Charity registration number SC003139 (Scotland)
Company registration number SC111258 (Scotland)
PERTH AND KINROSS HERITAGE TRUST
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
PERTH AND KINROSS HERITAGE TRUST
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees
Ms M Wilkins
Councillor S Donaldson
Mrs S Hendry
Mr M Ballantine
Mr C Longhorn
Mr A Lindsay
Ms S Pearce
Mr Colin Liddell MBE WS
Mr G Love
(Appointed 22 September 2023)
Charity number (Scotland)
SC003139
Company number
SC111258
Registered office
Lower City Mills
West Mill Street
PERTH
PH1 5QP
Auditor
Morris & Young
6 Atholl Crescent
PERTH
PH1 5JN
PERTH AND KINROSS HERITAGE TRUST
CONTENTS
Page
Trustees' report
1 - 4
Statement of trustees' responsibilities
5
Independent auditor's report
6 - 9
Statement of financial activities
10 - 11
Balance sheet
12
Statement of cash flows
13
Notes to the financial statements
14 - 27
PERTH AND KINROSS HERITAGE TRUST
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -

The trustees present their annual report and financial statements for the year ended 31 March 2024.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 of notes to the financial statements and comply with the charitable company's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and “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

The charitable company's objects are:

 

(i) to conserve, enhance, maintain and promote, for the benefit of the residents of Perth and Kinross and the public at large, the historic environment of the area in the form of archaeological sites and landscapes, and buildings and structures of historic and architectural interest, value or significance;

(ii) to advance and promote the practical conservation of the amenity and character of the rural and urban historic built environment within Perth and Kinross;


(iii) to conserve, research and promote items or areas of archaeological or industrial archaeological importance within Perth and Kinross;


(iv) to further awareness of the historic environment through education about, and active voluntary involvement in, its conservation in the area of Perth and Kinross, and


(v) to undertake consultancy and other work of an educational, historical, architectural or archaeological interest anywhere in the United Kingdom or elsewhere (which need not have a bearing upon its work in the area of Perth and Kinross) which advances the arts, heritage, culture or science.

 

Since becoming established, a central role of the charitable company has been the provision of grant aid to historic buildings and projects relating to the conservation and promotion of the historic environment more widely.

 

Highlights of the work for the year

Over 2023 Perth & Kinross Council (PKC) highlighted uncertainty regarding the level of available support for the Planning Archaeology Service provided by the charitable company to PKC planning officers through a service level agreement. In February 2024 PKC confirmed a budget which significantly reduced available funding for this service from April 2025. The SLA represents a large part of our unrestricted core funding so the Trust are now considering the impact of its cessation or reduction.

 

This uncertainty was a contributory factor in the most significant event over the year, relating to the charitable company’s development of the Lower City Mills project in Perth. A full application in May 2023 to the National Lottery Heritage Fund, for £1.4m towards the project, was deferred in September 2023. Having considered various options, the charitable company regrettably made the difficult decision not to progress development further. Amongst other factors, uncertainty around future core income compromised the sustainability of our business plan. As a result, the charitable company decided to relocate its operational base to another central Perth premises, and by December 2023 produced a revised Strategic Plan covering 2024-2026. This has three objectives: to develop a new community archaeology project; relocate our operational base; and to raise the profile of the charitable company.

 

More positively, the charitable company has secured a further tranche of funding for the Perth City Heritage Fund, covering 2023-26, which continues to improve key historic properties across the city centre.

 

 

PERTH AND KINROSS HERITAGE TRUST
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -

Achievements and performance

The submission of a Round 2 bid to National Lottery Heritage Fund for Lower City Mills was a significant achievement, taking plans for renovation through conservation of the building and its machinery, office retrofitting and public access and interpretation to RIBA stage 4. The charitable company remains committed to supporting the development of the Lower City Mills and confident that the preparatory work done over the past four years can be put to use in the future development of the building.

