Charity registration number SC021775 (Scotland)
Company registration number SC281866
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
CONTENTS
Page
Trustees' report
1 - 6
Independent auditor's report
7 - 9
Statement of financial activities
10
Balance sheet
11
Statement of cash flows
12
Notes to the financial statements
13 - 26
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)
FOR THE YEAR ENDED 31 MARCH 2025
- 1 -

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 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).

Objectives and activities

Our vision is that all families supported by Stepping Stones are enabled to live happy, healthy and fulfilling lives which support children to thrive.

Achievements and performance

Stepping Stones has continued to adapt and respond to the changing needs of children and families living in North Edinburgh. We have developed new pieces of work with partners across both the public and third sector, increasing service provision for families with children under 5. Alongside this we have continued to invest in the development of our staff to ensure that families receive the highest quality support.

Family Wellbeing

The Family Wellbeing team continue to offer a wide variety of support to children and their parents. This work spans from the early years through to work with primary aged children. One to one support focuses on supporting families with their mental and emotional wellbeing, building resilience, trauma recovery, building parenting capacity and safeguarding. Complex issues such as homelessness, domestic abuse, poverty and poor mental health continue to disproportionately impact the families within our community,

We expanded our Family Wellbeing team through securing Whole Family Wellbeing funding to deliver The Family Hub. This is delivered in collaboration with six other partners with the hope of achieving system change to ensure that families with children under three have access to the right support at the right time. This has seen us develop new group work opportunities across the North West Locality, streamline access to Citizens Advice for families and support staff to access reflective practice through NHS Lothian Parent and Infant Relationship Service.

Early Learning

The Early Learning team have continued to lead on several parent and child groups which focus on supporting children’s healthy development. The team have continued to provide a wide range of different opportunities for children and their parents to engage in play and learning within their local community. 120 parents and children have engaged with sessions such as Infant Massage, our outdoor learning programme – Steps to Grow and Baby Steps.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 2 -

Bump Start

Bump Start continues to provide support to pregnant women and their families from conception through to the early postnatal months. One to one support and group work are provided to support the holistic wellbeing of the family during pregnancy and to enable women to have better experiences in pregnancy and early parenthood. As part of the support provided, we continue to offer weekly pregnancy and baby cafes where women can connect with peers. During 24/25 Bump Start supported 85 families and ran 76 pregnancy and baby café sessions, which 22 families attended.

Education and Life Skill Based Group Work

Our group work programme has continued to be shaped by the voices and aspirations of the parents we support. Working alongside the parents we were able to deliver a programme throughout the year that supported their personal goals, creating a challenging yet fun range of courses. This year, our activities have included everything from boxing, First Aid at Work certification, peer mentor training and the NSPCC child protection course. Through these groups, we strive to empower parents, providing them with transferable skills and the opportunity to think about their aspirations for the future.

Financial review

We are happy that we are in a surplus position in funds as at 31 March 25 of £335,235. For the year ended 31 March 2025 there was also a surplus of £7,393. This is due to an increase in income from £478,152 to £600,981. Expenses also increased from £534,728 to £593,588.

 

Stepping Stones (NE) continues to receive its funding streams from diversified sources such as KPE4

Charitable Trust, City of Edinburgh Council, Henry Smith, Whole Family Wellbeing Fund, National lottery & RS MacDonald.

 

For 2025/26 Stepping Stones (NE) is budgeted to receive income of £639,965, resulting in a projected deficit of £196. As the financial year has progressed, we are confident that we will end up in a surplus position due to additional funding achieved.

 

The budget will be closely monitored by the board throughout the year to ensure the actual results follow the budget and will take appropriate action to cover any further unexpected deficit.

Reserves policy

Stepping Stones (North Edinburgh) has secured funding from various sources into 2025/26. We are cautiously optimistic that we will continue to attract the generous support of funders, given the much admired and valuable services we provide to the local community. However, the Trustees are conscious of the need to hold some funds in reserve and to that end we continue to maintain a minimum of 3 months running costs in reserve to afford security against future curtailment of funding.

 

The total unrestricted funds retained as at 31 March 2025 were £170,696 (2024: £134,177) and total restricted funds retained as at 31 March 2025 were £164,539 (2024: £193,665).

 

If there are any material changes in the project's financial position, the Board will make the necessary adjustments to service provision and staff recruitment.

