REGISTERED COMPANY NUMBER: SC352223 (Scotland)

REGISTERED CHARITY NUMBER: SC040150

Report of the Trustees and

Financial Statements for the Year Ended 31 December 2025

for

LOCHSIDE ARENA

Page

Report of the Trustees

1

to

3

Independent Examiner's Report

4

Statement of Financial Activities

5

Balance Sheet

6

to

7

Notes to the Financial Statements

8

to

13

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2025. The trustees have adopted the provisions of 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

Objectives and aims

The charitable objectives of the organisation are to advance the interests of education and social welfare of the community in Lewis and Harris by promoting the knowledge of and an interest in a variety of sports and sporting activities, with particular emphasis on equestrian sport and the care of horses, and to take steps as may be necessary to attain this purpose.

In the furtherance of these objectives the organisation proposed to build and provide a large indoor recreational facility suitable for a variety of sports and activities, which would be community owned and available for use by various community groups, clubs, organisations, members and individuals. This facility has now been built and is in daily use.

The aims are now to increase the user numbers of the Lochside Arena and to encourage groups to make use of the facilities. Several local community groups, together with private individuals book the Arena on a weekly basis.

Significant activities

The Facility has maintained close links with the following organisations which use the facility on a regular basis or support our activities:

- Western Isles Branch of the Pony Club

- Lewis and Harris Riding Club

- The British Horse Society

- Horse Scotland

- Western Isles Dogs Group

During 2025, the Arena continued to provide an important venue for sporting and community activities across Lewis and Harris. The facility was used by established equestrian organisations as well as other local groups, supporting the charity's objective of providing a flexible community facility suitable for a variety of activities.

The trustees continued to invest in the upkeep and development of the facility during the year. New LED lighting was installed both inside and outside the Arena, improving visibility, energy efficiency and the overall experience for users. The entrance road was also tarred, improving access to the facility.

Following storm damage, repairs were undertaken to the roof to ensure the building remained safe and weatherproof.

The trustees would like to acknowledge the support received during the year from HorseScotland, Sportscotland, Western Isles Development Fund and North Highland Initiative, which assisted the organisation in continuing to develop and improve the Arena and its facilities.

ACHIEVEMENTS AND PERFORMANCE

Arena Utilisation

The Arena experienced increased use throughout 2025 and continued to provide a valuable venue for sporting, recreational and community activities.

A full programme of activities was delivered during the year, including six multi-day coaching clinics with visiting instructors, together with a range of practice sessions and other equestrian activities. The Arena also hosted a summer show, providing an opportunity for local riders and participants to take part in organised competition and activities.

The Western Isles Branch of the Pony Club and the Lewis and Harris Riding Club continued to make regular use of the Arena throughout the year. The British Horse Society and HorseScotland also continued their links with the facility.

The Western Isles Dogs Group continued to use the Arena for group activities and meetings, demonstrating the versatility of the facility and its importance to a range of community groups.

During the year, the trustees were pleased to welcome Stornoway Shooting Club as a new user of the facility, further extending the range of community organisations making use of the Arena.

The annual Santa Trot Christmas event also took place again during 2025 and attracted a high volume of participants and spectators. The event continues to be an important community occasion and highlights the Arena's ability to accommodate larger-scale events.

The Lochside Arena Board continued to welcome other user groups, clubs, organisations and individuals to view and make use of the Arena facilities. The trustees remain committed to encouraging users throughout the Western Isles to make full use of the facility.

The increased level of use during 2025, together with the continued investment in the building and facilities, demonstrates the ongoing importance of Lochside Arena as a community-owned recreational facility.

The trustees are pleased with the progress made during the year and will continue to seek opportunities to grow and develop the building and its facilities during 2026, ensuring that Lochside Arena remains a valuable asset for the local community.

FINANCIAL REVIEW

Reserves policy

A significant proportion of previously held reserves were used to support income from a fund raising campaign and facilitate the replacement of the arena surface in 2021 - which had been identified by users of the facility as a priority project required to ensure their continued support and to allow expansion of activities.

The new Board has continued a period of investment and development throughout 2024 which was required to regenerate interest in the facility after the Pandemic and encourage new and returning members and users of the facility.

