. Consultants were appointed during 2000 to look at the options for a new body which would be responsible for:

1. • directing the local management of National Trails;  

• managing the budget for National Trails;
• working with highway authorities to achieve the standards set out in 'Meeting the Grade';
• raising funds from other sources to maintain and enhance the network; 
• promoting the network nationally and internationally.  

15. The consultants considered a range of options for the type of body needed, including a single trust covering all Trails, an individual trust for each Trail, franchising, a charitable company and a combination of models. Their advice was that any new body would need to: 

1. • straddle the public, private and charitable sectors;
   • provide for and encourage the involvement of volunteers and user groups;
   • be capable of working constructively with local authorities. 

and advised that a company limited by guarantee, with charitable status would be the most appropriate model to aim for.

16. In May 2001 the Agency Board approved in principle the establishment of a third party body and asked officers to report progress by the end of the year. 

Table 1 National Trails in England - date of approval and official opening

National Trail	Length (km)	Year approved by Secretary of State	Year of official opening
National Trails fully opened
The Pennine Way	429	1951	1965
The Offa's Dyke Path*	285	1951	1971
The Cleveland Way	177	1960	1969
The South Downs Way	161	1963 1988	1972
The Ridgeway	136	1972	1973
North Downs Way	251	1968	1978
South West Coast Path	1,014	In stages 1952 to 1963	In stages 1973 to 1974
The Wolds Way	127	1977	1982
The Peddars Way and Norfolk Coast Path	150	1982	1986
The Thames Path	294	1989	1996
National Trails in development
The Hadrian's Wall Path	130	1994	Expected to be fully opened for official opening in 2003.
The Cotswold Way	163	1998	Expected to be fully opened for official opening in 2004
The Pennine Bridleway (excluding Northern Extension)	330	1995	Expected to be fully opened in stages from 2002.
Total length km	3,650	Opening dates may be delayed due to FMD
*Offa's Dyke crosses in and out of England and Wales

Annex 2

Trust Structure

NTOs* 

Resources  

Marketing / fund raising  

Manager 

Operations  

NTOs with special responsibility*  

*liaising and working closely with management groups made up of highway authorities and partners to undertake work on the ground, management plans and new work

Annex 3

The relationship between the Agency the Trust and local authorities

Summary: Proposed responsibilities of the Countryside Agency, the Trust, local highway authorities and others.

The Countryside Agency	Statutory: proposing new National Trails; proposing VRs to SoS; keeping official record of approved line.
	Policy: eg approval of standards for National Trails; define parameters for monitoring work of the Trust; user and condition survey methodology; official guidebooks.
	Funding: major funder of Trust for the foreseeable future; booster Trust's negotiations with third parties for sponsorship/explore supplementary sources of funding.
	Working with: highway authorities and others on National Trail Management/Steering Groups; working with partners to raise awareness of National Trails within wider remit; sample audit of work grant aided.
The Trust	Centrally (umbrella organisation for management and promotion of National Trails): allocate funds to individual Trails; raise supplementary funds from new sources; strategic lobbying with Tourist Boards etc; promote good practice; market and promote National Trails brand; responsible for National Trails website.
	Locally (NTOs, asst NTOs and associated staff): management planning (including individual trail policy, condition and user surveys, individual National Trail marketing strategies; steering practical works programme to deliver action plan, preparation of annual budget etc) to improve standards; develop links with tourism industry, voluntary organisations and other partners; preparation of VRs; bid for funds; site inspections; information providers.
	Working with: local highway authorities, tourist boards, other partners.
Local authorities	Statutory: maintaining RoW and keeping them free from obstruction; PPO etc
	Funding: acknowledgement of the importance of National Trails reflected in funding (opportunities for tourism and economic development investment etc, ie not only Highways budgets).
			Management: major partner in the steering/mananagement of National Trails (encouraged to base management on Thames Path/Ridgeway management model); maintenance work and planned capital schemes.
			Working with: Trust (NTOs) on day to day management; Agency and others on management/steering groups.
	Others	eg the National Trust, Environment Agency, tourist authorities etc
		Working with Agency and others on management/steering groups; in some cases carrying out works on behalf of highway authorities.

 

Annex 4

Resourcing of National Trails

The basis of the Countryside Agency's Grant in Aid for National Trails

1. Under ss51 to 54 of the National Parks and Access to the Countryside Act 1949 the Agency has the statutory power to identify, propose for approval and support the creation and maintenance of long distance routes. The terms and conditions under which grant aid to National Trials are payable being set out in the 1949 Act and guided by the 'National Parks and Access to the Countryside Act 1949 and the Countryside Act 1968: Explanatory Memorandum on Grants (1971)'. 

2. Expenditure that is incurred prior to the Secretary of State's approval comes from the Agency's: Research and Experimental Budget; and Publicity and Information Budget. Once a route is approved, grants for the creation and maintenance of long distance routes are made under S9 of the Local Government Act 1974. As far as we are aware, until the Enjoying the Countryside review of policy in the late 1980s, all work on long distance routes was funded by the Countryside Commission (and its predecessor the National Parks Commission) at 100%. 

3. In 1987 (Enjoying the Countryside: Priorities for Action. CCP 235), the Countryside Commission announced its intention to reduce (gradually) its reimbursement to local authorities for routine maintenance on National Trails to 'up to' 75%. The rationale being that National Trails were used extensively for day trips and that nationally promoted routes brought significant economic benefits to the areas they traverse. Creation of new National Trails (legal work, practical work and associated facilities and items) and on exisiting Trails, project staff and running costs, surveys and strategies and restoration all remaining at up to 100%. This decision to reduce the Countryside Commission's grant in aid for work on National Trails was seen at the time as being at the Commission's discretion and put into effect on that basis. Any current proposed changes to the funding of National Trials by the Agency should therefore, be able to rely on that precedent.

4. It is however, recognised that the reduction in grant in aid for work on National Trails in the late 1980's, did lead to some negative reaction on the part of partners and there is currently some highway authority concern that the current proposals for a National Trails Trust may be the precursor to the Agency reduce its financial support. 

Local authority contributions to National Trails

5. From an examination of the figures it is clear that, in the main, the maximum rates of grant are paid for work on established National Trails. In 2000/2001 this equates overall to the Agency contributing some £1.4 million or 82% of the costs of work on established National Trails. Table 2 summarises this by National Trail.  

 

Table 2 Spend on established National Trails 2000/2001
	Total spend (£000s)	CA contribution	LA contribution1
Pennine Way	187	93%	7%
Cleveland Way	83	77%	23%
Offas Dyke Path	78	79%	21%
South Downs Way	115	73%	23%
South West Coast Path	808	83%	17%
Ridgeway and Thames Path	212	85%	15%
North Downs Way	96	72%	18%
Wolds Way	42	80%	20%
Peddars Way and Norfolk Coast Path	91	84%	16%
	1,715	1,420	295

 

6. The Agency recognises that local authorities are also contributing in-kind support for National Trails in the form of, for example: line management/ personnel support; management committee/steering group attendance; office space; IT support etc.  

7. In relation to the developing Trails (the Hadrian's Wall Path, the Cotswold Way, the Pennine Bridleway), work is funded at 100%, with some £950,000 being spent in 2000/2001.

8. In addition to the Agency's spend on creation, maintenance and restoration a further £400,000 is spent per annum by the Agency on National Trails through appointment of its own staff and overheads.