Investment policy

Stepping Stones (North Edinburgh) retains funds in reserve each year. These funds remain in bank current accounts.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 3 -
Major risks

The organisation maintains a risk register that is regularly reviewed by the Trustees and the Chief Executive. This register addresses key areas such as governance, finance, operational delivery, legal compliance, and external factors. Risks which had been looked at throughout the year have included premises and family voice.

To support with looking at solutions for our premises we engaged in support with Community Enterprise Accelerate Programme, which supported us to identify solutions and other local community assets and organisations that could support our service delivery.

We also re-shaped our parents’ forum so that we could meet more frequently and agreed a new agenda and format for these meetings to ensure service user representation across our organisation.

Plans for future periods
Structure, governance and management

The organisation is a charitable company limited by guarantee, incorporated on 20 March 2005 and registered as a charity in 1993. It has continued registration from the incorporation date and retains the same charity number.

 

The company was established under a Memorandum of Association, which established the objects and powers of the charitable company and is governed under it's Articles of Association. This Memorandum of Association and it's Articles of Association were updated to comply with the Companies Act 2006 and were approved at the Board meeting of 17th of July 2009. In the event of the company being wound up, members are required to contribute an amount not exceeding £1.

 

The trustees who served during the year are deemed to be the key management personnel.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 4 -

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:

 

A Preston

S Cumming

A J Duncan (Chair)

Rev I A Moir

J R Bradley

P A Haikney (Secretary)

R M Craig (Treasurer)

J E Gorrie (Resigned 28th April 2025)

P McPherson

E Davidson (Appointed 28th April 2025)

 

Company Secretary            P Haikney

 

Chief Executive                Morag Wilson

 

Registered Charity Name         Stepping Stones (North Edinburgh)

 

Charity Registration Number        SC021775

 

Company Registration Number        SC281866

 

Principal office and registered office        

G3 Inchgarvie Court

Ferry Road Drive

Edinburgh

EH4 4DA

 

Auditors             

Thomson Cooper Accountants

3 Castle Court

Carnegie Campus

Dunfermline

KY11 8PB

 

Bankers                    

Bank of Scotland

43 Comely Bank

Edinburgh

EH4 1AF

 

Solicitors                

Lindsays WS

Caledonian Exchange

19A Canning Street

Edinburgh

EH3 8HE

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 5 -
Recruitment and appointment of trustees

The Directors of the company are also charity Trustees for the purposes of charity law. The practice of the company is for all Directors to retire annually at the Annual General Meeting (AGM) and to offer themselves for re-election. New Directors/Trustees can be appointed at any time and are elected at the next AGM. The Trustees actively seek candidates for appointment to the Board who have skills relevant to the running of the charity. Some knowledge of the charity and the local area is helpful.

 

Initially a copy of the Annual Review is sent to the applicant. Then an informal interview is arranged for them to meet with the Chief Executive and a Board member at the charity. An application form is given asking for name, address, date of birth and a short CV. This has to be approved at the next Board meeting. The Trustees will have met the applicant informally prior to the meeting. Companies House will be notified of any new appointment.

 

A new Trustee must sign a Trustee Declaration to ensure they are eligible to act as a Trustee. They must also become members of the Company.

 

The policy of the charity has also been to encourage suitable users and ex-users to be in management. Potential Trustees are identified within the charity structures and are given training and supervision.

Organisational structure

Stepping Stones (North Edinburgh) has a Board of Directors. The Directors meet approximately every two months when the Chief Executive is in attendance to submit a report. Other meetings of Directors only are held as required.

 

There were nine Directors during the year as listed above, and they are considered the key management personnel of the charitable company.

 

Senior staff member is Chief Executive Morag Wilson.

 

The Chief Executive is responsible for the day to day operational management decisions of the Project:-

1. For ensuring that the Project delivers the services so that the objectives of the charity are met;

2. For individual supervision of the staff team and ensuring that the team continue to develop their skills and working practices in line with good practice;

3. For day to day financial transactions;

4. And for reporting back to the Directors.

 

All other decisions are referred to the Directors.

Induction and training of trustees

On appointment Trustees are given an induction which includes a more in-depth look at the Roles and Responsibilities of a Trustee and the Memorandum and Articles of the Company, a copy of which is given to all new Trustees. Financial statements are made available and also an information pack. A tour of the Project is arranged which includes meeting the staff to get to know them and to learn about their work. The Chief Executive and the Secretary of the Board have responsibility for this.

