The directors 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 company's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006 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 objects for which the company is established are the relief of those in need by reason of age, ill-health, financial hardship or other disadvantage by providing accommodation and care. In furtherance of its objects the company will carry out the following activities: Manage the whole assets and liabilities and generally the whole undertaking of the entity know as 'William Simpsons' and with a view to meeting the company's objects; provide accommodation and care to those in need regardless of sex or age; provide respite care and related facilities; and provide any other facilities that support the objects of the company.

The care home currently provides individualised residential accommodation for up to 71 residents in two buildings. Two of the beds in the annex building are designated for respite care. Our Mission Statement highlights that we help people to make their own choices and live their best life through individualised support and care that enhances mental health and wellbeing.

The company is established for the benefit of those who use the services and not as a profit making entity. The Directors, however, do seek to ensure good stewardship of the company's assets in the furtherance of the objectives set out above.

Occupancy throughout the financial year has remained strong due to demand and the creative way the care home fills its empty beds with respite, short term and long term care. The website and our social media presence has enhanced the reputation of the home and helped forge stronger links with the local community. The most recent inspection by The Care Inspectorate awarded grades of 6 – Excellent, for the Leadership & Management category along with very positive comments around residents getting the most out of their lives. The Care Home Assurance Response Team continues to visit the home regularly throughout the year and we continue to received excellent compliance scores of over 98% on each occasion.

We have completed the installation of a new café servery and refurbished our staff room alongside our normal programme of general maintenance.

The home has its own Crisis Prevention Trainer along with several Moving and Handling Trainers and several staff members have completed their SVQ3 and SVQ4 qualifications in Health and Social Care. We have three employees who hold a Registered Manager qualification.

The focus has remained on residents wellbeing throughout the year however staff wellbeing is also important to the company and we continue to review and implemented a Staff Wellbeing Policy and Stress Risk Assessment.

The Company achieved a surplus in the year of £4,128 (2024: £78,897). High occupancy in the Care Home and a fee rate above the NCHC rate for almost all have contributed towards this surplus. They also enabled the company to increase staff wages considerably in line with increases in council funding, to purchase new technology and equipment and to maintain the property to a high standard.

The support of our grant providers continues to be essential in enabling us to maintain our premises and provide additional activities and one-off projects.

The company needs financial reserves because it is very dependent on income from residents' charges and there may be delays between expenditure being incurred and receipt of the associated income. Reserves are also required to resource any developmental projects with designation of funds as appropriate. The Directors and Management are comfortable with the current level of reserves.

The Directors will continue to seek to create operating surpluses, as appropriate, to develop the facilities and achieve reserves in line with this policy. Restricted Funds are recognised separately and any unapplied residue of such funds at the year-end has been carried forward for application in the next year. The Directors have reviewed the circumstances of the charity and consider that adequate resources continue to be available to fund the activities of William Simpsons for the foreseeable future. The Directors are of the view that the charity is a going concern.

Risk Management

The Directors have a risk-management strategy which comprises:

• Bi-annual review of the principal risks and uncertainties that the charity faces;

• An annual Health and Safety Audit carried out by an external provider;

• The establishment of policies, systems and procedures to mitigate those risks identified in the annual review; and

• The implementation of procedures designed to minimise or manage any potential impact on the charity should those risks materialise.

The charity reviews its Risk Matrix every six months and continually implements actions to reduce risk wherever possible. The current highest risks include risk to life from infectious disease, the physical security of residents and staff and difficulties in recruiting and retaining trained care staff. Risk is managed within the home in a number of ways including written risk assessments and dynamic risk assessments. All staff are trained to risk assess in an effective way.

William Simpsons will continue to build on the work done to raise our profile via our website and social media. Specialist training has been sourced which will be delivered to all staff this year in Epilepsy, Alcohol Related Brain Damage and Adult Support and Protection. We plan to continue upgrading all ensuite shower rooms in the main building. We will continue to introduce new benefits to staff including enhanced maternity/paternity pay.

Retention and recruitment of staff will remain a challenge in 2025/26 due to competition from local authority owned services and the leisure/retail sector. The company plans to continue to reduce its agency usage, retain our Living Wage status and work toward Living Pension accreditation.

Pay policy for senior staff

The directors consider the board of directors, who are the charity trustees, and the senior management team comprise the key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day to day basis. Up to three director posts are remunerated: the chairman and those who chair

committees; the others give of their time freely. Details of directors' remuneration are disclosed in note 11 to the financial statements.

The pay of senior staff is reviewed annually and normally increased in accordance with average earnings. Consideration is also given to levels of responsibility, experience and qualifications required.

