OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

← Royal Scot Locomotive & General Trust

2025-03-31-accounts

CHARITY REGISTRATION No: 1139588

COMPANY REGISTRATION No: 06952089

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2025

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

CONTENTS

YEAR ENDED 31 MARCH 2025

CONTENTS PAGE
Reference and administrative details 1
Trustees’ report 2-5
Independent auditor’s report 6-10
Statement offinancial activities -— Group 11
Statement offinancial activities—Trust only 12
Balance sheet— Group and Trust 13
Consolidated statement of cash flows 14
NotestotheFinancialStatements 15-22

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

REFERENCE AND ADMINISTRATIVE DETAILS

YEAR ENDED 31 MARCH 2025

The Trustees, who are also directors for the purposes of company law, present their report and the consolidated Financial Statements of the Trust and its subsidiary undertakings for the year ended 31 March 2025.

Registered charity name

Royal Scot Locomotive and General Trust

Charity registration number 1139588 Company registration number 06952089 Registered office Sixth Floor, Capital Tower 91 Waterloo Road London SE1 8RT

The Trustees

The Trustees who served the Trust during the year were as follows:

Mr J J Hosking Mr D J C Dunstone Mr P N Greenwood Mr R Drury Mr P Adds

Auditors Arnold Hill & Co LLP Chartered Accountants & Statutory Auditor Sixth Floor Capital Tower, 91 Waterloo Road, London, SE1 8RT

-1-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

TRUSTEES’ REPORT

YEAR ENDED 31 MARCH 2025

The Trustees submit their report and the Financial Statements for the year ended 31 March 2025. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) — Charities SORP (FRS102)), the Financial Reporting Standards applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Companies Act 2006.

The principal activity of the Trust during the year was the restoration and operation of assets belonging to it.

THE TRUSTEES

The Trustees who served the Trust during the year were as follows:

Mr J J Hosking Mr RW Abbey (Resigned 14 October 2025) Mr P Adds Mr R Drury Mr D J C Dunstone Mr P N Greenwood

AUDITOR

Arnold Hill & Co LLP are deemed to be re-appointed under section 487(2) of the Companies Act 2006.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Background

Royal Scot Locomotive and General Trust is a charity established and governed by Memorandum and Articles of Association dated 3 July 2009 as amended by Special Resolution dated 7 November 2009. It was registered with the Charity Commission on 30 December 2010.

Risk Management

The Trustees have considered the major risks to which the charity is exposed and have reviewed those risks and established systems and procedures to manage those risks.

OBJECTIVES AND PERFORMANCE

Objectives

To advance the education of the public by the acquisition, restoration, preservation, exhibition or operation of LMS Steam Locomotive 6100 (“The Royal Scot”) and other steam locomotives, rolling stock, equipment and artefacts, relics, documents and records of historic interest as the Trustees may from time to time decide.

Public Benefit

The widest group of the public is reached by running steam tours on mainline charters. In the year to March 2025 Saphos Trains hired a Trust-owned engine on 10 occasions for mainline tours, including Blue Peter on its return to mainline duties; Steam Dreams hired a Trust-owned engine 14 times in the same period.

In November 2022 a ten-year agreement commenced for the lease and operation of 60007 “Sir Nigel Gresley”. The locomotive was hired 13 times, for mainline use, to Saphos Trains (eight times) and Steam Dreams (five times).

In addition the rake of Mark 1 carriages, purchased by the Trust in December 2021, were used by Saphos on each of its 37 trips in the year, and by Steam Dreams for each of its 23 days of operation.

-2-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

TRUSTEES’ REPORT

YEAR ENDED 31 MARCH 2025

OBJECTIVES AND PERFORMANCE (continued)

In this way, members of the public were able to not only view the engines in operation but also to travel in the coaches, thereby experiencing rail travel as it would have been in the days prior to 1968 when British Railways withdrew their last steam locomotives from service.

