TURCAN CONNELL THE HUGH FRASER FOUNDATION Scottish Charity No . SC009303 Report of the Trustees and Audited Financial Statements For year to 31 March 2025
Page 2 THE HUGH FRASER FOUNDATION General Information and Re ort of the Trustees for the ear ended 31 March 2025 The Trustees present their annual report and financial statements for the charity for the year ended 31 March 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 CharItS Trusl Deed, the Charities and Trustee Investment (Scotlandl Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended} and the Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charittes preparing their financial slalements in accordance with the Financial Reporting Standard 102 appllcable in the UK and Republic of Ireland (FRS 102) (second edition issued October 2019 and effective 1 January 2019). Ob ectlves and Actfvitles: Ob'ectives of the Trust The Foundation was established on 26 February 1960 by Sir Hugh Fraser. Bt.. later Lord Fraser of Allander and endowed by him with shares in House of Fraser and Scottish and Universal Investments (SUITS), the West of Scotland based companles Nthose fortunes he directed. It was established for charitable purposes. The fijnds of the Foundation. both capital and income, are to be applied at the sole discretion of the Trustees for charttable purposes generally in Scotland and elsewhere. The Truslees do not engage directly in charitable activities or projects. It should be noted that the Twstees are not bound to continue supporting organisations in these areas and may in the future favour other areas of benefit whilst remaining within the objectives of the Trust Deed. Grant Makin Polic The Trustees. policy is to support a broad range of charitable projects particularfy in Scotland bLrt also elsewhere at the discretion of the Trustees. The Trustees consider that grants to large, highly-publicised national appeals are not likely to be as effective a use of funds as grants to smaller and more focused charltable appeals. The Trustees also consider that better use of funds Gan be made by maklng grants to charitable bodies to assist them with their work, than by making a large number of grants to individuals. The Trustees are prepared to enter into commitmenls over a period of time by making grants in suGGessive years. often to assist in new initiatives which can maintsin their own momentum once Ihey have been established for a few years. The Foundation makes donations to charities working in many different sectors principally hospitals, schools and universities, arts organisations and organisations working with disabled people, the underprivileged and the aged. The Trust8es are nevertheless prepared to consider applications from charities working in other fields. rt on the Activities of the Trust The Trustees have received applications from a number of organisations throughout the year.
Page 3 THE HUGH FRASER FOUNDATION General Information and Re ort of the Trustees for the ear ended 31 March 2025 Ob ectlves and Actlvltles: Re ort on the Activitses of the Trust (Contd.) In the curreni year, the Trustees made grants, including futtsre commltments and pledges, of £3,302,735 (2024 £2,550,341) to charities. principally in the field of medical and health, the relief of poverty and assistance to the aged and infirm, education and learning, encouragement of personal development and trainlng of young people and the provision of better opportunlties for the less privileged and the vulnerable, and the encouragement of music and the arts. The largest grant paid during the year was to the Retail Trusl (£21)0,000). Details of grants, commitments and pledges paid and unpaid are set out on pages 19 to 20. this comprises of note 8 where tables are laid out. in explanation of the above. The Foundation does not engage in charitable activities directly. Achlevernents and Performance: Investment Polic In accordance wilh the Trust Deed, the Trustees have the power to invest in and Performance such stocks. shares and investments In the Uniled Klngdom or abroad as they in their sole discretion think fit. The Trustees engaged Evelyn Partners, UBS AG and Cazenove Capital Management as investment advlsors. The Trustees, investment policy with Evelyn Partners is geared towar(Is enhancing capital. wtth a mediumlhigh risk. In the year to 31 March 2025, capitsl values increased by 0.240/9 to £66,018,860 {2024 £65,859,989). This small capital Increase is due to an uptum in the market. along with the uncertainties in the global market worldwide, which has resulled in a increase in value of a some stocks. The gross income collected has decreased by 4.50/0 to £2,022,402 (2024 £2,117,859} during the year. The decrease is mainly due to the economic and geopolitical uncertainty that continues. The Trustees, investment policy wth UBS Is for the portfollos to be managed for maximum capital gr0h, with a high over811 risk level within the conlext of the portfolios. At present, the asset allocation in the original fund is approximately 3.54 /0 in cash and 96.460/0 in equities. As for the investment preference, this has been agreed to be a global strategy. In the year to 31 March 2025. capital values increased by 3.46 % to £10,799,048 (2024 £10,438,180). The capltal value increase has been mainly attributed to changes made to Ihe portfolio during the year, along Viith the uncertainties in the global market worfdwide, which has resulted in an increase in value of some stocks. The gross income collected has also increased by 25.02¥0 to £152,91412024 £122,305) during the year. At present, Ihe assel allocation in the UBS SustainablelESG Fund is approximately 2.67 % in cash and 97.33 /0 in equities. As for the investment preference, this has been agreed to be solely in global strategy. on a sustainable investing basis. Sustainable investing mandate solutions larget positive environmental and social impact alongside financial retum. In the year to 31 March 2025, capital values increased by 1.08 % to £3,286,976 (2024 £3,252,000). The capilal value increase has been mainly attributed to changes made to the portfolio during. along with the uncertainties in the global market worldwide, which has resulted In a small increase in value of some stocks. The gross income collected has decreased by 1.950/0 to £10,825 (2024 £11,041 1 during the year.