 

Training

Ongoing training is offered to all Trustees as required. This may be as a group or individually. Use is made of the valuable free training and seminars available in our area. Active involvement with OSCR is undertaken to keep Trustees well informed.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 6 -
Statement of trustees' responsibilities

The trustees, who are also the directors of Stepping Stones (North Edinburgh) 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.

Auditor

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

Disclosure of information to auditor

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

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

Mr R Craig
Trustee
29 September 2025
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
INDEPENDENT AUDITOR'S REPORT
TO THE TRUSTEES OF STEPPING STONES (NORTH EDINBURGH)
- 7 -

Opinion

We have audited the financial statements of Stepping Stones (North Edinburgh) (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:

-

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the 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.

Conclusions relating to going concern

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

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the 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 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.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF STEPPING STONES (NORTH EDINBURGH)
- 8 -
Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the 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 trustees' report; or

-

proper accounting records have not been kept; or

-

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

-

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

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the 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.

Auditor's responsibilities for the audit of the financial statements

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

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

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 income, posting of unusual journals along with complex transactions and non-compliance with laws and regulations. We discussed these risks with management, designed audit procedures to test the timing and existence of revenue, tested a sample of journals to confirm they were appropriate and inspected minutes from meetings held by management and trustees for any reference to breaches of laws and regulations. In addition, we reviewed areas of judgement for indicators of management bias to address these risks.

We identified areas of laws and regulations relevant to the Charity 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 operations of the charity,including the Charities and Trustee Investment (Scotland) Act 2005, regulation 8 of the Charities Accounts (Scotland) Regulations 2006 (as amended), employment laws and health and safety legislation

We assessed the extent of compliance of the laws and regulations identified above by inspecting any legal correspondence and any correspondence from regulators and making enquiries of management.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF STEPPING STONES (NORTH EDINBURGH)
- 9 -

We communicated identified laws and regulations and potential fraud risks throughout our team and remained alert to any indications of non-compliance or fraud throughout the audit. However the primary responsibility for the prevention and detection of fraud rests with the trustees. To address the risk of fraud 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 charity’s trustees, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the 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 charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Fiona Haro (Senior Statutory Auditor)
For and on behalf of Thomson Cooper Accountants
Chartered Accountants
29 September 2025

Thomson Cooper 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.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
STATEMENT OF FINANCIAL ACTIVITIES
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2025
- 10 -
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2025
2025
2025
2024
2024
2024
Notes
£
£
£
£
£
£
Income from:
Donations and legacies
2
21,660
579,321
600,981
30,039
448,113
478,152
Total income
21,660
579,321
600,981
30,039
448,113
478,152
Expenditure on:
Charitable activities
3
22,112
571,476
593,588
45,284
489,444
534,728
Total expenditure
22,112
571,476
593,588
45,284
489,444
534,728
Net income/(expenditure)
(452)
7,845
7,393
(15,245)
(41,331)
(56,576)
Transfers between funds
36,971
(36,971)
-
1
(1)
-
Net movement in funds
36,519
(29,126)
7,393
(15,244)
(41,332)
(56,576)
Reconciliation of funds:
Fund balances at 1 April 2024
134,177
193,665
327,842
149,421
234,997
384,418
Fund balances at 31 March 2025
170,696
164,539
335,235
134,177
193,665
327,842

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

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
BALANCE SHEET
AS AT
31 MARCH 2025
31 March 2025
- 11 -
2025
2024
Notes
£
£
£
£
Fixed assets
Tangible assets
8
6,301
10,430
Current assets
Debtors
9
34,600
15,999
Cash at bank and in hand
448,741
384,084
483,341
400,083
Creditors: amounts falling due within one year
10
(154,407)
(82,671)
Net current assets
328,934
317,412
Total assets less current liabilities
335,235
327,842
The funds of the Charity
Restricted income funds
12
164,539
193,665
Unrestricted funds
13
170,696
134,177
335,235
327,842

