Caseware UK (AP4) 2023.0.135 2023.0.135 Caseware UK (AP4) 2023.0.135 2023.0.135 2024-03-311817874307930473457671766186365378654199722024-03-31382023-04-01falseNo description of principal activity322024-03-31 SC193404 2024-03-31 SC193404 2023-04-01 2024-03-31 SC193404 2022-04-01 2023-03-31 SC193404 2023-03-31 SC193404 2023-04-01 SC193404 2022-04-01 SC193404 c:CompanySecretary1 2023-04-01 2024-03-31 SC193404 c:RegisteredOffice 2023-04-01 2024-03-31 SC193404 d:FurnitureFittings 2023-04-01 2024-03-31 SC193404 d:FurnitureFittings 2024-03-31 SC193404 d:FurnitureFittings 2023-03-31 SC193404 d:OfficeEquipment 2023-04-01 2024-03-31 SC193404 d:OfficeEquipment 2024-03-31 SC193404 d:OfficeEquipment 2023-03-31 SC193404 d:CurrentFinancialInstruments 2024-03-31 SC193404 d:CurrentFinancialInstruments 2023-03-31 SC193404 d:CurrentFinancialInstruments 1 2024-03-31 SC193404 d:CurrentFinancialInstruments 1 2023-03-31 SC193404 c:FRS102 2023-04-01 2024-03-31 SC193404 c:Audited 2023-04-01 2024-03-31 SC193404 c:PrivateLimitedCompanyLtd 2023-04-01 2024-03-31 SC193404 b:Trustee1 2023-04-01 2024-03-31 SC193404 b:Trustee2 2023-04-01 2024-03-31 SC193404 b:Trustee3 2023-04-01 2024-03-31 SC193404 b:Trustee4 2023-04-01 2024-03-31 SC193404 b:Trustee5 2023-04-01 2024-03-31 SC193404 b:UnrestrictedFundsGeneral 2023-04-01 2024-03-31 SC193404 b:UnrestrictedFundsGeneral 2022-04-01 2023-03-31 SC193404 b:RestrictedIncomeFunds 2023-04-01 2024-03-31 SC193404 b:RestrictedIncomeFunds 2022-04-01 2023-03-31 SC193404 b:UnrestrictedFundsGeneral 2024-03-31 SC193404 b:UnrestrictedFundsGeneral 2023-03-31 SC193404 b:RestrictedIncomeFunds 2024-03-31 SC193404 b:RestrictedIncomeFunds 2023-03-31 SC193404 d:WithinOneYear 2024-03-31 SC193404 d:WithinOneYear 2023-03-31 SC193404 b:TotalUnrestrictedFunds 2024-03-31 SC193404 b:TotalUnrestrictedFunds 2023-03-31 SC193404 b:TotalRestrictedIncomeFunds 2024-03-31 SC193404 b:TotalRestrictedIncomeFunds 2023-03-31 SC193404 c:FullAccounts 2023-04-01 2024-03-31 iso4217:GBP xbrli:pure
Registered number: SC193404
Charity number: SC031026















THE CAPITAL CITY PARTNERSHIP LIMITED
(A company limited by guarantee)
DIRECTORS' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)
 

CONTENTS



Page
Reference and administrative details of the Company, its Directors and advisers
1
Directors' report
2 - 6
Independent auditors' report on the financial statements
7 - 10
Statement of financial activities
11
Balance sheet
12
Statement of cash flows
13
Notes to the financial statements
14 - 37

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)
 

REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS DIRECTORS AND ADVISERS
FOR THE YEAR ENDED 31 MARCH 2024


Directors
Donald Urquhart
Bridget Ashrowan
Jane Meagher
Jack Caldwell
Simita Kumar

Company registered number
SC193404

Charity registered number
SC031026

Registered office
Foxglove Offices
14 Links Place
Edinburgh
EH6 7EZ

Company secretary
Rona Hunter

Independent auditors
Sumer Auditco Limited
Chartered Accountants
Pentland House
Saltire Centre
Glenrothes
Fife
KY6 2AH

Bankers
The Bank of Scotland
52 Shandwick Place
Edinburgh
EH2 4SB

Solicitors
Burness Paul Solicitors
50 Lothian Road
Edinburgh
EH3 9WJ

Page 1

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)
 
  
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024

The Directors have pleasure in presenting their report and the financial statements of the charity for the year ended 31 March 2024.
STATUS
The company is an arm’s length organization (ALEO) of the City of Edinburgh Council, a charitable company limited by guarantee incorporated on 5 February 1999 and recognized as a charity by the Inland Revenue on 1st April 2000.
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. 

PRINCIPLE ACTIVITIES
The Capital City Partnership (CCP), since its formation, has promoted community regeneration by using a robust evidence base to report on and add value to local programmes and mainstream services aimed at tackling aspects of exclusion, disadvantage and poverty. It continues to bring together key statutory, voluntary, community and private sector organizations to promote change and joint working in order to address poverty. Drawing on the expertise of the staff team and its partners, CCP identifies and addresses the barriers to social inclusion by promoting a collaborative approach to tackling poverty.  
The Partnership supports the Joined Up For Jobs,  Joined Up for Business and Joined Up for Families strategies. It also supports specific elements of the Edinburgh and Southeast Scotland City Region Deal, UK shared Prosperity and Regional Prosperity programmes. Resources are focused on a range of activities including procurement and performance management of employment support services to supplement the statutory services delivered by its member agencies.
The status of the company as an arm’s length organization (ALEO) of the City of Edinburgh Council is deemed to be the most appropriate means of providing an efficient delivery mechanism for employability services in a financially challenging economic situation. This mechanism is supported by a service level agreement between the City of Edinburgh Council and Capital City Partnership and secures funding levels on an annual basis.  The SLA provides guidance on the respective roles and responsibilities of the two organizations and a robust collaborative approach to service delivery across key areas. 
Under the Service Level Agreement, Capital City Partnership’s focus is on provision of contract, performance, audit and compliance management functions for services funded within the city’s Integrated Employability Service. It also provides development / administrative support to the city’s Jobs Strategy including a web-based MIS, websites, directories and online forums. 
The company also manages the Intensive Family Service, Integrated Knowledge Systems and Integrated Employer Engagement activities for six local authority regions under the Edinburgh and Southeast Scotland City Region Deal which runs until 2026.

