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2025-04-05-accounts

The DR Spalding Charitable Trust

Annual report and financial statements for the year ended 5 April 2025

(Scottish Charity Number SC003350)

The DR Spalding Charitable Trust

Charity information

Trustees
Principal address
Solicitors Thorntons Law LLP
Whitehall House
33 Yeaman Shore
Dundee
DD1 4BJ
Independent examiner
Henderson Loggie LLP
Chartered Accountants
The Vision Building
20 Greenmarket
Dundee
DD1 4QB
Bankers Bank of Scotland
11 Earl Grey Street
Edinburgh
EH3 9BN
Investment managers, William Thomson & Sons
Agents and Trust 22 Meadowside
secretaries Dundee
DD1 1LN
Charity number SC003350

1

The DR Spalding Charitable Trust

Trustees’ report

The Trustees present their annual report and financial statements of the Trust for the year ended 5 April 2025. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Trust’s Constitution, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in 2019. The Trust information set out on page 1 forms part of this report.

Objectives and activities

The Trust Deed states that:

The Trustees shall hold the Trust Fund for charitable purposes exclusively.

Grant making policy

The Trustees meet regularly to consider the distribution of income in terms of the Trust purposes and review the Trust investments. Reviews are also carried out during the year as considered necessary.

Unsolicited applications for donations are not encouraged and will not normally be acknowledged.

Structure, governance and management

Constitution

The Trust was constituted by a Deed of Trust on 27 May 1980.

The Trust Deed gives the Trustees discretion in regard to payment or application of capital or income of the Trust to charitable institutions or for any charitable purpose the Trustees may decide upon.

The Trust Deed provides that the Trust will terminate on 31 December 2050.

Trustees

The Trustees throughout the year and at the date of this report are shown on page 1.

The power of appointing and removing Trustees rests with the Trustees.

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The DR Spalding Charitable Trust

Trustees’ report (continued)

Trustee induction and training

The Trustees have considered a policy on Trustee induction and training prior to new Trustees being approached. This includes awareness of a Trustee’s responsibilities, the governing document, administrative procedures, and the history and philosophical approach of the Trust. A new Trustee receives copies of the previous year’s financial statements, minutes of Trustees’ meetings and a copy of the OSCR leaflet “Guidance and Good Practice for Charity Trustees”, if appropriate.

Key management personnel

The Trustees consider the board of Trustees to be the key management personnel of the Trust, in charge of directing and controlling the Trust and running and operating the Trust on a day to day basis. All Trustees give their time freely and no Trustee remuneration or expenses were paid in the year.

Trustees are required to disclose all relevant interests and in accordance with the Trust’s policy withdraw from decisions where a conflict of interest arises.

Achievements and performance

During the year under review the income received was from investments, deposits and donations.

The Trustees noted that the level of income had increased in the year from £256,284 to £256,888 and that the grants made to charitable organisations totalled £120,000 (2024 - £104,000).

Financial review

The results of the year are set out in the statement of financial activities showing net expenditure of £107,535 (2024 – net income of £261,238). The Trust’s investment portfolio decreased in value from £2,465,600 to £2,355,248 during the year, broadly in line with market conditions.

Investment policy and performance

In accordance with the Trust Deed, the Trustees have the power to invest in such stocks, shares, investments and property as they see fit. The policy is, long term, to adopt a medium risk investment strategy, including equity investments, to produce a balance of income and capital growth.

Risk management

The principal risk faced by the Trust lie in the performance of investments. The Trustees consider variability of investment returns to constitute the Trust’s major financial risk. This is mitigated by retaining expert investment managers and having a diversified investment portfolio.

Related party transaction

During the year the Trust received a donation of £149,306 from

(2024 - £153,986).

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The DR Spalding Charitable Trust

Trustees’ report (continued)

Reserves policy

The reserves of the Trust originate from original and subsequent capital donations together with the growth in value of investments. The Trustees have adopted a reserves policy that ensures the continuing ability of the Trust to meet its objectives. Reserves are retained primarily to meet significant requests for financial assistance and stock market risks. The level of free reserves held at 5 April 2025 was £2,394,669 (2024 — £2,502,204).

