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2025-12-31-accounts

The Scottish Electrical Charitable Training Trust

Annual report and financial statements for the year ended 31 December 2025

Registered charity number: SC001806

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Contents

Page
Trustees and advisers 1
Trustees’ report 2 – 6
Statement of Trustees’ responsibilities 7
Independent auditor’s report 8 – 10
Statement of financial activities 11
Balance sheet 12
Statement of cash flows 13
Notes to the financial statements 14 – 23

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Trustees and Advisers

Trustees Scott Foley
Robert MacGregor
Stephen Deans (Resigned July 2025)
Siobhan McCready (Appointed December 2025)
John Noble
Alan Wilson
Donald Orr
Principal office The Walled Garden
Bush Estate
Penicuik
Midlothian
EH26 0SE
Chief Executive Fiona Harper
Scottish Charity Number SC001806
Auditor Henderson Loggie LLP
Level 5, The Stamp Office
10-14 Waterloo Place
Edinburgh
EH1 3EG
Bankers Virgin Bank
83 George Street
Edinburgh
EH2 3ES
Solicitors Lindsays LLP
Caledonian Exchange
19A Canning Street
Edinburgh
EH3 8HE
Investment managers Barclays Wealth and Investment Management
11 Melville Crescent
Edinburgh
EH3 7LU

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Trustees’ Report

The Trustees are pleased to present their annual report and audited financial statements for the year ended 31 December 2025.

Structure, Governance and Management

The Scottish Joint Industry Board (SJIB) for the Electrical Contracting Industry regulates, in the public interest, the entry, conditions of service, training and education, and the level of skill and safety of apprentices and adult trainees in Scotland. The SJIB has delegated the management of its training schemes to the Scottish Electrical Charitable Training Trust (SECTT). SECTT’s sole function is the management of the SJIB Training Schemes. This is carried out by ensuring that the training requirements are met and that all apprentices and adult trainees are monitored, both on and off site. SECTT does this by means of a highly skilled team of Training Officers, Assessment Centre staff and Administrative Support staff. SECTT also organise the collection and distribution of financial assistance for training and assist employers with their recruitment of apprentices and adult trainees.

Nature of Governing Document

The Scottish Electrical Charitable Training Trust is constituted by Trust Deed.

Appointment of Trustees

In accordance with the Trust’s founding document, Trustees are appointed by the Trust’s main sponsors; SELECT (Trade Association) and Unite the Union (Trade Union). Each sponsor appoints three trustees.

Policies and Procedures for Induction and Training of Trustees

The Chief Executive organises an induction programme for new Trustees, which includes an explanation of the activities of the Trust, providing a copy of the Trust Deed together with copies of all strategic policy documents, the current risk assessment and the most recent management and financial accounts. The induction includes a tour of the SECTT premises. Specific training for Trustees is arranged as the need arises.

Decision Making Structure

The Trustees are responsible for the governance and strategic decisions, and the Chief Executive is responsible for day-to-day management of the Trust’s operations.

Pay of Key Management

The Chief Executive’s remuneration has been benchmarked against industry salaries, and any increases are in line with the industry’s collective agreement (the SJIB National Working Rules). The Trustees take account of the independent reviews of industry salaries and can make adjustments in line with these reviews. Remuneration of the Finance and Office Manager, the Training and Development Manager and the Assessment Centre Manager are also benchmarked against industry salaries, and any increases are given in line with the industry’s collective agreement. The Chief Executive has the authority to give merit, or special project increases as appropriate.

To ensure that SECTT is able to attract and retain staff, all salaries are benchmarked against “industry” salaries to ensure that SECTT’s staff are remunerated at the appropriate level.

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Trustees’ Report (continued)

Risk Management

The Trustees regularly examine and review the major strategic, business, and operational risks which the charity faces. They have established systems to enable regular reports to be produced so that the necessary steps can be taken to manage these risks.

