Campaigners have expressed shock at the government agency behind parking charges on the Enchanted Forest site holding cash reserves of £84.8m.
Forestry and Land Scotland [FLS] also had a £20.9m underspend in 2020/21, according to Audit Scotland’s annual audit report.
Yet as landowner of Faskally Woods, which hosts the Enchanted Forest every year, it plans to end free parking there on January 4.
From then, drivers of cars parked at the site, near Pitlochry, would be charged £1 an hour, £3 for the day and £10 for a minibus. An annual pass would cost £50.
But the revelation of FLS’s handsome financial position has added further fuel to the campaign to overturn the proposed charges.
Faskally Woods is a popular walking spot for residents of Pitlochry, two miles away.
Carol Robertson, of community group Friends of Faskally forest parking charge protest, said: “Our protest group are shocked by this discovery.
“Some may even consider it scandalous during a cost of living crisis, to be keeping millions in reserve and yet again it is us, the public, that keeps getting squeezed for every penny we have.
“By all means charge/tax the tourists; many travel here from abroad and don’t pay UK tax, like we already do towards this government agency.
“Our protest only grows stronger in light of this apparent act of greed, and lack of consideration for the local community.
“We do not accept that this charge should apply to locals and many will simply not pay out of principle.”
Income exceeded budget by £26m
FLS is the Scottish Government agency responsible for managing Scotland’s national forests and land.
The audit report stated that on March 31 2021 FLS had net income of £2.2m against a net expenditure budget of £18.7m – representing an underspend of £20.9m.
Income exceeded budget by £26m. This was explained by the performance of the timber market and the rising demand for, and unit prices of timber.
Cash balances were £84.8 million – up from £62.1m a year earlier.
“This increase reflects the continuing increase in income receipts as a result of strong market conditions,” stated the report.
FLS says reserves are justified
In response, FLS emphasised that, unlike most Scottish Government agencies, it is a trading body that earns most of its income.
This is primarily through the sale of timber, renewables, recreation, venison and leases.
A spokesperson said the agency also invests in creating and expanding woodlands.
They added: “However, we build up our reserves in good years to give us a hugely important safety net that cushions us against trading or economic downturns in the bad years, such as we are experiencing at the moment.
“If we did not hold such reserves, the impact of such events – like the significant impact of winter storms on our timber operations – would have dramatic consequences on our ability to meet our responsibilities, including maintaining the Scotland-wide recreation offer.
“The majority of people who come to our forests – including many local residents – support what we do and are happy to pay a very modest contribution towards offsetting the annual maintenance costs of £13 million across 300 destinations.”
Further pressure on ‘cash-rich’ FLS
But the surplus funds have added more weight to the political campaign for the charges to be dropped.
Independent councillor and Provost Xander McDade recently wrote to Simon Hodgson, the FLS chief executive.
He called for locals to have a free permit and for charges to only apply between April and October.
He said: “It is wrong for a public body that is underspending its current taxpayer supported budget and has huge cash reserves squirrelled away to now introduce charges on local communities during a cost-of-living crisis where every penny counts for families.
“I would urge FLS to listen to our communities and rethink their proposed parking charges in light of their very healthy financial position.”
Scottish Conservative MSP Murdo Fraser, who represents the Mid Scotland and Fife region, concurred.
He said: “Forestry and Land Scotland do not need to be introducing car parking charges at Faskally Woods as this Audit Scotland report shows they are a cash-rich organisation.”
Enchanted Forest not to blame for charges
Meanwhile, the organiser of the Enchanted Forest has emphasised that it has nothing to do with the parking charges.
A spokesperson for The Enchanted Forest Community Trust said the event is non-profit, with surpluses going to the local community.
In the past three years the trust has donated around £129,000 locally.
They added: “The event is owned and operated by the Enchanted Forest Community Trust which is a customer of Forestry and Land Scotland.
“The charitable trust pays Forestry and Land Scotland an agreed annual fee for the use of the woods for the purpose and duration of the event.
“It has done this since 2010 when the event was transferred into community ownership.
“The charitable trust does not own Faskally Woods, nor does it have any jurisdiction with regards to the implementation of the proposed parking charges.
“These rights are entirely the remit of Forestry and Land Scotland, the landowner.”