It is the Trustees’ intention to make each locomotive available to preserved lines whenever possible to bring them to as wide an audience as possible. When permissible footplate experience is given at gala events, which are designed to give members of the public tuition and actual “hands on” experience of driving and firing a full size, main line steam locomotive. Britannia visited the Nene Valley Railway for its 2025 Spring Gala and Royal Scot visited the North York Moors Railway for its Gala in Spring 2024. In both cases Driver Experience Days and photo opportunities were offered to members of the public.

Work on the restoration of Blue Peter finally concluded after a five-year restoration project, and a grand unveiling took place to large crowds at King’s Cross station in July 2025. Following further refinement and testing the locomotive was finally ready for active service in the spring of 2025.

The Trustees give occasional talks and lectures on a range of railway related subjects, as well as assisting in the teaching of the public during footplate experience courses on how to drive and fire a steam locomotive.

The Locomotive Services Group Facebook and Instagram accounts have been giving regular updates on the Trust’s assets, including in some cases those still under restoration. Follower numbers are steadily increasing, and posts are always well received.

Investments

From time to time the Trust has received donations of portfolios of shares which make up the investments held by the Trust. The investments are held within the unrestricted fund, in line with the wishes of the donor. The investments may be used to provide income to further the Trust’s objectives or, if the Trustees consider it appropriate, may be sold.

FINANCIAL REVIEW

Activity during the year

Since establishment, the Trust has acquired several iconic steam and diesel locomotives and various items of rolling stock representing the finest examples of British railway engineering design. The trading subsidiaries, whose results are contained within the Group Financial Statements, operate the locomotives described below.

The Trust also owns two examples of SR 4-6-2 Merchant Navy Class locomotives in unrestored condition, these being 35022 “Holland America Line” and 35027 “Port Line”.

-3-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

TRUSTEES’ REPORT

YEAR ENDED 31 MARCH 2025

FINANCIAL REVIEW (continued)

In the year ended 2025, work continued on Locomotive 6024 “King Edward 1” with an anticipated return to mainline operations in early 2026. Two Mark 1 carriages, numbered 3090 and 3091, are undergoing complete restoration, including upgrades to safety equipment such as crash worthiness equipment and central door locking. Diesel locomotive 50050 “Fearless” is receiving improvements to its cooling system, and the restoration of a spare engine for the now fully operational and ECTS fitted Class 55 Deltic locomotive 55022 “Royal Scots Grey” is underway. The Trust has entered into an agreement with The BR Class 8 Locomotive Trust that will see unique locomotive 71000 “Duke of Gloucester” leased into the organisation from the summer of 2025. This in a similar agreement to that reached with the Sir Nigel Gresley Trust for the care of 60007, which has proven to be a very successful partnership.

London and North Western Railway Heritage Company Limited is the restoration and maintenance business purchased in February 2014. During the year it worked principally on the assets of the Trust and other related undertakings, and had another successful year with a turnover of £4.0m. Of this £2.7m were sales to entities which are related party undertakings (see note 14).

The Trust currently operates with five Trustees on its Board with a wide range of skills and experience to strengthen its governance and strategic decision making.

The Trust has worked with other similar charities to strengthen dialogue between them so that training and knowledge can be more easily shared.

Finance

The income for the Trust for the year ended 31 March 2025 was £3,866,976 (2024: £7,420,223). Charitable activities for the year are set out in note 3 to the accounts.

Net profit for the year in the subsidiary companies totalled £372,382 (2024: £267,531), and the net assets of the Trust increased to £37,223,355 from £36,078,830 during the year largely due to donations received during the year.

Reserves Policy

The Trustees aim to maintain free reserves at a level which equates to approximately 12 months’ worth of capital and charitable expenditure. The Trustees consider that this level will ensure that there are sufficient funds available to cover support and governance costs. At the year end the unrestricted fund stood at £36,946,269 (2024: £35,451,744) of which £32,816,769 (2024: £36,660,306) represents long term assets and the balance is expected to be sufficient for the capital expenditure and operating costs for the coming twelve months.