ORGANISATION STRUCTURE
The Capital City Partnership is governed by a Memorandum and Articles of Association which stipulates the statutory and non statutory organizations which form the partnership and from which the Board of Directors is appointed. Members of the Board of Directors, who are Directors for the purposes of company law and trustees for the purposes of charity law, who served during the period up to the date of this report are listed on page 1. The Directors are elected at the AGM to serve at least until the next AGM.
The Board of Directors maintains its ability to gather opinion and expertise from a wide range of organizations, thus influencing policy and improving the steering role of the Board of Directors.


 
Page 2

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)
 
Board meetings are scheduled on a quarterly basis however the Chair can convene extraordinary meetings of the Board in addition to scheduled meetings if circumstances require urgent action. The Board is responsible for all strategic decisions. The Chief Officer has delegated authority from the Board to manage the organization on a day to day basis, to make funding decisions in relation to core operational matters and to recommend strategic decisions for discussion / homologation by the Board. The Chief Executive and staff hold fortnightly team meetings at which projects and activities are discussed and progress reviewed. 

ACHIEVEMENTS AND PERFORMANCE  
Over the course of the year, the company contract managed and performance monitored approximately 100 projects, 56 of which fall under under the auspices of the CEC Employability Programme. The company also maintained common infrastructure including the web-based MIS and Joined Up For Jobs website / directories. 
The key areas of focus in 2023-24 (as reported to the city council under our SLA reporting requirements) were;
 
To monitor and report performance of the employability services contracts as specified under the SLA with the City of Edinburgh Council 
To facilitate the Job Strategy and Joined Up for Business Groups.  
To lead on and develop three workstreams of the Edinburgh and South East Scotland City Regional Deal Employability and Skills sector.
To maintain a focus (in respect of services managed) on the city’s most disadvantaged residents and communities while acknowledging that the economic situation was impacting across the wider population.
To strive to impact upon the reduction of in work poverty
To promote recruitment skills models in Fort Kinnaird, city centre and through a vocational training framework model

The company is a core stakeholder in the Employability Skills (IRES) element of the Edinburgh and Southeast Scotland City Regional Deal, with lead responsibility for the Integrated Knowledge Systems (IKS) and delivery of the Integrated Employer Engagement (IEE) and Intensive Family Support (IFS) services.  The IKS team continues to develop the Helix Management Information System and continues to schedule on boarding of the six regional authorities along with an extended reach to other employability organisations. A funding model to develop and maintain the system is now in place. The IEE team managed another successful employer fund grants programme with Business Gateway, promoted the online Community Benefits portal, lead a successful sectoral awareness campaign for Green Economy jobs and expanded a Regional Accreditation Partnership, growing employer lead satellite training offers. The IFS team continued to contract manage services in the six LA regions.
The Whole Family Equality project continued to support efficacy and to empower minority ethnic communities in a respectful and collaborative approach with a range of agencies to deliver meaningful strategic change including continued collaboration with the Citizens Panel.

Cost of Delivery
Core expenditure for the company is primarily staff and office related however efforts were made to ensure that core costs remain low in proportion to overall expenditure. Net staff and operational costs account for 5% of overall expenditure.

FUTURE PLANS
The focus is upon continuing to monitor and support existing activity streams while securing additional funding and identifying emerging themes. The challenge continues to be the economic situation in terms of lower job security and increased poverty however CCP has demonstrated adaptability by seeking new, innovative and responsive approaches wherever possible and continuing to provide added value to the employability landscape with significant projected leverage annually against SLA target.  

The company will continue to fulfill the requirements of the Service Level Agreement with CEC including additional contract management responsibility for UK Shared Prosperity Fund of circa £3 million per annum, Parental Employment Support, Vocational Training Framework and Young Persons Guarantee activity including operational elements and grant management. The company will continue to manage the Integrated Regional
Page 3

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)
 
Employability Skills elements of the Edinburgh and Southeast Scotland City Regional Deal, forging strong partnerships with employability and employer engagement teams across the partner agencies and tackling poverty holistically through family focused support. The company is also managing a series of pilot projects for the six local authorities under the Regional Prosperity Framework.
Key national and local authority data will inform the direction of travel for CCP in the coming year.

GRANT MAKING POLICY
Capital City Partnership works with a range of funders and grant making policy is driven by specific funder requirements combined with statutory financial and regulatory rules but is founded upon a programme of funding which is outcome based and employability focused.
Grants are made to organisations for specific activities which meet the requirements set out in the funding guidance documents. Funding panels comprising representatives of each funding partner will score funding applications to strict criteria and award funds based both on aggregate score and funding limitations. Contracts drawn up with the successful organisations stipulate funding criteria, reporting format / timeframe, payment schedule and actions required throughout the year. 
Progress is monitored by CCP and reported to the Board of Directors through performance management reports.

RISK MANAGEMENT
Systems and procedures have been reviewed and strengthened and risk assessments / mitigating actions have been developed to support staff since the shift to remote working.  The company maintains an office base in Leith and satellite office in Fort Kinnaird while encouraging flexible and hybrid working patterns for staff to promote healthy work / life balance, good staff morale, high productivity and relatively low operating costs.
Financial controls were critically examined this year because the organization suffered a financial loss due to cybercrime. This was reported to the company’s bank, the police the Board of Directors and the funding authority.  Since the event in November 2023 further scrutiny is being undertaken for all payees including two person verifications to ensure all transactions are legitimate,  authorised and documented. Investment in IT is integral to all projects in order to bolster the remote working capacity of the organization including improved cloud back up and anti-virus. The staff handbook and company policies have been comprehensively reviewed and updated to be compliant with current employment law / GDPR requirements. A risk register is reviewed regularly by the management team and the ESESCRD activities require mandatory monthly / quarterly risk reports. 

