The trustees are pleased to present their 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 Memorandum and Articles, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019).
The Board of Directors is satisfied with the performance of the charity during the year and the position at 31 March 2025 and consider that the charity is in a strong position to continue its activities during the coming year, and that the charity's assets are adequate to fulfil its obligations.
The Health Agency is a charity in Wester Hailes dedicated to supporting people in South-West Edinburgh to live longer, healthier, more fulfilling lives. The charitable company was formed to benefit the residents of Wester Hailes and its environs with the following objectives:
Providing a range of accessible and flexible health care services
The promotion of health education by working with educational bodies and community organisations in the Area and
The provision of counselling, alternative therapies, nutritional and other advice covering a range of health matters.
Edinburgh is one of the wealthiest cities in the country, but also has some of the greatest levels of health and social inequality. People living in the most deprived communities, like Wester Hailes, experience significantly poorer health than those in more affluent areas.
Poverty and poor health are inextricably linked, with people on low incomes more likely to live with multiple long-term health conditions, experience poorer mental health, and have a lower life expectancy.
As a community led organisation, The Health Agency seeks to enable local people to take action that makes a positive impact on their own and their community’s physical, mental and emotional wellbeing. In pursuit of its aims, The Health Agency will be guided by four operating principles:
A holistic approach
Community development
Working in partnership and collaborations
Being Community led
Throughout 2024/25, The Health Agency supported nearly 2,000 people in Wester Hailes and South West Edinburgh to lead longer, healthier, more fulfilling lives. We delivered around 6,500 individual and group sessions, creating moments of connection, hope, and transformation across all our services.
As a community-led charity, every service we provide is shaped by the real needs of the people we serve. We work to challenge the deep-rooted effects of poverty, ill-health, mental health challenges, social isolation, food insecurity, and inequality. Our mission is simple but powerful: to empower people with the information, support, and confidence they need to protect and improve their physical, mental, and social wellbeing.
In 2024/25, our impact was felt across our wide range of services:
Our Westerhaven service supported 300 people affected by cancer and long-term illnesses such as COPD, heart failure, and long COVID. Through one-to-one support, therapy sessions, massage, and practical guidance, the team helped people manage their health, build resilience, and live life on their terms with care and understanding.
Our Mental Health Services helped over 215 people experiencing mental health issues to access free counselling, CBT, and group therapy. These services offered safe spaces to share, reflect, and recover – building confidence, emotional resilience, and hope for the future.
Our Positive Moves Service inspired around 275 people to take steps towards a healthier, more active lifestyle through gentle exercise classes, health walks, supported gym visits, nutritional guidance, and social groups – turning small steps into life-changing habits.
Our Tasting Change Service ensured that over 830 people had access to good quality, affordable food through our Pantry, Community Lunches, and local events - making healthy eating accessible, enjoyable, and affordable for all. We also delivered cooking workshops to help pantry members and local residents develop skills in preparing nutritious meals and build confidence in the kitchen. In 2024/25, working in partnership with Prospect Housing, we ran two new Air Fryer workshops, providing 30 participants an air fryer and starter pack, and practical guidance on budget-friendly, healthy recipes—supporting households to save money, shop wisely, and cook more energy-efficiently at home.
Our Community Link Worker connected around 260 people with non-clinical, person-centred support via social prescribing, enabling individuals to take greater control of their own health and wellbeing and connect with the right services and opportunities.
Our Weekly Group Activities brought together over 75 people to share advice, friendship, skills, and mutual support, helping to reduce isolation, foster confidence, and strengthen community bonds.
Every statistic represents a real person whose life was touched by The Health Agency. Behind every number is a story of courage, connection, and change. Whether it was someone finding the confidence to take their first exercise class after illness, discovering a safe space to talk about their mental health, learning how to cook nutritious meals on a budget, or simply feeling less alone – these are the moments that define our year, including:
Tomasz’s* Story: 46-year-old Tomasz, from Poland, has lived in Wester Hailes for over 10 years. Diagnosed with mouth cancer in July 2024, he faced significant challenges to his health and wellbeing. With support from our Westerhaven service, he developed a personalised care plan, received culturally appropriate counselling, and had practical help to manage housing concerns. Free meal deliveries ensured he could eat well during recovery, and a bus pass enabled him to attend all hospital follow-ups.
