REGISTERED COMPANY NUMBER: |
REGISTERED CHARITY NUMBER: |
REPORT OF THE TRUSTEES AND |
UNAUDITED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 JUNE 2023 |
FOR |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
REGISTERED COMPANY NUMBER: |
REGISTERED CHARITY NUMBER: |
REPORT OF THE TRUSTEES AND |
UNAUDITED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 JUNE 2023 |
FOR |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 JUNE 2023 |
Page |
Report of the Trustees | 1 | to | 3 |
Independent Examiner's Report | 4 |
Statement of Financial Activities | 5 |
Balance Sheet | 6 | to | 7 |
Notes to the Financial Statements | 8 | to | 14 |
THE CATHERINE M. MACLEOD (HARRIS) TRUST (REGISTERED NUMBER: SC202832) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 30 JUNE 2023 |
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 30 June 2023. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). |
OBJECTIVES AND ACTIVITIES |
Objectives and aims |
The objects of the chaity are:- |
(1) To relieve the needs of elderly persons resident in the Isle of Harris by the provision of funds to enable others to carry out household duties or other work to enable the said elderly persons to continue to reside in their own homes; |
(2) To provide through a funeral association financial assistance towards the cost of funerals in case of need. |
(3) To provide financial assistance for the purchase of medical equipment and |
(4) To provide bursaries to students going on to further education from Sir E Scott School, Tarbert, Harris. |
In 2008, the charity acquired the capital of Mrs Maureen Mogg's Liferent Trust ('Mogg Fund'), which was treated as a separate restricted fund. The purpose of this fund was to benefit of children in the Isle of Harris who are disadvantaged or gifted to assist with the cost of furthering their potential in their chosen field of arts or profession through further education. |
As both the funds have common aims, the trustees took the decision to merge the Mogg Fund with the Catherine M Macleod Fund to reduce administrative costs. The funds were merged on 31 March 2019. |
Significant activities |
During the year, awards of assistance have been made in accordance with the objects of the charity, with grants to individuals of £3,450 (2022 - £3,550) and grants to institutions of £10,500 (2022 - £2,370). |
Grantmaking |
Details of the grants awarded during the year are included in the notes to the financial statements. |
ACHIEVEMENT AND PERFORMANCE |
Charitable activities |
The Trust continues to offer grants and bursaries for the benefit of residents in the Isle of Harris area. |
Investment performance |
The charity's investment portfolio is managed by Rathbones. The value of the charity's portfolio, which includes bonds, equities, alternative assets and cash balances, has decreased by 1,3% over the year to 30 June 2023 (2022 - 7.3% decrease). |
FINANCIAL REVIEW |
Financial position |
During the year the charity's expenditure exceeded income resulting in net expenditure of £8,310 for the period (2022 - net expenditure of £33,942). Included in this are realised and unrealised net losses on the charity's investment portfolio at 30 June 2023 which amounted to £5,642 (2022 - £40,856 losses). This represents a decrease of £8,310 in unrestricted funds which have as a result decreased to £454,587 (2022 - £462,897). |
Reserves policy |
At this stage the charity is continuing to build reserves to have adequate funds available to make meaningful payments in future to eligible beneficiaries. |
STRUCTURE, GOVERNANCE AND MANAGEMENT |
Governing document |
The organisation is a charitable company limited by guarantee, incorporated on 6 January 2000 and was registered as a Scottish charity on 7 February 2002. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £1. |
THE CATHERINE M. MACLEOD (HARRIS) TRUST (REGISTERED NUMBER: SC202832) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 30 JUNE 2023 |
STRUCTURE, GOVERNANCE AND MANAGEMENT |
Recruitment and appointment of new trustees |
The directors are appointed by the nominated members, each nominated member being entitled to appoint one director or, if an individual, to serve as a director himself. Membership of the company consists only of nominated members, being individuals, institutions and organisations who support the objects of the company and whom the Board shall deem appropriate to be represented amongst the membership of the company and shall so nominate for representation. |