Key risks to SECTT are:

Objectives and Activities

The Trust was established on 7 September 1990. The purposes of the Trust are:

Funding Contribution

The Trust receives most of its income from Skills Development Scotland who give a contribution to training for each Modern Apprentice (MA). The Trust receives the payments in instalments over the period of each MA’s training.

On-Site Training Support

On-site training support is paid to employers of apprentices as they progress through the apprentice training programme. The training support payments are subject to SECTT receiving sufficient funding from Skills Development Scotland and are currently payable to the employer once the apprentice is upgraded to the next stage of the training programme.

Heritable Property

The Trust owns the SECTT Assessment Centre in Cambuslang which is used to assess candidates undertaking the FICA (Final Integrated Competence Assessment) and the ACA (Advanced Competence Assessment). The facility also provides the opportunity to further raise awareness of SECTT and the

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Trustees’ Report (continued)

work of the charity in the West of Scotland. The training room within the Assessment Centre is regularly used by SELECT to deliver some of its short training courses.

Achievements and Performance

The Trustees are satisfied that SECTT has met the requirements of employers throughout Scotland with a total of 686 apprentices and 133 adult trainees recruited by the end of 2025. The Crediting Electrotechnical Competence (CEC) scheme attracted 4 registered candidates, and 4 CEC candidates passed the Final Integrated Competence Assessment (FICA) during 2025. This compares with 713 apprentices, 128 adult trainees and 10 CEC candidates in the previous year. The total number of persons in training and managed by SECTT in December 2025 was 3237. The number of electrical contractors in Scotland currently training apprentices is 1125. SECTT ensures that every company has the opportunity to recruit and train apprentice Installation Electricians. All apprentices and adult trainees are classed as Modern Apprentices; they are permanently employed on PAYE and follow the approved SJIB Training Programmes.

The level of recruitment over the last few years demonstrates the outstanding commitment of electrical contractors to train people for the future well-being of the industry and safety of the public. Also, the number of applications received demonstrates that there is significant interest from young people wishing to become Installation Electricians. Recruitment for both parties is aided by the number of preapprenticeship courses for the electrical industry which are designed and delivered by a number of the Approved Centres with SECTT’s support.

All apprentices and adult trainees follow the Modern Apprenticeship which culminates with the award of a Modern Apprenticeship certificate and a Scottish Vocational Qualification in Electrical Installation at SCQF 7 Installation together with the SJIB Craft and FICA Certificates.

Skills Development Scotland’s funding contribution has remained the same for mainstream apprentices aged 16-20 since 2017/18. The funding for adults has remained the same since 2018/19. This funding contribution has delivered funding support for all electrical installation apprentices regardless of age. With three available routes to Installation Electrician status through Modern Apprenticeship training, there is an opportunity of open access to anyone, irrespective of age, who wishes to qualify as an Installation Electrician. In addition, SECTT has actively encouraged adults to train, and existing operatives to upskill, through the different routes to Installation Electrician status.

The management and administration of training involves advertising career routes in the electrical industry, assessing the suitability of applicants and circulating details of applicants who have met the minimum standards of employers for interview and subsequent employment. SECTT contracts with 22 Approved Centres throughout Scotland to provide the off-the-job element of training, and sources funding from Skills Development Scotland as a contribution towards the costs of training a Modern Apprentice.

SECTT leads the delivery of the Construction and Built Environment Challenge (CABEC). Each year, three hundred S2 pupils and thirty teachers take part in a number of heats, and one hundred pupils take part in the Grand Final. This year, the final was held on 16 January 2025. It was an excellent event and the feedback from teachers, pupils and the challenge providers were, as always, positive.

SECTT, working with The King’s Trust and West College Scotland, Paisley Campus, delivered the Get into Electrical Programme in the summer. Twenty young people took part in the course, ten completed the programme and seven went on to join pre-apprenticeship courses offered by the college.