Regular one-to-one sessions with our Cancer Support Worker, prehab exercise classes, and therapeutic massage boosted his strength, eased pain discomfort, improved sleep, and rebuilt his confidence. Reconnecting with family and friends further lifted his spirits.
In February 2025, Tomasz received the all-clear. He says Westerhaven’s support reduced his anxiety, strengthened his resilience, and helped him feel hopeful for the future. His story is a testament to the power of care, connection, and community.
June’s* Story: June aged 44, moved to Wester Hailes 15 years ago. A single parent to a 17-year-old son with autism and a 9-year-old daughter, she balances caring responsibilities with several family health conditions, all while managing a tight household budget without nearby family support.
She joined Tasting Change’s Pantry to access affordable, healthy food, then took part in our Parents Cooking Group and an outdoor healthy eating workshop with her daughter. These experiences boosted her skills and confidence in preparing nutritious meals.
June now volunteers at the Willow Community Garden, where she has developed a passion for growing her own produce. Her son, once a fussy eater, is enjoying more colourful, balanced meals, and her daughter has started cooking alongside her. June says, “These opportunities have helped my family eat our five a day. I’ve learned to cook healthier food for me and the kids. We’ve gone from surviving to thriving!”
*Names have been changed.
2024/25 was a year of resilience, compassion, and collaboration. Our work at The Health Agency was only possible thanks to the dedication of our staff and volunteers, the trust of our service users, and the generous support of our funders and partners. Together, we are building a healthier, more connected community - one relationship, one conversation, and one act of kindness at a time.
Strengthening Governance
In 2024/25 we strengthened the governance of The Health Agency through the appointment of four new trustees at our Annual General Meeting in February 2025. Three of these are local residents, reinforcing our commitment to a board that reflects the community we serve. We know our governance is strongest when it draws on a broad mix of knowledge, perspectives, and lived experience, helping us make better decisions and deliver greater impact. Each new trustee brings valuable expertise and insight to the Board:
A Community Development Worker with extensive experience in areas impacted by poverty contributes valuable expertise in addressing inequalities and supporting vulnerable groups.
A local resident with a background in NHS Dental Services, who is also a member of the Westerhaven Steering Group and a user of our services, offers a unique perspective that blends professional knowledge with lived experience of our work.
A local councillor, whose mother helped establish The Health Agency, offers strong community connections alongside a professional background in social work. This experience deepens our understanding of local needs and strengthens links with wider services.
Our new Vice Chair, with a professional background in Human Resources and Behavioural Health, brings leadership and organisational expertise together with a passion for tackling poverty and inequality. Their experience enhances our ability to support staff and strengthen our overall strategic direction.
Together, these appointments enhance the diversity, resilience, and capacity of our governance, ensuring The Health Agency is well-placed to meet challenges and serve our community effectively.
The Statement of Financial Activities for the year shows a deficit of £53,804 (2024: surplus of £3,091). This deficit reflects a particularly challenging year in which the organisation experienced significant funding turbulence, including the phased closure of the Edinburgh Integrated Joint Board (EIJB) grants programme and the end of the National Lottery Cost of Living Fund. In addition, rising operating costs, staffing changes, and the need to cover service gaps with sessional staff placed further pressure on our finances.
Despite these challenges, The Health Agency successfully secured transitional support through the City of Edinburgh Council’s Third Sector Resilience Fund and new funding for our redesigned Tasting Change service. These positive steps, alongside over £82,000 of cost savings implemented during the year, mean that the charity remains a going concern and has entered 2025/26 with a balanced budget as part of our Recovery Plan. This stability means we can focus on what matters most - protecting our core services and the people who rely on them.