RESERVES POLICY
Due to the requirements in respect of reporting on pension provision and the fluctuation of pension investments / returns it is difficult to identify with confidence the absolute level of reserves which the company is required to maintain in respect of pension liabilities. However, steps have been taken to make best use of any reserves available, to mitigate risk and to secure a diverse range of funding.
The Unrestricted General Fund represents the unrestricted funds arising from past operating results.  It also represents the free reserves of the charity.  The directors are satisfied that the fund, amounting to £717,437 (2023 £708,937) approximates to the equivalent of 13 months operating expenditure. The Board aims to have a free reserve target of up to 12 months, which at current operating levels equates to £682,261.  

The Designated Fund was created by the Directors to cover costs in relation to company review and restructure over the next three years, in preparation for various programmes ending and new themes emerging.  The Designated fund was set at £200,000 of which, £34,344 expenditure was incurred in Financial year 2023-24 and the balance is £165,656 however further expenditure is anticipated against the Designated Fund in financial years 2024-25 and 2025-26.
The Restricted Funds represent those activities which have included support from external funding sources whose criteria limits the use of the funds or stipulates specific reporting requirements. CCP aims to support
Page 4

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)
 
activities using any appropriate funds made available for the purpose and in doing so, the organization takes care to scrutinize funding agreements and adhere to any specific requirements therein. The Directors are aware of the need for transparency and accountability; therefore all restricted funds are accounted for using dedicated cost centres and reports are provided to funders as per contractual agreements. 

FINANCIAL REVIEW
The Board of Directors regularly receives financial reports and exercises prudence when necessary. The annual budget is set at the first board meeting of the year alongside budget outturn for the preceding year. Routine updates are provided to directors in year with attention drawn to variations on budget. A report detailing performance of contracted services is also provided to the Board of Directors at each meeting along with a summary of contracted services values, leverage secured and current live funding bids. The reserves position is reviewed regularly to ensure an adequate but not excessive reserve is maintained for operational activities and other liabilities. Financial operations in general have been within the anticipated level. Given the fluctuating position year on year in respect of Lothian Pension Fund (LPF) liabilities and the continuing reductions in core income from the SLA, the company is focused on reducing overheads and maximizing / diversifying income. Biannual structural reviews are undertaken, financial forecasts are reviewed quarterly.
Income for 2024 was £11,763,710 against prior year £8,507,681 .The increase of £3,256,029 is due to additional funding streams being secured and an expansion of the CEC service level agreement to incorporate new and additional funding for dispersal by CCP. Expenditure in 2024 was £11,403,313 against prior year £8,366,338 which represents an increase of £3,036,975 and reflects higher level of funding dispersal under CEC SLA arrangement plus increased project activity and higher associated staffing levels.  

GOING CONCERN
The Directors have prepared the financial statement on a going concern basis as a review of the budget for the 2024/25 period indicates that reserves are adequate to meet the needs of the organization for the foreseeable future. In making this assessment the Board have considered the 12 months period beyond sign off and in doing so are aware that the Service Level Agreement in place with the City of Edinburgh Council has been approved for a three year period to March 2027 with detailed funding allocation agreed annually.  The Board are confident that adequate levels of funding will be received and in light of holding net current assets on 31 March 2024 of  £2,694,526 which are mainly represented in cash they support the going concern basis of preparation for a period of 12 months from date of approval of these financial statements.

MEMBERS 
Members of the charitable company guarantee to contribute an amount not exceeding £1 to the assets of the charitable company in the event of winding up.  The total number of such guarantees on 31 March 2024 was 5.





DIRECTORS RESPONSIBILITIES 
The Directors are responsible for preparing the Directors 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 Directors to prepare financial statements for each financial year. Under company law, the Directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the incoming resources and application of resources, including the income and expenditure, of the company for that period. 
In preparing these financial statements, the Directors are required to:
Page 5

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)
 

select suitable accounting policies and then apply them consistently;
observe the methods and principals of the Charities SORP (FRS 102);
make judgements and accounting estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the  company will continue in business.

The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Financial statements are published on the company’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements, which may vary from legislation in other jurisdictions.  The maintenance and integrity of the company’s website is the responsibility of the Directors.  The Directors’ responsibility also extends to the ongoing integrity of the financial statements contained therein.

DISCLOSURE OF INFORMATION TO AUDITOR
Each of the persons who are Directors at the time when this Directors' report is approved has confirmed that:
so far as that Director is aware, there is no relevant audit information of which the company's auditors are unaware, and
that Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the company's auditors are aware of that information.







 
AUDITORS
The auditors, Sumer Auditco Limited, have indicated their willingness to continue in office. The designated Directors will propose a motion reappointing the auditors at a meeting of the Directors.
 
 

 

Approved by order of the members of the board of Directors on 3 September 2024 and signed on their behalf by:
 




Jane Meagher
Director
Page 6

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE CAPITAL CITY PARTNERSHIP LIMITED
 

Opinion


We have audited the financial statements of The Capital City Partnership Limited (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 related notes, 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, including its income and expenditure 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 Auditors' 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 United Kingdom, including the Financial Reporting Council'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 Directors' 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 Directors with respect to going concern are described in the relevant sections of this report.


Page 7

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE CAPITAL CITY PARTNERSHIP LIMITED (CONTINUED)


Other information


The other information comprises the information included in the Annual report other than the financial statements and our Auditors' report thereon. The Directors are responsible for the other information contained within the Annual reportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.


Opinion on other matters prescribed by the Companies Act 2006
 

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

the information given in the Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements.
the Directors' report has been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception


In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors' report.


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

adequate and proper accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of Directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit; or
the Directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Directors' report and from the requirement to prepare a Strategic report.