RESPONSIBILITIES OF THE TRUSTEES

Law applicable to charities in England and Wales requires the Trustees to prepare Financial Statements for each financial year. Under that law the Trustees have elected to prepare the Financial Statements in accordance with United Kingdom Generally Accepted Accounting Practice, United Kingdom Accounting Standards and applicable law. The Financial Statements are required by law to give a true and fair view of the state of affairs of the charity and of the surplus or deficit of the charity for that year.

In preparing these Financial Statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records which disclose with reasonable

-4-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

TRUSTEES’ REPORT

YEAR ENDED 31 MARCH 2025

accuracy at any time the financial position of the charity and which enable them to ensure that the Financial Statements comply with the Charities Act 2011. The Trustees 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.

-5-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

TRUSTEES’ REPORT YEAR ENDED 31 MARCH 2025

In so far as the Trustees are aware:

Signed by order of the Trustees

TrusteeMr J J Hosking

vate: due.c. LS.Pan; 2 ore v

-6-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST YEAR ENDED 31 MARCH 2025

Opinion

We have audited the financial statements of Royal Scot Locomotive and General Trust for the year ended 31 March 2025 which comprise consolidated statement of financial activities, balance sheets, consolidated statement of cash flows and notes to the financial statements, including a summary of 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 accounts:

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 Auditors’ responsibilities for the audit of the financial statements section of our report. We are independent of the group and the parent 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

The Trustees have prepared the accounts on the going concern basis as they do not intend to liquidate the Trust or cease operations, and have concluded that the Trust’s financial position means that this is realistic.

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

.

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST (continued)

YEAR ENDED 31 MARCH 2025

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditors’ report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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 that fact.

We have nothing to report in this regard.

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 and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees’ Responsibilities Statement set out on page 4, the Trustees 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 group’s and the parent 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 group or the parent charity or to cease operations, or have no realistic alternative but to do so.

-8-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST (continued)

YEAR ENDED 31 MARCH 2025

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditors under the Charities Act 2011 and report in accordance with regulations made under that Act.

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 auditors’ 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.

-9-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST (continued) YEAR ENDED 31 MARCH 2025

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: http://(www.fre.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Detection of fraud and breaches of laws and regulations

To identify risks of material misstatement due to fraud, we considered events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to do so. Our approach included:

We communicated identified fraud risks throughout our team and remained alert to any indications of fraud throughout the audit.

To identify risks of material misstatement due to non-compliance with laws and regulations, our approach was as follows:

We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit.

Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk. We also performed procedures to address the risk of management override of controls and the risk of fraudulent revenue recognition, in particular the risks that revenue is recorded in the wrong period and that management may be in a position to make inappropriate accounting entries. Our procedures included: testing manual journals; reviewing the financial statement disclosures and testing to supporting documentation; performing analytical procedures; and enquiries of management, and were designed to provide reasonable assurance that the financial statements were free from fraud or error.

-10-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST (continued)

YEAR ENDED 31 MARCH 2025

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. For example, the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. The risk is also greater regarding non-detection of fraud rather than error, as fraud may involve intentional concealment, forgery, collusion, omission or misrepresentation. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the 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 trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Stephanie Evans (Senior Statutory Auditor) For and on behalf of

Arnold Hill & Co LLP Chartered Accountants Statutory Auditors Sixth Floor, Capital Tower 91 Waterloo Road London SE1 8RT

pate:..16°°..Lh December Lel).