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Trustees’ Report (continued)

Economic Climate

The economic climate has once again proven to be a challenge. The Scottish economy showed signs of growth but faced persistent challenges. Uncertainty was once again fuelled by business concerns about recruitment, increases to the National Living Wage and National Insurance Contributions, and price hikes. Despite this, the number of redundant apprentices has continued to be low and SECTT, working closely with the SJIB, employers and Unite the Union, has been able to keep apprentices in training.

The Trustees are pleased with the level of commitment and support that employers show in continuing to recruit apprentices. The close working relationship of SECTT with the SJIB will continue for the foreseeable future, with the aim of keeping the maximum number of apprentices in training. SECTT will also broker any government grants that would support employers and training.

Investment Policy

There are no restrictions on the charity’s power to invest. The investment strategy was initially set up by the Trustees for a period of five years and is now reviewed quarterly. The Trustees consider the income requirements, the risk profile and the investment manager’s view of the market prospects in the medium term. Specific investment restrictions apply to the portfolio to avoid tobacco and ethically hostile companies. This strategy is set within an overall policy which states that the fund has to be invested in medium risk investments with a view to ensuring that capital appreciation of the funds exceeds inflation over each yearly period. The Trust’s strategy is reviewed annually with the investment manager and is discussed at all Trust Meetings.

Financial Review

The results for the period are set out in full in the statement of financial activities on page 10. The results for the year indicate a net surplus of £26k ( 2024: net surplus of £293k) and reserves of £7,886k ( 2024: £7,862k). There were net gains on investments of £327k ( 2024: net gains of £346k). Stock markets remain volatile with respect to international events and geopolitics. Excluding the movement on investments, the Trust made a deficit on operations of £301k ( 2024: £52k deficit).

Reserves Policy

The charity's current unrestricted free reserves are £7.584m, being total unrestricted reserves of £7.888m less tangible fixed assets of £0.304m. The charity maintains funds in general for the training of its apprentices and adult trainees, which will be fully utilised in that process. While the future training costs will be met from funding awards in subsequent financial years, the Trust’s reserves policy aims to maintain the reserves at a level which will enable support towards completion of their Modern Apprenticeship to be given to apprentices and adult trainees currently in training, should the present funding contribution cease. £6.25 million of the reserves are held in investments which act to provide a valuable income stream of circa £0.16m per annum which enables the charity to work towards break even annually, as well as providing the potential support funding should it be required. The remaining free reserves provide the working capital requirements for the organisation.

Plans for Future Periods

The Trust aims to continue to manage the recruitment, retention, and training of competent and safety conscious Installation Electricians for the industry. To achieve this, links to the careers service and employers will be maintained, to ensure there are opportunities for young people and adults to enter the industry and for employers to grow their businesses. The Trust will continue to work closely with the trade association for the Scottish electrical industry (SELECT), the Scottish Joint Industry Board (SJIB) and Unite the Union. In addition, there will be continual monitoring of training systems to ensure the safety of apprentices, adult trainees, Installation Electricians, contractors, clients, and the public.

5

Tho Scotilsh F.18Ctrlc81 Charltabl8 Tralning Trust Trustees, report arid ffnan¢ial si8latll8DIs 31 De￿Mbar2025 Trustee8' Report (continuedj roval of thè TnJstÈès' AnttLEal Ré ort So far as each Trust99 is aware, Iliere is no re￿an( audit information of which the audiior Is unawara. Each trusteé hag18ken the appropriate sleps 8S 8 trustee to rnake themselves aware of such inforfflalion and lo establish thal the auditor aware of it. Scott Fo Tru&tè8 27 May 2026

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Statement of Trustees’ responsibilities

The Trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in Scotland requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of its incoming resources and application of resources of the charity for that period. In preparing the financial statements, the trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Independent auditor’s report to the trustees of The Scottish Electrical Charitable Training Trust

Opinion

We have audited the financial statements of The Scottish Electrical Charitable Training Trust (the 'charity') for the year ended 31 December 2025 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement 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 FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis of opinion

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

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Independent auditor’s report to the trustees of The Scottish Electrical Charitable Training Trust (continued)

Matters on which we are required to report by exception

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

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement 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 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 cease operations or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Act and relevant regulations made 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 auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Extent to which the audit was considered capable of detecting irregularities, including fraud Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below:

As part of our planning process:

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Independent auditor’s report to the trustees of The Scottish Electrical Charitable Training Trust (continued)

The key procedures we undertook to detect irregularities including fraud during the course of the audit included:

Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). For instance, the further removed noncompliance is from the events and transactions reflected in the financial statements, the less likely the auditor is to become aware of it or to recognize the non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. The primary responsibility for the prevention and detection of irregularities and fraud rests with the trustees.

