The trustees present their annual report and financial statements for the year ended 31 March 2025.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)".
The company's objects are:
To promote the work of the third sector and volunteer development and to promote activities with charitable purposes for the benefit of the inhabitants of Angus and, in particular, to promote the advancement of education, the furtherance of health and welfare and the relief of poverty, sickness and distress.
The company will achieve this through:
Volunteering development
Social Enterprise development
Supporting and developing a strong third sector
Building the third sector relationship with community planning
VAA is a community development agency committed to positive social change and also a delivery agency of the Third Sector Interface (TSI) service as within our funding from Scottish Government. VAA activities are described as follows:
Building inclusive and buoyant volunteering cultures where all people enjoy the right to volunteer.
Creating a sustainable dynamic and innovative social enterprise movement democratically led by local people delivering local services.
Developing the capacity of the third sector and community organisations.
Facilitating change within partnership settings where the third sector has a central role in decision making and culture change.
Empowering communities to care.
Combating poverty.
Providing learning and facilitation of better approaches towards working with communities and civic health.
VAA currently have 1900 volunteers registered with 500 active within the organisation, the volunteer numbers within VAA cover Befriending, Breast Buddies volunteers and Intergenerational Befriending roles which has seen a number of young volunteers support our work. The role of the organisation is to support the recruitment volunteers within the wider Third Sector, as organisations have begun phasing back to business as usual the recruitment of external volunteers has increased significantly this year.
As Chair of Voluntary Action Angus (VAA), I am proud to reflect on a year of continued growth, strategic leadership, and frontline impact. The commitment and adaptability of our staff, volunteers, and trustees have once again been instrumental in advancing our mission to empower communities and strengthen the third sector across Angus.
In 2024/25, VAA employed 17 staff working 30 hours or more, with a further 12 staff working less than 30 hours. Our organisational model continues to be powered by dedicated volunteers and supported by a Board whose strategic oversight and governance expertise guide our progress.
This year, VAA has delivered a wide-ranging programme of work across volunteering, employability, youth engagement, governance support, and community development. Through projects such as the Kirriemuir Friday Nite Project, the Angus Community Connector platform, and the Whole Family Wellbeing Fund, we have created meaningful pathways for individuals and organisations to connect, grow, and lead.
Over 540 young people have engaged with the Friday Nite Project in the past year alone, with renewed funding secured and exciting plans underway to further expand the programme. The Angus Community Connector platform now supports over 7,500 unique users and hosts 360 active listings, making it an essential tool for connecting residents with services as well as different agencies across Angus. Our digital strategy has evolved significantly, with new features like push notifications – which alert all app users each time we upload a new organisation/service.
Importantly, VAA has continued to demonstrate its capacity to lead at both a strategic and operational level. We have successfully managed multiple funding streams, including the Communities Mental Health and Wellbeing Fund and the Whole Family Wellbeing Fund, distributing over £500,000 in grants while implementing strong governance, evaluation, and sector engagement frameworks. Feedback from funders and government partners has been overwhelmingly positive, with VAA being selected as the first TSI in Scotland to host a site visit from the Scottish Government’s Communities Mental Health team.
This year also saw the launch of our Events and Campaigns Calendar, a dedicated tool on VAA website, designed to boost visibility and collaboration across the sector. We have seen a marked increase in cross-sector working, as evidenced by the success of our most recent event; Employability Networking Event, and we continue to drive innovative thinking across service design and delivery.
I would like to thank the Board for their continued commitment and support, and our funders and partners for recognising the value of our work. VAA remains resolutely focused on its purpose — to support a thriving, connected, and compassionate third sector in Angus. As Chair, I am confident we are building an organisation with the resilience, leadership, and community trust to meet the challenges and opportunities that lie ahead.
The trustees shall have the power on behalf of the collective to retain, accept, purchase, sell, lease, hold and invest any property, heritable and moveable, real and personal of whatever kind and wherever suited.