 

A new tranche of the Perth City Heritage Fund, funded by Historic Environment Scotland on behalf of the Scottish Government began in April 2023. The three-year tranche over 2023-26 secured total funding of £750,000, consisting of £248,160 unrestricted revenue and £501,840 restricted capital grant. which is drawn down as conditions are met. The fund contributes to economic regeneration in Perth through conservation of key historic buildings. Delivering grant assistance, education and community outreach, the fund is overseen by a Steering Group comprising a trustee, charitable company staff and Perth & Kinross Council officers.

 

The charitable company also continued to deliver the Planning Archaeology Service to Perth & Kinross Council's Housing and Environment Service to ensure development is carried out to protect or record the historic environment in line with national planning policy.

Doors Open Days 2023 proved to be another successful weekend event, while the charitable company’s Community Heritage Grants Scheme saw a number of local heritage projects completed, and new grants offered. Finally, monitoring the Tay Landscape Partnership (TayLP) legacy items has continued through the 10-year maintenance plan. An additional highlight was the publication of the Tay forts monograph, the concluding product of the Tay Landscape Partnership Scheme.

 

 

Financial review

Results for the year ended 31 March 2024 are given in the Statement of Financial Activities. The assets and liabilities are detailed on the Balance Sheet on page 12.

 

The Statement of Financial Activities shows a net inflow of funds for the year of £34,869 (2023 - net outflow - £628,072). This, added to the funds brought forward of £835,031, gives a surplus to carry forward of £869,900 which includes a valuation reserve of £35,315. The closing reserves are made of restricted reserves of £119,741, designated reserves of £489,795 and unrestricted reserves of £260,364, including the revaluation reserve. Full details of income and expenditure are set out in the notes to the financial statements.

 

The charitable company's expenditure in the financial year 2023-24 supports the identification, recording, protection, management, interpretation and promotion of the historic environment within Perth and Kinross for the benefit of both the local community and visitors to the area. Activities are carried out in line with the Strategic Plans 2023-2027 and 2024-2026, and include the provision of heritage advisory and consultancy services to partner organisations and the public; the award of grants; the delivery and funding of projects, skills training and outreach and education activities aimed at increasing community awareness of the local historical environment. The charittable company's income reflects the support of its founding partners, Perth & Kinross Council and The Gannochy Trust; the attraction of grant funding from Historic Environment Scotland, the National Lottery Heritage Fund and other funding bodies; and income generated through consultancy work and the sale of the charitable company's publications and charitable donations from the public.

Reserves Policy

The trustees aim to hold reserves for future operation costs equating with at least 6 months of operating costs. This sum amounts to £160,957. Additional reserves are retained to cover redundancy. This sum amounts to £15,820 (£8,320 statutory cost and £7,500 pay in lieu of notice (PILON)).

The charitable company holds reserves of £869,900 of which £225,049 (excluding the revaluation reserve) are unrestricted, therefore the charity has sufficient reserves to cover 6 months of operating costs.

The trustees, having regard to the liquidity requirements of the charitable company, have kept available funds in interest-bearing deposit accounts and seek to achieve a rate on deposit which matches or exceeds inflation as measured by the retail prices index.

PERTH AND KINROSS HERITAGE TRUST
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -

Risk management

The charitable company maintains an organisational Risk Register, considered by the Management Committee on a monthly basis and by the Board of trustees on a quarterly basis. This assesses both strategic and tactical risks to the organisation, the former having potential to result in a critical failure of the charitable company, and the latter having the potential to cause delay to one area of work but which is recoverable for the charitable company as a whole. Responsibility for the Risk Register is shared between the Board of trustees, the Trust Director and other staff.

Future Plans

The charitable company will deliver the Perth City Heritage Fund over 2024-2026, funded by Historic Environment Scotland, and the planning archaeology service for Perth & Kinross Council through the existing Service Level Agreement until the end of March 2025. While many other areas of the charitable company's work, such as a Doors Open Days and Tay Landscape Partnership scheme monitoring, will continue unchanged, delivery of the Lower City Mills project over 2024-5 will involve a significant new area of work both in the medium and longer term.