A further description of our responsibilities for the audit of the financial statements is available on the Financial Reporting Council’s website at https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with Section 44 (1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and Regulation 10 of the Charities Accounts (Scotland) Regulations 2006 (as amended). 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 charity’s trustees as a body for our audit work, for this report, or for the opinions we have formed.

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………………………… Henderson Loggie LLP Chartered Accountants Statutory Auditor 11-15 Thistle Street Edinburgh EH2 1DF

2 June 2026

Henderson Loggie LLP is eligible to act as auditor in terms of section 1212 of the Companies Act 2006.

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Statement of financial activities for the year ended 31 December 2025

Total Total
Unrestricted Unrestricted
2025 2024
Notes £ £
Income from:
Donations and grants 3 5,824 -
Charitable activities 4 6,255,453 6,195,154
Other trading activities 3,520 9,888
Investments 5 160,030 163,502
___ ___
Total income 6,424,827 6,368,544
Expenditure on:
Raising funds 6 (998) (1,194)
Charitable activities 7 (6,724,966) (6,419,724)
___ ___
Total expenditure (6,725,964) (6,420,918)
Net gains/(losses) on investments 12 327,150 345,751
___ ___
Net income being net movement in funds 26,013 293,377
Fund balances brought forward 7,861,575 7,568,198
___ ___
Fund balances carried forward 7,887,588
 7,861,575

The Trust has not discontinued existing operations or acquired new operations in the year.

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The Srollish CIBCtrlcal Charitable Trainlng Trust Ttuslees. report and financial Ètalem&n18 31 DecernbBr 2025 Balance sheet as at 31 December 2025 2025 2025 2024 2024 Nots6 Flxed assets Tangiblo assets InveslmÈnls 303,747 6,251,796 352,120 5,825,327 12 6,656,643 6,177,447 Current assets Stocks Debtors Cash 81 bank And in hand 18,S04 404,822 2.669,502 15.025 5D4,417 2.923,571 13 3,092.828 3,443,013 Currgnt Ilabililès Crsditors.. amounts falling due within one ye8r 14 11,760,783) (1,758,885) N•t curr8nt assgts 1.332.045 1.684.128 Net a88ets 7,887,588 7.861.575 Funds Unrestricted lunés IS 7,887,588 7.881,575 Total Funds 7087.588 7.861.575 These fin8ncidl sla16m8nls were considered by th& IiusleBs on al their meeting on 27 May 2026 and were subsequenlly signed on their beha￿ by Scott F Trus196 loy 12

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Statement of cash flows for the year ended 31 December 2025

2025 2025 2024 2024
£ £ £ £
Cash flows from operating activities
Net income / (expenditure) 26,013 293,377
(Gain)/loss on investments (327,150) (345,751)
Depreciation charges 86,486 83,374
(Gain)/loss on disposal of tangible fixed assets (2,306) 1,539
Decrease in stocks (3,479) 2,870
(Increase)/Decrease in debtors 99,595 (135,954)
(Decrease)/Increase in creditors 1,898 (2,473)
Income from investments (160,030) (163,502)
______ ______
Cash (utilised in)/generated by operating activities (278,973) (266,520)
Cash flows from investing activities
Interest received 25,672 33,811
Dividend income 134,358 129,691
Payments to acquire tangible fixed assets (65,256) (133,826)
Receipts from sales of tangible fixed assets 29,450 31,709
Payments to acquire investments (3,203,037) (1,077,503)
Receipts from sales of investments 3,137,310 952,062,
Movement in cash held for re-investment (33,593) 27,624
_ __
Cash (utilised in)/generated by investing activities 24,904 (36,432)
__ __
Increase/(decrease) in cash and cash equivalents in the year (254,069) (302,952)
Cash and cash equivalents at beginning of year 2,923,571 3,226,523
__ __
Cash and cash equivalents at end of year 2,669,502 2,923,571