-M1-

----- Start of picture text -----
|
o
~NN 5E [£] ° " re)alaSo Ns8ag9} 0 e25ae‘; :|if:| ec Ww Qa
x2Sgar AErsteF; i [®] r:7 ; : Si :+ <
o
fe}
tao no} " - ‘ : iS ~
Sseegp |tT,- 3.- 2
ob
| <
K
a
IKwn|> E S855Se " a2oo;BS, i8:8 8i,::: |eae=PeS/S=|N:| ,|5S|: co|7: re||o ::2|'oe: :7
|>
() ‘Oo
E
; | !
Wu g ||x - 6[ot nal fo): 3 3< ye .: |; 3 oO
Wo; | 9SS | cee o8 Sire || :| i : oO:
:zcg oO4a= S): NSSN: csoo ValeafiiticT:u ) N - Sa :
LL : :
© Pal
| 4| :a | . j t 1 i ' | 7 : nN|
= : eoAge 7 .3 :5
5:Oo 7caiaZ2 Soe|oun :|:|:|© ®
O S oa f> 2
O Ww- Lu
fa | LLJ n& 3 © , | :. 2
:O ::” : eos'ge¥ Na&eeeeN|velg3, oeAgs<|gleOoedie :| e:,= —3 =: [:] :w [=isE :wT
, NIN& re fap)
= Ww
 2 9
~ )
Wa
|
re) ) |
=
&
Ss :
aro}oe=52ae6 5oOgg :z:i 4: = .3 it;zi:5 usro|Zp2 awuwWwfe)—=Fy: ae-:lal®&con5
5 = Ww mnE z =z ao< ioO
atsa2 as é E Wy3 © Oo©: 7wW WwEagEZ fe)aee [a] <5 s):Q )|
oes ; ~ &
i" z2 [FE] 588 [o] nteo)j 2z f:Htra) BS:q :; g:aQF :
Sag E : fcf [ee] |t i - 23 9:
TE1 Hy:: : 2 Pdro $5o 83 6E
----- End of picture text -----

||||+
<
3
N
pS
se|+
<
3
N
pS
se|wD8a
ow
i
re
OO
aE|SN
N
|g
§
:
5|ce
Se
Nair
a
© od
.
:
=N
Ss
:
f 1"
g
=
oo
7
3|ce
Se
Nair
a
© od
.
:
=N
Ss
:
f 1"
g
=
oo
7
3|ce
Se
Nair
a
© od
.
:
=N
Ss
:
f 1"
g
=
oo
7
3|:
ie)
)
:||
~
°
iH||
~
°
iH|| |---|---|---|---|---|---|---|---|---|---|---|---|---|---| ||||RSE
2
git|“||||||||
i
©
Nw|3
x“
,|| |oD
>
=
4
Pr:
TT
z
()
:
z
<x
:
ra
O
=
O
oO
K
oO
O
-
=
<
:|oD
z
=
:
wu
A
a
:
“A
=m
2
fe
2
~
2
”
s i
iL
Qa
0
wu
-e
<
2
=
E
E
<
DS||32
af
i
a
$ |
|
,
ges
=o
4
:
RSE
2
oD
o
||)
.
.|:
ee
WN
3S
:
:
a
:
=
Is
)
=s
|g
VS
o
ao 8
-
|o
;
,
[6
aie:
5
ml
|
=
es||=
Nay 4
oO
=§ :
. i
;
oo
|e,
NS
oA
5
-
;
vs 2
:
-
|
|
.s
|
|
|
|
ise)
:
5
:
,
Ne
®
:
(op)
S
s
:
,
:
wv
re)||i
Cel
2
|
|
a
|
:
oO
S
.
:
$ +
=|1
°O
2
|
|
|
|
|
fo)
oO
|
|
g
:
S
”|Rs
‘
|
i
|
|
|
+
‘
3
"
7
|
|
8 |
co
MM
i
a
|
8
3)|o
5
:
:
,
2
|
4
3
5
:
|
aml
a)
Cc
Oo
:
:
,
§ z
—_
S
:
:
:
eC
©
2
!
3
i
-
2
=|2
1| |)
ow|||||
2||||||||>
2
:
BS)|| |||||||||||||:|| |||||||
a
|
|
2
=
Ss 8
si
a
|
i
J
Ht
Ht
a
923
iy
|
!|:
|
:
:
;
9
Z
:
:
-!
:
:
,|.
:
.
5
8
;
See
ESo
E
&
as:
!
u
a
5||
:
1
:
,
:
©
g
wu
oo
f
E
5 2
o
£
D
o
ina
io]
:
a
2
Zz|2
us
o
>
9
te
1]
z
9
5
5
S
8
i
-
Ww
z|;
Qa
Qa
o
z
9
=)
77)
a
=
i
ge
a
it = 2&
2
E
:
= z= us
Lu
[s)
=
F
Ee
oe
ow
a
Zz
r=
a
uw OD
<q
a
=
Ea
Oo
=
a &
n
:
w
373
a
&
= z
Ss
.
:
-
re
ef
gs
:
za
wi
5
i
9
ro)E||S
aa
C
©
E
q
,
o
<
E||