Structure, governance and management

The charitable company is a company limited by guarantee. The charitable company is governed by its Memorandum and Articles of Association.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

 

Ms M Wilkins
Councillor S Donaldson
Councillor D Illingworth
(Resigned 7 June 2024)
Mr N Grieve
(Retired 15 December 2023)
Mrs S Hendry
Mr M Ballantine
Mr C Longhorn
Mr A Lindsay
Ms S Pearce
Mr Colin Liddell MBE WS
Mr G Love
(Appointed 22 September 2023)

The charitable company's Memorandum and Articles of Association require that members of the Board of Trustees be either admitted through the passing of a resolution by the Board of Trustees or be nominees of Perth & Kinross Council.

 

Trustee induction includes information about the charitable company, such as the Memorandum and Articles of Association, an organisational chart, recent annual reports and audited financial statements, and our Strategic Plan 2023-2026.

 

None of the trustees has any beneficial interest in the charitable company. All of the trustees are members of the charitable company and guarantee to contribute £1 in the event of a winding up.

The trustees administer the charitable company. The Board of trustees meet quarterly, while a Management Committee consisting of the Chairman, Treasurer and two other trustees meets monthly. The Board of trustees have delegated the running of the day to day activities of the charitable company to the charitable company's Director, Mr David Strachan.

 

The remuneration of staff is considered annually and a pay award for 2024 was agreed by the Board of trustees, mirroring Perth & Kinross Council awards. Details of key management personnel remuneration is detailed in note 13 to the financial statements

 

PERTH AND KINROSS HERITAGE TRUST
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -
Auditor

Morris & Young were appointed as auditor to the charitable company and a resolution proposing that they be re-appointed will be put at a General Meeting.

Disclosure of information to auditor

Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

 

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

The trustees' report was approved by the Board of trustees.

Ms M Wilkins
Trustee
Dated: 21 June 2024
PERTH AND KINROSS HERITAGE TRUST
STATEMENT OF TRUSTEES' RESPONSIBILITIES  
FOR THE YEAR ENDED 31 MARCH 2024
- 5 -

The trustees, who are also the directors of Perth and Kinross Heritage Trust for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

 

Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

 

In preparing these financial statements, the trustees are required to:

 

- select suitable accounting policies and then apply them consistently;

 

- observe the methods and principles in the Charities SORP (FRS102);

 

- make judgements and estimates that are reasonable and prudent;

 

- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

 

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for the maintenance and integrity of the charitable company and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

 

PERTH AND KINROSS HERITAGE TRUST
INDEPENDENT AUDITOR'S REPORT
TO THE TRUSTEES OF PERTH AND KINROSS HERITAGE TRUST
- 6 -

Opinion

We have audited the financial statements of Perth and Kinross Heritage Trust (the ‘charitable company’) for the year ended 31 March 2024 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

-

give a true and fair view of the state of the charitable company's affairs as at 31 March 2024 and of its incoming resources and application of resources, for the year then ended;

-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-

have been prepared in accordance with the requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and regulation 8 of the Charities Accounts (Scotland) Regulations 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

 

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

 

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

We have nothing to report in this regard.

PERTH AND KINROSS HERITAGE TRUST
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF PERTH AND KINROSS HERITAGE TRUST
- 7 -

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

-

the information given in the trustees' report for the financial year for which the financial statements are prepared, which includes the directors' report prepared for the purposes of company law, is consistent with the financial statements; and

-

the directors' report included within the trustees' report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 (as amended) require us to report to you if, in our opinion:

-

the information given in the financial statements is inconsistent in any material respect with the trustees' report; or

-

proper accounting records have not been kept; or

-

the financial statements are not in agreement with the accounting records; or

-

we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charitable company for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under Companies Act 2006 and report in accordance with the Acts and relevant regulations made or having effect thereunder.