At the year end, total reserves stood at £173,723 (2024: £227,535). While this is a reduction on the previous year, the Board believes this level of reserves is appropriate in the short term, given the one-off funding withdrawals we faced. However, we recognise the urgent need to rebuild unrestricted reserves in the coming years to provide a stronger buffer against financial shocks and to ensure investment in staff development, digital systems, and service improvements.
Staff costs continue to represent the largest proportion of our expenditure, which is appropriate given the people-focused nature of our services. The Board remains committed to supporting and developing our team, recognising that their skills, commitment, and resilience are critical to the delivery of high-quality services for the Wester Hailes community. Going forward, investment in staff retention, training, and wellbeing will be a key part of our recovery and sustainability strategy.
Reserves policy
The Directors have established a policy whereby the unrestricted reserves, not invested in tangible assets (the "free reserves") held by the Health Agency should represent approximately 3 months of the resources expended. At this level, the Directors believe it would be possible to continue the current activities for a short period in the event of a significant drop in funding. This would allow the Directors to seek alternative sources of funding, to change the activities of the charity, and, if appropriate, to give adequate notice to staff, and clients. Although the strategy is to build reserves the Directors are aware that it is unlikely that the target can be reached short-term and work is required in the coming year to address this.
Investment policy
Under the Memorandum and Articles of Association, the charity has the power to invest in any way the Directors wish.
Risk management
Internal financial risks are minimised by the implementation of procedures for authorisation of all transactions. Procedures are in place to ensure compliance with health and safety of staff, volunteers, clients, and visitors to the premises. Up to date public liability insurance is in place. All policies and procedures are reviewed periodically to ensure that they continue to meet the needs of the organisation. All staff and volunteers employed in regulated work are subject to checks run by Disclosure Scotland.
Plans for future periods
The Health Agency enters 2025/26 with a renewed sense of hope and determination. The last couple of years have been some of the toughest in our history. We’ve faced leadership changes, the loss of major funding, and rising costs that threatened the future of our services. Yet through the commitment of our trustees, staff, volunteers, and community partners; and thanks to the trust of the people we serve, we have stabilised and set out a clear Recovery Plan.
This plan is not only about balancing budgets, but also about protecting the services that matter most to our community, rebuilding our strength, and ensuring that The Health Agency continues to be a place where people feel supported, welcomed, and empowered to live healthier, happier lives.
The Challenges We Face: We know that life in places like Wester Hailes is not getting easier. Rising prices, insecure work, and cuts to public services continue to push many families into crisis. Poor mental health, food insecurity, and isolation remain real struggles for many of our neighbours. Wester Hailes is home to around 10,800 people and is recognised as one of Scotland’s most disadvantaged areas. In the wider South West Edinburgh locality, which includes around 115,000 people, nearly half of residents face greater barriers to health, wellbeing, and opportunity than the Scottish average. This combination of deep-rooted disadvantage and growing demand stretches both families and local services to their limits.
At the same time, the funding environment for charities like ours is becoming harder, with fewer grants available, increased competition, and the constant need to do more with less. Staffing is also a concern. We are fortunate to have a passionate and skilled team, but too often their jobs depend on short-term grants. This creates uncertainty for them and for the people they support. We also need more volunteers - local people who can share their time and skills to help us reach further into the community. These challenges are not abstract; they are the daily realities faced by many of the people who walk through our doors.
Our Priorities for the Future: Despite these challenges, our Recovery Plan gives us a clear focus for the next two years. Our work will be guided by three main priorities:
1. Funding and Sustainability
We will work with the City of Edinburgh Council, NHS, and other city partners to shape long-term funding models that put prevention and early intervention at the heart of tackling poverty and health inequalities.
We will secure multi-year funding where possible, so we can plan ahead with confidence and reduce our reliance on short-term grants.
We will also diversify our sources of income, growing our fundraising efforts, exploring community giving, and developing new ways to generate income that is ethical and inclusive.
2. Strengthening Our Organisation
We will carefully manage our turnover to remain under the £500,000 threshold for medium-sized charities. While the statutory audit threshold will rise to £1million later this year, many funders still use £500,000 as their benchmark. Staying below this level maximises funding opportunities and strengthens financial sustainability.