After making appropriate enquiries, the Trustees have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
The results for this year are set out in the attached accounts. During the year the charity made a deficit of £76,233 (2024 - deficit of £272,918). At the year end 31 March 2025, the charity held unrestricted reserves of £352,179 (2024 - £330,669) and restricted reserves of £260,566 (2024 - £358,309). Included within unrestricted reserves is a designated reserve of £12,000 (2024 - £Nil) which the trustees have designated for emergency building repairs, specifically the roof in future years.
The trustees have adopted a reserves policy to maintain unrestricted funds at a level sufficient to manage financial risks and sustain operational continuity. The target reserves are set between three and six months of core operational costs, equating to a minimum of £135,000 and a maximum of £270,000 based on the approved 2024/25 budget.
The current level of unrestricted reserves of £352,179 exceeds the upper target range. This surplus provides the charity with a strong buffer against financial uncertainty and creates capacity to invest in strategic priorities. The trustees have designated £12,000 of these funds for emergency building repairs, specifically roof maintenance anticipated in future years.
The Chief Executive Officer and Finance Officer continue to monitor the reserves position quarterly, with the Board reviewing the policy and reserves annually. Should reserves fall below the minimum level, a restoration plan will be implemented. Conversely, excess reserves may be allocated to strategic priorities or risk mitigation.
The charities principle sources of funding are Social Care Partnership, Scottish Government and Angus Council. Income has fluctuated due to Aspiring Scotland project coming to a close in the year. There are new revenue streams this year however, including rental income generated from the investment made in the new premises.
As a charity reliant partially on funding from public sector sources, the principle risk to VAA may be reflective of the decline of resources afforded to Local Authority and Statutory organisations. Whilst these risks are perhaps the most profound in recent times the current change agenda requires shift and recalibration of service delivery from Statutory to Third sector providers. In essence this creates a significant amount of uncertainty and risk. but also opportunity.
In mitigating the potential impact of such risks VAA is well placed to lead on the development of service delivery of the future. In part as an incubating organisation creating the growth of new social enterprise but also in developing consortium and collaborative approaches within the third sector. VAA occupies a central position in the area of Health and Social care integration, delivering sustainable and transformative volunteer services which are critical to culture change within reshaping Care in Scotland. VAA is quoted by Scottish Government as being a leader in its field, is well respected and influential in the main strategic partnership within Angus and a key contributor to combating poverty in the county.
Despite this VAA is not complacent and recognises the need to restructure to meet the demands on its services and to advance its capacity building and engagement role. Such level of restructure will be detailed in a strategic review which will look at all aspects of supply and demand, location, impact analysis and staffing.
The Trustees have assessed the major risks to which the Company is exposed, in particular those related to the operations and finances of the Company, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.
To maximise the impact of the coming year, we believe it is crucial to reflect on the growth and development of Voluntary Action Angus (VAA). As part of this process, VAA is currently formulating a comprehensive five-year strategic plan that will establish a clear and ambitious direction for the organisation. This plan aims to further strengthen VAA's strategic leadership while continuing its critical role as a fund manager. Our objective is to secure and distribute an additional funding to support numerous charities and community groups across Angus. Central to our mission is empowering organisations and communities to foster innovative projects that drive meaningful change.
Our Vision
Resilient and empowered communities creating a stronger, fairer Angus – We are committed to tackling poverty and health inequalities to enable the people of Angus to flourish.
We are steadfast in our commitment to addressing poverty and health inequalities, enabling the people of Angus to thrive.
Strategic Focus Areas
Knowledge
Serve as the primary source of expertise on
The local Third Sector.
The implications of local and national policies on the Third Sector, communities, and citizens, and how the Third Sector can actively contribute to these agendas.
Advocacy
Ensure a robust Third Sector voice at the strategic level within local and national planning frameworks.
Act as a strategic partner in the Health and Social Care Partnership and the Community Planning Partnership.
Capacity Building
Enhance the capacity of volunteers, community groups, voluntary organisations, and social enterprises to effect positive change.
Connection
Provide leadership, vision, and coordination for the local Third Sector, enabling a more effective response to local priorities.
Foster partnerships and collaborations to create opportunities and develop skills that strengthen communities.