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

1 Accounting policies

The Scottish Electrical Charitable Training Trust is an unincorporated charity with the registered office as noted on page 1. The following accounting policies have been applied consistently in dealing with the items which are considered material in relation to the charity’s financial statements.

Basis of preparation

The financial statements have been prepared under the historical cost accounting rules, and in accordance with applicable accounting standards, modified for the revaluation of investments. The charity is a Public Benefit Entity and the financial statements comply with the charity’s Constitution, the Statement of Recommended Practice (SORP) FRS 102 ‘Accounting and Reporting by Charities’, FRS 102, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

The financial statements are prepared in £ sterling which is functional currency of the charity rounded to the nearest pound.

Going concern

The financial statements are prepared on a going concern basis. The Trustees believe this is appropriate having looked at the current financial position and future funding prospects. In reaching this judgement, the Trustees have considered a period of at least 12 months from the date of approval of the financial statements and have not identified any material uncertainties in respect of going concern in that period.

Income

Income is recognised when the charity has entitlement to funds, any performance conditions attached to the income have been met, it is probable that the income will be received, and the amount can be measured reliably.

Investment income is recognised when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the income paid or payable.

Expenditure

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

Direct costs have been allocated directly to the relevant expenditure category. Some support costs are allocated directly to relevant expenditure categories with the remainder apportioned between the various elements of charitable expenditure on a pro rata basis. Support costs relate to the administrative costs of running the charity and are allocated to charitable activities accordingly. They include governance costs which are those costs involving the public accountability of the charity and its compliance with regulations and good practice and include the costs of statutory audit and legal fees, together with the costs of trustees’ meetings. Where VAT is applicable on costs it is not recoverable.

Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Redundancy and termination payments are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

Fixed assets

There is no de minimis limit for capitalisation of assets. All assets are held at cost. Depreciation is provided by the Trust to write off the cost of tangible fixed assets by equal instalments over their estimated useful economic lives as follows:

Premises and improvements 50 years straight line Motor vehicles 5 years straight line Office furniture and equipment 5 years straight line Computing equipment 3 years straight line

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

Investments and investment income

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value at the balance sheet date by reference to the Stock Exchange mid prices. Realised and unrealised gains and losses are charged or credited in the statement of financial activities. The main form of financial risk faced by the Trust is that of volatility in the investment markets due to wider economic conditions. Investment income is reinvested. Investment income is recognised when receipt is probable.

Stock

Stock is stated at the lower of cost and net realisable value.

Debtors

Other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash

Cash at bank and in hand includes cash and highly liquid short-term investments with a maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in a transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Financial instruments

The Trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. The Trust has no complex financial instruments.

Taxation

The Trust is recognised by HM Revenue & Customs as a charity for the purposes of the Corporation Tax Act 2010, part 11 and is exempt from income and corporation tax on its charitable activities.

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

Defined benefit pension scheme

The charity is a member of a defined benefit pension scheme which is closed to future members and provides benefits on final pensionable pay. The assets of the scheme are held separately from the charity. The charity is unable to identify its share of the underlying assets and liabilities of the scheme on a consistent and reasonable basis. Employer current pension contribtributions are charged to the Statement of Financial Activities in the period to which they relate.

Defined contribution pension scheme

The charity also participates in a defined contribution pension scheme for employees who joined after 2014 which provides benefits based on contributions. Employer contributions are charged to the Statement of Financial Activities in the period to which they relate.

Operating leases

Operating lease rentals are charged to the Statement of Financial Activities on a straight-line basis over the period of the lease.

