**Charity registration number SC016813 (Scotland)** 

## **DIOCESE OF BRECHIN** 

**ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2024** 



DIOCESE OF BRECHIN
LEGAL AND ADMINISTRATIVE INFORMATION
Dlocesan Councll
Charlty number (Scotland) SC016813
Prlnclpal address
Audltor
Bird Simpson & Co
144 N¢lh¢rgalo
Dundeo
DD14E8
Bankers
Bank of Scotland plc
6>69 Murraygat•
Dundee
DD1 2EA
Sollcltors
Lindgay$ LLP
10 Bl•¢kfriars Stre•l
Porth
PH1 5NS

## **DIOCESE OF BRECHIN** 

## **CONTENTS** 

||**Page**|
|---|---|
|Diocesan Council's report|1 - 6|
|Independent auditor's report|7 - 9|
|Statement of financial activities|10 - 11|
|Balance sheet|12|
|Notes to the financial statements|13 - 31|





## **DIOCESE OF BRECHIN** 

## **DIOCESAN COUNCIL'S REPORT** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

The Diocesan Council present their report and financial statements for the year ended 30 November 2024. 

For the purposes of Scottish Charity Law, the members of the Diocesan Council are charitable trustees of the Charity. 

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 charity'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 accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). 

## **Objectives and activities** 

The objectives of the Diocese are to support and promote the mission and ministry of the Scottish Episcopal Church in the historical area of the Diocese of Brechin, covering the City of Dundee, Carse of Gowrie, most of Angus, the Mearns and southern Aberdeenshire. This is achieved by the provision of spiritual, clerical and financial support to the Scottish Episcopal Charges throughout the Diocese, the administering of Provincial grants, encouraging and supporting mission work and the development of training for ordained and lay leaders. To assist in these objectives, the Diocesan strategy, revised in October 2023, has the following areas of focus: 

- Healthy Churches: Diocesan help for charges to carry out local work on mission and ministry and to support (financially and in other ways) ordained leadership as they lead in mission and ministry and development towards flourishing and sustainable patterns of ministry in all charges; 

- Healthy Environment: Diocesan support for the national project for the Scottish Episcopal Church to work 

- towards achieving Carbon Net Zero by 2030; 

- Healthy Leaders: Diocesan Support for all ordained and lay leaders with an emphasis on vocation, training and wellbeing. 

## **Achievements and performance** 

The Diocesan Council oversaw the activities of the Diocese during the period from December 2023 to the end of November 2024. The Council’s objectives were in providing support to mission and ministry through its Charges across the region. This is principally through financial support to ministry and by funding and supporting the Bishop in their ministry in the Diocese.  The Council therefore managed Diocesan internal affairs, including administration of grants and funds, overseeing Diocesan and Provincial communications, supporting the three-way US-AfricanScottish Anglican Communion companionship link and control of Diocesan properties. 

Other Diocesan Bodies: The Diocesan Buildings Committee continued to meet virtually and also in person to consider applications for changes to church buildings under Canon 35. This statutory function was chaired by the Dean and the Diocesan Secretary. At Provincial level, a full Net Zero Team was appointed in April 2024 with the key task of helping the S.E.C. deliver on its commitment to Net Zero by 2030.  Each Diocese has been allocated a named member of the Net Zero Team as a direct point of contact and a number of visits and initiatives have taken place during the year in regard to progressing work across the Diocesan property estate. 

In the past year the Bishop has again carried out a programme of visitations around the Diocese, especially at main worship on Sunday mornings. Almost every charge shared worship with the Bishop this year. The Bishop and other officers also met with several Vestries to discuss vision and planning for churches in their life. 

Support to charges, which had been framed in terms of ‘Healthy Churches’, remains a major element of Diocesan achievement in the past year. Some charges or groups of charges that had been classified since 2022 as ‘transitional ministry’ posts, came to the end of their planned and budgeted transitional period and therefore required attention in terms of follow-on ministry.  After review, one supported transitional ministry grouping was ended whilst extended Diocesan support for another two transitional ministry groupings were approved by Diocesan Council. 

- 1 - 



DIOCESE OF BRECHIN
DIOCESAN COUNCIL'S REPORT {CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
A summary of Diocesan ministry support this year is as follows..
Financial support from 1* July 2024 for on-going ministry at St Ninian'8, Dund88 following tha appointment
of a shared Prièst with St Mary magdals￿'s, Dunde&',
Financial support and ovorsi9ht for St Luke's Dundaaltha Dundoa Cantro of Mission, a partnorship bohvaan
th? Diocese of Brechin arKI Church Army. provKling soaal action and fr•sh ¢xprossion$ of Church in
Dundee Cty;
Financial support for on%oing ministry in Sl Mary's. Arbroath and Sl Peter's. AuchmTthie',
Financial support for a 'lransilional priest, forAII Soul's, Invergowrie was provided until tho conclusion of tha
arrang•m•nt on 31st July 2024.,
Financial support for a 'transitional pri8st' for Camoustie & Monifi•th was provided until July 2024 and than
changèd to an o￿n-¢￿d•d arrangèmènt with on going Diocèsan support",
Financial 5UPPOrt for a 'lransltional priest, for Stonehaven & Mucha115 to January 2025,.
Employmonl of a Dioc8son 'Children and Youth Officer, on an initial Ihroo-year fixod term contract lo April
2025.,
Financial support for a 'lransitional priest for Sl Martin's. Dundee was provHl8d until 3191 July 2024 and Ih8n
concludèd with thè appointmant of Priest as Intèrim R8Ctor of St. Paul's Cathedral. Dund88'.
Financial $upport for th¢$¢ mini$lri•$ is $har¢d b•hv•on Provincial Ministy and Mi$$ion Suppt)rt Grant$ IMMSGI,
somg appropriately restricted funding, an elemonl of unrestricted DK)cesan income and, for tho 'Tran5rtional
Mini51rio5' and tho Childr8n and Youth Officer, tho uso of the mission and ministry d85ignat8d 'Mobus Fund, and 'St
John's, funds from th8 closure and salo of the Diocesan C•nlr8. The plann8d use of caplial from th888 funds
virtually drew to a closè during the year given the outcomas previously manlioned. Wh8r8 tho transitional ministries
hav8 now bèan axt8nd8d, Diocasan Council has approvèd thè usè of Diocèsan r•s8tvos in ordèr to provkl•
conlinu•d Support lo tho Charge$ involvod whilst fvnding for th¢ Child and Youth Offi¢•r post w•$ mov¢d lo
unr•strietsd g¢nor•l Oioc•$an funds
In torms of a 'Hoakhy Environmonl,. Ihe Diocos8 continuos lo work alongside th8 Provincial Not Zoro Toam in order
lo achieve progr•ss towards reaching Carbon Not Z•ro by 2030. This is a particularly challenging larg81 in both
practical and financial $8ns• given tha ag8 profile of much of tho prO￿rtY 8stat• across tho Diocese. A particular
focus within thè Nèt Zèro stratègy is thè ènèrgy yrfomancè critèria for Rèctoriès with N•t Zèro Action plan
setting a largot of 350k of Ro¢10ri¢9 lo a¢hi•v• an EPC rath'ng of at least 'C' by 2025 rising lo 75% by 2028. An audit
of Rectori•¥ within the Dio¢o$e identified Ih*l of the ninè occupied hou395, 5156%) were graded at 'C' whi15t two
properti85 woro graded al 'D' ar￿ a further t￿0 al grado 'E'. Dospile the fact that a Groon Rectory Fund has b8on
croat8d and jointly funded by tho Provinco and th8 Dioc8SOS, It is likoly that th8 sums available will be insufficient lo
meet thé costs of moving th8s• four prop8rti85 up to the requirod standard. Charg•s ar8 th8r•foro being
èncouragad that, wher8 possible. considèration is giv￿ to salling such propertias and raplacing thèm with mora
modem energy offi¢ient houses
In terms of the 'Heathy Leaders, o18ment of the Diocesan strategy, support continu89 lo ke provided by the Dioces0
in order lo assist ministors in their mission and ministry. During tho year a number of Charg8s signed up lo
participate in th• 'Healthy Hèaling Hubs. projoct which aims to help churchos engag8 in a ministry of healing as part
of a holistic approach to ministy. Financial assistance was also mado available to allow dorgy to participate in
variety of programmes and evènts dèsigned to support thair individual wall-being.
In terms of wder communication across the Diocese, the Bishop and hi5 PA have continued to deliver a weekly
bulletin of news, upcoming events and other resources and information. After careful consideration the long-
standing Ihree-limes-per-vear Diocesan paper magazine, Grapovino, was brought to a closo. The Dioceso is
grataful to the
for his kjng-tem commitment and efftirts in producing the magazing. Whilst th
Dioc•so has,
ra num
oro
years, had it's own website, thèrè was a recognition that tha tim• had arrivod to
consider a revamp in tèrms of both content and structurè. A number of options werè considerèd during thè year
with a number of website designers invited lo offer their 5uggeslion5 lor reM¢￿ellIng. Plan5 have progressed well
nd il is hoped that a new and more flexible website will be up and running in the earfy part of 2025.