Strategy

The Trustees have pursued their strategy of making grants to charities to an extent which absorbs as nearly as is practicable the whole incoming resources on a rolling basis but they are prepared to incur a deficit in any particular year if the circumstances require this. They continued their practice of receiving and considering annual reports from the Investment Managers on the position of the Trust's portfolio of investments.

Future strategy

The Trust is predominantly a grant giving charity and has no material ongoing commitments. The Trustees are mindful both of the potentially increased needs of many traditional beneficiaries and the potential decrease in future investment income and will manage the Trust's affairs in a manner that will ensure the Trust's ability to achieve its charitable objectives in the medium to long term can be met.

The report and financial statements were approved by the Trustees on 16 September... 2025 and were signed on their behalf by:

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The DR Spalding Charitable Trust

Statement of responsibilities of the Trustees

The Trustees are responsible for preparing the Trustees’ Annual 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 Trust and of the incoming resources and application of resources of the Trust for that period. In preparing these 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 Trust and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the Trust’s constitution. They are also responsible for safeguarding the assets of the Trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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The DR Spalding Charitable Trust

Report of the Independent Examiner to the Trustees of The DR Spalding Charitable Trust

I report on the financial statements of the charity for the year ended 5 April 2025 which are set out on pages 7 to 15.

This report is made to the trustees, as a body, in accordance with the terms of my engagement. My work has been undertaken to enable me to report my opinion as set out below and for no other purpose. To the fullest extent permitted by law I do not accept or assume responsibility to anyone other than the trustees, as a body, for my work or for this report.

Respective responsibilities of the Trustees and Examiner

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

Basis of Independent Examiner’s Statement

My examination is carried out in accordance with Regulation 11 of the 2006 Accounts Regulations. An examination includes a review of the accounting records kept by the Trust and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeks explanations from the Trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the view given by the financial statements.

Independent Examiner’s Statement

In the course of my examination, no matter has come to my attention:

have not been met; or

==> picture [226 x 50] intentionally omitted <==

For on behalf of Henderson Loggie LLP Chartered Accountants The Vision Building 20 Greenmarket Dundee DD1 4QB

…………………….. 2025 16 September

6

The DR Spalding Charitable Trust

Statement of financial activities for the year ended 5 April 2025

Unrestricted Unrestricted
Total Total
Note 2025 2024
£ £
Income from:
Investment income 2 107,582 102,298
Donations 3 149,306 153,986
_ _
Total income 256,888 256,284
_ _
Expenditure on:
Raising funds 4 8,430 7,737
Charitable activities 5 123,090 106,511
_ _
Total expenditure 131,520 114,248
_ _
Net income and net movement in funds before
(losses)/gains on investments 125,368 142,036
_ _
Net (losses)/gains on investments 7 (232,903) 119,202
_ _
Net (expenditure)/income and net movement in
funds (107,535) 261,238
Reconciliation of Funds:
Total funds at 5 April 2024 2,502,204 2,240,966
__ __
Total funds at 5 April 2025 10 2,394,669 2,502,204
======= =======

All activities relate to continuing operations.

The notes on pages 9 to 15 form part of these financial statements.

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The DR Spalding Charitable Trust

Balance sheet at 5 April 2025

Note 2025 2024
£ £ £ £
Fixed assets
Investments 7 2,355,248 2,465,600
Current assets
Debtors 8 2,160 1,994
Cash at bank 40,534 37,654
42,694 39,648
Current liabilities
Sundry creditors 9 (3,273) (3,044)
Net current assets 39,421 36,604
Net assets 2,394,669 2,502,204
The funds of the Trust:
Unrestricted funds 10 2,394,669 2,502,204
The notes on pages 9 to 15 form part ofthese financial statements.
These financial statements were approved by the Trustees on 16 September 2025 and were
signedontheirbehalfby:

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The DR Spalding Charitable Trust

Notes to the financial statements

1 Accounting policies

Trust information

The DR Spalding Charitable Trust is a charity registered in Scotland. The principal address is

Basis of preparation and assessment of going concern

The financial statements are prepared under the historical cost convention as modified by the revaluation of investments and include the results of the Trust’s operations as indicated in the Report of the Trustees, all of which are continuing.

The financial statements have been prepared in accordance with applicable accounting standards and the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) issued in 2019, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

The Trust constitutes a public benefit entity as defined by FRS102.