We will ensure our expenditure stays within our means through effective cost control, making the best use of limited resources while protecting frontline services.
We will improve how we manage budgets, report on impact, and ensure our services remain focused on the needs of our community.
Volunteers will play an even bigger role in our future. We will grow and support a stronger volunteer base to bring in new skills, extend our reach, and create more opportunities for people to be part of our work.
3. People and Governance
We will continue to strengthen our Board of Trustees and our staff team, ensuring they reflect the diversity of our community and bring the skills needed for the future.
We want to move away from fixed-term staff contracts tied to short-term funding wherever possible, as this creates organisational risks such as staff turnover, reduced continuity, and lower morale. By investing in staff development, we ensure our team feels valued, supported, and able to deliver their best.
Above all, we will keep listening to local people, making sure their voices shape our decisions and that our services remain grounded in what really matters to the community.
Building on Our Strengths: The 2025/26 budget, though tight, allows us to continue delivering our core services:
Westerhaven supporting people with cancer and long-term conditions
Mental Health Service providing emotional support to protect wellbeing
Positive Moves promoting active, healthy lifestyles
Tasting Change, tackling food insecurity
Weekly Group Activities, fostering social connection and mutual support
These services remain the lifeblood of our organisation—true lifelines that offer practical help, emotional support, and a sense of belonging.
Looking Ahead: The next year will be one of careful rebuilding. We must raise £100,000 in new income to balance our budget. With renewed leadership and a clear focus on fundraising, we believe this is an achievable target. We will continue to work closely with funders and partners while also exploring new ways of engaging the wider community in supporting our work. To do this well, we must also develop a strong pipeline of committed funding that gives us the confidence to plan ahead, identify gaps, and adapt our services to meet the changing needs of our community.
We also recognise that recovery is about more than money. It’s about building resilience in our organisation and in our community. That means creating opportunities for local people to get involved, whether as volunteers, peer supporters, or contributors to our services. It means investing in our staff and making The Health Agency a place where people want to work and can thrive. And it means making sure our services remain responsive, inclusive, and rooted in the realities of everyday life in Wester Hailes.
The Health Agency has been part of this community for over 26 years. We have faced challenges before, and with the support of local people, partners, and funders, we have always found ways to adapt and carry on. Today, as we embark on our recovery journey, our mission remains the same: to help people in Wester Hailes and South-West Edinburgh live longer, healthier, and more fulfilling lives.
We are realistic about the challenges ahead, but we are also hopeful. Our Recovery Plan gives us a roadmap. Our community gives us purpose. And with determination, collaboration, and compassion, we will continue to stand alongside the people of Wester Hailes - ensuring they have the support, opportunities, and confidence they need to thrive.
The organisation is a charitable company limited by guarantee, incorporated on 8th December 1997 and obtained charitable status with effect from 15th April 1998. The charity was established under a Memorandum of Association which established the objects and powers of The Health Agency and is governed under its Articles of Association.
In the event of the company being wound up members are required to contribute an amount not exceeding £1 to the company's assets if it should be wound up while s/he is a member or within one year after s/he ceases to be a member, for payment of the Company's debts and liabilities contracted before s/he ceases to be a member, and of the costs, charges and expenses of winding up, and for adjustment of the rights of the contributories among themselves.
Reference and Administrative Details
Charity Number SC027773
Company Number SC181430
Registered & Principal Office
Wester Hailes Healthy Living Centre
30 Harvesters Way
Edinburgh
EH14 3JF
Bankers
Bank of Scotland
206 St John's Road
Edinburgh
EH12 SSH
Independent Examiner
Thomson Cooper Accountants
22 Stafford Street
Edinburgh
EH3 7BD
Key Management Personnel
Ranajit Majunder (CEO) (resigned 24/09/2024)
Zoe Mobey (CEO) (appointed 18/11/2024)
Rossi Craig (Senior Manager) (resigned 14/02/2025)
Kim Buckley (Head of Operations) (appointed 01/02/2025)
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:
Recruitment and appointment of Directors
The Directors of the company are also charity trustees for the purposes of charity law and under the company's Articles are known as members of The Board of Directors. Under the requirements of the Memorandum and Articles of Association, the members of the Board of Directors are elected by the Company members at the Annual General Meeting. Each year one third of the Board and any co-opted members must stand down, although are eligible for re-election.