Organisational structure |
The board consists of voluntary directors who manage the affairs of the charity through regular board meetings. The |
board members are heavily involved in the day to day operations of the charity. |
Induction and training of new trustees |
The charity undertakes training for trustees to ensure awareness and understanding of:- |
- the responsibilities of directors; |
- the organisational structure of the charity; |
- the financial position of the charity; and |
- the future plans and objectives of the charity. |
Risk management |
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. |
The trustees have considered the major risks to which the charity is exposed, in particular those relating to the operations and finances of the charity, and are satisfied that measures are in place to mitigate exposure to those risks. |
REFERENCE AND ADMINISTRATIVE DETAILS |
Registered Company number |
Registered Charity number |
Registered office |
Trustees |
Company Secretary |
THE CATHERINE M. MACLEOD (HARRIS) TRUST (REGISTERED NUMBER: SC202832) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 30 JUNE 2023 |
REFERENCE AND ADMINISTRATIVE DETAILS |
Independent Examiner |
Calum Macdonald BA CA |
CIB Services |
Chartered Accountants |
63 Kenneth Street |
Stornoway |
Isle of Lewis |
Western Isles |
HS1 2DS |
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. |
Approved by order of the board of trustees on |
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
I report on the accounts for the year ended 30 June 2023 set out on pages five to fourteen. |
Respective responsibilities of trustees and examiner |
The charity's trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The charity's trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the Accounts Regulations does not apply. It is my responsibility to examine the accounts as required under Section 44(1)(c) of the Act and to state whether particular matters have come to my attention. |
Basis of the independent examiner's report |
My examination was carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the view given by the accounts. |
Independent examiner's statement |
In connection with my examination, no matter has come to my attention : |
(1) | which gives me reasonable cause to believe that, in any material respect, the requirements |
- | to keep accounting records in accordance with Section 44(1)(a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and |
- | to prepare accounts which accord with the accounting records and to comply with Regulation 8 of the 2006 Accounts Regulations |
have not been met; or |
(2) | to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. |
Calum Macdonald BA CA |
The Institute of Chartered Accountants of Scotland |
CIB Services |
Chartered Accountants |
63 Kenneth Street |
Stornoway |
Isle of Lewis |
Western Isles |
HS1 2DS |
6 March 2024 |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
STATEMENT OF FINANCIAL ACTIVITIES |
FOR THE YEAR ENDED 30 JUNE 2023 |
30.6.23 | 30.6.22 |
Unrestricted | Restricted | Total | Total |
fund | fund | funds | funds |
Notes | £ | £ | £ | £ |
INCOME AND ENDOWMENTS FROM |
Investment income | 2 |
EXPENDITURE ON |
Raising funds | 3 |
Charitable activities | 4 |
Charitable activities | 14,689 | - | 14,689 | 6,532 |
Total |
Net gains/(losses) on investments | ( | ) | ( | ) | ( | ) |
NET INCOME/(EXPENDITURE) | ( | ) | ( | ) | ( | ) |
RECONCILIATION OF FUNDS |
Total funds brought forward |
TOTAL FUNDS CARRIED FORWARD | 462,897 |
THE CATHERINE M. MACLEOD (HARRIS) TRUST (REGISTERED NUMBER: SC202832) |
BALANCE SHEET |
30 JUNE 2023 |
30.6.23 | 30.6.22 |
Unrestricted | Restricted | Total | Total |
fund | fund | funds | funds |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Investments | 10 |
CURRENT ASSETS |
Debtors | 11 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 12 | ( | ) | ( | ) | ( | ) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
NET ASSETS |
FUNDS | 13 |
Unrestricted funds | 462,897 |
TOTAL FUNDS | 462,897 |
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 June 2023. |
The members have not required the company to obtain an audit of its financial statements for the year ended 30 June 2023 in accordance with Section 476 of the Companies Act 2006. |