Funds

Restricted funds are funds subject to specific requirements, which may be declared by the donor or used only, on or with their authority. Restricted Funds may be restricted income funds which are expendable at the discretion of the trustees in the furtherance of a particular aspect of the objects of the Trust or may be capital funds, where the assets are required to be invested or retained for actual use rather than expended.

New or revised Financial Reporting Standards

Amendments to FRS 102 introduced by the Period Review 2024

The amendments to FRS 102, along with the revised Charities SORP 2026, are applicable for accounting periods commencing on or after 1 January 2026, with earlier adoption permitted. The trustees have opted not to adopt these amendments early, as such, the amendments will be implemented for the accounting year ending 31 December 2026. The most significant amendments are the replacement of Section 23, now renamed ‘Revenue from Contracts with Customers’, and Section 20 ‘Leases’. The other less significant changes are not currently expected to have a material impact. The new revenue and leasing requirements seek to provide greater consistency and alignment with International Financial Reporting Standards, namely IFRS 15 and IFRS 16.

The charity is currently planning for the implementation of these changes.

Under the new lease accounting requirements these changes will be applied using the modified retrospective approach which avoids the restatement of comparative figures. The implementation of the changes would see leased assets recognised as Right-of-Use assets on-balance sheet, with a lease liability recognised based on the discounted value of any future commitments, plus payments related to optional extension periods if considered reasonably certain. Exemptions to this approach will be considered for certain short-term leases or low-value assets.

Under the new revenue accounting requirements, management expects these changes to be applied using the modified retrospective approach which avoids the restatement of comparative figures. Management are reviewing the current and expected future revenue transactions to determine the necessary performance obligations, transaction prices, and overall recognition and presentation to ensure compliance with the changes. As at the date of signing the financial statements, and given the changes relate to future periods, it has been deemed impractical to determine the amounts involved.

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The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

2 Judgements in applying accounting policies and key sources of estimation uncertainty

In the application of the Trust’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

In preparing these financial statements, the trustees have made the following judgements:

3 Income from donations and grants

Scottish Joint Industry Board
4
Income from charitable activities
Skills Development Scotland - Funding contributions
Employers’ funding
FICA, ACA and CEC fees
5
Income from investments
Interest receivable
Dividend income		 2025
£
5,824
_
5,824

2025
£
6,157,492
3,692
94,269
_
6,255,453

2025
£
25,672
134,358
______
160,030
 2024
£
-
_
-
2024
£
6,109,873
3,901
81,380
_
6,195,154
2024
£
33,811
129,691
______
163,502

17

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

6
Expenditure on raising funds
Investment management costs		 2025
£
998
 2024
£
1,194

7 Expenditure on charitable activities

2025
2025
Direct
costs
Support
costs
£
£
Employer training support
1,336,664
100,867
College fees
2,437,024
183,903
Assessment centre costs
453,526
34,224
Apprentice costs
497,701
37,558
Training officers’ costs
1,528,179
115,320
__
______
6,253,094
471,872
8
Support costs
Staff costs
Travel and subsistence
Premises
Office equipment costs
Office supplies
Professional fees
Depreciation
Governance costs (note 9)
9
Governance costs
Auditors’ remuneration
Other external review costs
Cost of trustee’s meetings		 2025
Total
costs
£
1,437,531
2,620,927
487,750
535,259
1,643,499
___
6,724,966		 2024
Direct
costs
£
1,226,790
2,205,835
403,313
638,098
1,390,918
__
5,864,954		 2024
Support
costs
£
116,043
208,651

38,150

60,358
131,568
__
554,770
2025
£
296,314
290
70,774
24,059
11,360
47,317
4,278
17,480
_
471,872
2025
£
13,750
2,750
980
_____
17,480		 2024
Total
costs
£
1,342,833
2,414,486
441,463
698,456
1,522,486
___
6,419,724
2024
£
388,751
618
68,391
23,658
11,602
38,675
5,647
17,427
_
554,769
2024
£
13,000
2,675
1,752
_
17,427

18

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

10 Trustees / Employees

The trustees received no remuneration, other benefits or reimbursement of expenses during the current or prior year.