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

BALANCE SHEET

31 MARCH 2025

Group Trust Group Trust
31 Mar25 31 Mar25 31 Mar 24 31 Mar24
Notes £ £ £ £
FIXED ASSETS
Tangible assets 6 11,003,236 12,781,070 11,079,885 12,676,224
Investments 7 19,035,696 20,035,699 22,834,079 23,984,082
30,038,932 32,816,769 33,913,964 36,660,306
CURRENT ASSETS
Stock 549,616 - 482,767 -
Debtors 8 5,962,370 5,391,733 634,029 306,495
Cash in hand 224,121 46,004 328,564 90,258
6,736,107 5,437,737 1,445,360 396,753
CREDITORS: Amounts falling due within one 9 (634,914) (1,031,151) (938,791) (978,229)
year '_— i F ee ee SEs
NET CURRENT ASSETS/(LIABILITIES) 6,101,193 4,406,586 506,569 (581,476)
NETASSETS 36,140,125 37,223,355 34,420,533 36,078,830
FUNDS
Restricted fund 12 244,127 277,086 244,127 627,086
Unrestricted fund 11 35,895,998 36,946,269 34,176,406 35,451,744
TOTALFUNDS 36,140,125 37,223,355 34,420,533 36,078,830

----- Start of picture text -----
These Financial Statements were approved and signed by the Trustees on pe (orses Ses S S Decole-PP
Mr JJ Hosking mer
Trustee
----- End of picture text -----

(orses Ses S S Decole-PP 2025

-14-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

CONSOLIDATED STATEMENT OF CASH FLOWS

YEAR ENDED 31 MARCH 2025

2025 2024
£ £ £ £
Cash flows from operating activities (391,621) 1,179,770
Cash flows from investing activities
Investment income 970,878 790,793
Proceeds ofdisposal of investments 4,354,551 -
Purchase ofproperty plant and equipment (1,529,970) (2,741,346)
3,795,459 (1,950,553)
Change in cash and cash equivalents 3,403,838 (770,783)
in the year
Cash and cash equivalents b/f 466,702 1,237,486
Cash and cash equivalents c/f 3,870,540 466,702
Analysis ofcash and cash equivalents 2025 2024
£ £
Cash in hand 224,121 328,564
Cash held by investment manager 3,646,419 138,138
Totalcashandcashequivalents 3,870,540 466,702

Reconciliation of net (expenditure)/income per SOFA to net cash flows from operating activities

2026 2024
££ ££
o
Net expenditure perthe SOFA 1,719,592 6,483,276
Adjustment for:
Depreciation 881,093 704,402
Investment income (970,878) (790,793)
Gains on investments (556,168) (2,714,030)
Impairment offixed assets 725,526 1,576,892
Non-cash donations - (3,957,418)
Increase in stock (66,849) (82,734)
Increase in debtors (1,820,060) 238,119
Increase in creditors (303,877) (277,943)
391,621 1,179,770

-15-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2025

1. ACCOUNTING POLICIES

Basis of accounting

The Financial Statements have been prepared under the historical cost convention, with the exception of listed investments which are included at their market value. The accounts have been prepared in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014, the Charities Act 2011 and UK Generally Accepted Accounting Practice.

Royal Scot Locomotive and General Trust constitutes a public benefit entity as defined by FRS 102.

Basis of preparation

The Financial Statements consolidate the results of the Charity and all group undertakings. These are adjusted, where appropriate, to conform to group accounting policies. Purchases are accounted for under the acquisition accounting method. The results of companies acquired are included in the profit and loss account from the date that they are acquired.

Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity will have sufficient funds to meet its liabilities as they fall due for at least 12 months from the date of approval of the financial statements and therefore have prepared the financial statements on the going concern basis.