Page 4 THE HUGH FRASER FOUNDATION General Informatson and Re ort of the Trustees for the ar ended 31 March 2025 Achievernents and Performance: Investment Polic The Trustees, investment policy with Cazenove Capital Management is to and Performance maximise totsl retum with due regard to risk to be achieved through investment in a global equty portfolio. In the year to 31 March 2025, capital values decreased by 1.19°/o to £9,609,37712024 £9,724.8311. The capital value decrease has been mainly attributed to changes made to the portfolio during the year. The gross income collected has also decreased by 9.9410 to £124,523 (2024 £138,271 } during the year. The Trustees, investment objective in the Cazenove SustainablelESG Fund is to maintain the real capital value ahead of Inflation. over the long term. The Trustees can tolerate variation in the capital value of the portfolio in the short- term and are prepad to adopt 8 total return (income and capital growth) approach to meet Iheir expenditure requirements. The portfolio is invested in the Responsible Multi-Asset Fund. In the year to 31 March 2025. capitsl values decreased by 2.93 % to £2,975.223 (2024 £3.065,051). The capital value decrease has b8en mainly attributed to an downturn In the market value of the MultilAsset Fund the portrolio has invested in. The gross income collected has increased by 0.52 % to £126.903 (2024 £126,246) during the year. Flnanclal Review: Financial Re ort The Foundation's ability to make meanlngful donatlons is reliant on income and investment returns from its investment portfolio. As at 31 March 2025, the Foundation held investments with a market value of £92,689,484 (2024 £92,340,051) and held net assets of £94.454,63312024 £94.932,404). The Trust received income of £2,701,384 (2024 £2,655,593) durin9 the financial year. The Trustees also provided grants of £1.967,674 (2024 £1,715.095>, made new future commitments of £444,430 (net) (2024 £401,924 Inet)), paid out future commitments committed in previous years of £424,22712024 £375,000), made new pledges of £1.205,07212024 £767,521) and paid out pledges of £944.563 (2024 £647,108). Reserves Poli 11 is the policy of the Trustees to distribute the income of the Trust in the form of grants and the Trustees are prepared to enter into commitments over a period of time by making grants in successive years. The Trustees are also prepared to pledge funds to organisations, with a date for the payment to be released still to be agreed. It is anticipated that any surplus income at the year end would be distributed in the following year. As the Foundation does not provide direct charitable ServiS, the Trustees believe that normal expenditure can be met from income generated. The funds of the Foundation are wholly unrestn'cted and are represented by a portfolio of investments and cash balances. The Trustees are advised by Evelyn Partners. UBS AG and Cazenove Capital Management. The Trustees have power to draw upon the fund in furtherance of the Foundation's objectives lIst retaining sufficient funds to meet any commitments they may undertake. As the assets of the Foundation are held in a ready realisable form. the Trustees do not therefore consider it ne$Sary to maintain specific reserves.