This strategic focus underscores VAA's dedication to supporting and advancing the Third Sector's role in building a more equitable and resilient Angus.
Voluntary Action Angus is registered as a charitable company in Scotland, limited by guarantee and was set up by a Memorandum 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:
The management of the Company is the responsibility of the Trustees who are elected and co‑opted under the terms of the Memorandum of Association.
The charity invites applications for new trustees from members of the organisation and also advertises in local press. The Chief Executive Officer and chairperson, who will then recommend suitable candidates to the board to make the final decision, will then give potential applicants an informal interview.
The Trustees, who meet quarterly administer the group. A Chief Executive Officer is appointed by the Trustees to manage the day to day operations of the company. The trustees are elected at the annual general meeting, 1/3 of trustees are required to retire by rotation at the AGM but are eligible for re‑election.
The trustees are responsible for preparing a development plan for the charity. The implementation of the plan is then carried out by the Chief Executive Officer.
Once they have been appointed, the new trustees are issued with an induction folder together with a welcome pack which sets out their responsibilities. A seminar is held twice a year for trustees and staff to review activities and future plans for the centre. The trustees are also given the opportunity to go on sub‑groups for specific areas e.g. finance. The sub‑groups then recommend updates and new policies to the board for final approval.
Pay policy for key management personnel
VAA finance management involves devolved management and systems administration. At governance level, a staffing sub group involving Board members who then report to the wider Board agrees decision‑making regarding pay setting. As a progressive and leading third sector organisation the Board are committed to awarding good wages and terms of employment, seeking to ensure retention and development of its staff. The pay scales are set on comparatives using nationally agreed spinal columns, which illustrate grading, and increments consistent with local authority and third sector wage structures. The use of increments encourages reward for years of service given and experience gained. This approach has proved valuable to VAA whereby the 4 longest serving members of staff have accumulated 69 years of service collectively.
As required under Auto enrolment, VAA commits toward an attractive pension package whereby all employees will benefit for employer contributions of up to 8%. VAA is also a living wage employer.
In accordance with the company's articles, a resolution proposing that Findlays Audit Limited be reappointed as auditor of the company will be put at a General Meeting.
The trustees' report was approved by the Board of Trustees.
The trustees, who are also the directors of Voluntary Action Angus 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 charity 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;
- 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 charity 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 charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Opinion
We have audited the financial statements of Voluntary Action Angus (the ‘charity’) for the year ended 31 March 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including 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:
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 charity 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.
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 charity’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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our 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.
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.
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report included within the trustees' report.
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' report. 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) and the Charities and Trustee Investment (Scotland) Act 2005 requires us to report to you if, in our opinion:
adequate 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 trustees' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit; or
the trustees 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 trustees' report and from the requirement to prepare a strategic report.
As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charity 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 charity’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.
We have been appointed as auditor under section 144 of the Charities Act 2011 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 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.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Irregularities, including fraud, are instance 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 and non compliance with laws and regulations is detailed below.
The audit team has the appropriate skills and expertise required and through discussions with management and trustees and knowledge of the sector to ensure any non compliance is recognised and all necessary disclosures are made. The controls in place help the charity mitigate the risk of fraud and also aids them in highlighting any instances of fraud that might have occurred.
We assess the susceptibility of the charity's financial statements to material misstatement including obtaining an understanding of how fraud and non compliance with laws and regulations may occur.
Making enquiries of management & directors about any known or suspected instances of non compliance with laws and regulations, including GDPR, health and safety, employment law and fraud.
Enquires of management & trustees as to where they consider there is a susceptibility to fraud and their knowledge of how actual, suspected and alleged fraud might occur.
Review of any correspondence with regulators including OSCR & HMRC.
Challenging assumptions and judgements made by management in their significant accounting estimates – depreciation and allocation of funds and support costs as accounting estimates during the audit
Auditing the risk of management override controls, including through testing of journal entries and other judgments for appropriateness.
Review of any areas where there is potential of management bias, large & unusual transactions and the risk of undisclosed related parties.