Responsibilities of directors


As explained more fully in the Directors' responsibilities statement, the Directors (who are also the directors of the charitable company for the purposes 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 Directors 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 Directors 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 Directors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
 

Page 8

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE CAPITAL CITY PARTNERSHIP LIMITED (CONTINUED)


Auditors' 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 the Companies Act 2006 and report in accordance with the Act 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 Auditors' 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.


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:

We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
We focused on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Charities and Trustee Investment (Scotland) Act 2005 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation and enquiries with management. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it.  As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.


Page 9

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE CAPITAL CITY PARTNERSHIP LIMITED (CONTINUED)


Use of our report
 

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the charitable company's trustees, as a body, in accordance 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 members and Directors 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, its members, as a body, and its trustees, as a body for our audit work, for this report, or for the opinions we have formed.





Greg Stapley (Senior statutory auditor)
for and on behalf of
Sumer Auditco Limited
Chartered Accountants
Statutory Auditors
Pentland House
Saltire Centre
Glenrothes
Fife
KY6 2AH

3 September 2024


Sumer Auditco Limited are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.


Page 10

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)


 
STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT)
FOR THE YEAR ENDED 31 MARCH 2024


Unrestricted funds
2024
Restricted funds
2024
Total
funds
2024
As restated
Total
funds
2023
        £
        £
        £
        £

Income from:







Donations and legacies

4

647,212

10,970,558

11,617,770

8,502,870
 
Investments

5

145,940

-

145,940

4,811
 
Total income
793,152
10,970,558
11,763,710
8,507,681
Expenditure on:







Charitable activities

6

719,996

10,683,317

11,403,313

8,366,338
 
Total expenditure
719,996
10,683,317
11,403,313
8,366,338

Net movement in funds before other recognised gains/(losses)

  

73,156

287,241

360,397

141,343
 

Other recognised gains/(losses):

  





Actuarial gains on defined benefit pension schemes

 20 

184,000

-

184,000

2,236,000
 
Pension surplus not recognised

 20 

(283,000)

-

(283,000)

(2,063,000)
 
Net movement in funds
  
(25,844)
287,241
261,397
314,343

Reconciliation of funds:

  





Total funds brought forward

  

908,937

1,539,652

2,448,589

2,134,246
 
Net movement in funds

  

(25,844)

287,241

261,397

314,343
 
Total funds carried forward
  
883,093
1,826,893
2,709,986
2,448,589

The Statement of financial activities includes all gains and losses recognised in the year.

The notes on pages 14 to 37 form part of these financial statements.

Page 11

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)
REGISTERED NUMBER: SC193404


 
BALANCE SHEET
AS AT 31 MARCH 2024


As restated
2024
2023
£
£

Fixed assets
  

Tangible assets
 12 
15,460
17,324

  
15,460
17,324

Current assets
  

Debtors
 13 
575,368
1,311,799

Cash at bank and in hand
  
2,771,806
2,296,724

  
3,347,174
3,608,523

Creditors: amounts falling due within one year
 14 
(652,648)
(1,177,258)

Net current assets 
  
 
 
2,694,526
 
 
2,431,265

Total net assets 
  
2,709,986
2,448,589


Charity funds
  

Restricted funds
 15 
1,826,893
1,539,652

Unrestricted funds
  

General reserve
 15 
717,437
708,937

Designated fund
 15 
165,656
200,000

Total unrestricted funds
 15 
 
 
883,093
 
 
908,937

Total funds
  
2,709,986
2,448,589

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

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

The financial statements were approved and authorised for issue by the Directors on 03 September 2024 and signed on their behalf by:



Jane Meagher
Director

The notes on pages 14 to 37 form part of these financial statements.

Page 12

 
THE CAPITAL CITY PARTNERSHIP LIMITED
 
(A company limited by guarantee)


 
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024

2024
2023
£
£

Cash flows from operating activities
  

Net cash used in operating activities

 17 

435,892
512,342

Cash flows from investing activities
  

Interest receivable
  
43,940
4,811

Purchase of tangible fixed assets
  
(4,750)
(8,313)

Net cash provided by/(used in) investing activities

  

39,190
(3,502)

Change in cash and cash equivalents in the year
  
 
475,082
 
508,840

Cash and cash equivalents at the beginning of the year
  
2,296,724
1,787,884

Cash and cash equivalents at the end of the year
 18 
2,771,806
2,296,724

The notes on pages 14 to 37 form part of these financial statements

Page 13

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

1.


General information

The Capital City Partnership is a charitable company limited by guarantee, incorporated in Scotland, UK. The company's registered office and company number are disclosed on the company information page. The Capital City Partnership Limited constitutes a public benefit entity as defined by FRS 102. The Company's principal activity is as described in the directors' report.
The presentation currency of these financial statements is GBP. Rounding to the nearest pound has been applied in the preparation of these financial statements


2.Accounting policies

  
2.1

Basis of preparation of financial statements

The financial statements 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), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.


  
2.2

Going concern

The company currently operates with a mixture of public and private sector funding. A Service Level Agreement (SLA) with the City of Edinburgh Council is a key aspect of the financial stability of the company as is the Edinburgh and Southeast Scotland City Regional Deal funding (ESESCRD). The SLA which was due to expire in March 2024 was renewed by the City of Edinburgh Council from April 2024 for a three year period. 
Given the nature of the work undertaken by the company and the current economic climate, demand for services has been high, with employability, skills, labour market intelligence, welfare support and tackling poverty and social injustice being high on the national agenda. The need for this work is increasing as the detrimental effects of the economic situation become apparent. There is no indication that CEC SLA funding nor Scottish Government ESESCRD funding will cease and every indication that services will continue to be required at a more intensive pace.
The unexpected removal of either of these funding streams would not only impact on the company's ability to secure financial leverage which is key to current strategic plans, but would seriously affect the viability of the company, however as the demand for services is increasing and both funding streams are considered relatively stable, the risk that this scenario would arise is deemed relatively low and a policy of bolstering the general reserve last year was deliberately pursued with the aim of mitigating the effects of volatility such as may be generated by the current economic situation. Financial models have been prepared for the period to March 2026 which set out the funding streams, their probability and the associated costs as well as the cash flow position for the same period. 
The Directors therefore consider that operational capacity, demand for services and current financial
health of the company do not represent a material uncertainly in relation to the going concern basis of
preparation of the financial statements.