The Board of Directors is made up of a mixture of people from various backgrounds including local residents, workers from other local organisations and NHS representatives. Directors are actively involved with The Health Agency through quarterly board meetings and participation in sub-committees and participation in events and activities. Under the Articles of Association, there shall be a minimum of four and maximum of ten Directors.
New Board members meet with the Chief Executive Officer (CEO) and receive an information pack with the appropriate documentation, including the Memorandum and Articles of Association for The Health Agency, a copy of the latest independent examination of accounts, roles and responsibilities of Directors and the most recent ‘What’s on’ guide for the organisation.
Pay policy for staff
The pay of the staff is reviewed annually and normally increased in accordance with average earnings. In view of the nature of the charity, the directors benchmark against pay levels in other charities of a similar size.
Organisational structure
The Health Agency has a Board of Directors consisting of up to 10 members who meet at least once a quarter. Trustees will be invited to contribute their skills and expertise in agreed sub-committees. The Board is responsible for the strategic direction and policies of the organisation. As at 31 March 2025, the Board has ten members from a variety of backgrounds.
The Health Agency CEO(s) has/have responsibility for the overall day-to-day provision of services, strategic and operational matters and governance - being ably aided by the management and staff team. The CEO(s) is/are responsible for reporting to the Board of Directors on how the charity provides the services described in the Objectives and Activities set out above. The CEO(s) also have responsibility for overall support and management of the staff team and ensure that the staff team continue to develop their skills in line with good practice. During the year, the charity employed 13 people. The Board would like to acknowledge the continued and valued contribution from a dedicated group of volunteers.
The trustees, who are also the directors of The Health Agency 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 Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The trustees' report was approved by the Board of Trustees.
I report on the financial statements of the charity for the year ended 31 March 2025, which are set out on pages 11 to 29.
The charity’s trustees, who are also the directors of The Health Agency for the purposes of company law, are responsible for the preparation of the financial statements in accordance with the terms of the Charities and Trustee Investments (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. The trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the 2006 Accounts Regulations does not apply. It is my responsibility to examine the financial statements as required under section 44(1)(c) of the Act and to state whether particular matters have come to my attention.
In connection with my examination, no matter has come to my attention:
to keep accounting records in accordance with section 44(1) (a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and
to prepare financial statements which accord with the accounting records and comply with Regulation 8 of the 2006 Accounts Regulations;
to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.
Investments
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The Health Agency is a private company limited by guarantee incorporated in Scotland. The registered office is Wester Hailes Healthy Living Centre, 30 Harvesters Way, Edinburgh, EH14 3JF.
The financial statements have been prepared in accordance with the charity's Memorandum and Articles, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The 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. The principal accounting policies adopted are set out below.
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 at least the next 12 months. 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 comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
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.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Assets are only capitalised if the initial cost exceeds £1,000.
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.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
The cost of providing benefits under defined benefit plans is determined separately for each plan using the projected unit credit method, and is based on actuarial advice.
The change in the net defined benefit liability arising from employee service during the year is recognised as an employee cost. The cost of plan introductions, benefit changes, settlements and curtailments are recognised as incurred.
The net interest element is determined by multiplying the net defined benefit liability by the discount rate, taking into account any changes in the net defined benefit liability during the period as a result of contribution and benefit payments. The net interest is recognised in income/(expenditure) for the year.
Remeasurement changes comprise actuarial gains and losses, the effect of the asset ceiling and the return on the net defined benefit liability excluding amounts included in net interest. These are recognised immediately in other recognised gains and losses in the period in which they occur and are not reclassified to income/(expenditure) in subsequent periods.