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

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

The financial statements were approved by the trustees on 29 September 2025
Mr R Craig
Trustee
Company registration number SC281866 (Scotland)
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2025
- 12 -
2025
2024
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
17
67,981
(7,632)
Investing activities
Purchase of tangible fixed assets
(3,324)
(1,794)
Net cash used in investing activities
(3,324)
(1,794)
Net cash generated from financing activities
-
-
Net increase/(decrease) in cash and cash equivalents
64,657
(9,426)
Cash and cash equivalents at beginning of year
384,084
393,510
Cash and cash equivalents at end of year
448,741
384,084
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2025
- 13 -
1
Accounting policies
Charity information

Stepping Stones (North Edinburgh) is a private company limited by guarantee incorporated in Scotland. The registered office is G3 Inchgarvie Court, Ferry Road Drive, Edinburgh, EH4 4DA.

1.1
Accounting convention

The financial statements have been prepared in accordance with the Charity's governing document, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), 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 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.

1.2
Going concern

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 next 12 months. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

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

1.4
Income
Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

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.

1.5
Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

 

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

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
1
Accounting policies
(Continued)
- 14 -
1.6
Tangible fixed assets

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

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

Plant and equipment
33% Straight Line
Fixtures and fittings
20% Straight Line
Computers
33% Straight Line

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

The capitalisation policy of the charity is to capitalise any assets over £100.

1.7
Impairment of fixed assets

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).

1.8
Cash and cash equivalents

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.

1.9
Financial instruments

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

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.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
1
Accounting policies
(Continued)
- 15 -
Basic financial liabilities

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.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.

1.10
Employee benefits

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.

1.11
Retirement benefits

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

1.12
Leases

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

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 16 -
2
Income from donations and legacies
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2025
2025
2025
2024
2024
2024
£
£
£
£
£
£
Donations and gifts
15,660
-
15,660
22,039
-
22,039
Grants
6,000
579,321
585,321
8,000
448,113
456,113
21,660
579,321
600,981
30,039
448,113
478,152
Grants
Henry Duncan
6,000
-
6,000
8,000
-
8,000
Capital City Partnership
-
12,000
12,000
-
12,000
12,000
CEC Community Mental Health
-
68,814
68,814
-
69,213
69,213
CEC Connected Communities
-
61,777
61,777
-
-
CEC Grant
-
-
-
-
83,434
83,434
CEC Community Grant
-
2,000
2,000
-
1,592
1,592
CEC Supporting Birth Parents
-
26,699
26,699
-
5,881
5,881
CMHW
-
16,382
16,382
-
15,904
15,904
Gannochy Trust
-
16,427
16,427
-
16,823
16,823
HIF NHS Lothian
-
-
-
-
39,497
39,497
Inspiring Scotland
-
26,630
26,630
-
53,259
53,259
KPE4 Charitable Trust
-
-
-
-
93,000
93,000
KPE4 2025
-
80,000
80,000
KPE4 School Post
-
30,000
30,000
Mazars
-
10,000
10,000
-
500
500
Mercers
-
-
-
-
5,000
5,000
National Lottery - Improving Lives
-
-
-
-
1,310
1,310
No-One Left Behind
-
8,358
8,358
-
4,500
4,500
Ryvoan Trust
-
-
-
-
5,000
5,000
Trusthouse CF
-
15,000
15,000
-
15,000
15,000
Young Start
-
26,680
26,680
-
26,200
26,200
National Lottery - Improving Lives (2024-2027)
-
43,050
43,050
-
-
-
Henry Smith
-
59,800
59,800
-
-
-
Ps & Gs
-
6,600
6,600
-
-
-
RS MacDonald
-
17,000
17,000
-
-
-
Chomp & Chatter
-
500
500
-
-
-
Whole Family Wellbeing Fund
-
47,604
47,604
Scottish Children's Lottery Trust
-
4,000
4,000
-
-
-
6,000
579,321
585,321
8,000
448,113
456,113
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 17 -
3
Expenditure on charitable activities
2025
2024
£
£
Direct costs
Staff costs
501,162
443,834
Provisions and Activities
31,911
30,707
Sessional Costs
700
688
Rent and Room Hire
3,773
3,659
537,546
478,888
Share of support and governance costs (see note 4)
Support
38,361
37,822
Governance
17,681
18,018
593,588
534,728
Analysis by fund
Unrestricted funds
22,112
45,284
Restricted funds
571,476
489,444
593,588
534,728
4
Support costs allocated to activities
2025
2024
£
£
Depreciation
7,453
7,100
Recruitment expenses
1,198
271
Office Costs
21,528
24,099
Administrative Expenses
8,182
6,352
Governance costs
17,681
18,018
56,042
55,840
2025
2024
Governance costs comprise:
£
£
Legal and professional fees
5,598
6,755
Audit fee
5,000
6,223
Accountancy fee
7,083
5,040
17,681
18,018

