This annual report and accounts includes an outline of the major research projects undertaken. These include Fomes decay in Sitka Spruce, woodland restoration of contamminated land, chloroplast DNA variation in British oak populations and UK forest and moorland fire suppression. Also included is a description of research into squirrel management. Researchers at Sheffield University have developed an immuno-contraceptive vaccine as a means of controlling grey squirrels. Small-scale field trials conducted by Forest Research staff show that the technique is promising but there is still much work to be done to produce a fully developed system.