The net defined benefit pension asset or liability in the balance sheet comprises the total for each plan of the present value of the defined benefit obligation (using a discount rate based on high quality corporate bonds), less the fair value of plan assets out of which the obligations are to be settled directly. Fair value is based on market price information, and in the case of quoted securities is the published bid price. The value of a net pension benefit asset is limited to the amount that may be recovered either through reduced contributions or agreed refunds from the scheme.
Grants receivable
Investments
Other staff costs
Rent, rates and insurance
Repairs and maintenance
Telephone, fax and postage
Stationery and printing
Equipment hire
Travel and subsistence
Other legal and professional
Other expenses
Accountancy fees
All support and governance costs are allocated on a direct basis.
The average monthly number of employees during the year was:
No trustee or other person related to the charity had any personal interest in any contracts or transactions entered into by the charity in either year.
Details of the members of Key Management Personnel are disclosed within the Legal and Administrative information, total remuneration paid to those members in the year was £56,812 (2024: £55,508).
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
Deferred income is included in the financial statements as follows:
NHS
We received a grant to contribute to computer equipment.
EVOC - Community Mental Health Fund
This grant of £10,000 was received to fund the mental health projects in 2025/26.
Positive Moves
We received grants from Edinburgh Council (£4,976), NHS Scotland (£2,000) and Charities Aid Foundation (£2,600) to support the Community Sports and Diabetes project for 2025/26 .
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 charge to profit or loss in respect of defined contribution schemes was £10,665 (2024 - £9,335).
Further information on the defined benefit scheme is shown in note 20.
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes.
Edinburgh Integration Joint Board- funded through their large grants programme, this covers core costs and salaries.
Groups (Womens and Carers) - to support women and carers through positive changes in their health and wellbeing.
EVOC Community Mental Health and Wellbeing - counselling and mental health support.
Safe Spaces - counselling and mental health support.
Positive Moves - Positive Moves aims to support people to become more physically active and maintain a healthy diet in the long term through a range of activities. They offer face-to-face exercise classes, referral access to gyms and swimming pools, supported gym visits, 1:1 support, and group health behaviour change programmes.
Westerhaven - a specialist inclusive service for people living in south-west Edinburgh. We support those affected by cancer and long term conditions (LTC), including their family members, carers and friends. Westerhaven is delivered by our clinical staff, sessional workers and volunteers and receives referrals from other agencies and professionals as well as self-referrals. This is funded by the National Lottery Community Fund and Wester Hailes Medical Practice.
Willow Garden - local volunteering project which works with all abilities, although focuses on people struggling with mental health issues or those with learning difficulties and operates from the Calders Community Garden. We run supported skills development sessions and outdoor and gardening related activities that are tailored to meet the needs of the individual attendees.
National Lottery Community Fund - Cost of Living - funding for our Tasting Change Service which is designed to tackle food insecurity, increase community awareness levels on the importance of good food and promote positive food opportunities. This is done through the provision of a community meal, regular workshops and interactive education sessions, both face-to-face and online.
EVOC Community Link Work Network - managed by EVOC on behalf of Edinburgh Health and Social Care - this funding is provided to cover the salaries of Senior Community Link Workers and a Community Link Worker Post employed by The Health Agency.
Macmillan Cancer Support - funding to participate in the South East Scotland Cancer Network (SCAN) to develop a comprehensive prehabilitation programme to provide support to patients diagnosed with cancer to optimise their wellbeing before they have treatment (surgery, chemotherapy or radiotherapy) in order that they are in the best place to be able to manage their multiple conditions and symptoms.
Kitchen Refurbishment- this funding from EDC was used for improvements to the kitchen for cooking workshops and demonstrations.
Community Enterprise in Scotland- this funding was used to provide counselling and mental health support for the community.
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.
Gains and losses
Gains and losses
There were no disclosable related party transactions during the year (2024 - none).
The Health Agency operates a defined contribution pension scheme for the benefit of its employees and also contributes to personal pension arrangements. The defined benefit scheme is closed to new members and future accrual.