Page 5 THE HUGH FRASER FOUNDATION General Information and Re ort of the Trustees for the ear ended 31 March 2025 Flnanclal Review: Risk Mana ement The Truslees have assessed the major risks to which the chanty Is exposed, in particular those related to the operations and finances of the Trust, and are satisfied that systems are in place to mltigate its exposure to the major risks. The Trustees consider variability of the investment returns on the Fund to constitute one of the charitys major risks. The Trustees therefore receive advice and reports from Evelyn Partners, UBS AG and Cazenove Capital Management on an ongoing basis, in order to monitor the performance of the portfolio and to therefore minimise the risk of income loss. A memorandum. reviewed annually by the Trustees, details the risks considered. Goin Concem The Foundation has considerable financial resources, both liquid and investments. that can be readily converted to cash. The Trustees also have no material uncertainties as to the Foundalion's ability to continue as a going concem. Accordingly, the Trustees continue to adopt the going concem basis in preparing the financial statements. Structure Governance & Mana ement: Foundin Document Dated 26 February 1960 and registered in the Books of Council and Session on 19 May 1960. intment of New Trustee5 The Truslees In off ce have the power to appoint new Trustees. DeGislon makln All Trustees are actlvely Involved In the decisSon maklng process. The Trustees m8et four times a year, where they review any requests for funding received during the preceding months. Conflict of Interest From time to time the Trustees will be asked to consider an application for finanGial sUPPOrt from a charity which one or more of the Trustees supports in either a professional or personal capaclty. In such circumstances the Trustee(s> with an interest in the relevant charity declares thelr interest at the outset of the Trustee meeting at which the application is to be considered. Trustees, Trainin All Trustees are encouraged to attend training in both governance and specific area5 of interest and relevance to their role within the charily. The Foundation has no employees (2024 None). The Trustees have engaged Turcan Connell to undertake the administration of the Foundation, remuneration for which is recorded in the financial statements. Ke Mana ement The Truslees conslder thal the diariws Trustees, and Ihe senior management team comprise the key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day-toaY basis. Reference and Administrative Details: A Scottish Charit Reference No. SC009303 Address Turcan Connell 180 St. Vinnt Street Glasgow G2 5SG
Page 6 THE HUGH FRASER FOUNDATION for th ar ended 31 M rch 2 25 Reference and Admlnlslratl Trustees Turcan Connell Prlnces Exchang& 1 Earl Grey Street Edinburgh EH3 9EE Amstrong Watson Audlt Ltd ststutory Auditor Chartared Accountants Caledonia Hous8 89 Seaward Streat Glasgow G411HJ Investment Advisors Evelyn Partners 130 St Vincent Street Glasgow G2 5SE CarK)Ve Capital Management 100 Wood Street London EC2V 7ER UBS AG 1 CurLon Streel London W1J SUB
Page 7 THE HUGH FRASER FOUNDATION General Infonnation and Re ort of the Trustees for the ear ended 31 March 2025 Trustees, Res onsibilities Statement in Res ect of the Financial Statements The Trustees are responsible for preparing the Truslees, Annual Report and the financial statements in accordance with applicable law and with the Financial Reporting Standards applicable in the United Kingdom and Republic of Ireland. The law applicable to Charilies in Scotland requires the Trustees to prepare financial statements for each financial year which glve a true and fair view of the state of affairs of the Foundation and of the incoming resources and application of resources of the Foundation for that period. In preparing these financial statements. the Truslees are requlred 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 prudent. state whether applicable accounting standards and Statements of Recommended Practice have been followed. subject to any departures disclosed and explained in the financial 5tatements-, and prepare the financial stalemenls on the going ¢oncem basis, unless it is inappropriate to assume that the charily will continue on that basis. The Trustees are responsible for keeping proper accounting records that di5¢1ose with reasonable accuracy at any time the financial posilion of the charty to enable them to ensure that th8 financial statements comply with the Charities 2nd Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotlandl Regulations 2006 (as amended) and the provisions of the chartys constitution. They are also responsible for safeguarding the assets of the charity and hence for laklng reasonable step5 for the prevention and detecknon of fraud and other irregularities. The Truslees are responsible for the mainlenance and integrity of the charity. Legislab'on in the United Kingdom governing the preparation and disseminalion of the financial statements may differ from legislation in other jurisdictions. In so far as the Trustees are aware- there is no relevant audit infomiation of which the Foundation's auditors are unaware., and the Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and lo establish that the auditors are aware of that information, Financial statement5 aration The Trustees confimi that the financial statements for the year ended 31 MarGh 2025 have been prepared so as to comply with current statulory requirements. the Charity SORP and the Foundation's own goveming document.