Performed analytical procedures to identify any unusual transactions.
Review of legal fees including enquiries of solicitors and review disclosures to ensure appropriate.
Review of board minutes and any corresponding disclosures.
Because of the field in which the client operates we identified the following areas as those most likely to have a material impact on the financial statements;
Direct Impact on Financial Statements
The Charities Accounts (Scotland) regulations 2006
SORP - FRS 102
Charities & Trustee Investment (Scotland) Act 2005
Companies Act 2006
HMRC Regulations
Indirect Impact on Financial Statements
GDPR
Employment Laws
Health & safety at work Act
Charities Constitution
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
We communicate with those charged with governance, trustees regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s 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 members as a body, for our audit work, for this report, or for the opinions we have formed.
Findlays Audit Limited is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 15 to 31 form part of these financial statements.
The notes on pages 15 to 31 form part of these financial statements.
The notes on pages 15 to 31 form part of these financial statements.
Voluntary Action Angus is a private company limited by guarantee incorporated in Scotland. The registered office is Voluntary Action Angus, 5-7 The Cross, Forfar, DD8 1BX.
The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)". The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention.
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity 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.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Designated funds are primarily to cover planned maintenance and any major repairs on the building, specifically the roof. The trustees have agreed that the designated fund can be used for other purposes should there be material unexpected one-off costs needing met.
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.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Grants, including government 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 are deferred income. Where entitlement occurs before income is received, the income is accrued.
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.
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:
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.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The charity 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 charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
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 and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
The company is a member of a multi-employer plan. Where it is not possible for the Company to obtain sufficient information to enable it to account for the plan as a defined benefit plan, it accounts for the plan as a defined contribution plan. The amount charged to the Statement of Financial activities incorporating Income and Expenditure Account represents contributions payable to the scheme in respect of the accounting period.
Grants payable
Grants payable comprise of those paid in the accounting period and, where applicable, include grants payable in future accounting periods where there is a legal obligation to make such payments.
In the application of the charity’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.
Tangible fixed assets are depreciated over a period to reflect their estimated useful lives. The applicability of the assumed lives is reviewed annually, taking into account factors such as physical condition, maintenance and obsolescence.
Fixed assets are also assessed as to whether there are indictors of impairment. This assessment involves consideration of the economic viability of the purpose for which the asset is used.
Overheads are allocated against restricted funds on an actual basis as are direct costs. Wages and salaries are also allocated on an actual basis. Remaining overheads are allocated on an agreed percentage in line with income and activities.
Wages are allocated to projects based on actual time worked on specific projects. Where personnel work of several projects the time is estimated by the CEO in line with the actual work carried out.
Support costs within the accounts are based on an estimation of management time which can be attributed to the projects. The approach for allocating support costs is consistent and in line with the expectations.
Included within accruals is estimates for future costs where the values were not fully confirmed at the year end. These costs however are based on reliable estimates of expected costs due.
Voluntary Action
Included in the grants paid out are grants paid in relation to the following funds:
MHWB - to support individual applications for community based initiatives that promote and develop good mental health and wellbeing
CBAL - to support individual applications for community based initiatives that promote and develop good mental health and wellbeing in Children
The average monthly number of employees during the year was:
The remuneration of key management personnel was as follows:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The property known as 5-7 The Cross, Forfar, Angus, DD8 0SA has been given as security over the bank loan and the other loan, therefore the total amount of secured creditors is £99,006.
The charity has two loans due for repayment, a bank loan and an other loan. The terms and conditions of these loans are as follows:
Bank Loan - The interest rate on this loan is 3.75% per annum above the base rate of the Bank of England from time to time, provided that if the Bank of England base rate is lower than 0%, the Bank of England base rate applicable to the loan shall be deemed to be 0% for the period of time that the rate is lower than 0%. The term of the loan is 10 years and repayments are being made monthly and include capital and interest.
Other Loan - The rate of interest on the loan is 8% per annum. The term of this loan is 10 years and repayments are being made monthly and include capital and interest.