The trustees acknowledge their responsibilities for |
(a) | ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company. |
THE CATHERINE M. MACLEOD (HARRIS) TRUST (REGISTERED NUMBER: SC202832) |
BALANCE SHEET - continued |
30 JUNE 2023 |
These financial statements have been prepared in accordance with and delivered in accordance with the special provisions applicable to small charitable companies subject to the small companies regime. |
The financial statements were approved by the Board of Trustees and authorised for issue on |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 JUNE 2023 |
1. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets. |
The financial statements are prepared in sterling which is the functional currency of the charity, and amounts are rounded to the nearest £. |
Going concern |
The activities of the charity have been affected by the impact of the COVID-19 pandemic and the trustees have assessed the charity's ability to continue as a going concern. |
The management team have prepared projections which reflect the financial impact of the coronavirus crisis on the charity. The trustees have reviewed the projections and, based on this review, have a reasonable expectation that the charity has adequate resources to continue in operation for a period of at least 12 months from the approval of the financial statements. The charity therefore continues to adopt the going concern basis in preparing its financial statements. |
Financial reporting standard 102 - reduced disclosure exemptions |
The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland': |
• | the requirements of Section 7 Statement of Cash Flows. |
Critical accounting judgements and key sources of estimation uncertainty |
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions that affect the amounts reported for assets, liabilities, income and expenditure. |
The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in future periods should it affect future periods. |
The trustees consider that there are no significant areas ofjudgements, estimates or key assumptions that affect items in the accounts. |
Income |
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the income, there is sufficient certainty of receipt and so it is probable that the income will be received, and the amount of income receivable can be measured reliably. |
Expenditure |
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. |
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure. |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
1. | ACCOUNTING POLICIES - continued |
Raising funds |
Costs of raising funds consists of investment management costs. |
Charitable activities |
Charitable expenditure comprises those costs incurred by the charity in the delivery of its objects and activities. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. |
Governance costs |
Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include accountancy fees and costs linked to the strategic management of the charity. |
Allocation and apportionment of costs |
All costs are allocated between the expenditure categories of the Statement of Financial Activities on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned on an appropriate basis e.g. estimated usage. |
Taxation |
The charity is exempt from corporation tax on its charitable activities. |
Fund accounting |
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. |
Fixed asset investments |
Investments are initially recognised at their transaction value and subsequently measured at their market value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year. |
The Trust does not acquire or use put options, derivatives or other complex financial instruments. |
Realised gains and losses |
All gains and losses are taken to the statement of financial activities as they arise. Realised gains |
and losses on investments are calculated as the difference between sales proceeds and their |
opening carrying value or their purchase value if acquired subsequent to the first day of the |
financial year. Unrealised gains and losses are calculated as the difference between the fair value |
at the year end and their carrying value. Realised and unrealised investment gains and losses are |
combined in the Statement of Financial Activities. |
2. | INVESTMENT INCOME |
30.6.23 | 30.6.22 |