History

The current Home was established in 1836 under the terms of a Deed by Francis Simpson. The Trustees were granted incorporation under an Act of Parliament which received Royal Assent on 23 June 1864. In March 2010, the Trustees obtained new powers by application to the Court of Session. In July 2010 the Scottish Parliament passed the William Simpson's Home (Transfer of Property etc.) (Scotland) Act 2010 and as a result all property, rights, interests, employees and liabilities of the Trust were transferred on 27th September 2010 and vest in this Company, which is Limited by Guarantee and a Scottish Charity.

Directors

The Directors recognise that both the Law and public accountability of charities demand a high duty of care in charitable governance. Accordingly, they aspire to achieve a high degree of integrity and honesty in discharging their obligations in furtherance of the company's purposes. All new Directors receive an induction pack containing a copy of the memorandum and articles of the Company; a copy of the most recent financial statements;

and copies of the minutes of recent meetings. They visit the Home and meet the key personnel involved. The Directors recognise that the Board must have a range of skills and competences to fulfil its duties.

Organisational structure and management

The Board of Directors, which currently comprises six directors, is responsible for the governance of the company. The Board generally meets every month with additional meetings when required. There are sub-groups with particular responsibility for care and business issues which report to the Board. Monthly management accounts are produced and circulated to all Board members. Some meetings were conducted via video technology. The Board holds itself accountable to the members of the company. Day to day affairs were delegated to the Chief Executive.

Legal and Administrative Details

The directors, who also act as trustees for the charitable activities of William Simpsons, are responsible for preparing the Directors' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

In preparing these financial statements, the directors 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 company will continue in operation.

The directors are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the 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 company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In accordance with the company's articles, a resolution proposing that Thomson Cooper be reappointed as auditor of the company will be put at a General Meeting.

During the year, the company purchased liability insurance for its directors and staff as permitted by Section 233 of the Companies Act 2006.

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

The directors' report was approved by the Board of Directors.

Opinion

We have audited the financial statements of William Simpsons (the ‘company’) 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:

give a true and fair view of the state of the charitable company's affairs as at 31 March 2025 and of its incoming resources and application of resources, for the year then ended;

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

Basis for opinion

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

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

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

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

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 directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and 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.

We have nothing to report in respect of the following matters in relation to which the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion:

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

proper accounting records have not been kept; or

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

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

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

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 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.

We considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: existence and timing of recognition of grant income and the posting of transactions to the correct funds. We discussed these risks with management, designed audit procedures to test the timing and existence of donations and grant income, including reviewing of grant paperwork and terms and conditions, reviewing the allocation of costs against the correct funding and reviewed areas of judgement for indicators of management bias.

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our sector experience through discussion with the officers and other management (as required by the auditing standards). We focused on specific laws and regulations which may have a direct material effect on the financial statements or operation of the charity, including the Charities and Trustees Investment (Scotland) Act 2005, regulation 8 of the Charities Accounts (Scotland) Regulations 2006 (as amended), and the Care Inspectorate.

We assessed the extent of compliance of the laws and regulations identified above by inspecting any legal correspondence, the Care Inspectorate report and making enquiries of management.

We reviewed the laws and regulations in areas that directly affect the financial statements including financial and taxation legislation and considered the extent of compliance with those laws and regulations as part of our procedures on the related financial statement items.

With the exception of any known or possible non-compliance with relevant and significant laws and regulations, and as required by the auditing standards, our work in respect of these was limited to enquiry of the officers and management of the company.

We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. However, the primary responsibility for the prevention and detection of fraud rests with the trustees. To address the risk of fraud we identified internal controls established to identify risk, performed analytical procedures to identify unusual movements, assessed any judgements and assumptions made in determining accounting estimates, reviewed journal entries for unusual transactions and identified related parties

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations

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 and to the charity’s trustees, as a body, in accordance with Section 44(1)(c) of the Charities and Trustees Investment (Scotland) Act and regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity's trustees 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 charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Thomson Cooper is eligible for appointment as auditor of the company 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.

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

William Simpsons is a private company limited by guarantee incorporated in Scotland. The registered office is Main Street, Old Plean, Stirling, FK7 8BQ.

The financial statements have been prepared in accordance with the company's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) 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)" (effective 1 January 2019).

The company is a Public Benefit Entity as defined by FRS 102.

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

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

William Simpsons reported a cash inflow of £15,387 from operating activities for the year and have been fully able to meet all bank borrowing covenants. We have seen occupancy levels average 96% throughout the year and see no reason why this should not continue. On this basis, the Directors are of the view that the charity is a going concern and the Financial Statements have been prepared on this basis.

Unrestricted funds comprise accumulated surpluses or deficits on general funds and they are available for use at the discretion of the Directors in furtherance of the objectives. The portion of these funds relating to unrestricted property has been designated by the Directors.

Restricted funds are created when donations are received for a particular purpose, the use of which is restricted to that area or purpose. The related expenditure is charged to the statement of financial activities when incurred.