Support costs are allocated on a direct basis.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 18 -
5
Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the Charity during the year.
6
Employees

The average monthly number of employees during the year was:

2025
2024
Number
Number
19
19
Employment costs
2025
2024
£
£
Wages and salaries
446,288
398,353
Social security costs
33,562
26,835
Other pension costs
21,312
18,646
501,162
443,834
There were no employees whose annual remuneration was more than £60,000.
Remuneration of key management personnel

The key management personnel of the charity comprise the trustees.

 

The total amount of employee benefits received by key management personnel is Nil (2024 - Nil)

7
Taxation

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

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 19 -
8
Tangible fixed assets
Plant and equipment
Fixtures and fittings
Computers
Total
£
£
£
£
Cost
At 1 April 2024
365
7,747
22,346
30,458
Additions
-
-
3,324
3,324
Disposals
-
-
(4,196)
(4,196)
At 31 March 2025
365
7,747
21,474
29,586
Depreciation and impairment
At 1 April 2024
333
3,149
16,547
20,029
Depreciation charged in the year
32
1,549
5,871
7,452
Eliminated in respect of disposals
-
-
(4,196)
(4,196)
At 31 March 2025
365
4,698
18,222
23,285
Carrying amount
At 31 March 2025
-
3,049
3,252
6,301
At 31 March 2024
32
4,598
5,800
10,430
9
Debtors
2025
2024
Amounts falling due within one year:
£
£
Trade debtors
34,065
-
Prepayments and accrued income
535
15,999
34,600
15,999
10
Creditors: amounts falling due within one year
2025
2024
Notes
£
£
Other taxation and social security
6,664
5,342
Deferred income
11
129,943
63,282
Trade creditors
761
1,907
Other creditors
8,920
7,100
Accruals
8,119
5,040
154,407
82,671
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 20 -
11
Deferred income
2025
2024
£
£
Other deferred income
129,943
63,282

Deferred income is included in the financial statements as follows:

2025
2024
£
£
Deferred income is included within:
Current liabilities
129,943
63,282
Movements in the year:
Deferred income at 1 April 2024
63,282
15,905
Released from previous periods
(63,282)
(15,905)
Resources deferred in the year
129,943
63,282
Deferred income at 31 March 2025
129,943
63,282
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 21 -
12
Restricted funds

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.