Page 8 REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE HUGH FRASER FOUNDATION FOR THE YEAR ENDED 31 MARCH 2025 Oplnlon We have audited the financial statements of The Hugh Fraser Foundation (the 'charity') for the year ended 31 March 2025 which comprise the Statement of Financial Activities. the Balance Sheet, the Cash Flow Statement and notes to the financial statement5. including a summary of significant accounting policies. The financial reporting framework that ha5 been applied in their preparation is applicable law and United Kingdom AGcounting Standards, including FRS 102 'The Financial Reporting Standard applicable in the UK and Republic ol Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements.. give a true and fair Mew of the stste of the charitys affairs as at 31 March 2025 and of its incoming resources and application of reSoUrs, for the year then ended. have been properly prepared in ac¢ordance wilh United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance with the requirements of Charity SORP Regulations (FRS 102), the Charities and Trustee Investment (Smtland) Ad 2005 and Regulatlon 8 of the Charities Accounts {SGotland) Regulations 2006 (as amended). Basis for opinion We conducted our audit in accordance with International Slandards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those slandards are further described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of Ihe charity in accordance with the elhical 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 suffioent and appropriate to provide a basis for our opinion. Conclusions relating to going concern In auditing thè financial stalements, we have concluded that the Trustees, use of the going concem basis of accounling in the preparation of the financial ststements is appropriate. Based on the work we have performed, we have not identified any material uncertainlies relating to events or conditions that, individually or collectively, may cast significant doubt on the charitys ability to continue as a going concern for a peri¢Jd of at least 1ve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Truslees with respect to going concern are described in the relevant sections of this report. Other Informatlon The Trustees are responsible for the olher infomation. The other information comprises the information Included within the Annual Report other than Ihe financial statements and our Report of the Auditors thereon. Our opinion on the financial statements does not cover Ihe other information and, except to the extent otheNise explicilly ststed in our report, we do not express any form of assurance conclusion thereon. In connection our audil of the financial statemenls, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statemenls or our knowledge obtsined in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to delermine whelher this gives rise to a malerial misstatement in the financial slatemenls themselves. If, based on the work w6 have performed. we conclude Ihat there is a material Tnisstatement of this other information, we are required to report thal fact. We have nothing to report in this regard.
Page 9 REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE HUGH FRASER FOUNDATION FOR THE YEAR ENDED 31 MARCH 2025 Matters on whlch we are requlred to report by exceptlon We have nothing to report in respect of the following matters where the Charlties 2nd Trustees Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion: the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements., or proper accounting records have not been kept,. or the financial statements are not in agreement with the accounting records and relums; or we have not received all the infomation and explanations we require for our audit. Responsibilltles of Trustees As explained more fully in the Statement of Trustees. Responsibilities set OLrt on page seven. 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 conlrol as Ihe Trustees determine necessary to enable the preparation of financial statements thal are free from material misslatemenl, whether due lo fraud or error. In preparing the financial ststements, the Trustees a responsible for 8ssessing the charitys abllity lo continue as a going concem, disclosing, as applicable, matters related to going concem and using the going concem basis of accounting unless the Trustees either Intend to liquldate the charity or to ase operations. or have no realistic altemative but to th so. Our responslbllltles for the audlt of the flnanclal statements We have been appointed as auditor under section 44 (1){c} of the Charities and Trustee Inv@stment (Scotland) Act 2005 and report In accordance with the Act and relevant regulations made or having effect thereafter. Our objectives are to obtain reasonable assurance about whether the financial statemenls as a whole are free from material misstatement, whether due to fraud or eor, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but 15 not a guarantee thal an audil conducted in accordance with ISAS (UK) will always detect a material rnisstaternenl when it exists. Misstatem8nls can arise from fraud or error and are considered material if. individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statemenls. IegUlaritieS, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatemenls in respeGt of irregularities, including fraud. The extent to which our procedures are capable of delecting irregularities, including fraud is detailed below.. Our approach to identifw'ng and assessing the risks of material misstatement in respect of irregularities. including fraud and non-compliance with laws and regulations, was as follows.. the engagement partner ensured that the engagement team collectlvely had the appropriate competence, capabilities and skills to identify or recognise non-compliance wth applicable laws and regulations,. we identified the law5 and regulations applicable to the charity through discussions with Trustees and other management, and from our commercial knowledge and experience of the charivs industry sedor. we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the charity, including the SORP. taxation legislation, data protection. anti-bribery, employment, environmental and health and safety legislation. we assessed the extent of compliance wth the laws and regulations identified above through making enquiries of management and Inspecting legal correspondence., and identified laws and regulations were communicated within the audit team regularfy and the team remained alert to instances of non-compliance throughout the audit. We assessed the susceptlbility of Ihe charitys financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by.. making enquiries of management as to where they considered there was suscepiibility to Iraud. their knowledge of actual, suspecled and alleged fraud- and considering the intemal controls in place to miligate rfsks of fraud and non-compliance wilh laws and regulations.