At the time of approving the financial statements, the trustees have a reasonable expectation that the Trust has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

The financial statements are prepared in sterling, which is the functional currency of the Trust. Monetary amounts in these financial statements are rounded to the nearest £.

The following is a summary of the significant accounting policies adopted by the Trustees in the presentation of the financial statements.

Income recognition

All income is recognised once the Trust has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Trust; this is normally upon notification of the interest paid or payable by the bank. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividends yield of the investment portfolio.

Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the Trust to that expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings. For more information on this attribution refer to allocation of support and governance costs.

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The DR Spalding Charitable Trust

Notes to the financial statements (continued)

1 Accounting policies (continued)

Expenditure recognition (continued)

Grants payable are payments made to third parties in the furtherance of the charitable objects of the Trust. In the case of an unconditional grant offer this is accrued once the recipient has been notified of the grand award. The notification gives the recipient a reasonable expectation that they will receive the one-year or multi-year grant. Grant awards that are subject to the recipient fulfilling performance conditions are only accrued when the recipient has been notified of the grant and any remaining unfulfilled condition attaching to that grant is outside of the control of the Trust.

Irrecoverable VAT

Irrecoverable VAT is charged against the expenditure heading for which it was incurred.

Raising funds

Raising funds consist of investment management costs.

Charitable activities

Costs of charitable activities include grants paid and support costs as shown in note 5.

Allocation of support costs

Support costs include costs related to the independent examination and secretarial services.

Investment policy

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

The Trust does not acquire put options, derivatives or other complex financial instruments.

The main form of financial risk faced by the Trust is that of volatility in equity markets and investment markets due to wider economic conditions, the attitudes of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.

Realised gains and losses

All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

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The DR Spalding Charitable Trust

Notes to the financial statements (continued)

1 Accounting policies (continued)

Cash at bank

Cash at bank includes cash held in a deposit or similar account.

Creditors and provisions

Creditors and provisions are recognised where the Trust has a present obligation resulting from a past event that will probably result in the 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.

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.

Structure

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Trust and which have not been designated for any other purpose.

2 Investment income 2025 2024
£ £
Dividends 104,415 98,707
Interest 3,167 3,591
______ ______
107,582 102,298
===== =====
3 Donations 2025 2024
£ £
Donation including gift aid 149,306 153,986
====== ======
4 Raising funds 2025 2024
£ £
Investment fees 8,430 7,737
===== =====

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The DR Spalding Charitable Trust

Notes to the financial statements (continued)

5 Charitable activities

The Trust did not undertake any activity directly but met its charitable purposes by making grants.

grants.
2025 2024
£ £
Charitable organisations
DEC – Ukraine Humanitarian Appeal - 10,000
DEC – Middle East Humanitarian Appeal 10,000 -
Dundee Carers Centre 7,000 7,000
GRIMM Charitable Foundation (Ukraine) 10,000 -
Feughside Community Association 2,000 -
National Theatre of Scotland 9,000 8,000
Royal National Lifeboat Institution 17,000 16,000
Royal Society for the Protection of Birds (RSPB) 8,000 8,000
Scottish Opera 17,000 16,000
Scottish Society for Prevention of Cruelty to Animals (SSPCA) 2,000 2,000
The National Trust of Scotland 2,000 2,000
Mid-Lin Day Care 11,000 10,000
Faith in the Community 5,000 5,000
Dundee Bairns 4,000 4,000
Advocacy North East 4,000 4,000
Simon Community Scotland 4,000 4,000
NHS Tayside Charitable Foundation 4,000 4,000
With You Dundee 4,000 4,000
_ _
Total grants paid to charitable organisations 120,000 104,000
Support costs (note 6) 3,090 2,511
_ _
123,090 106,511
====== ======
6 Support costs
Charitable Total
2025 activities Governance 2025
£ £ £
Independent examiner’s fee - 692 692
Secretarial services 1,914 479 2,393
Bank charges 5 - 5
_____ _____ _____
1,919 1,171 3,090
==== ==== ====
Charitable Total
2024 activities Governance 2024
£ £ £
Independent examiner’s fee - 630 630
Secretarial services 1,505 376 1,881
_____ _____ _____
1,505 1,006 2,511
==== ==== ====

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The DR Spalding Charitable Trust

Notes to the financial statements (continued)

6 Support Costs (continued)

Key management personnel

No Trustees received any remuneration or expenses in either of the two years ended 5 April 2025.