At 1 April 2024
Incoming resources
Resources expended
Transfers
At 31 March 2025
£
£
£
£
£
Early Learning/Family wellbeing
CEC Contract
2,191
-
(1,054)
-
1,137
CEC Communities and Families Grant
6,180
-
-
-
6,180
CEC Connected Communities
-
61,777
(56,825)
-
4,952
CEC Third Party
14,918
-
(14,918)
-
-
CEC Community Mental Health
52,126
68,814
(67,766)
-
53,174
CEC Community Grant
-
2,000
(2,000)
-
-
CEC Supporting Birth Parents
5,476
26,699
(22,756)
-
9,419
National Lottery - Improving Lives
3,844
-
(3,111)
-
733
KPE4 Charitible Trust
36,920
-
51
(36,971)
-
KPE4 2025
-
80,000
(79,230)
-
770
KPE4 School Post
-
30,000
(30,465)
(465)
National Lottery- Improving Lives (2024-2027)
-
43,050
(41,787)
-
1,263
Whole Family Wellbeing
-
47,604
(30,517)
17,087
Mazars
-
10,000
(9,995)
-
5
Henry Smith
-
59,800
(55,230)
-
4,570
RS MacDonald
-
17,000
(15,476)
-
1,524
Bump Start
NHS Lothian Health Improvement Fund
10,108
-
(8,920)
-
1,188
Inspiring Scotland PIMH
10,422
26,630
(28,127)
-
8,925
Investing in Communities Fund
789
-
(676)
-
113
Community Mental Health and Wellbeing
3,916
16,382
(11,624)
-
8,674
Scottish Childrens Lottery Trust
-
4,000
-
-
4,000
Group Work
Robertson Trust
7,413
-
(7,413)
-
-
St James Place
3,426
-
(3,426)
-
-
Gannochy Trust
1,916
16,427
(15,780)
-
2,563
Capital City Partnership
10,842
12,000
(12,980)
-
9,862
Pump House Trust
1,069
-
(1,069)
-
-
No One Left Behind
3,007
8,358
(7,943)
-
3,422
Ryvoan Trust
4,676
22
-
4,698
Trusthouse CF
6,583
15,000
(15,018)
-
6,565
Stellar Quines
281
-
(281)
-
-
Chomp & Chatter
-
500
(400)
-
100
Ps & Gs
-
6,600
(1,814)
-
4,786
Young Start
4,421
26,680
(24,778)
-
6,323
Others
Children's Holiday Fund
2,870
-
-
-
2,870
STV Childrens Appeal Winter Support Fund
271
-
(170)
-
101
193,665
579,321
(571,476)
(36,971)
164,539
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
12
Restricted funds
(Continued)
- 22 -
Previous year:
At 1 April 2023
Incoming resources
Resources expended
Transfers
At 31 March 2024
£
£
£
£
£
Early Learning/Family wellbeing
CEC Contract
7,088
-
(4,897)
-
2,191
CEC Communities and Families Grant
13,369
83,434
(90,623)
-
6,180
CEC Third Party
15,633
-
(715)
-
14,918
CEC Community Mental Health
44,279
69,213
(61,366)
-
52,126
CEC Community Grant
-
1,592
(1,592)
-
-
CEC Supporting Birth Parents
16,281
5,881
(16,686)
-
5,476
National Lottery - Improving Lives
50,175
1,310
(47,641)
-
3,844
KPE4 Charitible Trust
24,026
93,000
(80,106)
-
36,920
Mazars
363
500
(863)
-
-
Bump Start
NHS Lothian Health Improvement Fund
2,745
39,497
(32,134)
-
10,108
Inspiring Scotland PIMH
3,639
53,259
(46,476)
-
10,422
Tampon Tax Community Fund
1
-
-
(1)
-
Investing in Communities Fund
2,500
-
(1,711)
-
789
Community Mental Health and Wellbeing
7,440
15,904
(19,428)
-
3,916
Group Work
Robertson Trust
7,881
-
(468)
-
7,413
St James Place
5,003
-
(1,577)
-
3,426
Gannochy Trust
2,869
16,823
(17,776)
-
1,916
Capital City Partnership
5,350
12,000
(6,508)
-
10,842
Pump House Trust
1,219
-
(150)
-
1,069
Mercers
-
5,000
(5,000)
-
-
No One Left Behind
-
4,500
(1,493)
-
3,007
Ryvoan Trust
6,889
5,000
(7,213)
-
4,676
Trusthouse CF
7,959
15,000
(16,376)
-
6,583
Stellar Quines
791
-
(510)
-
281
Young Start
3,854
26,200
(25,633)
-
4,421
Others
Children's Holiday Fund
2,870
-
-
-
2,870
STV Childrens Appeal Winter Support Fund
2,773
-
(2,502)
-
271
234,997
448,113
(489,444)
(1)
193,665
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
12
Restricted funds
(Continued)
- 23 -

CEC Contract – to support the associated delivery costs of early learning and family support for those families who have a child under 5.

CEC Communities and Families Grant – to support the associated delivery costs of early learning and outreach support for young parents.

CEC Third Party Grant - Provided to support the associated delivery costs of early learning and outreach support for young parents, offering holistic whole family support and group work opportunities.

CEC Connected Communities - Funding early learning for families with a child under 5 and the delivery of Bump Start support to pregnant women and their families.

CEC Community Mental Health – Funding the BWell Together project across the North West Locality, supporting the mental health and wellbeing of children aged 5 plus.

CEC Community Grants – Supporting a summer outing to East Links Park.

Community Mental Health and Wellbeing – Funding towards associated delivery costs of Bump Start.

CEC Supporting Birth Parents – Funding supports the work of the Sparrow project across Edinburgh and associated delivery costs.

National Lottery – Improving Lives – Contributing to the delivery costs of Family Wellbeing, offering support to primary school children and their families by providing individual and group support.