Page 10 REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF THE HUGH FRASER FOUNDATION FOR THE YEAR ENDED 31 MARCH 2025 Our responsibllltles for the audlt of the financial statements To address Ihe risk of fraud through managemenl bias and override of Gonlrols, we: performed analytical procedures to identify any unusual or unexpected relationships; lested journal enlries to identify unusual transactions; assessed whether judgements and assumptions made in detemiining the key accounting estimates sel out in nole 1 were indicative of potential bias., 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 undertying supporting documentation., enquiring of management as to actual and potenkn'al litigation and claims. and reviewing correspondence with HMRC and the Charitls legal advisors. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of nonacompliance. Auditing standards also limit the audil procedures required to identify non-compliance with laws and regulations to enquiry of the Trustees 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 Ihey may Involve deliberate concealment or collusion. A further description of our responsibilities for the audit of the financial statements is located on the FinanGial Reporting Council's website at www.frc.org.uklauditorsresponsibilities. This description forms part of our Report of the Auditors. Use of our report This report is made solely to the charitys Trustees as a body in accordance with Section 44(1)(C) of the Charities and Trustee Investment (Scotlandl Act 2005 and Regulation 10 of the Charities Accounts {Scoland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitys members those matters we are required to stsle to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone other than Ihe charity and the charitys members as a body, for our audit work, for this report, or for the opinions we have formed. Statutory Auditor Chartered Accountants CaledonSa House 89 Seaward Street Glasgow G411HJ Date:
Page11 THE HUGH FRASER FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2025 2025 Tolal 2024 Total Notes Income from: Investments 2,701,384 2,655,593 Total 2,701.384 2,655,593 enditure on: Raisin Funds Investment managemenl charges 1211.368) (175,851) Charitable Activities Grants and donations Support and Govemance Costs (3,302,735) {2,550,341) 1119,572) (113,116) Total {3,633,675 12.839,308 Net expenditure before other recognised (losses)Igalns 1932,291) (183,715) Other Reco nised Gainsl losses Net (LossesyGains on Investments 454,520 4.069,694 Net Movement in Funds 1477.771) 3.885,979 Reconclllatlon of funds Total funds brought forward 94,932,404 91.046,425 Total funds carrled forward 94,454,633 94,932,404 Continulng Operations All income and expenditure ha5 arisen from continuing activities. Galns and Losses The Statement of Financial Activities includes all gains and losses recognised in the year. Funds I lunds are unrestricted. The notes on pages 14 to 21 fomi part of these accounts.
Page 12 THE HUGH FRASER FOUNDATION BALANCE SHEET AT 31 MARCH 2025 Notes 2025 2024 Flxed Assets Llsted Investments wlth - Evelyn Partners UBS AG UBS AG - SustainablelESG fund Cazenove Capital Management Cazenove Capllal Management - SustainablelESG fund 5(a) 5(b) 5(c) 5(d) 5(e) 66,018.860 10,799,048 3,286,976 9,609,377 2,975.223 65,859,989 10,438,180 3,252.000 9,724,831 3,065.051 92,689,484 92,340,051 Current Assets Debtor5 Bank AcGounts 289.386 4,314,428 344,637 4,676,747 Total Current Assets 4,603.814 5.021,384 Llabllltles Current Liabilities Future Commitments due within one year Pledges due wthin one year (646.9071 (468,127} (266,500} {409.985) (424,227) (158,5001 Total Current Liabilltles 1,381,534 992.712 Net Current Assets 3,222,280 4,028,672 Total Assets less Current Llabllltles 95,911,764 96,368.723 Lon Term Liabilitles Future Commitments due after more than one year Pledges due after more than one year (173,5001 (1.283.631) (187.197) 11,249,122) Net assets 94,454.633 94,932,404 The funds of the chari Unrestricted Funds 94,454.633 94,932,404 94,454.633 94,932,404 Approved by the Trustees and authorised to be signed on their behalf on The notes on pages 14 to 21 form part of these accounts.