## **DIOCESE OF BRECHIN** 

## **DIOCESAN COUNCIL'S REPORT  (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

An extensive area of work that was undertaken during the year was in meeting the requirements of the Scottish Government’s Register of Persons Holding a Controlled Interest in Land (RCI) initiative.  Whilst it had initially been hoped that churches would be exempt from participation in the Register this proved not to be the case and accordingly the Diocese were required to register all church property, including halls and rectories, in order to comply with the legislation.  Given the need to ensure accuracy of the information submitted together with the practical requirement of actually submitting the information, it was necessary for the Diocese to have this work undertaken by solicitors on their behalf.  Given the extent of properties across the Diocesan estate, this was an extremely large project with very tight timescales involved.  After consideration, Diocesan Council approved that the legal costs of the work should be met from Diocesan reserves as opposed to asking each individual Charge to meet the cost.  During the course of the year, the total outlay for this work was in excess of £30,000 

In February 2024 Diocesan Council was approached by the Trustee’s of St Margaret’s Care Home in Dundee with a request to consider the advancement of a loan of up to £100,000 in order to assist with the orderly wind down of the home which the Trustee’s had decided to close.  Given the close connection between the Diocese and the home, Diocesan Council agreed to the request with interest being paid on demand or when the home was sold.  This matter was concluded in late July 2024 when the original loan together with the interest due, was repaid to the Diocese. 

## **Financial review** 

The financial position of the Diocese is shown in the accompanying financial statements. Including net gains on investments held, the general fund has produced a surplus of £25,455 in the year. A small surplus had been approved for the year by both Diocesan Synod and Diocesan Council, and the actual surplus achieved is a result of underspends in a number of areas such as Training & Clergy Support and an extended vacancy period at St Ninian’s Church in Dundee.  It is also due to the continued increases in the dividends paid by the SEC Unit Trust Pool.  The designated and restricted funds of the Diocese also showed net surplus amounts after taking into account the net gains on investments. 

Regular updated financial management reports for unrestricted and designated spend against budget are routinely provided to each meeting of Diocesan Council. This close oversight of spending allows identification of any areas of budget that may be performing outwith the plan thus permitting early intervention in order to suitably address any areas of concern. 

The underlying financial situation, excluding exceptional items, is one where the costs of maintaining the Diocesan staff and supporting Ministry and Mission in the Diocese exceeds grants received from the General Synod Office, investment income and quota received from Diocesan Charges. Diocesan Synod, by approving annual budgets and quota assessments, supports the use of Diocesan cash and also, prudently, reserves to maintain the support work of the Diocese of Brechin. 

The reserves of the Diocese as reported in these financial statements have increased in value during the course of the year, even with the use of designated reserves, with the increase in the value of the Diocese’s UTP holdings. During the course of the year the unit prices within the UTP continued on a generally positive trend with unit prices moving from £27.5265 at the end of November 2023 to £32.1454 as at the end of November 2024.  This has allowed the distribution rates to be similarly increased during the year thus leading to increased income for the Diocese. 

## **Reserves policy** 

The reserves of the Diocese as reported in these financial statements have increased this year with the increase in value of the Diocese's UTP holdings. Diocesan Council considers that the reserves represented by unrestricted funds not designated for specific use are adequate to maintain the Diocese’s current activities for a reasonable period. It is the Council’s policy to maintain that adequacy. Diocesan Council can prudently use reserves (cash and investment) to support mission and ministry projects subject to the condition  (approved at an Autumn Synod in 2019) that each project must: 

- be for a fixed period of time; 

- have measurable outcomes; 

- be supported financially by local charges as well as the Diocese; 

- be outlined in a written agreement which is communicated to Diocesan Synod and followed up by annual progress reports; 