 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

 

Extent to which the audit was considered capable of detecting irregularities, including fraud

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

 

PERTH AND KINROSS HERITAGE TRUST
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF PERTH AND KINROSS HERITAGE TRUST
- 8 -

Identifying and assessing potential risks related to irregularities

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

- the nature of the regulated sector, control environment and understanding of the entity including, but not restricted to, the understanding that the trustees are not remunerated, and the prevalence of fraud in the sector;

- results of our enquiries of trustees about their own identification and assessment of the risks of irregularities;

- any matters we identified having obtained and reviewed the charitable company’s documentation of their policies and procedures relating to:

 

 

 

 

As a result of these procedures, we considered the opportunities that may exist within the organisation for fraud and identified the greatest potential for irregularities to occur is in relation to revenue recognition. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We also obtained an understanding of the legal and regulatory frameworks that the charitable company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the charitable company’s own Memorandum and Articles of Association, Companies Act 2006 and various charity-specific legislation, including the Charities and Trustee Investment (Scotland) Act 2005.

Our procedures to respond to risks identified included the following:

- reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;

- enquiring of Trustees concerning actual and potential litigation and claims;

- performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

- reading minutes of meetings of those charged with governance;

- tested a sample of income for understatement and consideration given to revenue recognition accounting policies. Also reviewed the minutes of meetings for completeness of income.

- in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

 

PERTH AND KINROSS HERITAGE TRUST
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF PERTH AND KINROSS HERITAGE TRUST
- 9 -

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or noncompliance with laws and regulations throughout the audit.

Due to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing fraud or non-compliance with laws and regulations and cannot be expected to detect all fraud and non-compliance with laws and regulations.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditors responsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with section 44(1)(c) of the Charities and Trustees Investment (Scotland) Act 2005 and with regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Alexander. J. Fyfe, M.A.A.T, C.A, DChA (Senior Statutory Auditor)
for and on behalf of Morris & Young
30 July 2024
Chartered Accountants
Statutory Auditor
6 Atholl Crescent
PERTH
PH1 5JN

Morris & Young is eligible for appointment as auditor of the charitable company by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

PERTH AND KINROSS HERITAGE TRUST
STATEMENT OF FINANCIAL ACTIVITIES
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
Unrestricted
Unrestricted
Restricted
Total
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
funds
funds
funds
general
designated
general
designated
2024
2024
2024
2024
2023
2023
2023
2023
Notes
£
£
£
£
£
£
£
£
Income and endowments from:
Donations and legacies
3
70
-
-
70
125
-
65,310
65,435
Charitable activities
4
352,464
-
194,983
547,447
105,674
-
-
105,674

Investments

5
32,995
6,750
-
39,745
14,519
6,750
-
21,269
Other income
6
606
-
-
606
1,458
-
-
1,458
Total income
386,135
6,750
194,983
587,868
121,776
6,750
65,310
193,836
Expenditure on:
Charitable activities
7
288,620
33,294
231,085
552,999
322,282
34,473
465,153
821,908
Net incoming/(outgoing) resources before transfers
97,515
(26,544)
(36,102)
34,869
(200,506)
(27,723)
(399,843)
(628,072)
PERTH AND KINROSS HERITAGE TRUST
STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED)
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
- 11 -
Unrestricted
Unrestricted
Restricted
Total
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
funds
funds
funds
general
designated
general
designated
2024
2024
2024
2024
2023
2023
2023
2023
£
£
£
£
£
£
£
£
Net incoming/(outgoing) resources before transfers
97,515
(26,544)
(36,102)
34,869
(200,506)
(27,723)
(399,843)
(628,072)
Gross transfers between funds
18,412
(27,940)
9,528
-
(100,000)
100,000
-
-
Net income/(expenditure) for the year/
Net movement in funds
115,927
(54,484)
(26,574)
34,869
(300,506)
72,277
(399,843)
(628,072)
Fund balances at 1 April 2023
144,437
544,279
146,315
835,031
444,943
472,002
546,158
1,463,103
Fund balances at 31 March 2024
260,364
489,795
119,741
869,900
144,437
544,279
146,315
835,031