During the year the Arena received income of £22,692 (2024 - £18,789) and incurred expenses of £48,106

(2024 - £36,095. This resulted in a deficit of £25,214 (2024 - of £17,306).

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

Induction and training of new trustees

On appointment, new trustees will be fully instructed on the aims and objects and the methods of operation of the charity.

Governance

Work has been undertaken to review internal processes, policies and procedures. A Trustees Code of Conduct has been adopted as well as other policies to support financial control, and improve overall governance of Lochside Arena.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

SC352223 (Scotland)

Registered Charity number

SC040150

Registered office

24-26 Lewis Street

Stornoway

Isle of Lewis

HS1 2JF

Trustees

A L Fraser

J M Fraser

L I Montgomery

M C Ross (resigned 28.8.25)

A MacLeod

P M Howe

Independent Examiner

John E Moffat BA FCA

Mann Judd Gordon Ltd

Chartered Accountants

26 Lewis Street

Stornoway

Isle of Lewis

HS1 2JF

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the board of trustees on 18 September 2026 and signed on its behalf by:

A L Fraser - Trustee

I report on the accounts for the year ended 31 December 2025 set out on pages five to thirteen.

Respective responsibilities of trustees and examiner

The charity's trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The charity's trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the Accounts Regulations does not apply. It is my responsibility to examine the accounts as required under Section 44(1)(c) of the Act and to state whether particular matters have come to my attention.

Basis of the independent examiner's report

My examination was carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the view given by the accounts.

Independent examiner's statement

In connection with my examination, no matter has come to my attention :

(1)	which gives me reasonable cause to believe that, in any material respect, the requirements

-	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 accounts which accord with the accounting records and to comply with Regulation 8 of the 2006 Accounts Regulations

have not been met; or

(2)	to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

John E Moffat BA FCA

The Institute of Chartered Accountants in England and Wales

Mann Judd Gordon Ltd

Chartered Accountants

26 Lewis Street

Stornoway

Isle of Lewis

HS1 2JF

18 September 2026

31.12.25

31.12.24

Unrestricted

Restricted

Total

Total

fund

fund

funds

funds

Notes

£

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

2

11,435

3,000

14,435

13,530

Charitable activities

Charitable

5,241

-

5,241

5,051

Other trading activities

3

1,148

-

1,148

208

Other income

1,868

-

1,868

-

Total

19,692

3,000

22,692

18,789

EXPENDITURE ON

Charitable activities

Charitable

20,560

27,546

48,106

36,095

NET INCOME/(EXPENDITURE)

(868

)

(24,546

)

(25,414

)

(17,306

)

RECONCILIATION OF FUNDS

Total funds brought forward

33,698

287,622

321,320

338,626

TOTAL FUNDS CARRIED FORWARD

32,830

263,076

295,906

321,320

31.12.25

31.12.24

Unrestricted

Restricted

Total

Total

fund

fund

funds

funds

Notes

£

£

£

£

FIXED ASSETS

Tangible assets

7

20,897

263,075

283,972

303,970

CURRENT ASSETS

Debtors

8

5,743

-

5,743

9,356

Cash at bank and in hand

6,790

1

6,791

8,494

12,533

1

12,534

17,850

CREDITORS

Amounts falling due within one year

9

(600

)

-

(600

)

(500

)

NET CURRENT ASSETS

11,933

1

11,934

17,350

TOTAL ASSETS LESS CURRENT LIABILITIES

32,830

263,076

295,906

321,320

NET ASSETS

32,830

263,076

295,906

321,320

FUNDS

10

Unrestricted funds

32,830

33,698

Restricted funds

263,076

287,622

TOTAL FUNDS

295,906

321,320

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2025.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2025 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

(a)	ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.

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

The financial statements were approved by the Board of Trustees and authorised for issue on 18 September 2026 and were signed on its behalf by:

A L Fraser - Trustee

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The presentation currency of the financial statements is the Pound Sterling (£).