- 3 - 



DIOCESE OF BRECHIN
DIOCESAN COUNCIL'S REPORT {CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
Investment pollcy
Tho invastment pow•rs of the Dioc8s8 ar• gov8m8d by Canon Law ISEC Digest of Resolutions Item 7.1.41. The
policy is to adopt a modium risk strategy based on obtaining a balanced r&tum from incom• and capital over th
modium term.
Plans for future perlods
The lop priority into the future will be to continug the work lo support congregations in their mission and ministry a5
they face the many pressure5 that continue lo be fell in the churches. Whilst the extreme challenges of the
pandemic have now eased, the on going increases in the general cost of living presents continuing challenges for
numb8r of churchas.
Supporting the Bishop and othor Di0¢0$4n Offi¢•rs in th•ir ministy a$ they dolivor activit￿$ in tho Di0¢080 will
rèmain a hKJh priority f¢r funding and gov¢man¢o. Th¢ Bishop, in ¢¢mmon wrth all SEC Bishop$, •l$o gives
significant tsme to Provincial structures and activiti85, part of the mutual support that Dioceses 9iv8 lo the national
church.
Whilst th8 Diocasan Strat•gy of 'Haalthy Churchas,, 'Hoalthy Environmont and 'H8allhy L8ad•rs' *qll rwnain th
focus lor intèrnol Diocèsan activiti8s, th8 most signrficant aréa of work during thè yoar ahéad is thè considèratiin
•round tho $tru¢tur¢ of Mi$$ion and Mini$ty wthin the Di0¢o$•. This work will not only fo¢u$ on th¢ l*vo1$ of
financial 5UPPQrt that may b? roquired going forward but also on thè pattern$ of actual clergy deployment. In
particular. a number of vacancies have arisen, or aro likoly lo arisg, across tho variou5 Charges wi(hin Dundoe City
and Dioc8san Council hav8 already considored a number of draft pap8rs offering varKJUS Pemiulations of ministy
that could ￿ provid8d. Whilst the practical applications of any plan will be an important consideration, there is also
n•8d lo b8 awar8 ol th• ￿nSItIvIti88 involvad for both individuals and wider cOngr￿atIonS alik•. In r8cognits.on of
that, Di¢xèsan Council arè mindèd to consu￿ widely on the i￿￿¢$ involvod and lo lako the ne¢￿s•ry timo in order
lo achiove th• mst offocts'vo and a¢￿PIed outMm•.
Structure, governance and management
Tho Dioceso is one of sevon Diocoses of tho Scottish Episcopal Church and 1$ gov•m8d by the Canons of th•
Scottish Episcopal Church. The Dioc85an Synod is th8 principal governing body of the Dioceso, within tho powors
and limitations of tho Canons.
In terms of the ConstitLrtion of th¢ Di0¢¢￿n Synod, •doptèd on the 7th M•rth 2020, tho Dio¢eso has up to twolv¥
charity tN$lee$. Thos• aro the Bishop, th• O¢an, th• Dio¢e$an S¢¢relary, Diocesan Treasuror and four d¢rgy
and four laty •l¢¢ted by Dioc¢yan Synod.
Tho Diocesan Council, as tho board of Irusloos. administers tho strategic direction and life of tho DKJc8se on behalf
of Diocasan Synod in all mattors of mission and ministy, finance and proparty, and such matters sant to tha
Diocèsè by tha Ganeral Synod. Tha Diocesan Buildings Committee is pendant to tha Diocèsan Council and
opèr•te$ undor Canon 35 in matters of ¢onsènt for alterati¢)n$ to church buildings in the Dio¢ese.
Tho Diocesan Property Tru¥tees served from 1st Doc8mbor 2023 to 30th Novomber 2024 wore:
The Bishop,
Thè Chancellor.
Tho Ragistrar
The Dean,
Tha Bishop is Èlect￿ by thè eligiblè clèrgy and lay represèntatives of thè Diocese in accordanca with Canon 4 of
the Canons of thè Scottish Episcopal Church. Thè Dèan is appointèd by the Bishop and holds offieè according lo
Canon 43. The Chancellor is appointed by the 8ishop according to Canon 61 resolutKJn 4. The Registrar 15
appointed by the 8ishop according lo Car￿n 61 resolution 5.

DIOCESE OF BRECHIN
DIOCESAN COUNCIL'S REPORT {CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
Th8 Diocesan Constrtulion defines the Charity Truste8s of the Diocese as the members of Diocesan Council. The
Charity Trustees who therefore s8rv8d from 1st 08c8mb&r 2023 to 30th Nov8mb•r 2024 wor8=
Th? Bishop,
The Dean,
Diocesan
ecre
ary.
Dioc88an Treasurer,
Elected elèrov reprèsentatives..
Elactad lav r8or8s•ntativ8s'.
As bèforè, thè Bishop is •l•ct•d by th• •ligibl• cl•rgy and lay r•pr•s•ntativ•s of tha Dioc•s• in accordanc• with
Canon 4 of tho Canons of tho Scotti$h Epigeopal Chur¢h. The D••n 1$ appoint¢d by the Bishop and hold$ 0ffi¢o
according to Canon 43. Th• Di¢e•$an S¢cr¢lary and Tr•asur¢r ar¢ appointed annually by tho Dioc¢$an Synod. Th•
clorgy and lay ropr8sontslivos on Diocosan Council ar8 electod by Diocesan Synod lo Ihre8-year tomis, renewabl•
onco. by Diocesan Synod, in accordanc8 with tho ConslilLrtion of the Dioco90 of Brochin.
statement of Dlocesan Councll'$ re$pon$lbllltle$
The Diocesan Council ara rosponsible for proparing th• Diocesan Council's R8POrt and the financial slat8m•nts in
accordancè wtih applicablè law •nd Unit8d Kingdom Accounting Standard$ {Unit8d Kingdom G8n8ially Accèptad
A¢¢ounling Pra¢ti¢¥l.
Tho law applicable lo charitios in Scotland requires the D￿C@san Council to pr8par8 financial slal8monls for each
financial y8ar vthich giv8 a truo and fair view of the state of affairs of th8 charty and of th8 incoming r8sourc8s and
applicAtson of r•sourc•s of th• thanty for that y••r.
In preparing these financial slalemen15, the Diocesan Council are requirod to..
$01ocl suilablo accounting policies and then apply them consislonlly:
observo the mothods and principles in th8 Charilios SORP.,
make judgom•nts and astimatgs that aro reasonable and prudènt.,
statè whèthèr applicablè accounting standards have bèèn followed, subjact to any matèrial departures disdosed
and explained in the financial slatemenls.. and
prepare the financial ststemenls on the going cc￿Cern basi5 unless il is inappropriate to presume that the charity
will continue in operation.
The Diocèsan Council ara rèsponsible for keeping sufficiant accounting records that disclose with roasonabla
atcuracy at any timè the financial position of the charity and ènablè them to ènsurè that the financial statements
comply with the Charities and TTuslee Inve51menl (Scotlandl Ad 2005, the Charicies Accounts Iscotlandl
Regulatsons 2006 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the
charity and h8nc8 for taking r8asonablo steps for the provention and dotoction of fraud and other irr8gularitios.

DIOCESE OF BRECHIN
DIOCESAN COUNCIL'S REPORT {CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
The Diocesan Counal's re￿rt was approved by the Diocesan Council.
The Bishop,
Dlocesan Council
3 Jun8 2025

## **DIOCESE OF BRECHIN** 

## **INDEPENDENT AUDITOR'S REPORT TO THE DIOCESAN COUNCIL OF DIOCESE OF BRECHIN** 

## **Opinion** 

We have audited the financial statements of Diocese of Brechin (the ‘charity’) for the year ended 30 November 2024 which comprise the statement of financial activities, the balance sheet and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice). 

In our opinion, the financial statements: 

- give a true and fair view of the state of the charity’s affairs as at 30 November 2024 and of its incoming resources and application of resources, for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the Charities and Trustee Investment (Scotland) Act 2005 and regulation 8 of the Charities Accounts (Scotland) Regulations 2006. 

## **Basis for opinion** 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the _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 Diocesan Council's 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 Diocesan Council 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 Diocesan Council are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially 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. 

## **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 requires us to report to you if, in our opinion: 

- the information given in the financial statements is inconsistent in any material respect with the Diocesan Council's report; or 

- proper accounting records have not been kept; or 

- the financial statements are not in agreement with the accounting records; or 

- we have not received all the information and explanations we require for our audit. 