National Lottery - Improving Lives (2024-2027) - Contributing to the delivery costs of Family Wellbeing, one to one support to primary school children and families by providing individual and group support.

KPE4 Charitable Trust - Contributing to the delivery costs of Family Wellbeing, offering support to primary school children and their families by providing individual and group support.

KPE4 2025 - Contributing to delivery costs associated with the Family Wellbeing team and towards the overall organisational delivery of Stepping Stones.

NHS Lothian Health Improvement Fund – Contributing towards the associated delivery costs of Bump Start which supports pregnant women and their families.

Inspiring Scotland PIMH – Contributing towards the associated delivery costs of Bump Start to support women and families affected, or at risk of, perinatal and infant mental health issues.

Investing in Communities – Supporting the delivery of the Link up Leith Project, providing supporting to families on health eating, preparing for parenthood, welfare benefits and energy efficiency.

Young Start - To support the continued delivery of the Stepping Stones group work programme to young parents living in North Edinburgh. Supporting young parents to build confidence, develop new skills and reduce isolation.

Robertson Trust – Contribution towards the costs of the Stepping Stones Group worker role in delivering group work opportunities for parents living in North Edinburgh.

RS McDonald - Contributing towards the costs of the Family Wellbeing team.

Scottish Children's Lottery - Contributing towards the costs of Bump Start project delivery.

St James Place – Supporting associated group work delivery costs such as group work materials, salaries and tutor costs.

Gannochy Trust – To support the associated costs with our education ad life skills group work programme for young parents.

Trusthouse – To support 27% of the running costs over 3 years for the Education and Life skills group work programme for young parents.

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
12
Restricted funds
(Continued)
- 24 -

Capital City Partnership Parental Employment Support Fund – supporting targeted support for parents living in North Edinburgh to access opportunities which remove common barriers to employment.

Pump House Trust – A contribution towards the associated costs of delivering the education and life skills based group work programme.

Mazars – Funding to support our Early Learning Provision.

Mercers – A grant towards supporting the work of the family wellbeing team.

Capital City Partnership – No One Left Behind Fund – Funding to support parents to access driving lessons.

Whole Family Wellbeing Funding - To deliver the Family Hub project across the North West Locality.

Ryvoan – To contribute towards the salary costs for group work delivery.

Stellar Quines – To support the associated costs with the Stellar Quines project within our group work programme.

Children’s Holiday Fund – To fund the associated costs with trips and outings with families living in North Edinburgh.

STV Children’s Appeal Winter Support Fund – to support families in need with fuel costs and winter clothing.

13
Unrestricted funds

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.

At 1 April 2024
Incoming resources
Resources expended
Transfers
At 31 March 2025
£
£
£
£
£
General funds
134,177
21,660
(22,112)
36,971
170,696
Previous year:
At 1 April 2023
Incoming resources
Resources expended
Transfers
At 31 March 2024
£
£
£
£
£
General funds
149,421
30,039
(45,284)
1
134,177
STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 25 -
14
Analysis of net assets between funds
Unrestricted
Restricted
Total
funds
funds
2025
2025
2025
£
£
£
At 31 March 2025:
Tangible assets
3,381
2,920
6,301
Current assets/(liabilities)
167,315
161,619
328,934
170,696
164,539
335,235
Unrestricted
Restricted
Total
funds
funds
2024
2024
2024
£
£
£
At 31 March 2024:
Tangible assets
10,430
-
10,430
Current assets/(liabilities)
123,747
193,665
317,412
134,177
193,665
327,842
15
Operating lease commitments
Lessee

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:

2025
2024
£
£
Within one year
3,000
3,000
Between two and five years
3,250
6,250
6,250
9,250
16
Related party transactions

There were no disclosable related party transactions during the year (2024 - none).

STEPPING STONES (NORTH EDINBURGH)
COMPANY LIMITED BY GUARANTEE
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2025
- 26 -
17
Cash generated from operations
2025
2024
£
£
Surplus/(deficit) for the year
7,393
(56,576)
Adjustments for:
Depreciation and impairment of tangible fixed assets
7,452
7,101
Movements in working capital:
(Increase) in debtors
(18,600)
(8,832)
Increase in creditors
5,075
3,298
Increase in deferred income
66,661
47,377
Cash generated from/(absorbed by) operations
67,981
(7,632)
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