The financial statements are rounded to the nearest £1.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Tangible fixed assets are depreciated over their useful economic lives at the following rates:

Short leasehold property - straightline over the term of the lease

Plant and Machinery - 25% straightline

Fixtures & fittings - 20% straightline

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

2.	DONATIONS AND LEGACIES

31.12.25

31.12.24

Unrestricted

Restricted

Total

Total

funds

funds

funds

funds

£

£

£

£

Donations

450

-

450

1,050

Grants

-

3,000

3,000

6,050

Membership fees

605

-

605

940

Admissions

5,050

-

5,050

5,490

Commercial Hire

5,330

-

5,330

-

11,435

3,000

14,435

13,530

Grants received, included in the above, are as follows:

31.12.25

31.12.24

£

£

WIDT

-

5,750

Horse Scotland

500

300

North Highland NHI

2,500

-

3,000

6,050

3.	OTHER TRADING ACTIVITIES

31.12.25

31.12.24

Unrestricted

Restricted

Total

Total

funds

funds

funds

funds

£

£

£

£

Fundraising events

1,148

-

1,148

208

4.	NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

31.12.25

31.12.24

£

£

Depreciation - owned assets

19,998

19,998

5.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 December 2025 nor for the year ended 31 December 2024.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 December 2025 nor for the year ended 31 December 2024.

6.	COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted

Restricted

Total

fund

fund

funds

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

7,780

5,750

13,530

Charitable activities

Charitable

5,051

-

5,051

Other trading activities

208

-

208

Total

13,039

5,750

18,789

EXPENDITURE ON

Charitable activities

Charitable

17,299

18,796

36,095

NET INCOME/(EXPENDITURE)

(4,260

)

(13,046

)

(17,306

)

Transfers between funds

1,315

(1,315

)

-

Net movement in funds

(2,945

)

(14,361

)

(17,306

)

RECONCILIATION OF FUNDS

Total funds brought forward

36,643

301,983

338,626

TOTAL FUNDS CARRIED FORWARD

33,698

287,622

321,320

7.	TANGIBLE FIXED ASSETS

Fixtures

Short

Plant and

and

leasehold

machinery

fittings

Totals

£

£

£

£

COST

At 1 January 2025 and 31 December 2025

482,853

21,915

16,404

521,172

DEPRECIATION

At 1 January 2025

193,694

10,623

12,885

217,202

Charge for year

16,095

3,696

207

19,998

At 31 December 2025

209,789

14,319

13,092

237,200

NET BOOK VALUE

At 31 December 2025

273,064

7,596

3,312

283,972

At 31 December 2024

289,159

11,292

3,519

303,970

8.	DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.25

31.12.24

£

£

Paypal

5,743

9,356

9.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.25

31.12.24

£

£

Accrued expenses

600

500

10.	MOVEMENT IN FUNDS

Net

movement

At

At 1.1.25

in funds

31.12.25

£

£

£

Unrestricted funds

General fund

33,698

(868

)

32,830

Restricted funds

Restricted funding

287,622

(24,546

)

263,076

TOTAL FUNDS

321,320

(25,414

)

295,906

Net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

19,692

(20,560

)

(868

)

Restricted funds

Restricted funding

3,000

(27,546

)

(24,546

)

TOTAL FUNDS

22,692

(48,106

)

(25,414

)

Comparatives for movement in funds

Net

Transfers

movement

between

At

At 1.1.24

in funds

funds

31.12.24

£

£

£

£

Unrestricted fund

36,643

(4,260

)

1,315

33,698

Restricted fund

Restricted funding

301,983

(13,046

)

(1,315

)

287,622

TOTAL FUNDS

338,626

(17,306

)

-

321,320

Comparative net movement in funds included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted fund

13,039

(17,299

)

(4,260

)

Restricted fund

Restricted funding

5,750

(18,796

)

(13,046

)

TOTAL FUNDS

18,789

(36,095

)

(17,306

)

A current year 12 months and prior year 12 months combined position is as follows:

Net

Transfers

movement

between

At

At 1.1.24

in funds

funds

31.12.25

£

£

£

£

Unrestricted fund

36,643

(5,128

)

1,315

32,830

Restricted fund

Restricted funding

301,983

(37,592

)

(1,315

)

263,076

TOTAL FUNDS

338,626

(42,720

)

-

295,906

Net movement in funds included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted fund

32,731

(37,859

)

(5,128

)

Restricted fund

Restricted funding

8,750

(46,342

)

(37,592

)

TOTAL FUNDS

41,481

(84,201

)

(42,720

)

11.	RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 December 2025.