- 7 - 



## **DIOCESE OF BRECHIN** 

## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE DIOCESAN COUNCIL OF DIOCESE OF BRECHIN** 

## **Responsibilities of Diocesan Council** 

As explained more fully in the statement of Diocesan Council's responsibilities, the Diocesan Council 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 Diocesan Council 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 Diocesan Council 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 Diocesan Council 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 or having effect thereunder. 

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 the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. 

At the planning stage, we assess the risk of material misstatement and any such irregularities and design audit procedures tailored to these risks which will be followed to ensure that we are capable of meeting our responsibilities in this area. 

Factors relevant to our assessment, which have a positive impact on the capability of our procedures to detect such irregularities, are the size of the entity, the complexity of the entity's operations and our understanding of their regulatory and control environments. 

The staff working on this audit assignment have been fully briefed in relation to the charity's activities, including the regulatory regime in which they operate. 

As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also: 

-  Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. 

- 8 - 



DIOCESE OF BRECHIN
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE DIOCESAN COUNCIL OF DIOCESE OF BRECHIN
Obtain an understanding ol intemal control relevant to the audit in order to design audit procedures that are
appropriato in th8 circumstances. but not for th8 purpos8 of expressing an opinion on the offoctivenass of the
intarnal control.
Evaluate Ihg appropriateness of accounting poliaos us¢d and reasonabl¢n•ss of accounting ¢stimats$ and
related disclosures made by the directors .
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures,
and whether th8 financial ststaments ropr8s8nt th8 und8rlying transactKJns and av8nts in a manner that achi8v•s
fair pra88ntation.
Wè ¢ommuni¢ats with thos• ¢harg•d wi(h govèrnanc• r¢9arding, among oth•r matters, th• plann¢d s¢op• and
liming of the audi( and signTficanl audit findings. including any sNJnrficant deficioncies in internal control that w•
idenlfy during our audit.
A furth•r doSCriPtion of our rgspon$ibiliti¢8 1$ •vail4bl¢ on tho Finan¢i•l Roporting Council's ￿b$rte at.. http$.'Il
wwN.fr¢.org.ukl•udilor$r¢$pon$ibiliti•$. Thi$ d•scriplion form$ part of our •udilor'$ r¢port.
Other matters
Your attention is drawn lo th• fact that tho charty has pr•par•d financial slal•m•nts in accordanc• wfth 'Accounling
and Roporting by Charities.. Slatomonl of Recommendod Praclico applicable lo charilios proparing Ihoir accounts in
accordance with the Financial Reporting Standard applicablo in the UK and Republic of Iroland IFRS 1021" las
am8nd8dl in pr8f8r8nc8 lo th• Accounting and Reporting by Charities.. Statement of Racommanded Practico issued
on 1 April 2005 whith is r￿er￿ad to in Ihg •xtanl wgul•tion$ bul has now hen withdrawn.
Thi$ has dont in order for th• financial $tal•m•nl$ to provid• a tru• and fair view in accordanc• with eurront
Gonorally Accopl8d AccounlirvJ Practico.
Use ofour report
This report is mado solely to tha charity's Irusto8s. as a body, in accordance with Regulation 10 of the Charilios
Accounts (Scotlandl Ragulations 2008. Our audrt work has bean und•rtak•n so that w• mwht stat8 to tha charity's
trustèès thosè mattèrs wè arè rèquired to statè to thèm in an auditor's réport and for no othèr PLbrposè. To tha full8$t
extent p•mitted by law, we do not a¢¢ept or •$sum• re$pon$ibility to anyone olh¥r than tho ¢harity and the ¢harity'$
Iru$t•e$ as a body, for our audr( work, for this report, or for tho opinions wo have fomod.
oran
on
imp50n
, ststulory Auditor
Charterad Accountants
144 Neth8rgalo
Dundee
DD14EB
3 Jung 2025
Bird Simpson & Co. 15 eligible for appoinlmenl as auditor of the charity by virtue of it5 digibilty for appoirrtmenl a$
auditor of a company under section 1212 of the Companies Act 2006.

## **DIOCESE OF BRECHIN** 

## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** 

## _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

|**Current financial year**<br>**Unrestricted**<br>**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**funds**<br>**general**<br>**designated**<br>**2024**<br>**2024**<br>**2024**<br>**Notes**<br>**£**<br>**£**<br>**£**<br>**Income from:**<br>Donations and legacies<br>**3**<br>141,424<br>-<br>60,408<br>Investments<br>**4**<br>16,913<br>24,487<br>32,950<br>**Total income**<br>158,337<br>24,487<br>93,358<br>**Expenditure on:**<br>Charitable activities<br>**5**<br>200,503<br>52,433<br>68,923<br>Loss on disposal of tangible<br>fixed asset<br>**10**<br>-<br>-<br>-<br>Total expenditure<br>200,503<br>52,433<br>68,923<br>Net gains on investments<br>**11**<br>67,621<br>128,610<br>172,990<br>**Net movement in funds**<br>**7**<br>25,455<br>100,664<br>197,425<br>Fund balances at 1 December 2023<br>365,210<br>1,587,736<br>1,079,328<br>**Fund balances at 30 November**<br>**2024**<br>390,665<br>1,688,400<br>1,276,753|**Total**<br>**2024**<br>**£**<br>201,832<br>74,350<br>276,182<br>321,859<br>-<br>321,859<br>369,221<br>323,544<br>3,032,274<br>3,355,818|**Total**<br>**2023**<br>**£**<br>221,637<br>60,474|
|---|---|---|
|||282,111|
|||317,904|
|||1,016|
|||318,920|
|||76,578|
|||39,769<br>2,992,505|
|||3,032,274|



The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. 

- 10 - 



## **DIOCESE OF BRECHIN** 

## **STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT** 

## _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

|**Prior financial year**<br>**Unrestricted**<br>**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**funds**<br>**general**<br>**designated**<br>**2023**<br>**2023**<br>**2023**<br>**Notes**<br>**£**<br>**£**<br>**£**<br>**Income from:**<br>Donations and legacies<br>**3**<br>143,770<br>-<br>77,867<br>Investments<br>**4**<br>15,349<br>14,597<br>30,528<br>Total income<br>159,119<br>14,597<br>108,395<br>**Expenditure on:**<br>Charitable activities<br>**5**<br>155,607<br>67,455<br>94,842<br>Loss on disposal of tangible fixed asset<br>**10**<br>-<br>1,016<br>-<br>**Total expenditure**<br>155,607<br>68,471<br>94,842<br>Net gains on investments<br>**11**<br>16,521<br>22,726<br>37,331<br>**Net income/(expenditure)**<br>20,033<br>(31,148)<br>50,884<br>Transfers between funds<br>11,262<br>(11,262)<br>-<br>**Net movement in funds**<br>**7**<br>31,295<br>(42,410)<br>50,884<br>Fund balances at 1 December 2022<br>333,915<br>1,630,146<br>1,028,444<br>**Fund balances at 30 November 2023**<br>365,210<br>1,587,736<br>1,079,328|**Total**<br>**2023**<br>**£**<br>221,637<br>60,474|
|---|---|
||282,111|
||317,904|
||1,016|
||318,920|
||76,578|
||39,769<br>-|
||39,769<br>2,992,505|
||3,032,274|