Page 14

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

  
2.3

Consolidation

The charity's financial statements are consolidated within the financial statements of the City of Edinburgh Council. As stated in the Articles of Association, The City of Edinburgh Council are the members of the charitable company and as a result have control over the activities of the charity as well as the ability to appoint and remove directors. The consolidated statements are available to the public and can be obtained from www.edinburgh.gov.uk.

  
2.4

Income

All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

  
2.5

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. However, the cost of overall direction and administration on each activity, comprising the salary and overhead costs of the central function, is apportioned on the following basis which is an estimate, based on staff time, of the amount attributable to each activity:
Charitable activities                 80%
Support costs                         20%
Governance costs are charged directly to the Statement of Financial Activities when incurred and include audit and accountancy fees and any directors' expenses. These are charged to the activity to which they relate.

Grants are recognised in full in the Statement of Financial Activities in the year in which an offer is formally accepted by the benefactor.

All expenditure is inclusive of irrecoverable VAT.

  
2.6

Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Company; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

Page 15

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

 
2.7

Tangible fixed assets and depreciation

Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably. 

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following bases:

Fixtures and fittings
-
over 4 years
Office equipment
-
over 3 years

  
2.8

Debtors

Short term debtors are measured at the transaction price, less any impairment. Grants receivable are recognized in so far as the conditions attached to the grants have been met and have been demonstrated to the grant giver. Prepayments are valued at the amount prepaid.

  
2.9

Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.


2.10

Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.

  
2.11

Financial instruments

The Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

  
2.12

Operating leases

Rentals paid under operating leases are charged to the Statement of financial activities on a straight-line basis over the lease term.

Page 16

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

2.Accounting policies (continued)

  
2.13

Pensions

The Company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Company to the fund in respect of the year.

The Company participates in a multi-employer defined benefit pension scheme into which payments are made. The current service costs are charged to the Statement of Financial Activities as they fall due (see note 20). The information is based on a full actuarial valuation dated 31 March 2023

The organisation fully adopts the Financial Reporting Standard FRS102 Section 28 `Employee Benefits'. The scheme actuary has calculated the split of net assets and liabilities between the participating employers. The impact on the results and on reserves is given in note 20 to the financial statements and the Statement of Financial Activities.
The Statement of Financial Activities is charged with the cost of providing pension benefits earned by employees in the period. The interest on pension scheme assets less the interest on pension scheme liabilities is included as part of this charge. Actuarial gains and losses arising in the period from the difference between actual and expected returns on pension scheme assets, experience gains and losses on pension scheme liabilities and the effects of changes in demographics and financial assumptions, are included in total recognised gains and losses.
The organisation's share of the accumulated pension scheme surplus is not recognised or included in the balance sheet.  The trustees do not believe the Company is able to recover the surplus either through reduced contributions in the future or through refunds from the plan.

  
2.14

Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Directors in furtherance of the general objectives of the Company and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Directors for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

Page 17

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

3.

Key judgement and areas of estimation uncertainty

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.


The key judgements and sources of estimation uncertainty in the preparation of the financial statements are as follows:
Grants receivable and payable
The level and timing of income and expenditure in relation to grants is an area of key judgement as it is determined for accounting purposes by referring to the conditions of grant. Grants receivable are recognised in so far as the conditions attached to the grant have been met and have been demonstrated to the grant giver. The level and timing of provision to grant recipients is determined by monitoring grant criteria and ensuring that conditions are being met.
Pension
The actuarial assumptions used in calculating the defined benefit pension scheme requires judgement on the part of the Directors. In making these assumptions, advice has been taken from an independent qualified actuary. The assumptions are all shown in note 20.



Page 18

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

4.

Income from donations and legacies




Unrestricted funds
2024
Restricted funds
2024
Total
funds
2024
        £
        £
        £
Grants





Employer engagement

30,000

-

30,000

City of Edinburgh Council

617,212

3,911,265

4,528,477

City Regional Deal

-

1,486,957

1,486,957

Skills centres

-

1,008,151

1,008,151

Joined Up For Families

-

390,810

390,810

UK Shared Prosperity Fund

-

3,620,097

3,620,097

Regional Prosperity Framework

-

228,278

228,278

Youth Programme

-

325,000

325,000



647,212
10,970,558
11,617,770




Unrestricted funds
2023
Restricted funds
2023
Total
funds
2023
        £
        £
        £
Grants





Employer engagement

30,000

-

30,000

City of Edinburgh Council

561,500

3,208,949

3,770,449

City Regional Deal

-

1,531,975

1,531,975

Skills centres

-

702,250

702,250

Joined Up For Families

-

630,431

630,431

UK Shared Prosperity Fund

-

572,347

572,347

Youth Programme

-

1,265,418

1,265,418



591,500
7,911,370
8,502,870

Page 19

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

5.

Investment income



Unrestricted funds
2024
Total
funds
2024
        £
        £



Bank interest

43,940

43,940

Interest on defined benefit scheme asset

102,000

102,000



145,940
145,940



Unrestricted funds
2023
Total
funds
2023
        £
        £



Bank interest

4,811

4,811



6.

Analysis of expenditure on charitable activities


Summary by fund type




Unrestricted funds
2024
Restricted funds
2024
Total
2024
        £
        £
        £




Furthering social justice in Edinburgh

719,996

10,683,317

11,403,313





Unrestricted funds
2023
Restricted funds
2023
Total
2023
        £
        £
        £




Furthering social justice in Edinburgh

672,618

7,693,720

8,366,338


Page 20

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

7.

