Charity Registration No. 310952 {England and Wales) Charity Registration No. SC038722 (Scotland) FORCES CHILDREN OTLAN ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND LEGAL AND ADMINISTRATIVE INFORMATION Patron Her Majesty the Queen Honorary Vice Presidents Brigadier B Wrench Rear Admiral J Weale CB, OBE Air Vice Marshal R Paterson CB. OBE, ADC, DL Vice Presidents Lt Col A Middlemiss DL Lt Col H. Cowan Lt Gen Sir Alistair Irwin KCB CBE Mr I C Stewart Hunter Mr D Keith Robertson Chairman Mr M Noble Deputy Chaimian Mr C Cook Committee Of Direclors And Sok Tntstees Mr M Noble Mr G Gray Mr N McLennan Ms S Wilson Mr C Cook Ms I Campbell Lupton Ms C Grant Mrs C Sutherland-Hawes Mrs L Hadley-stove Mr C Middleton Mr M Young Ms K Lindsay Chief Executive Mrs Laura Falconer Charity number {England and Wales) 310952 Charity number {Scotland) SC038722 Principal address The Melting Pot 15 Calton Road Edinburgh Scotland EH8 8DL Auditor Myers Clark Egale I 80 St Albans Road Watford Hertfordshire WD17 IDL Banker5 Royal Bank of Scotland 1421144 Princes Street Edinburgh EH2 4EQ
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND LEGAL AND ADMINISTRATIVE INFORMATION Investmént advisors Adam & Company 25 St Andrews Square Edinburgh EH2 1AF
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND CONTENTS Page Committee Of Directors And Sole Trustees, report i-ii Statement of committee of directors and sole tnJstees' responsibilities 12 Independent auditorf5 report Statement of financial activities 17-18 Balance sheet 19 Notes to the financial statements 20-36
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2022 The committee of directors and sole trustees present their report and accounts for the year ended 31 March 2022. The accounts have been prepared in aciordance with the accounting policies set out in note I to the accounts and comply with the requirements of the trust'5 goveming documen( the Charitie5 and Trustee Investment (Scotlandl Act 2005, the Charities Accounts (Scotlandl Regulations 21K16 las amended), the Charities Act 2011 and "Accounting and Reporting by Charities.. Stalement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Stsndard applicable in the UK and Republic of Ireland IFRS 1021. las amended for accounting periods commencing from l January 20191. Ob-ectives and Activities The Royal Caledonian Education Trust IRCET) is a charity established by a Charter of Incorporation created by an Act of Parliament, which received the Royal Assent from King George lll on 14th June 1815. Our aim today is to support and encourage the education. training and wellbeing of al the offspring of Scottish member5 of Her Majesty's forces and bl the Scottish offspring of member5 of Her Majesty'5 Forces. For these purposes, a person shall be considered Scottish if our Trustees, in their absolute discretion, determine that they have a sufficient connection to Scotland, or who demonstrate to the Trustees. satisfaction links with Scotland, including those who m3y be considered Scottish regardle55 of their place of residence. The Board of Trustees had, on 3rd March 2021, agreed to commission a re-branding exercise, involving the appointment of a creative agency to co-produce a new brand identity. The proce$5 involved extensive consultation with Trust staff, Armed Forces children and young people. and stakeholders. On 23rd June 2021, the Board of Trustee5 adopted re-branding proposals covering vision, mission, strategic aims, visual identity and a change of our Operational Name to 'Forces Children Scotland,. Our vision is to make Scotland a place where all Am)ed Force5 children and young people can thrive. Our mission is to be the sector leading children and young people's Armed Forces charity in kotland, by providing empowering opportunities and amplifying their voices to inspire change. Our values.. We are passionate. as Ihildren from Armed Forces families are too often overlooked. We are trusted, not only because we have over two centuries of experience but because we continue to evolve our approach, based on children and young people's unique experiences and evidence-based research. We are collaborative. whether that be with partners. staff or our children and young people, because only by working together will we deliver meaningfvl change. We are honest, promising to Armed Force5 children, young people and their families that we will always act with integrity when supporting them. Our Strategic aims.. To support and empower children and young people from Armed Forces families to reach their potential and thrive. We achieve this by working collaboiatively across 5ector5 to drive improvements which reflect and support the unique challenges they face. We amplify their voices, ensuring they are heard and influenie the development of policy and practice. We realise our objectives as follows-. We deliver services ihat suppx)rt children and young people including, for example. supporting mental health and wellbeing. We give financial support. We provide advice and support to those agencies responsible for the education and wellbeing of Armed Forces Children and young people through a piogiamme of training, re50urce5, research and acce55 to our advisory service. We create opportunities for children and young people to get invofved, participate and be heard. We bLJild partnerships to help influence big change_
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Public Benefit The Board of Trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when planning, implementing and reviewing all cunt and future 3divities. They follow the updated governing principles adopted on 5th December 2018. This defines our charitable purpose and how it benefits Armed Forces children and young people. Achievements and Perfom)ance Our report details significant developments over the yea[ 2021122. The re-branding exercise include a change of name and logo. The operational name, FORCES CHILDREN SCOTLAND. sets out what we do and where we are located.. supporting children from military families from a base in Scotland. We are also working on changes on how we present the charity and its services. This involves the installation of a new webslte which will be completed in the next year. Chil Summary The impact of the pandemic has beerh considerable. In particular, it proved difficult to gain access to schoo15 a5 restriciions were in place. Many children have needed to focus on catching up on work missed during periods of school closures. Despite these challenges, we have succeeded in delivering over 90 sessions. These have included participation in our 2021 virtual conference and breaking new ground with our Forces Board Game. Supporting the development of FCS. new strategic plan We delivered eight engagement sessions (online and in person) across Scotland to ensure young people had the opportunity to inform our new strategic plan. The sessions had a tri-service reach and 153 young people from serving and veteran families attended. Two young people were supported to participate in the final online development session with staff and trustees to firhalise the plan. Exploring the support and service needs of Arnied Forces children and young people Following on frorn our strategic planning Sessions we delivered an Engagement session for young people living in the Inverness area. The session further explored their experiences and needs and gave wellbeing staff an opportunity to connect with young people in the area. 10 young people from serving and veteran families attended. We also had the opportunity to engage with two parents who gave their insight into their knowledge about the support needs of Armed Forces children and young people. Empowering young people to share their lived experience Working with Media Education. forum members were 5UPPQrted to identify a key message they wanted to share about their experience of belonging to an Armed Forces family. The group highlighted their experiences of transition, education and identity. We worked with each young person to develop their elevator pitch which they delivered at a very suice55ful engagement session with MSPS. We delivered three expressive arts sessions, two in person and one online. Working with an art facilitator we 5UPPOrted young people to reflect on their experiences using weather symbols and colours. Supporting better understanding of Armed Forces young (arers A training session was delivered for young iarers support worker5 to raise awareness of the unique challenges of caring in b fortes family. The training featured film footage of young people talking about their experiences of deployment and postings and received excellent feedback from attendees. Key young carers projects are now asking at refertal stage if the young petson is from an Armed Forces family, and this is highlighting potential additional needs.