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
PERTH AND KINROSS HERITAGE TRUST
BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 12 -
2024
2023
Notes
£
£
£
£
Fixed assets
Investment property
16
85,000
85,000
Current assets
Debtors
17
335,963
314,678
Cash at bank and in hand
878,539
1,015,796
1,214,502
1,330,474
Creditors: amounts falling due within one year
18
(429,602)
(580,443)
Net current assets
784,900
750,031
Total assets less current liabilities
869,900
835,031
Income funds
Restricted funds
21
119,741
146,315
Unrestricted funds
Designated funds
22
489,795
544,279
General unrestricted funds
225,049
109,122
Revaluation reserve
35,315
35,315
750,159
688,716
869,900
835,031

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on 21 June 2024
Ms M Wilkins
Mr A Lindsay
Trustee
Trustee
Company registration number SC111258
PERTH AND KINROSS HERITAGE TRUST
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 13 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash absorbed by operations
25
(177,002)
(44,978)
Investing activities
Investment income received
39,745
21,270
Net cash generated from investing activities
39,745
21,270
Net cash used in financing activities
-
-
Net decrease in cash and cash equivalents
(137,257)
(23,708)
Cash and cash equivalents at beginning of year
1,015,796
1,039,504
Cash and cash equivalents at end of year
878,539
1,015,796
PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 14 -
1
Accounting policies
Charitable company information

Perth and Kinross Heritage Trust is a private company limited by guarantee incorporated in Scotland. The registered office is Lower City Mills, West Mill Street, PERTH, PH1 5QP. The company is also a charity registered in Scotland with the Office of the Scottish Charity Regulator.

1.1
Accounting convention

The financial statements have been prepared in accordance with the charitable company's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and “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). The charitable company is a Public Benefit Entity as defined by FRS 102. The charitable company is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charitable company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of investment properties. The principal accounting policies adopted are set out below.

1.2
Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charitable company has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.

Designated funds comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4
Income

Income is recognised when the charitable company is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

 

For donations and grants to be recognised the charitable company will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until these conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

Cash donations are recognised on receipt.

 

Investment income is recognised when receivable and the amount can be measured reliably by the charitable company; this is normally upon notification of the interest payable by the bank.

PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 15 -
1.5
Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably.

 

Grants payable to third parties are within the charitable objectives. Where unconditional grants are offered, this is accrued as soon as the recipient is notified of the grant, as this gives rise to a reasonable expectation that the recipient will receive the grants. Where grants are conditional relating to performance then the grant is only accrued when any unfulfilled conditions are outside the control of the charitable company.

 

Charitable expenditure is incurred in direct pursuance of the charitable company's principal objectives and as set out in the trustees' report. Direct charitable costs comprise costs incurred in inducing organisations to contribute financially to the charitable company's work and income received in pursuance of these areas is shown within income.

 

Support costs are those that assist the work of the charitable company but do not directly represent charitable activities and include office costs, governance costs and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charitable company.

 

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

1.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Office equipment
33% per annum straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7
Investment property

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure.

Investment properties are included in the balance sheet at their fair value. No depreciation is charged on these properties in accordance with section 16 of FRS102

1.8
Cash and cash equivalents

Cash and cash equivalents include cash in hand and deposits held at call with banks.

PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 16 -
1.9
Financial instruments

The charitable company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the charitable company's balance sheet when the charitable company becomes party to the contractual provisions of the instrument.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected.

Basic financial liabilities

Basic financial liabilities, including creditors are initially recognised at transaction price. Financial liabilities classified as payable within one year are not amortised.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price.

1.10
Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

1.11
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.12
Leases

Rentals payable under operating leases, including any lease incentives received, are charged as an expense on a straight line basis over the term of the relevant lease.

PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 17 -
2
Critical accounting estimates and judgements

In the application of the charitable company’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. 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 underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Critical judgements
Accruals

Accruals are applied at the year end based upon financial costs received post year end and the experience of the Trustees.