Analysis of grants



Grants to Institutions
2024
Total
funds
2024
        £
        £



Furthering social justice in Edinburgh

8,841,671

8,841,671




Grants to Institutions
2023
Total
funds
2023
        £
        £



Furthering social justice in Edinburgh

6,073,839

6,073,839


The Charity has made the following material grants to institutions during the year:

Page 21

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024


Grants Payable


2024
2023

£
£

Action for Children
226,099
125,000

All Cleaned Up Scotland
53,614
71,485

Access to Industry
546,789
627,954

Apex Scotland
221,106
36,272

AUGB
-
6,000

Barnardos
436,304
389,648

Bike Station
34,979
19,687

Broomhouse Centre
366,005
156,266

Canongate Youth  Project
40,000
60,000

Caselink (Iconi)
-
3,600

CHAI
426,076
34,118

Challenges Worldwide
240,150
37,813

Childcare Connections
132,240
132,240

Children 1st
373,000
624,255

Circle
-
11,000

Citadel Youth Centre
141,899
117,546

City of Edinburgh Council
-
5,000

Codebase
386,500
19,500

Codeclan
-
43,500

Community Renewal
360,000
360,000

Datakirk
42,000
117,000

Dean & Cauvin
50,000
-

DNIPRO Kids
-
5,000

Dunedin Canmore/Wheatly
189,422
120,000

East Lothian Council
-
11,250

Edible Estates
169,053
14,063

Edinburgh Chamber of Commerce
121,532
56,935

Edinburgh Cyrenians
400,935
339,620

Edinburgh Trade Unions Council
49,000
49,000

Edinburgh Womens Aid
-
20,000

Empty Kitchens Full Hearts
77,819
17,110

ESESCRD IEE Employer Fund
49,512
48,193

ESESCRD IEE RSC Fund
18,283
50,816

ESESCRD IEE Enabling Grants
51,700
-

ENABLE Scotland
75,000
179,889

Energy Training Academy
6,276
-

ERCC
16,167
-

Everyones Edinburgh
6,250
6,250

EVOC
96,188
22,625

Fife Gingerbread
140,000
140,000

Freshstart
34,938
11,738

Foursquare
75,000
75,000

Hanlon Systems
57,900
58,100

Homestart
34,000
17,000

Impact Arts
75,000
70,000

Intowork
30,000
68,250

Kidzcare
126,950
86,150

LIFT
37,153
15,000

Linknet
59,980
59,980

Page 22

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024


Grants Payable (continued)


2024
2023

£
£

Move On
-
62,352

Napier University
30,000
13,972

NKS (Networking Key Services)
61,650
4,000

North Edinburgh Childcare
395,369
395,369

One Parent Family Scotland
64,452
35,000

Passion for Fusion
41,520
5,000

People Know How
60,000
25,000

Poverty Alliance
62,334
-

Prespect
-
50,370

Princes Trust
169,560
34,180

Project Esperanza
25,000
6,000

Ripple Project
-
6,000

Rural and Urban Training Scheme
75,000
73,050

Saheliya
44,626
44,000

Score Scotland
22,500
-

Scottish Borders Council
85,000
85,000

Smilechildcare
258,813
258,813

Sniffer
102,000
-

SOHTIS
53,193
-

South of Scotland Enterprize
2,000
-

Southside Community
23,210
-

Spartans Com Football Academy
330,000
20,000

Stepping Stones
20,584
6,000

Street League
-
67,621

Venture Trust
-
40,529

Volunteer Centre Edinburgh
209,062
139,031

Volunteering Matters
101,493
-

WHALE
-
20,000

Welcoming Association
55,807
-

West Lothian College
18,775
-

West Lothian Council
100,000
110,000

Womans Aid
72,859
-

Young Enterprise Scotland
-
16,200

Grants under £5,000
5,835
16,500

Grants repaid to City of Edinburgh Council
276,211
-

8,841,671
6,073,839

Page 23

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

8.

Analysis of expenditure by activities





Activities undertaken directly
2024
Grant funding of activities
2024
Support costs
2024
Total
funds
2024
        £
        £
        £
        £





Furthering social justice in Edinburgh

2,035,743

8,841,671

525,899

11,403,313







Activities undertaken directly
2023
Grant funding of activities
2023
Support costs
2023
Total
funds
2023
        £
        £
        £
        £





Furthering social justice in Edinburgh

1,833,999

6,073,839

458,500

8,366,338



Page 24

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

8.Analysis of expenditure by activities (continued)

Analysis of direct costs



Total
funds
2024
Total
funds
2023
        £
        £



Staff costs

1,452,357

1,422,222
 
Depreciation

5,292

8,162
 
Direct activity costs

578,094

403,615
 


2,035,743
1,833,999

Analysis of support costs



Total
funds
2024
Total
funds
2023
        £
        £



Staff costs

362,340

312,304
 
Depreciation

1,323

2,041
 
Management, IT, finance and interest

144,596

134,135
 
Governance costs

17,640

10,020
 


525,899
458,500


9.

Auditors' remuneration

2024
2023
£
£

Fees payable to the Company's auditor for the audit of the Company's annual accounts
13,000
10,020

Page 25

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

10.



Staff costs


2024
2023
£
£


Wages and salaries
1,493,309
1,200,290

Social security costs
152,220
125,867

Contribution to defined contribution pension schemes
53,168
97,369

Operating costs of defined benefit pension schemes
167,000
311,000

Refund of strain payment from defined benefit pension schemes
(51,000)
-

1,814,697
1,734,526

Redundancy costs of £nil (2023: £8,062) in lieu of termination benefits are included within wages and salaries costs.

The average number of persons employed by the Company during the year was as follows:


2024
2023

No.
No.


Senior executive
2
2

Project  and support staff
34
29

Finance and admin staff
2
1

38
32

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:


2024
2023

No.
No.


In the band £60,001 - £70,000
1
1

In the band £70,001 - £80,000
-
1

In the band £80,001 - £90,000
1
-


11.


Directors' remuneration and expenses

During the year, no Directors received any remuneration or other benefits (2023 - £NIL).

During the year ended 31 March 2024, no Director expenses have been incurred (2023 - £NIL).

Page 26

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

12.