The average number of persons employed during the year, analysed by category, was as follows:

Administration
Training
The full-time equivalent number of employees was
The average payroll costs of these persons were as follows:
Wages and salaries
Social security costs
Pension costs - Defined contribution scheme
Remuneration of key management personnel
Number of employees with employee benefits (excluding employer
pension costs) in excess of £60,000:
£60,001 - £70,000
£70,001 - £80,000
£80,001 - £90,000
£90,001 - £100,000
£100,001 - £110,000		 2025
£
15
16
__
31
31
2025
£
1,523,592
197,958
169,207
______
1,890,757

346,386

2025
No.
1
-
-
-
1		 2024
£
17
14
__
31
31
2024
£
1,462,178
175,906
173,020
______
1,811,104		 2024
£
17
14
__
31
31
2024
£
1,462,178
175,906
173,020
______
1,811,104
367,660
2024
No.
2
1
-
-
-

No termination payments were paid out in the year (2024: £74,219).

19

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

11 Tangible fixed assets

Premises &
improvements
£
Cost
At start of year
246,500
Additions
-
Disposals
-
_
At end of year
246,500
_
Depreciation
At start of year
144,827
Charge for year
4,931
Disposals
-
_
At end of year
149,758
_
Net book value
At 31 December 2025
96,742
Net book value
At 31 December 2024
101,673
12
Fixed asset investments
Quoted investments
Fair value at beginning of year
Less cash held for reinvestment
Additions at cost
Disposals proceeds
Net investment gains/(losses)
Add cash held for reinvestment
Fair value at end of year
Historical cost at end of year		 Motor
vehicles
Computing
equipment
Office
furniture
& test
equipment
£
£
£
349,690
73,663
266,095
55,800
7,120
2,336
(77,674)
(8,062)
(228)
_
_
_
327,816
72,721
268,203
_
_
_
129,254
55,840
253,907
67,406
9,679
4,470
(50,679)
(8,062)
(80)
_
_
_
145,981
57,457
258,297
_
_
_
181,835
15,264
9,906

220,436
17,823
12,188

2025
£
5,825,327
(100,600)
_
5,724,727
3,203,037
(3,137,310)
327,150
_
6,117,604
134,192
__
6,251,796

5,494,915
 Total
£
935,948
65,256
(85,964)
_
915,240
_
583,828
86,486
(58,821)
_
611,493
_
303,747
352,120
2024
£
5,381,760
(128,225)
_
5,253,535
1,077,503
(952,062)
345,751
_
5,724,727
100,600
__
5,825,327
5,386,374

The main risk to the Trust from financial instruments lies in the combination of uncertain investment markets and volatility to growth. The Trust’s investment strategy is to ensure capital growth of funds in excess of inflation each year and as such the portfolio is invested in low to medium risk stocks. Liquidity risk is anticipated to be low as all assets are traded in markets with good liquidity and high trading volumes and this is expected to continue. The Trust manages these investment risks by retaining expert advisors to manage its investment portfolio. The investment policy is reviewed annually to ensure the protection of the real value of the portfolio in the longer term.

20

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

13
Debtors
Trade debtors
Other debtors
Prepayments and accrued income
14
Creditors
Trade creditors
College fees
Accruals
Fees received in advance
Social security and other taxes
Other creditors
Funds held on behalf of others*		 2025
£
-
885
403,937
__
404,822

2025
£
25,410
989,603
667,368
7,107
66,226
-
5,069
______
1,760,783
 2024
£
8,105
1,737
494,575
__
504,417
2024
£
64,976
814,816
808,188
15,720
44,276
-
10,909
______
1,758,885
Fees received in advance
Deferred income at 1 January 2025
Resources deferred during the year
Amounts released from previous years
Deferred income at 31 December 2025
Fees received in advance are re-sit fees received in advance of the re-sit date.		 £
15,720
7,107
(15,720)
_
7,107