Incoming resources

Incoming resources are accounted for when the Charity has entitlement to the funds, receipt is probable and the amount is measurable. Where income is received in advance of a specified service it is deferred until the Charity is entitled to that income.

Gross income represents the income derived from the carrying on of the Trust's activities, comprising of donations, investment income and income from commercial trading operations.

Resources expended

All expenditure is accounted for on an accruals basis and is recognised in the period in which it is incurred.

Resources expended comprise expenditure on charitable activities and on the administration of the Charity and the investments it holds, and has been included under expense categories that aggregate all costs for allocation to activities.

Commercial trading operations costs are costs directly attributable to the trading activities of the subsidiaries of the Group.

Fund accounting

Unrestricted funds are available to use to further any of the purposes of the Charity. Restricted funds are to be used for the specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the respective funds.

Investments - Unquoted

Unquoted investments are stated at cost less provision for diminution in value.

-16-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2025

1. ACCOUNTING POLICIES (continued)

Investments - Quoted

Investments are stated at market value as at the balance sheet date. Gains and losses on this basis are recorded in the statement of financial activities. Gains and losses on disposal are calculated inclusive of related transaction fees and are recorded in the statement of financial activities.

Goodwill

Goodwill is reviewed annually for impairment and is written off over a ten year period.

Tangible fixed assets

Tangible fixed assets are initially recorded at cost, and subsequently held at cost net of depreciation and any impairment losses.

Locomotives and coaches are held as heritage assets. Following an extensive impairment review at the year end, impairments have been recognised in the Statement of Financial Activities on various heritage assets based on their estimated recoverable amounts. Depreciation is charged on these assets on separately identifiable components, and on the asset as a whole based on the time since the last overhaul.

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

Heritage assets — straight line over 10 years Leasehold improvements — straight line over remaining lease period Plant and machinery — 15% per year straight line

Financial assets

Financial assets are recognised in the Charity’s balance sheet when the Charity becomes party to the contractual provisions of the instrument.

Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs.

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire, or when the Charity transfers the financial asset and substantially all the risks and rewards of ownership to another entity.

Financial liabilities

Basic financial liabilities are initially measured at transaction price.

Financial liabilities are derecognised when, and only when, the Charity’s obligations are discharged, cancelled, or they expire.

Taxation

No provision is made for corporation taxation in relation to the Trust’s affairs as it is a public benefit entity which is exempt from direct UK taxation on its charitable activities. Corporation taxation is provided in relation to the subsidiary companies’ profit on ordinary activities, and is shown as expenditure on raising funds within the subsidiary.

-17-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2025

2. NET MOVEMENT IN FUNDS

Net movement in funds is stated after charging:

Group Trust Group Trust
2025 2025 2024 2024
£ £ £ £
Auditor's remuneration
- as auditor 18,000 11,500 16,200 11,000
- for other services 11,410 1,313 18,480 6,823
Depreciation 881,093 799,054 623,848 532,500
910,503 811,867 658,528 550,323

3. CHARITABLE ACTIVITIES

Group Trust Group Trust
2025 2025 2024 2024
£ £ £ £
Direct charitable expenditure 2,381,865 2,905,648 2,994,336 3,528,563
Commercial trading operations 4,620,877 . 4,374,081 -
7,002,742 2,905,648 7,368,417 3,528,563

4. PARTICULARS OF EMPLOYEES

The Group now has an average of 43 (2024: 44) employees. Costs are also paid to affiliated entities in relation to staff costs. The aggregate staff cost charge of the Group and the Trust is as set out below:

Group Trust Group Trust
2025 2025 2024 2024
£ £ £ £
Wages and salaries 1,389,924 - 1,348,019 -
Social security costs 113,920 - 134,233 -
Pension contributions 64,229 - 58,809 -
1,568,073 - 1,541,061 -

These costs are included within the Statement of Financial Activities under the heading ‘Resources expended: Charitable activities’.

No employee earned over £60,000 (excluding employer pension contributions) during the current or prior year.