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 FCS conference film Working with a small team of young people we used a variety of creative workshops to SUPPOrt young people to share their experiences with delegates at our conference. We worked with Media Education to create an engaging, hard-hitting film which allowed conference participants to connect young people's experiences to trauma informed practice. Three members of the project team were also involved in welcoming the delegates and taking part in breakout rooms and the panel_ The film was very well received by delegates who highlighted it as a key feature of their learning. For Life board game projert With funding from the Armed Forces Covenant TrusL we were able to begin work developing the young people's board game prototype. The project team met in June and used interactive online tools to share their ideas and méde decisions to fvrther develop the game design. They also planned the activities for the residential which took place in July and was hosted by Napiei University- Residential workshop se55ion5 included w5ioning our projert, creating per50nas, developing player character5 and semiotic training. The group also had a tour around the campus with a student ambassador who answered their questions about campus life. The residential also included a visit from MSP Alexander Stewart and filming wtth British Forces Broadcasting SeNice IBFBSI and Media Education. Follow up sessions have been delivered online and the wider forum group voted on their preferred game design. The group have engaged online with Dekko Comics to develop the companion comic book which is now in the initial design phase. Supporting Armed Forces young people We sUPPOrted two young people a5 they expre55ed their views on the Scottish Education review and this was fed into our response to the consultation response. The Participation Manager has continued to attend the C&YP Cross Party meetings to ensure that Armed Force5 young people's experience has been ffleCted in the group's review of the impact of the pandemic of children and young people's wellbeing and learning in Scotland. We have been accepted as an associate member of the Interim Children and Young People's Consortium project. This will ensure Armed Forces children and young people's views are heard in the implementation of the UNCRC Local school forums Our participation work has continued to be imparted by the pandemic. Although schools were mainly open for pupils, our access has been variable throughout the year. Face to face sessions were delivered when possible. Online engagement into classes was not always possible or effective which has impacted on our ability to develop local forum groups. Additionally, forum members were placed under increased pressure to catch up with their learning and, with school assessments and portfolios determining grades. they were not always able to engage with us. We have therefore concentrated on delivering our projert work rather than development work and have continuously adapted to young people's needs and availability to engage. Project capacity The Highland and Moray p05t was vacant from June 2021 to January 2022. and this inevitably had an impact on our capacity over this period. We filled the vacant post in January and now have an additional part time project worker to cover some of the work in central Scotland moving forward. Participatlon resldential planning 20 young people from across Scotland will take part in the Participation residential in the Easter Holidays. The residential will be delivered in partnership with Army and Navy Welfare services. We have undertaken planning for this event which will be a blend of skills workshops and outdoor activities.
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Identifying and supporting Arn1 Forces young carer5 In Fife we have been working closely with a group of Armed Forces young carers to explore an effective way to identify hidden Armed Forces young carers. The group felt that an awareness campaign with posters positioned in each of the primary and secondary schools across Fife would be a positive first step. The group have worked with a design agency and created two posters lone each for primary and secondary) which will be displayed on the young carers. notice board each school has across the local authority. The template will be able to be used in other local authority area%. The group will now be working towards the next phase to create a learning resource for teachers to further support identification. Queen Wirtoria S<hool forum We have been working with a group ol 10 young people in the school to support the development of improved understanding of their experiences of belonging to a forces family and living in a boarding school. Young people have highlighted that although all the pupils are from forces families there is still sometimes a lack of empathy and understanding. They are in the process of developing a training resource for teachers. The group have also been supporting the development of a new wellbeing project for the school. Additionally, a media group has been created within the school. Our Marketing, Communications & Development Manager is supporting the development of the gTOUP and an initial skills session has beer) delivered on brand Storytelling. Further se55ion5 will be delivered after the exam diet Fundraisin Summary We have raised a total of £140.525 in the year 202V22 from a variety of sources, detsiled below. This is significantly in excess of the target sum set at the beginning of the year_ Of this total 75% are restricted and 25% unrestricted funds. Securing restrirted and unrestrirted income We secured £105,260.W Irestrictedl and £35.565.00 lunrestrictedl from trusts and foundations.
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Managing underspends We negotiated a carry forward of underspends amounting to £35.003. We continue to experience challenges to spending the aforementioned because of the COVID-19 pandemic. However. we have ensured a regular flow of communication continue5 With funders. Enhancing our fundraising proposition under our new brand Our fundiaising webpages have been refreshed with regards to adopting our new bTand identity and narrative. In addition, a comprehensive update has been initiated to ensure all copy has been revitalised and fully optimised using Google Keyword Planner. We used Google Analytics to conduct a comprehensive review which outlined Several areas for improvement with regards to signp05ting_ It is pleasing to observe things are moving in the right direction. We have seen a 116% increase in visits to our fundraising pages and a halving of the number of single page exits when comparing the April - December 2021 period to the April - December 2022 peiiod. In addition. a new conversion metric will be established to measure fundraising sign-up conversions during the last quarter of the financial year reporting period. Donor relationships We have maintained our small base of regular giving 1£6.822.04 - 97.46%) and major gift supporters (£4000.00 - 66.67%), whom we have reached out to via Mailihimp on two occasions this year to have their say in our transformational work. In addition, we have received a range of donations from groups and associations 1£30,000.IXJ IOO%I and surpassed our corporate fundraising taiget. Furthermore, we raised £3.368.97 {77.08%1 through individLJals and groups participating in challenges and community fundraising activities. Trusts and foundations We have submitted a series of funding applications in support of our Proposed Lighthouse Project partnership with Queen Virtoria School1£38.142.691. Scottish Military Ball We have worked extensively with the Scottish Military Ball who will h05t an event in support of Forces Children Scotland at the Royal Scots Club on Saturday 07 May 2022. We have launched a campaign within Edinburgh to collate prize donations across leisure, retail, experiences sectors and have produced gift aid donation slips and thank you cards for guest place settings. Fundraising literature We have completed our initial phase of uploading on our new website_ Furthermore, we will use updated iopy and assets as the foundation to launch campaign to produce refreshed regular-giving (Forte for Good) and legacy ILasting Force) literature and copy for our new website. In addition, we have developed two fundraising leaflets for general and corporate audience5 in support of fvture campaigns and will be downloaded on social media. Marketin mm ni Summary Following consultation with stskeholders last year, the Board of Trustees resolve to employ consultants to work with us on a re-branding exercise. This involved co-pioducing a new brand, identity and narrative. The Board of Trustees accepted the recommendations. including the adoption of FORCES CHILDREN SCOTLAND as a new operational name or the charity.