Page 13 THE HUGH FRASER FOUNDATION STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2025 2025 2024 Cash flows from operatlng actlvltles 3,168.791 3.176.491 Cash flows from Investlng activltles Dividends, interest and rents from investments Proceeds from sale of investments Cost of investrnents acquired 2,701,384 2.655,593 12.469,753 12.463,215 (12,364,665) (12.926,501) Net cash provided by l(used in) Investing activitles 2,806,472 2,192,307 Change in cash and cash equlvalents In the reportlng perlod Cash and cash equivalents al 31 st March 2024 1362,319) 4.676,747 (984,184) 5.660,931 Cash and cash equlvalents at 31st March 2025 4.314,428 4,676,747 Net movement In funds In the year to 31st March 2025 per Ststement of Flnancial Actlvltles 1477,771) 3.885,979 Adjustments for.. Dimdends interest and rents from investments {Profit)Iloss on the sale of fixed asset investments (Profit)Iloss on the revaluation of fixed asset investments Decreasel{Increase) in debtors Increasel (decrease) in creditors (2,701,384) {125,776) (328,745) 55,251 409,634 (2.655,593) (133,810) (3.935,885) {132,612) (204,570) Net cash {used in)Iprovided by operating activities 3,168,791 3,176,491 The notes on pages 14 to 21 fomi part of these accounts.
Page 14 THE HUGH FRASER FOUNDATION Notes to the Financial Ststements 1. Accountin Policies a) Financial statements re aration The financial statements of the Foundation ar8 prepared under the Historical Cost Convention with items recognised at cost or transaction value unless otherwise slated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance wth the Ststement of Recommended Practice (SORP): Accounting and Reporting by Charities applicable to charities preparing their financial statements in accordance wth the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) (second edition Issued October 2019 and effectlve 1 January 20191, the Charities and Trustee Investment (Scotland) Act 2005, and the Charltie5 Accounts (Scotland) Regulations 2006 (as amended}. The Foundatlon constitutes a publlc benefit entity as defined by FRS 102. The financial statements have be8n prepared on a going concem basis. The Trustees have assessed the Foundation's ability to continue as a going concern and have reasonable expeclation that the Foundation has adequate resources to continue in operational existence for the foreseeable futur8, ihus they conts'nue to adopt the going Goncem basis of accounting in preparing the financial statements. The financial statements are presented in Sterling (£). b) Investments Investments are a fomi of basic financial instrument and are inltially recognised at their transaction value and subsequently measured at their fair value at the balance sheet date. The Statement of Financial Activities includes the net gains or losses arising on revaluation and disposals throughout the year. c} Gains and losses All gains or losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses are calculated as the difference between the sales proceeds and their opening carrwng value or their purchase value rf acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference beeen the fair value at the year end and their carrwng value. Realised and unrealised gains and losses are combined in the Ststement of Financial Activities. dl Income Investment ino)me is induded in the financial statements in the year in which the Foundation beccxnes entitled to it. it can be reliably determined and there is probability of receipt. Donations are included in the financial statements together with associated gift ald, where applicable, when the Trustees have been advised of the donation with notificatson of both amount and the intended settlement date. enditure Expenditure is inclLJded in the financial statements on an accruals basis and recognised in full as soon as a constructive obligation exists, the sums payable can be reliably measured and there is probability of payment. f} Cost of raisin funds Investment management charges are included on an accruals basis and recognlsed in full as soon as a constructive obligation exists.
Page 15 THE HUGH FRASER FOUNDATION Notes lo the Financial Statements 1. Accountin Policies {Cont'd) ort and overnance costs Charges for accounting and regulatory compliance are Included in the financial statements and equate to 15ty/0 of the overall fees charged by Turcan Connell. with the remainder being Support Costs. All govemance costs are shown in the Statement of Financial Aclivities. all accountable to income. As the Foundation does not provide services directly but by way of grants to other organisations, support and governance costs are not allocated against individual grants or donations. h) Grants Grants payable are payments to third parties in 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 grant award. The notificab'on gives the recipient a reasonable expectation that they will re1ve the one-year or multi-year grant. Grants 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 Ihat grant is outside of the control of the Trust. Grants aulhorised to be paid in respect of the accounting year or future years are provided for in the financial statements. Provisions for grants are made when the intentlon to make a grant has been communicated to the recipient. i) Future Commltments The Trustees enter into commitments which are unconditional grants that are payable in instalments over a specified period of time. These are provided in full once the comrnitment is erbtered into. As required by FRS 102, the Trustees are required to consider Ihe effects of the time value of money on their multi-year commitments. Having done so, the Trustees are of the opinion that, in relation to the current commitments, any adjustment is not material relative to the income of the Trust and therefore no discoLsnting has been applied. A provision for a multi-year award is recognised at its present value where settlemenl is due over more than one year from the date of the award, there are no unfulfilled conditions and the effect of the discounting is material. In the Gurrent economic climate, the Trustees consider a discount rate of 20 lo be appropriate. The Trustees also have discretion to enter into pledges to make grants or commitments. These pledges a subject to certain condiknons being fulfilled. The grants or commitments of this type are provided for in full as soon as the pledge has been entered into as the conditions fall outside the control ofthe charity- Once the conditions have been rnet, the grant or commitment will be paid out. The Foundation is not registered for VAT purposes and all VAT incurred is therefore irrecoverable. Where applied, VAT is included as part of the expense. l} Taxation The charity is exempt from tsxation provided that Its incorne is used for charitable purposes.