-18-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2025

  1. COMMERCIAL OPERATIONS OF SUBSIDIARY UNDERTAKINGS

The Trust has subsidiaries as detailed in note 7 to the Financial Statements.

A summary of the most recent results of the subsidiaries is shown below for the year ended 31 March 2025.

PROFIT AND LOSS ACCOUNT

Locomotive Locomotive Locomotive London and
6100 Ltd 6024 Ltd 70000 Ltd North Western
Railway
Heritage
Company
Limited
2025 2025 2025 2025
£ £ £ £
TURNOVER 362,250 - 746,700 3,978,642
Cost ofsales (276,502) - (195,546) (2,759,291)
GROSS PROFIT 85,748 - 551,154 1,219,351
Administrative expenses (234,135) (2,359) (32,039) (1,217,241)
OPERATING PROFIT/LOSS (148,387) (2,359) 519,115 2,110
Interest received - - - 1,903
PROFIT/LOSS BEFORE TAXATION (148,387) (2,359) 519,115 4,013
Tax on profit on ordinary activities - - 5 =
PROFIT/LOSSAFTERTAXATION (148,387) (2,539) 519,115 4,013
BALANCE SHEET
£ £ £ £
Total Assets 5,426 - 712,651 1,529,972
Total Liabilities (14,796) (3,110) (26,283) (359,821)
Reserves (9,370) (3,110) 686,368 1,170,151

-19-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2025

6. TANGIBLE FIXED ASSETS - GROUP
Plant and
Machinery Steam Locomotives,
etc Coaches etc Total
£ £ £
COST
At 1 April 2024 2,025,596 11,998,202 14,023,798
Additions 162,038 1,367,932 1,529,970
Impairments - (725,526) (725,526)
At 31 March 2025 2,187,634 12,640,608 14,828,242
DEPRECIATION
At 1 April 2024 1,479,178 1,464,735 2,943,913
Charge for year 162,593 718,500 881,093
At 31 March 2025 1,641,771 2,183,235 3,825,006
NET BOOK VALUE
At 31 March 2025 545,863 10,457,373 11,003,236
At 31 March 2024 546,418 10,533,467 11,079,885
TANGIBLE FIXED ASSETS - TRUST
Plant and
Machinery Steam Locomotives,
etc Coaches etc Total
£ £ £
COST
At 1 April 2024 889,423 13,815,415 14,704,838
Additions 136,879 1,664,170 1,801,049
Impairments - (897,148) (897,148)
At 31 March 2025 1,026,302 14,582,437 15,608,739
DEPRECIATION
At 1 April 2024 563,879 1,464,735 2,028,614
Charge for year 80,554 718,500 799,054
At 31 March 2025 644,433 2,183,235 2,827,668
NET BOOK VALUE
At 31 March 2025 381,869 12,399,202 12,781,070
At31March2024 325,544 12,350,680 12,676,224

-20-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2025

Capital expenditure on locomotives and coaches in the previous four reporting periods is detailed below.

2021 2022 2023 2024
Restoration of heritage assets 1,852,203 2,668,488 2,998,864 1,367,932
Acquisition of heritage assets 540,000 2,525,000 550,000 -
INVESTMENTS
Group Trust Group Trust
2025 2025 2024 2024
Quoted investments —At market value £ £ £ £
At 1 April 22,834,079 22,834,079 16,162,630 16,162,630
Additions at cost - - 3,957,419 3,957,419
Disposals (4,836,195) (4,836,195) - -
Net gains/(losses) on revaluations 556,168 556,168 (2,714,030) (2,714,030)
Profit/(loss) on disposal 481,644 481,644 - -
At 31 March 19,035,696 19,035,696 22,834,079 22,834,079
Group Trust Group Trust
2025 2025 2024 2024
Unquoted investments £ £ £ £
At 1 April - 1,150,003 - 900,003
Additions - 200,000 - 315,794
Impairment - (350,000) - (65,794)
At31March - 1,000,003 - 1,150,003

7. INVESTMENTS

The unquoted investments are in subsidiary undertakings, stated at cost less accumulated impairment losses.