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Marketin and Communication continued Re-branding We worked in partnership with consultants 'Ele(trify maetIng and Communications. to co-produce a new brand identity and narrative with beneficiaries. Staff. trustees. and extemal partners. Accordingly, our new name was adopted by the Board of Tiustees on 23rd June 2021. was launched officially on 30th September 2022. Our website and its Social media channels were refreshed, in alignment wth our new brand guidelines. In addition, a brand book was created to provide guidance to staff and external partners how to implement our new brand. Furthermore, a portfolio of branded digital assets and templates have been created to ensure starf deliver consistent communications. Expanding our social and professional channels We have expanded our social and professional Ihannel portfolio, which now includes an Instagram, YouTube and Linkedln presence for Foices Children Scotlhnd. This has enhanced oui ability to reach OUT strat1( audience profiles. We completed a considerable amount of work to ensuie posting across socialjprofessional channels achieves a high-level of consistency with regards to our brand guidelines and conventions. However, given sustained constraint on movement because of COVID-19. we will strive to enhance our communications further, through a wider use of audio/visual to ensure we meet our aim of developing a Comphen$1vÈ VAK strategy. Impart Report 2021 Our Irnpart Report highlighted what we have achieved in support of children and young people from serving, reservist and veteran families during these unprecedented times. In addition, new sections were added which covered our commitment to adopting co-produttion principles and an ecological model. Press and media We have increased our distribution of press release5 by 700% compared to the previou5 year and continue to build upon our database of media contacts. We have established strong wod(ing partnerships with BFBS Scotland, Forces TV as well as our 'Army and You. Magazine. Public Èngagemènt DLJe to the ongoing COVID-19 pandemic, we have not been able to deliver our planned public engagement campaign. However, a5 restrictions lifted were able to take our Forces Children Scotland stand to a series of smaller engagement events which included Veterans Chaplaincy Scotland Toadshow events in Edinburgh and Glasgow, as well as a series of school community hub engagement activities during the Autumn of 2021. Webslte development We have recruited a digital agency, Parkhouse to work in partnership to develop our new Forces Children Scotland website and Your Mind Matters digital platform. We have completed our respective project understanding, initiation, immersion, user experience IUX) and Infomation ATchiterture IJAI phases which have led to production of early wireframes and visuals. Fortes Childrèn Scotland stratègy 2022125 We have completed the process of co-producing the charitys new three-year strategy with children and young, staff and trustees. The strategy will be available in both printed and digital formats when li launche5 in August. Co-pn)du<ing marketing and communiGitions with young people The department has launched a marketing and communications group within Queen Victoria School in Dunblane. Early sessions have provided short tutorials about brand storytelling to provide pupils with knowledge and skills to co-produce marketing communications to peers via Forces Children Scotland's website and social media channels.
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Education Summary Despite the continuing effects of COVID-19, we continued to deliver our education seNices throughout the year. Where necessary, this involved virtual rather than faie-to-face learning. Impact of COVID-19 on Èngagèmènt Our education work has been affected by the pandemic. While restrictions have been in place, it has not been possible to gain access to schools to deliver a face-to-face leaming service_ However. we have continued to deliver an education service, utilising a virtual fomat where necessary. Project work has focused on developing online learning and development opportunities rather than development work znd has adapted to increase engagemerht with partner Of greater impact is the fact that the Education Worker post has been vacant since August 2021. This has inevitably had an impact on our capactty over thi5 period. The new Learning and Development worker started in post in February 2022. Due to the internal challenges with content writing for the YMM digital platform the new member of staff was temporarily assigned to that urgent task. She was subsequently successful at recruitment for the Children and Family Services Manager vacancy and the Learning and Development post is now vacant again. We have adapted well to the restrictions imposed in consequence of the COVID-19 pandemic. However, until the Spring of 2022, this has required a considerable proportion of conlent being delivered through virtual formats. Despite our 2021 ionference being delivered on a virtual platform, the feedback we have received from attendees has been entirely positive Key activitylprogress PrOfAlWl VirtualConfer•Kè We delivered a professional virtual conference on Wednesday 3rd November 2021, which put trauma, belonging and adversity into the context of young people from serving personnel, reservist and veteran families and explored potential impact on mental health, education and learning, and relationships with others. We welcomed over 100 education professionals, as well as representatives from the militsry and a variety of additional civilian 5ertors which work with children and young people from serving. reservist and veteran familie5. We developed a post-event conference focused on gathering insights based on the outcomes of our British Foreign School Society-funded project. 84% of attendees agreed that the conference had inspiied them to think differently about working with young people from serving, resetvist and veteran families. 84% of attendee5 agreed they better understand how unique challenges like trauma and adversity ian relate to young people from serving, reseNist and veteran families. PmfessionalLeamingArtivifres We suctessfully filmed two Prolessional Learning Activities {PLA'sl. These webinar presentations will help education professionals understand the lives of children and young people from Armed Forces families. We are now working on the production of our own adapted PLA and landing page_ Chlldren and Famil Services Summary There has been a slight shift of ernphasis this year away from families in immediate crisis and towards those struggling in difficult circumstances impacted by the high cost of living and requiring some regular financial 5UPPOrt.