Deferred income is included in the financial statements as follows:
In the year there were 2 grants that were invoiced that relate to post year end monies due therefore these have been deferred - AH & SC 1st Quarter - strategic of £33,825 (2024 - £Nil) and AH & SC 1st Quarter - capacity of £33,250 (2024 - £Nil).
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The unrestricted funds of the charity 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.
The trustees have designated funds to primarily cover planned maintenance and any major repairs on the building, specifically the roof. The trustees have agreed that the designated fund can be used for other purposes should there be a material unexpected one-off cost needing met, therefore property dilapidation costs were offset against designated funds in the prior year.
The company participates in the scheme, a multi-employer scheme which provides benefits to some 950 non-associated participating employers. The scheme is a defined benefit scheme in the UK but will be treated as a defined contribution scheme for disclosure purposes due to it not being possible to obtain sufficient information to enable it to be accounted for as a defined benefit scheme.
The scheme is subject to funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.
The scheme is classified as a 'last-man standing arrangement'. Therefore the company is potentially liable for other participating employers' obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.
VAA has been notified by the Pensions Trust of the estimated employer debt on withdrawal from the Plan based on the financial position of the Plan at 30 September 2022. As at this date the estimated employer debt for VAA was £14,513. This is the most recent valuation.
This figure is calculated on a solvency - 'buy out' - valuation which is the statutory basis for calculating an employer's debt on withdrawal. The debt on withdrawal is the withdrawing employer's share of the difference between the Scheme's assets and the Scheme Actuary's estimate of the amount of an insurance company would charge to take on responsibility for paying all of the benefits.
Due to the nature of the liability and that this would only be due if all employees were to withdraw this liability has not been recognised in the financial statements.
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
Angus Council SLA - To fund the development of volunteering in particular young people, working partnership with Angus Council to create more community-based opportunities and to specifically run the Friday Nite project in Kirrie. This is in addition to having a strategic role at many Community planning meetings with a view to combatting poverty.
Breast Buddies - To fund a post for a breast-feeding coordinator.
WFWB - Monies received to go towards consultancy fees.
Social Prescribers - To fund the cost of wages for 8 social prescribers through the primary care improvement plan to support GPs in practice to bring about health and social change in order to improve patients’ quality of life. Each worker is based in GP practices across each locality.
Angus Council – Holiday Food and Fun – To support the delivery of holiday programmes providing food and fun activities for children and young people during school breaks, with a focus on inclusion and supporting families most in need.
HSCP 3rd Sector Strategic - The funding received by VAA form HSCP helps to develop a new culture of local care. VAA is a strategic organisation, which leads on many innovations in Health and Social care and helps establish community engagement activity within localities. These funds are used to cover the costs of the following: 4FTE locality workers, strategic posts; Social enterprise development, learning and development, third sector capacity workers, the Deputy Chief Executive supported by admin posts. In addition, VAA having a key strategic role on HSC issues and makes an important contribution to the IJB. Our work is central to building cultural change increasing capacity for preventative work and essential to community and health development.
AHSCP – Development of Locality App - monies received for research and development into a learning app.
Afgan Refugee’s donation - Funds to support coordinating support for Afgan refugees.
Angus Council - Food Parcels - To support funding of fun activities and food provisions during the school holidays.
Mental Health & Wellbeing Fund - To support community-based initiatives that promote and develop good mental health and wellbeing. These funds are held by VAA to be distributed to other charities.
CMHWB - To support initiative that promote and develop mental health and wellbeing in children.
AHSCP Energy Support - To support the costs of energy surveys. These funds are held by VAA to be distributed to other charities.
Improving Cancer Journey - Monies received to employ a specific McMillan prescriber.
Angus Council – Planet Youth – Funding to implement the Planet Youth model in Angus, working with young people, families, schools and communities to reduce risk-taking behaviours and improve youth wellbeing through data-led prevention.
Angus Council – LEP Employability – To support employability initiatives in partnership with the Local Employability Partnership, helping individuals facing barriers into work, training, or further education through third sector-led programmes.
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
There were no disclosable related party transactions during the year (2024 - none).