Defined benefit pension scheme:
The company participates in the scheme, a multi-employer scheme which provides benefits to some 638 non-associated participating employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme.
The scheme is subject to the 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.
A full actuarial valuation for the scheme was carried out at 30 September 2023. This valuation showed assets of £514.9m, liabilities of £531.0m and a deficit of £16.1m. To eliminate this funding shortfall, the Trustee has asked the participating employers to pay additional contributions to the scheme as follows:
Deficit contributions
From 1 April 2025 to 31 January 2028: | £2,100,000 per annum (payable monthly)
|
Unless a concession has been agreed with the Trustee the term to 31 March 2028 applies.
Note that the scheme’s previous valuation was carried out with an effective date of 30 September 2020. This valuation showed assets of £800.3m, liabilities of £831.9m and a deficit of £31.6m. To eliminate this funding shortfall, the Trustee asked the participating employers to pay additional contributions to the scheme as follows:
Deficit contributions
From 1 April 2022 to 31 January 2025: | £3,312,000 per annum (payable monthly)
|
The recovery plan contributions are allocated to each participating employer in line with their estimated share of the Series 1 and Series 2 scheme liabilities.
Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.
PRESENT VALUE OF PROVISION
| 31 March 2025 (£s) | 31 March 2024 (£s) | 31 March 2023 (£s) |
Present value of provision | 983 | 363 | 778 |
RECONCILIATION OF OPENING AND CLOSING PROVISIONS
| Period Ending 31 March 2025 (£s) | Period Ending 31 March 2024 (£s) |
Provision at start of period | 363 | 778 |
Unwinding of the discount factor (interest expense) | 10 | 30 |
Deficit contribution paid | (370) | (445) |
Remeasurements - impact of any change in assumptions | 6 | - |
Remeasurements - amendments to the contribution schedule | 974 | - |
Provision at end of period | 983 | 363 |
INCOME AND EXPENDITURE IMPACT
| Period Ending 31 March 2025 (£s) | Period Ending 31 March 2024 (£s) |
Interest expense | 10 | 30 |
Remeasurements – impact of any change in assumptions | 6 | - |
Remeasurements – amendments to the contribution schedule | 974 | - |
Contributions paid in respect of future service* | * | * |
Costs recognised in income and expenditure account | * | * |
*includes defined contribution schemes and future service contributions (i.e. excluding any deficit reduction payments) to defined benefit schemes which are treated as defined contribution schemes. To be completed by the company.
ASSUMPTIONS
| 31 March 2025 % per annum | 31 March 2024 % per annum | 31 March 2023 % per annum |
Rate of discount | 4.84 | 5.31 | 5.52 |
The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.
SCHEME: TPT Retirement Solutions - The Growth Plan
The following schedule details the deficit contributions agreed between the company and the scheme at each year end period:
DEFICIT CONTRIBUTIONS SCHEDULE
Year ending | 31 March 2025 (£s) | 31 March 2024 (£s) | 31 March 2023 (£s) |
Year 1 | 351 | 370 | 445 |
Year 2 | 351 | - | 370 |
Year 3 | 351 | - | - |
Year 4 | - | - | - |
Year 5 | - | - | - |
Year 6 | - | - | - |
Year 7 | - | - | - |
Year 8 | - | - | - |
Year 9 | - | - | - |
Year 10 | - | - | - |
Year 11 | - | - | - |
Year 12 | - | - | - |
Year 13 | - | - | - |
Year 14 | - | - | - |
Year 15 | - | - | - |
Year 16 | - | - | - |
Year 17 | - | - | - |
Year 18 | - | - | - |
Year 19 | - | - | - |
Year 20 | - | - | - |
The company must recognise a liability measured as the present value of the contributions payable that arise from the deficit recovery agreement and the resulting expense in the income and expenditure account i.e. the unwinding of the discount rate as a finance cost in the period in which it arises.
It is these contributions that have been used to derive the company's balance sheet liability.