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Children and Famil Services continu Support Ovérall A total of 162 Families received financial support during 21122 representing 325 individual children and young people. The main difficulties these families face are family breakdown. challenges with physical and mental health and debt. Unemployment 15 also very prevalent however this normally seems due to the other challenges the families are facing rather than an inability to find a job. Seven SSAFA branches again took up the opportunity to access our Christmas Crisis Intervention Grant of £500 this year, allowing them to offei families in crisis discretionary grants for food and necessities over the Christmas period. Educational support We decided to replace our budget for school uniforms and replace it with an overall education support grant. Young carèrs We were able to reach more young carers this year and provide sports equipment laptops and driving lessons. We received significant funding from the Scottish veterans fund for these purpose5. Respite breaks DLJring 2021 pandemic related restrirtions on travel, we were only able to manage one short break. This year between 1st January and 31st Marth, we provided breaks to 21 families. There were 29 beneficiaries in all. Apprenticeships It has not been possible to run this PTogramme. The fund will be neWed next year with a new title.. the 'Leaving Home Grant.. Univèrsity and CollÈgÈ We thought it likely that there would be a fall in demand for post 16 education support but demand for support has been higher than ever. There was a slight increase in the average grant awarded due to a rise in the number5 of students living away and families on very low incomes. Woiking with Reading Force on making this provision has wod(ed well Well-being boxes We continued to send these out to grants recipients through the year. Your Mlnd Matters Summary The pandemic has imparted on delivery of the face to face work of this service. delaying the start Developing the YMM service YMM Digital began in October 2020 and YMM Face-to-Face IF-FI launched in January 2022 following recruitment of a Wellbeing Worker to co-produce and deliver in-person wellbeing services. The appointment of the Children and Family Serwce Manager took place in AugusL meaning that the project had a lead person across the Digital and Face to Face elements. COVID-19 has impacted YMM Digital. a5 It has many projects, primarily due to Zoom exhaustion. and, of course, an incredibly turbulent time for Armed Forces young people. Despite the restrictions, the team implemented a Discovery Phase of the project. Stafflng the Servlcé The face-to-lace wellbeing work began with the recruitment of a Wellbeing Worker and kn additional sessional Wellbeing Workers to engage with young people in the West of Scotland. The service was launched for referrals at the end of December. Hermitage Academy (Helensburghl has been utili5ing the support, accepting the time of our Wellbeing Worker two and a half day5 per week to support young people.
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Your Mind Matters continued Kèy activrtiès and progrèss With both aspects of the service now operating. the YMM project has strengthened, learning from activities and diversity of skills across the Wellbeing team. YMM Digital has moved through an extensive Discovery phase into content production and preparing for website build early 2022. Armed Forces young people have contributed a wealth of feedbaik from feature ideas to personal stories, to rnarketing and aicessibility Strategies. Given the required delay to selerting the digital partner, the YMM team trialled a calendar of wellbeing. content and podcast sessions. YMM F-F restarted late 2021 and is embaiking on the co-produrtion joumey with Amed Forces young people, however it will focus on group work.. I-ls and peer support models with sessions already undetway at Hermitage. Several members of the YMM Digital group have been referred and are already receiving l-l wellbeing 5UPPOrt. Poli Summary We have made considerable progress in exerting influence on policy and practice, over the year 2021122. Our new Advisory Group brought together representatives of ADES. the Scottish Government, The MOD (Departrllent of Children and Young People, the SCIP Alliance 2nd schools. Two priorities have been Children's Rights, relating to incorporation of the UNCRC in Scotland and connecting with the Scottish Parliament. Consultations We submitted eight responses to consultationslevidence requests across the children's and military sectors at both Scottish and UK levels covering a wide range of issues including UNCRC incorporation, education reform, the proposed National Care SeNice, GIRFEC. and the Am)ed Forces Covenant Military Covenant and children's rights Notably, we were informed towards the end of 2021 that our iesponse to a consuatIOn by the MOD Armed Forces Covenant team will see our participation work feature as a case study in the forthcoming Armed Forces Covenant Guidance. Our response to a consultation around children's rights by Together also Saw our work aroLJnd participation and data feature as case studies in their annual 'State of Children's Rights, report launched in February. Researth In terms of briefings and statements. desk-based research has been carried out to inform our positions around poverty and the recruitment of under 185 into the Armed Forces. Both issues require further engagement and consultation work and will be taken forward irb the forthcoming yeai. Scoping work ha5 also begun to inform a paper setting out our position and asks around the mental health and wellbeing of Armed Foices children and young people. The paper will be drafted in the coming months and will serve as a basis for our influencing work on this issue with key stakeholders and decision-makers. Policy Development More broadly, from the end of March. in-depth work has begun to develop clear, specific policy asks across our priority areas of data, children's rights, education and leaming, and mentsl heah and wellbeing. This will be instrumental to taking forward our influencing work in the forthcoming year.
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Four K Points Education revièw Dr Ken Cunningham CBE Ilormer General Secretary of School Leaders Scotlandl was commissioned to review our Education Programme in March 2020. The Cunningham Report was presented to the Board of Trustees in September 2020 and again on 2nd December. 2020. Stage 2 of the review was undertaken by our then newly appointed CEO Laura Falconer. She consulted our partner organisations.. The MOD, the Scottish Government and ADES. There are two broad elements to the Education Programme. First there is direct support, advice and training offered to schoo15, colleges and local authorities. This includes support on transltion. The National Transition Officer remains in post but is no longer part funded by or seconded to Forces Children Scotland. Second, there is our focus on influencing public policy, lor example on national collection of data concerning Armed Forces children in Scotland, Our new Strategic Plan highlights both elements. Financial review Our finance and investment policies aim to provide long term stability and liquidity suffiiient to finance the Trust's programmes, balancing the needs of current and futu beneficiaiies. As reported last year the Trustees had a target of raising the level of unrestricted reserves to £300,000, representing approximately 6 month's expenditure. A5 at 31 March 2022. the level of unrestricted funds was £5.651 which is less than the target. In order to build the level of reserves, the Board's Treasurer and Officers Group will oversee the planned efforts to raise the level of unrestricied reserves towards the target. Structure. Governance and Management The Board of Trustees meets four times a year. They are responsible for overall strategy, financial and risk management. There are 12 Trustees and no vacancies. The officers are the Chairman and Deputy Chairrnan, and Treasurer. A phased restructuring of the governing body wa5 