Page 16 THE HUGH FRASER FOUNDATION Notes to the Financial Statements 1. Accountin Policies (Cont'd) m) Finanaal Instruments BasiG financial assets Basic financial assels, which include debtors and cash and bank balances, are inrtially measured at transaction price inGluding transaction costs and are subsequently Garried at amortised cost using the effeclive 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 inlerest. Financial assets classified as receivable wthin one year are not amortj'sed. Basic financial liabililie Basic financial liabililies, including creditors, are initially recognised at Iransaction price and subsequently recognised at amortised cost using the effective interest method, unless the arrangement constitutes a financing transaction, where the debt instrument is rneasured at the present value of the future payments discounted at a market rate of interest. Financial liabililies classified as payable wthin one year are not amortised. n) Critical accountin ud ements and ke sources of estimation uncertaint In the application of the Trust's accounting policies Ihe Trustees are required to make judgements, estimates and assumptions about the Carrying amounls 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. The eslimates and underlwng assumptions are reviewed on an ongoing basis. The estimates and underlwng assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the eslimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. The trustees consider that there are no estimates and undedying assumptions which have significanl risk of causing a material adjustment to the carryng amount of assets and liabilities. o) Fund accountin All funds are unstriCted and can b@ used in accordanc8 with the charity's objectives at the discretion of the Trustees. 2025 2024 Accrued Income Investmenl Accrued Income 49,490 77,557 239,896 267,080 289,386 344,637 All amounts are due within on8 year
Page 17 THE HUGH FRASER FOUNDATION Notes to the Financial Statements 3 Creditors Due in less that one year- Donations paid after the year end Investment management charges Audit Fee Olher costs Current Liabilities 2025 2024 595,282 41.125 10.500 357,985 40,825 10,500 675 409,985 646,907 Future Commitments due within one year (Note 8) Pledges due within one year (Note 81 468.127 266,500 1,381,534 424,227 158,500 992,712 Due after one year- Future Commitments due after more than one year (Note 8) Pledges due after more than one year (Note 8) 173,500 1,283,631 1,457,131 187,197 1,249,122 1,436,319 Total creditors 2,838,665 2,429,031 4 Investment Income 2025 2024 Dividends and Bond Interest Bank Interest Miscellaneous receipt 2,437,568 262,996 820 2,701,384 2,515,722 139,871 2,655,593 5 Listed Investments a) Evel n Partners Market Value at 1 April 2024 Purchases Dividends Reinvested Sales Realised Gains 65,859,989 6,608,571 1,649 16,638,256) 141,778 65,973,730 45,130 66,018,860 Unrealised Gains Market Value at 31 March 2025 Historical Cost of Investments at 31 March 2025 43,449,725 bl UBS Mana ed Funds Market Value at 1 April 2024 Purchases Dividends Reinvested Sales Realised Gains 10,438,180 2.865,471 30,777 12,863,449) 33,146 10,437,833 361,215 10,799,048 Unrealised Gains Market Value at 31 March 2025 Historical Cost of Investments at 31 March 2025 9,302,905
Page 18 THE HUGH FRASER FOUNDATION Notes to the Financial Statements 5 Listed Investments c) UBS Mana ed Funds - SustainablelESG fund Market Value at 1 April 2024 Purchases Dividends Reinvested Sales Realised Gains 3,252,000 523,411 6,446 1523.996) 14,198 3,272,059 14.917 3,286,976 Unrealised Gains Market Value at 31 March 2025 Historical Cost of Investments at 31 March 2025 2,943,041 dl Cazenove Mana ed Funds Market Value at 1 April 2024 Purchases Dividends Reinvested Sales Realised Gains 9,724.831 2,324,109 4.232 (2.444,051) 2,945 9,612,066 2,689 9,609,377 Unrealised Gain5 Market Value at 31 March 2025 Historical Cost of Investments at 31 March 2025 6,177,703 e) Cazenove Mana ed Funds- SustainablelESG fund Market Value at 1 April 2024 Purchases Dividends Reinvested Sales Realised Gains 3,065,051 3,065,051 89,828 2,975.223 Unrealised Gains Markel Value at 31 March 2025 Historical Cosl of Investments at 31 March 2025 2,993,069 Individual holdings which exceed 5/0 of the whole portfolio by value, as at 31st March 2025 - None 6 Em ees The Foundation has no employees (2024 None). 7 Trustees, Remuneration All Trustees act gratuitously and as such receive no payment for their services (2024 £nill- The Trustees receivod £12,01412024 £11,941) for reimbursement for travelling and other expenses incurred in attending meetings and carrying out their duties.