Key sources of estimation uncertainty
Valuation of property

As described in note 16 of the financial statements, investment properties are stated at fair value based on the valuation performed by an independent professional valuer Graham and Sibbald Chartered Surveyors with recent experience in the location and category of property valued. The valuer arrived at the fair value on the basis that this is a specialised building. The engagement of an experienced surveyor reduces the risk of estimation uncertainty in relation to the valuation of investment property.

3
Income from donations and legacies
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2024
2024
2024
2023
2023
2023
£
£
£
£
£
£
Donations and gifts
70
-
70
125
65,310
65,435
Donations and gifts
Historic Environment Scotland
-
-
-
-
59,414
59,414
Other donations <£10,000
70
-
70
125
5,896
6,021
70
-
70
125
65,310
65,435
PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 18 -
4
Charitable activities

 

 

2024
2023
£
£

Consultancy income

2,793
5,207

Sales of services by publications

1,526
482
Performance related grants
543,128
99,985
547,447
105,674
Analysis by fund
Unrestricted funds - general
352,464
105,674
Restricted funds
194,983
-
547,447
105,674
Performance related grants
Perth & Kinross Council Service Level Agreement
99,985
99,985
Historic Environment Scotland
443,143
-
543,128
99,985
5
Income from investments
Unrestricted
Unrestricted
Total
Unrestricted
Unrestricted
Total
funds
funds
funds
funds
general
designated
general
designated
2024
2024
2024
2023
2023
2023
£
£
£
£
£
£
Rental income
-
6,750
6,750
-
6,750
6,750
Interest receivable
32,995
-
32,995
14,519
-
14,519
32,995
6,750
39,745
14,519
6,750
21,269
6
Other income
Unrestricted
Unrestricted
funds
funds
2024
2023
£
£
Other income
606
1,458
PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 19 -
7
Charitable activities

Grants and Projects

Grants and Projects

2024
2023
£
£
Staff costs
150,652
197,519
Depreciation and impairment
-
1,002

Contract labour

72,066
63,325

Office expenses

52,452
65,349

Insurance

6,855
5,816

Project costs

63,389
218,324
345,414
551,335
Grant funding of activities (see note 8)
203,065
266,681
Share of governance costs (see note 10)
4,520
3,892
552,999
821,908
Analysis by fund
Unrestricted funds - general
288,620
322,282
Unrestricted funds - designated
33,294
34,473
Restricted funds
231,085
465,153
552,999
821,908
PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 20 -
8
Grants payable

Grants and Projects

Grants and Projects

2024
2023
£
£
Grants to institutions:
Perth City Heritage Fund
187,705
246,728
Community Heritage Grant Scheme
15,360
19,953
203,065
266,681
Commitments

Grants payable are to support activities in line with the charitable objectives of the charitable company.

9
Net movement in funds
2024
2023
£
£
The net movement in funds is stated after charging/(crediting):
Fees payable for the audit of the charitable company's financial statements
4,520
3,892
Depreciation of owned tangible fixed assets
-
1,002
10
Support costs
Support costs
Governance costs
2024
2023
£
£
£
£
Audit fees
-
4,520
4,520
3,892
-
4,520
4,520
3,892
Analysed between
Charitable activities
-
4,520
4,520
3,892

The basis of allocation is direct (2023: direct).

11
Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charitable company during the year (2023 - £nil), and £187 was reimbursed to one trustees for travel expenses (2023 - £268).

PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 21 -
12
Auditor's remuneration
Fees payable to the charity's auditor and associates:
2024
2023
£
£
For audit services
Audit of the financial statements of the charity
4,520
3,892
13
Employees

The average monthly number of employees during the year was:

2024
2023
Number
Number
Administrative
6
8
Employment costs
2024
2023
£
£
Wages and salaries
142,286
177,682
Social security costs
72
10,341
Other pension costs
8,294
9,496
150,652
197,519
There were no employees whose annual remuneration was more than £60,000.
Remuneration of key management personnel

The remuneration of key management personnel was as follows:

2024
2023
£
£
Aggregate compensation
51,677
41,025
14
Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 22 -
15
Tangible fixed assets
Office equipment
£
Cost
At 1 April 2023
6,661
At 31 March 2024
6,661
Depreciation and impairment
At 1 April 2023
6,661
At 31 March 2024
6,661
Carrying amount
At 31 March 2024
-
16
Investment property
2024
£
Fair value
At 1 April 2023 and 31 March 2024
85,000

Investment property comprises the Library Lodge, 4 York Place, Perth, PH2 8EP. The fair value of the investment property has been arrived at on the basis of a valuation carried out on 21 June 2019 by Graham and Sibbald Chartered Surveyors, who are not connected with the charitable company. The valuation was on an open market and the basis that this is a specialised building. The trustees still consider this valuation to be appropriate at 31 March 2024.

17
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
1,562
2,217
Other debtors
331,916
310,194
Prepayments and accrued income
2,485
2,267
335,963
314,678
18
Creditors: amounts falling due within one year
2024
2023
£
£
Other taxation and social security
4,951
12,940
Trade creditors
16,820
33,862
Other creditors
3,095
1,688
Accruals and deferred income
404,736
531,953
429,602
580,443
PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 23 -
19
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
8,294
9,496

The charitable company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charitable company in an independently administered fund.

20
Analysis of net assets between funds
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
general
designated
2024
2024
2024
2024
£
£
£
£
At 31 March 2024:
Investment properties
85,000
-
-
85,000
Current assets/(liabilities)
175,364
489,795
119,741
784,900
260,364
489,795
119,741
869,900
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
general
designated
2023
2023
2023
2023
£
£
£
£
At 31 March 2023:
Investment properties
85,000
-
-
85,000
Current assets/(liabilities)
59,437
544,279
146,315
750,031
144,437
544,279
146,315
835,031
PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 24 -
21
Restricted funds

The restricted funds of the charitable company comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.

Movement in funds
Movement in funds
Balance at
1 April 2022

Income

Expenditure

Transfers
Balance at
1 April 2023

Income

Expenditure

Transfers
Balance at
31 March 2024
£
£
£
£
£
£
£
£
£
Tay Landscape Partnership (TLP) Maintenance Fund
57,562
5,896
(4,030)
-
59,428
-
(4,852)
-
54,576
Perth City Heritage Fund 2021-2022
66,513
(2,293)
(64,040)
(180)
-
-
-
-
-
Perth City Heritage Fund 2022-2023
140,800
41,707
(182,687)
180
-
-
-
-
-
Perth City Heritage Fund 2023 - 2026
-
-
-
-
-
194,983
(194,983)
-
-
Traditional Building Skills Project 2022-2023
12,709
20,000
(32,709)
-
-
-
-
-
-
Lower City Mills Development
203,409
-
(181,687)
-
21,722
-
(31,250)
9,528
-
Lower City Mills Delivery
65,165
-
-
-
65,165
-
-
(65,165)
-
Building Preservation Fund
-
-
-
-
-
-
-
65,165
65,165
546,158
65,310
(465,153)
-
146,315
194,983
(231,085)
9,528
119,741

The Tay Landscape Partnership Maintenance Fund is a restricted, retaining grant from the National Lottery Heritage Fund to monitor and maintain legacy items from this project over a 10 year period.

 

Perth City Heritage Fund is a restricted fund in that the charitable company receives grants from Historic Environment Scotland for the defined purpose of approved activities in Perth Central and Kinnoull Conservation Areas.

 

The Building Preservation Fund, previously allocated to the Lower City Mills, is a restricted fund to support building preservation projects to be undertaken by the charitable company. As the Lower City Mills Project is not proceeding, the funder has agreed that the monies are used as per the original award towards the Building Preservation Fund.

PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 25 -
22
Designated funds

The unrestricted funds of the charitable company comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

Movement in funds
Movement in funds
Balance at
1 April 2022

Income

Expenditure

Transfers
Balance at
1 April 2023

Income

Expenditure

Transfers
Balance at
31 March 2024
£
£
£
£
£
£
£
£
£
Lower City Mills Development
60,000
-
-
-
60,000
-
(17,767)
(42,233)
-
Building Conservation Projects (formerly CARS)
150,000
-
-
(150,000)
-
-
-
-
-
Relocation fund
-
-
-
-
-
-
-
385,000
385,000
Lower City Mills Delivery
185,000
-
-
200,000
385,000
-
-
(385,000)
-
Community Heritage Grant Scheme
45,858
-
(19,953)
50,000
75,905
-
(15,359)
20,000
80,546
The Lodge
16,144
6,750
(10,228)
-
12,666
6,750
(167)
-
19,249
Traditional Building Skills Project
10,000
-
-
-
10,000
-
-
(10,000)
-
Doors Open Day
5,000
-
(4,292)
-
708
-
-
4,292
5,000
472,002
6,750
(34,473)
100,000
544,279
6,750
(33,293)
(27,941)
489,795
PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
22
Designated funds
(Continued)
- 26 -

The trustees have released £42,233 designated to the Lower City Mills Development back to general unrestricted funds.

 

The trustees have released £385,000 designated to Lower City Mills Delivery and redesignated this to the Relocation Fund.

 

The trustees have designated a further £20,000 to the Community Heritage Grant Scheme.

 

The trustees have designated any surplus rental income from The Lodge as a repairs sinking fund.

 

The trustees have released £10,000 designated to Traditional Building Skills Project back to general unrestricted funds.

 

The trustees designated £4,292 towards the Doors Open Day project in 2023-2024 for Doors Open Day 2023.

 

 

PERTH AND KINROSS HERITAGE TRUST
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 27 -
23
Operating lease commitments
Lessee

On 18th October 2019, the charitable company entered into a thirty year lease with Perth & Kinross Council for the Lower City Mills property with an annual rental of £1, if requested.

 

At the reporting end date the charitable company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

2024
2023
£
£
Within one year
1
1
Between two and five years
-
4
In over five years
-
22
1
27
Lessor

At the reporting end date the charitable company had contracted with tenants for the following minimum lease payments:

2024
2023
£
£
Within one year
4,500
6,750
Between two and five years
-
4,500
4,500
11,250
24
Related party transactions

There were no disclosable related party transactions during the year (2023 - none).

25
Cash generated from operations
2024
2023
£
£
Surplus/(deficit) for the year
34,869
(628,072)
Adjustments for:
Investment income recognised in statement of financial activities
(39,745)
(21,269)
Depreciation and impairment of tangible fixed assets
-
1,002
Movements in working capital:
(Increase)/decrease in debtors
(21,285)
467,133
(Decrease)/increase in creditors
(150,841)
136,228
Cash absorbed by operations
(177,002)
(44,978)
2024-03-312023-04-01falsefalseCCH SoftwareiXBRL Review & Tag 2024.2SC1112582023-04-012024-03-31SC111258bus:Director12023-04-012024-03-31SC111258bus:Director22023-04-012024-03-31SC111258bus:Director52023-04-012024-03-31SC111258bus:Director62023-04-012024-03-31SC111258bus:Director72023-04-012024-03-31SC111258bus:Director82023-04-012024-03-31SC111258bus:Director92023-04-012024-03-31SC111258bus:Director102023-04-012024-03-31SC111258bus:Director112023-04-012024-03-31SC111258bus:Director32023-04-012024-03-31SC111258bus:Director42023-04-012024-03-31SC1112582024-03-31SC1112582023-03-31SC1112582022-04-012023-03-31SC111258bus:FRS1022023-04-012024-03-31SC111258bus:Audited2023-04-012024-03-31SC111258bus:FullAccounts2023-04-012024-03-31xbrli:purexbrli:sharesiso4217:GBP