Tangible fixed assets




Fixtures and fittings
Office equipment
Total

£
£
£


Cost or valuation

At 1 April 2023
77,277
80,567
157,844

Additions
1,198
3,552
4,750


At 31 March 2024

78,475
84,119
162,594


Depreciation

At 1 April 2023
71,562
68,958
140,520

Charge for the year
874
5,740
6,614


At 31 March 2024

72,436
74,698
147,134


Net book value


At 31 March 2024
6,039
9,421
15,460


At 31 March 2023
5,715
11,609
17,324


13.



Debtors


2024
2023
£
£



Grants receivable
575,368
1,311,799

575,368
1,311,799

Page 27

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

14.



Creditors: Amounts falling due within one year


2024
2023
£
£


Trade creditors
224,104
301,762

Accruals and deferred income
189,939
229,482

Other taxation and social security
38,473
33,316

Accruals for grants payable/repayable
200,132
612,698

652,648
1,177,258

2024
2023
£
£

Analysis of deferred income

Deferred income at 1 April 2023
190,473
120,728

Resources deferred during the year
159,834
190,473

Amounts released from previous periods
(190,473)
(120,728)

159,834
190,473








Page 28

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

15.

Statement of funds


Statement of funds - current year

Balance at 1 April 2023
£
Income
£
Expenditure
£
Gains/
(Losses)
£
Balance at 31 March 2024
£

Unrestricted funds






General reserve

708,937

793,152

(784,652)

-

717,437
 
Pension reserve

-

-

99,000

(99,000)

-
 
Designated fund

200,000

-

(34,344)

-

165,656
 



908,937
793,152
(719,996)
(99,000)
883,093

Restricted funds







Employability Programme

693,024

3,911,265

(3,951,465)

-

652,824
 
Edinburgh and East of Scotland City Regional Deal

58,837

1,486,957

(1,502,501)

-

43,293
 
Recruitment Skills Centres

619,244

1,008,151

(839,671)

-

787,724
 
Joined Up For Families

155,924

390,810

(343,760)

-

202,974
 
Youth Programme

4,773

325,000

(325,194)

-

4,579
 
UK Shared Prosperity Fund

7,850

3,620,097

(3,599,951)

-

27,996
 
Regional Prosperity Framework

-

228,278

(120,775)

-

107,503
 



1,539,652
10,970,558
(10,683,317)
-
1,826,893

Total of funds


2,448,589
11,763,710
(11,403,313)
(99,000)
2,709,986

Page 29

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

15.

Statement of funds (continued)



Statement of funds - prior year

Balance at
1 April 2022
£
Income
£
Expenditure
£
Transfers in/out
£
Gains/
(Losses)
£
Balance at
31 March 2023
£

Unrestricted funds







General reserve

812,244

596,311

(499,618)

(200,000)

-

708,937
 
Pension reserve

76,000

-

(173,000)

-

97,000

-
 
Designated fund

-

-

-

200,000

-

200,000
 



888,244
596,311
(672,618)
-
97,000
908,937


Restricted funds








Employability Programme

693,024

3,208,949

(3,208,949)

-

-

693,024
 
Edinburgh and East of Scotland City Regional Deal

79,595

1,531,975

(1,552,733)

-

-

58,837
 
Recruitment Skills Centres

371,801

702,250

(454,807)

-

-

619,244
 
Joined Up For Families

125,812

630,431

(600,319)

-

-

155,924
 
Youth Programme

51,770

1,265,418

(1,312,415)

-

-

4,773
 
UK Shared Prosperity Fund

-

572,347

(564,497)

-

-

7,850
 



1,322,002
7,911,370
(7,693,720)
-
-
1,539,652


Total of funds


2,210,246
8,507,681
(8,366,338)
-
97,000
2,448,589

Page 30

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

15.

Statement of funds (continued)

Purposes of unrestricted funds

General reserve comprises funds utilised for core activities of the charity.

Pension reserve represents the actuarial asset of the defined benefit pension scheme as calculated by the pension scheme actuary.

The designated fund comprises £200,000 to cover the costs of a strategic and structural review around the forward plan for the entity to take place over the period to 31 March 2026.

Purposes of restricted funds
Employability Programme
 comprises grants to employability organisations, targeted integrated employability service, activity agreements, support to childcare hubs, parental employment support grants and a wider range of employability support.
Other funds managed by the company included:
Edinburgh and Southeast Scotland City Region Deal (ESESCRD) - This programme provides three key activities under the employability and skills element of the City Region Deal across six local authority regions, namely Intensive Family Services (IFS), Integrated Knowledge Systems (IKS) and Integrated Employer Engagement (IEE).
Recruitment Skills Centres - these funds support the operation of recruitment skills centre models in two locations, Fort Kinnaird Retail Park and the MacMillan Skills hub in Edinburgh Waterfront with the aim of maximizing employment and upskilling opportunities for disadvantages communities while matching labour force supply and demand in targeted sectors.
Joined Up for Families - this is a collaborative activity which support a range of employability, financial, welfare support and advice to families via schools and community hubs.
Youth programme - provides support and services to disadvantaged young people by identifying innovative and timely interventions to move young people into employment, training and life experience.
UK Shared Prosperity Fund (UKSPF) - this is a levelling up fund provided through the City of Edinburgh Council, which supports a diverse range of projects under three overarching priorities: communities and place, supporting local business and people/skills with the aim of building pride in place and increasing life chances.
Regional Prosperity Framework (RPF) - this a levelling up fund provided through six local authorities which aims to develop innovative regional projects in a range of fields including energy, tourism and climate research. 

Page 31

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

16.

Analysis of net assets by fund


General reserve
Designated fund
Restricted funds
Total
funds

2024
2024
2024
2024

£
£
£
£

Tangible fixed assets
 15,460
 -
 -
 15,460

Net current assets
 701,977
 165,656
 1,826,893
 2,694,526

 
 
 
 

Net assets at 31 March 2024
 717,437
 165,656
 1,826,893
 2,709,986



General reserve
Designated fund
Restricted funds
Total
funds

2023
2023
2023
2023

£
£
£
£

Tangible fixed assets
 17,324
 -
 -
 17,324

Net current assets
 691,613
 200,000
 1,539,652
 2,431,265

 
 
 
 

Net assets at 31 March 2023
 708,937
 200,000
 1,539,652
 2,448,589


17.