Page 19 THE HUGH FRASER FOUNDATION Notes to the Financial Slatements 8 Grants Paid In the year to 31 March 2025 Grants paid which exceeded 20/0 of the gross income were'.- Retail Trust In addition, a further 661 Grants to organisations were made totalling Also, Grants of £6,000 were made lo 2 individuals 200,000 2.923,023 12,000 3,135,023 {414,227) (748,122) 5.000 1,967,674 Less: Commitments provided for in premous years Pledges provided for in previous years Donations returned In the year to 31 March 2024 Grants paid which exceeded 2Vo of the gross income were: Ayrshire Hospice The Lighlhouse Support Centre In addition, a further 531 Grants to organisations were made totalling Also, Grants of £6,000 Yre made to 2 individuals 100,000 100,000 2,422,595 12,000 2.634,595 (375,000) (540,500) 4,000 1,715,095 Less:. Commitments provided for in previous years Pledges provided for in previous years Donations returned Anal is of Grants Grants Total Number Total Amount Medical & Health Conservation and Enwronment Disadvantaged & Disabled Education & Training Eldedy, Homeless & Hospices Musical, Theatrical & Vlsual Arts Religion Youth Organisations Miscellaneous 88 56 155 63 56 114 10 41 79 662 508,663 278,145 656,825 235,814 485,696 355,032 86,000 146,200 370,648 3,123,023 This analysis of grants excluded ex-gralia payments of £12,000 (2024 £12,000) made to 2 individuals in the year (2024 2 individuals).
Page 20 THE HUGH FRASER FOUNDATION Noles to the Financial Statements 8 Grants Paid Future Commitments Opening balance Less - Paid in year to 31 March 2025 net 611,424 (414,227 197,197 Add- New commitments in year to 31 March 2025 2024 2025 2026 2027 301,185 300,930 153,500 10,000 765,615 {301.185) 20,000 Less - Paid in year to 31 March 2025 Withdrawn during the year 444,430 641,627 Outstandin ommitments as at 31 March 2025 Amounts paid in the year on new grants are included within grants paid in the Statement of Financial Activities Future Commitments fall due: less than one year between one and three years 468,127 173,500 641,627 Pled es net Opening balance Less - Paid in year to 31 March 2025 1.407,622 {748,122 659,500 Add- New pledges made in year to 31 March 2025 Less - Pledges made and paid in year to 31 MarGh 2025 Pledges made and withdrawn Pledges made and became a Fulure Commitment 1,205,072 (196,441) (3.000) 36.000 969,631 Less - Pledges committed in premous financial statemenls, now: Withdrawn - Became a Future Commitment (76,OCKJ) 3,000 890,631 1.550,131 Outstandln led es as at 31 March 2025 Amounts paid in the year on new pledges are included within grants and donations in the Statement of Financial Activities Pledges falling due: less than one year more than one year 266,500 1.283,631 ,550,131 The gxpected paymont dates for the outstandlng pledges arg not yet known as theirpayment date is subject to certain conditions being fuffilled by the recipients.
Page 21 THE HUGH FRASER FOUNDATION Notes to the Financial Statements 9Su ort and Govemance Costs 202 2024 ort Costs Legal Expenses (including VAT) Other Costs Loss on Currency Conversions 81,855 12,723 49 76,500 12.816 94,627 89.116 Govemance Costs Audit Fees (including VAT) Accountancy (including VAT) 10,500 14,445 10,500 13,500 24,945 24.000 113,11
EDINBURGH Princes Exchange i EarL Grey Street Edinburgh EH3 9EE 0131228 8111 GLASGOW 180 St Vincent Street Glasgow G2 5SG 0141441 2111 LONDON 17a Curzon Street London 5HS 020 74918811 enquiries@turcanconneLI.com turcanconneLL.com