£ | £ |
Investment income | 15,942 | 17,859 |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
3. | RAISING FUNDS |
Investment management costs |
30.6.23 | 30.6.22 |
£ | £ |
Portfolio management fees | 3,921 | 4,413 |
4. | CHARITABLE ACTIVITIES COSTS |
Grant |
funding of |
activities | Support |
(see note | costs (see |
6) | note 7) | Totals |
£ | £ | £ |
Charitable activities | 13,950 | 739 | 14,689 |
5. | DIRECT COSTS OF CHARITABLE ACTIVITIES |
30.6.23 | 30.6.22 |
£ | £ |
Administration costs | - | 47 |
6. | GRANTS PAYABLE |
30.6.23 | 30.6.22 |
£ | £ |
Charitable activities | 13,950 | 5,920 |
The total grants paid to institutions during the year was as follows: |
30.6.23 | 30.6.22 |
£ | £ |
Western Isles Community Care Forum | 6,000 | - |
Crossroads Care Harris | 3,000 | - |
Harris Voluntary Service | - | 1,620 |
Lewis & Harris Befriending Society | - | 750 |
Harris Foodshare | 1,500 | - |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
7. | SUPPORT COSTS |
Governance |
Other | costs | Totals |
£ | £ | £ |
Charitable activities | 108 | 631 | 739 |
Support costs, included in the above, are as follows: |
30.6.23 | 30.6.22 |
Charitable | Total |
activities | activities |
£ | £ |
Sundry expenses | 108 | - |
Accountancy fees | 570 | 504 |
Annual return fee | 61 | 61 |
739 | 565 |
8. | TRUSTEES' REMUNERATION AND BENEFITS |
There were no trustees' remuneration or other benefits for the year ended 30 June 2023 nor for the year ended 30 June 2022. |
Trustees' expenses |
There were no trustees' expenses paid for the year ended 30 June 2023 nor for the year ended 30 June 2022. |
9. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES |
Unrestricted | Restricted | Total |
fund | fund | funds |
£ | £ | £ |
INCOME AND ENDOWMENTS FROM |
Investment income |
EXPENDITURE ON |
Raising funds |
Charitable activities |
Charitable activities | 6,532 | - | 6,532 |
Total |
Net gains/(losses) on investments | ( | ) | ( | ) |
NET INCOME/(EXPENDITURE) | ( | ) | ( | ) |
RECONCILIATION OF FUNDS |
Total funds brought forward | 496,839 | - |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
9. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued |
Unrestricted | Restricted | Total |
fund | fund | funds |
£ | £ | £ |
TOTAL FUNDS CARRIED FORWARD | 462,897 | - | 462,897 |
10. | FIXED ASSET INVESTMENTS |
Listed |
investments |
£ |
MARKET VALUE |
At 1 July 2022 |
Additions |
Disposals | ( | ) |
Revaluations | ( | ) |
At 30 June 2023 |
NET BOOK VALUE |
At 30 June 2023 | 429,053 |
At 30 June 2022 | 434,773 |
There were no investment assets outside the UK. |
Cost or valuation at 30 June 2023 is represented by: |
Listed |
investments |
£ |
Valuation in 2023 | 116,641 |
Cost | 312,412 |
429,053 |
11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30.6.23 | 30.6.22 |
£ | £ |
Other debtors |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30.6.23 | 30.6.22 |
£ | £ |
Trade creditors |
Accrued expenses |
13. | MOVEMENT IN FUNDS |
Net |
movement | At |
At 1.7.22 | in funds | 30.6.23 |
£ | £ | £ |
Unrestricted funds |
Catherine M Macleod Fund | 462,897 | (8,310 | ) | 454,587 |
TOTAL FUNDS | (8,310 | ) | 454,587 |
Net movement in funds, included in the above are as follows: |
Incoming | Resources | Gains and | Movement |
resources | expended | losses | in funds |
£ | £ | £ | £ |
Unrestricted funds |
Catherine M Macleod Fund | 15,942 | (18,610 | ) | (5,642 | ) | (8,310 | ) |
TOTAL FUNDS | ( | ) | ( | ) | (8,310 | ) |
Comparatives for movement in funds |
Net |
movement | At |
At 1.7.21 | in funds | 30.6.22 |
£ | £ | £ |
Unrestricted funds |
Catherine M Macleod Fund | 496,839 | (33,942 | ) | 462,897 |
TOTAL FUNDS | 496,839 | (33,942 | ) | 462,897 |
THE CATHERINE M. MACLEOD (HARRIS) TRUST |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 JUNE 2023 |
13. | MOVEMENT IN FUNDS - continued |
Comparative net movement in funds, included in the above are as follows: |
Incoming | Resources | Gains and | Movement |
resources | expended | losses | in funds |
£ | £ | £ | £ |
Unrestricted funds |
Catherine M Macleod Fund | 17,859 | (10,945 | ) | (40,856 | ) | (33,942 | ) |
TOTAL FUNDS | 17,859 | (10,945 | ) | (40,856 | ) | (33,942 | ) |
FUNDS |
Catherine M Macleod Fund |
The Catherine M Macleod Fund represents unrestricted funds which the trustees are free to use in accordance with the charitable objects. |
14. | RELATED PARTY DISCLOSURES |