- 11 - 



DIOCESE OF BRECHIN
BALANCE SHEET
AS AT 30 NOVEMBER 2024
2024
2023
Notes
Flxed assels
Tangiblo assets
Investments
13
14
784.723
2.589.191
784,935
2,260,102
3,373,914
3,045,037
Current assets
Debtors
C45h at bank and in hand
15
6,629
111,268
12.416
99.452
117,897
111.868
Credltors: amounts falllng due wlthln
one year
16
1135,6541
1124.2921
Nei Current Ilabllltles
117,7571
112,4241
Total assets less current Ilabllltles
3.356.157
3,032,613
Credltors: amounts falllng due after
more than one year
17
13391
13391
Net assets
3.355.818
3,032,274
The fund$ or the charlly
R8strict8d income funds
Unroslrictod funds . 98neral
Unro$lri¢1od fund$ - d•¥ignat
18
1.276.753
390,665
1.688.400
1,079,328
366,210
1,587,736
19
3.355.818
3,032,274
Thè financial stat•mènl$ wor* approved by tho Di0¢gsan Council on 3 June 2025
Tha Bishop,
Dlocesan Councll
12-

## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **1 Accounting policies** 

## **Charity information** 

Diocese of Bechin is registered with the Scottish Charity Regulator (OSCR) 

## **1.1 Accounting convention** 

The financial statements have been prepared in accordance with the charity'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 accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102. 

The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows. 

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn. 

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

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below. 

## **1.2 Going concern** 

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

## **1.3 Charitable funds** 

Unrestricted funds are available for use at the discretion of the Diocesan Council in furtherance of their charitable objectives. 

Designated funds comprise funds which have been set aside at the discretion of the Diocesan Council for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements. 

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. 

## **1.4 Income** 

Donations, legacies and similar income are accounted for when the Diocese becomes entitled to the income and a reliable estimate of the amount to be received can be made. Gift Aid recoverable is accounted for on an accrual basis. 

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. 

- 13 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **1 Accounting policies** 

**(Continued)** 

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset. 

## **1.5 Expenditure** 

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

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use. 

All expenditure is included on an accrual basis and is recognised when there is a legal obligation to pay for expenditure. Irrecoverable VAT is included in the related expenditure. 

## **1.6 Tangible fixed assets** 

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. 

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

Freehold land and buildings Nil Fixtures and fittings 20% RB 

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

## **1.7 Fixed asset investments** 

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date.  Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred. 

## **1.8 Impairment of fixed assets** 

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). 

## **1.9 Cash and cash equivalents** 

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 

- 14 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **1 Accounting policies** 

## **(Continued)** 

## **1.10 Financial instruments** 

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. 

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. 

## _**Basic financial assets**_ 

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. 

## _**Basic financial liabilities**_ 

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. 

## _**Derecognition of financial liabilities**_ 

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled. 

## **1.11 Employee benefits** 

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

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

## **2 Critical accounting estimates and judgements** 

In the application of the charity’s accounting policies, the Diocesan Council 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. 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate 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. 

- 15 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **3 Donations and legacies** 

|**Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**general**<br>**2024**<br>**2024**<br>**£**<br>**£**<br>Quota Assessments<br>119,947<br>-<br>Grants<br>-<br>60,408<br>Endowment income<br>16,200<br>-<br>Grants received<br>5,277<br>-<br>141,424<br>60,408<br>**Grants receivable for**<br>**core activities**<br>Mission and Ministry<br>Support Grant<br>-<br>51,908<br>Transitional Stipend<br>Assistance Grant<br>-<br>8,500<br>Stipend Assistance<br>-<br>-<br>-<br>60,408|**Total**<br>Unrestricted<br>Restricted<br>funds<br>funds<br>general<br>**2024**<br>2023<br>2023<br>**£**<br>£<br>£<br>119,947<br>119,946<br>-<br>60,408<br>-<br>77,867<br>16,200<br>14,260<br>-<br>5,277<br>9,564<br>-<br>201,832<br>143,770<br>77,867<br>51,908<br>-<br>49,342<br>8,500<br>-<br>22,525<br>-<br>-<br>6,000<br>60,408<br>-<br>77,867|Total<br>2023<br>£<br>119,946<br>77,867<br>14,260<br>9,564|
|---|---|---|
|||221,637|
|||49,342<br>22,525<br>6,000|
|||77,867|



- 16 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **4 Investments** 

|**Unrestricted Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**funds**<br>**general**<br>**designated**<br>**2024**<br>**2024**<br>**2024**<br>**£**<br>**£**<br>**£**<br>Rental income<br>3,000<br>-<br>-<br>Income from UTP and Troy fund investments<br>12,737<br>24,487<br>32,950<br>Interest receivable<br>1,176<br>-<br>-<br>16,913<br>24,487<br>32,950|**Total**<br>Unrestricted<br>Unrestricted<br>Restricted<br>funds<br>funds<br>funds<br>general<br>designated<br>**2024**<br>2023<br>2023<br>2023<br>**£**<br>£<br>£<br>£<br>3,000<br>3,000<br>-<br>-<br>70,174<br>11,785<br>14,597<br>30,528<br>1,176<br>564<br>-<br>-<br>74,350<br>15,349<br>14,597<br>30,528|Total<br>2023<br>£<br>3,000<br>56,910<br>564|
|---|---|---|
|||60,474|



- 17 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **5 Charitable activities** 

||**Charitable**|**Charitable**|
|---|---|---|
||**activities**|**activities**|
||**2024**|**2023**|
||**£**|**£**|
|Staff costs|104,376|96,189|
|Depreciation and impairment|212|266|
|Ministry|4,792|6,540|
|Communication|-|1,425|
|Sundry payments|2,426|15,323|
|Quota to General Synod|46,761|44,577|
|Bishop's expenses|12,858|7,387|
|Grants|100,790|135,583|
|Rental expenses|1,276|624|
||273,491|307,914|
|Share of support costs (see note 6)|3,409|4,490|
|Share of governance costs (see note 6)|44,959|5,500|
||321,859|317,904|
|**Analysis by fund**|||
|Unrestricted funds - general|200,503|155,607|
|Unrestricted funds - designated|52,433|67,455|
|Restricted funds|68,923|94,842|
||321,859|317,904|



- 18 - 



DIOCESE OF BRECHIN
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
Support costs
Support Governance
costs
costs
2024Support cost5 Governance
Costs
2023
Accountancy and
Bookkaèping
orrice costs
1,020
2,389
1,020
2.389
1.638
2,852
1,638
2,852
Audit f¢e$
Accountancy
Legal and professional
Independent examinor5
10,410
4.328
30.221
10,410
4,328
30.221
5.500
5,500
3,409
44,959
48,368
4,490
5.500
9,990
Analysod b8bN0On
Charrtable ath'viti•$
3,409
44,959
48,368
4,490
5,500
9,990
Net movement In funds
2024
2023
Th• n•1 movem•nt in fund$ is Slated aftor thargingll¢r•ditingl'.
F••$ p*yabl• for th• audit of th• eharty'$ finaneial $lat•m•nts
Depr•¢iation of ¢)wnod tsngibl¢ fixed a$so18
Lo$$ on disposal of tsn9iblè fixèd assèts
10.410
212
286
1,016
Dloce$an Councll
is a Trust88 of Dioces8 of 8rechin. In tho yoar he rec8iv8d
Ipon
an
pansion contributions of £10,558 12023..£9,7711. Ho also recei￿d
travelling and tèlèphonè &xpens8s of £1,93212023'.£2,4711, and manse ex￿n$88 of £10,92512023'.£4,9171-
Employees
Thè avèragè monthly number ofamployèès during th• yèar was..
2024
Number
2023
Number
19-

## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

|**9**<br>**Employees**<br>**Employment costs**<br>Wages and salaries<br>Other pension costs<br>There were no employees whose annual remuneration was more than £60,000.|**(Continued)**<br>**2024**<br>**2023**<br>**£**<br>**£**<br>83,211<br>76,484<br>21,165<br>19,705<br>104,376<br>96,189|**(Continued)**<br>**2024**<br>**2023**<br>**£**<br>**£**<br>83,211<br>76,484<br>21,165<br>19,705<br>104,376<br>96,189|
|---|---|---|
|||96,189|
||||



## **10 Loss on disposal of tangible fixed asset** 

|Net loss on disposal of tangible fixed assets|**Total**<br>Unrestricted<br>funds<br>**£**<br>designated<br>**2024**<br>2023<br>-<br>1,016<br>-<br>1,016|**Total**<br>Unrestricted<br>funds<br>**£**<br>designated<br>**2024**<br>2023<br>-<br>1,016<br>-<br>1,016|
|---|---|---|
|||1,016|



- 20 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **11 Gains and losses on investments** 

|**Unrestricted Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**funds**<br>**general designated**<br>**2024**<br>**2024**<br>**2024**<br>Gains/(losses) arising on:<br>**£**<br>**£**<br>**£**<br>Revaluation of investments<br>67,621<br>125,676<br>172,990<br>Sale of investments<br>-<br>2,934<br>-<br>67,621<br>128,610<br>172,990|**Total**<br>**Unrestricted Unrestricted**<br>**Restricted**<br>**funds**<br>**funds**<br>**funds**<br>**general designated**<br>**2024**<br>**2023**<br>**2023**<br>**2023**<br>**£**<br>**£**<br>**£**<br>**£**<br>366,287<br>16,521<br>22,577<br>37,331<br>2,934<br>-<br>149<br>-<br>369,221<br>16,521<br>22,726<br>37,331|**Total**<br>**2023**<br>**£**<br>76,429<br>149|
|---|---|---|
|||76,578|



- 21 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **12 Taxation** 

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. 

## **13 Tangible fixed assets** 

|**Tangible fixed assets**||
|---|---|
|**Freehold land**<br>**and buildings**<br>**Fixtures and**<br>**fittings**<br>**£**<br>**£**<br>**Cost**<br>At 1 December 2023<br>783,873<br>10,208<br>At 30 November 2024<br>783,873<br>10,208<br>**Depreciation and impairment**<br>At 1 December 2023<br>-<br>9,146<br>Depreciation charged in the year<br>-<br>212<br>At 30 November 2024<br>-<br>9,358<br>**Carrying amount**<br>At 30 November 2024<br>783,873<br>850<br>At 30 November 2023<br>783,873<br>1,062|**Total**<br>**£**<br>794,081|
||794,081|
||9,146<br>212|
||9,358|
||784,723|
||784,935|



The valuation of the properties were made as at 30th November 2021 by J&E Shepherd, Chartered Surveyors, on an open market basis. 3 Martin Place, Stonehaven was purchased on 14th June 2021, at a cost of £278,873.  One property was sold in last years accounting year. 

## **14 Fixed asset investments** 

||**Unlisted**|
|---|---|
||**investments**|
||**£**|
|**Cost or valuation**||
|At 1 December 2023|2,260,102|
|Additions|49,869|
|Valuation changes|366,286|
|Disposals|(87,066)|
|At 30 November 2024|2,589,191|
|**Carrying amount**||
|At 30 November 2024|2,589,191|
|At 30 November 2023|2,260,102|



- 22 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **14 Fixed asset investments** 

## **(Continued)** 

The majority of the investments are held in the Scottish Episcopal Church Unit Trust Pool. The Unit Trust Pool was established by the Investment Committee of the General Synod to bring together the disparate investments of the various funds of the General Synod, the Dioceses and the individual congregations of the Church to enable these to be managed professionally. The Unit Trust Pool is therefore purely an investment vehicle of the Scottish Episcopal Church. Most of the investments in the Unit Trust Pool relate to UK investments. 

## **15 Debtors** 

|**Amounts falling due within one year:**<br>Trade debtors quota<br>Other debtors<br>Managed funds|**2024**<br>**£**<br>1,553<br>2,432<br>2,644<br>6,629|**2023**<br>**£**<br>395<br>9,377<br>2,644|
|---|---|---|
|||12,416|



## **16 Creditors: amounts falling due within one year** 

|Other taxation and social security<br>Stipend support<br>Managed funds<br>Other creditors and accruals|**2024**<br>**£**<br>4,612<br>4,417<br>39,429<br>87,196<br>135,654|**2023**<br>**£**<br>6,199<br>8,161<br>39,429<br>70,503|
|---|---|---|
|||124,292|



## **17 Creditors: amounts falling due after more than one year** 

||**2024**|**2023**|
|---|---|---|
||**£**|**£**|
|Catterline loan|339|339|



The Diocese has come to an arrangement with the Catterline church in the summer of 2022 and has repaid some of this sum early. 

- 23 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **18 Restricted funds** 

The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used. 

||**At 1**|**Incoming**|**Resources**|**Gains and**|**At 30**|
|---|---|---|---|---|---|
||**December**|**resources**|**expended**|**losses**|**November**|
||**2023**||||**2024**|
||**£**|**£**|**£**|**£**|**£**|
|Dean Thom Memorial Fund|349,907|11,715|(750)|62,194|423,066|
|Bishop Forbes Convalescents Fund|183,229|5,694|-|30,231|219,154|
|Urban Priority Area Fund No. 1|259,697|7,727|(6,872)|41,025|301,577|
|Murray Scarlett Glenesk Fund|77,814|1,827|(893)|7,753|86,501|
|Home Mortification|208,681|5,987|-|31,787|246,455|
|Stipend Support|-|51,908|(51,908)|-|-|
|Transitional Stipend Assistance|-|8,500|(8,500)|-|-|
||1,079,328|93,358|(68,923)|172,990|1,276,753|



- 24 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **18 Restricted funds** 

## **(Continued)** 

|**Previous year:**|**At 1**|**Incoming**|**Resources**|**Gains and**|**At 30**|
|---|---|---|---|---|---|
||**December**|**resources**|**expended**|**losses**|**November**|
||**2022**||||**2023**|
||**£**|**£**|**£**|**£**|**£**|
|Dean Thom Memorial Fund|331,673|10,839|(7,800)|15,195|349,907|
|Bishop Forbes Convalescents Fund|170,574|5,269|-|7,386|183,229|
|Urban Priority Area Fund No. 1|249,674|7,150|(7,150)|10,023|259,697|
|Murray Scarlett Glenesk Fund|81,149|1,730|(2,025)|(3,040)|77,814|
|Home Mortification|195,374|5,540|-|7,767|208,681|
|Stipend Support|-|49,342|(49,342)|-|-|
|Transitional Stipend Assistance|-|22,525|(22,525)|-|-|
|Stipend Assistance|-|6,000|(6,000)|-|-|
||1,028,444|108,395|(94,842)|37,331|1,079,328|



**Dean Thom Memorial Fund -** Support for those training for ministry.  Used in Diocesan funding. 

**Bishop Forbes Convalescents Fund** - Support for convalescence and means of helping people to return to employment in difficult circumstances.  Can be applied for. **Urban Priority Area Fund No.1** - Support for work in areas of high indices of multiple deprivation.  Used in Diocesan funding. 