21

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

15 Funds
2025
Opening
balance
£
Income
£
Expenditure
£
Unrestricted
General
7,861,575
6,424,827
(6,725,964)
_
_
___
Total Funds
7,861,575
6,424,827
(6,725,964)
_
_
_
2024
Opening
balance
£
Income
£
Expenditure
£
Unrestricted
General
7,568,198
6,368,544
(6,420,918)
_
_
___
Total Funds
7,568,198
6,368,544
(6,420,918)		 Gains/
(losses)
£
Transfers
£
327,150
-
__
_
327,150
-
_
_
Gains/
(losses)
£
Transfers
£
345,751
-

___
345,751
-		 Closing
balance
£
7,887,588
_
7,887,588
_
Closing
balance
£
7,861,575
_
7,861,575

16 Commitments

The Trust has total minimum future commitments under operating leases as follows:

Operating leases which expire:
Less than one year
Two to five years
Due over 5 years		 2025
£
97,657
355,854
-
_
453,511
 2024
£
74,206
289,460
-
_
363,666

Operating lease payments of £85,017- ( 2024: £71,897 ) were paid in the year.

Future commitments

The Trust has entered into commitments in respect of training assistance provided to apprentices and employers throughout the duration of the apprenticeship. The commitment at the balance sheet date is estimated to be in the region of £5 million. These costs are treated as liabilities of future periods to which they are time related and will be financed by specific funding contributions or other income receivable in those periods.

22

The Scottish Electrical Charitable Training Trust Trustees’ report and financial statements 31 December 2025

Notes to the financial statements for the year ended 31 December 2025

17 Pension costs

The Trust has participated in the ITB Pension Funds Schemes. The Defined Benefit Scheme was closed to new entrants in 2012 and in 2014 the Trust joined the Defined Contribution scheme of the ITB Pension Funds for new permanent members of staff. The Defined Benefit Scheme provided benefits based on final pensionable salary.

During 2025, the ITB Pension Funds Trustees determined to wind-up the ITB Pension Funds and transfer the assets and liabilities of the Defined Contribution Scheme assets and liabilities to the Legal & General Worksave Mastertrust defined contribution pension scheme product.

The total Defined Contribution pension charge for the year was £169,207 ( 2024: £173,020 ). The amounts outstanding for the Defined Contribution Scheme for the year end were £nil ( 2024: £nil ).

18 Financial instruments

Carrying amount of financial assets
Equity instruments measured at fair value through profit and loss		 2025
£
6,117,603
 2024
£
5,724,727

Equity instruments measured at fair value through profit and loss compromises listed investments.

19 Related parties

As noted within the trustees report, both SELECT and UNITE are represented on the Board of Trustees and are considered related parties on that basis. SJIB delegate the management of training schemes to the charity and as such, are also considered a related party. During the year, the charity received services totaling £6,000 ( 2024: £6,000 ) from SELECT and £6,000 (2024; £6,000) from UNITE for consultancy advice to enable the charity to operate in meeting the demands of the industry. The balance due to SELECT at the year-end was £nil ( 2024: £nil) and the balance due to UNITE at the year-end was £3,500 ( 2024: £3,500 ). £ 65,934 ( 2024; £63,550 ) of rent was also paid to SELECT in the year. In accordance with the Trust’s founding document each of these organisations appoints three trustees. During the year, the charity incurred registration fees amounting to £162,400 (2024 - £168,800) from SJIB and at the year end this amount was outstanding.

One of the trustees, John Noble, is also the director of John Noble Electrical Contractors, a company which was awarded on-site training support payments of £1,500 ( 2024: £1,500 ) by the Trust in respect of apprentices’ employment during the year.

The support paid to every employer in relation to an apprentice is the same throughout Scotland. The on-site training support structure and value is approved annually by the trustees.

20 Ultimate controlling party

The charity is constituted by Trust Deed and is controlled by the elected trustees.

23