The Trust has no employees.

7 Investments 2025 2024
£ £
At 6 April 2024, at cost 2,156,056 2,017,807
Unrealised appreciation 309,544 178,354
__ __
At 6 April 2024, at fair value 2,465,600 2,196,161
Movements in the year
Donations 149,306 153,986
Purchases 55,544 49,783
Return on capital (26,787) -
Sale proceeds (55,512) (53,532)
Gain on realisation 30,205 2,307
(Decrease)/increase in unrealised appreciation (263,108) 116,895
__ __
At 5 April 2025, at fair value 2,355,248 2,465,600
======= =======
Represented by
Investments at cost 2,254,863 2,156,056
Unrealised appreciation 100,385 309,544
__ __
2,355,248 2,465,600
======= =======
All listed investments are listed on a recognised stock exchange.
Listed UK securities 2,040,765 2,061,208
Unlisted UK securities 314,483 404,392
_ _
2,355,248 2,465,600
======= =======

The Trustees consider investment holdings in excess of 5% of the portfolio value to be material.

Material interests Fair value Fair value
5 April 5 April
2025 2024
£ £
Alliance Trust plc 602,144 542,762
DC Thomson & Co Ltd 314,483 404,392
====== ======

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The DR Spalding Charitable Trust

Notes to the financial statements (continued)

7 Investments (continued)

Investment Risks

FRS 102 requires the disclosure of information in relation to certain investment risks. These risks are set out by FRS 102 as follows:

Credit risk: this is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation.

Market risk: this comprises currency risk, interest rate risk and other price risk.

Other price risk: this is the risk that the fair value or future cash flows of a financial asset will fluctuate because of changes in market prices (other than those arising from interest rate risk or currency risk), whether those changes are caused by factors specific to the individual financial instrument or its issuer, or factors affecting all similar financial instruments traded in the market.

The Charity has exposure to these risks because of the investments it makes to implement its investment strategy. The Trustees manages investment risks, including credit risk and market risk, within agreed risk limits which are set taking into account the Charity’s strategic investment objectives. These investment objectives and risk limits are implemented through the investment manager agreements in place with the Charity’s investment managers and monitored by the Trustees by regular reviews of the investment portfolios.

Credit risk

The Charity invests in pooled investment vehicles and is therefore directly exposed to credit risk in relation to the instruments it holds in the pooled investment vehicles and is indirectly exposed to credit risks arising on the financial instruments held by the pooled investment vehicles.

Analysis of direct credit risk

Direct credit risk arising from pooled investment vehicles is mitigated by the underlying assets of the pooled arrangements being ring-fenced from the pooled manager, the regulatory environments in which the pooled managers operate and diversification of investments amongst a number of pooled arrangements. The Trustees carry out due diligence checks on the appointment of new pooled investment managers and on an ongoing basis monitor any changes to the regulatory and operating environment of the pooled manager.

Pooled investment arrangements used by the Charity comprise authorised unit trusts.

Indirect credit risk arises in relation to underlying investments held in the bond pooled investment vehicles. This risk is mitigated by only investing in pooled funds which invest in at least investment grade credit rated securities.

Other price risk

Other price risk arises principally in relation to equities held in pooled vehicles. The Charity manages this exposure to other price risk by constructing a diverse portfolio of investments across various markets.

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The DR Spalding Charitable Trust

Notes to the financial statements (continued)

8 Debtors
2025 2024
£ £
Tax repayment 2,160 1,994
_ _
2,160 1,994
====== ======
9 Sundry creditors
2025 2024
£ £
Accruals 3,273 3,044
===== =====
10 Unrestricted funds 2025 2024
£ £
At 6 April 2024 2,502,204 2,240,966
Revenue surplus for the year 125,368 142,036
Gain on realisation 30,205 2,307
(Decrease)/increase in unrealised appreciation on investments (263,108) 116,895
__ __
At 5 April 2025 2,394,669 2,502,204
======= =======

11 Material commitments

There were no material commitments at 5 April 2025 (2024 - nil).

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