Reconciliation of net movement in funds to net cash flow from operating activities


2024
2023
£
£

Net income for the period (as per Statement of Financial Activities)



360,397

141,343

Adjustments for:

Depreciation charges
6,614
10,204

Decrease/(increase) in debtors
736,431
(424,303)

Increase/(decrease) in creditors
(524,610)
616,909

Interest receivable
(43,940)
(4,811)

Net Interest receivable - pension scheme
(102,000)
-

Defined benefit pension scheme - FRS 102 adjustment less employer contributions
3,000
173,000

Net cash provided by operating activities
435,892
512,342


Page 32

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

18.



Analysis of cash and cash equivalents


2024
2023
£
£

Cash in hand
2,771,806
2,296,724

Total cash and cash equivalents
2,771,806
2,296,724


19.



Analysis of changes in net debt





At 1 April 2023
Cash flows
At 31 March 2024
£
£

£

Cash at bank and in hand

2,296,724

475,082

2,771,806


2,296,724
475,082
2,771,806

Page 33

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

20.


Pension commitments

The Capital City Partnership operates a defined contribution pension scheme. 
The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £53,168 (2023 - £97,369). No amounts were payable to the fund at the balance sheet date (2023 - £nil).

The Company operates a defined benefit pension scheme.

The Capital City Partnership participates in The Lothian Pension Fund Final Salary Pension Scheme (the "Scheme''. The Scheme is a multi-employer defined benefit scheme and is funded.
During the accounting period The Capital City Partnership paid contributions at the rate of 18.8%. Member contributions were paid on a sliding scale dependent upon salary level and range from 5% to 9%. The Capital City Partnership contribution rate from April 2024 is 18.8%. 
As at 31 March 2024 there were 14 active (2023 - 14) and 15 deferred (2023 - 14) members of the
Scheme employed. The Capital City Partnership continues to offer membership of its scheme to its employees and pensioners.

The last full valuation of the scheme was performed as at 31 March 2023 by a professional qualified actuary using the "projected unit credit" method.  This has been updated to reflect conditions at 31 March 2024.

Principal actuarial assumptions at the Balance sheet date (expressed as weighted averages):

At 31 March 2024
At 31 March 2023
%
%

Future pension increases
2.75
2.95

Future salary increases
3.25
3.45

Discount rate
4.85
4.75



At 31 March 2024
At 31 March 2023
Years
Years

Mortality rates (in years)

- for a male aged 65 now
21.3
19.9

- at 65 for a male aged 45 now
21.7
21.2

- for a female aged 65 now
23.8
22.9

- at 65 for a female aged 45 now
24.9
24.7


Page 34

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

20.Pension commitments (continued)

The Company's share of the assets in the scheme was:

At 31 March 2024
At 31 March 2023
£
£

Equities
5,240,160
4,672,080

Bonds
1,237,260
973,350

Property
582,240
519,120

Cash and other liquid assets
218,340
324,450

Total fair value of assets
7,278,000
6,489,000

The actual return on scheme assets was £436,000 (2023 - £143,000).

The amounts recognised in the Statement of financial activities are as follows:

2024
2023
£
£

Current service cost
167,000
311,000

Interest income
(310,000)
171,000

Interest cost
208,000
(171,000)

Total amount recognised in the Statement of financial activities
65,000
311,000

Movements in the present value of the defined benefit obligation were as follows:

2024
2023
£
£

Opening defined benefit obligation
4,350,000
6,244,000

Current service cost
167,000
311,000

Interest cost
208,000
171,000

Contributions by scheme participants
60,000
48,000

Actuarial losses/(gains)
252,000
(2,269,000)

Benefits paid
(181,000)
(155,000)

Closing defined benefit obligation
4,856,000
4,350,000

Page 35

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

20.Pension commitments (continued)

Movements in the fair value of the Company's share of scheme assets were as follows:

2024
2023
£
£

Opening fair value of scheme assets
6,489,000
6,320,000

Interest received
310,000
171,000

Contributions by scheme participants
60,000
48,000

Contributions by employer
164,000
138,000

Return on assets
436,000
(33,000)

Benefits paid
(181,000)
(155,000)

Closing fair value of scheme assets
7,278,000
6,489,000



21.


Operating lease commitments

At 31 March 2024 the Company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

2024
2023
£
£


Not later than 1 year
18,552
18,696




22.


Related party transactions

The charity has a code of conduct whereby a director of the charity must note his interest and withdraw from the discussion where the charity is considering awarding a grant to an organisation over which that director has an influence.
No transactions with relating parties were undertaken as are required to be disclosed under Section 33 of Financial Reporting Standard 102.
Key management personnel include all Directors and 2 members of senior staff who together have responsibility for planning, directing and controlling the activities of the company. The total compensation in respect of key management for services provided to the company in the year, inclusive of employer's national insurance contributions was £ 202,535 ( 2023  £186,926).
No directors' expenses were reimbursed or received remuneration during the year (2023: £nil).

Page 36

 
THE CAPITAL CITY PARTNERSHIP LIMITED

(A company limited by guarantee)
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024

23.


Prior year adjustments

Unrestricted funds have been restated to adjust for a gain on the defined benefit pension scheme resulting in a pension asset recognised erroneously in 2023 and 2022, where the trustees do not believe that the charitable company will recover the surplus through either reduced contributions in the future or refunds from the plan.
The effect within the Statement of Financial Activities is to reduce other gains by £76,000 in the year to 31 March 2022 and by £2,063,000 in the year to 31 March 2023, reducing the net assets of the charity by £76,000 at 31 March 2022 and by £2,139,000 at 31 March 2023.

Page 37