**Murray Scarlett Glenesk Fund -** To assist young people and adults to attend St Drostan's Lodge, Tarfside.  Can be applied for. 

**Home Mortification -** Support for people who may be in need of social and welfare facilities, especially unmarried mothers and their children.  Can be applied for. **Stipend Support (MMSG Grant)** - Support provided by the Province for mission and ministry within a Diocese.  Used in Diocesan funding. **Transitional Stipend Allowance -** Support provided by the Province to off-set stipend increases in January 2023. **Stipend Assistance** - Support provided by Bishop Discretionary Fund towards R. Campbell Stipend. 

- 25 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **19 Unrestricted funds - designated** 

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes: 

|**At 1**<br>**December**<br>**2023**<br>**Incoming**<br>**resources**<br>**Resources**<br>**expended**<br>**£**<br>**£**<br>**£**<br>Capital Account<br>134,431<br>-<br>-<br>Stonehaven rectory fund (formerly clergy residence fund)<br>246,565<br>-<br>-<br>Episcopal endowment fund<br>429,687<br>6,175<br>(130)<br>Home mission fund<br>13,632<br>-<br>-<br>Bishops ministry fund<br>178,100<br>4,979<br>-<br>Property reserve<br>43,844<br>-<br>-<br>Property revaluation reserve<br>123,651<br>-<br>-<br>St John the Baptist fund<br>91,789<br>2,458<br>(49,401)<br>Mobus fund<br>-<br>529<br>(2,902)<br>Invergowrie housing fund<br>326,037<br>10,346<br>-<br>1,587,736<br>24,487<br>(52,433)|**Transfers**<br>**Gains and**<br>**losses**<br>**At 30**<br>**November**<br>**2024**<br>**£**<br>**£**<br>**£**<br>-<br>-<br>134,431<br>-<br>-<br>246,565<br>-<br>31,827<br>467,559<br>-<br>-<br>13,632<br>-<br>26,434<br>209,513<br>-<br>-<br>43,844<br>-<br>-<br>123,651<br>-<br>13,048<br>57,894<br>-<br>2,373<br>-<br>-<br>54,928<br>391,311<br>-<br>128,610<br>1,688,400|
|---|---|



- 26 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **19 Unrestricted funds - designated** 

**(Continued)** 

|**Previous year:**<br>**At 1**<br>**December**<br>**2022**<br>**Incoming**<br>**resources**<br>**Resources**<br>**expended**<br>**£**<br>**£**<br>**£**<br>Capital Account<br>134,431<br>-<br>-<br>Stonehaven rectory fund (formerly clergy residence fund)<br>246,565<br>-<br>-<br>Episcopal endowment fund<br>420,358<br>6,655<br>-<br>Home mission fund<br>13,632<br>-<br>-<br>Bishops ministry fund<br>171,641<br>4,607<br>-<br>Property reserve<br>43,844<br>-<br>-<br>Property revaluation reserve<br>448,651<br>-<br>-<br>St John the Baptist fund<br>132,051<br>2,274<br>(45,724)<br>Mobus fund<br>18,973<br>1,061<br>(21,232)<br>Invergowrie housing fund<br>-<br>-<br>(1,515)<br>1,630,146<br>14,597<br>(68,471)|**Transfers**<br>**Gains and**<br>**losses**<br>**At 30**<br>**November**<br>**2023**<br>**£**<br>**£**<br>**£**<br>-<br>-<br>134,431<br>-<br>-<br>246,565<br>(6,655)<br>9,329<br>429,687<br>-<br>-<br>13,632<br>(4,607)<br>6,459<br>178,100<br>-<br>-<br>43,844<br>(325,000)<br>-<br>123,651<br>-<br>3,188<br>91,789<br>-<br>1,198<br>-<br>325,000<br>2,552<br>326,037<br>(11,262)<br>22,726<br>1,587,736|
|---|---|



## **Capital Account** - 

**Stonehaven Rectory Fund (formerly Clergy Residence Fund) -** Funds used to buy new rectory in Stonehaven, redesignated from the Clergy Residence Fund. **Episcopal Endowment Fund -** Historic fund to support the costs of the Bishop. 

**Home Mission Fund -** Historic mission fund. 

**Bishop Ministry Fund -** Historic fund to support the costs of the Bishop. 

## **Property Reserve -** 

**Property Revaluation Reserve -** Changes in the value of Diocesan properties. 

**St John the Baptist Fund -** Designated by Council for mission and ministry projects. 

**Mobus Fund -** Designated by Council for mission and ministry projects. 

**Invergowrie Housing Fund -** Fund established by the sale of the property known as Carsemhor in Invergowrie.  To be used for housing or other future ministry in the area. 

- 27 - 



## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

|**20**<br>**Analysis of net assets between funds**<br>**Unrestricted**<br>**funds**<br>**Designated**<br>**funds**<br>**Restricted**<br>**funds**<br>**2024**<br>**2024**<br>**2024**<br>**£**<br>**£**<br>**£**<br>Fund balances at 30 November 2024 are represented by:<br>Tangible assets<br>414,507<br>370,216<br>-<br>Investments<br>523,564<br>861,098<br>1,204,529<br>Current assets/(liabilities)<br>(547,406)<br>457,086<br>72,563<br>Long term liabilities<br>-<br>-<br>(339)<br>390,665<br>1,688,400<br>1,276,753|**Total** Unrestricted<br>funds<br>Designated<br>funds<br>**2024**<br>2023<br>2023<br>**£**<br>£<br>£<br>784,723<br>414,719<br>370,216<br>2,589,191<br>450,633<br>788,895<br>(17,757)<br>(499,803)<br>428,625<br>(339)<br>(339)<br>-<br>3,355,818<br>365,210<br>1,587,736|Restricted<br>funds<br>2023<br>£<br>-<br>1,020,574<br>58,754<br>-<br>1,079,328|Total<br>2023<br>£<br>784,935<br>2,260,102<br>(12,424)<br>(339)<br>3,032,274|
|---|---|---|---|