managed belween 2019 and 2021. An induction programme for new Trustees was delivered in July 2021. A Board of Trustees development day was held on 14th October. The focus was on the implementation of the new Strategic Plan. as adopted on 2nd March 2022. Office Closurè When the Scottish Government introduced lockdown restrictions in March 2020 the CEO and chairman agreed that all staff merllbers might work from home. Following the success of these arrangements the decision has been made to move all staff to permanent home working contracts and the offices in Hill Street will close in September 2022. Future Plans Governance We will undertake a perfomance ieview in Octobei. covering attendance and contribLJtion of individual Trustees, development of an officer group, re-structuring of the role of Wice Presidents and effectiveness of the Board overall. Website launeh Our new website will be launched in August 2022. Conference 2023 The Practitioners. conference for 2021 was held virtually and facilitated by the Conference Care Company. There were two keynote addresses on trauma and how it afferted military families. We will consider all of our options before deciding on the merits or otherwise of hosting a conference in 2023. Presldent and Vlce Presldents Three ol our Vice Presidents based in Scotland have given notice of their pending retirement from the role. This leaves the three Service Chiefs and two former Chairmen living in England. We intend to appoint a President and enhance the iole of Vice Presidents, in line with recommendations proposed by tiring Vice President Lt General Sir Alistair Itwin. 10-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 The cornmittee of directors and sole trustees. report was approved by the Board of Committee Of Directors And Sole Trustees. Mr M Noble Chairman Dated- 7 September 2022
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND STATEMENT OF COMMrrrEE OF DIRECTORS AND SOLE TRUSTEES. RESPONSIBIUTIES FOR THE YEAR ENDED 31 MARCH 2022 The committee of directors and sole trustees are responsible for preparing the Committee Of Directors And Sole Trustees, Report and the accounts in accordance with applicable law and United Kingdom Accounting Stsndards (United Kingdom Generally Accepted Accounting Prarticel. The law applicable to charities in Scotland and in England and Wale5 requires the committee of director5 and sole trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the trust and of the incoming resources and application of reSoUrS of the trust for that year. In preparing these accounts, the committee of dirertors and sole 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 prudenL state whether applicable accounting stsndards have been followed. subjert to any material departures disclosed and explained in the accounts," and prepare the accounts on the going concem basis unless it is inappropriate to presume that the charity will continue in operation. The committee of directors and sole trustees is responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the trust and enable them to ensure that the accoLJnts comply with the Charities and Trustee Investment Iscotlandl Act 2005, the Charities Accounts Iscotlandl Regulations 2006 las amended), the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for $3feguaiding the assets of the trust and hence foi taking ieasonable steps for the prevention and detection of fraud and other irregularities. 12-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND INDEPENDENT AUDrroR'S REPORT TO THE COMMrrrEE OF DIREcfoRS AND SOLE TRUSTEES OF THE ROYAL CALEDONIAN EDUCATION TRUST Opinion We have audited the financial statements of The Royal Caledonian Education Trust Ithe 'trust'l for the year ended 31 March 2022 which comprise the statement of financial activities. the balance sheet and notes to the financial statements, including significant accounting policies_ The fi'nancial 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 Accountirhg Prarticel. In our opinion, the financial statements.. give a true and fair view of the state of the Charity's affairs as at 31 March 2022 and of its incoming resources and application of resources, for the year then ended,. have been properly prepared in accordance wilh United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance with the requirements of the Charities and Trustee Investment (Scotlandl Act 2005, regulation 8 of the Charities Accounts (Scotlandl Regulations 2(K16 las amended) and the Charities Ait 2011. Basis for opinion We condurted our audit in accordance with International Stsndards on Auditing IUKI (ISAS IUKII and applicable law. Our responsibilities under those standards are further des£ribed in the Auditors responsibilities for the audit of the financial 5tatenFent5 section of our report We are independent of the trust in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UL including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with ihese requirements. We believe that the audit evidence we have obtsined is sufficient and appropriate to provide a ba515 for our opinion. Conclusions rèlating to going concèrn In aLJditing the financial statements, we have concluded that the committee of directors and sole trLJStees' use of the going concem basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed. we have not identrfied any material uncertainties relating to events or conditions that individually or collectively. may cast significant doubt on the trust'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 committee of directors and sole trustees with respect to going concern are described in the relevant se(tions 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 committee of directors and sole 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 incon515tent with the financial statements or our knowledge obtained in the course of the audiL or otheThvise appears to be materially misstated. 11 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 perfoimed. we conclude that there is 3 material misstatement of this other information, we are required to report that fact We have nothing to report in this iÈgard. 13-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND INDEPENDENT AUDrroR'S REPORT (CONTINUED) TO THE COMMrrrEE OF DIREcfoRS AND SOLE TRUSTEES OF THE ROYAL CALEDONIAN EDUCATION TRUST Matters on which we are required to report by exceplion In the light of the knowledge and understanding of the trust and its environment obtained in the course of the audit we have not identified material misstatements in the trustees. report. We have nothing to report in respect ol the followrng matters in relation to which the Charities Accounts (Scotlandl Regulations 2006 las amended) and the Charities Act 2011 require us to report to you if. in our opinion.. the information given in the financial statements is inconsistent in any material respect with the committee of dirertors and sole trustees. report," or sufficient accounting records have not been kept-, or the financial st31ements are not in agreement with the accounting records., or we have not received all the information and explanation5 we require for our audit Resptsnsibilitiès of tommittee of directors and sole trustees As explained more fully in the ststement of committee of directors and sole trustees, responsibilities, the committee of directors and sole 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 intemal control as the committee of dirertors and sole trustee5 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 committee of dirertors and sole tnjstees are responsible for assessing the trust'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 committee of directors and sole trustees either intend 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 44llllcl of the Charities and Trustee Investment (Scotlandl Act 2005 and report in accordance wth the Act and relevant regulations made or hawng effect thereunder. Our objettives 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 ISA5 IUKI will 3lway5 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 tsken on the basis of these financial statements. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. 14-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND INDEPENDENT AUDrroR'S REPORT (CONTINUED) TO THE COMMrrrEE OF DIREcfoRS AND SOLE TRUSTEES OF THE ROYAL CALEDONIAN EDUCATION TRUST The extent to which the audit was considered capable of deterting irregularitie5 including fraud In identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations. we considered the following,. The natLJre of the industry and sector, control environment and business performance including the design of the remuneration policies. key drivers for trustee remuneration. bonus levels and performance targets,. results of our enquiries of Management about their own identification and a55essment of the risks of any matters we identified having obtained and review the charitable company s documentation of their policies and procedures relating to,. identifying, evaluating and complying with laws and regulation and whether they were aware of any instances of non-compliance-, deterting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud," the internal controls tablished to mitigate risks of fraud or non-compliance with laws and regulations., the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial ststements and any potential indicators of fraud. We also obtained an understanding of the legal and regulatory frameworks that the charitable company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the Charities and Trustee Investment (Scotlandl Act 2005, regulation 8 of the Charitie5 Accounts (Scotlandl Regulations 2006 las amended) and the Charities Art 2011. In addition, we considered provisions of other laws and regulations that do not have a direct effect on th8 financial Statements but compliance with which may be fundamental to the companls ability to operate or to avoid a material penalty. These included Employment law. Audit response to risks identified To address the risk of fraud through management bias and override of controls. we: performed analytical procedures to identify any unusual or unexpected relationships,. tested journal entries to identify unusual transactions., assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bia5,- and investigated the rationale behind significant or unusual transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to.. agreeing financial statement disclosures to undedwng supporting documentation., reading the minutes of meetings of those charged with governance-, and enquiring of management as to actual and potential litigation and claims. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transattion5, the less likely it is that we would be(ome aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities is available on the Financial Reporting Council's website at.. https'.// wW.frC.org.ukJaudlt0r5[eSPQnslb1lltle5. This description forms part of our auditor's report. Other matters 15-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND INDEPENDENT AUDrroR'S REPORT (CONTINUED) TO THE COMMrrrEE OF DIREcfoRS AND SOLE TRUSTEES OF THE ROYAL CALEDONIAN EDUCATION TRUST Your attention is drawn to the fart that the chartty has prepared financial 5taternent5 in accordance with "Accounting and Reporting by Charities". Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Slandard applicable in the UK and Republic of Ireland IFRS 1021" la5 amended) in preference to the Accounting and Reporting by Charities." Statement of Recommended Practice issued on l April 2005 which is referred to in the extant regLJlations but has now been withdrawn. Thi5 has been done in order for the financial statements to provide a true and fair view in accordance with current Generally Accepted Accounting Practice. Usè of our rèport This report is made solely to the and to the charity's trustees, as a body. in accordance with regulation 10 of the Charitie5 Accounts1Scotlandl Regulations 2(106_ Our audit work has been undertaken so that we might stste to the charity's trustees and trustees those matters we are requiied to state to them in an auditors. 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, the Charity's trustees as a body,and the charitsble company's trustees as a body. for our audit work, for this reporL or for the opinions we have fomied. Myers Clark Chartered Accountants Statutory Auditor Egale I 80 St Albans Road Watford Hertfordshire WD17 IDL 16-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND STATEMENT OF FINANaAL AcnvrriES FOR THE YEAR ENDED 31 MARCH 2022 Unrestricted Restricted Endowment fvnds fvnds funds Total 2022 Total 2021 Notes Income and endowments from: Donations and legacies Investments Other income 56.160 116 235.917 232,645 288.805 126,506 73,940 351.496 109,361 51,496 126,390 1183,0001 21,023 Total in<ome 292,193 253,668 156,6101 489,251 512,353 Ex nditure on: Raising funds 122,692 122,692 153,285 Charitable activities 363.351 209,975 573.326 449.280 Total resources Èxpended 486.043 209,975 696,018 602,565 Net gain/llossl on investments li 1681 341,621 341.553 736,506 Net loutgoing}/incoming resources before transfer5 1193.9181 43,693 285,011 134,786 646,294 Transfers between funds 313.236 1313,2361 Net movement in fvnds 119,318 43,693 128,2251 134,786 646,294 Fund balances at l April 2021 1113.667) 147,337 4.415,665 4,449,335 3,803,041 Fund balances at 31 March 2022 5.651 191,030 4.387,440 4,584.121 4,449.335 The statement of financial activities irhcludes all gains and losses recognised in the year. All income 3nd expenditure derive from iontinuing activities. 17-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND STATEMENT OF FINANaAL AcnvrriES (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Prior Year Comparative Detail Unrestricted Restricted Endowment funds funds funds Total 2020 wm Donations and legacies Investments Other income 76.651 1.605 251,496 274,845 351,496 109.361 51,496 107,756 1200,0001 Total income 329.752 274,845 192,2441 512,353 nditure on: Raising funds 153.285 153,285 Charitable activities 267.269 182,011 449,280 Total resources expended 420.554 182,011 602,565 Net gain/llossl on investments 17.6 718,906 736,506 Net movement in funds [73.2021 92,834 626,662 646.294 Fund balances at l April 2020 140,4651 54,503 3,789,003 3,803,041 Fund balances at 31 March 2021 1113.667) 147,337 4.415,665 4,449,335 18-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND BALANCE SHEEr ASA T31 MARCH2022 2022 2021 Notes Fixed assets Investments 13 4,614,126 4,414,791 Current a55ets Debtors Cash at bank and in hand 14 8,115 79.398 5,947 119,254 87,513 125,201 Creditors: amounts falling due within one year 15 1117.5181 190,6571 Net current Iliabilitiesl/assets {30,0051 34,544 Totsl a55ets less current liabilities 4,584,121 4,449,335 Capital funds Endowment funds Permanent endowment Expendable endowment 4.387,440 4,124,922 290,743 16 4,387,440 4,415,665 Income funds Restricted funds Unrestricted funds 17 191.030 5,651 147,337 1113,6671 4,584,121 4,449,335 The accounts were approved by the Committee Of Directors And Sole Trustees on 7 September 2022 Mrm Noble Chairman 19-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 Accounting policies 1.1 Accounting convention The accounts have been prepared in accordance with the trust's governing d(KumenL the Charities and Trustee Investment Istotlzndl Art 2005, the Charities Account5 (Scotlandl Regulations 2(M)6 las amended), the Charities Act 2011 and Accounting and Reporting by Charities.. Statement of Recommended Practice.. Accounting and Reporting by Charities applicable to charities prep3ring their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 effective l January 2019. The accounts have departed from the Charities IA£counts and Reportsl Regulations 2008 only to the extent required to prowde a true and fair view. This departure ha5 involved applying 'Statement of Recomrnended Practice.. Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 effective I january 2019. rather than the version of the Statement of Recornmended Piactice ieferTed to in the regulation but ha5 since been withdrawn. Thè trust constitutes a Public Benefit Entity- The trust has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin I not to prepare a Ststement of Cash Flows. The financial 5taternents are prepared in 5teding. which is the functional currency of the trust. Monetary amounts in these financial statements are rounded to the nearest £. The financial ststements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these accour)ts. The Trust comprises a public benefit entity as defined by FRS 102. 1.2 Going concern At the time of approving the financial statements. the committee of directors and sole trustee5 have a reasonable expectation that the trust has adequate resources to continue in operational existence for the foreseeable future. Thus the committee of directors and sole trustees continue to adopt the going concern basis of accounting in preparing the financial statemen 1.3 Charitsble funds Unrestricted funds are donations and other income received or generated for the objects of the charity without further specified purpose and are available as general funds. Designated funds are unrestricted fvnds earrnarked by the Dirertors for particular appliiations_ Restrictèd funds are to be usèd for specific purposes as laid down by the donor. ExpenditLJre which meÈts these criteria is identified to the fund, together with a fair allocation of overheads and support costs. Permanent endowment funds are funds which have been given to the charity to be held as capital with no power to convert the fvnds to incorne. Expendable endowmènt funds are funds given to the charity to be held a% capitsl. The Ttu£tèes may convèrt the funds to income if no other income funds are available. 1.4 Incoming resources Income is recogni5ed when the trust 15 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. Income from government and other grants is recognised when the charity has entitlement to the funds, any performance conditions attached to the granls have been met. it is probable that income will be received and the amount can be measured and 15 not deferred. -20-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Ac¢ounting policies (Continued) Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by investment managers of the receipt of the divid8nd. Income received in advance of recognition criteria being met is deferred until the criteria for recognition are met. 1.5 Resources expended Liabilities are recognised as 500n a5 there is a legal or corhstrurtive obligation comrnitbng the charity to that expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Grants payable are payments made to third parties in the furtheranie of the charitable objectives of the trust. Single or multi-year grants are accounted for when the recipient has a reasonable expectation that they will receive a grant and the trustees have agreed to pay the grant without condition, or the recipient has a reasonable expectation that they will receive a grant and any condition attaching to the grant is outside the control of the tiust. Allocation of costs Expenditure is allocated to a particular activity where the costs relate directly to that activity. Direct expenditure has been allocated on the ba515 indicated below_ Cost of generating funds.. These include all expenditure spent in generating the voluntary income. Charitable activities= These include all expenditure directly related to the obJts of the charity. Support costs comprise cost5 incurred in support of the ab(Trve activitie5. Included in sUPPOrt costs are costs incurred in the governance of the charity which are primarily associated with the constitutional and statutory requirements. Support costs are allocated to activities based on an estimate of staff time spend on each activity during the financial period_ Irrécoverable value added tax Irrecoverable VAT is charged against the expenditure heading for which it was incurred. Grants Grants payable made to third parties in the furtherance of the charitable objects of the charity. In the case of an unconditional grant offer this is accrued once the recipient has been notified of the grant. Granls awarded that are subject to the recipient fulfilling perlormance conditions are only accrued when the recipient has been notified of the grant and any remaining unfulfilled condition attaching to the grant is outside the control of the charity. Pension <ontributions The charity makes payments to a defined contribution pension scheme for its employees. Contributions are charged to the Statement of Financial Activities in the period they are payable. 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 irnpairment losses. All items of capitsl expendtture over £500 are iapitali5ed. Depreciation 15 recognised 50 as to write off the cost or valuation of a55ets le55 their residual values over their useful lives on the following base& Fixtures and fittings Cornputers over 5 years over 4 years 21
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Ac¢ounting policies (Continued) 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. 1.7 Fixed asset investments Listed investments are a form of basic financial interest and are initially recognised at their transaction value and subsequently measured at their fair value at the balance sheet date using the mid- market value. 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 overdfafts. Bank overdrafts are shown within borrowings in current liabilities. 1.9 Financial instruments The trust has elected to apply the provisions of Section 11 'Basic Financial Instruments, of FRS 102 to all of its financial instruments. Financial instruments are recognised in the trust's balance sheet when the trust becomes paty to the contractual provisions of the instrument. SaC finAncialassets Basic financial assets, which include debtors and cash and bank balances. are initially measured at transaction price including transaction costs and arè subsequèntly tarried at amortised cost using thè Èffèctivè interest method unless the arrangement constitutes a financing transaction. where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. Basic financiall1alItIes 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 diKounted at a market rate of inlerest. Financial liabilities classified a5 payable within one year are not amortised. DerwnitiLm olfinanaalliathliti Financial liabilities are derecognised when the trust'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. Teimination benefits Ire recognised immediately as an expense when the trust is demonstrably committed to terminate the employment of an employee or to provide termination benefits. 1.11 Leases Rentals payable under operating leases. including any lease incentives received, are charged as an expense on a straight line bas15 over the term of the relevant lease. -22-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Donations and legacies Unrestricted Restricted funds funds Total 2022 Total 2021 Donations and gifts 56.160 232,645 288,805 351,496 For the year ended 31 March 2021 76.651 274,845 351,496 Investments Unrestricted Endowment funds funds 2022 2022 Totsl Unrestricted Endowment funds funds 2021 2021 Total 2022 2021 Income from listed investments Interest receivable 126.390 126.390 116 107,756 107,756 1,605 116 1,605 116 126,390 126.506 1,605 107,756 109,361 -23-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Raising funds 2022 2021 Costs of generating voluntary income Direct costs Support & govemance costs 69,049 28,129 114,090 15,821 Costs of generating voluntary income 97,178 129,911 Investment management fees 25,514 23,374 122,692 153,285 -25-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 Grants payable 2022 2021 Grants to individuals 80,019 58,175 80,019 58,175 Support & govèmancÈ costs 2022 2021 SUPPORT COSTS Staff costs Recruitment and staff development Premises expenses PR, marketing and Annual Review Printing. stationery. postage and phone Travelling Other Accountancy Computer & office equipment cosls 105,366 6.171 24,483 13,835 2.189 1,413 4,437 4,626 5,523 44,026 5,258 16,553 2,098 1,704 373 912 1,928 4,117 GOVERNANCE COSTS 17.848 10,929 185,891 87,898 Analysed beeen Fundraising Charitable activities 28.129 157,762 15,821 72,077 185,891 87,898 Governance costs include5 payments to the audrtors of £9.00012021- £8.8201 for audit fee5. Comrnittee Of Dirertors And Sole Tn*ees Irustee remuneration Jndexpenses None of the committee of directors and sole trustees lor any persons connerted with them) received any rernuneration or benefits from the trust during the year. 3 Trustees12021." 