All incoming resources are recognised once the company has entitlement to the resources, it is probable that the resources will be received and the monetary value of incoming resources can be measured with sufficient reliability.

Investment income - interest receivable by or before the year end is treated as income for the year.

Investment income includes the relevant amounts of recoverable taxation.

Donations received- voluntary donations are accounted for when receivable.

Liabilities are recognised as resources expended as soon as there is a legal or constructive obligation committing the company to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all the costs related to the category.

Governance costs comprise costs involving the public accountability of the company and its compliance with regulation and good practice. These costs include costs related to statutory audit together with an apportionment of overhead and support costs.

Overhead and support costs have been allocated between charitable activity and governance. The allocation of overhead and support costs are analysed in the notes to the accounts,

The costs of charitable activities include an apportionment of overhead and support costs.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Assets over £5,000 are capitalised.

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 original stone buildings and surrounding land have not been depreciated on the grounds that it is considered the buildings will have an expected useful life considerably in excess of fifty years and are subject to an annual impairment review.

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 company 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).

Stocks are stated at the lower of cost or net realisable value, subject to due provision for obsolescence.

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

Financial instruments are recognised in the company's balance sheet when the company 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 company’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 company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

The company makes contributions to a defined contribution pension scheme for all employees who have remained in the scheme. The scheme funds are held and administered independently. Contributions payable by the company are charged to the statement of financial activities as they become payable.

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

Care Home Fees

Annex Fees

Covid-19 Support Funding

Investments

Student placement fees

Raising funds

Agency Costs

Clothing and footwear

Training and recruitment

Rates and water charges

Repairs, maintenance and bin collections

Garden materials

Heat and Light

Cleaning materials

Food

Medical supplies/PPE/Covid-19/bedding and towels

Equipment repairs, renewals and gain on sale

Equipment rental and maintenance contracts

Outings, entertainments, gifts, clothing and consumables

Vehicle costs/taxis/mileage allowances

Television/resident software/computer costs

Bank charges/loan interest

Insurances

Stationery/telephone/internet/general expenses

Registration/regulatory fees

Professional fees

All costs are allocated on a percentage basis.

The average monthly number of employees during the year was:

One employee received emoluments of more than £60,000 (2024 - 1).

The company contributes to a pension scheme on behalf of all employees who have opted to be in the scheme. There is currently a 64% uptake by employees.

The key management personnel of the charity comprise the directors and staff listed on page 4. The total employee benefits were £206,635 (2024 - £195,134).

Mileage expenses were claimed at 45p/mile.

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

Land and buildings comprises land lying on the east side of Plean and buildings constructed thereon. The care home is included in land and buildings at a book value of £3,453,827 representing cost less depreciation.

The bank loan is secured by way of a standard security over the land and buildings at Development site and a bond and floating charge over all the property and assets of the charity.

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

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.

Purpose of Restricted Funds:

Respite Day Care Centre Fund

This fund comprises accumulated donations, and interest thereon, received for the creation of the respite care centre.

Respite Day Care Centre Refurbishment Fund

This fund comprised accumulated donations and grant funding in respect of the phased property improvement programme for the respite day care centre. Support has been received from seven trusts in the 1st year of fundraising, eleven in the 2nd year, five in the 3rd year, two in the 4th year and three in the 5th year.

Furnishings, Equipment and Redecoration Fund

This fund comprises donations received for furnishings, equipment and decoration from Queen Mary's Roehampton Trust, The Miss DM Dawson Trust, Geraldine Kirkpatrick Charitable Trust and an individual donation towards a memorial.

New Care Home Fund

This fund represents accumulated donations received towards the new 64 bed unit.

Vehicle Fund

This fund represents a donation received from the Army Benevolent Fund towards the purchase cost of a wheelchair adapted 5 seater vehicle.

Rotary Club - Activities and Entertainment

This fund represents a donation received from The Rotary Club to be utilised for activities and entertainment.

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.

Purpose of Designated Funds:

Heritable Property is the Victorian buildings and fields. This was transferred from restricted funds as a result of the William Simpson's Home (Transfer of Property etc) (Scotland) Act 2010.

The Respite Day Care Centre, Bungalow, Stable Block Office/Laundry and New Care Home funds represent expenditure on buildings met from free resources of the Company designated for these purposes.

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

During the financial year, the child of a Trustee received a total remuneration of £31,940 in the form of a salary for services provided (2024 £30,052).

Trustees received expenses amounting to £574 (2024: £469)

By reason of its charitable status the company is considered to be exempt from income and corporation taxes. The company is presently unable to obtain registration for value added tax purposes and as a result cannot recover any of that tax on its expenditure, with irrecoverable tax included in the relevant expenditure incurred.