The following were unquoted investments of the Trust at 31 March 2025.

Interest in
ordinary share Country of
Subsidiary undertakings capital incorporation Principal activity
Locomotive 70000 Limited 100% England & Operating the Trust's coaching
(Company no. 07346193) Wales stock
Locomotive 6100 Limited 100% England & Operating the Trust’s
(Company no. 06958560) Wales locomotives
Locomotive 6024 Limited 100% England & Operating a locomotive
(Company no. 07483630) Wales
London & North Western Railway 100% England & Steam locomotive maintenance,
Heritage Company Limited Wales_ restoration and ancillary
(Companyno.05579807) engineeringservices

8. DEBTORS

Group Trust Group Trust
2025 2025 2024 2024
£ £ £ £
Trade debtors 540,622 48,823 269,741 -
-21-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2025

Amounts owed by group undertakings Amounts owed by group undertakings - - - 50,000
Other debtors 5,421,748 5,342,910 364,288 256,495
5,962,370 5,391,733 634,029 306,495
9. CREDITORS: Amounts falling due within one year
Group Trust Group Trust
2025 2025 2024 2024
£ £ £ £
Trade creditors 477,648 269,781 678,172 466,069
Taxation and social security 33,788 - 47,953 -
Other creditors 47,803 695,850 47,819 357,040
Accruals and deferred income 75,675 65,520 164,847 155,120
634,914 1,031,151 938,791 978,229
10. CONTINGENT LIABILITY
There were no legal claims outstanding against the Group at the balance sheet date.
11. UNRESTRICTED FUND
Group Trust Group Trust
2025 2025 2024 2024
£ £ £ £
At 1 April 34,176,406 35,451,744 27,693,130 28,862,764
Net movement in funds for the 1,719,592 41,494,525 6,483,276 6,588,980
year
At 31 March 35,895,998 36,946,269 34,176,406 35,451,744
12. RESTRICTED FUND
Group Trust Group Trust
2025 2025 2024 2024
£ £ £ £
At1 April 244,127 627,086 244,127 627,086
Net movement in funds for the - (350,000) - -
year
At31March 244,127 277,086 244,127 627,086

The restricted fund consists of donations received to fund the purchase of London and North Western Railway Heritage Company Limited.

13. FINANCIAL COMMITMENTS

At the reporting end date there were outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows: :

Group Trust Group Trust
2025 2025 2024 2024
£ £ £ £
Within one year 274,215 200,000 226,500 200,000
Beiweentwoandfiveyears 276,539 - 306,000 200,000

-22-

ROYAL SCOT LOCOMOTIVE AND GENERAL TRUST NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2025

After 5 years

----- Start of picture text -----
175,000 - - -
725,754 200,000 532,500 400,000
----- End of picture text -----

14. RELATED PARTY TRANSACTIONS

No Trustees received reimbursement during the year for travel and subsistence expenses (2024: none). No Trustee or any persons connected with them received any remuneration during the year.

During the year Locomotive Services Limited, a related undertaking, recharged expenses to the Trust of £400,000 (2024: £350,000). As at 31 March 2025, the Trust owed Locomotive Services Limited £40,000 (2024: £7,657).

During the year, London and North Western Railway Heritage Company Limited earned income totalling £2,736,825 (2024: £1,814,536) from the following companies, all of which are related party undertakings:

The transactions were conducted on an arm’s length basis and a total of £472,356 (2024: £217,691) was outstanding in respect of these amounts at the balance sheet date.

During the year to 31 March 2025, Locomotive Storage Limited earned income of £177,828 (2024: £187,365) from services provided to London and North Western Railway Heritage Company Limited. As at 31 March 2025, the amount outstanding was £137,755 (2024: £119,686).

During the year to 31 March 2025, Locomotive Services (TOC) Limited earned income of £76,141 (2024: £97,341) from London and North Western Railway Heritage Company Limited. As at 31 March 2025, the amount outstanding was £1,989 (2024: Enil).

All related party companies identified above are incorporated in England and Wales, and are related as they are under the control of one of the Trustees.

-23-