- 28 - 



DIOCESE OF BRECHIN
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
21 Events after the reportlng date
Thorè ar• no s￿nfficant av•nts aftar th• rèporting data that roquirè to bè disdosèd.
22 Related party transactlons
Th¢ r•muMratK*n of key manag¢mont ￿rSOnn01, who are also Iw$l¢es, 1$ a$ follows.
2024
2023
Aggr•galo ¢ompon$ation
60,553
56,079
During tho year tho chairty onlored into the following transactions with rolaled parties..
Quota wa$ a$$•$s•d on variou$ eh•rge$ and d¢lail$ are a$ follow$- with th• Tru$le•s nolod - the charge they
are also trust8•8 of - tho quot• assèsgèd for th8 y••r- and tho amount prgp•id or oustanding at thè yèar and:
, The Dioc85an Sècretary
Tho Cathedral,
Tho Dioc05an Treasuror
95- £995 outstsnding
and The
un
ee-
Sl Mary Magdalgno's Church, Oundoe and Sl Ninian's Chur¢h, Dundee - Sl Mary
prepaid., Sl Ninian's- £3,707
8ne5-
Sl Ternan's Church, Muchalls and Sl. Jamos Church, Slonohaven- St Tornan's-
.20 prèpaid
an)ès
- Sl Mlry & St P•t•r Church, Montros•- £6,034- £226 outstanding
- St Martins Churth, Dunda• and Th• C•th•dr•l, Dunde• - St Martins- £3,179 - Nil-
outstanding
ra
St Sl Mary's, 8roughty F•rry- £10.400- £442 prepaid
Holy Trinty, Monifieth- £4,079- £557 prepaid
Sl Jamos Church, Slonohavon £6.502 . £6.20 prepaid
St Tèrnan's Church, Muchalls- £3,935
St Luke's received £16,527 of stipend support in th8 year.
The loan that was advancad to St Margarèts Residèntial Home last year was repaid in full, with intarest, in July 2024.
23 Quota

DIOCESE OF BRECHIN
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 NOVEMBER 2024
23 Quota
Icontlnuedl
2024
2023
Quota re￿ivable from Churches
Paid to General Synod
119,947
46,761
119,946
44,577
73,186
7S,369
Summary of Quotas
Quota du8 for 2024 ar8 as follows..
Arbroalh, Sl. Mary'$
Auchmilhio, Sl. P•t•Vs
8r8chin, Sl. Andrew's
8roughty Forry, Sl. Marl$
Carnouslie, Holy Rood
Catt8rfin•, St. Philip'$
Drumlilhie. St. John the 8aplist
Drumlochty, Sl. Palladiu5
Dund¢•- The Calhodral
St. Luko's
Sl. Margar8fs
Sl. Martin's
St. Mary Magdaleno,
Sl. Ninian's
Sl. Salvador's
Fa$que, Sl. Andr•W$
Glen¢•rso, All Saints
Inverborvie, St. David of Scotland
Invor9owri8, ￿1 Souls
Laurencekirk, St. Laur¢nc•'$
Monifieth, Holy Trinty
Montroso, St. Mary and St. Potorfs
Muchalls, Sl. Tornan's
Stonehaven, Sl. Jamo$
5,688
5,810
117
4,851
10,082
4,184
331
781
342
31,853
3,567
2,848
3,426
10,383
3,043
6,751
599
4,289
1,206
4,187
1,127
4,103
6,144
3,471
6,493
3,923
10,400
3,587
444
852
444
30,995
4,548
2,735
3,179
10,652
3,707
5,638
768
5,398
1,308
3,947
1,128
4,079
6,034
3,93S
6,502
119,947
119,946
Notè= Outstandingllprepaidl at 30 Novembèr
12,6721
{8,6861
24 Retlrement beneflt schemes
The Scottish Episcopal Church operatès a defined benefit schèma of which Nvo employaès of tha Diocese ara
meM￿rS. The last actuarial valuation was carried out on 31st DeCem￿r 2023, but it is not possiblè to
di5dose the charity's share of the total 5theme a55et5 nor the outsl•nding liabilty.
The Diocese's contributions wll reduce from 32.20k of standard stipend and salary lo 220k V￿th effect from 1
January 2025. Tho pansionablo salary increased by 7.8% to £32,988 with effect from 1 January 2024 to 31
Docamb&r 2024. It will then ba further increas•d by 4°A to £34.308 with èffèct from 1 January 2025 and will
run until 31 Decèmber 2025.

## **DIOCESE OF BRECHIN** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 NOVEMBER 2024**_ 

## **25 Stipend support** 

The Diocese assisted various churches support their stipendiary ministry throughout the year by way of ministry support. 

These charges were supported by a restricted GSO Mission and Ministry Support Grant (MMSG) of £51,227, the UPA No. 1 Fund income of £6,872 and a percentage contribution from the Transitional Stipend Assistance Grant (TSAG) of £8,500 received by the Diocese. 

In addition, a number of charges that were included within the Transitional Ministry programme, were further supported through the use of the Mobus/St John the Baptist designated funds. 

The total levels of support provided together with the source of funding is as show below:- 

|CHARGE(S)|MMSG|UPA|TSAG|Mobus / St John the<br>Baptist Funds|<br>Total Support|
|---|---|---|---|---|---|
|St Luke’s,Dundee|£16,527||£ 765||£17,292|
|St Mary’s,Arbroath|£16,008||£ 765||£16,773|
|St Martin’s,Dundee|£  2,942||£ 765|£ 4,548|£  8,255|
|St Mary Magdelene’s St<br>Ninian’s,Dundee||£  6,872|£ 765||£  7,637|
|All Soul’s, Invergowrie St<br>Salvador’s,Dundee|<br>£ 4,391||£ 765|£ 6,787|£11,943|
|Monifeth/Carnoustie|£ 4,940||£ 765|£ 7,642|£13,347|
|Muchalls/Stonehaven|£ 6,419||£ 765|£ 9,928|£17,112|
|**Totals**|**£51,227**|**£6,872**|**£ 5,355**|**£28,905**|**£92,359**|



## **26 Assets held on behalf of others** 

The Diocese is custodian of the following units of the SEC Unit Trust pool: 

- 568 units - Catterline Endowment Fund - value £18,259 

- 422 units -- Gladys Forsyth Grant Bequest - value £13,565 

- 614 units - Lord Clinton Bequest Fund - value £19,737 

- 9,563 units - St Andrews Fasque Fabric Fund - value £307,406 

The Trustees are currently attempting to determine the beneficial owner of these assets and allocate ownership to them within the SEC Unit Trust pool. 

Included in creditors are sums totalling £28,565 (2023 - £22,089) representing accumulated dividends less expenditure for the above funds / bequests. The majority of the managed funds creditor of £39,429 is due to the Albert Gladstone Fasque - again the Trustees are trying to trace this organisation to make payment. 

The Diocese is also custodian of 6 bank accounts for some bequests totalling £14,237 (2023 - £14,065). Again the Trustees are attempting to determine the beneficial owner of these assets and pass the funds to them. 

The Bishop is currently in the process of creating a separate charity to house the 11,315 (2023 - 11,497) units of the SEC Unit Trust pool belonging to the Bishop's Discretionary Fund - value £363,725 (2023  £316,472). 

- 31 -