11 were reimbursed travel and venue hi expenses totalling £40512021." £151. -27-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 10 Employees Number of employees The average monthly number of employees {head count based on number of staff employed) during the year was.. 2022 Number 2021 Number Raising funds Charitable activites Support and Governance Employment costs 2022 2021 Wages and salaries Social security costs Other pension costs 324,216 26,376 12,838 261,963 21,256 10,094 363,430 293,313 There was one employee12021 01 whose annual emoluments were £60.000 or more. One full time employee was on secondment in both periods in furtherance of the education programme. The number of employees whose annual remuneration was £60,(X)O or more were.. 2022 Number 2021 Number £60,001 to £70,000 11 Nèt gainsl{losses) on investments UnrÈstr1rt Endowmént funds funds general Totsl 2022 Total 2021 Revaluation of investments 1681 341,621 341,553 736,506 For the year ended 31 March 2021 17.6LXI 718.906 736,506 -28-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 12 Tangible fixed assets Fimwres and Computsts fittirys Totsl Cost At l April 2021 869 2,976 3,845 At 31 March 2022 869 2,976 3,845 Depretlatlon and Impalrment At l April 2021 Depreciation charged in the year 869 1,488 1,488 2,357 1,488 At 31 March 2022 869 2,976 3,845 Carrying amount At 31 March 2022 At 31 March 2021 13 Fixed asset investments 2022 2021 Cost or valuation At 31 Maich 2021 Withdrawn Valuation changes 4.414,791 1142,2181 341.553 3,881,765 1203,4801 736,506 At 31 March 2022 4.614,126 4,414,791 Impairment At 31 March 2021 At 31 March 2022 Carrying amount At 31 March 2022 4,614,126 4,414,791 At 31 March 2021 4.414,791 3,881,765 2022 2021 Investments at fair value comprise.. Investment assets held in the UK Investment assets held outside the UK 3,295,884 1.318,242 3,436,460 978,331 4,614,126 4,414,791 -29-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 13 Fixed asset investments (Continued) 2022 2021 Investment5 representing oveT 5% by value of portFolio comprise= JPMorgan Asset Management UK Ltd (less than 5% in 20211 FP WHEB Asset Management Funds Accum.Ptg. Shares Class B Aberdeen Asian Income Fund Shares 235,654 290.457 253,786 281,161 253,786 779,897 534,947 Flxed asset Investments revalued Fixed asset investment are valued at market value at the year end. The historical cost of the fixed asset investments is £3.179.60212021.. £3,193,352). Fixed asset investments include cash held awaiting investment of £150.15012021.. £209,334). 14 Debtors 2022 2021 Amounts falling due wiihin one year. Prepayments and accrued income 8,115 5,947 15 Creditors: arnourrts falling due within one year 2022 2021 Other taxation and social security Accruals and deferred income 10,234 107,284 6,197 84,460 117,518 90,657 -30-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANaAL STATEMENTS {CONTJNUED) FOR THE YEAR ENDED 31 MARCH 2022 16 Endowment funds Endowment funds represent assets which must be held permanently by the tmst. Income arising on the endowment funds can be used in accordance with the objects of the trust and is included as unrestricted income. Any capital gains or losses arising on the assets fom) part of the fund. Movement in funds Resources Revaluations Release from Balance at 31 expended gains and unapplied Mar<h 2022 losses total return Balancè at I April 2021 Incoming resources fund / Transfers Permanent endowrnents Sale of the school Expendable endowments Legacy 4.124,922 126.390 319,128 1183,0001 4,387,440 290,743 22,493 1313,2361 4,415,665 126,390 341,621 1496,2361 4,387,440 Movement in funds prior pèriod Incoming Resources Revaluations Release from Balance at 31 re50urce5 expended gains and unapplied March 2021 losses totsl retum fund I Transfer5 Balance at I April 2020 Permanènt Èndowments Sale of the school Expendable endowments Legacy 3,544,627 107.756 672,539 1200,0001 4,124,922 244,376 46,367 290,743 3,789.(K)3 107,756 718,906 1200.0001 4,415.665 31
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 17 Restricted funds The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on Irust for specific purposes.. Movement in fvnds current year Balance at I kncorning Resources Balance at 31 April 2021 resources expènded March 2022 ABF The Soldiers Charity Cash For Kids Scottish Children's Lottery Persimmon Homes Awards For All Paul Hamlyn Board Game The Veterans Foundation Grant Veterans Scotland Ciene & Tait (Tillylossl Ground Work Brit + FGN The National Lottery Community Fund - Young Start Armed Forces Covenant Fund Tnjst Funding - YMM Armed Forces Covenant 24,973 1,820 2,171 24,973 11,8201 2,171 11,0001 15.7361 123,5521 119,6631 17.5001 120,7581 11,0021 5.736 30,000 18,696 7.500 5,960 1,002 1,000 6,624 6,448 1967) 14,798 1,000 5,977 1S,(K)O 20,400 160,423 42,047 115,6471 120,4001 192,8971 41,855 109,381 42,047 147.337 253,668 1209,9751 191,030 -32-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 17 Restrict funds (Continued) Movement in funds prior period Balance at l Jncoming Resource5 Balance ai 31 August 2020 resources expended March 2021 ABF The Soldiers Charity Cash For Kids Scottish Children's Lottery BFBS Awards For All Paul Hamlyn First Port Coffee Morning Board Game Foundation Scotland The Veterans Foundation Grant Bonnet-makers & Dyers of Glasgow Veterans Scotland Ciene & Tait (fillylossl Ground Work Brit + FGN The National Lottery Community Fund - Young Start Armed Forces Covenant Fund Trust Funding - YMM 29,247 14,2741 14001 15,3221 18,0001 11,0541 130,0001 134,4781 11081 24,973 1,820 2,171 2,220 7,493 8,000 6.790 30,000 5,736 30,000 30,(M)O 34,478 108 18,696 18,696 15,0001 17,5001 15,0001 18,7211 19981 15,IKIO 7,500 14,681 5,960 1,002 1,000 6,624 20,(X)O 25,400 74,235 113,3761 125,4001 132.3801 41,855 54,503 274,845 1182,0111 147,337 -33-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 19 Analysis of net assets between funds Unrestrirted funds Restricted Endowment funds funds Total Fund balances at 31 March 2022 are represèntèd by". Investments Current assetsllliabilitiesl 226,686 1221.0351 4,387,440 4,614,126 130,0051 191.030 5,651 191,030 4,387,440 4,584,121 Unrestrirted funds Restrirted Endowment funds funds Total Fund balances at 31 March 2021 are represented by.. Investments Current assets/lliabilitiesl 18741 1112.7931 4,415,665 4,414,791 34,544 147,337 1113,667) 147,337 4.415,665 4,449,335 20 Permanent Endowment End¢)wmenl Unapplied Total Fund Total Rètum Endowmént Fund At l April 2021 Sale of school Unapplied total retum 2.600,000 2,600,000 1,524,922 1.524,922 Total 2,600,(J)o 1,524,922 4,124,922 Movements to 31 March 2022 Investment return - dividends Investment return - realised & unrealised gains 126,390 319,128 126,390 319,128 445,518 445,518 Unapplied total return allocated to income in the year 1183,0001 1183,0001 Net movements in the year 262,518 262,518 At 31 March 2022 Sale of school Unapplied total retum 2.600,000 2,600,000 1,787,440 1.787,440 Total 2,600,000 1,787,440 4,387,440 -35-
THE ROYAL CALEDONIAN EDUCATION TRUST OPERATIONAL NAME: FORCES CHILDREN SCOTLAND NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022 21 Operating lease commitments At the reporting end date the trust had outstanding commitments for fvture minimum lease payments under non-cancellable operating lease5 for the rental of office space, which fall due as follows". 2022 2021 Within one year Beeen two and five years 10,402 20,803 45,073 10,402 65,876 22 Related party trdnsactions Rèmunèration of kny managèmènt pèrsonn The remuneration of key management personnel. including dundan(Y payments, employers Nl and employers pension contributions is as follows.. 2022 2021 Aggregate compensation 69,676 74,647 Transactions with related parties During the year the trust entered into the followng transactions with related parties.. 2022 2021 Donations made by Trustees loo -36-